Office Furniture Industry Red Hot

[GRDadof3]

This article sort of ties in well with the Opinion piece in yesterday's Business Journal:

Office furniture up 10% in 1st qtr

At the same time, executives at manufacturers and suppliers offered the second-highest index ever in their own personal outlook -- a 65.58, which compares with an index of 65.15 for the prior quarter and 62.43 a year ago. More than one in five of the respondents anticipated sales growth for their companies of 10.1 to 15 percent this year.

In case you missed the Biz Journal Opinion piece, it was regarding the perception of the local economy vs. the facts:

Perception, not fact, hindering recovery

I expect this doom and gloom to continue until after the Gubernatorial elections.

[Par75]

This article sort of ties in well with the Opinion piece in yesterday's Business Journal:

Office furniture up 10% in 1st qtr

At the same time, executives at manufacturers and suppliers offered the second-highest index ever in their own personal outlook -- a 65.58, which compares with an index of 65.15 for the prior quarter and 62.43 a year ago. More than one in five of the respondents anticipated sales growth for their companies of 10.1 to 15 percent this year.

In case you missed the Biz Journal Opinion piece, it was regarding the perception of the local economy vs. the facts:

Perception, not fact, hindering recovery

I expect this doom and gloom to continue until after the Gubernatorial elections.

NeoCon, the annual office furniture trade show in Chicago, is taking place June 12 - 14. I'm hearing that attendance this year could equal that of 1999, which was a record setting sales year for the office furniture industry. Good news indeed!

[Sunlover38]

As someone who personally works for one of the "Big 3", I can say what a relief it is to have excellent management to get through the crisis of the downturn a few years ago & to now see profits on the rise again and people being hired again. The office furniture industry is not just a couple of manufacturing companies. It effects hundreds of suppliers as well who benefit when we are doing well. Similar to the auto industry, only we seem to manage a fair bit better.

[Par75]

As someone who personally works for one of the "Big 3", I can say what a relief it is to have excellent management to get through the crisis of the downturn a few years ago & to now see profits on the rise again and people being hired again. The office furniture industry is not just a couple of manufacturing companies. It effects hundreds of suppliers as well who benefit when we are doing well. Similar to the auto industry, only we seem to manage a fair bit better.

Well said, Sunlover. The comparison to the auto industry is a good one (even though its not on the same scale), and fortunately for our local economy, Steelcase, Herman Miller and Haworth seem to be much better managed than GM, Ford, and Chrysler.

[Sunlover38]

Well said, Sunlover. The comparison to the auto industry is a good one (even though its not on the same scale), and fortunately for our local economy, Steelcase, Herman Miller and Haworth seem to be much better managed than GM, Ford, and Chrysler.

One of the biggest factors is no Unions!!!!!!!! The unions are killing the auto industry . . .what started out a long time ago as a good thing has become a nightmare . . .one strike was because they wanted their birthdays off with pay!

[snoogit]

One of the biggest factors is no Unions!!!!!!!! The unions are killing the auto industry . . .what started out a long time ago as a good thing has become a nightmare . . .one strike was because they wanted their birthdays off with pay!

Unions arent killing the auto industry, its the horrible management at the top that relied on sales of SUVs long after they become less profitable and less desireable. The nature of the Office Furniture Industry is whats kept it out of the slump for long.

One thing that the office furniture industry has learned is that it cant rely on one product for too long before it gets stale. Herman Miller made lots of cash on those Aeoron (sic) chairs, but they arent even advertising them much anymore. Why? because everyone already has one, so they need to refocus and come out with something that someone doesnt have. Thats been the case for quite a long time now in that industry.

[torgo]

Unions arent killing the auto industry, its the horrible management at the top that relied on sales of SUVs long after they become less profitable and less desireable.

I would guess that its a combination of both of those

[snoogit]

I would guess that its a combination of both of those

I'll concede its 90% management, 5% unions, 5% Gas Prices. is hurting the auto industry.

One thing I can agree with is pension length, if you've recieved a pension longer then you've worked, there is a problem. But other then that the Unions arent making outrageous demands on the companies that the CEOs like to make the public think they are.

Toyota is a company with good management, and even if they had unionized labor (which they do deal with btw, maybe not at the main assembly line, but the parts companies they use sure deal with them) The imapct on Toyota's profits would be minimal, maybe a 5% drop at most. Toyota is one of those companies that are managed very well.

[PBJ]

As someone who personally works for one of the "Big 3", I can say what a relief it is to have excellent management to get through the crisis of the downturn a few years ago & to now see profits on the rise again and people being hired again. The office furniture industry is not just a couple of manufacturing companies. It effects hundreds of suppliers as well who benefit when we are doing well. Similar to the auto industry, only we seem to manage a fair bit better.

Hmmm.. I think we have representation from all of the Big 3

I know out here we're doing awesome, hiring like crazy, opening awesome new show rooms around the country (and world for that matter), opening new manufacturing in places like India, and just had a ground breaking ceremony for a MAJOR renovation of our corporate campus. I should find some renderings, I think they're safe to post now, pretty sweet looking...

[Rizzo]

There was talk of a union shop with word of mouth and various written materials run up outside of the shop for the unionization of Steelcase floor laborers.

When the rush for furniture hit in the late nighties the talk quickly went away because of the "perks," the industry had to offer at that time. The point of unionizing was thought of to protect job security, so it was thought that unionizing was no point because the 90s would last forever. Support for unions in the shops faded and reappeared. The talk quickly appeared when late 2001 early 2002 rolled around with rumors of layoffs; upper management found out and it was quickly put down with alleged threats and firings. People quickly used the terms "at will" to describes Michigan's employment law as regards to firing to remind themselves it doesn't matter what you did, you got caught passing materials there's the door.

I guess talk was that a massive unionization of the furniture giant in the floor shops would "cripple" the operation. Whether or not unionization is the sole or major cause of downturn in companies profitability and success, it does ring annoyance in management. One of the tricks in the whole union situation was that people pined friends and coworkers against one another to create an air of hostility to the supporters and denouncement of unionization. It worked every time.

Now that news has been turning in favor of Steelcase and their profitability, past employees from the waves of layoffs in the early 2000s have created a feeling of overwhelming bitterness. It's all a mess and will remain that way on the side of the workers for a long time, bitterness runs deep here. No matter how you put this situation, you can't just say 'too bad' to both sides. There was a brotherhood among everyone and it was a tight kinship among most of the folks; it was like a society for a lot of the guys and gals there.

[Par75]

Hmmm.. I think we have representation from all of the Big 3

I know out here we're doing awesome, hiring like crazy, opening awesome new show rooms around the country (and world for that matter), opening new manufacturing in places like India, and just had a ground breaking ceremony for a MAJOR renovation of our corporate campus. I should find some renderings, I think they're safe to post now, pretty sweet looking...

Haworth is doing some very nice things....and from someone who works down the street from you, that isn't easy to say!

PBJ or Sunlover - Either of you going to NeoCon this year? anyone else going? I'll be working in the Herman Miller showroom the entire week.

[PBJ]

Haworth is doing some very nice things....and from someone who works down the street from you, that isn't easy to say!

PBJ or Sunlover - Either of you going to NeoCon this year? anyone else going? I'll be working in the Herman Miller showroom the entire week.

I won't be going this year. I went 2 years ago when we unveiled our showroom in the Merch. Mart, but I was in a different job role. It was a lot of fun though that's for sure, it's cool to see what everyone is doing. Now I hardly ever get out to see customers (internal or external)

[Sunlover38]

Haworth is doing some very nice things....and from someone who works down the street from you, that isn't easy to say!

PBJ or Sunlover - Either of you going to NeoCon this year? anyone else going? I'll be working in the Herman Miller showroom the entire week.

Sure am - - on Wednesday when all the showrooms open up. You'll have to have a Par75 sticker on you somewhere so I can say hello :-)

[GRDadof3]

There was talk of a union shop with word of mouth and various written materials run up outside of the shop for the unionization of Steelcase floor laborers.

When the rush for furniture hit in the late nighties the talk quickly went away because of the "perks," the industry had to offer at that time. The point of unionizing was thought of to protect job security, so it was thought that unionizing was no point because the 90s would last forever. Support for unions in the shops faded and reappeared. The talk quickly appeared when late 2001 early 2002 rolled around with rumors of layoffs; upper management found out and it was quickly put down with alleged threats and firings. People quickly used the terms "at will" to describes Michigan's employment law as regards to firing to remind themselves it doesn't matter what you did, you got caught passing materials there's the door.

I guess talk was that a massive unionization of the furniture giant in the floor shops would "cripple" the operation. Whether or not unionization is the sole or major cause of downturn in companies profitability and success, it does ring annoyance in management. One of the tricks in the whole union situation was that people pined friends and coworkers against one another to create an air of hostility to the supporters and denouncement of unionization. It worked every time.

Now that news has been turning in favor of Steelcase and their profitability, past employees from the waves of layoffs in the early 2000s have created a feeling of overwhelming bitterness. It's all a mess and will remain that way on the side of the workers for a long time, bitterness runs deep here. No matter how you put this situation, you can't just say 'too bad' to both sides. There was a brotherhood among everyone and it was a tight kinship among most of the folks; it was like a society for a lot of the guys and gals there.

Tell them to get over it. People invest too much faith into their employers and their workplace.

[Rizzo]

I mean if I was getting paid sick days and holiday pay, oh plus the nice annual bonuses I would friggin live it up and forget about all the bad things in life. I'd probably think it would last forever...bliss. Then I'd bite the hand that fed me.

[GRDadof3]

Sales and profits soar at Steelcase

[Rizzo]

My stocks ... my stocks I forgot about the shares, last I checked (a year ago) it was 13 now 17 something!?

[Par75]

Sales and profits soar at Steelcase

That is excellent news....as Steelcase goes, so goes the office furniture industry. Can't wait for Wednesday to hear some even better news.

[GRDadof3]

Sales on the rise for Herman Miller

ZEELAND -- Yearly sales at Herman Miller Inc. soared to $1.74 billion, the highest level since revenues peaked at $2.24 billion in 2001.

The company announced Wednesday annual profits increased 46 percent to $99.2 million, up from 68 million a year ago.

Haworth being re-birthed

Grand Rapids - One of West Michigan's leading companies says it's in the midst of a rebirth.

Is there a way to officially announce the end of "doom and gloom"?

Oh, MAYBE?