FEDA News & Views

FEDAJanFeb2012

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President's Message continued problems with one another. The questions need to be-two dimensional, looking at circumstances from both points of view. It isn't a new concept really.All of us have done this infor- mally for decades,but it has been done on a one-on-one basis by specific dealerships with certain manufacturers or reps…and it is often very successful.There's been a bit of movement, however, to formalize the process with input from groups of manufacturers and groups of dealers, and to try to magnify its positive effects on profitability.And late- ly, this concept seems to be gaining traction.Time will tell if this translates on a large scale. Or will we fall back into old habits and continue to sell ourselves short by giving away our margins? Can our industry operate under this more limited distri- butionmodel,given the pressures of the market place today? Is it sustainable for manufacturers to focus on fewer dealers? Is it sustainable for dealers to have fewer choices? How will the old relationships and mutual trust that have been built over many years be affected in the long run? How can these new"forced" relationships be made to work? Judging how things have played out and fromsome of the changes to programs that are currently being proposed and implemented by manufacturers and dealers,maybe we are beginning to ask at least some of the right questions—and we are about to find out some answers, too. The question that still looms, however, is will this next wave of change improve the profitability picture for all of the contributors within our channel? Let's hope so. u OSHA continued see their employees get injured on the job.When someone goes down, the rest of the team has to step up and cover the work. Additionally,we have developed relationshipswith the people who have made us successful over the years. They become a part of our family. It is unsettling when a part of that family sustains a serious injury. I know the thought of inviting OSHA into your facility is slightly uncomfortable,but this is one government program I would take a hard look at. If anything, it might just prompt you to become more safety conscious in the future. Good luck. u About the Author: Jason Bader is the managing partner ofThe Distribution Team, a firm that specializes in helping distributors become more profitable through operating efficiencies.The first 20 years of his career were spent working in distributor opera- tions.Today, he is a regular speaker at industry events and spends much of his time working with individual distribu- tion companies. For more information, call (503) 282-2333 or contact him by e-mail at Jason@Distributionteam.com. Also visitThe DistributionTeam's website at www.thedistributionteam.com. 40 FEDA News & Views

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