FEDA News & Views

January/February 2018

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6 FEDA News & Views President's Message T he 1947 movie "It's a Wonderful Life" is a holiday classic. As many of you may already know, the plot is based on the character George Baily, a good- natured man who sacrifices his dreams to help the townspeople of Bedford Falls. Distraught by where he finds himself in life, George decides to commit suicide, only to be saved by his guardian angel, Clarence, who takes the time to demonstrate what life in Bedford Falls would look like if George never existed. It's a good question, particularly for anyone in business who claims to provide value. "Would the customer miss our products, our services, our value-adds…if we were no longer in the marketplace?" To quote the legendary Peter Drucker on the importance of focusing on the right questions, "One does not begin with answers," he said. "One begins by asking, 'What are our questions?'" Here's another that's crucial to dealers and their supplier partners as the question of how to respond to Amazon becomes more prevalent: "What would be missed if dealers, we who are so critically situated between the manufacturer and end user, were not here?? Much like George, another alternative may seem more appealing in the face of competitive pressures but when you consider the cost to serve—our designers, purchasers, warehouse receiving picking and shipping personnel, project managers, accountants, credit and collections team, logistics team, web designers, marketing personnel, inside sales managers, customer service reps, sales reps and installers— it becomes apparent that all the services we provide to create the link from the manufacturer to the customer are critical to the channel. I have attempted to summarize a few of these items below that dealers perform every day for our suppliers and for our customers by contemplating, "If not us, who? • Who would have received, stored and shipped several thousand SKUs from several hundred of our supply channel partners to our customers, either in our backyard or around the globe? • Who would have coordinated the design elements that effi ciently bring together the right equipment for the right application for our independent restaurants, K-12 schools, colleges and universities, business and industry customers, and multiunit operators? • Who would have attended construction meetings to ensure we have correct electrical, plumbing and mechanical connections, or that the equipment that is coming from multiple factories is correct the fi rst time—every time—to keep construction on time without delay or change order? • Who would have coordinated credit and payment terms for the customers that are friends and neighbors in each of our communities? • Who would have received freight, inspected for damage and dealt with freight claims? • Who would have coordinated the warehouse logistics and professional installation to match the fi eld schedule that seems to change on a daily basis? • Who would have handled the items that were shipped incorrectly, built incorrectly or did not work upon arrival at our customer's location? • Who would assist in equipment startup and training for customers and staff ? • Who would have handled the calls related to warranty claims? • Who would have assisted the customer needing a replacement walk-in, hood or fryer system to ensure all new equipment would operate with the electrical in the fi eld, ensure the old equipment is removed and disposed of properly, and ensure the new equipment is in place without disrupting the customer's operations? We all get the point. Being a dealer can be very demanding. Apparently, George Baily was a much smarter individual than most of us since he chose to be a banker, but the moral of the story is the same. Dealers and distributors provide tremendous value for the manufacturers and customers that we serve, and if we were not part of the process, who would assume these functions? Finally, it is very important to note that, much like George Baily, I believe that most of us are very thankful for what we do and the roles we fi ll. We're fortunate to be in an industry that we enjoy and can work with some of the best people on the planet, including manufacturer partners, sales reps, consultants, service agents and, most importantly, our customers. It is a wonderful life. ■ The Question is Just as Important as the Answer Joe Schmitt PRESIDENT, FEDA President, Rapids Wholesale Equipment jaschmitt@rapidwholesale.com

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