November 25, 2013

This article presents the findings of a two-year industry study looking at where distribution industry managers blunder and what they could do better.

This article by William McCleave includes analysis of:

Which characteristics cause managers to blunder most
The best and worth characteristics of managers
Where managers should focus for possible improvement

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Protecting Your Knowledge Base
The Hiring Disconnect in Distribution
Re-evaluate the Human Capital in Your Company

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MDM Interview: Giving Up Control of Your Business

Human Resources in Wholesale Distribution, Management, Operations, Strategy, Subscriber Only, Top Distributor Sectors / Angela Poulson

Business owners procrastinate when it comes to succession planning for many reasons, including uncertainty over potential successors and concerns about how affected family members and key employees will react. But these obstacles aren’t insurmountable, according to Lawrence Gold, corporate attorney for law firm Carlton Fields and author of Passing the Torch Without Getting Scorched: Preserving Your Legacy With Smart Succession Planning.

This interview includes Gold’s take on:

Why management and ownership succession are different
Why it’s hard for owners to prioritize succession planning
How to decide whether to pass the company to family

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MDM Interview: Avnet’s Roy Vallee Reflects on Changes in the Industry
Succession Planning: What’s Next?
Strategic Planning for Distributors

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Commentary: The 20/80 Paradigm for Sales Today

Sales & Marketing, Subscriber Only, Technology / Tom Gale

The norm is now people who walk around with two or three devices – phone, tablet, laptop. So why are so many salespeople still selling as though the Internet doesn’t exist?

Publisher Tom Gale’s perspective looks at why distributors need to think differently about the fact that most people have already does their research before they reach out to a supplier. How can that supplier fill in the information gaps and add value?

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Auto Industry’s Return from Collapse

Companies, Economic Trends, Power Transmission/Motion Control/Fluid Power, Research & Analytics, Subscriber Only, Top Distributor Sectors / Jenel Stelton-Holtmeier

The U.S. automotive industry hit bottom in 2009, with total light-vehicle sales falling to 10.4 million units the lowest level since 1982. Chrysler and GM filed for bankruptcy that year; Ford, while avoiding the courts, had to make its own cuts.

Today, the industry is nearing full recovery, albeit with some significant changes. This article examines the current state of the automotive industry in North America, how the recovery has affected suppliers and distributors serving the market and the outlook.

This article includes:

Distributors’ perspectives on the auto industry collapse and recovery
Lessons learned
Outlook for the auto industry in North America

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Wallet Share, Demands Drive Acceleration in Channel Convergence
Third Quarter MDM-Baird Survey: Slow But Steady Growth
Wind Market Grows; Challenges Remain

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MDM Industrial Inflation Index: October 2013

Economic Trends, Research & Analytics, Subscriber Only / MDM Staff

Modern Distribution Management's monthly Industrial Inflation Index measures a cross-section of industrial supplies.

This index includes:

Abrasives Products
Cutting Tools
Power Transmission Equipment
Fasteners
Valves, etc.
Power Tools
Material Handling Equipment
Belting
Hand Tools
Misc. Metal

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MDM 3Q13 Pricing Trends Report
MDM-Baird Distribution Survey: Slow but Steady Growth in Third Quarter
Data Security Risks Grow

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MDM Industrial Inflation Index: October 2013 Read More »

Monthly Wholesale Trade Data: September 2013

Economic Trends, Research & Analytics, Subscriber Only / MDM Staff

Sales and inventories data for wholesaler-distributors in September 2013.

This article includes:

Wholesale trade revenues for durable and nondurable goods in September 2013
Monthly inventories/sales ratio for the industry
Sales & inventory trends for durable and nondurable goods

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The Extended Value Index
Distribution Profitability Case Study
Support a Differentiation Strategy

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Distribution Financial Metrics & Trading Multiples: November 2013

Finance, Mergers & Acquisitions, Subscriber Only / MDM Staff

This table highlights key financial metrics and trading multiples for 26 publicly traded distributors in the industrial and building products industries as of Nov. 12, 2013. The pdf also includes a graphic illustrating median EBIDTA multiples for the same distribution companies.

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