Blog

Family Businesses rock

2012-05-15T14:19:59Z

I attended Maine's Institute of Family Owned Businesses (IFOB)'s annual awards dinner last night. Over 350 people in Maine came together to celebrate the values of family owned businesses. Hussey Seating Company was a winner of Family Business of the Year several years ago, and I am always pleased to see the richness of what family businesses do for Maine and for our national economy. Of course, we have some large and very successful family-owned businesses in Maine, such as LL Bean, Dead River, and Geiger Brothers.

But there are many more smaller and medium businesses that continue to innovate and create value, and work to create lasting legacies. Winners last night included Hurley Travel (our favorite travel agent), Morong Autos, and a 7th generation ship chandlery based in Eastport. Family businesses really are the backbone of our economy, and I always learn from these business stories; they inspire me to continue our traditions and values into the future as we work to create new legacies.

Tim Hussey

Biz ain't bad...

2012-05-10T13:33:51Z

As more than half our business is centered around K-12 school facilities, the news headlines continue to be grim. Voters aren't approving bond issues, states have no money for new construction, and in fact Dodge / McGraw-Hill shows school construction down 17% in the first quarter of 2012, compared to 2011. And this is is after four straight years of significant declines. The fact is, there are a lot fewer facilities needing new seating.

BUT - we are pretty busy here at Hussey Seating! Our dealers continue to find ways to get new business. There is a lot of replacement and renovation business going on, and our model of full service dealers is the right approach to be positioned right. We are doing more service and renovation work than ever, and many schools are somehow finding money to do incremental improvements when they realize a new school is not going to be built in the near future. Our seats do last a LONG time, but even they have useful lives that end in the 20 to 30 year mark (though I have seen some over 40 years), and there are a lot of seats crying to be replaced.

Biz is holding up also as we believe we are gaining in market share. Our seating is simply the best available in the industry (sorry, not really boasting, just fact!), and we and our dealers focus on giving great service and solutions. And we are able to be competitive in public bid situations due to our high volume and our manufacturing efficiencies.

We are also seeing some good business increases in markets outside K-12. College athletic facilities are spending to make improvements, and we are seeing some good municipal activity as well.

And of course, we have diversified through our purchase of Clarin Seating, which has taken us into new markets, and definitely has our factory out straight.

So, despite still being in recession times for K-12 construction, we really don't have many complaints here at Hussey Seating. I just can't wait for the time when we REALLY start growing again!

Tim Hussey

Start with Why

2012-04-26T01:32:05Z

I highly recommend this book, by Simon Sinek. It's an easy read, and makes a compelling case on authentic marketing, starting from the "inside", or starting with your core beliefs and values. And it goes beyond marketing, to your own vision and purpose.

"People don't buy what you do, they buy why you do it." Think about it. Our best customers, and the ones we really want, are the ones who share our beliefs and values, and care about WHY we do what we do.

This is the opposite of marketing "manipulations" and features and benefits marketing. Instead, it is about being very clear about our vision and our values, and enlisting customers, partners, and employees that share those beliefs and want to find ways, with us, to make them real.

Authenticity and core values are at the heart of who Hussey Seating is. WHY do we do what we do? I am still thinking about the best way to articulate this, but I think we do what we do because we believe a family business with integrity and honesty can serve as a beacon in today's world, and to provide lasting values for customers who love long-term solutions. We believe in people to people selling, in producing quality and innovative solutions for the long run.

This happens to be about spectator seating in our current generation of products. But it's been the same "why" when we produced diving boards, ladders, ski jumps, or plows. It's not WHAT we make, it's why we do it!

Check out the TED Video to get a great 20 minutes on this if you are too lazy to read the book. http://www.ted.com/talks/simon_sinek_how_great_leaders_inspire_action.html

What's your purpose, your dream, your passion? What's your WHY?

Tim Hussey

Four ways to stretch your school construction dollar

2012-04-24T17:17:53Z

According to the 15th Annual School Construction Report, the mean price per sq. ft. of new high school construction currently underway nationwide is $203.13, and the mean size is 250,000 sq. ft. That puts the mean price tag for a new high school at around $51 million.

Most of these schools will include large spaces dedicated to specialized activities, like cafeterias, gymnasiums and auditoriums. Many may include other common areas like multi-purpose rooms as well. Given the generally large footprints and specialized equipment contained within these rooms, these are often some of the most expensive spaces in a new school building. And yet, due to their specialized uses, they can be some of the least utilized.

An interesting trend in school design and construction is the movement towards creating multi-use flexibility in these large common spaces, with the intent of increasing the utilization these dedicated spaces and reducing the overall footprint of the school, thereby decreasing construction costs. Many of our dealers have partnered with architects to find creative solutions to this challenge – here are four of the most common and cost-effective solutions:

Combining a Multi-Purpose Room and Auditorium: The Multi-torium

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A terrific example of multi-use space flexibility, Reynoldsburg High School in Reynoldsburg, OH relied on our local expert, Farnham Equipment Company to create a space that could be used for a variety of events, large and small. Using a blend of our MAXAM+ Telecopic Platforms, Metro Chairs and a Hussey Seatway traveling telescopic platform, Farnham created a space that will accommodate everything from cheerleader practice or a small chorus practice to a full scale band concert or drama performance.

Combining a Cafeteria and Auditorium: The Cafetorium

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An integrated solution developed for Whitmore Lake, MI High School by our dealer, Architectural Systems Group. A 500-seat cafeteria abuts a 173-fixed Quattro seat performance theatre. A MAXAM+ Reverse Fold telescopic platform with Metro seats creates a wall-to wall divider between the spaces in the closed position, and when deployed it opens into the cafeteria, adding 459 seats to the performance space and creating a 632 seat performing arts theater. The smaller performance venue provides the intimate space preferred for teaching and small performances, while the open cafeteria space space is used daily for everything from lunch to dance classes. And the combined venue is used for large school performances and community events – a truly flexible space that increases use and the cost-effectiveness of the design.

Combining a Classroom and Auditorium: The Exploratorium

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When Eckles Architecture designed Eden Hall Upper Elementary School in Gibsonia, PA, they included a large interactive learning space called "The Learning Tree" that was designed as an education auditorium for a wide variety of learning experiences. With a flat floor design and the inclusion of three sections of MAXAM+ Telescopic platform with Metro chairs, the solution developed by our local dealer, C.M Eichenlaub Co., is highly configurable and ADA friendly since no ramps are required. Carpeted decks add desired acousitcal and aesthetic qualities, and the individual seating sections can be configured to acommodate any class size. And when fully deployed, the space becaomes a large performing arts or community event space.

Combining a Gymnasium and Auditorium: The Gymatorium

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Lonoke High School in Lonoke, AR had a predicament that’s becoming more and more common these days - they had surpassed the needed seating capacity in their auditorium where all of their plays and performances were held. Unfortunately, due to fiscal constraints expanding or building a new auditorium wasn't an option. Hussey Seating dealer Terry Greene of School & Office Products of Arkansas was already working with Lonoke’s architect on specifying new gymnasium bleachers when he heard about their auditorium problem. Terry proposed that they combine multiple Concertina Stage units to create a large portable performance stage in their gymnasium – a venue that can comfortably seat 3,000+ – and accomplished it at a fraction of the cost of new auditorium space.

These are just a few of the examples of how designing flexible, multi-use space can improve the efficiency and cost-effectiveness of new school construction. If you're an architect or designer working in the education and would like to learn more, click here to request our AIA CE Lunch n' Learn presentation, "Best Practices in Layout Trends for Seating", or simply contact you local Hussey Seating expert.

Less Can Be More: Two Hot New Trends in IAVM Spectator Seating

2012-04-05T20:23:49Z

I spent yesterday in North Carolina at the Greensboro Coliseum Complex talking with Director Matt Brown and Deputy Director Scott Johnson about replacing the 20 year old Hussey Olympiad arena seats that I sold them in 1991. The Greensboro Coliseum complex is an impressive operation made up of 7 different facilities hosting more than 850 events on an annual basis. So to say Matt and Scott are busy men is an understatement to say the least, and they run an absolutely first rate venue. And as savvy as these IAVM veterans are, they’re always looking to improve their patrons’ experience...

Spring and Hope - Four reasons

2012-04-05T15:23:40Z

April is feeling good here in North Berwick, Maine! First and most important, it's Opening Day for the Red Sox. Hope springs eternal is a famous saying for Red Sox fans, and despite our new closer on the DL, and questions about starting pitching, there is nothing like the hope and passions of Red Sox fans. I look forward to the emotional ups and downs that come with it, but mostly am glad that this unique pasttime is back in season...

Getting attuned with your customer

2012-03-31T19:04:53Z

I recently visited a couple of college athletic facilities where we have just put in new telescopic seating. I met with the Athletic Director at each facility, and I was impressed with the passion and the care they exhibited towards the seating design, comfort, look, and operation. Athletic Directors really care about the fan experience as well as the ease of operations and the life of the equipment.

Flexibility and Multi-Purpose

2012-03-17T14:52:11Z

Today more than ever we all crave flexibility in our life styles, and we like to keep options open. This is true for public seating as much as it is for our careers, our wardrobes, and our workplaces. Hussey Seating has long been the leader in providing expertise to help buildings operate flexibly and to serve multiple purposes. The true value of telescopic seating is space recovery, done quickly.

Measures of Growth

2012-03-10T16:30:54Z

I am proud to serve as Co-Chair of the Maine Economic Growth Council, a non-partisan organization of Maine business leaders, civic leaders, and legislators that produces annually a "report card" on economic growth indicators in Maine. We have just released our report for 2012...

Ups and downs of the seating business

2012-03-03T18:01:33Z

I am trying to figure out where our markets are headed. Here's some of what I know:

The ABI (Architectural Billings Index) is finally up over 50, though just barely. This means that architects' billings are starting to increase over the prior period - and that perhaps bottom has finally been reached. The ABI new inquiries is up over 60, meaning more business is coming at an increasing rate

McGraw-Hill is forecasting educational construction (square feet) in 2012 to fall a further 9%, after dropping off 13% in 2011. It is now more than 40% off the 2008 levels. So they say bottom has not been reached yet, but may be later this year.

The Hussey Seating backlog is up about 20% over a year ago - not counting the backlog we gained through our acquisition of Clarin Seating. We have gained via several ways: the college market, new products, and increased market share overall. No matter how we did it, it is very sweet to have an increasing backlog in a down market.

The economy is growing. Manufacturers are becoming much busier (31 months of growth now); the stock market is at 13,000; employment is growing (unemployment in southern Maine is now around 5%); and consumer confidence is up.

Bonds approved for education construction purposes were off 40% in 2011 compared to 2010. The overall approval rate was 72%.

The median age of American school building is 40 years old - which is the age at which these buildings are considered functionally obsolete. This means half our buildings need replacement or major renovation.

Our quote activity is off about 20% for the last 12 months, compared to the prior 12 months. This is a key indicator to us of future business. You can't book an order unless it's been quoted!

Anecdotally, some of our dealers are telling us business is terrible, and others are telling us they are busier than ever.

Our list of renovation and replacement opportunities seems to be bigger than ever.

There are more new projects being planned at the major league level. Four NFL stadiums (San Jose, Minneapolis, Atlanta, and L.A.) and a number of basketball or hockey arenas (Sacramento, Edmonton, Quebec, Calgary, Detroit).

There is quite a bit of action in college arenas and stadiums. Having modern athletic facilities is a major recruiting tool - and there is serious pressure to keep up with your competitors.

So lots of signals, some up and some down - what I am to think? How do we take all this data (and more I am not sharing here), and figure out what to plan for? Staffing decisions, capacity decisions, marketing focus, financial forecasting.... yikes, this can be a tough call.

My overall take? Here's my best guess at this time:

Our particular niche of spectator seating has yet to hit bottom in K-12, and we will see a further decline in 2012 - and then a very slow climb for a number of years, waiting for public funding capacity to catch up with the significant needs of new school construction and modernization.

College work is active and will continue to grow, particularly in renovation and replacement work.

Major league facilities will be there, though nowwheres near the levels seen between 1985and 2005. One major stadium a year is not that big a market.

We will need to find new markets to penetrate in order to keep growing at the pace we desire.

So - we now have to put this all together, see what we come out with in our budgeting and planning work, and make these decisions I reference above. I know that we won't be right, but I hope we get it close! Wish us luck. And I am open to others' views of our world of seating!

Tim Hussey