ASA NAMES KENDZEL NEW CODES & STANDARDS DIRECTOR The American Supply Association announced it has hired Jim Kendzel as its new director of codes & standards replacing Hugo Aguilar who rejoins IAPMO in a larger role as vice president of codes & standards. Prior to joining ASA, Kendzel was executive director of the American Society of Plumbing Engineers and prior to that he was senior vice president at NSF International where he held various positions during a more than two-decade tenure. He has been an active volunteer in numerous code groups such as ANSI, ASSE, ASTM, IAPMO, ICC, NIBSPERC and the World Plumbing Council. In his new role with ASA, Kendzel’s focus will include: the coordination of the Code & Standards Committee, continuing ASA’s representation on the previously established eight code committees, expanding the association’s PVF effort as well as initiatives supporting regulatory affairs at the federal and key state levels, as well as raising awareness of ASA programs. Kendzel will work closely with key allied groups and other stakeholders. Aguilar was ASA’s first director of codes & standards, establishing the department and the association’s voice in the code arena. In his short tenure, Aguilar established ASA’s presence on eight code-and-standard bodies, launched a code educational and informational process for ASA members to learn about the code process and how members can impact codes and standards which affect the industry. Aguilar also built a strong Codes & Standards Committee within ASA leadership to help steer progress. ASA has become established in a large way, impacting plumbing, PVF and hydronics code efforts, the association noted. WINSUPPLY OPENS FOUR NEW COMPANIES Dayton, Ohio-based Winsupply recently opened four new wholesaledistribution locations in Maryland, Maine, Massachusetts and Tennessee. Winsupply has opened nine new companies in 2017. The new companies include: • Winsupply of Beltsville, Md., plumbing, president, Ralph Baker; • Winsupply of Boston, plumbing and HVAC, president, William Berberan; • Winsupply of East Nashville, Tenn., HVAC, president, Robert Reimer; • Winsupply of Presque Isle, Maine, plumbing and HVAC, president, Aaron Hoard. Winsupply noted the four presidents are experienced individuals in their respective industry, plumbing and/or heating, ventilation and air-conditioning. All have been groomed within the Winsupply organization to lead and own their own company under the Winsupply co-ownership business model, the distributor added. “We are actively executing a key piece of our growth strategy at Winsupply in opening these new companies and with plans for the opening of more companies this year,” said Roland Gordon, Winsupply president and chief executive officer. “The Atlantic region and Nashville are attractive areas as we identify potential markets for growth. The four individuals who will lead these companies are industry veterans with leadership skills. They’ll have the autonomy to best serve their customers with the equipment and supplies they need in their respective regions.” WIT & CO. NAMES REED EXECUTIVE VP SUCCESSOR The Dallas-area-based WIT & Co. buying group announced effective Sept. 25 Brandy Reed joined the group as the candidate selected to replace current WIT Executive Vice President Charlie Moorhead upon his retirement. Reed comes to WIT from Vizient, one of the largest member-driven healthcare and process improvement companies in the United States. Vizient is responsible for more than $100 billion in member annual purchase volume and provides more than one-third of the nation’s hospital and 97% of the nation’s academic medical centers. During her career with Vizient, Reed has held a variety of managerial position, including two years actively managing supply-chain programs with more than $3 billion in supplier sales. In addition, Reed was responsible for developing and implementing standardization and processimprovement programs between suppliers and customers across multiple regions within her company. Reed was scheduled to be introduced to WIT & Co. owners at the buying group’s networking meeting in Salt Lake City, Utah in late September. ASA DISTRIBUTORS REPORT AUGUST SALES GAIN ASA member wholesaler-distributors reported a median sales increase of 5.7% for the month ending Aug. 31, compared to the same month in 2016. Calendar year-to-date, all respondents reported median sales growth of 5.4% and the median increase for the trailing 12 months is 5.3%. Inventory rose 4.1% compared to prior year and the median three-months average days sales outstanding decreased from 44.9 to 43.7 days. Only 41.9% of respondents reported an increase in gross margin percentages for the month of August vs. 2016 and company YTD profit before taxes increased for 54.7% of the total sample. The percentage of respondents having more full-time equivalent employees compared to a year ago declined from 63.8% in July to 51.8% in August. Industrial pipe-valve-fitting distributors reported a median sales increase of 2% for the month compared to August 2016. Calendar year-to-date, PVF respondents reported a median sales increase of 4.6% and the median increase for the trailing 12 months is 5.5%. PVF inventories grew 1.7% compared to the prior year and the median three-months average DSOs dropped from 43.5 days in July to 42 days in August. PVF respondents reporting an increase in company YTD profit before taxes declined from 58.8% in July to 45% in August. NAVIEN TAKES STAND ON CONSUMER-PURCHASED EQUIPMENT With the continued and growing industry discussions of the pros and cons of HVAC equipment available online and through retail sales, Navien reported it has taken a strong position in support of wholesale-distribution only to professionals and against consumer-purchased equipment. “Navien is committed to preserving the authenticity and integrity of the trade by ensuring all Navien products are available only to and installed only by professionals, ensuring better-served installations and, thus, satisfied consumers,” Vice President of Sales and Marketing Eric Moffroid said. “Sales of Navien products over the Internet do not afford the authenticity and protection Navien expects. Navien has issued and will continue to issue stop notices to violating vendors and e-commerce channels and is prepared to pursue its remedies at law.“ Consumer purchases of Navien products through e-commerce channels will not be entitled to the benefit of technical support services or the warranties associated with purchasing Navien products through authorized channels, the manufacturer stated. A consumer warning to this effect is prominently placed on Navien’s website at us.navien.com. Additionally, Navien has taken the unique step of placing a consumer-warning label on every carton indicating that Navien’s warranty is void if purchased from the Internet. HARDI TO START MEXICO DIVISION The HARDI Board of Directors recently approved development of a new division within HARDI for wholesale-distribution in Mexico. HARDI appointed former RSM International Management Consultant Guitze Messina as the executive director to head the new HARDI division. “I have worked with the HVACR industry in Mexico and from what I have seen I can tell you there is a substantial need for an organization such as HARDI in that market and for the services it can provide,” Messina said. “I am confident that we will be able to navigate the market successfully as HARDI embarks on this new venture.” The official launch of the new HARDI Mexico division will occur at HARDI’s Annual Conference in December at a special Mexico Market Summit event. In other association news, HARDI’s monthly TRENDS report shows average sales for its distributor members increased by 4.7% in July 2017. The average annualized growth for the 12 months through July 2017 is 8.8%. “The country experienced dramatic weather differences during July,” HARDI Market Research & Benchmarking Analyst Brian Loftus said. “One region had almost 30% fewer cooling-degree days vs. last year while another had almost 10% more. The regions’ sales performance reflected the different operating environments. The weather is a short-term variable, while the overall economy is doing well.” HARDI Senior Economist Connor Lokar added: “U.S. industrial production transitioned to Phase B, accelerating growth in June. We expect this to drive accelerating consumer spending through mid-2018 before the rate of growth slows throughout 2019.” The days sales outstanding, a measure of how quickly customers pay their bills, is now less than 45 days. “July and August are the seasonal low points for the annual DSO cycle,” Loftus noted. “The modest sales activity during this important seasonal month probably led to the conservative result.” COMPANYCAM OFFERS FREE PHOTO MANAGEMENT SOFTWARE FOR CONTRACTORS Luke Hansen, founder and CEO of CompanyCam, wanted to find a unique way to show his appreciation for his home state of Nebraska and announced the Homefield Advantage campaign. Hansen had the idea to provide CompanyCam’s service — a complete photo solution for contractors — free of charge to every contractor in Nebraska. The service usually runs $12 per user per month. “Coming from a family that started a roofing business in Nebraska and now starting my own company, I’ve come to see just how supportive the community is here,” Hansen said. “We had the idea to offer CompanyCam to every Nebraska contractor after winning a pitch competition among Midwestern startups held here in Lincoln back in June. We saw the Nebraska community come together and support these startups from around the Midwest and we wanted to show our thanks.” With 9,000-plus users, more than 7 million photos taken and nearly 1 million projects created, CompanyCam stated it is establishing itself as an industry leader in photo management for contractors. To celebrate the kickoffof Homefield Advantage, CompanyCam hosted a tailgate party at a University of Nebraska football game in late September. The Homefield Advantage campaign kicked offin mid-September and runs through Oct. 31. A customer’s free year of CompanyCam begins the date they sign up and will end in the fall of 2018 To learn more, visit www.nebcam.com.
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