By the time you read this, ASA’s annual convention, NetworkASA 2011, will have been completed and plans will already be in the works for next year’s event, to be held October 17-20, 2012, at Hilton Bonnet Creek Resort in Orlando.
By the time you read this, ASA’s annual convention, NetworkASA
2011, will have been completed and plans will already be in the
works for next year’s event, to be held October 17-20, 2012, at Hilton Bonnet
Creek Resort in Orlando. For all those who were able to attend NetworkASA 2011,
I’d like to begin this month’s letter by personally thanking you for your
participation. I trust you were able to come away from the event with many
valuable resources, a renewed and refreshed industry outlook and abundant
opportunities to reconnect with old friends and meet new ones.
Speaking of resources, throughout my time as ASA President I have continually
stressed the importance of decision-making as it relates to the successful
operation of our businesses. In order to make many of those important
decisions, we first need to analyze data and assess risk. How can this be done,
specifically in our industry, on a consistent basis? One answer is quite
simple. By utilizing ASA’s Industry Intelligence Report.
Since January 2009, ASA has produced this monthly sales report that documents
trends in sales, inventory and employment in the PHCP and PVF wholesale
distribution industry on a national level. This is the only report of its kind.
If you participate in the report by sharing your data and using the information
that is produced as a result, you are well-prepared to make those difficult
decisions. If you do not participate, you are not as prepared as you could
Regardless of business flow, the economy or any other factors that dictate how
we run our businesses, the best benchmark currently available to you is ASA’s
monthly sales report.
Each month, ASA invites all of its member wholesaler-distributors to
participate in this report by completing a confidential survey on sales (both
month-to-month and calendar year-to-date), inventory levels, three months
average DSOs, and year-to-date profit before taxes. Typically, the participation
deadline is the eighth business day of the month and the report is available
within four business days. The report provides a breakdown of the data across
different sales volumes, industry segments, regions and specific
state/metropolitan market areas.
I would like to encourage your involvement by requesting that every company
currently not submitting their data for the Industry Intelligence
Report consider doing so for the rest of 2011 and into 2012. It
costs absolutely nothing to participate - it is a member benefit provided to
ASA members through their dues. The resulting report is available free
to all ASA members who submit their data. With a 15-minute investment each
month, you can compare how your company “stacks up” to others on key items such
as sales, gross margin, inventory and headcount.
As it stands now, the current Industry Intelligence Report
is excellent. The fact is that it could become even better with more
participation. The quality of the information can improve for everyone if we
all participate. Not only does this contribute to making the industry stronger,
but it also makes you proactive in your everyday decision making! Taking risks
and making decisions based on limited information might work for some, but
there is absolutely no reason to do so when such a valuable resource is openly
available. To achieve business success in today’s up-and-down world, make sure
you have the appropriate data to help you prosper. Contact Chris Murin at ASA
at (312) 464-0090, x204 or at firstname.lastname@example.org
for more information on the Industry Intelligence Report
and any of the other ASA benchmarking reports. Tell him I sent
Pipe & Supply
Letter From The ASA President - Decisions, Decisions
September 1, 2011