Dan Goodman, CEO of Building36

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Originally published: 11.01.06 by Terry Tanker
Publisher Terry Tanker met with Gary Daniels, president and CEO of Johnstone Supply, for coffee and a conversation about wholesale distribution, contractors, adding value, globalizationand team sports at Johnstone headquarters in Portland, Oregon.
A martini in Manhattan.
Google, because it takes me everywhere else I want to go.
Yes, and the Gary Daniels that came up was some sort of kick boxer and actor. I didn't realize I was that much of a star.
I manage the organization like a professional team. Almost all team sports concepts transfer to business, such as a discipline, character, dedication, preparation, motivation, and the value of team work.
$550 a month and $15 a day for meal money. Even back then it was hard to eat on $15 a day.
Well, I try to keep it below 13.
76 in a tournament.
Bandon Dunes, Pebble Beach, Augusta ...
I received my degree in communications and had dreams of being a broadcaster.
We think being progressive means a constant push toward being the best hvacr wholesaler in the industry. We captured that internally with our vision statement, which says our goal is to be a contractor's best choice for products and services, our supplier's best choice to distribute their products, and to be the best place to work in the industry.
We are working on our third strategic plan in six years. We break long plans down into shorter segments like a navigator on a ship. We work toward one navigational point and then on to the next until we reach certain goals, but the destination changes over time, and we continue to adjust our course.
We designed it as a technical resource tool for the contractor, and we have several million visits to it a month. A new version will launch in January and we've made it even easier to find product information and order online.
It's important I understand what we are communicating to the market. Our marketing team is very good, and our strategy meetings keep me up-to-speed.
We try to be a technical resource for our contractors and our catalog is the most comprehensive resource for identifying parts in our industry. Our ability at the local level to provide a cross-referencing database allows the contractor to find any part he's looking for. In a way, that's the best advertisement we could have.
Technically they are great at what they're doing. The area they seem to most struggle with is the business management and customer marketing side of things, simply because that's not what they're trained for.
If you provide a contractor the opportunity to access the right tools and training, which is what we try to do, I think they can all be good marketers.
Training takes place at our local Johnstone stores. They hold training classes for contractors from technical training to NATE preparation to business development.
It's important because it demonstrates to customers that contractors are highly trained. They can be confident they are dealing with a professional and someone who keeps up-to-date with all the latest technology.
Globally, transportation is the equalizer for equipment, even though it may be produced less expensively overseas. U.S. manufactures have positioned themselves well with components and have taken advantage of global markets. It's also helped stabilize the market as an offset to higher steel and copper prices.
Hvacr is still primarily a service industry. We feel that if Johnstone helps the contractor provide the best service so they can be competitive in their business, then that will offset pricing. Giving the best service to customers will make the commodity factor less of an issue, and that is what will speak for us and for the contractor's work, not the price.
Terry is the owner of JFT Properties LLC and publisher of HVACR Business magazine. He has more than 25 years of experience in the advertising and publishing industries. He began his career with a business-to-business advertising agency. Prior to forming JFT Properties LLC in January 2006, he spent 20 years with a large national publishing and media firm where he was the publisher of several titles in the mechanical systems marketplace.
In addition to his experience in advertising and publishing, Terry has worked closely with numerous industry-related associations over the years including AHRI, NATE and ABMA.
By Terry Tanker. It’s not often you find a person with abundant knowledge to share, a passion for business and a willingness to help the next man in line.
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