August 14,
2012 by in UnCategorized 
By Home Furnishings Business in Business Strategy on August 15, 2012
Home furnishings retailer Restoration Hardware has announced a reorganization of the company.
The purpose of the reorganization is to create a vehicle to incubate new lines of business to support the companys future growth, while enhancing the predictability and focus of its existing business model. Under the new structure, Restoration Hardware will maintain all existing home businesses, while a new corporation will be created to develop new lines of business, including apparel, accessories, footwear and jewelry, many of which will be complementary to the companys new product development strategy. Restoration Hardware, at its sole option, will have the exclusive right to acquire each of the new businesses when they reach an appropriate level of maturity and profitability.
In order to execute this plan, the company will reorganize its leadership team. Gary Friedman, the current chairman and co-CEO of Restoration Hardware, will become the founder, chairman, and CEO of Hierarchy, the newly created company. Friedman will control Hierarchy, with Restoration Hardware owning a minority stake. He will continue to be involved with Restoration Hardware in an exclusive advisory role, serving as creator and curator for Restoration Hardware with a focus on strategy, creative, and design direction. Friedman will remain the largest individual shareholder of Restoration Hardware and will serve as a non-director advisor to the board in his role as chairman emeritus. Carlos Alberini, Co-CEO of Restoration Hardware, will become Restoration Hardwares sole CEO and will lead all major functions of the business. Since joining the Company in 2010, Alberini has played a major role in transforming the Company into a leading luxury brand.
J. Michael Chu, a managing partner of Catterton Partners, will assume the role of chairman of the board of Restoration Hardware.
We are very excited about todays announcement, as it represents yet another significant milestone in the extraordinary transformation of Restoration Hardware," Chu said. "The new structure provides a creative and efficient way to develop new businesses. Gary Friedman, who transformed Restoration Hardware into an admired lifestyle brand in the luxury home market, has demonstrated the ability to re-conceptualize and build some of the most successful brands in the industry, and his continued efforts to drive innovation at Restoration Hardware will be invaluable.
Restoration Hardware is jointly controlled by Catterton Partners and Tower Three Partners. William D. Forrest, Managing Partner of Tower Three Partners, said, We are thrilled with Carloss promotion to CEO of Restoration Hardware. Carlos has made a significant impact on the Companys growth and enhanced performance over the past two years and he will lead a very strong management team. We are confident that Carlos will continue his successful leadership of Restoration Hardware.
Todays announcement supports our goal and belief that we can curate a lifestyle well beyond the four walls of the home," Friedman said. "It allows us to leverage our core capabilities to innovate, curate, and integrate new businesses and develop a brand that transcends typical models existing today. I am proud of the strong brand we have built, excited to pursue this new paradigm and partnership with Carlos, and passionate about imagining and creating a truly special business and brand.
We have a great team of very passionate and committed people," said Alberini. "We have accomplished a lot as an organization and we see big opportunities ahead. I am honored that the Board has entrusted me with this new role and I could not be happier to work with Gary to continue to build this amazing Company together.
August 14,
2012 by in UnCategorized
By Home Furnishings Business in Case Goods on August 15, 2012
High-end furniture manufacturer Harden Furniture will upgrade its McConnellsville, N.Y., with state-of-the-art woodworking equipment and engineering software.
The furniture maker also will introduce additional lean manufacturing practices with the upgrade, which is expected to occur in several phases and ultimately involve an investment of as much as $3 million. The first phase will be operational prior to the end of 2012 and will include a batch one manufacturing cell supported by a new Holtzer CNC machining center and a complete replacement of the existing roughmill with a Weinig optimizing system.
Hardens current manufacturing facility utilizes a batch process for most woodworking operations, and the modernization will convert several product lines to a lean manufacturing/just-in-time process. The anticipated benefits include shorter production lead times, an increased ability to customize existing designs, and reduced operating costs. In addition, Harden recently began offering the Cabinetmakers Cherry Collection in solid black walnut as the new process will allow consumers to choose alternate hardwoods.
The introduction of additional hardwoods compliments what has been a unique and popular Harden quality--the opportunity to select from over 40 distinctive finishes. The conversion of Hardens cabinetmaking operation to batch one expands custom capabilities and aligns all manufacturing processes with a more efficient lean model.
According to President and CEO Greg Harden the investment will establish Harden as one of the few furnishings manufacturers world-wide that has 'one off' and true custom capabilities. This will significantly leverage our existing product line while providing dramatic improvements in all aspects of our operations.
The company has designed lean manufacturing systems for several product lines in recent years, including upholstery frame operations and dining table production. The availability of more sophisticated equipment and software will allow those practices to be extended to additional product segments. While the economy continues to be a concern for Harden and the entire furnishings industry, Greg Harden felt that we had an opportunity to proactively apply technology in a manner that will improve our manufacturing performance and broaden our appeal to consumers who continually ask for more custom options.
Harden Furniture produces solid wood case goods and custom upholstery, and is a Silver Exemplary Member of the Sustainable Furnishings Council. Founded in 1844, Harden is now in its fifth generation of family ownership.
August 14,
2012 by in UnCategorized
By Home Furnishings Business in Case Goods on August 15, 2012
High-end home furnishings vendor Marge Carson has moved its headquarters to a 72,000-square-foot space in Pomona, Calif.
The short 15-mile move from its former location in Rosemead is advantageous in several ways, according to company CEO Jim LaBarge.
We previously occupied a 55,000-square-foot building and a 10,000-square-foot offsite warehouse," he said. "Consolidating the spaces into one building will allow for more efficiency and less handling. Plus, the operational logistics are greatly improved for the handling of incoming containers and shipments to customers.
The move also represents the companys first opportunity to own its building. Until now, Marge Carson has leased space, occupying its former headquarters since 1953. The occasion was marked by a ribbon cutting, with the mayor and city councilmen in attendance, and a barbecue for Marge Carson employees and their families.
Its a beautiful space, a nearly brand-new building that became available at an attractive price, LaBarge said. This building perfectly suits our office and warehouse needsand gives us room to grow.
Marge Carson also acquired a 50,000-square-foot showroom building in High Point last fall.
August 14,
2012 by in UnCategorized
By Home Furnishings Business in Tupelo on August 15, 2012
Classy Art Wholesalers Inc. has relocated its Tupelo Furniture Market showroom from Building 1 to a new location in Building 6, Space 6204.
We are quite pleased that we were able to solidify a location in building 6 as many colleagues mentioned to me that they tried, but there were no openings," said Classy Art Vice President Gabriel Cohen. "We are very thankful to our friends at the Tupelo Furniture Market who always take care of us and define southern hospitality.
The new showroom is located at next door to Standard Furniture and across from Acme Furniture, two high volume exhibitors.
Since everyone knows us for giving away Margaritas it only makes sense that we are near the party," Cohen said. "I think our customers are going to love our new location and the new layout which makes for easy and organized ordering."
August 14,
2012 by in UnCategorized
By Aggregated Content in Business Strategy on August 15, 2012
from http://www.bizjournals.com/buffalo/blog/morning_roundup/2012/08/berkshire-hathaway-shuffles-investment.html?ana=RSS&s=article_search
Those assessing the latest regulatory disclosure on the portfolio of Berkshire Hathaway will no longer find Intel inside.
The widely followed investment company also trimmed its stake in Visa (NYSE: V) while continuing to add to its holdings in Wells Fargo, (NYSE: WFC) where Berkshire is the biggest shareholder with 411 million shares.
Read Full Article...