Friday, December 19, 2008
Bonus or no bonus at the end of a tough year?
In my elementary school days, my slim allowance money couldn’t quite get me through the holiday shopping season. Macaroni-cover tin cans, and homemade coupon books with promises of hugs and car washes, however, served as cost-free and greatly appreciated gifts. But for cash-strapped companies looking to provide holiday incentives to employees, macaroni art likely won’t cut it.
In its November issue, Fortune magazine asked three business leaders what they do for employees when times are tight.
Laura Sejen, global director, strategic awards for Watson Wyatt, an HR consultancy out of Arlington, Va., said employers should strive to cut back bonuses rather than eliminating them completely. “Start a recognition program that gives spot bonuses based on performance. It’s a low-cost way to reward employees and allows you to be selective in granting awards,” Sejen said.
Jim Weddle, CEO and managing partner of Edward Jones, a brokerage firm out of St. Louis, said his company cuts bonuses when the alternative is layoffs. “I’ve been asking managers to simply tell folks that they’re appreciated,” Weddle said.
Weddle said being upfront and honest about the situation eliminates the surprise. “Explain how they system works, and they’ll get it. Revenues are down, so variable compensation is down too.”
Paul Amos II, president and COO of Aflac, Columbus, Ga., agreed that honesty is the best policy when cutting bonuses. “Tell [employees] via every means possible. First, look them in the eye and tell them. They may not fully absorb the changes, so you need to follow up in writing. And then third, make sure to give employees a forum to ask you questions about the change,” Amos said.
Weddle and Amos said they also get creative with their incentives. “We do little things like add casual days. We hired the Ringling Bros. circus to perform for our associates,” Weddle said. “We also recognize folks by giving them a day off to volunteer for causes like Habitat for Humanity,” Amos said.
Glass Magazine publisher Nicole Harris asked glass business owners what they were doing about end-of-year and holiday bonuses in her January 2009 Publisher’s Notes. She received varied responses, including one from an owner who was still undecided about 2008 bonuses. “We stopped doing a Christmas bonus and are doing—or were doing—a bonus on profit. I am considering eliminating that this year in an effort to conserve cash. We are fortunate that we still have work and have only reduced our staff by one. In an environment where many people are losing their jobs, I think my employees will be understanding.”
So, what are your bonus plans for employees? Hopefully nothing with macaroni.
—Katy Devlin, commercial glass & metals editor, fabrication co-editor, Glass Magazine
Monday, December 15, 2008
Card Check Bill must be stopped
At the top of their legislative priority list is the Employee Free Choice Act, better known as the Card Check Bill. This bill could have devastating consequences for glass shops nationwide. Even the smallest shops could be affected.
The bill (H.R. 800, S. 1041) is designed to simplify and short-circuit the long-established union-organizing process. Blocked in the Senate in 2007, labor made support of the bill a litmus test for candidates it backed in the recent elections. You can be sure those elected officials will now be called upon to make good on their pledges of support.
The Card Check Bill will substantially change the process for union organizing, giving organized labor an unfair advantage. Currently, if organizers collect signatures from at least 30 percent of employees in a given bargaining unit, an election by secret ballot is held by the National Labor Relations Board to determine whether to certify the union. The secret ballot ensures that workers will not be intimidated into voting one way or the other, either by management or labor.
The new bill would shortcut the process by certifying the union as soon as a majority of signed authorization cards is collected. No secret ballot. No organizing campaign during which employees can weigh all sides of the issue and make an informed decision. Instead, union organizers would be in a position to potentially bully and coerce employees into signing the card on-site.
That’s hardly what we call “free choice,” as the bill’s formal title would have you believe.
Among other objectionable provisions, the bill would increase penalties for employers who violate union organizing laws. Curiously, penalties on unions would not be increased.
Even companies in Right to Work states will be affected by this law, as organizing campaigns would become cheaper and easier to wage.
The NGA strongly opposes the Employee Free Choice Act, and encourages our members to get informed on the issue and its implications for their business. At a time when some of the finest firms are teetering on the brink of insolvency, largely due to the burdensome provisions of their outdated and uncompetitive labor agreements, this is no time for organized labor to expand its reach.
It’s never too early to write your congressmen, asking that they oppose the bill when it is brought forward. You may also wish to write the editor of your local paper to express your concerns with this ill-advised bill that would unfairly tilt the playing field toward organized labor to the detriment of your business and your local economy.
Most importantly, we encourage our members to keep an open line of communication with their employees, listening to their concerns and addressing them promptly and thoroughly. After all, the best way to avoid a successful organizing campaign is to maintain a positive relationship with your workers.
—David Walker, Vice President of Association Services, National Glass Association
Monday, December 8, 2008
What would you do with the Big Three?
The members of the House committee, unwilling to approve taxpayer money to bail out the three, suggested alternatives, including a much smaller emergency transitional amount or a "protected restructuring" under government auspices, according to a Dec. 5 article in The Washington Post.
According to The Post article, in the hearings, Rep. Barney Frank (D-Mass.), the committee chairman, said “a lot of mistakes were made," referring to what he described as poor decisions by the auto industry in the past. "The consequence of all those mistakes is that the country is to some extent held hostage.”
One among those mistakes particularly stands out: GM mocking global warming and stubbornly cranking out SUVs. Should Darwinism prevail: Adapt or die?
The “mistakes” continued even up until a couple of weeks ago. During their first unsuccessful appearance on Capitol Hill, the Big Three head honchos flew in on their corporate jets. In stark contrast, Richard Wagoner, chairman and CEO of General Motors, Alan Mulally, president and CEO of Ford, and Robert Nardelli, chairman and CEO of Chrysler, drove or carpooled hybrid or fuel-cell vehicles from Detroit to the December hearings.
On the same note, Chrysler's corporate Web site now touts the following sentence in large type, in the color--you guessed it--green: "It's not a bailout to keep us from failing. It's a loan to help us succeed."
All said and done, Congressional Democrats and the White House still couldn't reach a consensus on how to handle the urgent request for $34 billion in bridge loans—$7 billion for Chrysler, $9 billion for Ford and $18 billion for GM. Democrats and Republicans continued to disagree on where the money should come from, how much should be paid upfront and what kind of conditions to impose. And even though the news of the worst job losses in the U.S. in 30 years--533,000 in November--added urgency to the Big Three's appeal, it still was not good enough for Congress to reach a decision.
Now, I am not saying that the Big Three should not get any loans; given the job losses and the state of the economy, it's a no-brainer that something needs to be done to help the companies stay afloat. But should they get the money without any strings attached? I'm curious to know your thoughts, especially the auto glass repair and replacement folks out there, whose businesses could be directly/indirectly affected by this decision: What would you do with the Big Three? Would you give them the money unconditionally? Not give them a dime? Or give them a lesser amount with conditions, such as producing fuel-efficient cars and serious restructuring within the companies?
By Sahely Mukerji, news editor/managing editor, Glass Magazine
Monday, December 1, 2008
How are you coping?
Despite the weekend’s good news, economists forecast tough overall market conditions for 2009. According to a Nov. 4 forecast from CNN economists, the recession will continue through the first three months of 2009; the overall economy will shrink about 0.1 percent in the first quarter and then begin to rebound slightly; and unemployment could climb to 7 percent or 8 percent by the end of the year.
How is your company coping with the tough economic environment? Has business slowed? What are you doing to stay on top?
Respond—anonymously, if you prefer—in the comment section of this blog, or e-mail me at kdevlin@glass.org, or Jenni Chase at jchase@glass.org.
—Katy Devlin, commercial glass & metals editor, retail glass co-editor, Glass Magazine
Wednesday, November 19, 2008
How far are you prepared to go?
One film that always works for me is The Untouchables.
In one dramatic scene, Sean Connery (playing a gritty Chicago cop) and Kevin Costner (as Elliot Ness) are meeting in a Catholic church. They're debating how to address the Mafia's recent change in tactics, specifically its willingness to shed blood more liberally to achieve its criminal objectives. In other words, the Mafia had just changed the rules of the game, and the FBI was going to have to adapt to the new reality. Sound familiar? As the scene reaches its climax, Connery's character looks at Elliott Ness and asks, "How far are you prepared to go?"
As you know, the rules of the economic game have changed recently. My, how they've changed!
But if you're like me, you believe every problem has its solution. Now don't misunderstand; I'm not trying to sugarcoat your problems or mine. Indeed, every situation is different. As I've found in discussions with several NGA members, many glass shops are adjusting to their new economic realities by branching out into new segments, and doing quite well. Some are finding tougher sledding.
We here at the NGA are adapting our business model by exploring new market opportunities, improving our service and innovating like never before. For example, we recently announced a strategic alliance with Architectural Testing Inc. to extend our state-of-the-art training programs -- notably http://www.myglassclass.com/ -- to the retail window and door market.
One quality that all successful people share is the willingness to meet challenges head-on. Are you conveying that attitude to your staff? Or are you leaving them to wonder what your plan is...or even if you have a plan at all?
NGA members know it is better to prepare than repair. Whatever segment you serve, you understand that the cost of fixing a job done poorly is high. It can turn a profit into a loss in no time flat. The same lessons apply in our role as managers and leaders.
In short, now is the time for leaders to lead.
Looking for some added support and guidance?
Read John Maxwell's "The 17 Essential Qualities of a Team Player." Ohio State head coach Jim Tressel gave a copy to each member of his staff prior to the season as mandatory reading. I just finished it on my trip out to Vegas for GlassBuild America. Powerful stuff. Much like The Untouchables, it really gets your juices flowing to overcome obstacles.
One last shameless plug. (I know... I know...) Whatever you do, especially if you’re an auto glass retailer, get some added fuel for these challenging times by attending the 2009 NGA Auto Glass Conference and Executive Forum http://glass.org/events/at_ov.htm You'll find a world of great ideas and insights there – on leadership, strategy, technical excellence, you name it. Feb. 18-20 in Orlando.
I’ll even throw in the good weather!
—David Walker, Vice President of Association Services, National Glass Association
Monday, November 17, 2008
Is green glass an enhancement of protective glazing?
The U.S. Green Building Council expects 10 percent of new construction to be green by 2010. And the new president-elect wants 60 percent of new buildings to be carbon neutral by 2030.
With the theme of the symposium “Protective Glazing in a Green World; Sustainability & Protection,” PGC members tried to emphasize that the green movement can go hand-in-hand with security glazing. “Green is an enhancement of protective glazing; they can work together,” Pittman said.
Different presenters also attempted to drive home the same point. “Conflicting requirements for sustainability and security lead to compromises and trade-offs,” said Richard R. Paradis, senior engineer, Steven Winter Associates, Washington, D.C. “Avoid conflict of choosing between sustainable and security goals. Employ a single design strategy to accomplish multiple goals.”
Said Marc LaFrance, technology development manager, Office of Energy Efficiency and Renewable Energy, U.S. Department of Energy: “Protective glazings can be very energy efficient and probably a better opportunity to build efficiency into the higher price premium products.”
In a panel discussion, PGC members asked a GSA representative what they can do to interest more government folks in such meetings. Willie Hirano, engineer, Office of Construction Programs, Public Buildings Service, responded that the funding for security projects is down. “It doesn’t help to just push a security product. We need to see the whole window, not parts and fragments, but all the aspects, energy and security,” he said. Down the road, GSA specifications will probably have coordinated energy and security requirements, he added.
Energy efficiency is taking over terrorism concerns for Building Owners and Managers Association members too, said Ron Burton, another panel member, from BOMA, Washington, D.C. “We’re starting to see that buildings labeled ‘sustainable’ get more rent in the market." Energy use is the second largest expense in a building; first is taxes, he said.
PGC needs to become more involved in government relations and reach out to congressmen and senators to educate them, said Bill Yanek, executive director, PGC International. The organization plans to have a Congressional hearing on protective glazing, probably jointly with AAMA and GANA, in the future, he said. The council also will work more closely with BOMA that has a large political committee.
What’s your take on the green vs. security issue? Can they work hand-in-hand or are they mutually exclusive? Drop me a line and let me know.
Click here to read reports from the PGC Annual Symposium.
By Sahely Mukerji, news editor/managing editor, Glass Magazine
Monday, November 10, 2008
Graduating glasstec
The enormity of it hit me while sitting on the plane headed to Düsseldorf and looking at the floor plan of the show. Nine halls? I was going to cover more than 1,300 exhibitors spread over more than 73,000 square meters of net exhibit space? My panic radar was on red. I tried to collect myself thinking about Nicole’s advance pep talk: “Do the best you can, I know you will, and remember, you can’t cover it all.” Nicole hadn't missed a glasstec in more than a decade, but had to cancel this trip at the last minute due to a family emergency. She knew what I was heading into.
“You can’t cover it all.” Invaluable words, as far as glasstec is concerned. Of course, it didn't hit home until I was at the show. As I walked to the fairgrounds from the tram stop the first morning, I remember thinking to myself, “it’s not that bad that I’ll miss my workout the next few days, because if I walk briskly, this hike will tide me over.”
And then I got to the fairgrounds.
It took me a couple of days to orient myself--yes, I am directionally challenged--and then it was a matter of very precise planning to get to places that I needed to get to and at the time specified. For instance, the press office was nearest to Hall 17 and our booth was at Hall 13--long hike; Glaston’s press conference was in Room 1, Conference Center South, and the Messe press meeting was right after at the press center--short hike; meeting with Lisec folks in Hall 17 and a symposium at Hall 11 right after--long hike.
You get the picture. The walk from the tram stop to the fairgrounds was peanuts in comparison to walking the floors.
Eventually, I bettered my sense of direction and knew exactly--down to seconds--how long it would take to walk from one hall to the other. And once I got that down, I couldn’t get enough of the show. I had a hard time dividing my time between symposiums and booths, choosing one symposium over another, and constantly got distracted by the amazing products on the floor while on my way to a particular booth for a meeting. All my meetings took longer than I estimated, and that’s probably just European. They make you sit, have a drink, chat about various issues that don’t have much to do with glass, and by the time you get to their product, it’s time to rush off to another meeting.
At the end of the day, it was an experience of a lifetime to cover glasstec. The products and the technology were mind-boggling, and all that walking reminded me of good old India. We walk a lot in India, but 14 years in this country, and I have gotten spoiled rotten.
And funny thing, even after walking the halls for five days, I had it in me to walk more in the Altstadt, Königsallee or the Kö, and go for a long stroll along the Rhine, up to the harbor, to watch the night skyline of the city. It was almost as cool as the show, but not quite.
"Cool." Now, is that a word a grown-up would use?
Click here to read glasstec coverage.
By Sahely Mukerji, news editor/managing editor, Glass Magazine
Thursday, November 6, 2008
Top 10 worst things overheard in an auto glass shop
10. I have to use this cheap crap; it’s all the insurance company will pay for.
9. My testing shows the body primer works better on the glass than the glass primer!
8. I don’t think the customer will notice that, do you?
7. The glass shop down the street said they have no problem installing over a little rust.
6. I’ve been installing for seven years, and I never remove cowls and I have never had a leaker.
5. Pinchweld primer? We don’t need no stinkin’ pinchweld primer.
4. I’ll be done in a minute ma’am, and you can drive your car right home!
3. I haven’t had a problem…yet.
2. You had rust on your car, so we couldn’t warranty the installation.
1. A-grass, what’s that?
—By Jenni Chase, senior editor, retail and auto glass, Glass Magazine
Monday, November 3, 2008
After the campaign dust settles
It’s been quite a campaign. And tonight, it will all be over—providing we don’t have a repeat of the hanging chads of 2000. So, what’s next? And, more importantly, how is it going to affect the glass industry?
As the campaign dust settles, the president elect will have an enormous, unenviable job awaiting him. And the decisions the next president makes in the early months of his term will have a huge impact on the country, the world and, yes, even the glass industry.
Earlier this month, Glass Magazine Publisher Nicole Harris posted a blog about the top ten jolts to the glass industry. When the next president takes office, he will have to pay particular attention to Harris’ top three: The decline of the housing market (and now the nonresidential market as well), the corresponding credit and financial crisis and the rise of energy costs.
How will the next president do it? How will he fare? And, how will it affect our industry?
E-mail me, or post your thoughts. And vote, if you haven't already!
—Katy Devlin, commercial glass & metals editor, retail glass co-editor, Glass Magazine
Thursday, October 30, 2008
Wanted: Gen Xers, Millenials, Echo-Boomers…
Despite some assertions that Gen Xers are slackers who view their careers as an “irritant”—at least according to this Missouri Department of Health worksheet—Gen Xers have made many valuable contributions to society. Think YouTube, Google and Amazon, says author Jeff Gordinier in his book, "X Saves the World: How Generation X Got the Shaft But Can Still Keep Everything From Sucking."
The same is true of the glass industry. Previous 30 Under 40 award winners have made strides in customer service, product technology and design, and codes and standards development. And as the 2009 award winners will illustrate, the younger generation still has more to contribute.
However, we do owe much to preceding generations, and it is with that in mind that the editors of Glass Magazine are looking at other award programs to recognize those who don’t fit into the "under 40" category. So, all you Baby Boomers out there, please send your ideas my way at jchase@glass.org.
And to all Glass Magazine readers, please click here to nominate your co-workers and industry associates for Glass Magazine’s 30 Under 40 awards. The deadline for submissions is Nov. 7.
—By Jenni Chase, senior editor, retail and auto glass, Glass Magazine
Saturday, October 25, 2008
We won!
Windshield repair went very well for Jeff and he increased his lead by another point. Going into the last event of windshield replacement, it was pretty obvious that the only competitor with a chance to catch Jeff was the young man from Hungary. But it was not to be. Jeff kept the pressure on. At this time, I’m not sure what the final margin of victory was because our entire delegation started yelling and screaming as soon as Jeff’s first name was announced. We didn’t even wait to hear the last name before we drowned out the announcer. Hungary finished second. Denmark and Japan tied for third.
I swear it was like watching Michael Phelps win eight gold medals all wrapped into one. I had a lump in my throat that nearly choked me as the American flags started waving. Without question, this was the most emotional moment in my 25 years of affiliation with our American glass industry. What a proud day for the United States, the National Glass Association, Glasspro, and the entire Olive family. Jeff and Maehing are a delightful, dynamic couple. We enjoyed every moment we spent with them.
As you might expect, Jeff was gracious in victory. He thanked the NGA, his employer Paul Heinauer and his installation partner Randy Layton. Randy was an absolute eagle eye in noticing the small problems that make all the difference in a competition such as this. Details count – big time!
NGA Chairman of the Board Steve Mort did a fantastic job as a contest judge. Actually, all the judges did a great job. A special thanks to Pim de Ridder, managing director of the International Automotive Glass Federation, who organized a very special, well-run event.
Visit GlassMagazine.com for competition results, photo galleries and more.
—By Leo Cyr, vice president of auto glass, National Glass Association
Tuesday, October 21, 2008
The glasstec supernova also twinkles
This is my first glasstec, and boy, am I wowed. My tiredness disappeared for a bit from all the lights, the people, the buzz and the glam of it all. The nine huge halls showcase gleaming, colorful glass products and mammoth glazing equipment; and there are even glass art, glass jewelry and trinkets to purchase. A giant glass show with a feminine side? Neat.
This year, for the first time art works in glass have been grouped in their own area in Hall 9 on more than 1,000 square meters of space. This is in reaction to the growing interest from international artists. More than 60 artists, including internationally renowned galleries and the glass artists association Glas Kunstlervereinigung NRW, are showcasing their craft at this show.
Today’s opening ceremony had more sparkle in store, literally. It featured Kristalleon performing “Girl from Ipanema.” Think a man in a court jester-like costume made of a shiny silver material with mirror encrusting and a silver Venetian-like mask. He had a tray full of wine glasses filled/half-filled with water and he rubbed those to make music. He reminded me of the man in Alexandria, Va., who does the same most evenings sitting at the water front. Except, the Alexandria man doesn’t wear a sparkly costume.
The shine continues through the show floor, including the amazing glass bridge, a crystal clear, bent bridge in cold-mounted glass with a span of 7 meters. The seele company presents the bridge in cooperation with professor Stefan Behling, University of Stuttgart, and Stefan Peters, Engelsmann Peters Ingenieure, as part of the glass technology live show. The surface of the bridge is clear and is made of individual, 4-millimeter thick bent glass panes, each with total dimensions of only 3.7 centimeters total lamination. At the broadest point, the bridge measures 2 meters; 1.7 tons of glass support a 7.2-ton load over a span width of 7 meters.
My bone tiredness disappeared as I walked around with a gaping mouth, before it hit me back like a ton of bricks around 3 p.m. As I left the trade show to come back to the hotel and catch some z’s, the rain fell and a chilly wind blew. My body had shut down, but my head was still full of the gianormous show with a twinkle in its heart.
Click here to read glasstec coverage.
By Sahely Mukerji, news editor/managing editor, Glass Magazine
Monday, October 20, 2008
Bailout brings sunny days to solar industry
"The subsidies for the solar industry in the bailout create great growth potential for solar in the U.S.,” Brian Lynch, public relations manager, Schott North America, Elmsford, N.Y., said during the Solar Power International expo, Oct. 13-16 in San Diego.
The bailout plan contains $17 billion in energy-related credits, according to an Oct. 8 article from the Miami Herald. “The tax credits for wind and solar were set to expire at the end of this year. The bailout package not only extended them, it enhanced the solar credit. Instead of a 30 percent credit with a cap of $2,000, the credit starting next year will cover 30 percent of however much a homeowner spends,” the Miami Herald’s John Dorschner wrote in the article.
While strong government subsidies have helped the industry flourish throughout Europe, solar power has been too cost-prohibitive for many building and homeowners in the United States. The solar tax credits in the bailout could lead to a solar boom in the U.S. market, says Dirk Vollbrecht, CFO of Ecostream US Inc., West Sacramento, Calif. “The U.S. market will become the largest in the world in the next three years. It’s just going to explode here,” he says.
Read Glass Magazine news coverage from the expo.
—By Katy Devlin, commercial glass and metals editor, retail glass co-editor, Glass Magazine
Wednesday, October 8, 2008
An election to remember
There is a nagging void at a number of levels.
Congressmen seem more focused on toeing the party line and raising money for re-election than on serving their constituencies. Combine that with a lame-duck administration whose leadership must be questioned (you don't know how hard it is for me to admit that!), and most of us are left with a yearning for someone – anyone! – who will inject some sanity into the madness.
The passage of the Wall Street bailout bill was important and necessary; but by no means does it resolve the many issues weighing on our nation.
In just a short three weeks, you and I will cast our ballots for the candidates we choose to lead our nation through one of its most challenging periods.
At roughly the same time, Steve Mort, CEO, Don's Mobile is being elected chairman of the National Glass Association. Among his key priorities, Steve is committed to unifying the various segments of the glass industry during his tenure. As Belron CEO Gary Lubner recently observed in a well-timed video interview, it would be good if our industry united under one banner. Well, you know where this writer’s heart lies. I believe it is safe to say that Steve and I are on the same page, too.
I know most of us are struggling to contend with a historically difficult economic environment; but I urge you not to waiver on your support of, or involvement with, the NGA. I’ve been encouraged by the commitment our members have shown to their association during this tough cycle. Now more than ever, we need all the energy and unity we can muster. Fortunately, the NGA has picked an opportune moment to be at the top of its game.
In the coming year, the NGA will underscore its leadership role with frequent, deliberative communications in a proactive effort to galvanize glass shops of all shapes, sizes and industry segments behind a common goal.
We will collaborate with like-minded groups, as always; but more importantly, expect the NGA to ramp up its commitment to you. That work has already begun with recent improvements to our magazines, MyGlassClass.com, NGA certification, GlassBuild America, the Glass Management Institute, and so much more. But, I’m pleased to say, the best is yet to come!
We should all pray that the same will be said for our nation. I certainly believe that is the case. That’s why I will be exercising my right to vote on Nov. 4; and I hope you will as well. I urge you to encourage your employees to vote as well. After all, our nation is at a critical crossroads. It’s more than the typical cliché to say that this may be the most important election of our lifetimes.
Vote well, my friend. And if you live in Chicago, vote often!
By David Walker, vice president, Association Services, National Glass Association
Tuesday, October 7, 2008
VIDEO Interview: IGE exec sees light at the end of the economic tunnel
“We’re very bullish about the future. We think the glass industry is going to keep growing, and we think IGE is going to keep growing,” Spellman said.
Watch the full interview from the floor of GlassBuild America below. Visit http://www.glassmagazine.com/ for more news from the show.
Thursday, October 2, 2008
Top 10 jolts in the glass industry
The financial shock waves emanating from Wall Street to Main Street had me remembering more than my Great Depression history classes. This year alone, the glass industry has weathered sizeable storms. Unlike David Letterman’s Top 10 list, mine is no laughing matter, but there is an upside.
- The decline of the housing market
- The corresponding credit and financial crisis
- The rise of energy costs
- The tapering of China’s influence
- AGC’s float and coating plant closures; intent to sell fabrication business by year-end
- PPG’s force majeure notice; sale of its automotive OEM and replacement glass services businesses
- Retail auto glass consolidations such as Belron’s purchase of Diamond Glass and Cindy Rowe Auto Glass
- Glass, metal and other price increases
- The specter of a glass shortage?
- The promise of “green” or sustainable glass products and building design
I didn’t list it, but there’s talk of a slow-down in the commercial market; no surprise to industry veterans who have experienced previous business cycles. Meanwhile, does anyone remember a time of such variation in glass price increases? The law of supply and demand—fewer domestic float tanks producing glass, prices up for imported glass—holds true.
Of course, economic downturns also bring new opportunities. Companies trim down, go on sale and focus on products for the future, like solar glass. As I write this, suppliers to the industry are setting up booths at GlassBuild America in Las Vegas. Solar glass is just one of many new products and services on display. The show must go on, sales will be made and nimble, innovative glass companies will prosper.
- By Nicole Harris, publisher, Glass Magazine
Monday, September 29, 2008
VIDEO: IG certification at a glance
IG certification is becoming increasingly important in the industry. The National Fenestration Rating Council, Greenbelt, Md., is currently working to incorporate IG certification requirements into its program. And, the Insulating Glass Certification Council, Sackets Harbor, N.Y., and the Insulating Glass Manufacturers Alliance, Ottawa, Ontario, are nearing completion of a harmonized IGCC/IGMA certification program.
Watch the video below to see highlights of interviews with IG certification experts John Kent, administrative manager for the IGCC; Tracy Rogers, technical director for Edgetech I.G. Inc., Cambridge, Ohio; and Margaret Webb, IGMA executive director.
For even more information, visit the Edgetech I.G. booth, #1934, during GlassBuild America, where Webb, in addition to officials from NFRC and Energy Star, will be available to answer questions about IG certification throughout the show. Learn more.
—By Katy Devlin, commercial glass and metals editor, retail glass co-editor, Glass Magazine
Friday, September 19, 2008
Lessons from the Black Swan
Once I steadied myself, I tried to ponder its full ramifications in the context of the future business outlook.
We're like that. We seek meaning from today so as to better understand tomorrow. As business people, we're always looking for that extra edge to capitalize on market opportunities and reduce our risk.
Well, get this. It's a fruitless exercise. At least if you subscribe to the wisdom of "The Black Swan: The Impact of the Highly Improbable," by Nassam Nicholas Taleb.
The bestseller’s main thesis is that accurate prediction is enormously difficult, rendering techniques used to manage risk flawed because none deals well with the "Black Swan" – a metaphor for high-impact, hard-to-predict, random events.
In many ways, this past week was a Black Swan event. A rare (we hope) confluence of negative developments that produced out-sized consequences. A perfect storm of things we once thought were impossible, but suddenly, shockingly, became all too real.
Taleb’s point is that we don’t plan for events we regard as rare and improbable. And yet, such events occur much more frequently than we dare think.
When a black swan catches us unaware, we simply may need to gulp and brace ourselves, as most of us did a week ago.
After all, most of us have come to believe there will never be another financial collapse like the one that led to the Great Depression. Ha! Still believe that?
Let’s just hope the events of the past week are as close as this generation ever gets to such a seminal event. Indeed, we can hope; but we’d be foolish to assume it won’t be worse next time. Black swans exist.
So, how can we apply the lessons of The Black Swan to our business?
· Adopt a more conservative investment strategy;
· Avoid placing big bets based on forecasts. How often do we hear of bellwether companies revising their earnings outlooks downward? It seems there’s more every week;
· Act like a Boy Scout, not a Pollyanna. Be prepared. The worst case scenario can, and often does, occur.
· Remember that a Black Swan event might change the rules of the game for your business, fundamentally altering your long-term strategy. Don't lull yourself into thinking that once you’ve weathered the storm, everything will soon revert to business as usual. For example, now that the government is so deeply invested in the banking, insurance and mortgage sectors, the markets have only just begun to gauge the long-term implications.
· Be alert to variances from your projected start and end points on a key project or business launch. Understand that others in your value chain, including suppliers and general contractors, are subject to variances of their own. Slower-paying receivables at one end of the chain can quickly cascade down the line, disrupting schedules and compromising your ability to meet your own deadlines.
· Make plans to attend GlassBuild America where the industry gathers Oct. 6-8 to network and buy and sell. Opportunities abound, now that the swan appears to have flown away. I promise!
By the way, if you're looking for a good read on the plane ride out to GlassBuild America, I recommend "The Black Swan." I’ve only scratched the surface of its powerful and provocative insights in this entry.
Looking for some normalcy amongst all the madness? Don't look toward Wrigley Field. The Cubs just might be headed to the World Series. Now there’s a black swan event if we ever saw one!
By David Walker, vice president, Association Services, National Glass Association
Monday, September 15, 2008
Ponderings on pretty panes in pre-Ike Dallas
SentryGlas is a specific technology that uses an inkjet printer to print on to the PVB, Carroll said. The special ink is made by DuPont in conjunction with the makers of the printer. The surface of the SentryGlas PVB is ground differently than regular PVBs, he said. “If it’s too flat, the ink will run off. This PVB is specially prepared for ink adhesion; it allows the ink to stay where you put it.”
The technology allows you to take a picture and recreate it in a special software package. You can make the image larger or smaller. “You can do just about anything with this,” Carroll said. “We’re using Photoshop to maneuver the files.” You can put silk-screen patterns and put it in the PVB instead of the lami. You can pick any color you like. “The advantage is you can do this in different pieces and put them together to make one image,” Carroll said. “We’ve seen people looking into having their names printed on the building. It’s better to print on the interlayer than to silk-screen it on the outside of the glass.”
Berkowitz is a licensed dealer of the DuPont technology and is trying to market it as a Berkowitz/DuPont product. Other than Berkowitz, Pulp Studio in Los Angeles and Standard Bent in Butler, Pa., also are marketing SentryGlas in North America, Carroll said. “We’ve had it for about four months,” he said. “We have just now have begun to make samples and send them out. We’re working with a graphic designer as a contract employee. It’s very time consuming, depending upon how complicated the design is. We’re waiting for the dam to break.”
As the bus pulled into the hotel driveway, the rain drops were coming down big and fast. We jogged inside, and Berkowitz commented that there are no “standards” anymore in decorative glass. Architects want larger sizes and everything is customized, he said. True to the market trends, GANA began its decorative division in 2006. Read about a decorative presentation at the fall conference.
What are some of your hot products waiting to take off in the market? Drop me a line and tell me about projects using innovative and unusual glass.
By Sahely Mukerji, news editor/managing editor, Glass Magazine
Monday, September 8, 2008
‘Live large. Think big’
Uh, excuse me!
The Glass Association of North America is hosting its fall conference in this ninth largest city in the U.S. with an area of 343 square miles and a population of 1,213,825. Per my Web research, Dallas’ skyline features quite a few gleaming towers, several of which are more than 700 feet tall. Here are a few head-turners:
The Renaissance Tower on Elm Street is a 56-story office tower, 886 feet high. Hellmuth, Obata and Kassabaum designed it in 1974, and Skidmore, Owings and Merrill renovated it in 1986.
The Fountain Place on Ross Avenue is a 60-story green glass tower, 720 feet high. The I.M. Pei & Partners designed the building and its construction was completed in 1986. Resembling a large multifaceted prism, the building’s various slanted sides give it a different profile from all directions.
JPJ Architects designed the formerly Maxus Energy Tower, recently renamed KPMG Centre. The glass walls of the rectangular 34-story tower create an illusion and make it look like its toppling over. The illusion is in the glass walls that seem to be sloping inward from top to bottom but in reality are straight. KPMG Centre is linked by a skywalk network to the parking lot.
I.M. Pei & Partners designed the 49-story Energy Plaza skyscraper on Bryan Street. Sheathed in glass the building is based on a design using three triangles. The communications tower at the top of the building is modeled after Paris' Eiffel Tower.
The soaring Reunion Tower, part of the Hyatt Regency Hotel complex on Reunion Boulevard, is a column topped by a geodesic and glass dome complete with an observation tower, restaurant and lounge.
Plenty more such shiny stunners are in Dallas, including the all-glass high-end condo, Azure, which I won’t be able to admire in person given GANA’s packed agenda. I’m still tickled pink to be in Gee Dubya country, right in the middle of those folks who were chanting "Drill baby, drill" at the Republican convention last week, while an ex-mayor made fun of community organizers.
"Community organizer. Wha?" Live large, think big! Yeehaaw.
By Sahely Mukerji, news editor/managing editor, Glass Magazine
Read a report from Day One of the GANA Fall Conference.
Friday, August 29, 2008
Is quality service too much to ask for?
There is a lot of discussion in the glass industry, particularly on the automotive side, about how retailers are stealing business away from their competitors by offering rock-bottom prices. Maybe I’m unusual, but a low price is not the first thing I look for in a service provider. I want prompt, quality service; I want friendly CSRs; I want a company to give me a reason, other than price, to use its products and services.
At Creative Mirror & Shower in Addison, Ill., that reason is the highly qualified staff. “We feel that product knowledge is a massive advantage for us,” explained President Mark Pritikin in an interview for the “Showrooms as sales tools” article in the upcoming October issue of Glass Magazine. “When you come into our stores, you talk with knowledgeable people.”
What reason do you offer customers to frequent your shop? If the answer is price, you might be in trouble. If it’s something more powerful, I’d love to include it in our ongoing “Poker Play” series on how retailers can improve their businesses. Please email me at jchase@glass.org. Help me out: Is quality service really too much to ask for?
—By Jenni Chase, senior editor, retail and auto glass, Glass Magazine
Monday, August 25, 2008
Stand up to scammers
I received an e-mail last week from Chris Thornton, president of Ace Glass Inc., Montgomery, Ala., saying his shop had been targeted by scammers. After several emails back and forth, Thornton identified the fraud and stopped the order before the company lost any money. Many shops have not been so lucky.
For several years, scammers have targeted the glass industry with fraudulent orders that could cost a company thousands of dollars if not caught in time. And, there is little or no protection for companies once they have been scammed.
“The main thing to get this stopped is education within glass companies. Recognize the patterns,” David Furlong, investigator for the Utah Division of Consumer Protection said in a September 2007 e-glass weekly article.
To help glass shop owners keep up with frauds and scamming techniques, we have created a Scam alert page on GlassMagazine.com. The page contains a list of the red flags for fraud, links to related scam articles and copies of fraudulent orders sent to glass shops.
E-mail me at kdevlin@glass.org to submit your information to the Scam alert page.
—By Katy Devlin, commercial glass and metals editor, retail glass co-editor, Glass Magazine
Monday, August 4, 2008
Summer musings: sea glass and tipping points
For example, the other day I spotted a piece of sea glass. Yes, sea glass.
You know, those irregular shards of glass that, after years of pounding and molding by the ocean, eventually wear into smooth collectibles. Indeed, one man’s trash truly becomes another’s treasure.
Time does just that. It changes the mix and shape of things. And much like shards of glass cast about by the sea, businesses are shaped and buffeted by the relentless forces that surround them. Change is inevitable.
I recently watched a video interview in which a leading industry CEO proclaimed that the auto glass industry is in crisis. He went on to make a number of poignant observations that, no doubt, can all lead to such a dramatic conclusion.
So while I hesitate to disagree with such a notable senior executive – whose experience and knowledge of the industry dwarfs my own – I’d like to offer a slightly different take: The auto glass industry is not so much in crisis as it is facing a "tipping point."
You know well the immovable forces shaping your business:
· Shrinking insurance reimbursements, which now force you to work with
two penny-pinching customers: Joe Consumer and Mega Insurance Co.
· Networks
· Unstable pricing
· Tighter margins
· Competition from other market segments
· Mergers and consolidations
· And sadly, in many cases, outright business closings
While all of the above might reasonably be classified as presenting a “crisis,” I believe these transformative developments are simply accelerating a natural weeding-out of winners and losers.
Which brings me back to my summer reading. You won’t be surprised to learn that I just finished a terrific read called, drumroll please ... "The Tipping Point: How Little Things Can Make a Big Difference" by Malcolm Gladwell.
Gladwell defines tipping points as “the levels at which the momentum for change becomes unstoppable.”
He discusses how messages and behaviors spread like viruses, starting as a series of small movements. They cut through the clutter, and eventually stick, creating a new context to which the winners will adapt. Those who are unable or unwilling to adjust lose.
In my travels, I have visited a number of successful auto glass companies. These firms are adapting to the changes that envelope them. They are winning, not just with hard work and persistence – traits that always define winners.
They are rising above the competition with superior quality (supported by a commitment to employee training) and best-in-class marketing. (Shameless, but relevant, plug: You can see many of these companies at the National Auto Glass Conference next February in Orlando.)
Here’s a question to ponder: Are you facing a tipping point? If so, you’re not alone. It’s time to invest in the things that can push you into the winners’ category. Quality … top-notch marketing … training …
While you’re at it, you may want to pick up "The Tipping Point: How Little Things Can Make a Difference." After all, it’s the summer!
Thursday, July 31, 2008
Commercial glaziers need to get involved in CMA
Greetings from my hometown of Chicago.
Attended the Cubs game Sunday, where Notre Dame football star Jeff Samardzija added some much-needed energy by tossing two flawless innings in relief in his first big league save. Must've known I was in town for some type of meeting on the topic of energy.
Oh yeah ... the reason I'm here ... energy efficiency ... windows ... the Component Modeling Approach (CMA).
My first meeting representing the NGA as a newly minted member of the NFRC.
I'm impressed. Tech guys from leading companies fill the room. The best in the biz, living out their passion. And the forum is democratic too!
Chicago provides a great background, with some of the greatest architecture on the planet. A distinct blend of the old and new. Heck ... they even chose part of this skyline as the setting for Gotham City in the latest Batman movie (aka the Chicago Tribune Building).
An observation from a homie returning after several years: the brick guys have left town. Glass is the standard feature gracing these buildings. The architectural flair of the Finnish designers really shines through. Am I back in Tampere, Finland?
But I digress ... I was drawn here by the Component Modeling Approach, in all its glory. I find that those who stand to benefit most from the CMA run the show. Most here are apathetic to the issue, or just plain absent. Some actually fall asleep! Insulated glass issues get more play.
Get this: Only 8 percent of the active voices in the audience on the CMA are commercial glaziers -- the specific group it affects! That means 92 percent of those making decisions and voting -- or simply abstaining -- have no dog in this hunt. Hello ... Majority rules on this one, and a whole bunch of unsuspecting glazers are about to get massacred.
Let's get involved!
Like I said earlier, the NFRC is comprised of some of the most talented pros in the business. They’re passionate about glass. And the staff at the NFRC is terrific. So this isn’t personal.
It’s business. It’s about economic winners and losers. And those who are asleep at the wheel can expect to wake up in a big mess on the side of the road.
Speaking of sleeping, while energy effiency rules the day at this meeting, I remain in awe of how quiet my hotel room is, despite facing one of the busiest streets in America: Michigan Avenue -- The Magnificent Mile. Of course, this moment of peace is sponsored by the glass industry! Fabulous windows ... great spacers ... professional framing, etc.
Yet another overlooked benefit of today’s glass: peace and quiet. Ah ... That’s why they call this a "luxury" hotel. (Even the auto guys that defined the word luxury would be proud).
Just wish there was a bit more noise here from the commercial folks.
They sure don't want to wake up one morning and find that their work just got a lot more expensive, thanks to the CMA. Would be a shame for the brick guys to be re-invited to the party. And we all know what that means ...
—By David W. Walker, vice president of Association Services, National Glass Association
Sunday, July 27, 2008
In the city of Al Capone, Pizzeria Uno and a presidential hopeful
Times have changed. I can vote now and am in the Democratic presidential nominee’s city, staying at the Conrad on the Magnificent Mile, thanks to NFRC and its summer meeting.
I am privileged.
My flight from Dulles to O’Hare was uneventful except for a tiny surprise in the Sky Mall catalogue. Along with tear stain removers for dogs and laser combs that “promote hair growth,” Sky Mall is selling “Energy films” that “lower utility bills up to 18 percent” and “repels solar heat in summer and retains interior heat in winter … also blocks 97 percent of UV rays.” They are cheap too: 24-inch-by-48-inch for $19.95, 36-inch-by-48-inch for $28.95 and 48-inch-by-84-inch for $38.95. Go to skymall.com and enter item number 82685G.
Once in Chicago, I took the airport shuttle to the hotel because the Metro blue line was closed for construction. The driver was particularly chatty, and the beautiful and long drive through the city tantamounted to a sightseeing tour. The city of no-cell-phone-while-driving, famous for Wrigley Field and Buckingham Fountain, features some of the tallest buildings in the world: Sears Tower, Aon Center, John Hancock Center, Trump International Hotel and Tower, and the under-construction Chicago Spire designed by Calatrava. Other beautiful glass architecture in the city includes the 111 S. Wacker Drive, and developments such as the new east side sheathed in aqua glass. Soaring above the Chicago river and the Magnificent Mile, Trump's new tower is 92 stories high or 1,362 feet, enclosed in high quality reflective glass, and designed by Skidmore, Owings, and Merrill. Calatrava’s Spire, the seven-sided glass tower, tapers and twists up 2,000 feet above a public plaza. When completed it will be the tallest building in North America. The 3-million-square-foot structure will contain 1,200 condominiums and aims for LEED Gold certification.
I am not sure if I’ll get a chance to see these amazing buildings up close and personal given the packed meeting agenda but, hey, at least I have the choice.
By Sahely Mukerji, news editor, managing editor, Glass Magazine
Tuesday, July 22, 2008
GlassMagazine.com grows up
I’m glad to see you’ve made a stop at GlassMagazine.com. It looks different, doesn’t it?
I’m sure you’ve all watched one of those TV shows in which a new baby arrives to liven things up and add plot twists. Then you tune in next season, and that child is already in elementary school.
That’s the sense I hope you get with our new Web site.
The new site has grown considerably overnight, is livelier and certainly has a few new “twists.”
The previous site launched years ago and hadn’t “matured” much during the years as Internet usage expanded and Web technology increased exponentially. Now, we feel our site has caught up.
The first thing you might notice is that the site is divided into segments to mirror the magazine: Commercial, Retail and Auto. The site also has a Fabrication segment since that process touches all areas of the glass industry.
I’m sure frequent users are happy to see GM.com now has a Search box. You can make a full-text search on content back to 2004. We’ve also created filters within the segments to search by issue or by topics such as machinery. In the Auto segment, the “how to” filter includes hundreds of installations, the oldest going back to 1957.
The site has RSS feeds available for articles, news and products. When you subscribe to a feed, it is added to the Common Feed List. Updated information from the feed is automatically downloaded to your computer. So, whenever something new in those categories is added to the site, you’ll be alerted. For those who are curious, RSS stands for Real Simple Syndication.
The Most Clicked area needs no explanation. It is the place where your favorite stories will be displayed.
I’m sure we’ll be experiencing growing pains during the next few days and weeks. Please bear with us and we’ll be adding other features as we “mature.”
Now it’s your chance to be a critic. Send an e-mail to mslovick@glass.org to let me know what you like or dislike, or if you have any questions.
Matt Slovick, editor in chief, Glass Magazine
Confessions of a would-be glass addict
Ever since I started interning at the NGA, it’s hard for me not to notice glass.
I never really paid attention to it before, but I definitely notice it now, something that Matt Slovick and I have in common.
On my first day here I sat down with Matt and he told me that he didn’t know much about glass before he started working here either and he never really paid attention to it, but now notices it all the time. He pointed out the apparent lack of glazing on his office windows (the sun really heats them up making a lot of offices in our building very toasty, especially when the A/C is on the fritz).
I interned for a trade publication last summer, Building Products, and I have some knowledge of the construction industry--my parents own a small, general contracting firm in Baltimore--but I never noticed how important glass is to every kind of building, from single family homes to skyscrapers.
I wanted to intern at Glass Magazine to gain more experience working in the trade publication field. Because I knew nothing about glass beforehand I thought this would be a good opportunity to learn more about an industry I was completely unfamiliar with.
I go to the University of Maryland in College Park, but I’m from Baltimore so I spend a lot of time driving up and down I-95. I sometimes zone out and go on mental cruise control during the drive and don’t pay attention to my surroundings (don’t tell my parents). There are a couple of buildings that always make me snap back to reality though. These buildings held no significance for me before except that spotting them meant I was only a few minutes away from my exit and campus. But now when I see them I notice a common element: they’re all made of glass!
As part of my daily duties I research news in the glass industry. I come across a lot of articles with accompanying pictures about new buildings and homes that use glass extensively. Here are a few of my favorites:
- http://www.smh.com.au/news/house--home/from-terrigal-to-eternity/2008/06/04/1212258868867.html
- http://www.dailymail.co.uk/news/article-1027956/First-picture-4billion-glass-tower-save--dwarf--Battersea-Power-Station.html
- http://www.latimes.com/features/home/la-hm-upstairs3-2008jul03,0,6611220.story http://abclocal.go.com/wpvi/story?section=news/local&id=6192815
I’ve learned a lot about the glass industry after just two months at the NGA. I’ve picked up on the language used around here and words like “low-E” and “curtain wall” don’t sound foreign anymore.
After I finish up my internship and resume classes in September I’ll take a second look at the glass used in buildings on campus. The university just broke ground on the new journalism building, Knight Hall. I wonder what the glass will look like … http://www.knighthall.umd.edu/
Monday, July 14, 2008
America's smallest retail glass shop
Nestled in the foothills of the Rocky Mountains, Colorado’s “Tiny Town” boasts the oldest kid-size village and railroad in the United States. How does this relate to retail glass? Well, like a typical small town, Tiny Town features a grocery store, a library, an auto repair center and … a retail glass shop. That’s right. Tiny Town’s Gump Glass, pictured here, offers tabletops, mirrors and auto glass, among other products and services.
With the inclusion of Gump Glass, the creators of Tiny Town make an important point: The retail glass shop is an essential part of any community. The editors at Glass Magazine agree, which is why we’re dedicating an entire section in each issue of the new Glass Magazine to glass retailers. In the July/August 2008 issue, set to hit your mailbox the end of the month, you’ll find information on the latest trends in decorative bath enclosures, advice on how to hire the right people and step-by-step instructions for handling glass cases. If you’re a combo shop, check out the auto glass section as well, where you’ll find installation instructions, technical tips and other information.
And we’re just getting started. Retail glass shops are as diverse as the communities they serve, and we want to hear from you about the types of articles you’d like to see in upcoming issues. Please share your ideas!
Monday, July 7, 2008
Atlantis has PPG glass, Chihuly sculptures
A week before I left for vacation, Rob Struble, manager of business communications, growth initiatives and performance glazings for PPG Industries, stopped by the office.
I mentioned I was taking my daughters to the Atlantis resort in the Bahamas, and he said: “We did the glass.”
This photo from its Web site shows the PPG IdeaScapes China Azuria Spectrally Selective Glass on the Royal Towers, where I stayed. The small area connecting the Royal Towers appears to be a walkway. However, it’s the 10-room Atlantis Bridge Suite that goes for $25,000 a night.
CNN.com reports the suite was a staff of seven, including butlers, cooks and maids. The article says guests have included Michael Jackson, Oprah Winfrey, Celine Dion, Michael Jordan, Bill Gates and Donald Trump, although it is most frequently occupied by Saudi sheikhs or high-rolling businessmen visiting the largest casino in the Caribbean.
And what better way to enhance the casino than with glass sculptures from renowned artist Dale Chihuly. The resort is based on the mythical sunken continent of Atlantis. Chihuly created the Temple of the Sun and Temple of the Moon for inside the casino and Crystal Gate for the entrance. Chihuly’s Web site says he used new forms and glassblowing techniques developed specially for the entrance project. The owner, South-African entrepreneur Sol Kerzner, was so pleased with the first three creations, he commissioned a chandelier as well.
A quick review of Atlantis: a great resort but extremely expensive. If you plan on eating at the resort, buy the meal plan. And bring your own sunscreen. I saw someone buy four spray-on bottles for $99.
Monday, June 30, 2008
Welcome to the days of air-travel pains
During a 10-day stretch this month, I took seven flights, maneuvered throughout five airports, dealt with one lost bag*, faced one cancelled flight and spent one night in the Atlanta airport (I recommend Terminal C. The lack of the armrests on the seat rows makes for a surprisingly comfortable make-shift bed). I also traveled on completely full flights and paid noticeably more for my tickets.
During my ample hours of airport meditation time, I contemplated the cause of my uncharacteristic travel woes. I shifted away from the ever-so-tempting urge to blame my annoying waits and detours on the airlines. Rather, I placed blame much more accurately on rising fuel prices (plus a little bit of unpredictable summer weather and a pinch of bad luck).
The airlines are struggling, and it seems the days of empty flights, cheap tickets and free perks have ended.
Fuel costs directly influence fares. Currently, about 40 percent of an air fare goes to paying for fuel, up from 15 percent in 2000, according to a June 13 Reuters article. Domestic tickets cost 6.8 percent more per mile compared to last year, according to a June 20 MarketWatch article. United, American and Delta have increased domestic fares by up to $60, and even discount carrier AirTran upped fares by $30, according to a June 17 CNN.com article.
To cut costs, many of the major airlines are reducing flights. Delta, for one, is cutting capacity by 13 percent, according to a June 19 New York Times article. Fewer flights mean less travel flexibility—likely the reason why I was forced to take two 6 a.m. flights in this most recent travel spree, despite a personal promise never to fly before brunch-time. Limited flights also mean that missing a connection could become an even-more annoying adventure, as the time until the next available flight is certainly increased, and perhaps overnight. And, fewer flights mean crowded planes creating less space for carry-ons (and beware about checking a bag, because you’ll soon have to pay for that as well), longer boarding and de-boarding waits, and no empty seats, which sadly means no more lay-down midflight naps.
So, what’s a traveler to do in these tough travel times? I recommend booking early, packing light and buying a neck pillow. Oh, and come with ample patience, and avoid blaming the airlines and their personnel** for your travel pains unless it really is their fault (and even then, try to be nice about it).
*Did you know that you can buy items from unclaimed baggage? Check out the Unclaimed Baggage Center in Scottsboro, Ala. They buy truckloads of unclaimed baggage and flip it—thankfully my baggage is not included in their unique wares, as it was returned to me after a brief journey to Puerto Rico.
**I was on a plane in taxi at Washington Reagan three weeks ago right as a thunderstorm started to roll through. As sideline rain obstructed our view of the constant lightening flashes all around, and strong winds shook the plane as it sat on the ground, a fellow passenger in front of me became livid and berated the flight attendant about missing his connection on the other end. Really?
Monday, June 23, 2008
The NFRC freight train’s a comin’. Are you ready?
In the next 18 months, the commercial rating program from the National Fenestration Rating Council, Greenbelt, Md., should be complete, according to NFRC’s technical services manager, Ray McGowan, who delivered a presentation about the program during the BEST Conference in Minneapolis.
Some industry leaders involved in the CMA development process say the program is a “freight train coming,” despite strong opposition from manufacturers, glaziers and industry organizations, including the NGA. They say not even the anti-NFRC group that has recently formed will be able to do much to block the program at this point, particularly since NFRC has a green light from the U.S. Department of Energy.
So, are you ready?
Sure the much-contested program, called the Component Modeling Approach, or CMA, could receive almost no market acceptance and follow a fate similar to NFRC’s Site-Built program, its first attempt at commercial system ratings. However, California and Seattle are poised to become early adopters of the program, and some industry representatives say other jurisdictions will likely follow suit, making CMA part of the codes.
For contract glaziers, this would mean you would likely be placed in the role of specifying authority, or responsible party, for executing the rating program on specific projects. (“It’s not definitive, but it’s more than likely [contract glaziers] probably will be the ones doing it,” McGowan said during his BEST presentation). Are you ready to sign the licensing agreement with NFRC, pay for licensing and the label certificate, and hold liable for the ratings?
For manufacturers, this would mean you will have to pay to have an approved calculation entity rate your products (although manufacturers do have an option to have their own ACEs) and cover the costs for an inspection agency to monitor those ratings. And, you would have to pay to place products in a database. Are you ready to cover those costs, and to incorporate those steps into your processes?
I won’t try to predict what’s going to happen in the next 18 months and beyond. However, I trust the industry experts who say it is coming whether the industry is ready for it or not, and companies should prepare. Learn more about CMA in a detailed October 2007 article from Glass Magazine. And it’s still not too late to get involved and get your voice heard. NFRC’s Summer Meeting takes place July 28-31 in Chicago.
Please feel free to email me with questions about the program. I’m not sure I have the answers, but I can certainly point you in the right direction.