3 ms·

Setting aside the bonus/entitlement/tirade/apology part of this story, the basic issue in this business is not hard to see for anyone on the outside. People ar

Setting aside the bonus/entitlement/tirade/apology part of this story, the basic issue in this business is not hard to see for anyone on the outside. People are going into the office less and businesses are cutting staff. That means less need for office furniture. That's the structural backdrop this business is in. As CEO it's your job to figure out a business strategy against this backdrop. If people are not selling product it could be (a) The sales peoples' fault for sucking at their job/not having enough morale so they need your "rallying cry" or (probably) (b) your fault for keeping the business making only things that people don't really need right now. I mean there still are people making and selling buggy whips but it's a heck of a lot more niche of an industry than it was 200 years ago and if you were CEO of a buggy whip manufacturer, ripping into your sales people and saying "Stop living in pity city and get out there and sell more goddamn buggy whips!" isn't going to solve your business problems.

jfengel 4y ago
I could only find one manufacturer actually making whips specifically for horse buggies. https://uswhip.com/our-products/buggy-whip/ https://uswhip.com/our-products/buggy-whip/ You don't actually need a whip to drive a buggy. You use the reins, and some voice commands. If you use a whip, you're probably bad at it. This whip is specific for racing, where you do need to communicate with more than just the reins. But if you're Amish, or driving tourists around Central Park, you almost certainly do not want a whip. There are still many other whips for equine sports, and for herding. But buggy whips are perhaps an even narrower niche than you might expect. They were always rare, even when buggies were a practical way to get around.
jameshart 4y ago
People are not going in to offices but they are still sitting at desks. My company might have bought less office furniture in the last couple of years but my household office furniture purchases are WAY up.
- perryizgr8 4y ago
  True but there's a difference. When I used to go to office my desk had a top of the line ₹50,000 chair. I'd never pay more than ₹10,000 for a chair at home.
  - Firmwarrior 4y ago
    (Off topic) Oh man, I highlighted that monetary amount and my iPhone automatically converted it into $121 USD in the little popup menu
- Hamuko 4y ago
  Unfortunately our remote work budgets got slashed too, so I'm definitely not in market for a Herman Miller Aeron (>2000€ chair).
- paxys 4y ago
  Yup, but 3+ years into WFH none of these big office furniture companies has put even an ounce of effort into rebranding and serving the home market. No one is buying a $1700 chair for their home office. I don't need a sales rep to sell me a deal. "Adapt or die" is a constant in business, and this one clearly didn't do a good job at the former.
  - switchbak 4y ago
    I actually own a Knoll chair (the company mentioned in the article) and it's fantastic!
  - jwestbury 4y ago
    > No one is buying a $1700 chair for their home office. I bought a $1200 Steelcase chair for my home office. Well, "bought." I expensed it back to my employer, who gave me a budget for this. Perhaps that's where Herman Miller should be focusing -- show companies that reinvesting some of their office furniture budget into employees' home offices has a significant benefit to employee productivity (because employees will actually be able to sit at their desks for a reasonable amount of time). It's one thought amongst many.
drewcoo 4y ago
Yet there are all those companies who are paying to outfit home offices . . . So in addition to all those existing chairs, they can sell a whole new set of chairs to almost everyone. Ca-ching! This is not a business crisis. If they're not making money hand over fist, it is a horrible management mis-step. And the rank and file are paying for it, not management.
- seanhunter 4y ago
  Exactly. There is a strategic opportunity here. Maybe you produce a new line of affordable home-office furniture for people to buy for themselves and have deals which are attractive for companies to buy for staff to work at home. Or you make a thing where the company puts some budget and general rules in and the site lets each staff member choose what office furniture (subject to the rules and budget) suits them or something. Idk I've never given the furniture business much thought. It sure looks more like a CEO/strategy problem than a sales problem though.

jfengel 4y ago

I could only find one manufacturer actually making whips specifically for horse buggies. https://uswhip.com/our-products/buggy-whip/ https://uswhip.com/our-products/buggy-whip/ You don't actually need a whip to drive a buggy. You use the reins, and some voice commands. If you use a whip, you're probably bad at it. This whip is specific for racing, where you do need to communicate with more than just the reins. But if you're Amish, or driving tourists around Central Park, you almost certainly do not want a whip. There are still many other whips for equine sports, and for herding. But buggy whips are perhaps an even narrower niche than you might expect. They were always rare, even when buggies were a practical way to get around.

jameshart 4y ago

People are not going in to offices but they are still sitting at desks. My company might have bought less office furniture in the last couple of years but my household office furniture purchases are WAY up.

perryizgr8 4y ago
True but there's a difference. When I used to go to office my desk had a top of the line ₹50,000 chair. I'd never pay more than ₹10,000 for a chair at home.
- Firmwarrior 4y ago
  (Off topic) Oh man, I highlighted that monetary amount and my iPhone automatically converted it into $121 USD in the little popup menu
Hamuko 4y ago
Unfortunately our remote work budgets got slashed too, so I'm definitely not in market for a Herman Miller Aeron (>2000€ chair).
paxys 4y ago
Yup, but 3+ years into WFH none of these big office furniture companies has put even an ounce of effort into rebranding and serving the home market. No one is buying a $1700 chair for their home office. I don't need a sales rep to sell me a deal. "Adapt or die" is a constant in business, and this one clearly didn't do a good job at the former.
- switchbak 4y ago
  I actually own a Knoll chair (the company mentioned in the article) and it's fantastic!
- jwestbury 4y ago
  > No one is buying a $1700 chair for their home office. I bought a $1200 Steelcase chair for my home office. Well, "bought." I expensed it back to my employer, who gave me a budget for this. Perhaps that's where Herman Miller should be focusing -- show companies that reinvesting some of their office furniture budget into employees' home offices has a significant benefit to employee productivity (because employees will actually be able to sit at their desks for a reasonable amount of time). It's one thought amongst many.

drewcoo 4y ago

Yet there are all those companies who are paying to outfit home offices . . . So in addition to all those existing chairs, they can sell a whole new set of chairs to almost everyone. Ca-ching! This is not a business crisis. If they're not making money hand over fist, it is a horrible management mis-step. And the rank and file are paying for it, not management.

seanhunter 4y ago
Exactly. There is a strategic opportunity here. Maybe you produce a new line of affordable home-office furniture for people to buy for themselves and have deals which are attractive for companies to buy for staff to work at home. Or you make a thing where the company puts some budget and general rules in and the site lets each staff member choose what office furniture (subject to the rules and budget) suits them or something. Idk I've never given the furniture business much thought. It sure looks more like a CEO/strategy problem than a sales problem though.