Foodservice Equipment & Supplies

MAY 2015

Foodservice Equipment & Supplies magazines is an industry resource connecting foodservice operators, equipment and supplies manufacturers and dealers, and facility design consultants.

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MAY 2015 • FOODSERVICE EQUIPMENT & SUPPLIES • 43 Another key piece of the corpo- rate puzzle is 11400. Formed in 2008, 11400 is the part of Clark Associates that handles bid work, namely public money jobs such as school, hospital and military foodservice projects. "We branded this part of the business dif- ferently to say this is a different situ- ation and to differentiate the market segment," says Jim Stephens, president of 11400. Prior to joining Clark Associates, Stephens worked as an electrical contractor, so he came to the role with frst-hand knowledge of how challenging this type of business can be. "We think of ourselves as a con- struction company, not a dealer. So we think differently," he says. "We don't play games and are not afraid to say this is our price." Offcially, 11400 has 10 employ- ees spanning offces in Sarasota, Fla.; Charlotte, N.C.; and Lancaster, Pa. But this division draws support from Clark's formidable array of central ser- vices (more on them later) to remain lean. And by focusing only on those projects that fall into its scope of ser- vices 11400 continues to thrive. "We get the advantages of a big company but can remain small and nimble," Stephens says. "More people fail by going outside what makes them good in the name of growth." In addition, like a construction business, 11400 carries no real inven- tory and is mostly a cash business. Stephens measures the success of 11400 by looking at the number of jobs the division wins and its receivables. "Most construction company failures have nothing to do with proftability. It's how you manage the cash," Ste- phens says. "You can't get bigger than the market will allow you to grow." Clark Associates' 11400 business unit follows the cycles of the construc- tion business. And, like the construc- tion industry, the 11400 business can be very aggressive and price sensitive. "To get the job you have to be the low guy," Stephens says. "But I want people to come to us because they know we can handle the construction side of the business." This includes handling such aspects of the job as scheduling, utilities, understanding how to work within construction practices and more. "We view our customers as being the general managers, contrac- tors or, in a larger sense, the school district," Stephens says. Central Business Services Serving as pillars of support for those individual business units is a cadre of central business services. "When you look at the common denomina- tor between those three distribution channels, they require basic support services that don't change much from one to another. This includes accounting, payroll and so forth," Fred Clark says. "Consolidating those services keeps the costs down for the individual units. As a result, we can afford to hire some of the best people in their felds because we can spread those costs across those different channels. When you take account- ing or even employee benefts off the plates of our unit presidents or managers they have so much more time to focus on their channels." One key centralized business service is purchasing, which Rachael Weaver leads. Weaver came to Clark eight years ago, right out of college, at nearby Millersville University where she studied supply chain management. Weaver went through seven interviews at Clark Associates, including two with Fred Clark, before fnally getting the job. "I had a passion for products and wanted to be in purchasing but I had no idea what I was getting into," she recalls with a laugh. Weaver started as the counter- top equipment buyer. "Fred took me under his wing," she says. "He met with me every Tuesday for two years. I would come with whatever I could to impress him." Her approach The number of locations Clark Associates operates in eight states. 130,000 The number of items stocked and available for sale through any Clark Associates distribution channel. 1.5 million Amount of warehouse space measured in square feet. Percent of the company's business from restaurant chains. The number of Certifed Foodservice Professionals on staff at Clark Associates. 7,000 The number of solar panels on Clark roofs generating 1.6 megawatts of power to run the business. 15 4 44 CLARK ASSOCIATES BY THE NUMBERS SALES GROWTH 2011 2012 2013 2014 $158,500,000 $238,600,000 $326,800,000 $444,500,000

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