NAPA, CA—Building supply company, Central Valley, recently appointed Bill Robertson as chief financial officer. Prior to joining Central Valley, he held a number of executive positions, including chief financial officer and treasurer of Orchard Supply Hardware.
In this exclusive, Robertson discussed his goals for the position, the issues at play in the building industry and how Napa is doing after the fire.
GlobeSt.com: What are your goals for the new position?
Robertson: I was looking for a reputable company with a strong brand that was looking to move to its next stage of growth. One of my areas of expertise has been ensuring that organizations have the proper administrative infrastructure, such as systems, processes and financial resources in place to be able to scale and support a growing business. Additionally, the company adopted a new enterprise resource planning/ERP system a year ago, and as with all new implementations, there were some growing pains. The company is through those now, so my focus will be on rolling out enhanced functionality, continuing to automate processes across the organization and introducing new tools to improve cross functional collaboration throughout the business.
Clearly, the CFO in me is also looking for opportunities to improve operating margins. Building and developing metrics, and better utilizing analytics to identify opportunities within the business to grow sales and improve margins will be an area that will be a particular focus of mine. Ensuring our operating managers have access and visibility to the right data to serve our customers better, and make well-informed business decisions on a daily basis is a key part of that.
GlobeSt.com: How is the building materials industry changing, almost daily?
Robertson: I think the challenge, especially for California, is labor. What we hear from our customers is that they will grow if they can get more people. So this is a limiting factor challenging Central Valley's growth. From a CFO perspective, I'm looking to see how our industry adapts and innovates with technology as it becomes more present in our industry.
GlobeSt.com: To what do you attribute the growth of the industry?
Robertson: Easy, sound fundamentals. Job growth, low interest rates, population growth in California. It all adds to a sound foundation. That's one of the reasons I'm excited to join Central Valley. With that said, there are challenges. Key among them is regulation and the high cost of housing. We are concerned about the industry's ability to grow more because California is in dire need of housing. Through the North State Building Industry Association, which is a leading advocacy group comprised of builders and suppliers, we're advocating for the homebuilding industry–trying to get public policies that promote a healthy building climate. Our CEO Steve Patterson was a past president of the West Coast Lumber and Building Material Association, which is comprised of large dealers, and is focused on legislative and regulatory issues. For an independent dealer like Central Valley, these industry issues are critical. Independent dealers are the backbone of the construction industry–for new and existing housing stock. If the construction industry coughs, we catch a cold. Keeping the housing industry vibrant is job number one.
As an aside, the issue of affordable housing is also one that touches our employees and our customer's employees. That's why Central Valley donates 2% of its profits to help build strong families and affordable housing. It's that big of an issue.
GlobeSt.com: What trends are you seeing that are especially of note in the current environment?
Robertson: There is a high focus on productivity and that can come in a number of forms. Getting more out of your existing ERP system, examining alternative technologies and looking at manufacturing. The need to figure out how to incorporate the next generation of people into the business is also a critical issue–especially millennials, and help them understand it's a great opportunity for growth, development and it's a great option as a career–this is critical. A lot of businesses are trying to figure out how to accomplish that.
GlobeSt.com: How is Napa doing after the horrible firestorm?
Robertson: Napa seems to have fared fairly well, compared to Santa Rosa. It was certainly a scary moment that affected many, including some of our employees, very deeply. Central Valley supports our communities. We did some things that were very public and some others that were not so public. Some of the more public efforts we undertook were donating the profits from our St. Helena and Napa stores for two days to a charity that is at the forefront of community-based efforts for those in need as a result of the fire. We also partnered with Ariat International, one of our suppliers, to help distribute apparel and footwear in Petaluma and Santa Rosa to those who had their homes destroyed by the fire. We had over 1,000 pairs of boots, and close to 1,000 apparel items on hand to be distributed. The North Bay communities affected are now in the recovery mode, which will take some time. Central Valley's contribution will not end here. We will continue to seek opportunities as time progresses.
GlobeSt.com: Anything that you would like readers to know about the company and its plans?
Robertson: I am proud of being part of a multi-generational family business. We plan on growing into the future. We have some very concrete plans and are looking for expansion opportunities as we speak. Central Valley operates five locations including two production yards in the San Francisco and Sacramento areas. We have reinvigorated the brand and are now very focused on helping the customer get what they want, when they want it and making it simple.
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