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HPmag | Magazine | Summer 2005 | Industry Profile

industry profile

Focus of Attention
In its first interview, QMI explains why it concentrates on rolling shutters.


Hp: Please give a detailed description of your company and its history.
Steve Miller:
In 1986 we were looking for a small, low-tech manufacturing company to purchase that could grow with improved sales and marketing programs. We found a small company that had been in business since 1977 that was selling rolling shutters to residential homeowners. We were familiar with rolling shutters from trips abroad, and we felt that if there was that strong of a demand for the product in Europe and elsewhere, that there could be interest for this product in the United States.

One major reason that this product intrigued us so much was the customer satisfaction experienced by those who had purchased it. An informal survey was given to randomly selected customers to establish their satisfaction level with the product and the company. The overwhelming satisfaction with both was unbelievable. Every single customer loved them. It was, and is, felt that with this type of satisfaction, the product would have a huge future if more people would learn about them.

The overall success of the company is due to guidance and teamwork. Our management is directed by four Miller boys: Jim, Chris, myself and Jim Daluga (brother-in-law), and we are guided by our father, Jim Sr. We are all dedicated to the success of this company and are responsible for our own little part of the puzzle. We attempt to provide a place for all our employees to grow and be a part of the success.

We are constantly asked what QMI stands for. Our legal business name is Qualitas Mfg. Inc. “Qualitas” is Latin for “quality.” We were looking for a name that expressed what we wanted in our company. We want to be known for our quality: quality of product and quality of service. When you deal with QMI we want you to feel you have had a total quality experience.

Many companies invest their growth money in marketing. We have invested our money in product development, technology, manufacturing equipment, process and quality improvements. We think and hope it shows.

HP: What hurricane protection products did you handle initially? What products do you handle today?
Miller: Our first endeavor in the hurricane market was to provide rolling shutter parts to other rolling shutter manufacturers in Florida after Hurricane Andrew. We sold products from the European companies that we were using to manufacture our own finished products.

Our second endeavor was with Home Depot in Dade and Broward counties in Florida. We managed their SFI (Sales, Furnish and Install) program for all “At Home” hurricane products.

We sold all types of hurricane products besides the rolling shutters. We realized that it would take a large investment of time and money to make it a successful program for us, and it was too risky for us at that time.

We have focused our attention on the rolling shutter. The rolling shutter has not fared well for hurricane protection compared to other hurricane products due to the curtain being planar and having little cross section. The solution to these issues has been, up until now, to increase the size of the profiles and provide support structures for the shutter curtain. These support structures of storm bars and headers increase substantially the cost of the product and installation. These additional costs have made rolling shutters too expensive relative to other options.

We have been developing a new rolling shutter over the last four years and we are very cautiously bringing it to market with a limited number of dealers. We want to make sure that it is perfect before we bring it to the full market. This new profile, the AL6, is an improvement of our very successful patented AL5 profile.

The AL6 rolls into a small diameter, covers large spans, is easily operated and installs very quickly without storm bars and headers. Because of its unique design, it is much lighter than other rolling shutters on the market. Lighter is good. Being lighter makes it easier to install and easier to operate. It also creates less strain on the operator, making it work better and last longer.

HP: What is your approximate sales volume? What was it after your first year in business?
Miller: We did $100,000 in our first year in business. We have experienced double-digit increases in our sales volumes from the beginning. These increases were much easier to achieve in the beginning compared to today’s larger gross sales dollars, which are much harder to successfully manage.

We are only interested in manageable growth because we think that problems will arise for some hurricane shutter businesses because of too much business. Many retail customers may be treated poorly because the shutter company could not perform as promised. Our goal is to make sure that we do not compromise our core business from our existing customers while reaching for that golden ring.

HP: Is your business computerized? Do you have a company Web site, and how is it used to communicate with customers?
Miller: Our operation is virtually paperless. We believe we have one of the most comprehensive quoting programs, complete with shop drawings, in the market. These programs are written in-house by our IT department.

Our current order process is very efficient. Our sales department is able to flip a quote into an order and place it into production in five minutes or less with no other input from any additional departments in our organization. This reduces our overhead costs drastically. We are currently working on a new front-end interface that will enable our dealers to enter their own orders and see when the shutters will be manufactured. This will give them direct control of our production lines, with no in-between costs. It will enable us to be very cost-efficient by reducing as many levels of administrative costs as possible.

We are continually updating our Web site with new information. We generate a lot of interest in our product through the site, which generates a lot of leads. We are working on the dealer section to offer more assistance in their business operations.

HP: Who are your customers? What parts of the country do you service?
Miller: Our customers range from shutter dealers and manufacturers to large national chains. We distribute our shutters throughout the United States, Mexico, Canada and the Caribbean. We have an installation network throughout the U.S., Canada and Mexico. We can typically get our products measured, manufactured, delivered and installed in less than two weeks, anywhere in the country.

HP: How has your segment of the industry changed since you first began?
Miller: Our product line has grown and become so much more sophisticated from when we began. It was a cottage industry when we started. We sold one size of a curtain profile in two colors, two materials and two coil sizes with one shape and two basic types of controls. Today we stock 15 different profiles in seven colors with nine different coil cover sizes in three shapes and multiple types of controls. The products have become much more sophisticated.

We used to be a local retail installer and we are now a national provider with 24-hour service. Today’s technology enables us to do a great amount of work with a small number of people. We are a pretty tight and well-organized machine. This enables us to have very high throughput, and greater order correctness, with very little administration. We are constantly fine-tuning our operation, so we can do more with less.

HP: What are some of the key factors involved in your growth and success?
Miller: Luck! We have been very lucky to have been at the right place and at the right time with the right product. We have been lucky to have had the opportunity to serve many of our customers. We have worked to earn their respect when they have given us the opportunity. We are totally dedicated to our customers, and we are so lucky and fortunate that they give us their business. We never forget that.

Love! We love our business. It is great to be a part of a growing organization. Every day it gets better. We are building this business together, and every day we get better.

HP: What are your strengths in the marketplace?
Miller: While we are financially strong, we believe our true strength lies in our people. We work very hard, we are dedicated and we are honest. These are the underlying strengths of our organization.

We feel that with the best product at the best price with the best delivery and of course with the best service we will succeed and grow. We focus our attention on improving each of these elements daily. We promise we will be better tomorrow.

In the market our strength is our commitment to service. We serve our customers. We attempt to make it easy to order product from us and to have a pleasing experience. We treat others the way we want to be treated.

HP: What distinguishes you from the competition?
Miller: Product, price and service.
Our product mix today is 99 percent finished shutters and one percent part sales. We handle the largest selection of curtain profiles as well as many patented or proprietary products. These products, combined with competitive prices and quick delivery, provide opportunities that haven’t been available until now.

Other companies sell rolling shutters as one of many of the products they offer. They may make or sell other hurricane products, awnings, storm windows, etc. We focus our effort and attention on only one thing: rolling shutters. We don’t believe we can be the best at everything, so we focus our attention on our rolling shutters. We hope it shows.


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