Sustainability
One distributor finds that the right approach can lead a company through years - if not decades - of success
Laura Thill
Why mess with a good thing? Johnson & Lund Co. Inc. was founded 150 years ago on the premise that top-notch service is key to building loyal customer relationships and a successful business. This proved to be true in 1859, and it continues to be true today.
"Our mission has always been customer service," says Jerry Larkin, president. "It’s all about how you service and treat your customers. We have found that this is the most important thing that has sustained our company over the years."
Originally started in Philadelphia by Frederick Johnson and Oliver Lund, manufacturers and distributors of precision dental instruments, the company later added distribution centers in Atlanta, Chicago and Rochester, N.Y. In the early 1920s, the Rochester branch was purchased by several employees, one of whom eventually became the sole owner. In 1988, the company was sold to three employees: Roy Dolce, president, David Rodman, vice president, and Jerry Larkin, vice president. In 2000, soon after Dolce’s death, longtime employee Anthony Romano purchased his shares and became vice president, while Larkin became president. Today, Johnson & Lund specializes in dental equipment, CAD office design, sundry merchandise and new computer technology.
The transition proved to be an easy one for the current management team, none of whom were new to the industry or the concept of providing customers with value-added service. Romano, for instance, has proved his loyalty to Johnson & Lund with 38 years of hard work. Today, in addition to serving as vice president, he manages the equipment department. "Keeping up with current technology is just part of the service we believe our customers deserve," he says.
Larkin has been with the company since 1973. "I had been working for Eastman Kodak Co., when a friend asked me if I would be interested in joining the dental business," he recalls. "I began by answering phones and picking up orders in the warehouse."
Rodman boasts a 46-year history with Johnson & Lund. "I worked part time at the company when I was in my last year of high school," he says. "I began as an assistant in the service department and worked my way up to manager." Today, he continues as vice president and manager of the service department, in addition to his administrative responsibilities. "For many years, we have had an excellent service department, with excellent training," he says. "We often hear from customers how well we [take care of] them and how quickly we respond." In fact, the company’s growth has been controlled, primarily because its owners insist on only hiring people with an in-depth knowledge of the dental industry, who truly understand the value of high-quality service, he adds.
In spite of Johnson & Lund’s controlled growth, the company has more than doubled in the last 25 years. "Today, we have 20 employees, including three outside reps, two equipment specialists and several customer service people, along with a service department second to none!" Larkin says. "We reach out to customers as far east as Plattsburgh, N.Y., as far west as Buffalo, N.Y., and as far south as Wayland, N.Y."
Biggest competitor
On one hand, the folks at Johnson & Lund have embraced new technology, not only with respect to the cutting-edge equipment they carry, but their interest in CAD office design as well. They offer electronic solutions to make their customers’ transition to a digital office as easy as possible. And, while they recognize the value of the Internet as a means of communicating with, and providing quicker service for, their customers, they have come to regard it as one of their biggest sources of competition. "The Internet has changed quite a bit in this industry, particularly with so many Internet suppliers coming on board," says Larkin. Indeed, it is becoming more and more common in many industries for customers to discuss new products with their distributor reps and then shop the Internet for better deals. "It looks attractive because people think they can save a few dollars," notes Larkin. But, when they receive a defective or incorrect item, they see that Internet transactions are not always the best solution, he adds.
"But, we are in this business for the long-term," Larkin continues. "As such, we have built a very loyal customer base that has been with us for many years and recognizes the value that a full-service dealer can offer." That was borne out recently after Johnson & Lund lost two of its biggest vendors’ lines. Although the company’s customers were disappointed, their loyalties were to Johnson & Lund, he says. "Our customers were disappointed in the vendors themselves and no longer wish to do business with them," he explains. "But, they have remained loyal to us."
Looking ahead
As Johnson & Lund approaches its 150th anniversary, the year 2009 appears to be one of reflection as well as projection. On Sept. 24, the company will host a celebration for its customers and employees as a show of gratitude for their loyalties. Larkin and Rodman expect a large customer turnout at the function, which will include a dental show with food and beverages, several seminars on such topics as lasers, fluorides and instrument sharpening, and an opportunity for dentists and staff to earn education credits.
Looking ahead, the 150-year landmark very well may be one of many more to come. "We look forward to continuing to grow slow and easy," says Larkin. "We would like to do business as we always have, as well as provide for our employees. The majority of our people have been with us for 25 years." [FI]
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