Simplifying Canada to Improve Customer Value

For over 85 years and 40 years respectively, Broan and Venmar have been trusted partners in home products industry and the leaders in many categories in which we compete in Canada. Over that period, our companies have made many big innovative changes to improve the business and the ability to offer fabulous products and customer service. This is one of those times.

This letter to our valued customers is intended to outline a new Strategic Initiative, Raise the Floor, that Broan-NuTone Canada ULC and Venmar Ventilation ULC, both Broan Companies, will undertake over the course of the next year.

The latest strategic initiative took 18 months to complete and was focused on merging the two companies and their assets into a single business under the Venmar Ventilation ULC name. The project targeted 6 major objectives and gathered 11 project teams to execute the work. Here are these major project objectives:

  1. Transfer 4 production lines from our Mississauga facility to other facilities in Canada and the US;
  2. Rationalize the economy product portfolio by 50% while offering better value for money;
  3. Integrating Broan-Nutone and Venmar systems into a single entity;
  4. Renegotiating over 3000 customer contracts across all channels into a single business;
  5. Harmonizing Business and Human Resources policies between the two companies;
  6. Closing 4 Distribution Centres and merge them into a single National Distribution Centre.

 

I am very proud of the excellent work the teams did to achieve our goals. We simplified our business into a single entity and revamped our entire economy line of products on time and on budget. The only challenge we faced was the last objective, the National Distribution Centre start-up.

The April start-up of the new National Distribution Centre fell behind by 20 days in shipping commitments. We took fast action to correct the situation, addressing the design weaknesses, boosting the staffing, accelerating the training and seeking outside help for a short period.

I am happy to share with you that we are now consistently shipping above target and that our On Time And Complete has risen from a record low in April to a percentage in the upper 80s in September.

Although the work is not 100% complete and the team is still working through its improvement plan for the Distribution Center, we can see the finish line.

The new Broan-Nutone Venmar will be simpler to do business with; simpler in terms of pick-up and delivery, and stronger in terms of ability to bring incredible innovation into the marketplace. Looking forward to the next 85 years.

David Barrow, Executive General Manager Venmar Ventilation ULC

David Barrow
Executive General Manager Venmar Ventilation ULC

 

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