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Message From The Editor
In preparation for a transition to normality
The figures are improving on two essential fronts — the health crisis and economic performance. The transitional period we are entering is just as unknown as the pandemic crisis was at the beginning. Temporary solutions are beginning to emerge. Read more in this issue, where we also report on a comprehensive study of the pandemic’s effect on the LED manufacturing supply chain. The study explores through five questions the economic impact on the U.S. supply chain. Let us know whether the answers to these questions also apply here in Canada. Also, more on the role of manufacturing agents in our industry and one expert’s point of view on compensation models. My colleague Blake Marchand recently met with Austin Brennan, president of House of Electrical Supplies. Read the interview on the company's 40th anniversary. Good reading!
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Opinion
EFC Members Helping Families: Every Dollar Results in Four Dollars of Societal Impact
By John Jefkins
Electro-Federation Canada’s (EFC’s) “Power to Build” program supports Habitat for Humanity on a national level and is more important than ever during the COVID-19 pandemic. Our industry, like others, has certainly experienced disruption but nothing like the challenges facing families and communities in need. For the past number of years, EFC and its members have been passionate supporters of Habitat for Humanity. In these challenging times, our members and partners have come together to donate products for use in home construction, provided surplus inventory to Habitat ReStores and given cash donations, which was all directed towards the construction of homes for families in need of safe and affordable housing. On average, Habitat generates $175,000 of benefits to society per home. These benefits come in the form of Habitat homeowners’ reduced reliance on social housing and food banks, better educational and employment opportunities, improved health and greater financial stability. That means for every dollar invested into a Habitat home, $4 is returned to the community in the form of social benefits, quadrupling the impact of your donation.
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Interview
Austin Brennan, President — House of Electrical Supplies
By Blake Marchand
From small construction to sophisticated industrial projects, House of Electrical Supplies have been servicing clients in the industrial, OEM, entertainment, and construction markets across greater metropolitan Toronto area for just over 40 years. The company has earned a reputation for providing a high-quality customer experience. As per President, Austin Brennan, their experienced and knowledgeable team can be depended upon in any situation to deliver quick and efficient service. On top of their product solutions – ranging from electrical, automation, safety, lighting and portable power distribution, House of Electrical’s value added services include electronic data interchange capabilities, just-in-time inventory programs, energy audits, 24-hour emergency service, drive start-ups, custom cable assemblies and kitting. They are also a Rittal panel modification partner, which allows them to provide custom enclosures utilizing the Rittal configuration system and Perforex machine.
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Best Practices — Distribution
Reps — Different Goals, Skills, and Compensation Models
By Gene Biben
This is a follow-up to my last writing regarding manufacturers’ representatives and their functions. Based on reader requests, I was asked for some compensation suggestions to motive reps. This is just one perspective from someone with agency experience. There are many variations that can be developed and much depends upon the circumstances and the business models. Channel Marketing Group works with manufacturers and reps to develop win-win solutions. Interestingly, however, we see manufacturers often prefer a “one size fits all” model due to “ease of administration” or “legal prefers.” If properly incented and structured, reps could perform better for a manufacturer. Now, please understand, my philosophy when I was running an agency was that promotions and bonuses were intended for the associates and not the company. The intention of bonuses and promotions was explained to me as a method for a manufacturer to gain the “mindshare” of individuals and this is the way we took to them in my organization.
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Organization of Work — Post Pandemic
Reshaping the Office Space
The global COVID-19 pandemic has had far-reaching impacts. Among them was the almost-overnight shift to working from home. Organizations throughout the world closed offices and sent office employees home to work. Thanks to internet connections and cloud-based solutions, video conferencing platforms and VPNs, workers managed their day-to-day tasks from their home office, couch or kitchen table, and companies continued to function. After months of working from home, many companies are looking at if, when, and how they will return their employees to the office. Most organizations are planning to adopt a hybrid approach to work: employees will spend part of their time in the office and part of their time working from home. This approach provides employees and employers with flexibility, while bringing back in-person collaboration in the office.
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Market Research: Supply Chain
Supply Chain Might Be the Big Lighting Story of 2021
Over the last decade, the global lighting industry has seen a paradigm shift. Conventional lighting sources such as incandescent, fluorescent, and high-intensity discharge are being replaced by solid-state light-emitting diode (LED) technology, enabling energy savings with increased adoption. Due to improvements in scientific understanding and its underlying technology, LED lighting now outperforms many baseline technologies in energy efficiency, lifetime, versatility, and colour quality. Furthermore, manufacturing advancements, increased demand, and the development of a global supply chain network have made LED lighting products cost-competitive to conventional technologies in most lighting applications.
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Looking Back
Honorary Life Membership — 1979
To recognize outstanding service and commitment in the field of electrical distribution, honorary life memberships were created. This type of honorary membership was to be conferred on “those persons who have made an outstanding contribution to the electrical distribution industry and the association through active, meaningful participation in the affairs of the association: who are no longer active on a day-to-day basis within the industry.” The first honorary life membership recipients were Harry Horsman, Walter Jamieson, Don Hughes, and Bill LeGallais.
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Survey Says
Salary by Position: Industrial Lighting Fixture Manufacturing
Top of the heap: technical product managers at $110,000. Down at the bottom: industrial designers, at $49,000. See where six other positions fit.
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Economy
Canadian Survey on Business Conditions — Q2 2021
Real gross domestic product grew 0.4% in February, after having grown 0.7% in January. This 10th consecutive monthly increase continued to offset the steepest drops in Canadian economic activity on record in March and April 2020. However, total economic activity was about 2% below the level observed in February 2020, before the COVID-19 pandemic. Throughout April 2021, Statistics Canada conducted the Canadian Survey on Business Conditions. The survey collects information on business expectations moving forward and the ongoing impact of the pandemic on businesses in Canada. Over the next three months, one-third of businesses expected their profitability to decrease, one-quarter expected their sales to decrease, one-fifth expected to increase the prices they charge and three-quarters expected their number of employees to remain the same. Businesses were concerned with future survival and expected to face a variety of obstacles in the short term.
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Business Openings Up 6.1% in February; Closures Up 10.4%
In February, as public health restrictions were eased in many provinces, the number of business openings increased 6.1%, of which the majority (62.4%) was due to the number of reopening businesses, unchanged from last month. The number of business closures also rose compared with January, up 10.4%. Indeed, the number of business closures has been trending up since August 2020, but returning to historical levels. However, as the number of business closures continued to be lower than that of business openings, the number of active businesses in February edged up. Despite this slight increase, the number of active businesses in February was down 1.9% compared with February 2020. Business closures rose in every province and territory from January to February, except Yukon, where closures were relatively unchanged.
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Economy
Gross domestic product, income and expenditure, first quarter 2021
Real gross domestic product (GDP) grew 1.4% in the first quarter of 2021, following increases of 9.1% in the third quarter and 2.2% in the fourth quarter of 2020. These gains more than offset the sharp drop (-11.3%) in the second quarter of 2020. Real GDP was up 0.3% compared with the first quarter of 2020.Real gross national income rose 2.7%, largely fuelled by higher prices of exported products, including crude oil, crude bitumen and refined petroleum…
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Gross domestic product by industry, March 2021
Real gross domestic product (GDP) grew 1.1% in March, following 0.4% growth in February. This 11th consecutive monthly increase continued to offset the steepest drops in Canadian economic activity on record observed in March and April 2020. However, total economic activity was about 1% below the level observed in February 2020, before the COVID-19 pandemic…
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Changing Scene – People of the industry
- In Memory of Ian Merman
It is with a very heavy heart that I must pass on the sad news that Ian Merman has passed away, said Liteline's Mark Silverstein in memory of Ian Merman. “Ian’s personality was much larger than any one person. In his early years, he was known as the guy that would bring his beloved, golden retriever, Homer, around on sales calls. He was infamous around the industry for flying his Montreal Canadians flag around from electrical distributor to electrical distributor making banter, debating and ultimately laughing with his customers, who were more importantly his friends.”
- Neal Pinto Named National Business Development Manager, Services and Solutions for Westburne
Westburne is pleased to announce Neal Pinto has accepted the position of National Business Development Manager, Services & Solutions. Neal joined Westburne in 2016, bringing 20 years of experience from the information technology industry to their Advanced Connected Solutions (formerly IoT) team; contributing to the growth of Network Services & Solutions practice, and developing Westburne's Cisco IoT Advantage partnership across the country…
- EFC’s National Advisory Council: Change of Chairmanship
Earlier this week, EFC hosted a National Advisory Council* (NAC) virtual meeting to share committee/network program highlights and to officially mark the change of NAC chairmanship. The NAC team thanked Steve Branscombe, Independent Electric for his term as Chair, recognizing his commitment to creating a stronger foothold for NAC during this year of unprecedented changes. Steve has helped create a formal structure for NAC and EFC’s regions by supporting the development of Terms of Reference guides to outline succession planning, committee representation, and mandate…
- BCEA Call for Board Nominations
BCEA is looking ahead at 2021 - 2022 and what the future may bring personally and professionally. Supporting BCEA programming and serving on the board provides incredible opportunities to expand your network, gain new skills, and enhance your career. BCEA is currently accepting nomination applications for a position on the Board of Directors for a two year term…
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Changing Scene – People of the industry
- EBH Announce Sumeet Sodhi as New Lower Mainland District Manager
E.B. Horsman & Son are excited to announce Sumeet Sodhi as their new Lower Mainland District Manager. Sumeet began his new role on May 20, 2021, and his direct branch responsibilities include all LML branches – Surrey, Langley, Burnaby, and Richmond. Sumeet will also assume the responsibilities of Mark Murray, who is retiring this month...
- IPEX Celebrates the Grand Opening of Two New Distribution Centres in Winnipeg and Dartmouth
Travis Lutes, President & COO, IPEX, is pleased to announce the grand opening of two Distribution Centres in Winnipeg, Manitoba and Dartmouth, Nova Scotia. These new DCs are modern, larger buildings, replacing two smaller locations in both regions. The Winnipeg Distribution Centre is a new build and significantly increases both warehousing and onsite yard space. The Dartmouth Distribution Centre has almost doubled in size and now also provides yard space for even more storage…
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Changing Scene – Partnerships
- Deschenes Group Inc. Makes the Acquisition of Marcel Baril Ltée
Deschenes Group Inc. (DGI) proudly announces the acquisition of Marcel Baril Ltée (Marcel Baril) effective June 1st 2021. Marcel Baril is a distributor of hardware, plumbing, heating, ventilation, electrical, construction and industrial materials, HDPE, sewer and waterworks.
- LEDVANCE Partners with Canwest Agency in British Columbia
LEDVANCE Ltd, the makers of SYLVANIA general lighting in Canada, announced Canwest Agency as its new sales agent representatives for British Columbia. In North America, LEDVANCE LLC offers a wide range of SYLVANIA LED luminaires for various applications, intelligent lighting products for Smart Homes and Buildings, one of the largest LED lamp portfolios in the industry, and traditional light sources.
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Changing Scene – Partnerships
- E-Mobility Company Tritium Becomes Publicly Traded
Tritium, a Brisbane-based developer and manufacturer of direct current (DC) fast chargers for electric vehicles (EVs), and Decarbonization Plus Acquisition Corporation II (DCRN) (NASDAQ: DCRN, DCRNW), a special purpose acquisition company, announced a definitive agreement for a business combination that would result in Tritium becoming a publicly listed company...
- Bartle & Gibson Co. Ltd., a New Authorized Stocking Distributor for the Leviton Load Center Line
Leviton Canada has announced a new Authorized Stocking Distributor for the entire line of Load Center, Bartle & Gibson. Leviton has completely reimagined the load center to make it more attractive, approachable, and easier for contractors to work with, while improving homeowner safety…
- ABB Partners with Alberta System Integrator for Distribution Centre Automation
The collaboration between the Global manufacturer, ABB Robotics, and Canadian Integrators, Cam Industrial and Remtech Systems, is in line with each organization’s vision to bring automated solutions for logistics and supply chains in Alberta and British Columbia. With a high number of centres across the two provinces and a growing consumer demand, fulfillment centres need to be flexible, fast, and accurate to be successful in today’s changing market…
- Meeting Invitation: An Introduction to Pathfinder: Electrical & Automation Industry Benchmarking Report
On June 23 at 10:00 am EST, EFC is hosting a ‘behind the scenes’ look at Pathfinder, the industry’s only benchmarking report that profiles the Canadian electrical supply market. Join John Kerr, President of Kerrwil Publications and author of Pathfinder, as he explores the methodology used to gather market intelligence for this report, and how you can leverage Pathfinder to build actionable strategies and business plans…
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Changing Scene – Partnerships
- Complete Philips Hue Range to be Compatible with New Smart Home Connectivity Standard Matter
Signify announces all existing and new Philips Hue smart lights and accessories will be compatible with Matter via a software update to the Hue Bridge. Matter (previously known as Project CHIP - Connected Home over IP) announced by the Connectivity Standards Alliance (formerly Zigbee Alliance) on May 11, is a new industry-unifying standard that enables smart devices to work together seamlessly. Philips Hue users will therefore benefit from greater interoperability — making organizing an innovative smart home easier than ever before…
- Omron Automation Americas and Proax Technologies Enhance Customer Experience through 4-year Challenge
Launched in 2017, the initiative challenged Omron’s channel partners to further the company’s mission of improving lives and contributing to a better society by striving for accelerated growth while challenging each other. Since its launch, the Proax team has risen to the challenge by making significant investments in technical staff dedicated to Omron products and solutions, their expansion through strategic acquisitions and the addition of new offices all across Canada…
- LSI Industries Acquires JSI Store Fixtures, Creating Commercial Lighting and Display Solutions Company
LSI Industries, a U.S. based manufacturer of commercial lighting and graphics solutions, announced the acquisition of privately held JSI Store Fixtures (JSI) from RFE Investment Partners for a cash purchase price of $90 million. Maine-based JSI is a market-leading provider of retail commercial display solutions throughout North America...
- Techspan to Combine Electrical and Fusetek Divisions
Techspan Industries has announced plans to combine the Sales and Marketing departments of their Electrical and Fusetek divisions. Techspan acquired Fusetek in 2018 and has worked to bring Techspan’s philosophy of exceptional customer service and value to Fusetek’s distributor customers…
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Changing Scene
- Webinar Recap: Talent for an Emerging Workforce
Last year, Electro-Federation Canada surveyed its members to understand the top game-changer affecting their organization. Talent availability was ranked at number one. To address this topic, EFC partnered with PwC and assembled a committee of members to help develop the Talent for an Emerging Workforce research study that explores talent requirements for an emerging workforce within the Canadian electrical industry...
- Federal Government Announces Greener Homes Grant Program
The federal government launched the new Canada Greener Homes Grant, which will help up to 700,000 Canadian homeowners across the country improve the energy efficiency of their homes and reduce their energy bills through an investment of $2.6 billion over seven years. Homeowners will be able to receive grants of up to $5,000 to make energy efficient retrofits to their primary residences, and up to $600 to help with the cost of home energy evaluations…
- Canada's Balance of International Payments $1.2 billion for First Quarter 2021
Canada's current account balance (on a seasonally adjusted basis) posted a $1.2 billion surplus in the first quarter after recording a $5.3 billion deficit in the fourth quarter of 2020. This was the first surplus since the third quarter of 2008. The surplus in the first quarter mostly reflected the first positive trade in goods and services balance since 2008, which was partially offset by a lower investment income surplus…
- Panel on Canada’s Electricity Workforce: Adapting for the Future
Canada’s electricity industry is undergoing considerable transformation due to the decentralization and democratization of the electricity grid, new technologies like smart meters and the next-generation power grid, and the overall momentum towards clean energy across the country…
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Changing Scene
- Power Over Ethernet Lighting Market worth $922 million by 2026
According to the report "Power Over Ethernet Lighting Market with COVID-19 Impact Analysis by Offering (Hardware, Software and Services), Wattage (Up to 25 Watts, Above 25 Watts), Application (Commercial, Industrial), and Geography - Global Forecast to 2026", published by MarketsandMarkets, the PoE Lighting market is projected to reach USD 922 million by 2026 from USD 243 million in 2021; it is expected to grow at a CAGR of 30.6% from 2021 to 2026. North America has the largest market share for PoE lighting…
- EFC Introduces New Industry Web Portal: Online Safety Guide for Electrical Products
Electro-Federation Canada (EFC) represents electrical and automation manufacturers, distributors and sales agents, who together with EFC, are committed to advancing electrical safety in Canada. EFC has partnered with provincial regulators, certification agencies, the Standards Council of Canada (SCC) and other safety partners to develop an industry web portal…
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