On the surface, the differences appear subtle. There’s new detailing and signage on delivery and service trucks, uniforms for retail staff and renovations to its 12 locations.
But five months into a new ownership regime at Slegg Lumber, there have actually been several changes introduced intended to completely change the face of the 67-year-old Island company.
“We’re trying to take a great company and round off some of the rough edges,” said Doug Skrepnek, president of Ontario-based WSB Titan, which bought Slegg in January after five months of negotiations with the founding Slegg family.
“We bought a great company with a great brand, but it needed work.
“There’s a huge amount of responsibility to a brand, but that doesn’t mean a 67-year-old brand or a 167-year-old brand is perfect.”
While Skrepnek promised Slegg will be a very different company as a division of Titan, he was equally adamant that one thing wouldn’t change — the name. “This will always be Slegg. That brand will never change on the Island. That would be a foolish mistake for us,” he said.
As for the company’s retail locations, that’s still up for debate.
Titan bought Slegg’s 12 locations, but the Slegg family retains the real estate at most of those sites. Until the company has done a complete analysis of each branch and canvassed its customers on what they want, that’s how it will remain.
Skrepnek said if customers make a case for 27 locations they’ll look at that, but if the economics say it should be nine, they may slim down.
“It’s premature to determine,” Skrepnek said. “Until we have done complete and proper due diligence, we will change nothing about the footprint of the business.”
WSB Titan is Canada’s largest independent gypsum supply dealer with more than 40 locations and is national distributor of construction-related products such as insulation, steel framing, tools, lumber and plywood.
The purchase of Slegg made sense for Titan, which has been expanding across Canada over the last few years, as there was some product overlap and a chance for the gypsum supply dealer to get its feet wet in a broader product mix.
“We deal with builders around Canada who have asked when we will be getting into siding, lumber or flooring,” Skrepnek said. “What better way than in an isolated market like the Island to learn the ins and outs of a much more diverse product offering, and to understand how many of those products we can bring across Canada.
“If something doesn’t make sense we will earn in an isolated market space.”
The changes at Slegg have been quick, thorough and not always adopted without a fight.
“It’s a cultural change. It’s not about flipping the business upside down or going after a new market segment,” Skrepnek said.
He noted they are intent on working as one company, not as 12 separate entities. “We have enough competition with Home Depot and Windsor Plywood. Our branches are not our competitors.”
There have also been expensive and sweeping systems changes that have been met with resistance by both staff, who took time to buy into new software, and contractors who weren’t used to a new type of invoicing.
Skrepnek said he knew there would be some push-back, as there always is when there’s change in the air, but said he was surprised at the amount of resistance.
“In January, I was still courting [the company] even though we owned it, and, in February, I was sometimes wondering if I wanted to go on another date. But as we head into June, I can say we’re in love now,” Skrepnek said.
“It took time to understand the disjointed nature of the company.”
Slegg has also changed the way it dealt with some contractors, which Skrepnek admits ruffled some feathers.
“We’re probably making some more particular choices about who we do business with and how we do business, rather than filling every order no matter what. When you make those choices, you may piss some people off,” he said. “But if we are going to be here for 30 years, we had better show people what the framework is around our structure, what our culture and beliefs are.”
He said those beliefs revolve around giving retail customers and contractors what they want.
Slegg executives say they have made a point of meeting with their biggest clients and canvassing to find out where they are doing well and where they need improvement.
“I think that’s made us stronger with our larger customers,” Skrepnek said. “It will also be a better retail experience for Mr. and Mrs. Smith. We’ve completely re-merchandised. It’s better set up, brighter and cleaner.”
He also plans for Slegg to be a bigger part of the community, giving more back and letting the Island know they are here to stay.
Casey Edge, executive director of the Victoria Residential Builders Association, said the change has been noticeable and the company has been a more active participant on policy development within the building sector.
“From our perspective, the new ownership has been very good and we appreciate their support and input on some of the building issues,” Edge said. He noted Slegg was part of a discussion group dealing with new energy efficiency regulations released late last year.
