Articles
Riding in the Wind
Anne Pechuls
Rebecca Herwick Rides the Road to Success with Global Products Inc.
Promotional Products Business
High Profile
May 2005
Rebecca Herwick, president and CEO of Saint Peters, Missouri-based distributor Global Products Inc., learned at an early age that with hard work, commitment and honor, she could create an environment beneficial to those around her. "When I was eight years old, my father left our family; and my Icelandic mother, who was not yet a U.S. citizen, began studying the English language so she could pass the citizenship exam. Soon she was able to provide for my brother and me by earning a cosmetology degree," says Herwick. "This example from my mother created in me the drive to succeed and follow my dreams."
As a young girl, Herwick started riding Honda mini-bikes with her friends but soon discovered a real love for Harley-Davidson motorcycles. She continued "riding in the wind" all through junior high, high school and college. "This was not the norm for young girls in the '70s," she says. "I have always had a desire to do things I love, regardless of the negative comments of those around me. I have learned to ignore those comments and, motivated by enthusiasm, forge my own path."
Herwick put her B.S. degree in chemistry from McKendree College in Lebanon, Illinois, to work for a brief time as a research chemist in the healthcare industry. She then switched gears in 1983 for the opportunity to develop her analytical skills in the motorcycle industry. As general manager for a motorcycle accessory distribution company, Herwick soon advanced her company position by establishing manufacturing capabilities and securing an exclusive Harley-Davidson license for novelties, decals and emblems, giftware, headwear and custom products.
"In this business," says Herwick, "it is important to control inventory levels, review historic data, factor percentage increases and meet demands. The many technology tools introduced in the '80s got my attention. I have loved the challenges of implementing those technologies into our manufacturing and distribution business."
Under Herwick's leadership, Global Products, a woman-owned manufacturing and distribution firm, has expanded its international distribution capabilities by adding wholly owned subsidiaries in Ottobrunn, Germany, and Burlington, Canada. The company provides more than 750 Harley-Davidson domestic dealers and 450 international dealers with products to sell to the public. "I am so fortunate to have a job where I get to associate with customers and suppliers who also love riding in the wind," say Herwick.
PHYSICAL GROWTH
When Herwick came on board in 1983, the company office was in a 3,500-square-foot T-shaped warehouse. "I brought in the first computer, reorganized the products in an alpha-numeric sort for pull, pack and ship conformity. I utilized shelving for stock to eliminate back orders," she says. "I also had a fence installed for security and an alarm system for minimizing theft."
Nine years later, Herwick purchased a 12,000-square-foot warehouse for increased production capabilities. "We purchased a one-, three- and 12-head embroidery machine for garment and ball cap direct embroidery work," she says. "We also installed a computer server and connected additional work stations for the staging of items."
In 1995, Herwick purchased a 35,000-square-foot facility and Mustang presses for manufacturing and screen printing decals and bumper stickers. "We went to a larger server with a 25 work-station LAN and continued to grow our customer base and product offerings," she adds.
BUSINESS MODEL
The mission statement for Global Products indicates it is a full-service, worldwide promotional marketing company, partnering with companies to help generate sales, introduce new products and achieve marketing objectives through the design, manufacture, distribution and capabilities of the company.
Global Products designs all of its Harley-Davidson licensed products—branded giftware and collectibles—and manufactures about 50 percent in-house. However, salespeople and staff from Global Products also attend industry trade shows to learn about new products and suppliers "to give us the opportunity to diversify with more product lines," says Herwick.
Even though historically Global Products provides products exclusively to its wholesale customers, Herwick says the company continues to promote its ability to provide domestically manufactured and embellished products to other distributors.
In addition to partnering with Harley-Davidson, Global Products has also established licensing agreements and partnerships with Ford Motor Co. and Carey Chen, the fisherman-artist. "We produce Chen's graphics line of saltwater wild life on novelty giftware products for fishermen and aquatic admirers. For Ford, we are a licensee for pins, emblems, decals and window clings. We believe our products are loved by our partners' customers," says Herwick, "and we know it is our responsibility to create products to enhance the brand and encourage loyalty."
ATTRACTING AND MAINTAINING CLIENTS
To attract new clients, Herwick offers prospects the opportunity to tour the facility to see firsthand Global's ability to design, manufacture and distribute products worldwide. "To keep established customers," she says, "we not only supply quality products in an efficient and affordable manner, but our customer service reps also provide special services to our customers. They will go on site to manage inventory and provide help in understanding how correct forecasts are needed to supply the demand."
To Herwick, good customer service means satisfying the customers' product needs while providing immediate responses and solutions to problems. "I think our salespeople should know our customers' product needs," says Herwick, "and use this information to reduce the time and costs associated with managing the inventory."
MEETING CHALLENGES
As president of Global Products, Herwick has faced and met several challenges while growing sales to $15 million annually. "We have had to understand the need to diversify our product offerings so our customers have unique items to sell their customers. And, we have had to find opportunities to introduce our corporate talents to new customers," she says.
As the company entered the international marketplace, the challenge was to implement and fine-tune the staffing, reporting methods and the IT infrastructure needed for international distribution. Going global meant overcoming such obstacles as language barriers with misunderstandings in communications, different office hours, limited supervision at the international locations, currency exchange and lack of historical data for setting inventory goals.
"To solve these global challenges, we learned to create in our minds ahead of time the perfect storm with the steps to prevent it. Never over-promise or under-deliver is our motto. We have learned to do our homework, move slowly and not expect immediate return on our investments," explains Herwick.
In meeting business challenges in general, Herwick has had to be realistic and communicate her vision to the Global Products team in a way that it can be implemented.
FACING A LIFE-THREATENING CRISIS
Herwick has a very good friend who received a severe brain injury in a motorcycle accident in 2000. Doctors said he would remain in a comatose state and require total care for the rest of his life. Being the tenacious entrepreneur she is, Herwick would not accept the prognosis. Through the Brain Injury Association of Missouri, she learned about the Center of Head Injuries Services in Saint Louis where patients in a loving and nurturing environment receive brain stimulation and a reorientation into the world.
Her friend was accepted into the center's program. At the center, Herwick met a community of people with brain injuries and realized she could help those in need by developing a program of work assessments at Global Products for some of those individuals. "I could see there were several tasks at work keeping my higher functioning staff preoccupied and not productive," she says. "By carving these duties out of their positions and creating new positions for individuals with limited skills, I was able to provide jobs for some of my new acquaintances."
Job carving proved financially and socially beneficial for both Global Products and the new employees. In fact, with assistance and assessment from the Brain Injury Association, Herwick's friend became part of the program working as an order picker at Global Products. In this position, his job included receiving shipments from suppliers and establishing appropriate bin locations for the stock, pulling orders from inventory and ensuring all product is labeled and packaged correctly, and maintaining inventory records.
Today, he has joined his family in Minnesota and is able to function independently. This is just one of Global's success stories and examples of Herwick's desires to create an environment beneficial to all around her. During the past four years, the company has helped more than 159 disabled workers from this Saint Louis-based advocacy group.
Herwick is actively involved with and serves on the board of the Center for Head Injury Service and serves as an advisor to the board of the Brain Injury Association. In 2004, she received the Employer of the Year award from the Brain Injury Association for employing those who have suffered traumatic brain injuries and giving them a chance to lead enthusiastic, productive and independent lives.
Herwick is truly a woman who has followed her dreams and helped others along the way. "I have always been one who loves motorcycles and analytical challenges," explains Herwick. "Being a Harley-Davidson licensee and a CEO allows me to have both elements of happiness, regardless of the historic public perception of a woman who has a unique set of desires."
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