Managing multiple brands in a demanding market, this Nova Scotia firm is running both smoothly and efficiently
By Gabe Perna
Many presidents and executives of multi-million dollar companies find it hard relating to every single worker within their organization. Dan Clarke, President of Helly Hansen Canada Limited, definitely does not count himself among that group. In fact, he can proudly state he worked his way up from the bottom to the top and knows all departments of his company.
“I’ve been at Helly Hansen for 11 years. I started with the company as the Accountant / IT Manager for six years then became the Vice President of Operations in 2003. This past April I was promoted to President. Before Helly, I worked in the technology industry doing turnkey system sales, internet consulting, and internet based marketing. Before that I worked in a can factory as a line worker,” says Clarke, who went back to university in 1997 to receive his certified management accountant designation.
Considering Clarke now oversees the type of manufacturing plant he used to work in, things certainly have come full circle. “I worked on a shop floor as a laborer. I worked in sales, middle management, financial management and now executive management. I can definitely empathize with any issue in any part of our business.”
Clarke says this background allows him to apply a more employee-friendly management strategy. “I believe in the concept of management by walking around and not management from an executive floor office. That’s why I’m always on the move when I am in the building,” says Clarke.
It is no wonder why Helly Hansen Canada (HHC) is a smoothly run operation with revenues exceeding CAN$25 million a year. The company, which sells work wear ranging from flame retardant suits to thermal layer gear and a full line of marine safety products, can rely on strong leadership from Clarke and other executives and managers in the company.
Big Difference
In order to understand Helly Hansen Canada Ltd, it is necessary to differentiate it from Helly Hansen based in Moss, Norway. While Helly Hansen Canada Ltd manufactures and distributes Helly Hansen branded work wear, rainwear and marine safety products, it is not actually a part of the Helly Hansen Global family. Helly Hansen Canada Ltd is a privately held Canadian company.
Helly Hansen Canada Ltd (HHCL) operates under a long-term license agreement with Helly Hansen in Moss. However, it also owns and sells other brands, such as Nautilus by Protexion and Buoy O Boy. These are well-established brands in the life jacket, personal flotation device and survival suit market. Another way to differentiate Helly Hansen Canada from Helly Hansen Global is that HHCL continues to operate a manufacturing facility in Canada to respond to the ever-changing Canadian climate.
Helly Hansen opened a sales office in Nova Scotia in 1981 and within five years transitioned the operation from corporate owned to a licensee operation. Helly Hansen Canada Ltd’s current owner purchased the license in 1991. Helly Hansen Canada runs a manufacturing plant and headquarters in a 100,000-square foot location in Dartmouth, NS. Due to the demands of growth, in the last 12 months, a larger distribution facility has been added in British Columbia and a Helicopter Transport service operation was added in St. John’s, Newfoundland.
Tougher safety standards
The biggest change over the years according to Clarke is an increase in safety standards. A tightening of flame retardant standards and visibility safety standards led to a broadening of products.
“We broadened our product line to comply to those standards because workers need it. Workers’ safety is becoming a big issue. Occupational health and safety issues have become stricter with liability. That’s opened up new markets for companies like ours to provide worker protection,” says Clarke.
As the intensity of regulatory and safety issues increases so too does the technical aspect of HHC’s work wear. Clarke says because flame retardant standards measure to exact details regarding after burn, drip and different levels, the product line is much more advanced.
Clarke says the flame retardant products along with marine abandonment suits are Helly Hansen Canada’s newest and exciting products. “We have revised a full line of flame retardant products launching next year. Marine abandonment suits will debut by 2010,” says Clarke, who adds changes in flotation standards are also forthcoming.
No Imitations Accepted
There are a number of other changes at HHCL and the industry in general on top of the increasing technicality of standards. One such change in the industry is an increase in offshore goods. Clarke says this is a main source of competition as the items cost less than HHCL’s products but are not of the same quality.
“There are challenges that exist from price point competitors. The price points become very attractive to customers. However, they are taking something that is less quality. It’s up to our sales team to educate the customers on what they are buying,” says Clarke.
This sales team is somewhat of an advantage for Helly Hansen Canada. Clarke says he has a team of sales managers and Vice President of Sales & Marketing who put together a comprehensive marketing package for its field agents. Sales representatives then market HHCL’s products to large national chains, mom and pop operations and everything in between.
“We’ve added strategic marketing tools for our sales team to help them get the product to market more effectively. It is a much more technical sell so you have to invest in the sales force. Our sales people need to understand all of the products we have and how to sell to every area in the market,” says Clarke.
Meanwhile, innovative fabrics and products represent a positive trend within Helly Hansen Canada Ltd. Clarke says a key innovation has been the introduction of lightweight fabrics that allow moisture to pass through the body as opposed to fabrics that absorb moisture like cotton. Furthermore, HHCL is looking at innovative fabrics that integrate bamboo fibers in them. This green product allows the moisture to pass through according to Clarke.
Involved Employees
Clarke says one of the measurables for success at HHCL is employee satisfaction. He says the company provides tremendous opportunities for employees, including the opportunity to sit on committees, focus groups, ad hoc committees and town hall sessions with managers. Employees are provided with growth opportunities within the business as many long term staff have worked in different departments during their career. Personal and professional development education programs are open to all staff members and are actively participated in.
“We try to provide them with a voice,” says Clarke. “We want them to tell us what is good, what is not good. We are very active on working on ideas from our staff. Employee satisfaction is one of the measurables of our balance scorecard. We provide them with written and verbal opportunities to communicate with all levels of management.”
Because of its dedication, the relationship between employees and HHCL is strong. “We’ve had many employees who have been with us for a number of years; 15 percent of our employees have been over 20 years. Our Director of Commercial Sales has been with us for 27 years. A lot of people in manufacturing and administrative have been with us anywhere from 10 to 20 years,” says Clarke.
Helly Hansen Canada’s employees and their dedication to the customers is one of the reasons the company is unique among its competitors. Clarke puts perfectly into words, “The people here care about customer satisfaction. That is all anyone talks about is pleasing the customer. That’s why we are unique.”