Comparative Management of La-Z-Boy Company - Essay Example

Comparative Management: La-Z-Boy Company Historical Background The origin of La-Z-Boy is traced in 1920s when twocousins, Edward M. Knabusch and Edwin J. Shoemaker joined forces to get into the furniture business. Their first innovative product was a reclining chair that had been an instant success and necessitated incorporating their business in April of 1929 (La-Z-Boy). The legendary growth of La-Z-Boy was attributed to the innovative design of their products coupled with a marketing strategy that catered to customers’ needs. During the 1990s, the official website revealed that “La-Z-Boy has grown into a multi-dimensional organization offering a wide range of products” (La-Z-Boy par. 2). The company likewise ventured into other markets and targeted new customers, including business organizations and the healthcare industry. The historical illustration of La-Z-Boy’s famous product is hereby shown below: Source: (La-Z-Boy: About Us, 2011) The major historical events are summarized as follows: TIMELINE MAJOR EVENTS March 24, 1927 Formally invested in the furniture business. April 1929 Incorporation date. October 29, 1929 Crash of the stock market; start of recession. Early 1929s Joined Michigan Chair Company to manufacture more chairs. 1941 Separation from Floral City Furniture 1950s Production of platform rockers in addition to reclining chairs. 1960s Refocused on gender equality through loveseat. 1961 Production of Reclina-Rocker that surpassed record demands. 1972 Charles T. Knabusch took over as President, Chairman and CEO 1980s Expansion to other product lines. 1992 Produced upscale collection of sofas and chairs. 1996 Changed corporate name to La-Z-Boy Inc. Products and Brands The company produces eleven categories of products classified into recliners, chairs, sofas, sleepers, sectionals, loveseats, ottomans, tables, power products, outdoor products, and spas and hot tubs (La-Z-Boy: Products 1). Product features were appropriately named such as the Premier ComfortCore where the distinctive design included “zoned technology for optimal firmness and lasting comfort. They feature fully padded, La-Z-Boy engineered frames for enhanced design lines and lasting durability along with an almost endless selection of fabrics and leathers for customization” (La-Z-Boy: Premier ComfortCore 1). A quick view from their official website would reveal other product features (EcoComfort, Home Theater, Sleepers, Leather, Performance Fabrics, One and Only Recliner, Customer, Power Products, and XZipit by La-Z-Boy) where differentiations and comparative elements and characteristics are provided for the interested consumers (La-Z-Boy: Premier ComfortCore 1). From among the famous brands being carried and marketed by La-Z-Boy are: England Furniture, Hammary, Brauhaus, Kincaid, American Drew, Lea, and La-Z-Boy Hospitality. Scope and Location of Operations Due to the success of La-Z-Boy’s products, other strategic branches have been located in major countries such as England, Germany, Italy, Japan, Mexico, New Zealand and South Africa (La-Z-Boy: Our History par. 2). According to Hoover (2011), “La-Z-Boy sells its products through about 70 company-owned stores, some 240 independent La-Z-Boy Furniture Galleries, and about 510 Comfort Studios (about 5,000 sq. ft. of dedicated La-Z-Boy space hosted by an independent retailer)” (1). From among its major competitors, the following were noted in the Hoover report: Brown Jordan International, Inc., Chromcraft Revington, Inc., and DFS Furniture Company Limit. As expounded, the competitive arena where La-Z-Boy struggles to take a portion of the furniture industry’s market share likewise include industries such as the consumer products manufacturers, retail industry and the home furnishings and housewares retail (Hoover, Inc.: Competition par. 3). Career Opportunities As of 2011, there have been a reported number of 7,910 employees on their Monroe, Michigan office. A research on career opportunities at La-Z-Boy would reveal that there are as much as 74 jobs offered in diverse locations. The positions open are mostly on retail sales, interior design, managerial positions for sales, project, quality areas, and sales consultants, among others. With growing opportunities in the furniture industry, the recent article published in Forbes in April of 2011 reveal that for La-Z-Boy, “shares are higher today after KeyBanc Capital upgraded the company from hold to a buy based on positive expectations in the market for furniture. In addition, La-Z-Boy should gain market share as privately held Berkline, a competitor, is liquidating. Shares were higher by 11% today” (Forbes par. 2). The overall performance of La-Z-Boy manifested considerable growth from the meager furniture business started by the cousins Edward M. Knabusch and Edwin J. Shoemaker. The latest financial highlights reveal revenues of 1,187.1 million as of April 2011 with net income reaching 17.4 million (Hoover, Inc.: Financials, 1). Conclusion The current study proffered pertinent information tracing the historical background and growth of La-Z-Boy. For more than nine decades, the organization have exhibited remarkable developments through expansion of product lines and by manifesting high quality and durability in the products they offer. By expanding to diverse markets and various clientele, La-Z-Boy continue to sustain unparalleled heights to remain among the major contributors of the furniture industry in the United States and the world over. References Forbes. Biolase Blasts Higher, La-Z-Boy No Slouch Either. 6 April 2011. 15 August 2011 . Hoover, Inc. La-Z-Boy Incorporated. 2011. 15 August 2011 . La-Z-Boy. Our History. 2011. 15 August 2011 . —. Premier ComfortCore. 2011. 15 August 2011 . —. Products. 2011. 15 August 2011 . Read More