CHAPTER FIVE

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REPUTATION IS EVERYTHING:

DEALING WITH CUSTOMERS, VENDORS AND CO-WORKERS

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One of the things I’m most impressed by in Sid is the way he interacts with others. It is something that is quite noticeable at the annual Exxel Pacific holiday party. Over the past several years the company has grown significantly especially since the addition of its second office in Seattle. What impresses me at these gatherings is the level of connection Sid has with all of the employees. There is such respect between Sid and the workers and vice versa. In many companies, as they grow, the founder becomes more irrelevant in the daily lives of the workers. This is definitely not the case at Exxel Pacific where Sid is both respected by and connected to the employees. Even though he is no longer as involved in day-to-day operations, I’m so impressed by how Sid keeps involved in the personal lives of everyone in the company. People just love the guy and he loves them back.

Often I stop by the office to pick Sid up for lunch. When we return to the office one feels the respect going both ways. It seems like there is no status, instead he sees the person rather than that person’s position. Sid has taught me a lot in my own work as the CEO of an accounting firm. Rather than view myself as someone who is above those who work with me, instead I see being CEO as a servant role. It is not about status. When I show up at my office I try to take the same approach as Sid in that each person in our firm—from owner to the newest hire just starting out—is equal in terms of my time and attention. It allows me to bring passion every day while keeping humble. It is something I learned from watching Sid.

Over the years, as his accountant, I’ve had the great pleasure of meeting with Sid and Margaret in their home. Typically these meetings start with fifteen or twenty minutes of him asking me personal questions about myself, my family, and my role in my company. His questions are always very well thought out. As an accountant charging by the hour, I’m always conscious about time. Sid isn’t. With him you never feel like you are on the clock. It is almost as if he has prepared for my visit and has a process he has thought deeply about. It has taught me a lot about the process of getting to know people and helped me tremendously in terms of my ability to connect with clients and the people at our firm.

When I’m having lunch with someone, for example a partner who I know is building a house, I start out by asking about their house, their children, or about their hobby before getting into the topic of our meeting. The same with clients. I might ask about their grandchildren or their most recent vacation or about what’s going on in their business before getting into the various tax issues or estate planning or business accounting strategy. It is something I have learned from Sid. He has taught me a lot in that area.

—Marv Tjoelker, Certified Public Accountant, Partner / CEO, Larson Gross and Associates

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It’s all about the Golden Rule

In the early 1950s I married a wonderful young lady. I was a small farmer with a passion for building a successful business. Both my father and father-in-law were farmers. It was the only way they knew how to make a living. My father-in-law acquired a small farm and helped me buy some cows. However, farming wasn’t in my blood. I knew that it was now my responsibility to make a living for my family and was determined to provide for my wife and our young son. I would not fail them. It was my hope that the farm would produce sufficient income to pay our monthly living expenses and my sideline door-to-door selling activities would help me save some money to grow the business. I had no intentions of making direct selling my lifelong career. It would merely be a stepping stone for greater accomplishments.

In the evenings I studied my DeVry Technical Institute electronics course material. I completed all the assignments, submitted the tests and within two years received an impressive looking diploma. I was now qualified as a radio-TV technician. However, I had never worked in an electronic repair shop and had no job experience. I did have enough self-confidence to believe I could learn on my own. At around the same time, Margaret and I purchased a piece of needed furniture from a small local furniture store. The owner’s name was Joe and he agreed to sell us the furniture on credit if we made regular monthly payments. We never missed a payment even if it was only ten dollars a month. Over time we came to know Joe well and he, in turn, knew he could trust us. After completing my technical course I walked into his store one afternoon and started a conversation. “Joe, you don’t sell television sets do you?” I asked. He responded that he did not but that his wholesaler had encouraged him to stock a few Coronado TV sets. But because he knew they required service along with the installation of a roof mounted antenna (and that he didn’t know anything about TV), Joe decided against stocking them. I told him his decision was certainly understandable.

I went on to inform Joe that I was interested in selling, installing and servicing televisions. If he agreed to pay me a commission whenever I sold a TV set, I would be happy to take the position. Joe leaned against his store service counter. He looked thoughtful and somewhat surprised as he looked at me. “Sid I know you’re farming. I didn’t know you knew anything about TV.” I explained that I had recently completed a home study course in servicing radio and TV sets and would love to have an opportunity to get started. Joe kindly agreed to fix up a little shop in the back of his store that I could use as a radio-TV repair shop. He would also order two or three Coronado TVs for display in the store and pay me ten percent commission when I made a sale. That was my start in the electronics business. Now I had the opportunity to put my book learning to the test with some practical experience.

One day, I walked into a radio-TV shop only one block from where my little shop was located. The owner’s name was Frank and he was busy working on the chassis circuitry of a television. I noticed an older console TV with a round picture tube about thirteen inches in diameter. “Frank, that’s a pretty old set isn’t it?” “Yes,” he replied, “I worked on that old thing for hours and it’s beyond repair. The owner finally traded it in. You can have it if you get that piece of junk out of my way.” Frank didn’t know that I would soon be a competitor with a repair shop only one block away. I took the old set and was delighted that I would finally have an opportunity to get some practical experience attempting to fix an old TV that, according to Frank, was beyond repair. I looked for the model number of the old GE black and white television set. Remember, this was several years before color TV became a reality. I ordered a schematic diagram for the set, removed the chassis and placed it upside down on my new workbench to expose the circuitry. Then I took my DeVry Technical Institute multi-meter and began checking the voltages at the contacts for the various vacuum tubes and comparing the voltage readings with those indicated on the schematic. It wasn’t long before I discovered that the where the diagram indicated 190 volts should be at the plate terminal of the tube was instead registering zero voltage. That could only be caused by a burned out resistor. I replaced the resistor and—bingo—the set was fixed. It only required a fifteen-cent part and a half hour of my time. I literally jumped with joy and was extremely proud of myself.

I should have realized that to walk into Frank’s shop boasting about repairing the TV set he had slaved over for hours would trample on his self-esteem. Using some colorful language he told me where the door was. I have regretted that ever since and should have known that it was neither kind nor appropriate. I was simply blinded by my elation to have succeeded so quickly on my first project as a TV technician. Especially after a man with years of experience had given up on it.

It wasn’t long before I sold my first television set. Now I needed to buy an antenna, a chimney mounting bracket, lead-in wire and everything else necessary to produce a picture on a new TV set. In order to purchase the parts I needed to go to Waitkus Supply, a wholesale distributor in Bellingham, and try to open an account. The owner’s name was Stan and I asked to talk to him.

After introducing myself he said “Oh, yes, Sid. I heard about you opening a little shop in the back of a store in Lynden.” I hoped he hadn’t heard about me from Frank who had probably been a customer for years. His smile put me at ease and we struck a deal. Perhaps someone had told him that he could trust me, I thought while driving my green Studebaker pick-up back to the shop. The truck was loaded with everything I needed to start installing TV antennas along with some small parts and radio and TV tubes. (It was way before the use of transistors and solid state electronics) Stan had given me an invoice for over 300 dollars and I promised to pay his company regularly. At that time, stocking small quantities of TV antennas and supplies wasn’t something I could afford to do. Instead I made frequent trips to Bellingham to get what I needed and avoid getting into financial overload. At times I would pick up Margaret and our little boy to accompany me to Bellingham. We would stop at the take-out window of a fast food place, buy a nineteen-cent hamburger and a small milkshake. Then we’d drive to a park and enjoy our lunch and each other’s company. Taking time out to spend with the family is something I’ve always believed in. Good relationships start at home.