The second stop on our Maryland dealer tour gave us an opportunity to reconnect with old friends.
presented by Sharp, RISO and Continuum
Advance Business Systems headquarters and showroom in Cockeysville, M.D.
The first time I called on Advanced Business Systems in Cockeysville, Maryland, 45 years ago, I was a DSM for Saxon Industries. I remember meeting the owners Alan and Lois Elkin, who sat with their desks side-by-side with a pet dog in between. They were relatively easy on a young DSM, and I appreciated that very much.
When I began publishing my newsletter, the first iteration of The Cannata Report, Alan was one of our first subscribers and remained faithful for 25 consecutive years. In 2016, I had written an article, and Alan contacted me about getting reprints. He insisted on paying for them. As a long-time supporter of our publication, that was not going to happen. But he did make me promise to visit in the future.
Unfortunately, Alan passed away in September 2017, and I deeply regret we were unable to book the trip in time. But I believe Alan would have been pleased to learn we kept our word.
Alan and Lois’s son Jeff now runs Advanced. After Alan passed away, Lois had a serious health issue and became too ill to work. Still, she wanted to join us for dinner, and Jeff brought her along. It was a pleasure to see her again, and it took me back all those years to when this industry was starting to heat up. This time, we brought Carol because I wanted her to meet Lois. The two hit it off immediately.
Even though Lois needs a wheelchair to get around, don’t let that image give you the wrong impression. She remains sharp, still has that quiet presence, and speaks with confidence and awareness. She is proud of Jeff and what he has done with the company.
Advance’s Roots
Advance’s reception area showcases many of its awards.
Advance’s rich history stretches back to its founding in 1964. However, the company’s true roots can be
traced to 1961 when Alan and Lois first met. That’s when Alan arrived in Baltimore to take a position as branch manager for the Victor Comptometer Corporation. While in Baltimore,”¯he met Lois Shanman, a mathematics graduate of Goucher College and at that time, the first female manager of a regional computer test center for IBM. A year later, Lois and Alan married.
As successful managers for their respective organizations,”¯Lois and Alan had a burning desire to start their own company. They officially opened Advance Business Systems & Supply Company on July 10, 1964, living off their savings for the first two years. Sharing a modest 1,200 square foot office, Lois and Alan handled everything from sales and phone orders to packing and delivering supplies. The products Advance sold included copying supplies, ribbons, carbons, and duplicators.
The Elkin’s story is similar to so many other early entrepreneurs of our industry who sold out of their cars, garages, and basements until they could afford a small office. Through it all, those dealers maintained a simple credo of taking care of the customer. It’s the same credo the Elkins adopted at Advance, and one that continues today under Jeff’s watch.
From its humble beginnings, Advance has grown to a $40 million dealership. Besides traditional imaging technology, Advance has a thriving services business with 5% of revenues derived from managed print services and another 6% from managed network services. The company has an impressive state-of-the-art NOC (network operating center) that it completed in 2017. The plan is to grow the services segment of the business to comprise 50% of revenues.
PULL QUOTE: From its humble beginnings, Advance has grown to a $40 million dealership. Besides traditional imaging technology, Advance has a thriving services business with 5% of revenues derived from managed print services and another 6% from managed network services.
Remaining Relevant
Advance’s Network operating center
An astute businessperson, Jeff recognizes the ongoing disruption in the industry and understands the changes that need to be made to maintain profitability and longevity. When I asked how Advance was dealing with the decline of print and the advancement of imaging technology and the internet of things (IoT) and all that goes with it, he quipped, “Where there is disruption, there is opportunity.”
A big opportunity for Advance occurred last year when Ricoh sold much of its direct MIF to select independent dealers. Advance was fortunate to be part of that group.
“We benefitted from the Ricoh MIF sale,” stated Jeff. “It has been extremely helpful to our business and changed the relationship completely. It’s easier to partner when you’re not competing [with each other].”
The dealership is on a mission to grow through adjunct services such as MPS and MNS, and sell deeper and wider into existing accounts. Traditional organic growth and acquisitions will also contribute to future growth.
Jeff understands the dangers of growing without a strong, prudent plan.
“Do you want me to do it fast, or do you want me to do it right?” he said.
People First
Advance’s Network operating center workstations
Consistent with Advance’s long-standing core principles, Jeff summed up the dealership’s fundamental approach to the business. “We want to continue to improve our customers’ business efficiencies,” he said. “If we continue to do that, we will continue to be successful.”
A key factor for this 54-year-old company’s longevity is recognizing that it is responsible for taking care of not only their customers, but also their employees.
“It’s our job to improve our customers’ business,” explained Jeff. “We’re not in the copier business or IT business. We need to be doing things that are meaningful for our customers at a high level. The way you do that is by selecting the best people and developing them. We’re improving people’s lives. It’s not just a job, not just a career, it’s about making life better for our employees as well. You work harder than anybody else. You surround yourself with the right people. You can’t live without your customers, and they can’t live without you if you’re doing it right.”
That commitment to developing employees is shared by Advance’s Chief Operating Officer Joe Zito.
“I love working with people and watching them grow,” said Zito. “We’re always open to knowledge. We call it skill, but it’s really behavioral changes.”
However, doing that can sometimes be fairly uncomfortable.
“But when we do become comfortable, we’re not learning,” added Zito, stressing the dealership’s commitment to continued growth.
With a strong foundation, Advance continues to grow (10% last year), which is a tribute to the company and the legacy established by the Alan, Lois, and now Jeff. No doubt the company is well positioned to compete in the future, buoyed by Jeff’s quiet leadership that enables his tenured staff to do their jobs and do them well.
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