Gorham's Ltd

GORHAM’ S LTD completely changed their buying habits – going from live purchasing to virtual purchasing.” When Gorham’s reopened to in-person shopping, the company was further surprised to see an increase in sales, as customers continued to shop both online and in the store. This unexpected purchasing surge led to supply chain disruptions, as Mackay describes, “It was almost like the wrench was thrown in there and that just disrupted everything. When the COVID situation started to get itself organized, and the vaccine came out and there was hope, everybody started shopping even more. The factories and manufacturing plants weren’t prepared for the huge increase that started coming through the pipelines. It threw everything out of out of whack. It’s something I don’t think anybody could have predicted at all.” Challenged with supply issues, resourcefulness has been the key to success for the company over the past several months. Mackay explains, “At Gorham’s, because we deal with multiple co-ops, our ability to source from three different co-ops versus one was our advantage. The other challenge we had was there were limits on quantity. A perfect example would have been paper towels. Let’s say we wanted to order 144 rolls of paper towels, each co-op would have restrictions, so we would be able to buy our allotment from each of those and we’d be able to solve our need of 144.” Long term relationships are another advantage when it comes to accessing certain products. Gorham’s relies on companies like Putnam Lumber and Weston Wood, who supply specialty and dimensional wood imports. Emphasizing the importance of reliable partnerships with trusted suppliers, Mackay reports, “We’ve had great relationships with both of them for 30 plus years now.” The company imports 99% of their products, so significant warehousing capacity is critical to maintain inventory. Gorham’s 40,000 square foot facility fits the bill and includes a large warehouse, along with the retail store and a lumberyard. “We have a warehouse that can accommodate probably about two months of sales,” says Mackay. He adds that the company has always been very strategic about their ordering, keeping a supply on hand. “We basically buy 12, sell six, and then buy another 12. Just because the timeframe of getting a product is not one week, it’s usually two or three months from start to finish.” Additional supply delays have made wait times longer than usual, making the timing of seasonal inventory more difficult to control. Gorham’s typically employs a staff of 75, but they had a temporary reduction of staff in 2020, when the store was only available to customers virtually due to COVID-19 restrictions. Introducing an online shopping system became a priority during the pandemic. According to Mackay, “Online business for us hadn’t been a