Furniture Manufacturing Relationships Build Growth

It is a strategy that has worked well for the Holly Springs, NC-based firm. Founded in 1995, OFM has had 17 continuous years of growth contracting with OEMs in Taiwan, China and Mexico for its products, says Abel Zalcberg, company founder and chairman of the board."In the beginning, it was a matter of balancing the dollars and costs," he says of the decision to import products and not produce domestically.That situation is slowly changing with the recent addition of OEMs in North Carolina to manufacture the company's new profile tables and tops for mesh base conference tables, says Blake Zalcberg, CEO. However, he adds, OFM continues to maintain close relationships with its foreign manufacturing partners.

"With the globalization of the economy, it's foolish to close any doors."OFM Inc.OFM stocks more than $4 million in finished goods inventory. The company has 33 product categories, with an estimated 3,600 SKUs available for next-day delivery. To ensure the manufacturing quality of the furniture and accessories, OFM implements strict control measures, both overseas and domestically. According to Blake, 5 to 10 percent of all product brought to OFM's 124,000-square-foot warehouse facility in North Carolina is routinely checked for overall quality, tolerance and consistency.

"The brand is OFM and we have exclusive rights for the items," Abel says of the company's strict standards for its products.OFM offers 33 categories of products, including: chairs, cubicles, tables, desks and accessories, as well as GREENGUARD certified items. According to Blake, an estimated 3,600 SKUs are maintained by the company."We proactively purchase product to ensure we have everything in stock," adds Barbara Zalcberg, president and co-founder.In determining the company's inventory, Abel says OFM has devised a purchasing formula based on the lead time on the water, plus the lead time for the manufacturer and usage for that period.