Santa Ana-based Ingram Micro Inc. is Orange County’s largest company with $35 billion in yearly sales. But its corporate culture has few big company trappings.
Ingram is the top distributor of technology gear, including software, consumer electronics and almost anything you’d find in an office.
It has nearly 1,000 workers here and more than 15,000 people around the world.
But there’s no corporate jet or lavish executive retreats.
“You don’t see ego or any entitlement type stuff,” said Justin Crotty, Ingram’s vice president of services.
Profit drives Ingram, but not how you might think. The company is downright frugal since it nets just pennies on the dollar.
“We are about as lean and mean as it gets,” said Bryan Moynahan, general manager of worldwide logistics. “We look at margins in terms of basis points, not percentage points. Because we make very little on the products we sell, we are focused on having the absolute lowest costs.”
Chief Executive Greg Spierkel sets the tone by turning off the heat over winter weekends and encouraging workers to bundle up for chilly Monday morning meetings.
Frugality is drilled into workers.
“We preach it,” said spokesman Cliff Crisanti, who has been with Ingram for nearly 10 years. “We are in a tough business and we all know it. Every little bit helps.”
Executives and managers bargain hunt for the best hotel rates. Decisions to travel are made with care. When they fly, it’s economy.
“Before we get on an airplane we evaluate who really needs to get on the plane and whether can we do it over phone and have the same impact,” Moynahan said. “We do that on every trip.”
Workers are encouraged to offer money-saving tips that can be used across the company.
Last year Ingram started an unofficial policy of printing on both sides of paper at all its copiers.
“It was a simple thing but the costs are not insignificant,” said Lisa Locklear, vice president of finance.
Ingram workers characterize themselves as a hardworking, nose-to-the-grindstone lot. They take pride in the company’s dominant role in technology distribution, ahead of key rival Tech Data Corp. of Florida.
“I love the fact that we are No. 1 in the world,” said Kirk Robinson, vice president of channel marketing. “I never want to be No. 2 because I know what the view is from there. When I started here, Ingram was No. 2. I remember the thrill of getting to the top.”
Customers
The company’s customers are called “value-added resellers.” They buy computers, routers and other products from big tech companies via Ingram and then resell them to businesses and consumers.
Ingram sells to some 170,000 resellers around the world. They range in size from big chain stores to small tech consultants.
In a constant search for profits, Ingram also offers services to resellers, including help with marketing, handling of warranties and returns, software licenses and financing.
“We don’t just move boxes,” Crisanti said. “Our job is to make the resellers more profitable.”
A few years ago, Ingram started a logistics division that essentially rents out the company’s biggest assets,some 3.5 million square feet of warehouse space and a huge delivery network.
“A retailer, such as Wal-Mart, will ship us products, we’ll warehouse them and we’ll deliver them to your house,and you’ll never know that Ingram was involved,” logistics general manager Moynahan said. “We are the invisible middle man.”
The company describes itself as a “matrixed” organization, where employees in different divisions often share resources.
“A lot of the petty bureaucratic things that happen in large companies,where there are these silos that can’t be breached,they don’t exist here,” said Terry Tysseland, senior vice president of operations and supply chain. “We are a much stronger company by working across company boundary lines with everybody focusing on the job at hand, rather than protecting their own turf.”
Ingram isn’t afraid to spend money. Last year, it updated the computers and workstations of some 2,000 employees.
And it spent millions to revamp its Web site, which acts as a store for customers to place orders, track them or make returns.
“Our interconnectivity with our customers is a make or break thing for Ingram Micro,” said Deanna Meier, vice president of information technology. “In a lower margin business, you have to use technology to get the most efficiency you can.”
Meier’s group estimates that Ingram’s customer site sees some 130,000 product searches a day.
In Santa Ana, Ingram offers workers fresh, inexpensive food at its own eatery, the Hard Disk Cafe.
“It’s good business sense because you are keeping people inside the house, working,” Crisanti said. “It certainly isn’t Google, but it does the trick.”
Global Team
The upper ranks of Ingram’s executive team are a multicultural bunch. Executives hail from Canada, France, Germany, Ireland and Hong Kong.
It also has women in big roles.
“We have a lot of women in management here at Ingram, in middle and high levels,” Meier said. “I don’t look like a typical IT person, either. I’ve never at all felt like it was a factor.”
Ingram’s culture stresses being open with lots of give and take.
“If I want to talk to our CEO, I just walk down the hall and ask,” Moynahan said. “It’s a very open-door environment.”
Spierkel, who’s Canadian, is known for being genial and open to suggestions.
He sits among a line of executive offices along with No. 2 Alain Monie, president and chief operating officer, and Keith Bradley, president of North America operations.
Some insiders refer to the executive offices as “mahogany row.”
They’re nice, but in Ingram style are more functional than flashy.
Spierkel’s quick to bring people to task, said Lily Arevalo, vice president and senior corporate counsel.
“He will keep your foot to the fire,” she said. “Greg does not hesitate to ask questions. He will ask and dig until he really understands it. He has high expectations you need to meet.”
Emulating Spierkel’s style, managers are direct and communicative.
“There’s a straightforwardness and honesty that we bring to the table that makes people like to work with us,” Crotty said.
Meetings are short and to the point.
“What’s interesting is that we generally start on time,” Moynahan said. “There’s an objective for every meeting and someone asks about it in the first five minutes.”
Participation is encouraged.
“People speak up regardless of rank, title or position,” Arevalo said. “I would say it’s very open and there’s a lot joking back and forth. People give others a hard time in a kind and loving way.”
Ingram has an unofficial “sunshine rule,” Arevalo said.
“Each person is responsible to bring to the light any issue,” she said. “We don’t care about blame. Everyone brings full transparency, full sunlight to any issue to get it out in the open and resolved.”
Problems are dealt with directly and usually on the spot.
“They get solved by talking about them,” said Carol Kurimsky, vice president of marketing. “The true underscore of a collaborative style is that we talk them through and work through them as a team.”
THE TEAM
– Gregory Spierkel: 51, chief executive since 2005. Worldwide president, 2004 to early 2005. Previously was president of Ingram Micro Europe. Joined in 1997 as president, Asia-Pacific. Helped set up Asia operations with buy of Singapore’s Electronic Resources Ltd. Prior to Ingram, spent 11 years at Canada’s Mitel Corp. Got start at Bell Canada in 1979. Grew up in Canada, speaks three languages.
– Alain Monie: 57, president, chief operating officer. Named to posts in 2007. Reports to Spierkel. Came to Ingram in 2003 as executive vice president. Headed Ingram’s Asia-Pacific region for three years. Led 2004 buy of Australia’s Tech Pacific Ltd. Educated in France, speaks three languages.
– William D. Humes: 43, executive vice president, chief financial officer since 2005. Oversees company’s worldwide finances, including planning, analysis, internal audit. Joined Ingram in 1998 as senior director, worldwide financial planning, reporting, accounting. Became corporate vice president, controller in 2002. Was at PricewaterhouseCoopers for nine years.
– Larry Boyd: 55, senior vice president, secretary, general counsel. In posts since 2004. Served as senior vice president, U.S. legal services for Ingram North America, 2000 to 2004. Was partner at Irvine office of Gibson, Dunn & Crutcher, 1985 to 1999. Litigator for 22 years.
– Keith Bradley: 44, executive vice president, president, North America. One of four regional presidents. Reports to Spierkel. Joined in 2000 as controller. Spent four years at Walt Disney Co. as vice president, global controller of Disney stores, other jobs. Before that at PricewaterhouseCoopers in Britain, U.S., United Arab Emirates. Ireland native.
– Ross Crane: 45, senior vice president, finance, chief financial officer, Ingram Micro North America. Came to company in 2005. Previously, served as senior vice president, group financial officer for Avnet Inc. division. Earlier held senior accounting, analyst positions at Honeywell International Inc.
– Brian Wiser: 46, senior vice president, sales, vendor management for Ingram Micro North America since early 2007. Prior, was senior vice president, North America sales. Joined company in 1985. Held variety of sales positions, including vice president, general manager of reseller sales, vice president global major accounts.
– Lily Arevalo: 45, vice president, senior corporate counsel, worldwide legal department. Hong Kong native, moved to U.S. at 11. First in family to go to college. At company for 11 years, including during 1996 spinoff from Ingram Industries Inc. Reports to Boyd. Hosts brunches for runners in charity 5Ks.
– Lisa Locklear: 47, vice president, finance. Joined Ingram in 2003 after eight years at Walt Disney Co. in U.S., London. Manages financial analysis, annual budget, forecasting, heads team that supports reporting for all divisions. Reports to Crane. Collects wine. “Sports mom.” Kids play baseball, soccer.
– Justin Crotty: 37, vice president, services. Works in division selling services to resellers, including recruiting, tech support, engineering, managing warranties, returns, even gift wrapping. Reports to Wiser. Likes mountain biking, running.
– Terry Tysseland: 66, senior vice president, operations, supply chain. Reports to Bradley. Heads purchasing, transportation, operations at company’s eight North American distribution centers, totaling more than 3.5 million square feet. In charge of logistics unit, handles outsourced services for other companies. At company 13 years.
– Bryan Moynahan: 45, general manager, worldwide logistics division. Worked at Ingram from 1987 until 1994, when he left to start software companies. Came back in 1998 to head group that handles Ingram’s biggest accounts. Helped form logistics division in 1999, calls it “Ingram’s secret sauce.” Reports to Tysseland. Surfs, plays golf, rides motorcycles.
– Carol Kurimsky: 48, vice president, marketing. Runs mini-marketing agency within Ingram. Does marketing campaigns to help technology suppliers sell to resellers. Reports to Bradley. Helped launch social networking site The Zone for resellers. Enjoys wine. On board of Santa Ana’s Discovery Science Center.
– Rainer Kozlik: 44, general manager, worldwide private label group. Heads sales of Ingram’s own brand, V7, which got start in Europe. Reports to Monie. Contracts with Asian manufacturers to make keyboards, laptop cases, batteries, cables. Born in Munich. Came to the U.S. through Ingram job in 2006, was managing director for German operations, then vice president of Europe. Plays soccer.
– Kirk Robinson: 44, vice president, channel marketing. Heads group of 35 people who do marketing campaigns for Ingram’s four biggest categories of resellers. Reports to Kurimsky. In charge of data analytics team. Worked up ladder from sales position in 1993. Coaches soccer, learning to surf.
– Deanna Meier: 37, vice president, information technology. Heads all internal technology, manages Web site, specialized sites for customers, vendors. Reports to Bradley. Came to Ingram in 2004 after similar post at Lake Forest-based Apria Healthcare Group Inc. Movie buff, enjoys art films.
