FrontRangeRVer
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Winnebago's new leader remains bullish
FOREST CITY "” Bob Olson doesn't have any illusions about the challenges facing the company he "took over" Monday.
Winnebago Industries' new chairman of the board and CEO is blunt when he says the Forest City-based RV manufacturer is facing a myriad of issues ranging from plunging consumer confidence to high gas prices to uncertainty caused by the perceived national housing crisis to the upcoming presidential election.
Yet, Olson remains bullish when it comes to the long-term future of the company he will lead now that former Chairman of the Board and CEO Bruce Hertzke has officially retired.
"We have money in the bank, we have an excellent inventory-control program and we make the best motor homes," Olson said. "I've seen us go through downturns before, and just like before, we will come out of it."
The torch was officially passed from Hertzke to Olson on Monday, ending what Winnebago officials say has been an almost three-year transition process. Olson is taking over a company that is still turning a profit but has seen income drop in recent months because of a slow marketplace. This past winter, the company laid off about 200 employees and it shut down production for a week last month.
Olson, like Hertzke before him, is quick to point out that Winnebago has gone through more traumatic times in which it lost money and conducted much larger layoffs than it did in January.
Yet, he said this downturn has been different than the others because of the wide range of challenges in the marketplace.
Olson said what makes it frustrating is that he believes many of the challenges facing his company are psychological.
Take gas prices, for example. Olson used the WIT Grand National Rally as an example of how little the rising price of fuel affects RV owners. He said the jump in gas prices in the past year means a WIT member from San Antonio who drives a diesel-powered Winnebago would pay about $86 more in fuel costs to attend the rally this year.
"If you look at the big picture, you can spend more for one night on the town," Olson said, "but it's that perception that we have to overcome."
"If things don't change from an economy standpoint, we have to do things for the health of the company," he said. "We have to reduce our cost structure or find ways to generate revenue."
That means Olson can make no promises when it comes to the possibility of more shutdowns or even layoffs
FOREST CITY "” Bob Olson doesn't have any illusions about the challenges facing the company he "took over" Monday.
Winnebago Industries' new chairman of the board and CEO is blunt when he says the Forest City-based RV manufacturer is facing a myriad of issues ranging from plunging consumer confidence to high gas prices to uncertainty caused by the perceived national housing crisis to the upcoming presidential election.
Yet, Olson remains bullish when it comes to the long-term future of the company he will lead now that former Chairman of the Board and CEO Bruce Hertzke has officially retired.
"We have money in the bank, we have an excellent inventory-control program and we make the best motor homes," Olson said. "I've seen us go through downturns before, and just like before, we will come out of it."
The torch was officially passed from Hertzke to Olson on Monday, ending what Winnebago officials say has been an almost three-year transition process. Olson is taking over a company that is still turning a profit but has seen income drop in recent months because of a slow marketplace. This past winter, the company laid off about 200 employees and it shut down production for a week last month.
Olson, like Hertzke before him, is quick to point out that Winnebago has gone through more traumatic times in which it lost money and conducted much larger layoffs than it did in January.
Yet, he said this downturn has been different than the others because of the wide range of challenges in the marketplace.
Olson said what makes it frustrating is that he believes many of the challenges facing his company are psychological.
Take gas prices, for example. Olson used the WIT Grand National Rally as an example of how little the rising price of fuel affects RV owners. He said the jump in gas prices in the past year means a WIT member from San Antonio who drives a diesel-powered Winnebago would pay about $86 more in fuel costs to attend the rally this year.
"If you look at the big picture, you can spend more for one night on the town," Olson said, "but it's that perception that we have to overcome."
"If things don't change from an economy standpoint, we have to do things for the health of the company," he said. "We have to reduce our cost structure or find ways to generate revenue."
That means Olson can make no promises when it comes to the possibility of more shutdowns or even layoffs
