How to avoid the abuse of rank that often
leads to the downfall of furniture retail operations.

The downfall of Rhodes Furniture is on the minds of many thoughtful members of our industry these days. Ex-employees are not the only ones asking how it happened that after 130 years of success, a major retailer will be reduced to nothing. This was a furniture empire that recently noted on its website: “A company that has stayed in business that long must be doing something right.”

If you take the time to read the scores of comments on the “Trade Message Board” of FURNITURE WORLD Magazine’s website www.furninfo.com regarding this unfortunate event, it will be obvious that something went terribly wrong. The postings carried much useful information in the absence of corporate communication in the days just before and just after the successful bid by Rooms To Go.

In addition to this sharing of information among mid level managers, corporate insiders, sales, office and delivery employees, I was struck by the tremendous surge of human emotions— dismay, hurt and confusion as well as anger and outrage at the top executives responsible for the corporate culture and direction of the failed firm. Many of us who have worked on the retail side of the furniture industry can empathize with these feelings. I too have been in a spot similar to the Rhodes associates who found themselves suddenly, and without warning, looking for a new job.

Is there a constructive, rational lesson to be learned here? I believe so. Perhaps it is best described by the word, hubris. This is a fancy word used by scholars, but it is appropriate. It means overbearing pride, even arrogance. Hubris is a Greek term that originally described a kind of insolence that leads to personal downfall and ruin.

I don’t know enough about the situation to personally apply the word hubris to Rhodes, but judging from some of the web comments, many of those involved would agree that it fits. The Rhodes tragedy reminded me of some of my own experiences during the thirty-year or so stretch I have served in the furniture industry. I can quickly think of four characters with whom I was associated who went down because they were infected with a blind hubris. These top executives were generally pretty decent guys early in their careers, but once they achieved some success and recognition, something took place that changed them. After this change they could be found strutting down the market halls of High Point. They began to read their press clippings, buy-into their own legends, and decided that they were entitled to much more than a lion’s share of corporate profits.