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Hogan Hardwoods-A fast-rising business

dreams, started a hardwood distribution business in Ruston.

Few fledgling businesses survive the first year or two, but this particular

proven the business savvy of its young entrepreneurs David Hogan and Clay Hipp.

Operating state-of-the-art manufacturing facilities in Ruston and Little Rock that ship hardwood moulding nationwide, distribution yards in six states, and an international sales office, Hogan Hardwoods is a major distributor of hardwoods and architectural building materials. The rapidly-growing company sells its wares to a diverse customer base, primarily custom cabinet shops, commercial millwork companies and retail lumber yards.

The company recently bought the five Southern distribution yards previously owned by Frank Paxton Lumber Co., effectively absorbing its biggest competitor. A little more than a year ago, Hogan purchased the plywood plant once owned by Willamette in Ruston and moved its manufacturing and moulding production to that 44-acre site. With these acquisitions, the company now boasts close to 500 people working throughout its sprawling, multi-state operation, and is exceeding its annual sales goal of $200 million.

How has a young upstart business achieved such success so quickly?

“We have a lot of good people,” says Ward York, vice president of operations for Hogan. “We have a well-trained staff, and have good communication with our customers.” He adds that founder and CEO David Hogan deserves a lot of the credit for the firm’s accomplishments.

“David’s vision is remarkable,” York asserts. “Getting the best people is one of his strengths.”  Offering a good range of products and an efficient, dependable customer service system are also key. In a very competitive industry, says York, “we hustle, and people seem to like that. We are customer-service-driven. We are real savvy business people, but we try to do everything with integrity.” He adds that the company has always plowed its profits back into the business.

Hogan got his start in the industry with a sales job for a Canadian melamine manufacturer that had a Ruston plant. A native of Arkansas, he and his family had moved to the city when he was 12, and he spent some time working in the family construction business there.

He and friend Clay Hipp – who was also in melamine sales – saw an opportunity for a hardwood distributorship in north Louisiana, and in 1993, they founded Hogan Hardwoods & Moulding.  Limited funding meant they initially had to rent out storage units in the back of their 2,500 square foot building for extra cash flow. Today, that original building on Haddox Road is still in use, but there are no more leased storage units. The space is filled instead with Hogan employees, equipment and products, and additional warehouses have been built on adjacent lots.  A need for still more administrative space has led the company to lease the second floor of a downtown Ruston building.

As the company grew, Hogan’s father, Paul, and older brother Bill, joined the enterprise, serving as senior vice president and vice president of sales, respectively, adding depth and experience to the management circle.

York explains the company runs its distribution network with a “hub and spoke” configuration:  they have a central manufacturing and distribution center in Ruston and in Little Rock, Ark., with distribution yards extending out from these two sites. That network developed as the company began to grow, and “we would service a territory out of here (Ruston) and then open a yard.”  (Next Page...)