City Mill is much more than a hardware store. It has been an integral part of our island community for 115 years. And just like his grandfather and father before him, president and CEO Steven Ai continues that tradition of ‘community-mindedness,’ including his commitment to Aloha United Way<\/p>\n
There is a priceless commodity at City Mill that’s been there for 115 years. It’s never put on sale. You can’t fit it in a hardware kit. Yet it is the most powerful tool in the shop. If Steven Ai, City Mill president and chief executive officer, has anything to say about it — and he does — it will be a part of the company tradition for years to come.<\/p>\nngg_shortcode_0_placeholder\n
Family patriarchs Chung Kun Ai and David C. Ai, Steven’s grandfather and father, brought it to City Mill. It’s been an auspicious force ever since.<\/p>\n
It is community-mindedness.<\/p>\n
What? Not a faster, sharper, user-friendly tool for home builders and remodelers?<\/p>\n
Well, there’s plenty of that and more in the stores. But being a merchant these days entails more than having merchandise and ringing cash registers. As Ai tells it, “My grandfather had a saying (old Chinese proverb) that when one drinks water, remember the source.<\/p>\n
“That’s the key,” Ai adds. “Our source of success comes from our team members as well as the community.”<\/p>\n
In other words, it’s where corporate and social responsibility intersect.<\/p>\n
The culture and environment, both within the company and in the surrounding community, must be robust and viable in order to thrive.<\/p>\n
Ai and his sister Carol Ai May, vice president, run City Mill in the spirit of their elders, who equated leadership with accountability to internal and external stakeholders.<\/p>\n
City Mill’s products help build and maintain quality homes and other structures. Its corporate philosophy builds hope for a community.<\/p>\n
It might sound like a lofty notion, but established kama’aina firms — of which there are fewer remaining — know it’s the sharpest tool in the shed for business survival.<\/p>\n
But the philosophy and practice of building hope must come from the sincere soul of a company. It can’t just be a marketing slogan or façade.<\/p>\n
That’s why City Mill’s CEO is in the spotlight this month. Steven Ai’s community-mindedness touches a chord with two established local entities.<\/p>\n
First, City Mill, Hawaii’s top-rated hardware and home-improvement merchant, is observing its 115th anniversary. It is one of the few family-owned companies that has succeeded to third-generation leadership.<\/p>\n
That is a landmark achievement in itself. Will it make it to the fourth generation? Read on to find out.<\/p>\n
Second, Ai is chairman of 2014 Aloha United Way, the state’s most visible and established charitable organization. The 90-year-old AUW funds more than 300 nonprofit agencies and social help programs.<\/p>\n
Under Ai’s volunteer leadership, AUW will mobilize more than 1,300 local companies and groups to join the annual fundraising campaign during September-October.<\/p>\n
“I’m the head cheerleader,” Ai explains. “My role is to get everybody ready, moving and to inspire them.<\/p>\n
“But also to get out of the way,” he adds, while acknowledging the AUW professionals and volunteers who “do a wonderful job.”<\/p>\n
The goal this year is $9.6 million.<\/p>\n
“You’re kidding,” exclaims Ai, with his characteristic wry humor. “I thought it was $9.6 thousand!”<\/p>\n
Returning to seriousness, he cites a “rebuilding” period after the financial crisis of 2008, when it was “tough for everybody.”<\/p>\n
While course corrections in the economy are being made, social service needs continue for those less fortunate and devastated by job loss or other personal setbacks.<\/p>\n
AUW’s once-a-year giving, primarily through company payroll deductions, is an established and efficient means of distributing charitable resources where help is most needed.<\/p>\n
“One can designate their donation to a cause or agency,” Ai reminds donors. “But I would encourage unrestricted giving. There are many smaller, lesser-known agencies that provide great services to the community.”<\/p>\n
<\/p>\n
Ai’s familiarity and knowledge of AUW’s reach comes from years of company and personal involvement. City Mill has been a pacesetter company for 20 years, donating nearly half-a-million dollars to kick-start the community-wide campaign.<\/p>\n
But Ai’s philanthropic and community outreach isn’t limited to AUW.<\/p>\n
Ai sits on 17 nonprofit boards, including YMCA, Air Force Civilian Advisory Council and American Cancer Society.<\/p>\nngg_shortcode_1_placeholder\n
You’d think that running City Mill, with its eight stores — Honolulu, Hawaii Kai, Kaneohe, Mililani, Pearl City, Waianae, Waipahu and Kaimuki — plus Simply Organized home-storage store and their nearly 500 employees would be enough to keep Ai occupied ’round the clock.<\/p>\n
Well, he does that, gets to all his board meetings and events, plus irons his own shirts. Yes, that’s right. The bachelor CEO presses his own shirts as a form of relaxation and stress relief.<\/p>\n
The Iolani-Whittier College-University of Denver grad says there is no family entitlement to management positions at City Mill. Just as he and his sister were challenged by their parents not to “take the company down the tubes,” Carol’s fourth-generation children must earn their way into City Mill.<\/p>\n
“My sister has two sons, 27 and 30 years old,” Ai says. “We set the succession standards at an early age. There is no entitlement here just because you’re a family member.<\/p>\n
“They have to work twice as hard to prove they belong here,” he says. “They need bachelor and master’s degrees. They must work outside the business for at least five years, get three promotions and have the right attitude.<\/p>\n
“Then and only then will we consider them,” Uncle Steven admonishes.<\/p>\n
“Shirt sleeves to shirt sleeves in three generations,” states the proverb that claims wealth does not pass three generations.<\/p>\n
“The Chinese equivalent is rice paddy to rice paddy in three generations,” Ai recites.<\/p>\n
Historically, only 5 percent of family-owned businesses make it to the third generation. City Mill’s family-run enterprise is a case study in sustainability.<\/p>\n
The company has survived setbacks including several fires, financial panic, a failed sideline pineapple business, two world wars, the Great Depression and stiff competition from big-box discounters in the marketplace.<\/p>\n
Today, City Mill’s sibling executives and their associates are hailed with awards and citations, including Best Place to Work, Hawaii’s No. 1 Favorite Hardware Store, Kama’aina of the Year and Sales Persons of the Year.<\/p>\n
Because of its long history in the community, it is distinguished by its neighborly ambiance.<\/p>\n
What gives City Mill its kama’aina cache?<\/p>\n
“Well, first of all, we can say it and know what it means,” Ai quips. “Kamaaina service is being able to talk story with customers and understand their unique needs. For instance, we have sickles, Japanese saws, jalousies and know about single-wall construction. We know that if you put a screw in the wall, after one inch you’re outside.”<\/p>\n
Is there no end to Ai’s good-natured brilliance?<\/p>\n
Reflecting on City Mill’s 115th anniversary and Aloha<\/p>\n
United Way’s 90th year, Ai lauds longevity but claims it doesn’t guarantee success.<\/p>\n
“We have to constantly look ahead and respond to change,” he says. “We are but stewards of our organizations. The key is to leave it better than we got it.”<\/p>\n
Lest he forget that obligation, Ai has this bit of wisdom posted on his office wall:<\/p>\n
“Never quit. Never do the expected. Never rest on your laurels. Never think great is good enough. Never follow.”<\/p>\n","protected":false},"excerpt":{"rendered":"
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