"​ Will Steelcase Dealers Be Brought Down a Peg or Two?"
08/25/25 Edition Stephen Says Column

Dear Stephen,

I’m a sales rep at one of the major manufacturers. I’m not even going to say where. I’ve worked both at Steelcase and HNI – and for now, I may still be working at one of those two companies, but let’s just say my employer is “anonymous.” And that I have a great job & I love where I work!

As someone who loves this industry, I can’t help but wonder how HNI’s acquisition of Steelcase is going to affect dealer owners let alone the people who work for those dealers. Note: I’m not too worried about any of the sales reps who actually work for one of these two manufacturers. . . I think we’re all going to be fine.

Having experienced both cultures and dealer networks, I can tell you that Steelcase is very accommodating to its dealer network. They bend over backwards to support the dealers and their demands. (Steelcase dealers rarely ask for anything – they demand it!) There is a strong sprinkling of former Steelcase employees that are in leadership at Steelcase dealers, and they were hired there intentionally, and paid a premium to curry favors at Steelcase HQ. I wonder how that is working out now!?

Meanwhile, HNI is also very accommodating to its dealers. For instance, Allsteel aligned dealers have had to work twice as hard as the other dealers to strengthen the brand and generate sales. HNI owes them for doing that, along with supporting the HON brand. As I’ve seen you write in this space, Jeff Lorrenger has been very loyal to those Allsteel dealers, and I can’t help but feel he will continue to be! For me, I guess the question is – what does this mean for the Steelcase dealers?

When Herman Miller acquired Knoll, which is now MillerKnoll, they were both snobby brands populated with snobby salespeople. Now with Allsteel and HON, you have more down-to-earth people combining with the Steelcase culture. Much like when Miller acquired Knoll, the company that conquers, in this case HNI conquering Steelcase, usually dominates the future of that culture. Anyway, what are your thoughts and what have you heard in the marketplace.

Signed,
Happy At My Job

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Dear Happy,

First, let me say I’m very happy as well, and that is because I am not going to have to write any more columns about the MillerKnoll acquisition. For now!  

I do believe that this is a great move for HNI and for Steelcase. As far as what I’ve heard in the marketplace, there are allegedly some Steelcase employees hysterical at the thought that their company was acquired by HNI and a brand named “HON.” Personally, it’s a bit of an eye roll for me. Where did they think they were working? Miller or Knoll? Once again, for me, this is like Staples buying OfficeMax. A natural move and good for everyone. . .

. . . Everyone is very fast to say HNI does a great job with mergers – and they say, “look at what they did with Kimball.” Guess what! HNI just bought big blue huge Steelcase; this is not like buying Kimball. Meanwhile, what has happened to Gunlocke, Paoli and HBF? Some of the other brands HNI bought - they remind me of me going to the gym, I know it’s there but can never seem to find it.

I still think Jeff Lorenger deserves congratulations for parlaying this deal - he is a seasoned, capable and bright executive (with a law degree no less), and he is up to the challenge of combining these two companies without a doubt. The products are more alike, just the dealers are different.

This acquisition is a behemoth task, it is not Kimball. Merging sales forces, marketing and manufacturing will affect thousands of jobs, many could be lost. Particularly those at headquarters and manufacturing, most likely at Steelcase. Then, of course, it will also cause a huge stir-up with dealer distribution. If we learned anything from the Herman Miller acquisition of Knoll, it is that contract furniture manufacturers only need a limited number of contract dealers. So, everyone will be taken down a peg or two. Smart dealers should be rethinking their options as to what their primary line is. Is it Steelcase, Allsteel or HON …or should they change their primary line to something new.

The best dealers will survive. It’s not a matter of a manufacture picking or choosing one dealer over another – it’s a matter of which dealer is selling the most product in any given market. That is who they keep.

Now, after HNI, who’s going to benefit most from this acquisition? Haworth! This is because the companies that benefit during these acquisitions are the direct competitors, always. Haworth now has an opportunity to win over both Allsteel and Steelcase dealers while chaos (at least in their mind) is ensuing, since there are simply too many of both dealers. Haworth knows the formula for winning over quality dealers well, proven big time during the MillerKnoll acquisition. They are a logical alternative product for a smart dealer owner thinking two steps ahead. If you’re the number two Steelcase or Allsteel dealer in a major city, I’d be picking up that phone and talking to Haworth if I were you. And if you’re number 3 or 4… you may soon be out the door!

Signed,
Stephen

 

Stephen Viscusi is the founder of www.viscusigroup.com, an executive search firm that specializes in the interior furnishings industry. Hires made through The Viscusi Group are guaranteed a one-year free replacement. Please share your story or comment on this article and send your workplace questions to stephen@viscusigroup.com. Or give us a call at (212) 979-5700 ext. 101.

 

© Stephen Viscusi 2025

 

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