What Will Lionel CEO Jerry Calabrese LEGACY Be?

He came,he saw and he kicked butt!

Brad

Introduction of the highly acclaimed DVD series "Lionelville"

Canceling the highly acclaimed DVD series "Lionelville" before the release of the first sequel.

Pushing Neil Young out of the Lionel spotlight allowing a "Southern Man" to enjoy Lionel products once again.

He had a pipe dream that didn't make it to the bottom of the funnel. 

Joe

Frankly, his Legacy, as for any CEO who was in charge for ten years, is pretty much the basic one: the company was in operation and thriving when he stepped down.

In his case I think he can legitimately claim it was in better shape  than when he took over: healthier financially and doing a better job of protecting its market share and enhancing its brand image.  But resolving legal woes, developing new products like Legacy and Lionchief and hiring good people is not really his legacy (no pun intended): those are symptoms of good leadership - they happen, as a matter of routine course, in any company that is led from the top well.    

Billboard is probably going to kick butt now . . . 

Wonderful topic, Erol. Certainly thought provoking.

As others have mentioned, he will be remembered for the fact that he left the firm better than where it was at when he took over the reigns. This is a true test of a good leader.

Then there is the subject of the settlement of the infamous lawsuit. I remember just how well you covered this case for us and gave us an insight as to just what was going on. The lawsuit was a real drag on our O-Gauge hobby and getting this roadblock out of the way was a huge accomplishment. Since then we have experienced an environment of friendly competition. No one should underestimate how important the settlement this was for both companies involved. Jerry should be remembered well for taking care of this ugly business.

Lionel saw continuous improvement during his tenure. I've grown accustom to looking forward to what's next, rather than seeking the good stuff from the past. Let's hope it continues now that he has brought Lionel back from a very low point in its history....

I wish Jerry good luck in the future, however Jerry (IMO) did not have the passion that Dick Maddox had or the current team. He was never at York that much (He did sometimes go to the museum but rarely stayed for the show). The current group of Howard, Mike P, Chris and Mike R. go to York, listen to the consumers and customers as well as the retailers. The new team is cutting costs by consolidating everything under one roof. Next, Goodby to NY and that huge overhead should be next! I welcome their ideas and plans for the future.

While the sentiments above are mostly true, keep in mind that the further people get away from specific events or person's actions, the more they tend to reduce or minimalize the events or actions to a single event or action.  In 10 or 20 years, I think he will be remembered as the guy who guided Lionel past the lawsuit or just "the guy that saved Lionel" (the lawsuit itself might not even be remembered by anyone other than the hard-core O gauge fans and historians).  Still, not a bad way to be remembered, IMHO.

The products produced under his watch will probably not be attached to his name in the long run, as products tend to stand on their own merit and they reflect more on the overall company reputation than any one person in the company at the time they were produced, unless, of course, their name were part of the name or the product or line (the Neil Young Signature sets would be an example of this).

Andy

There's a better than even chance that if it wasn't for Guggenheim and Jerry Calabrese, Nassau Hobbies and all the others might not even have (new) Lionel trains available to sell today.

One thing that never changes is that change always continues. Jerry Calabrese apparently knew how to run Lionel ( an did it well)  but unlike some of the other Lionel CEO's was not a "train collector or hobbyist" who didn't have that perspective in his leadership qualities. Jerry is undoubtedly a skilled finance guy but what the company may now require is a CEO that knows and loves trains. IMO, this where Mike Wolf has the edge.

There's a better than even chance that if it wasn't for Guggenheim and Jerry Calabrese, Nassau Hobbies and all the others might not even have (new) Lionel trains available to sell today.

Allan, I think you are reading my post wrong. Jerry was brought in (BTW not by Guggenheim but Wellspring) for a specific reason. Jerry was able to get that job done and he did that well. I am not knocking him, he just wasn't as "hands on" as Dick was. Toy Train companies need people with a love and understanding of the market and product. These are tuff times but so far I really like the way the current team is headed.

"Jerry is undoubtedly a skilled finance guy but what the company may now require is a CEO that knows and loves trains. IMO, this where Mike Wolf has the edge."

AC Gilbert and JL Cowen knew but did not love trains.  Dick Maddox loves model airplanes, not trains.  Richard Kughn knew and loved trains.  I don't see a pattern there .

Mike Wolf has presumably thus had the edge for all of the last 20 years.  Sometimes that has worked well, and others not so well.  I don't see a pattern there either.

What one wants in a CEO is someone who knows how to build a team and motivate that team, someone who understands the basic principles of the business and its technology, someone who understands marketing and finance.  Jerry Calabrese was all of those things despite his critics, who are not exactly captains of industry themselves.

Lionel's pre-eminent position in the three rail segment of the industry, successfully leveraging their advantageous brand name,  are the result of Calabrese and the team he assembled or inherited.  I'm sure he'd be the first to give credit to his team, who are bigger train guys even than Richard Kughn, in terms of technical knowledge at least. 

As an example, almost everyone seriously interested in this hobby knows who Mike R. and Jon Z. are, because they are publicly engaged and have been phenomenally productive.  As long as there are people in senior positions like these guys, the CEO, if he or she is good at the other stuff, could have no trains in their home as far as I'm concerned.

What one wants in a CEO is someone who knows how to build a team and motivate that team, someone who understands the basic principles of the business and its technology, someone who understands marketing and finance.  Jerry Calabrese was all of those things despite his critics, who are not exactly captains of industry themselves.

I agree with Neil here but question who his critics are?

Certainly shawn would seem to be one (at least here). 

In terms of business owners, I don't know, but probably someone out there might not have liked some policies that came about under Jerry.

Side note: I hope the high over head you meant by "NY" was the office location in Manhattan, not the person with those initials. (i had to think for a half second when I read that line!)

-Dave

Those poor kids will never find their parents now! 

There's a better than even chance that if it wasn't for Guggenheim and Jerry Calabrese, Nassau Hobbies and all the others might not even have (new) Lionel trains available to sell today.

Yep, but I would guess it was the lawyers at Wellsprings that guided Lionel through the very complicated bankruptcy and lawsuit and not so much a new CEO.

He rescued a classic brand that had become a business at risk of going down.

Thank you.

Peter

I know I've got a kidnapped puppy joke laying around here somewhere . . . . 

There are many positive points that could be made about Jerry Calabrese run at Lionel and most of them are posted in this thread.

The way I view todays Lionel is one of a company where the CEO must stay connected to all ends of the business.  Lionel is serving a niche market and the more "hands on" approach of Howard Hitchcock may be exactly what is needed. I envision a new Lionel that may diversify into other areas. There is only so much that you can do to grasp a larger share of a shrinking market composed of old guys and then..........?  Time will tell but we won't be seeing Chemistry or science sets anytime soon. Todays generation is one that wants to sit back and push buttons. How does Lionel serve that market?

The Conventional Classics, along with the re-issue of the world famous Larue Shempp toilet paper wrap ! (they even got the correct texture!)  Thanks Jerry, and Lionel !

And to be even a bit more specific...the beloved Lionel PW GEEP...has now been restored to it's correct frame configuration.....instead of all those fakes, forgeries, FARBs, and patent infringements we've been living with since 1970 !

Good point.  I was all Hi Rail w/ some postwar of my Dad's sitting on shelves when these hit the market.  They brought affordable reissues onto my layout which started me down the road to the all postwar  layout that I have today