1983-1985 TSI: GrandAd: The Datamaster Clients

Posted on May 6, 2021 by Mike

A good fit for several agencies. Continue reading →

IBM’s Datamaster was widely disparaged in the technical press. PC’s and Macs were the rage. The reasons for this evaluation were persuasive, if a little superficial.

A Datamaster cost a lot more than a PC.
The Datamaster’s programs only ran on Datamasters. Many hardware vendors were offering PC’s that were “IBM compatible”.
The Datamaster could in no way run PC programs.
The Datamaster’s peripherals—displays, printers, keyboards, and hard drive—were very limited.
The Datamaster’s specs were inferior. The processor looked very slow.

Nevertheless, the Datamaster was a very good computer for TSI. It was extremely easy to program, and it was very good at the two tasks for which it was designed—data processing and word processing. It was also quite reliable. PC’s crashed all the time. Some of our clients used their Datamaster’s for years without ever making a service call to IBM. Those who did were uniformly satisfied with the attention that they received.

For the ad agency application there was one other overriding advantage. Up to four Datamasters could use the same hard drive. This allowed the media department and the accounting department to have access to the same data. In the early eighties personal computers were totally personal. Reliable networks were many years away.

Yes, the Datamaster was horrible at other tasks such as spreadsheet, and it had absolutely no capacity for graphics. However, most of the people who owned and ran small businesses in the early eighties were interested in addressing business problems. They did not care much about system specs, and the fact that IBM sold and supported the system was of paramount importance to them.

I am almost positive that our third ad agency client was Communication & Design (C&D)¹ in Latham, NY, just north of Albany. The principals were Fran (a guy) and Theresa Lipari². The agency purchased two Datamasters and a hard drive. I am pretty sure that by this time TSI was in IBM’s Business Partner program as a Value-added Remarketer (VAR), and C&D bought the hardware through us. We only needed to make minor adjustments to the software system that we installed at Potter Hazlehurst, Inc. (PHI).

It was a long drive, but unless there was snow on the highway, it was never stressful. Best of all, the sun was never in my eyes.

Nevertheless, I made the drive to Albany quite a few times. There was no avoiding personal involvement at several stages in these installations. The transition from manual ledgers to computerized accounting systems was never trivial. The first few monthly closing processes never went completely smoothly.

For several years I worked very closely with the woman most involved with C&D’s system. She was definitely the bookkeeper. She might have also been the office manager. I found her to be intelligent and very easy to work with. I am therefore embarrassed that I cannot remember her name. I recall clearly, however, that she was a big fan of the New York Giants football team. She had even bought vanity license plates for her car that said “NYGIANTS”.

When she left the agency, she was replaced by a woman who was as tall as I was. I don’t remember her name either, but I think that it was French, maybe Bissonet.

I also dealt with the media director when they implemented the media system. I don’t remember her name either, but she was, I am pretty sure, also a principal in the business. She explained to me about inserts³—the advertising pieces that were stuffed into the middle of a newspaper, usually on Sundays and Thursdays. From a database perspective they had pages like direct mail pieces but schedules (lists of newspapers and dates) like newspaper ads. Since we were already using the same set of files for direct mail and newspaper ads, it was not too difficult to set up ad types for inserts.

I remember meeting with Fran after the whole system had been in place for a while. He told me that the media director had started her own agency, and she had taken some of his best clients with her. I never encountered any business that was as “dog-eat-dog” as the ad agency business.

I generally drove up to C&D early in the morning and back at night. I sometimes stopped for supper at a restaurant in East Greenbush. I generally listened to WAMC, the powerful NPR station in Albany. Once I heard—for the first time—the entire recording of The Phantom of the Opera. On another occasion I listened to Lt. Col. Oliver North defending his actions in the Iran-Contra hearing.

A couple of times I stayed overnight. A Howard Johnson’s hotel was right across the street.

Perhaps our easiest installation ever was at The Edward Owen Co. in Canton, CT. The owner was Ken Owen, who was a few years younger than I was. We had (and still have) similar interests. He majored in the classics at Harvard, which prepared him well both to teach Latin and/or Greek somewhere or to take over the family business after he graduated. He chose the road more taken.

The company was named after Ken’s grandfather, who had built the business up to be one of the most successful in the Hartford area. Ken’s father had apparently undone most of that. When we worked with the company Ken had only a part-time assistant and a resident artist who was not on the payroll. His father, who taught Latin at Avon Old Farms school, stopped by occasionally.

It was an easy installation because Ken was the ideal client. He understood and could explain exactly what he wanted. Furthermore, no one else had their fingers in the pie.

Ken and I initiated a lifelong habit of greeting each other on Exelauno Day⁴ (March 4). Sue and I also went to visit him, his wife Patti, and their two sons a few times. He drove to our house for one of our Murder Mystery parties, too.

This requirement alone would leave me out.

Ken was a serious runner. The advertising agencies in New England sponsored a mile run for CEO’s every year. He easily won whenever he entered. I often asked him for advice about running, although what I did he would probably call strolling. I was never close to being in his league.

I don’t remember the name of the artist who worked there, but I vividly recall the nice drawing that he executed for us. It showed three people in choir robes singing from three different hymnbooks labeled “accounting hymns”, “media hymns”, and “production hymns”.

We also asked Ken to help us with the one and only advertisement that we ran. It appeared in one issue of AdWeek New England. That experience is described here.

We created one new module for Yellow Pages advertising. The unique thing about Yellow Page advertising was that the agency only ordered it once. It then ran year after year until someone canceled or revised the ad. Ken’s father said that it was the best kind of advertising. All you had to do was open the envelope every year and endorse the check. Unfortunately, none of our other clients ever had a used for this module.

Ken’s business near Route 44 was next to a strip mall that contained a Marshall’s. We did not have stores like that east of the river. I often popped in there to see if they had anything cheap in my size.

Ken’s company is still in business. He moved the company to Sheffield, MA, which is south of Great Barrington. He also changed the focus of his efforts to, of all things, custom programming. The company’s web page is here.

As you can probably guess, Group 4 Design, which had offices on Route 10 in Avon, CT, was not a full-service advertising agency. They did not place any ads, and, in order to avoid charging sales tax, they were careful not to deliver anything tangible to their clients.

In other ways, however, they were like an ad agency. They billed the time spent by employees, and they could use the job costing and accounting functions designed for ad agencies. So, we treated them as an advertising agency without a media department, an approach that seemed to work well.

This was Group 4’s headquarters. Google says it was permanently closed, but Frank still lists himself as president..

I am not sure who the other three members of the “Group” were, but when we worked with them the firm was definitely run by Frank von Holhausen⁵. Once the system was up and running he seemed satisfied with it. The only thing that I can remember about him is that he was in a dispute with the state because his company had not been charging its clients tax on Group 4’s services. At the time the state had a tax on services⁶ and the only services exempted from the tax were legal and accounting. Frank complained, “They want to tax my brain!”

I worked almost exclusively with Joan Healey, the bookkeeper. She had difficulty with the first few monthly closings, but after she understood the process, Group 4 was a good reference account for TSI.

Adams, Rickard & Mason (ARM), an ad agency in Glastonbury, CT, used the GrandAd system until it merged with another agency in 1988. I never met any of the principals. In the negotiations and the initial installation we dealt with the head of finance for the agency. His name was Dave Garaventa⁷.

We met at the house in Rockville. Debbie Priola and Denise Bessette were in the office working. Sue and David and I sat around a table in the office. We were going over some reports that he wanted included in the system. Four of the five people in the room were smoking. After about an hour of this I felt horrible. I excused myself and walked outside to get some air.

At the time of the installation ARM was in the process of moving into offices that someone at the agency had designed specifically for them. Visually, they were quite striking. However, half of the building was on stilts. the area beneath it was used for parking, However, in the winter that half of the building was always cold because it was surrounded by cold air on all sides.

All of the employees were ~~forced~~ asked to take a pencil-and-paper multiple-choice test to determine whether they were “left-brained” or “right-brained”. The results were interpreted as a multi-colored strip that was displayed beneath names on offices and desks. I am not sure why the agency did this. I researched hemispheric specialization pretty thoroughly in college. This was bogus.

Our software maintenance contract with ARM was the same one that we had with every other client. We offered free telephone support during business hours, which were clearly explicated in the contract.

My fingertips were on the keyboard, not each other.

Weekends were sacred to me. I had virtually no time available during the week to program. I spent those days driving around to clients and prospects, training Denise, setting up her work, and writing proposals and documentation. On Saturdays and Sundays I worked on the custom programming that I had promised our clients from before dawn until I got very sleepy in the evening.

On one Sunday morning the phone rang. It was Dot Kurachik (or something like that), the bookkeeper at ARM. I worked with her for almost an hour and solved her problem. I sent her a bill for $75, our minimum charge at the time. She refused to pay. I talked with her boss, and he overruled her.

Cronin and Company of Glastonbury, CT, might be TSI’s only Datamaster client that is still functioning as an ad agency in 2021. Our primary contact was Mike Wheeler, who was, I think, the head of finance. He seemed very level-headed. We did only a little custom work for them.

Cronin did not have this door when I spent time there.

The main computer operator’s name was Jeannine Bradley⁸. After using the GrandAd system for several years, Cronin was persuaded to convert to a different software system. We did not get an opportunity to bid on this. We would have proposed a System/36 or an AS/400.

Jeannine called our office about something (I don’t remember what), and she confided to me that they now thought that they had made a mistake when they bought the new system.

I don’t recall any strange or funny stories about this account. The employees always seemed straightforward and competent to me.

The strangest of all of our installations was at Donahue, Inc., an ad agency in Hartford. We did not sell them a Datamaster. They somehow obtained one that had been purchased by Harland-Tine back in the early eighties. The installation at Donahue began in the first months of 1988. It was TSI’s last Datamaster installation.

You could say that Donahue Inc. was “old school”.

Donahue’s building did not look like it housed an ad agency or any other business. It looked like an old school, which is close to what it was originally used for. It was the custom-built home of the Cathedral Lyceum⁹. That designation was clearly etched above the front door.

I don’t remember ever talking to a principal there about what they hoped to accomplish with their system. Their goals, which were explained to me by a woman whom I hardly saw again, were relatively modest. They just wanted to automate their billing and accounting.

The only person whom I dealt with after that was the bookkeeper, a young inexperienced guy. He knew nothing about computers and very little about either bookkeeping or advertising. He and the Datamaster and the printer shared office space with the agency’s kitchen, which was on the ground floor of the building. The first few monthly closings were a nightmare.

Did I mention that there was no heat in the kitchen? The two of us sat there wearing overcoats and stocking caps. The person not operating the Datamaster wore gloves. People wandered in, got a cup of coffee, and quickly retreated to the area of the building that was heated.

The young man who did their books and operated their Datamaster confided to me that his goal in life was to become a real estate agent for Century 21. He really thought that their trademark blazers were cool.

Darby O’Brien Advertising (DOB), a full-service ad agency in downtown Springfield, MA, was not actually a Datamaster client, but I included them is this blog because they used the version of the software designed for the Datamaster. Darby¹⁰ insisted on using a Wang PC sold by one of his clients, a store that sold and repaired computers. We grumbled about this plan, but supporting their system this way turned out not to be too difficult for us.

They needed to purchase a license to use Work Station Basic¹¹, a DOS-based product that supported all of the syntax used by the Datamaster’s version of BASIC. We also charged them for converting our code to a format that the Wang¹² PC could use, but that took less than a day. In the end they probably paid more for a demonstrably inferior product. Unlike the Datamaster, a Wang PC could run other applications such as Lotus 123, but to my knowledge it was never used for that purpose.

When we installed the system, the accounting person was Caroline Harrington. For some reason Caroline resigned her position at DOB and came to work for us. Sue must have arranged this. I certainly did not recruit her.

In the eighties DOB’s offices were behind one of these two doors.

The agency’s building was in a rough part of town. It was less than a block away from the stripper bars. I was still relatively bullet-proof then, but I did not like to be there after dark. We did go there at night once, and we had a great time. The agency threw a party, and they invited all of their clients and vendors.

A very good live band played oldies from the fifties and sixties. The highlight of the evening was when they played the Isley Brothers’ hit, “Shout!” Everybody (except for me and my monkey) knew when to get down low, when to raise up, and when to shout. I hate rituals, but this one sort of made me wish that I had gone to at least one mixer.

The restrooms in the DOB offices were easy to find. The door to the men’s room was decorated with a three-foot high picture of Elvis Presley. The ladies’ room had a similarly sized portrait of Marilyn Monroe.

1. The ampersand was important. It was emphasized strongly in the agency’s logo.

2 .The Liparis’ last name was pronounced Lih PAIR ee, unlike the island just off the coast of Sicily, which is pronounced LEE pah ree with a trilled r. I am pretty sure that Fran and Theresa reside in Plymouth, MA, in 2021.

3. I later toyed with the idea of using inserts as the basis of a new business for TSI. Details are here.

4. Ken told me that “Exelauno!” is the Greek word for “March forth!” Google translate does not agree. I sold my ancient Greek dictionary at the end of my senior year. So, I can’t look it up. The origin of this custom is documented here.

5. Frank von Holhausen is now listed as the founder and Chief Design Officer at Forge Design & Engineering of Oxford, CT. His LinkedIn page is here.

6. Frank’s lament and the difficulty that TSI confronted in determining how much of what we did was service and how much was product acted as a key plot element in the short story that I wrote in 1988. The details are here.

7. Dave Garaventa died a year or so after we installed the system.

8. In 2021 Jeannine Bradley lives in Cromwell. She might still work at Cronin. She was promoted to accounting manager in 2012.

9. The Lyceum was built in 1895. You can read about it here.

10. Darby’s agency is still in business, but it has changed locations a few times. The latest headquarters is in South Hadley. He tells his own story here. I can’t believe he let them photograph him wearing a Yankees hat in Massachusetts.

11. Workstation Basic is described in some detail here.

12. Wang filed for bankruptcy protection in 1996.

1988-2004 TSI: AdDept: The Macy’s Installation

Posted on April 15, 2021 by Mike

The first AdDept client. Continue reading →

In early 1988 Sue Comparetto, who had handled the GrandAd accounts in New York City, received a call at TSI from IBM’s Manhattan office. One of our contacts, Quique (KEY kay) Rodriguez¹ wanted to talk with us about Macy’s New York. Its advertising department had been using software programs on an obsolete System/34 to keep track of its advertising expenses and income. The system had been developed internally by people who no longer worked for Macy’s. Documentation was minimal.

Macy’s New York had recently merged with Macy’s New Jersey. The new entity was called Macy’s Northeast, and its offices were on an upper floor of the “world’s largest store” on 34^th St. in Manhattan. The advertising department’s existing system had already been stretched to the limits and would never be able to handle the increased load. Moreover, the users were not happy with some aspects of the code. Alan Spett², one of a very large number of vice-presidents at Macy’s, had been provided by corporate with a budget for replacing or updating the existing system.

This may have been the last time that I actually jumped.

I jumped for joy and clicked my heels when I heard about this opportunity. For some time I thought that companies that produced and/or scheduled their own advertising represented a attractive untapped market for the skills and knowledge that we had acquired from our seven years works with advertising agencies. Evidently I was right. We had never approached any of these departments because I had absolutely no idea how we could even identify which companies created and placed their own ads.

Coincidentally, IBM had just announced a new mini-computer, the AS/400, to replace the System/36 (which had replaced the System/34 in 1983). This announcement and its implications for TSI are described in considerable detail here.

The train brought us to Penn Station, only a block or so from Macy’s.

I made several trips by Amtrak train to the city to document the requirements for the new system. Sometimes I was accompanied by Michael Symolon, TSI’s marketing director at the time, and sometimes by Sue. We soon learned that Macy’s advertising department did everything that an ad agency did except keep track of the amount of time spent on individual production jobs. In fact, they had an advertising agency name that they used when ordering media. In addition, the department had many other needs that regular ad agencies lacked. Specifically, they were required to allocate both production and media expenses to the selling departments. These departments were identified by three-digit numbers. Each was assigned to an administrative group that also had a number. In turn there were three levels of vice-presidents who “owned” administrative groups³.

Macy’s also billed the merchandise vendors (Clinique, Ralph Lauren, Levi’s, etc.) a portion of the expense for ads that featured their products. The cost to the merchandise department was net of these “co-op” billings. The contract could be for a percentage of the media cost or it could be a fixed amount.

The first phase of this job entailed providing Macy’s with everything that they needed to get the ads in all media scheduled—printed schedules in the format that they liked, “insertion orders” (called “delivery tickets” by other retailers) to accompany the materials sent to the media vendors, and so on—in every media. It also included keeping track of expenses and co-op for each level of the merchant hierarchy. There were several different formats that they used for reporting these breakdowns.

I envisioned that the creation of any ad would consist of five steps:

An ad number within the season and a version code that was usually blank would be entered, or ad numbers could be assigned by the system by pressing a function key.
A new ads screen allowed selection of the ad type (e.g., black-and-white ROP) and entry of the primary run date, which must fall with the season.
The other information that applied to all of the media for the ad would be entered on a header screen. This varied by type of ad, but each screen included selection of a pub group—a list of newspapers, markets, or stations.
A media selection screen showed one line for each pub in the pub group with dates, quantities, rates, and other costs or discounts. Any line could be edited or deleted. Additional pubs could be specified.
A participants screen to provide the list of departments or groups for the ad with the expected cost percentages and co-op amounts for each.

Storewide ads could be entered rather quickly. Ads with many departments or groups might take a few minutes. This approach was warmly received. The employees were accustomed to specifying the participants for each pub in the ad.

After the schedule was created, any aspect of an ad could be changed, or the ad could be killed, (in exceptional cases), deleted, or moved to a different date. New ads could be defined. Once the ad was run, the actual participants and the actual co-op could be provided. History records with dates, times, and user ID’s were kept for all changes.

How did Macy’s determine the percentage of the actual cost of each ad that was to be allocated to each department or administrative group? The process astounded me. In one room⁴ were seated from three to five clerks. Each was provided with a stack of newspapers and a list of ads that were scheduled to be run as well as lists of department numbers and the numbers of administrative groups. They looked through the newspapers to find the ads that Macy’s had run. They then measured—with a ruler!—each of the “blocks” in the ad to see how many columns wide (six columns to a page) and how many inches deep (i.e., vertically) the block was. They then entered the column inches for each block. For blocks that were not specific to a department or group, a special “storewide” department #999 was created. The total of the measurements must exactly equal the total size of the ad.

My approach changed this process so that the clerks measured ads, not insertions (the ad in a specific paper). If the ad was already measured, the clerk could see what had been entered, who did it, and when.

A similar process was also required for each page of each direct mail piece and newspaper insert. The ads for other media were not measured, but actual percentage breakdowns were recorded.

Similarly, the actual co-op dollars received from the selling departments (a process called “turning in”) could be recorded. Lists of missing co-op could be printed.

The most important financial reports for Macy’s compared the committed co-op and costs with the actual measured costs and actual co-op. They could be run for any or all merchants (the vice presidents who owned the departments) and any or all media.

Camex was located at 75 Kneeland St. in Boston.

In addition to all of this, Alan had ideas for other modules such as an inventory system for the merchandise used for photo shoots in the studio in Newark and a system to manage the shoots themselves. He also wanted us eventually to work on an interface with the Camex system that Macy’s used to create the images for the ROP⁶ ads and books. Thank goodness these ideas were not included in the original contract.

TSI’s GrandAd system for ad agencies had been built around a file for ads, the key to which was a three-digit client number and a five-digit job number. So, each client could have up to 99,999 jobs. For the departmental system, which I decided to call AdDept, I designed a similar structure, but, since Macy’s itself was the only client, I made the three-digit code stand for the season. 891 meant spring of 1989. 892 was fall of 1989. Eventually, a one-digit code for the century was added as well, but otherwise this proved to be a very feasible approach.

Many other structural changes were necessary. The most significant one was the designation of a one-character version code as part of the unique identifier (key) to the main media file. This could be used to make distinctions that varied by pub (media vehicle). For example, one item in an ad might be “swapped out” for a different item in another ad. The catalogs sent to some markets might not include some pages.

The new table for the pub groups mentioned above allowed Macy’s to identifying papers in which they often ran the same ad, e.g., the tabloids. There was no limit on the number of pub groups, and pubs could be in any number of pub groups.

I did not mention this to anyone at the time, but while I was gathering requirements, I noticed a very serious flaw in the design of Macy’s existing software for the S/34. The same ad was run in a few papers, but each insertion in each paper was given a separate ad number. The clerks doing the measuring were each assigned one or more newspapers. They measured and then entered into the computer the amount of space for each department in each ad. The person next to them might have already measured the same ad in a different paper, but there was no way for them to use that information; they had to key it all in again. So, with the S/34 design the increase in the number of papers added by the merger would more than double the work in allocating costs. My approach would decrease the work even with more papers. They would only measure the ad in one paper.

How great was this? The ROI for this feature alone would easily surpass the cost of the entire system in the first year!

How was such a colossal blunder possible? Well, the S/34 programs were designed for Macy’s New York, which advertised almost exclusively in only three papers: The New York Times (a broadsheet), the Daily News (a tabloid), and Newsday, a Long Island newspaper with a unique shape. Each of these would require separate versions and therefore separate measurements. However, all of the new papers were either tabloids or broadsheets. There was no need for separate measurements.

At some point in mid-summer TSI needed to do a presentation for Macy’s at IBM’s office on Madison Avenue in New York. There was no competition; no other software developer wanted anything to do with this project. The alternative for Macy’s was to enlist their IT department to do something. No one mentioned this, but I was quite certain that the IT department would not be able to deliver a functioning system that met all the requirements within the required time frame. Of course, I was not certain that we could do it either. However, we had delivered several large projects on schedule, and I was willing to put in the hours⁵ to make this one a success.

590 Madison Ave., then known as the IBM Building.

I wanted to demo the GrandAd system and explain how we would adjust the database to fit Macy’s. I made arrangements to use a S/36 in IBM’s office at 590 Madison Avenue to show how our advertising agency system currently worked and how it could be adapted. I considered–and still do–this to be the most important presentation that I ever gave. It was my only chance to persuade Macy’s Advertising Director, Howard Adler, that TSI should be contracted to do the project. I figured that if we got Macy’s, and we did a good job, a whole new market would be opened to us. At that point I was still naive enough to assume that other retailers would surely be much less difficult because we had already done the programming for the largest retail advertiser in the country.

I needed to transport our GrandAd programs and our demo data to New York. Not only was it not possible in 1988 to send them there electronically using something like FTP. We did not even have access to a compatible medium. The I/O device on IBM’s S/36 in NYC read 8” diskettes. Our system in CT used 5¼” diskettes. So, I saved our programs and our data onto nine 5¼” diskettes. Then I used a machine that I had purchased for just this purpose to copy the 5¼” diskettes onto previously blank 8” diskettes. I then loaded the 8″ diskettes into a “magazine” that I had obtained somewhere. The S/36 in New York included a device for reading diskettes from such a magazine.

This is the only photo that I could find of a magazine. The diskettes are inserted in and removed from the opposite side.

You say that you are not familiar with the concept of diskette magazines? For over a decade IBM used them on the S/34 and the S/36. As far as I know, no other system from any manufacturer followed suit.

They were almost completely plastic. Their width was about an inch and a half. The other dimensions were just large enough for 8” diskettes. One side was open to allow insertion and removal of diskettes. Small plastic rails on the top and bottom of the open side kept the diskettes separate from one another. The only thing on the magazine that was not plastic was a small metallic bar near the top of the open space that held the diskettes in. The bar could be lifted up on a hinge to allow access to diskettes. The machine that read the diskettes could also do this (like a juke box), and it was smart enough to read them sequentially.

The process of saving and converting the programs and data, which I probably did over a weekend, took several hours. I then inserted the 8” diskettes into the magazine, put it in my sample case with my other materials, and then stowed the sample case in the trunk of my Celica. I do not remember why, but I must have left the car in the sun for several hours. When Michael and I reached New York and took out the magazine, we could see that the little iron bar that restrained the diskettes had apparently become hot enough to melt little notches into all the diskettes. The magazine drive on IBM’s system refused to read them. O tempora, o mores!

Michael had a brilliant idea. He used a sharp knife to slit the edge of each damaged diskette and nine new diskettes that we borrowed from IBM. The actual data was not, of course on the plasticized paper that one could handle (and therefore slit). It was on a very thin circle of magnetized film inside. For each new diskette Michael replaced the blank film disk inside with the one that he had retrieved from a diskette that I had made. Then he carefully inserted the nine new diskettes that hopefully contained our programs and data into the magazine. I then loaded the magazine into the S/36’s magazine drive again and entered the command to restore the files. The machine successfully read six diskettes. However, at that point it made an awful noise and totally mangled the seventh diskette including, because we had no way to reseal the side that Michael had slit, the precious film inside.

So, I was faced with the prospect of making the most important presentation of my life with absolutely no software to demonstrate. The pony in my “dog and pony show” was a stick-figure drawing. Would anyone notice?

Fortunately, my many years of experience in debate at adjusting a presentation at the last minute kept me from panicking. I began the presentation by apologizing for the technical problem. I then illustrated the approach that we proposed to take using the whiteboard that IBM provided, and I answered questions as well as I could.

It was enough. Macy’s agreed to put in motion the process of contracting with TSI. As Alan later said, “You were definitely the only game in town.”

The plan was to install the system in the “System/36 environment” of a B30 model of an AS/400. The I/O devices were a single 8” diskette drive and a ½” tape drive. TSI had no system that had either of these drives, and so our only choice was to execute the cumbersome conversion process every time that we needed to make changes.

TSI could not even afford J. Cheever Loophole.

I sent Alan our usual two-page contract. He sent it to their legal department and returned one with about twenty-five pages. I should mention that the TSI was dirt poor at this time. Sue and I had been low on funds before, but this was the first situation that rose to a crisis level. Details are posted here. We certainly could not afford a lawyer. I had to read the contract very carefully and assume the worst. After a few changes, we agreed, signed it, and started work. I did almost 100 percent of the coding. The other programmers were busy with work for our other clients, and I did not trust Sue to do the work.

I was not able to use a single program from the GrandAd system. I thought that at least one of the many insertion order programs that we had written for ad agencies would be usable without much modification, but I was wrong. The people in retail advertising just do not think like the people in advertising agencies. Every single program was written from scratch.

We had no time to produce a detailed design document describing the project. Our drop-dead deadline was the end of the season in late January. All programs must be totally functional. The process was:

Write the code.
Get it to the point where there was something to show to Macy’s.
Save the changes to 5¼” diskettes.
Copy the 5¼” diskettes to 8” diskettes.
Take the train to New York.
Install the new software from the 8″ diskettes. This could take up to an hour.
If changes had been made to the database definitions, make them on Macy’s system.
Make changes on the fly as necessary.
Show Macy’s how the new code works.
Save the changes to 8” diskettes.
Bring the 8″ diskettes on the train ride to TSI.
Copy the 8” diskettes to 5¼” diskettes.
Install the changes on TSI’s system.

The luxurious Windsor Locks Amtrak stop. This is the view looking north. From the parking lot the engine’s light could be seen under the bridge.

This was, to be sure, a terrible way to do things. It required me to make at least one trip to New York every week for several months. Usually it was up and back on the same day. I stayed overnight at a hotel a couple of times. Often I made two up-and-back trips in a week. Each trip required a twenty-five minute drive to the train platform. I boarded the train at 6:00 AM in Windsor Locks. There is only a platform there. I therefore sat in my car with the heat on until I saw the light of the train approaching.

The word you did not want to see was “DELAYED”.

If everything went well, I arrived back at the train platform at 9:30PM. The trains in the evening, however, were almost never on time. Those trains originated in Miami, FL. There were plenty of opportunities for delay as each one crawled its way north. A report on my most memorable Amtrak experiences is posted here.

During this process Alan would quite often come up with new thoughts as to what should be in the “base system” covered by the contract. I grumbled, but I almost always did what he asked. One morning I saw a Daily News in Penn Station with the headline “Macy’s Computer System is Driving Me Crazy!” I bought a paper, cut out the headline, and taped it to the inside of my sample case.

Meanwhile, TSI had received only a deposit from Macy’s. However, we were desperate to receive that final check. I saw no alternative to this nightmarish schedule.

The scope of the project was enormous, and almost nothing from the GrandAd code was usable for this project. In addition to everything else, the emphasis at Macy’s was on newspaper ads. In my experience ad agencies used the term “print”, which for them referred to direct mail and magazines. Most agencies treated newspapers as magazines that published more often on cheaper paper to a geographically limited audience. The ingrates who ran the papers did not even offer discounts to ad agencies. Macy’s, on the other hand, could run a dozen or more ads in one issue of a newspaper.

Mirabile dictu! By February, 1989, the system was stable enough that Macy’s paid us most of the balance. This did not end the crisis at TSI, but it allow us to meet the payroll for a few months. In retrospect, I cannot imagine how we pulled it off. I remember working seven days a week. I was always at work by 6AM, and I seldom left before 7PM⁷. I admit that I always went home for lunch, and I usually took a short nap.

What enabled the completion of this seemingly impossible task in that amount of time was the fact that Alan somehow got Gary Beberman⁸ to serve as the project manager. He could speak advertising to the workers at Macy’s and geek to us. I only trained one person; Gary trained the others. I am not sure where Alan found Gary or how he got assigned to the project, but he was a godsend. He saved us a huge amount of time and frustration, and he was also quite adept on pouring oil on troubled waters during the frustrating periods in which I was working feverishly on the code.

The next two projects for Macy’s were an inventory system for the “loan room” (usually called “merch room” at other retailers) and a more sophisticated system of entering and reporting actual costs, what Macy’s called “financials”. I gathered the specs for these projects on trips to Macy’s and produced detailed design documents, which Alan quickly approved.

Denise Bessette did almost all of the programming on these two large requests, and she did an outstanding job. I installed the code and showed the people at Macy’s how to use the programs.

Merchandise that was afraid of the traffic could have just as easily taken the train.

The loan room gathered merchandise needed for photo shoots and sent it to the photo studio in Newark or to some other location. Part of the automation of this process was the printing of tags for each item. Almost as soon as this was implemented, the amount of pilferage reportedly decreased dramatically. The merch room manager told me that previously a lot of merchandise had trouble remembering the way back to Manhattan from Newark. She was extremely happy with the new system.

Denise also completed the other project according to the approved design document, and I delivered it. The finance manager then produced a bevy of changes that she wanted. I offered to quote the changes at TSI’s usual fee of $75 per quote. Alan said that Macy’s was under the impression that these programs fell under the terms of the original contract. It clearly did not include them. He was also surprised that I insisted on charging for my time at Macy’s after the warranty period. I would not give in on these matters, and this caused some bitterness.

At some point in this process TSI leased an AS/400 model B10 from IBM. We hooked everyone up to it, and we converted all of Macy’s programs to run in the native environment instead of the System/36 environment. This project went fairly smoothly. I don’t remember any great headaches, and the programs were considerably faster.

In other respects the installation also proceeded rather smoothly as long as Gary was there, but when he and his wife moved to the West Coast, things started to get a little testy. Alan hired Satish Rahi⁹ (accent on the second syllable in both names) to manage the installation. Satish must have presented himself as an alternative to paying TSI to program reports. He thought that he could produce any desired output using a third-party query product from a company called Gupta Technologies. Their Wikipedia page is here.

Satish was shocked that the product did not work on most of our tables. I told him that there was nothing in our contract that said or implied that third-party products (of which even then there were quite a few) would work with tables that we designed and implemented. IBM’s Query/400 product had no trouble with any of our tables. After considerable digging I determined that the source of the problem was that we wrote records in BASIC, not in SQL¹⁰, which was not even available on the AS/400 yet. The designers of Gupta’s product evidently did not take this into account when they began marketing to AS/400 customers.

Satish started lecturing me about industry standards for databases. I explained that the industry standard for writing x-digit positive integers in BASIC was N x, which left-pads these numbers (such as the ad number) with blanks, as opposed to ZD x, which left-pads with zeroes. In fact, most versions of BASIC did not even have a way to write “zoned decimals” without writing extraneous code to do it¹¹. One day I got so upset while arguing with Satish about this that I seriously considered driving down to the Amtrak stop so that, after sitting on a train for over three hours, I could ride the elevator up to his floor at Macy’s and punch him in the nose.

Not long after this conversation Alan fired Satish, and eventually we changed all the programs to “zone” all the integers. Of course, we got paid for neither this project nor the conversion to the native environment, but we felt that we had to do them to hope to stay in IBM’s and Macy’s good graces.

From that point on we dealt with Denise Jordaens¹² and Lee Glickman¹³ at Macy’s. Things stabilized, but the department did not get nearly as much out of the system as it could have.

Over these years Macy’s went through a lot of changes. In January of 1992 the company declared bankruptcy, thereby leaving TSI with a stack of unpaid invoices. In 1994 Macy’s was absorbed into Federated Department Stores, which had itself just emerged from bankruptcy. This gave them a new set of standards to abide by. Eventually other acquisitions gave Macy’s in New York a large number of new stores to manage on the east coast. They continued to use the loan room system and to pay our maintenance bills. They never asked about any of the enhancements that were installed at Macy’s South and Macy’s West.

There were other complications as well. On one occasion Macy’s asked for someone from TSI to visit so they could explain their problems with and aspirations for the system. My schedule was totally booked for weeks in advance. I asked Sue to take the trip. She did. I don’t know what transpired, but Denise Jordaens later told me that they made a voodoo doll of Sue and stuck pins in it.

I may have made some bad decisions about Macy’s. I did not yet understand how decisions about products and services like those offered by TSI were made in a large retail advertising department. This issue is discussed in more detail here.

TSI probably should have charged more for the original installation and used the money to hire another full-time programmer. Maybe we should have tried to borrow money from somewhere. I was unwilling to put all of our eggs in the Macy’s basket. Macy’s declaration of bankruptcy was a devastating blow to TSI. When Macy’s was acquired by Federated Department Stores¹⁴, it appeared to me that the decision to concentrate our efforts elsewhere had been a sound one.

As it turned out, however, Macy’s eventually gobbled up nearly all of the regional department stores in the entire country. The strategy that I chose helped TSI succeed for more than twenty years, but if I had gambled on Macy’s, we might still be in business in 2021. On the other hand, we would have been working almost exclusively for Macy’s for most of that time. Such an experience might have really driven me crazy.

The story of the Macy’s installation had a bizarre final chapter. It is recorded here.

1. According to his LinkedIn page (which is here), in 2021 Quique Rodriguez is retired and enjoying family time. I suppose that it is possible.

2. Alan Spett lives in Atlanta in 2021. His LinkedIn page can be found here.

3. So, I designed the database with five levels of participants. The lowest level was always called a department, but the names of the other four levels to be used on reports and screens could be specified by each AdDept client. At all Macy’s divisions they were called Administrative Groups, Group VP’s, Senior VP’s, and Group Senior VP’s.

4. This same room housed the AS/400, at least for a while. I sat at an empty desk when I was there. When the first phase of the installation was completed, some of the measurement clerks were reassigned to other tasks.

5. Unfortunately, I don’t think that I was careful enough to account for the large number of unproductive hours that I would spend on trains, in meetings at Macy’s, and in converting files. The round-trip train ride alone accounted for six or seven hours and a drive of nearly an hour, So, each full day at Macy’s was matched by another full work day getting there and back!

6. ROP stands for “run of press”. All display ads (as opposed to preprinted inserts) that are run in a newspaper are called ROP. It is not an acronym; all three letters are pronounced.

7. I am a “morning person”. Any work that I did after 7PM was likely to be counterproductive. Moreover, I needed a few caffeine-free hours so that I could fall asleep at 10PM and stay asleep.

8. I have kept in touch with Gary Beberman. He moved to California to work as a consultant and then was employed by Macys.com. Macy’s West and Neiman Marcus hired him as a consultant during their AdDept installations. He was the only consultant whom I ever respected. He has lived in Marin County for the last five years. He and his wife are hoping to retire to Italy.

9. Satish Rahi’s LinkedIn page is here.

10. SQL (structured query language) was invented in the seventies by two IBM researchers, but at the time of the debut of the AS/400 no IBM computers used it much. The reason, we were told, was that it was much less efficient than the ISAM methods that IBM endorsed. Later IBM computers, including the AS/400, were designed to maximize the efficiencies of SQL queries.

11. What I said to Satish was correct from my perspective, but perhaps I should have asked him what made Gupta Technologies think that the AS/400’s relational database conformed to these “industry standards” that he cited. After all, SQL had been invented by IBM, and IBM was not yet positioning its AS/400 as an alternative to the “standard” databases such as Oracle, Sybase, or Informix.

12. According to her LinkedIn page (here) Denise Jordaens still works as coordinator of media systems for Macy’s.

13. I think that this might be Lee Glickman’s LinkedIn page.

14. A more detailed discussion of TSI’s long and torturous relationships with Federated Department Stores can be found here.

1985-1999 TSI: GrandAd: The Whiffs

Posted on April 15, 2021 by Mike

We struck out at a lot of agencies. Continue reading →

I am no salesman. I could make a pretty good case for the GrandAd system either in a formal presentation or in a meeting, but I was the worst at closing sales. For one thing I have had a lifelong abhorrence of talking on the telephone, especially to strangers. TSII probably could have closed some of these if I had just called people back to find out what they were thinking.

I just noticed that this guy is swinging left-handed with a right-handed club.

I also could have spent more time researching our opponents’ products. I could not think of a way to do that without devoting a lot of time and effort. I had other priorities. Maybe we should have hired one to do it.

My middle game was also poor. I did not know how to ask what a prospect’s budget was. I could tell if I was dealing with a gatekeeper, but I did not know what to do with that information.

Some of our problems were substantive, and there was not much that we could do about them.We wanted to reach agencies that had between five and one hundred employees who did not yet have an administrative system and (before the introduction of the smaller models of the System/36) were within driving distance. During some periods IBM offered no systems with any appeal to our target market. We never seriously considered hooking up with another vendor, but in retrospect it seems incredible that IBM let this happen.

In nearly all cases IBM’s prices for hardware were higher. They should have been. IBM equipment was more reliable and the service was beyond compare. However, the price differentials were often enormous. Purveyors of systems that ran on UNIX or PC’s could claim many of the same advantages that we claimed, charge more for their software, and still show a bottom-line price that was considerably lower than ours.

So, we faced a lot of rejection in our years of dealing with ad agencies. I feel certain that I have repressed the memories of a fairly large number of failures in this arena.

The following are arranged alphabetically. It might make more sense to put them in chronological order, but I have found few records to help me to remember the dates.

The Hartford Area

Probably the most painful failure was the loss of Elbaum & Co., Inc. We had been pitching or negotiating with Marvin Elbaum¹, the owner, for several months. Finally, in early June of 1986 he had signed the contract, which included some custom programming, and put in the hardware order.

I am pretty sure that the phone call came on June 13, 1986. Marvin himself called and said that a new opportunity had suddenly arisen, and he wanted to cancel the order. He said that he had an unexpected opportunity to merge with Lessner Slossberg Gahl and Partners Inc. I advised him that we had already begun work on the custom code that he approved. He told me to bill him for it. He also said that he would plead the case in the new agency for using the GrandAd system. This was pure BS. If it wasn’t, he would have arranged for us to do a presentation for his new partners at LSGE Advertising, Inc.²

This was the worst possible news. I knew that Lessner’s agency already used the system marketed by one of our biggest competitors. Since the merged agency would be located in Lessner’s headquarters in Avon, there was no chance that it would junk the system just because Marvin asked politely, and Marvin also probably realized this. Besides, Marvin was the president of the new agency, but Gary Lessner was the CEO.

I’m not even slightly superstitious. If I were, I probably would have noted that the horrible phone call took place on Friday the 13th. Furthermore, Denise was on vacation, and Sue and I were looking after her cat. Yes, the cat was all black.

On the other hand, I don’t remember walking under any ladders, breaking any mirrors, opening an umbrella indoors, or spilling any salt that day.

Maier Advertising³ (the first syllable is pronounced like the fifth month of the year) was famous. When the lists of the top agencies were printed, Maier was always at or near the top of the rankings of local agencies in terms of billings. Everyone who had anything to do with advertising knew that this was baloney. How? Everyone in the advertising community knew where everyone else in the community worked. Maier did not employ enough people to do all the work to justify those reported billings.

For a while Maier claimed to have branch offices. I am certain that one was announced in Boston, but I think that there were also others. Actually, there were no offices, but they did have a phone number with a local area code and exchange, but it rang in Hartford.

I was invited to meet with Maier’s bookkeeper at the company’s headquarters, which was then in Hartford. My recollection is that only two or three other people were there. Bill Maier was definitely not present. I counted only six or seven desks, and I only saw one office. This did not look or act like a major agency.

I roughed out a tentative proposal, but I could tell that the bookkeeper was in no position to make a decision or to put me in contact with such a person. Actually, I doubt that Bill Maier would have deferred on this subject to anyone.

The Charnas account was not exactly a whiff. It was more like chipping in for a double bogey. It is described here.

There were two other agencies in the Hartford area that I visited, but I do not recall the names of either one. The first one was really a public relations firm in, as I recall, South Windsor. In fact, its strategic approach was the opposite of advertising. Its employees searched for businesses that were spending money on advertising and promised to get the same or better results using press releases. I think that we outlined a stripped-down GrandAd system for them, but we could not strip down the hardware cost enough to make a competitive bid.

My recollection is that the other local agency was in Glastonbury. Sue and I came to meet with the female financial manager. The only thing that I remember about this meeting was that she was the most strikingly attractive woman whom I had ever met. However, I never saw her again. I can’t even visualize her,

Sue was surprised when I told her that I thought that the woman was very attractive.

The Boston Area

Our biggest disappointment of the many whiffs in the Boston area was the involvement with Rizzo Simons Cohn. It is described in detail here.

I met with a woman from Epsilon once. They were a big company then, and they are gigantic now. I tried to explain to her what we did, and she tried to explain to me what they did. At the time I did not understand what she said. I have looked at the company’s current website, which is here, and I still don’t fully understand what it means to be outcome-based. What is the alternative?

I did learn enough from our conversation to realize that our GrandAd system was nothing like what she was looking for.

At the IBM office in Copley Place I did several demos. One that I remember was a morning session for several employees at an ad agency on Tremont St. in Boston. The name escapes me. The demo seemed to go well. They invited me to meet with them in the afternoon at their office. I asked for the address. They gave it to me, but they warned me not to drive. They said that I should take “the T”, which is what people in Boston call the commuter rail system, MBTA.

I was disdainful of their suggestion. I had a map of Boston and plenty of experience driving in Beantown. I knew that the roads were unpredictable and that people made left turns from any lane. I grabbed some lunch and then headed out in my Celica.

It was an adventure, but I made it. Tremont was one-way, of course. I was prepared for that. I was shocked to discover that the streets that paralleled it on both sides were also one-way, and all three ran in the same direction. I had to steer my Celica all the way to Boylston Street to get past their office so that I could turn onto Tremont. Then I was very fortunate to spot the P (public parking sign) forty or fifty yards to my right. I parked and entered the office with seconds to spare.

This meeting seemed to go OK, too. At the end I asked how to get back on the Mass Pike. They told me that it was easy to get there from Copley Place, but the only route from Tremont was very difficult to describe.

Maybe it was a good thing that I never heard from them again.

Gray Rambusch, Inc. is a complete mystery. I know that we billed them for something, but I am almost positive that I never visited them or did a project for them. Doug Pease might have sold them something. The agency is still in business.

The Big Apple

The term “boutique agency” is used a lot in New York City. I knew that the large agencies were beyond our abilities, but to me “boutique” just indicated smaller size. Then I talked with people who worked at a couple.

The first was an agency that specialized in theatrical productions—Broadway and smaller. The lady who worked there explained that, as any fan of The Producers knows, each show is a separate company, and they tend to go out of business very abruptly and disappear without a trace. The most important things for the agency were to get their invoices to each show before it opened and to hound them for payment.

The other boutique agency that I talked with specialized in classified ads. They had hundreds of clients for whom they placed ads in the handful of papers that served the city. I don’t think that there was much chance that this agency would survive the Internet.

Kate Behart³ and I rode Amtrak to New York City on one occasion. I think that it was to talk with an ad agency, but it might have been for some other reason. TSI was watching every penny at the time. I had purchased a book of ten tickets. On the trip to Penn Station I used one, and Kate used one.

On the return trip I gave my ticket and the book to the conductor; he took the ticket. Then I handed the book to Kate, she tore out a ticket, and she handed it and her ticket to the conductor. He refused it. He said that only one person could use the book at a time. I directed his attention to the back where it clearly stated that it entitled “the bearer” of the ticket and booklet to passage to or from Penn Station. I bore the booklet when I paid for myself. Then I handed it to her, and she became the bearer.

He had the gall to tell me that I did not know what “bearer” meant. I said “Bearer: one who bears. ‘To bear’ means ‘to carriy’.” I argued that the term bearer was not ambiguous. It was like a bearer’s bond; anyone that has possession can redeem it. He claimed that it was Amtrak’s policy that tickets from booklets could not be used for more than one person. I said that Amtrak’s policy was actually clearly explicated on the back of the ticket book. Where was his evidence of anything different? He said that a letter had been sent to conductors. When I asked to see it, he threatened to throw both of us off the train at the next stop. I asked to speak to his superior.

This was not a big train. It was unlikely that there were more than two conductors. So, I was fortunate that there was anyone on the train who was senior to the fellow who threatened to evict us. The other conductor took Kate’s ticket, and he asked me politely not to do this again.

I never needed to do it again. If the occasion had come up, … I don’t know.

We pursued another New York agency during a period in the early nineties when we had no salesman. I took the train to New York and gave a presentation at IBM’s office on Madison Avenue. Terri Provost⁵ accompanied me. We then took a cab to the agency’s office. The discussions there seemed to go pretty well.

This agency was much more like what we were accustomed to dealing with than the boutique agencies. I thought that we could do a good job for them. On the train ride back I first consumed my fried chicken supper from Roy Rogers. Then I talked with Terri about the potential client and emphasized how I thought that we should proceed.

The next day at the office I asked her to compose a letter to send to the agency’s president. The letter was friendly and polite, but it did absolutely nothing to advance the sale. I don’t know why I thought that she would know how to do this, but I was wrong. I had to pretty much dictate the whole letter to her. It also made it clear to me that I could not depend upon her to follow up on it, and I did not have the time to do it myself. We whiffed again.

Others Within Driving Distance

Sue and I drove down to Englewood, NJ, to visit an ad agency called Sommer Inc. It was a small business-to-business agency run by a couple who were older than we were. I don’t remember too much about the experience, but I thought that we would be a great fit for them.

My clearest memory of the trip is that I was very hungry by the time that we reached the Garden State, and Sue stopped at Popeye’s so that I could wolf down a few pieces of chicken before we met with them.

We did not get the account. I think that they might have been put off by the price and instead purchased a cheaper PC system.

Somehow we got a tip about an advertising agency in Vermont that was looking for an administrative software system. It might have been in Burlington. I talked to the proprietor on the telephone, and he seemed serious. I think that this might have been in 1987 or 1988 when we were desperate for business.

Our marketing director, who at the time was, I think, Michael Symolon⁷, accompanied me on the trip to the north country. We left Enfield fairly early in the morning. The weather was cold enough that I wore an overcoat. When we arrived at the agency I realized that I had put on the pants that went with my suit, but I had mistakenly donned my blue blazer instead of the suit coat. The combination looked ridiculous.

It was pretty warm in the agency’s office. So, when I took off my overcoat, I also took off the blazer. I still probably looked strange in shirtsleeves when Michael was wearing a suit, but I did not feel like a clown.

The presentation went OK. Michael may have followed up on the visit, but it was probably another case of sticker shock.

The only other ad agency that I remember driving to was in Schenectady, NY, northwest of Albany. The building in which the agency was housed had obviously been repurposed. The ceiling was crisscrossed with large and small pipes or air ducts. Each had been painted in bright primary colors. The effect was quite striking.

The agency had been using the AdMan software system on PC’s for a couple of years. It seemed to me that there must have been something about the system that the users did not like. Otherwise, why was he looking for new system? I tried to talk with the office manager about it. He was, however, very reluctant to discuss what they were currently doing or what they would like to do. Instead he wanted me to describe the advantages or our approach. Of course, he also wanted to know the cost.

I hated it when prospects did this. A major strength of our system was that we could adapt it to meet the needs of almost any user. This was difficult to present. I much preferred to tell people how we would address their problems. Then I could introduce ideas that they did not expect.

During the drive back to Rockville I did not feel good about this call. I suspected that I had been used to gather information for some sort of hidden agenda of the office manager. I had no concrete evidence to go on, but the whole situation did not feel right.

Distant Prospects

Touchdown Jesus could not have made a sale in South Bend.

I had flown to Chicago in late 1988 to meet with some IBM representatives who specialized in retail about the AdDept system that we had just installed at Macy’s. I rented a car afterwards and drove to South Bend, IN, for a presentation at the IBM office for people from local advertising agencies. We had sent letters to all of the agencies in the area, and four or five had expressed interest in the GrandAd system.

Three little old ladies attended the demo, and they all sat together. No IBMers showed up. It reminded me of the debate in which I performed at Expo ’67, which is described here. I talked with the ladies, or rather one of them; they were all from the same agency. They told me that their agency currently used a system marketed by one of our competitors. They told me that the system had actually been installed by someone who lived in South Bend. When I asked who supported the system they claimed not to know.

.The whole trip was a complete waste of time. We got nothing from any of the people that I met in Chicago, and the South Bend agency later told us that they were not interested.

In February of 1989 we were pitching two important prospects in the Milwaukee area. Both the journey to Milwaukee and the return trip were memorable. They are described here.

It is a safe bet that I had Usinger’s brats on any trip to Milwaukee.

I took a cab to the ad agency first. I do not remember the name of the agency, but I recall that they seemed to be very interested in our approach. I had to sell a bit of blue sky concerning the hardware. I pitched running the System/36 ad agency system on an AS/400. They would be the guinea pig for this, but the alternative was to try to sell an approach that IBM had publicly abandoned.

I thought that the meeting went very well. I gauged that we had a very good chance of getting this account. I was not able to follow up immediately, however, because Sue and I took our first vacation ever immediately following this trip to Milwaukee.

In the end we did not get the account. After returning from the vacation we soon became so busy that our failure might have been a blessing in disguise.

In 1990 (I think) I received a telephone call from Ernie Capobianco, whom I knew from RGS&H (described here). He said that he now was working for an ad agency in Kansas City, Valentine-Radford. They already had a System/36, but they were not satisfied with what they were getting out of it.

I arranged to stay with my parents while I pitched the account. My dad told me the agency was one of the largest and most respected in KC.

I met with the systems manager in the morning. They had been using standard accounting packages and were trying to use their general ledger for client profitability analysis. It did not work. It would never work. There were a lot of other problems, too.

Two or three officers of the company took me to lunch at Putsch’s 210 on the Country Club Plaza, the swankest restaurant in the Kansas City area. They wanted to know what it would take for them to get the kind of information from their S/36 that Ernie got at RGS&H.

I informed them that their software system was not designed for a business as complex as an ad agency. They were trying to eat soup with a knife. If we were going to do the project, we would do it right. We could probably convert some of the data for them, but we wouldn’t be able to patch their software. We would want to install our system.

It was not what they wanted to hear.

Our last pitch to an ad agency was, I think, in May of 1994.⁸ Sue and I drove to Pennsylvania to talk with people from Blattner/Brunner, Inc.⁹ We also met with Kaufmann’s, the May Co. division, on the same trip. We spent a day at the Pittsburgh zoo before we returned.

The people at B/B were definitely serious about getting a system They asked all the right questions. They even questioned whether the AS/400 was really a relational data base. Their doubt was understandable. Every other database (Oracle, Sybase, Informix, etc.) had a name, but at that point IBM had not yet begun calling the AS/400’s database DB2/400 even though the design of the system had been fully relational since the introduction of its predecessor, the System/38, back in 1978!

The agency was rapidly growing, and it was famous in the area for its “Killer B’s” billboard, which was nominated as one of the best ads in Pittsburgh’s history. Winning this account might have really launched ADB, which is what we called the AS/400 version of GrandAd.

I left the follow-up on this account in Sue’s hands. I had my hands full with Kaufmann’s, which gave us a huge notebook of reports that they wanted us to include in their system. Sue definitely fumbled the ball. She could have handled this; she just chose not to. This was one of the main reasons that I became very upset with her in 1994. The details of this “second crisis” are described here.

1. Marvin Elbaum has had several careers since the merged agency folded in 1992. I think that in 2021 he is a realtor for William Raveis in southeastern Connecticut. His LinkedIn page is here.

2. The Hartford Courant declared LSGE, Inc. defunct in 1992.

3. By the time of the pandemic Maier Advertising had “evolved” into a business-to-business agency named Blue Star Communications Group. Its website is here.

4. A write-up of Kate Behart’s career at TSI can be found here.

5. Much more about Terri Provost’s stint at TSI can be found here.

6. Sommer Inc. was acquired by Greenstone Rabasca Roberts of Melville, NY, in 1989.

7. Michael Symolon’s time as TSI’s marketing guy is discussed here.

8. Ernie’s ad agency in Dallas, Square One, bought Valentine-Radford in 2003.

9. I am pretty sure of the date because there was an annular solar eclipse. The only solar eclipse in the nineties that was visible from Pennsylvania was on May 20, 1994.

10. Joe Blattner has departed, but in 2021 the agency is still active as M.J. Brunner, Inc. The agency’s website is here. Joe Blattner’s web page is here.

1981-1988 TSI: GrandAd: System Structure

Posted on April 8, 2021 by Mike

The design of TSI’s ad agency system. Continue reading →

This entry is rather wonkish. There are no funny stories. I just wanted to record the details while I could still remember them.

I gave our system the name “GrandAd”, but I doubt that anyone ever called it that. We were lucky if the users called it “TSI” rather than “Mike’s system” or “Sue’s system”. The original programs were designed to be run on a Datamaster with an external hard drive (described here). A few years later the system was converted to run on a System/36 (described here). We also converted it to run on an AS/400 (described here).

In the early eighties, administrative software systems generally fell into two categories: BICARSA (Billing, Inventory Control, Accounts Receivable, Sales Analysis) and GLAPPR (General Ledger, Accounts Payable, Payroll). Accounts Receivable was abbreviated as A/R. The GLAPPR modules were abbreviated as G/L, A/P, and P/R)..

GrandAd contained versions of all of these modules except payroll. I don’t remember even one of our agency clients using TSI’s payroll system. From an accounting perspective the distinctive features were that the GrandAd system had two separate methods of billing—media and other—that fed a rather standard accounts receivable system and a unique “media liability” module. The accounts payable system likewise had two separate sets of data entry programs, one for media vendors and one for others. If a bill from a media vendor included production charges, it could be entered in the media payables program after the media portion was completed.

None of the operating systems used by our customers distinguished between tables and data files, but our documentation usually did. In our parlance a table was maintainable by the users through simple editing. Data files could only be maintained through transactions that always created auditable detail records. Transactions were also usually entered in batches that updated the data files all at once. Changes made to items in tables took place immediately. Some important tables contained a few fields that could not be edited by the users. For example the G/L master file contained thirteen fields for the amounts for each month and adjustments. These fields could only be updated by transactions.

Every table had a unique key. The open item files for A/R, A/P, and media liability also had unique keys, as did the file with job costs by category and the media detail table. Detail files for transactions either had no key or keys that were not unique.

There was also one record-oriented specs table that TSI did not tell users about. We maintained this ourselves. It contained things like the agency’s name and address and a large number of “switches”, mostly binary Y/N designations that indicated whether the agency used optional features or the manner in which it used them.

Here were the principal tables, at least as I remember them:

Client: The key was a three-digit number. There was a field on this table for an “associated” client number to handle those cases where one company owned several semi-independent entities. Client #10 was usually used for in-house jobs and #11 for one-shot projects.
Job Type: The key was a two-digit number.
Job: The key was the client number plus a three digit-job number. The numbers could be assigned by the system. A few agencies had their own job numbering system. We kept this number as a twenty-character reference number. In general, 90000 was used for media billings. Every job was assigned a job type.
Job Cost Categories: The cost categories also had three digit keys. The categories were of three principal types: time, agency-owned materials, and vendor costs. The entries in the time categories consisted of hours worked on a job. The entries in the materials categories were dollar amounts. The vendor costs came from the accounts payable system.
Employee: The key was a three-character code. Initials were usually used here.
Rate: The key consisted of the employee code and the category number. It might also have had a date to allow rates to keep up with inflation.
Vendor: Vendors were keyed by a five character code and a two-digit location number. Checks were always cut to the name and address on location #0.
Media Type: A two digit code identified types of media—radio, television, magazine, newspaper, mailing house, yellow pages, etc.
Pub: Like the vendors, pubs were identified by a five character code and a two-digit number (usually 0). Every pub was associated with one vendor and had one media type. A vendor could have any number of pubs associated with it. Although the name “pub” was derived from “publication”, this table was also used for other media entities.
Media Ad: The key was the client number, a five-digit ad number, and a one-character version code (usually blank). The ad number was usually the production job number, but it could be something else.
Media Schedule: The key was the media ad key plus the pub key plus the date in the form YYMMDD and a two-digit number to preserve uniqueness. The last field was necessary because the same ad could be run more than once on the same day in the same publication or station. Three costs were stored on each record: net (the amount the agency paid the vendor), gross (net plus agency commission), and charge (the amount the client would pay).

The system provided for the following types of transactions:

Transactions were ordinarily entered in batch mode.

Menus specific to each type of transaction allowed for recording of new items, editing or (at least deleting) of items entered but not updated, printouts of the contents of the batch, and updating of data files.
- Production and fee billing. Invoices could be printed on special multi-part forms or just recorded. The update program created records on the A/R detail file. Summary records on the job file were updated and entries were created in the batch file for the G/L system.
- Media billing: Detail was selected from the media schedule. The update program created records on the A/R detail file, media liability records, and G/L batch entries. Summary records on the job file were updated.
- Media payables: The update filled in the amount relieved on media liability records and created A/P Detail records and G/L batch entries. YTD spending on the vendor table was updated.
- Other payables: The update created G/L batch entries. YTD spending on the vendor table was updated. For production costs job cost detail records were written and the job-to-date costs on the job file and job cost summary file were updated.
- Checks: Invoices from vendors could be selected for payment in various ways. The update program wrote A/P detail records and entries for the G/L batch.
- General ledger: Entries were generated by other modules, but they could also be entered one at a time. The update program wrote out journal entries and updated the monthly totals by account.
Live entries:
- Cash receipts: The program to record cash received from clients updated paid amounts on open A/R items, and cash received month-to-date and year-to-date on the client table. It also wrote out A/R detail records and batch entries for the general ledger.
- Individual disbursements: This program was used for partial payments, write-offs, and other A/P issues that were difficult to handle. It could also print checks, but that feature was seldom used by agencies.

The best thing about AdDept and also the worst thing was the month end reconciliation process. That is, it was the invaluable process that underscored the reliability of the data, but its vigor was still dreaded at the end of each month.

We provided the customers with checklists for what needed to be in agreement with what at the end of the month. For example, the total for the list of items in A/P must be the same as the balance in the A/P account in the G/L. If there were discrepancies, I showed the users the reporting tools to use to find the discrepancy and how to fix it. This could easily consume an entire day, and I often had to help them for two or three months before they understood what was causing the errors and how to fix them.

An account at one installation showed a discrepancy of only ten cents that we discovered was the result of three different errors, each of which was for more than $1,000.

I mostly dealt with the manager of the business office. However, I almost always sat down with one of the principals to go over the cost accounting report by client at least once. This report had columns for each source of income (media commissions, fees, billings for production jobs) and both direct and allocated expenses. A primary purpose of the reconciliation process was to insure that the total profit by client was the same as the total profit on the general ledger¹. I tried to make it clear that the allocation of indirect expenses was only as accurate as the timesheets. If some employees (media buyers, for example) were not reporting their time accurately, the accuracy would suffer.

I have no doubt that our competitors did a lot less for their customers. Some tried to support their clients without any on-site visits. Some partnered with locals to provide hand-holding. I feel sure that they must have had some unhappy customers.

We actually used parts of this same process in TSI’s office. An unintended benefit of this rigorous approach was that it was rather easy to catch embezzlers.

The system was not sexy. The screens were green, and the output was columnar. The first few months were frustrating and difficult for almost all users. However, in the end it always saved a lot of time and produced valuable information.

One of our agency clients told us that they used a PC-based system called Media Management Plus² to purchase broadcast commercials from radio and television stations and to evaluate the performance of the spots. We contacted Glenn DeKraker at the company in New Jersey. He told us that the software had several forms of files that it could produce to feed billing and accounting systems. We chose one of them, and wrote software on the System/36 (it would have been very difficult to do it on a Datamaster) to create records on the ads file in GrandAd’s media system from the records uploaded from the PC.

It worked smoothly from the beginning. We did not need to make any adjustments to our files at all. The users just needed to follow a simple convention when it came to naming the pubs. They had to use the call letters and a one-character code: A for AM, F for FM, and T for television.

This project taught us not to fear building interfaces with other software companies.

The original design of GrandAd was surprisingly stable, especially when the constraints under which we operated are considered. The screens supported nothing but text and had only 78 usable columns and 24 rows. The reports were limited to 132 characters on each line. The amount that could be stored on the hard drives was quite limited. If a customer ran out of room, the options were poor.

It was, thank goodness, never necessary to increase the size of any fields, although we had to pass on requests for proposals from two agencies. One was a New York agency that specialized in theatrical productions, each of which was a separate client, and a separate agency that specialized in want ads. Our biggest problem was in handling the version of the system that was used by TSI. When we started selling the AxN system to newspapers, The 999 clients allowed by the three-digit client number might not be sufficient. Besides, we did not want to intermingle the newspapers with our other clients. We decided to allow alphabetic characters in the client number field.

In retrospect we obviously should have used eight-digit dates from the beginning. We devoted countless hours in the late nineties to fixing this oversight.

1. Occasionally some G/L accounts, such as investment income, were excluded for this purpose.

2. In 2021 the company is now known as CoreMedia Systems. Its website is here.

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Tag Archives: GrandAd System

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