H.B. Selby - Scientific
Retailers
Samuel Furphy, Selbys the Science People, A
History of H.B. Selby Australia Limited, Melbourne: Australian Scholarly,
2005, xi, 369 pp, illus, ISBN 1 74097 092 6 (PB), $39.95.
Book review by Julian Holland
Published in Historical Records
of Australian Science, 17 (2006): 121-23.
This is a moral tale.
Samuel Furphy describes the rise of a scientific supply business
from very modest beginnings in the 1890s to national pre-eminence
around 1980, and what happened after.
As a
scholarship student at the University of Melbourne, Carl de Beer
thought he could provide the necessary chemical glassware and
equipment to his fellow students more cheaply than the locally
available stock – and supplement his income. So in 1897 he
placed his first order with the German firm of Bornkessel. The
venture paid off and another order was placed the following year.
By the end of 1898, the backyard business was prospering to the
extent that two of Carl’s brothers were now involved and they sought
the assistance of an uncle in London to extend the range of
suppliers. Among the contacts was the German chemical
manufacturer, E. Merck of Darmstadt.
Carl’s tragic
death in 1899 at the age of 22 disrupted the family but did not end
the business. Carl’s younger brother Ernest had already
developed a prominent role in marketing the brothers’ scientific
imports. Operating from his uncle’s office in Melbourne,
Ernest assiduously worked to extend the range of customers in order
to secure the confidence of suppliers in granting agencies. In
1900 Ernest secured from Merck the sole agency for Victoria.
With expanding
stock and business, Ernest not only required larger premises, he
soon needed more capital. In 1903 he formed a partnership with
H.B. Silberberg. Born in 1873 in Branxholme in western Victoria,
Silberberg had saved up several hundred pounds working as a miner
and storekeeper in Kalgoorlie. De Beer, Silberberg & Co was
short-lived. For reasons that are not clear the partnership proved
unsatisfactory and after four months it was dissolved with H.B.
buying out Ernest’s share. This did not prevent H.B. from
forming another de Beer partnership – later in 1903 he married
Ernest’s sister Aimée.
Under the
management of H.B. and later his sons, Esmond and Benn, the business
continued to expand for nearly 80 years. Building on the
foundation the de Beer brothers had established, H.B. expanded the
scope of the business and the range of agencies. In 1912, with
H.B. Silberberg & Co. operating soundly in Melbourne, H.B. and his
family moved to Sydney and established a new scientific retailing
business of the same name. These remained separate companies
until brought under the ownership of a holding company in 1949.
The First World
War had an important effect on the businesses. Many of the important
companies for which Silberbergs had agencies were German and so
supply was completely cut off. H.B. compensated for this by placing
trial orders with several Japanese companies including Shimadzu &
Co., which led to a purchasing trip to Japan in 1917. Anti-German
sentiment made Silberberg’s German-sounding name a liability for
business, so H.B. changed the family name to Selby, with both
businesses becoming H.B. Selby & Co. by 1917.
H.B.’s sons
Esmond and Benn joined the Sydney and Melbourne businesses in 1929
and 1936 respectively and so were well placed to continue the
development of Selbys when their father died in 1937.
Following the Second World War, the expansion of manufacturing
created new opportunities for Selbys, which developed a market for
industrial process-control equipment. Esmond also realized his
plan to develop a manufacturing business, known as Analite.
Among its notable achievements, Analite developed one-piece
stainless steel analytical masses.
In 1974 Selbys
undertook an unusual assignment, the delivery and installation of
the aluminizing plant for resurfacing mirrors at the
Anglo-Australian Telescope at Siding Spring in New South Wales.
The plant was built by Edwards High Vacuum, an English firm which
Selbys had represented for over 30 years. The 3.9 metre mirror
required large equipment. Selbys was responsible for the transport
of more than 50 tonnes of equipment from Sydney to Coonabarabran for
installation at Siding Spring.
The expansion of
Selbys required new capital. This led to the establishment of
a public company, H.B. Selby Australia Ltd, in 1949. This
holding company acquired all the shares in the Sydney and Melbourne
businesses, and in 1951 also acquired Analite. Subsequent share
issues continued to dilute the ownership of members of the Selby
family. By the late 1970s Selbys had branches in every state
capital, manufacturing plant in Sydney and Melbourne, a New Zealand
subsidiary and even a branch in Papua New Guinea. As an asset-rich
company with growing sales – over $20 million in 1977 – it was a
target for a takeover. Having fended off a first attempt in
1977, Selbys succumbed to a triple takeover five years later, being
swallowed up by Warburton O’Donnell, Comeng and Australian National
Industries in rapid succession in 1982-83.
These takeovers
meant an end to the involvement of Esmond and Benn Selby in the
management of the company. They had both retired from
executive positions by then, and ANI forced them to resign from
their positions as directors. In the midst of these changes
the brothers wisely removed the company’s historical records from
the offices in Sydney and Melbourne. Now in the Noel Butlin
Archives in Canberra, these records have been drawn on extensively
for Furphy’s excellent biography of the company, along with the
recollections of former Selby staff.
Two notable
features struck me in reading this book, the adaptability of the
company and the longevity of the staff. Through war and depression,
industrial expansion and technological change, Selbys was able to
survive the tough times and exploit new opportunities. It was
H.B. Selby’s genius to exploit the ‘tyranny of distance’ for
commercial success. By maintaining regular personal contact
with his suppliers abroad, a practice continued by his successors,
H.B. secured and maintained an extensive range of suppliers – an
appendix lists several hundred companies for which Selbys were
agents or distributors in 1976. By the 1970s however, improvements
in transport and communications meant that it was increasingly
practicable for international firms to set up their own offices in
Australia. Selbys lost the agency for the American firm
Beckman Instruments in 1980. Selbys had been selling Beckman
products since the 1930s and had built up an extensive market.
How Selbys might have adapted to this changing market is
hypothetical. The triple takeover ended the company’s
expansion. Loss of staff and reduction of services followed.
ANI brought a policy of ‘profit before prestige’ to the management
of Selbys, which turned the spirit of the company on its head.
Selbys the
Science People is very much a story about people. While the
company was expanding and adapting it also provided a working
environment that encouraged longevity of employment. Bob
Murray who joined Ernest de Beer in 1901 retired in 1952. J.T.
Pollard, whose able management of the Melbourne business enabled H.B.
Silberberg to move to Sydney in 1912, retired in 1969. There
are numerous lesser examples. One can only wonder at the
short-sightedness of the disruptive management practices following
the takeovers. Indeed there is more than a hint that
‘prestige’ or reputation for reliability and service is essential to
the profit of such a company. The Selby name continued through
further changes of ownership until 2002, when as part of the Biolab
Group, it was finally dropped. Yet the 2005-6 White Pages
lists “Selby Biolab” with a referral to Biolab (Aust) Pty Ltd.
The Selby name
continues to be associated with science in Australia through the
Selby Fellowships which have been awarded since 1961 and are now
funded by the Selby Scientific Foundation.
Copyright Julian Holland 2006
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