Tuesday, May 29, 2012

What is the the answer to "We don't know what we don't know"

Director’s Notes 3/19/2012

What is the the answer to "We don't know what we don't know?"
Training, but for what?

The demand for good training is high and is recognized by top businesses as being the key to developing top performing organizations. We are lucky to have several great programs next month, the fact that the Super Technician program filled up in 48 hours indicates the demand. As of right now we still have some space available for the In the Home “Retail Sales Training” program but it is expected it to fill up soon as it will be opened to the Service Roundtable members (for a fee). You and/or your sales person(s) need to attend to increase your average sale for each job. While most of the competition is just sitting still, there always is someone that focused on eating your lunch. You can lengthen your lead and crush their moral as Joe will make it all about doing business with you and your company, while price will far down the list of consideration.

Future Programs
Currently under discussion are additional training programs and the development of an ongoing schedule to plan ahead. In addition to our Boot Camp, In Home Sales, and Super Technician Development Training programs, we have under consideration and development:
·         Financial statements and management
·         Hands on Strategic  Planning
·         Time Management
·         CSR and Dispatcher Charm School
·         Marketing Plan Development

These are just a few and we are looking into dovetailing some of these programs at locations that allow us to visit some of our best contractors so you can see what success looks like in action. In many cases these program will be limited in size to provide the highest level of QUALITY in lieu of just number of participants.

I need to KNOW!!

I would like your feedback on any classes or program you would like to see. Also if you attend a great (not just good) program share that with me as others can benefit from what you learned. It does not have to be just Plumbing, HVAC, or Electric it can be on marketing, business management, or anything that can make you or your company better. Some times it is all about just being able to ask the right questions and training can lead to that.


HR

An item of note is that the National Labor Relations Board (NLRB), an office in the Federal Department of Labor, has prevailed in their efforts to have the “Employee Rights” guidelines posted in every office relating to organize, IE join or form a union. Rather than speak to issue that this presents I would rather offer a practical way of mitigating its impact on your organization. You can get an “All in One” Federal labor law posters that include this plus all the other requirements (do not forget one for the state if required). While it may be more expensive (you can get a one year update program) this Employee’s Right section will get lost in the all the rest of the material that employees have become accustom to seeing and will not stand out like an 11”x17” independent poster just on this subject would. You can go to CE Solutions, the Service Nation’s HR and Safety partner, they have resources on their website for these posters, however there are many other suppliers on the web.
If you need to get your login or register for this service contact:
Ian Schotanus
HR & Safety Program Manager
Phone: (707)395-0357


Stories from the road


Director Notes  03/12/2012

Stories from the road

Last week I move from Chicago to Dallas and on the drive down took the occasion to stop and visit with several Contractors I have come to know over the years. The 1500 mile trip had its exciting aspects including watching a semi go sideways on I-40 in Arkansas in a rain storm. While no one was hurt I have come to appreciate those defensive driving classes I had to sit through for benefit of my Employees as there was a safe distance between me and the truck. It was a surreal experience that I replay in slow motion in my head. Another humorous item were some election signs in a rural area for Sheriff and on the same sign in smaller print “Tax Collector”, I could only think of Sherwood Forest and Robin Hood. On another note along the lines of lemmings following one another over the edge, in a small town with a population of 6200, I saw 5 different billboards for HVAC contractors in a 3 mile stretch. One for each of the major brands (who logos were as big as the Contractor’s), I theorize that either one contractor decided it was good idea and the others followed or that town has a great Billboard sales person.

My visits were great; seeing contractors in their own element, their place of business, and to relate to the market place they exist in. In many cases it sharpens the image of these businesses as to their needs and areas of strengths. I took part in Managers meetings while at other just sat and talked about the business and their win and losses. The overwhelming theme was business was good and getting better, optimism not seen or heard for months and years.

It causes me to pause and note the upswing in business growth, employment, and consumer confidence over the last several quarters.  While this is a welcome change but ironically comes at a time where the extended “Unemployment Benefits” are expiring and many people are now moving into positions they may have passed upon prior and have more money to spend. This drives demand from the bottom up providing increased opportunities for us in the coming months. Consumers have deferred major expenditures creating pent up demand and there is the opportunity to up-sell as they feel they deserve to move up a step or two because of their.

Take this opportunity to sell from the top down with complete bundled packages and close the sale with subtraction of options and features. You will find that the average sale will be much higher than if you try to build from the bottom of your offering. If you would like other bundling options drop me an email and I will share them with you.

Black Haak Heating Inc.


Director’s Notes 03/05/2012

The Service Nation Alliance is a group of contractors that are more than just names on a list. As we learn from one another, we need to know each other. To that end I plan from time to time to profile an individual company so we can come acquainted. If you like to be featured, drop me an email and I will set some time to learn about you and your company. This will be a regular item in my Director’s Notes throughout the year.

Member’s Profile
Bob Haak
Black Haak Heating, Inc
Appleton, WI

Bob Haak’s (Pronounced Hawk) company, Black-Haak Heating, is located between Milwaukee and Green Bay in eastern Wisconsin. He is in a sportsman’s paradise—hunting and fishing are within minutes of his office, challenging the priorities of any red-blooded male. He runs his business with his two sons, Jim and Jeff Haak,  focusing on residential and light commercial work with a target of 2.3 million in sales for 2012.

Bob started working for his Uncle in the afternoons and on Saturdays while he was in 8th grade, and continued after high school to a full time position. In 1989 he and his wife purchased Blackie’s Heating Service (founded in 1954) and started the transition from technician to business owner. He acknowledges Frank Blau’s influence and assurance that it was alright to make a profit and charge a price that rewarded the risk he took as a business owner. It started him down the path to develop better operations and improve his company. It was in St. Louis at his first Comfortech in 2005 (and has been to several since) that he met and spoke with Lee Rosenberg, who directed him to the Service Roundtable and Matt Michel; he has been member of the Service Roundtable since December 2002.   He appreciates David Heimer’s involvement in Black-Haak Heating becoming one of the charter members of the Retail Contractor Coalition for private labeling Goodman and other products. Bob has joined the Service Nation Alliance (SNA) and is a participant in Advisory Board Group 4, sharing and challenging others to build and grow their business.

His business is growing and strives to provide Mercedes-level services to customers that are willing to pay for the increased value in a market place that is typically a Chevy demographic. He has instituted Steve Mile’s ideas, such as extended hours at regular rates, which has been advantageous for Black-Haak Heating. His company currently supports 20 employees and 12 trucks. His short term goal for 2012 is to increase net profits by 10% and his long term goal is to establish a succession or absentee ownership plan with his sons continuing with the business. He acknowledges SNA and his advisory board for holding him accountable and creating expectations of performance that allowed him to finish 2011 stronger than projected. The SNA advisory board has inspired Black-Haak Heating to attend to the business more and his partners on the advisory board has helped the company become more accountable of their number’s tracking which have led to exceeding expectations. Bob wants his thirst for continual improvement to be passed on to his sons. Jim and Jeff Haak both have associates degrees in HVAC from the Wisconsin Technical School and four-year apprenticeships in service. Jeff has experience with a five-year apprenticeship in sheet metal through ABC and the state of Wisconsin, while Jim also has a bachelor’s degree in business. Bob believes that his son’s experiences will provide them with a solid background to running this business.

If you have not met Bob you need too—he is a demanding goal-oriented individual passionate about his work. Black-Haak Heating is continually learning and utilizes newsletters, Charlie Greer’s Service Tech training on sales, and is currently beginning to work with Mike Morsi on a direct mail program. Bob believes that the company is a team collaborating between the customers and fellow workers. You will have the opportunity to meet him at the Service Nation Alliance meeting in September in Chicago. Give me a chance to introduce him to you.

The phone not ringing

Originally posted 2/27/2012

Let's Get the phone to ring


Every year at this time I hear: “my phone is not ringing”, “My guys are not working”, “I need work!” “What can I do?!” This is the time of year when people are not thinking about their home’s HVAC and plumbing. You need to jog the customer’s memory of the pain, the cost of emergency repairs and give them a reason to do some of those recommendations you made in your previous visits. Those extra recommendations and deferred replacement proposals that they failed to act upon can be the answer to your slow period. I know of one salesman who’s self-generated leads ADDED $50,000 a month in sales just by going through old service tickets and making appointments to review the customer’s needs. It is time to mine the file cabinets for the gold that is in the recommendations from the past 18 months. With some well thought out promotions you will be able to lubricate some of your clients to make their purchasing decisions.

But you say “I only have service tickets where the tech recommended (or only wrote down) only one repair” or “I do not have any idea if the quotes that we did not close were sold by some else”. The Service Nation Alliance has the tools and training that allows you to develop these sales and service practices. Sales and tech training are just a couple of benefits that your Service Nation Alliance membership provides you. Take this opportunity and reserve your place in future classes to avoid this problem in the future.

Upcoming events and training:
“Value Added Sales Training”
April 3-5
American Airlines Training Center in Fort Worth

This 3 days training combines and introduces you to home performance contracting and tried and true sales practices from successful contractors. This is a great introduction for the new sales person and provides some added tools for the experience veteran.
Email me at matt.prazenka@serviceroundtable.com to reserve your space.

Coming is Joe Cunningham’s “Service Technician Training” program. At the last Service Nation Alliance session he taught to an overflow group and people had to be turned away. We are limiting the session to 40 people and 3 techs per company, and expect it to fill up quickly when it is open to enrollment. The location and date will be announced shortly.

Now you really always wanted to go to Australia haven’t you? See the sun rise in the southern hemisphere and be able to say Gd day, and now you have a best reason in the world to take that trip.  In May we are having the Service Nation Alliance’s “International Leadership Conference” in Australia, a chance to be part of a small intimate meeting and discussion up close with Mark Matteson. It is very likely that you will be able to present you specific issues and have an in depth discussion and gain the perspective of an expert and feedback from your peers. All at a fraction of the cost of retaining an consultant while you have the ability to enjoy exploring a new country. It also will allow you to focus on your discussion without calls and text messages as your business is most likely sleeping because of the time change (16 hrs difference from Dallas). I guess the question is why would you not go?
To sign up now or learn more contact me @ Matt.prazenka@serviceroundtable.com