People in a position of leadership are judged by bringing money in and making money on that money. We will discuss some of the differences between revenue and profitability later. For now, I want to focus on those factors that lead to profitability, namely the mastery of people skills with project management and customer satisfaction. 

Of the twelve items listed above, all of these require building a team to help you achieve these goals. There is so much focus on the numbers, when it's the people, particularly the people directly interacting with your clients, that facilitate profitability through doing things right, doing them efficiently, and putting a touch of excellence on what your company does. 

Charles Cassani was the recipient of the distinguished Martin L. King Award for 2020. This award is presented to individuals who are recognized for their exceptional service and dedication to the restoration industry. Charles notes that more emphasis should be placed on the PM process. “I recognized back in the late 1990’s that my best project manager needed a coordinator/assistant to record and document his activities.” 
 
Charles began adjusting the way his company approached the roles and responsibilities of a project manager. By distributing the load they saw better outcomes.  “In our company,” continues Mr. Cassani, “We support PMs with project coordinators, billing support administrators who proof and coordinate billings with TPAs, TPCs, and Customer Relations Specialists.” With competent help project managers are better able to service the customer and achieve the company goals. 

We expand on these pinciples in my new book, So, You Want To Be A Project Manager? Mindset and Habits for Growth. Mr. Cassani contributed these insights and shared this early review of the book, "I liked most of what I read." You can purchase the book in Kindle, Paperback, and Hardcover through Amazon. 

South Sound Connection (SSC) presented by The DYOJO Podcast and All American Restoration Services (AARES).

South Sound Connection LIVE 013 Part B - Expanding opportunities within the skilled trades with Jason Sturgeon

All American Restoration Services is a general contractor based in Tacoma, WA that provides insurance repairs services for clients throughout the South Sound.

The DYOJO is a business coaching service based in Tacoma, WA and produces The DYOJO Podcast - helping you shorten your DANG learning curve for professional development.

GUEST 2 Jason Sturgeon - Arcade Wayfinding - arcadewayfinding.com

• What have been some of the lessons learned from 2020 as it relates to Arcade Wayfinding and virtual training?
• Arcade Wayfinding does a great job to identify an issue in the skilled trades and has created a training program to help solve it, they state it as, "Promotion without preparation". This is also a contributing factor to high burnout and suicide rates within our industry. The issue of promoting people who are skilled at their craft without providing them training or tools to help them adapt to supervising and leading teams, to develop these new skillsets, has created low rates of success in many industries.
• Jason and Mary Sturgeon are proponents of opening opportunities for minorities and women in construction. They work to be an agent of change and elevating the industry through their training programs as well as their podcast The Critical Path. Jason shares one of their most recent shared initiatives, Build the Circle, which aims to building a stronger industry through expanding the talent circle and bring more voices into constructions inner circles.

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See past episodes SSC LIVE

Our goal at SSC LIVE is to highlight local businesses and efforts to do good in our Pacific Northwest neighborhoods. Will will be interviewing local entrepreneurs, business owners, artists, and community leaders to share their stories.

South Sound Connection (SSC) LIVE - Episode 012 Part B

SSC LIVE is brought to you by The DYOJO Podcast and All American Restoration Services (Tacoma, WA).

Tuesday, February 2, 2021 9am PST - SSC LIVE ​

GUEST 2
Todd McKellips (Tiny Home Guy), Seattle Tiny Homes

On SSC LIVE 012 Part B we discussed:

• Zoning and building challenges for tiny homes as residences
• Obstacles to getting tiny home as solutions for homelessness through bureaucracy
• Use of tiny homes for veterans, emergency housing, and community solutions
• Following your passion, as Todd says, "Fight for something that will change the world."

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INTRO
Todd McKellips is a social entrepreneur, philanthropist, chaplain and family man. Todd is the state chapter leader for the American Tiny House Association a national effort with affordable housing as at his core mission. He is passionate about bringing home ownership to those who can only dream of it. Todd is the director for Washington Tiny House Association.

WEBSITE
SeattleTinyHomes.com

Join us next Tuesday at 9am PST for SSC LIVE 

John Doe has been working hard for “the man” for the last ten plus years and he realizes that he’s making a lot of money for someone but it sure isn’t him. Mr. Doe begins thinking about what it would look like if it was his name on his sweat soaked t-shirt. What if the customer were writing the checks to John Doe Construction? Even in a season of unrest, there are plenty of opportunities for growth minded professionals who are ready to take the leap into entrepreneurship. Reaching your dreams starts with developing the right mindset and habits to succeed.  

The motivation to go out on your own as a contractor

How does the blue collar nursery rhyme go, “Boss makes a dollar, I make a dime, that’s why I poop on company time.” The difference between the dream of owning your own business and making it a reality is putting action behind your thoughts. Some people do this the smart way and start to build a side hustle until they feel they have something strong enough to sustain them going out on their own. Others jump into the deep end with no safety net. The problem many new entrepreneurs face is that they don’t know what they don’t know about the business side of things. When you’re on your own, you have to provide your own toilet and buy your own toilet paper.

Creating a business as a contractor, not just buying your job 

At the startup stage, many contractors feel like “beggars can’t be choosers” and they take anything they can get even if they know the project is light on profitability. There is a process of moving from pennies to quarters as you scale up the quality of your clients. At the core of your business you must understand what Michael Gerber outlines in his popular book, The E-Myth, ““If your business depends on you, you don’t own a business—you have a job. And it’s the worst job in the world because you’re working for a lunatic!” You need to decide whether you are going to be a sole proprietor and charge a premium for your high quality work so that you can build a future for yourself. Or, you need to operate like a business and charge enough to build a team. 

Building a future for yourself and your business as a contractor 

The skilled trades person who takes the gamble on themselves to start their own business often has to learn business by trial and error. Where many of these errors start in construction is not properly charging for your services. You have to learn how to price yourself right for your market, in relationship to your hard costs (overhead) and with your vision in view (profit) so that you can achieve your dream, not just own your nightmare. The right mindset and habits for estimating are critical to your success, which are topics that Jon Isaacson, The Intentional Restorer, takes head on in his latest book Be Intentional: Estimating. 

Mastering the business and leadership tools that will enable you to thrive as a contractor

As you build your business, it is helpful to have standardized systems that help with checks and balances so that you are not just going with your gut on every decision. In construction the standard has been resources such as RS Means, which provides pricing guidelines for trades, services and regions. Another option, which is common in insurance claims, Xactimate provides tools for contractors to enable them to write consistent estimates while also producing production plans, budgets for materials as well as targets for labor and duration. 

The value of mindset and habits as a contractor building a business 

Whether you are a startup or have been operating for some time, if your business is struggling to be profitable, you may need to look no further than your estimates to start fixing your business problems. You may think this is an oversimplification but think about all the stress that a bad estimate places on your process, your production and your profits. A poorly written estimate leads to poorly structured production plans which leads to poor execution, unhappy customers, frustrated teams and sinking profits. 

To quote from Be Intentional: Estimating, “Strong estimating mindset and habits will help you to provide resources to invest in your process so that you can identify issues, resolve them, repeat and build upon your success.” Clear communication via developing strong internal processes for core aspects of your business such as estimating, will help business owners to be more efficient, reduce scope creep and produce quality revenue. 
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Start your process with the right mindset and habits as they will be hard to change down the road. Set yourself up for success by successfully setting yourself up to succeed. If the end product is causing dysfunction, track your way back to the start of the project and fix your structure by starting with your estimating process.   

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