Showing posts with label contractor. Show all posts
Showing posts with label contractor. Show all posts

Tuesday, September 25, 2012

Are You a Half-Hearted Kamikaze?


This term “Half-Hearted Kamikaze” comes from Tim Elmore a Christian Pastor and Speaker. I think it is relevant in today’s service business. First let’s look a definition of Kamikaze. As Tim Elmore puts it,” A Kamikaze is someone who (whether for good or evil) puts everything into one purpose.” Wikipedia defines the Kamikaze, literally: "God wind"; common translation: "Divine wind", were suicide attacks by military aviators from the Empire of Japan against Allied naval vessels in the closing stages of the Pacific campaign of World War II, designed to destroy warships more effectively than was possible with conventional attacks. Numbers quoted vary, but at least 47 Allied vessels, from PT boats to escort carriers, were sunk by kamikaze attacks, and about 300 damaged. About 14% of kamikaze attacks managed to hit a ship.

So what is a Half-Hearted Kamikaze? My definition as relating to business is a service business owner who talks the story of improvement, change, and full commitment but does not consistently strive to achieve the goal of an extremely successful business with time for the owner to enjoy life.
So why are so many service business owners half-hearted? My observations of dozens and dozens of service businesses demonstrate several reasons.
  1.   I often see is the owner has little or no experience to run a business. They are great technicians but have little skills to operate a business. They fail to hire the skills needed to operate profitably or to get the skills themselves. It could be as simple as working with an expert consultant to help him.
  2.  Another reason is the owner just does not have the drive to take the business to success but is satisfied with a paycheck equal or less than they could make as a technician for a successful company. Perhaps their spouse works and provides the additional income and even benefits for the family.
  3. Often an owner becomes distracted by the technical side of the business and shies away from the hard decisions, the “books”, margins, waste, and the changes needed to more the business to the next level. Not necessarily larger but more profitable.
  4. Sometimes the distraction is something too big and too close to overcome easily. This could be a sick spouse, parent, child, or his own health. This is understandable and the owner needs to find an individual to operate the business while he gives his attention to the health need.
  5. One last one I’m going to mention here is burnout. The business owner is just worn-out from the grind of business. If the business is barely making it, the stress and pressure is great. He needs time away and a regular plan to get some rest and relaxation. If he does not, the business withers away, or he relieves the stress with alcohol, gambling or other diversions to forget the stress and pressure.

The owner probably has little or no retirement fund when he retires. He may take cash under the table thus compromising his integrity. His business may be supported by his vendors who provide credit too easily. He owes more than the business is worth. He may have stress related illnesses such as heart trouble, high blood pressure, diabetes or another health issue. He retires to a life much less than a business owner deserves, if he is able to retire. Perhaps he works at a big box store like Walmart or Home Depot instead of enjoying retirement, hobbies, and the grandkids.

So what’s the answer? Either become fully engaged or work for someone who is and avoid the downside of being half-hearted. Don't be a Half-Hearted Kamikaze, make the decision today!

Dan has been in the service industry for nearly 50 years. He has operated a large plumbing, heating and air conditioning service company and for the past 12 years has helped small companies in the service business to grow and prosper. 
Contact him @ Dan@SayYesToSuccess.com.

Monday, February 8, 2010

Believer or Follower?

We are babysitting our grandchildren in the Orlando area this week. Our Daughter and Son-In-Law are both out of town so we have the opportunity to enjoy and spoil the Grandchildren. There are four of them, all under the age of 7 and keep Grandma and Grandpa going from sun up to sunset. We were able to take them to church on Sunday. They go to classes and we have an hour or so to relax and enjoy the message and worship. Often I catch an idea from the message that carries over to the business world. And that was what happened this Sunday.
The pastor asked if we were a believer in Jesus or a follower. It immediately struck me that this applies to business in a little different way but still as an important point. Are you a believer in the basic principle of business and management or are you a true follower of those principles?
Let me give you a couple of examples. Do you believe your company should make a profit? Or, do you believe your employees should be accountable for their actions and produce a profit for your company? Do you believe a contractor is as valuable to society (customers) as a doctor or a lawyer? Do you believe in providing the customer with “first class” service?
I am quite confident that you believe in at least three of these examples. I find many contractors don’t believe in their own value to society (customers). I work with contractors and techs to help them realize their value to the health, comfort, and well being of society (customers). The other three are areas almost every contractor I have ever met, believe, but that’s where it ends. They believe but they do not follow. What does that mean? There is a huge difference. You can believe in these fundamentals but the real question is do you follow those fundamentals daily in your business? A follower is one who constantly is working at improving these fundamentals. They have a plan and goals. They have check points along the journey to measure their progress. They don’t allow themselves to get caught up in the little meaningless things of the day. They focus on the issues that make their company profitable, sustainable, and customer directed in every area of the presentation to the customer.
Are you a believer or a follower?

Tuesday, August 18, 2009

Some Yes....Some No

As I have had contact with various HVAC contractors in the last two weeks, I have have two completely different reations to the business climate in the metro Detroit area. Some are very busy selling replacement air conditioning units and furnaces in the middle of August. They are selling high efficiency equipment and are not selling it at cost. They are selling it for a profit! The suppliers are telling them they are the only ones selling high efficiency equipment. They are getting the maximum support the supplier can give them to help them to continue to sell. Others are telling me that there is no business out there and sure enough for them there is no business out there. They are telling me the prices are too low, no one is buying, things are so tough! They owe their suppliers and other vendors because they have zero cash flow. So I asked myself what the difference is between those selling, saying yes, and those not selling, saying no. Looking onto the reasons I find two main points that differentiate these contractors. Those who are selling have said, "There is business out there and we are going to find it." They are marketing and putting the energy into their businesses. They are not waiting for the phones to ring, they are using the Internet to market, they are selling maintenance agreements, they are training their techs to look for add on sales and opportunities for replacements. The others are waiting for the phone to ring, they have cut back on marketing, they are not selling maintenance agreements, they are not using the Internet effectively, they are looking back on how it used to be. Change is hard but tough times require that we evaluate our businesses and make the big step of change.