Archive for May 2012

Checklist for a Crew Leader

By Sitesource · Comments (0)
Thursday, May 31st, 2012

Checklist for a Crew Leader:

When it comes to a check list for any position, one must consider the desired results of the position. In this case it includes people management, equipment use and care, customer service, paper work and safety issues. The following is a list of activities that you might want the Crew Leader to check on a daily basis. 

Check Truck and Trailer before leaving the yard for safety.

Check fuel levels in cans and equipment.

Check on route for the day with Account Manager or Supervisor

Meet with crew members before leaving the yard for update on the day’s activities

Select quickest route to first job site.

In truck to first job site, assign tasks to crew members when arriving on job site.

Check in with customer at each job site, ask about any special requests.

Walk site and look for issues that need to be addressed.

Check on crew members to insure work and performance quality.

Walk site at end of each job to insure quality.

Complete paper work for this job site, including time and specials notes.

Check that all equipment is loaded and secure on the truck and trailer.

Travel to next site and start the process over.

At the end of each day turn in daily time sheets.

Fuel equipment and truck for next day.

Weekly safety meeting conducted by the crew leader. 

This list should contain all the steps that you want your crew leader to take each day to insure that the customer is satisfied, the crew safety is assured and the crew is being as productive as possible. You may have items that you want to add to this list, which is great, but keep in mind that the idea of the checklist is to be simple and something that is fuseful to you and the crew leaders. It may also be the crew leader’s responsibility to judge performance by crew members and report this information to the supervisor.  Do this as part of a separate job function. The employee management is an ongoing task and will require some special training that you can provide outside the check list. 

As part of the ongoing training for crew leaders, it is important to review this checklist and update it with any additional suggestions that crew leaders may have. Allowing the crew leaders to have input to this checklist will only help to improve the process. You want them to take ownership of this process and tell you what they believe is important. I might suggest building the checklist as a team, allowing their perspective to the list may be very helpful.

 

 

 

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Categories : Landscape Contracting, Leadership
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The Spring Landscape Rush is Almost Over!

By Sitesource · Comments (0)
Wednesday, May 30th, 2012

The spring season rush for the landscape season is almost over. Is your company making the profit you wanted? Did your sales meet the plan you created? Did your customers comment how good your services were? If not what do you do for the rest of the season? Hope that sales and that profits begin to improve? It is time to take stock of where your company is in the market place and determine how you will improve that position. If you don’t have sales for the next 2 to 3 months what are you going to do? The economic recovery is not happening as fast as you planned, the busiest part of the season is almost over, what is next?

Now is the time to take stock of where your company is compared to your plan. You say you don’t have a plan, or the budget just never was completed. Well, do you know whether you make a profit for the first and most important months of the season? Let’s take a look at what do we need to do now. First, do you have a written plan and budget for the 2012 season? If yes, where are you compared to your plan and budget? If the answer is no, then let’s start writing it today. Every season you need to create a plan and a financial budget for you to track the progress of the company. THIS IS YOUR REPORT CARD! If you don’t know where you have been then how can you know where you are going?

In many cases you have, at best, 6 to 8 months to make the business work and produce the profit you need to survive. That is a short period of time and without a plan and a report card how do you know where you are? It is not too late to start a plan and a budget for 2012, but you need to do it now. Here are the things you need to do to get on track:

A written plan by month, describing the Revenue plan, the Labor plan and the Marketing plan.

A financial plan or budget by month with target numbers of sales, labor and profit.

A monitoring system that will help determine whether you are meeting the plan or not. This is your monthly budget spread.

A look at the future to determine what work you have ahead of you, this is a projection, but one that can determine whether you are profitable.

Many companies have no idea whether they are making a profit, or not. These companies are doomed for failure. To say that I don’t have the time is to say I don’t understand business and we hope that we survive this year. The fundamental basis of business to to make a profit, for reinvestment in the business, to pay yourself and the employees that work for you,  and finally to know how you compare to the projections that you make at the beginning of each year. By following these simple rules of business the business experience will be much more pleasurable and fun.

Start today by developing a plan and a budget for the rest of 2012. This will be the beginning of a great business. If you are not sure where to start then call me and we will do it together. But please start the planning now, there is no worse feeling than to go through the season to find that you didn’t make a profit and you can’t pay your bills. Know where your company stands on the financial basis before it is to late.

 

 

 

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Categories : Landscape Contracting, planning
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How to Qualify Landscape Leads?

By Sitesource · Comments (0)
Friday, May 25th, 2012

Qualifying customer leads is always a tough challenge. The idea of determining whether they are interested in buying or looking for advice is very difficult in the landscape industry. Everyone believes that they can maintain their property or mow turf and they don’t view landscape contracting as a profession but a hobby. There are several ways that one can screen theses customers that will answer the question quickly, but it may also cost you some customers.

One way that I have screened calls is to create a list of questions that the sales person, the receptionist or you can ask. For example, what is your budget for this project?  Whether it is maintenance or installation asking the budget question will provide a clue as to their understanding and knowledge of the services they are trying to purchase. When do you want to do the project? This question gives you a feeling as to whether it will fit’s your schedule. Ask the question, is this a bid or are their other contractors being contacted?  This again gives you an idea of whether this is a solid lead or not. If it is an installation project, ask whether there is a design and specification for the project. If it is maintenance ask for specification and a scope of service. These two questions again will serve to give you an idea as to the commitment of the customer.

Charging for your consultation time is an other great way to determine commitment by the customer. This works well in the design build world, where there is a commitment to a landscape plan or not. This also works well during great economic times, but don’t be fooled this is a great way to determine the commitment to their project. One can always refund the consultation fee if they select your company. Using this method of determining the lead potential is also one that I personally would give the customer some type of information that they can use, for example, I would leave behind a scratch on a yellow sheet of paper that gave them something to work with and makes them feel that they are getting something for the fee. I was always fair and honest with the customer who was willing to pay me to come to their property and discuss the project.

I know of some design build company’s that have a set fee to do any work for a customer and tell the new customer up front that the fee is $1500.00 to have our company work for you. This certainly requires that you have a great reputation in the market place, but it will pre-qualify you customer. It is a fine line that you walk when it comes to customer lead qualification, but you need to establish some basis to determine how you will pre- qualify customers. In the maintenance business one can use the type of work that your company performs to determine what customer are good leads or not, for example if you are commercial and work mainly with HOA’s, then an industrial customer is not right for you.

It is all about the questions that you ask at the initial call, screening is about getting to the needs of the customer as quickly as possible. Another way to screen customers is to use budget. Ask what is your budget for the project and set a minimum budget for your company, this allows you to get  an idea of what the customer has in mind and also whether the project is for you. Travel and sales time is expensive, so any way to determine whether this is a solid lead is worth the effort.

Think about all the questions that you can use to qualify a customer and create a list to use at the first or second phone call. This will go a long way to preventing wasted time and effort.

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Categories : Marketing Strategy, sales
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Now Is The Time to Market “Staycation” To Your Landscape Clients.

By Sitesource · Comments (0)
Thursday, May 24th, 2012

What in the world is a “Staycation”? Well it is a vacation at home. With the economy in deep trouble many customers are looking to invest in their own homes, adding new gardens, patios and outdoor rooms. The marketing idea is not new but one that can help increase your sales. Travel costs continue to increase and the cost of fuel, while decreasing now, is still higher than many families can afford, so why not a stay at home vacation enjoying the addition of a new landscape to their home? It is true that many people have elected to invest in their home as opposed to buying a new one. This is a great marketing opportunity for landscape contractors.

We,  as Landscape Contractors are very cleaver people and many would say very talented as well. This is why the marketing concept of “staycation” is so right. We know that customer are tired of  the last several years of fiscal uncertainty, they want to spend the money, so let’s help them. I once had a very wealthy client who told me that they were going to pass on a very expensive vacation because they had several neighbors who were not working and in fact had lost their jobs. My client didn’t feel right spending their money that way. But they were willing to add a new outdoor kitchen to the landscape and thought nothing of the expense.

The idea is not just the “Staycation” concept but a marketing concept that is different than anyone else. That’s what makes you unique. Look around at your community.  What is a hot topic in the community?  If not ‘Staycations” then what about a beloved sports team or a new fad that is sweeping your community. Use the resources of the community to develop and market ideas that you can sell, be creative. I had a veterinarian in my community who had and old tree that was struck by lightening, she had someone create a fire hydrant out of the stump, what a great marketing idea for a vet.

The ‘Staycation” is something that worked for me, but there are thousands of marketing concepts that you can develop that can provide the same result, new work.  Have fun with the idea of developing a new marketing campaign.

 

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Categories : Marketing Strategy
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How Do You Know If Your Employees Believe In The Company Culture?

By Sitesource · Comments (0)
Wednesday, May 23rd, 2012

How do you know if your employees believe in your company culture? As we all complete the spring rush our employees are tired and looking for a break in the season to recover emotionally and physically.  This is the time that you will find out who is a believer in the culture and who is only there for a pay check.  As an owner it is hard to face the reality that not every employee shares in the vision of your company.  But as the leader you must continue to hold the line and push your beliefs and the culture you have created.  Now is the time to separate those that elect to go their own way. Not supporting the company’s vision and culture is a clear sign that this individual is not a team player.

As a manager there are times in our careers when we question whether or not we are taking the team in the right direction, we even question our own beliefs and convictions.  It is at that time that we need to dig deep and reiterate our beliefs and conviction to the team. We get tired also and question whether the fight is worth the effort, but we know that we need to continue to teach, educate and lead our employees down the road that we believe is the right direction.  Leaders all have times of self doubt, but the true leaders get back up and start with the same vision and direction for the team. Leadership is a lonely job and no one is ever going to change that, but believing in a vision and directions is what will make your company great.

This is also a time of learning about your employees.  Who is supporting your vision, who is living the same vision that you are?  It is time to take notice of those individuals because they are the future leaders of your company. Many contractors ask, “ how do we find good leaders in our company?” and this is the way, by watching who is supporting the company’s vision and mission. Those are the individuals that you can build a team around, those are the employees that you can look to build a company with, they are your next generation of leaders.

It is also time to make hard decisions about letting some employees go. Not every employee will share you vision, but it is important to demonstrate that you see the employees who have stepped forward to assist in making your company a better company to work at.  I am not suggesting that you fire anyone who does not believe in the company’s vision, because we cannot have a company of  all leaders, we need employees that can follow as well. But make the distinction that you have leaders and followers and you know who they are.

I have always believed that employees don’t come to work to do a poor or bad job, but rather circumstances change how they view their position in life and in your company. You can only offer an opportunity to grow and become a better citizen or employee. Make the most of your opportunities, watch, listen and help those that elect to support the company’s culture.

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Categories : Leadership
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The Hand Off From Construction to Maintenance in Your Landscape Company

By Sitesource · Comments (0)
Friday, May 18th, 2012

The hand off from construction to maintenance is one of the most popular discussion at any contractor meeting I attend.  It  would seem that this is a simlpe and easy function for a company to master, however it is one of the most difficult that your team will face.  We are all working for the same company, yet we compete with each other in everything we do, the hand off from construction to maintenance is no exception. We as owners and managers are partly to blame for this issue because in most incentive programs that I see, the completion of a construction project on or below budget is one of the criteria.  This in itself creates the desire to cut some corners to complete the project.

The overriding issue is customer satisfaction, making sure the customer is receiving the quality that we promised. But when we create an incentive program that we promote to our employees we create and real competition for the incentive or bonus. I have been on walk throughs with major landscape companies and small landscape companies and they all face this issue. This, of course is about company culture and how you as owners and managers look at the quality of the project and who has the responsibility to pay for warranty issues that come up on every landscape project, no matter what company you work for. I know of one company that believes that as soon as the maintenance company takes over the project the maintenance company is responsible for all warranty costs and repair. Whether this is the best way to handle the issue is not the debate in this blog, but rather how to do a better job of turnover from construction to maintenance.

The best system that I have witnessed is one in which a check list is created for the purpose of the walk through. This check list will contain all the major elements of the project such as: irrigation system function, tree and shrub planting, turf area, hardscape and water features. During the hand off these areas will be checked to insure that they work properly and that no visible issues exist. For example, tree planting; check the depth of the root flair to insure that the root ball is not planted too deep, thus creating a difficult establishment for the tree. We all know that this may not show itself for several years, yet it is a serious issue for the maintenance contractor. Use a check list to list all the deficiencies that are found to create a record for the future.

During this hand off it is helpful to have the foreman from both the installation and the maintenance department along.  The discussion between these two individuals is more likely to be honest and direct than that of the department managers. There are always little tips that the foreman can exchange that are helpful in providing the best product you company can produce. I would hope that as part of any company culture discussion, the concept of providing a quality project is always at the forefront.  Employees need to know that no matter what the financial consequences are for the individuals, the customer comes first.

Once the walk through is completed both parties should receive a copy of the walk through form and an agreement to correct any deficencies by the installation crew by a certain date. This allows the maintenance crew to let the client know that your team is aware of the issue and secondly, you are planning to address the issues. The walk through is always a contemptuous issue, but it is all about your company’s culture and how you work together as a team. Remember, it is all about the customer!

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Categories : Landscape Contracting
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Don’t Be Taken Hostage By Your Employees!

By Sitesource · Comments (0)
Thursday, May 17th, 2012

Over the years in the I have found that many contractors allow themselves to be held hostage by their employees. An example that  I would offer is the following:  A new crew member is hired from another company with experience as a stone mason. He starts working with the new crews and is constantly making comments like, “you don’t know what you are doing, this is the right way to install this stone”. Then comes back to the shop at the end of the day and tells his boss that he wants more pay if  he is going to have to train your foreman. First, the new employees obviously does know that the company has developed guidelines for installation of patios and walls and that your foreman has been following the guidelines for years. Secondly, stere is no “we” in this conversation, only “I”, this does not fit the company culture.  Third, your crews should be trained to operated as a team, the new crew member needs to learn your way to install stone, he is now working at your company, not his past employer.

Creating standards for construction or maintenance is helpful in creating a sameness in your company, it will eliminate errors in workmanship, it will promote a similar or signature look to your work and it is a method to insure that the construction or maintenance techniques are sound. If someone comes into your company and wants to change everything without consulting their supervisors, then maybe this person does not belong at your company.  Too many times business owners dismiss this type of behavior because they find it difficult to replace the person, but the reality is that this individual does more harm than good to your team’s morale. It destroys the culture of team and by allowing this person to continue in this way and it will create problems of a larger proportion, when the crew member wants to quit. Too many times we dismiss this behavior and create a larger problem than the one we started with.

You hired this employee to be a stone mason and to build things the way you have taught your employees. The idea that the employee thinks his way is the only way in egotistical, and self serving. Is this realy someone you want in your company? Yet, so many times owners look the other way and fail to recognize that they are destroying the morale of the crew and the company. I will agree that looking for good employees is hard and skilled employees, even more so, but you need to protect the culture that you are trying to build in your company.

Working at your company means that you have a culture of “WE”, working together to complete the project and not by changing the systems. It is up to you as the owner to manage your company the way you have designed and develop your systems. It is most important that the loyal employees see you defend your culture and insist that all employees follow the systems.

Too many times as owners we ignore this type of behavior, because we don’t want to deal with the real issue, but think about how it looks to your other employees, it is their company also. Don’t allow yourself to be held hostage by your employees. Walk the walk and talk the talk, you will earn the respect of your employees and create a winning culture.

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Categories : Leadership
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Building a Winning Landscape Team and a Great Company

By Sitesource · Comments (0)
Tuesday, May 15th, 2012

What makes a great landscape contracting firm?  Is it the owner, the management staff, the employees or maybe the customers?  It is all of these individuals that contribute to being a great company.  But how do you make that happen?  All of us have a company in mind that we think is the best landscape company and we would like our company to be like the other company.  Let’s start by making some assumptions.  First, the ownership is interested in creating a great company and plans to pass the company on when the time is right.  Second, the employees and management staff believe that they can become the great landscape company we all think about.  Third, there is a passion ans desire to be this company, felt by all in the company.

So let’s define a great company before we go any further in this discussion. A great company is one that gives back to the community through participation in community activities, be it  a tree planting day or a donation of a landscape for a new playground.  It is a company that people want to work with, where the happy days out number the sad days, where the employees have a common mission to be the best, where the equipment is clean and looks good every day, every one is in a uniform and looks eager to get to work. It is where the customers want to have this company do my landscape, the company that your customers talk about a cocktail parties.  It is also a company that has a heart, an understanding about people and the need to treat them all equal.

Now how do you make this happen?  It starts at the top with a well written and defined vision and mission statement, then it is walking the walk and talking the talk every minute of every day. You, as the leader need to demonstrate what it means to be a great landscape contracting firm. Now it is time to get your management staff involved and on board, this will require some time and active training and retraining.  Company meetings with all the staff and a genuine effort to train the staff.  Don’t waver from the core principles that have made you what you are.  This will not be an overnight revelation, but will require constant reinforcement with all your staff.

During every meeting with your staff you need to talk about being the best company and demonstrate that you are committed to the change. Let your customers know the change you are trying to make in your company, get them involved by insuring that your staff is providing exceptional service . Survey your customers and ask them to define what makes a great service provider in their minds.  Using this to teach your staff what you customers are saying about their wants, needs and desires and how you can meet those desires.  Be proactive and make sure that  when the opportunities present themselves you’re  the right one to handle the job. Use posters hung in the office, in the shop area and in the morning gathering place to repeat the message. The average adult learner needs to hear or see something 7 to 12 times before they recognize a new concept.

This is a journey, it will take time and energy to get the buy-in that you need to make your company great. Insure that everyone is buying in, one bad apple can spoil the whole group.  Demand that you get buy-in from everyone on your staff, without it you are facing an uphill battle. You are creating something that will take on a life of it’s own, but in the end everyone will benefit from the change.  Create a culture is not always easy, but worth the effort in the end.

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Categories : Leadership
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Pricing Your Landscape Projects

By Sitesource · Comments (0)
Monday, May 14th, 2012

Pricing continues to be a hot topic on the chat rooms. I am always amazed that people ask the question, “What are you charging for your labor?”   The answer is very simple, it does not matter. Your pricing should be based on your wages, overhead and profit, which is entirely different than any other contractor. For example you may pay your labor $12.00 per hour, a company down the street may pay $15.00 per hour, a $3.00 difference.  I would expect that the bill rate for the $15.00 an hour laborer is greater than the $12.00 per hour laborer.

Your overhead margins, once again, are based on your company.  For example, you may have a high workmen’s compensation rate, which means you are paying more for the insurance and that should be reflected in your overhead cost. If you are not using this method to determine your billing rates, you are most likely losing money. What are you paying yourself, one business owner may pay him self $50,000.00 per year and you may pay yourself $40,000.00 per year.  Is this reflected in your overhead?  It is impossible for two companies to have the same overhead factors as everyone looks at their business a little differently.

The question that you should be asking is,  “Are my labor billing rates competitive in my market place?”  This will give you a look at the marketplace to assist in determining whether you are paying too high of a wage or if your overhead is causing your company to lose money. Again, it doesn’t matter what ABC Landscaping is charging, determine if you are  recovering your overhead and making a profit.  If so, who cares what someone else is charging? Being competitive in the market place is more important than someone else’s billing rate.

The other issue is; are your crews using the latest technology to help save labor cost?  This will also help your hourly billing rate.  All of these are things that will contribute to a more successful season.  Don’t be distracted by someones else’s billing rate, it is not important to your success.  Learn your numbers and understand your job cost.  This is the only way to determine what you should be charging.

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Categories : sales
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How Does June and July Look for Sales in Your Landscape Company?

By Sitesource · Comments (0)
Friday, May 11th, 2012

We are into the landscape season, this year it came early. But what about June and July and beyond?  Are your sales looking up or do they slow down after July 4th? For many companies. it’s a real issue, everyone is pushing to get the landscapes finished by Memorial Day or the 4thof July, but then what? It’s time to start thinking ahead about sales for the next 90 days.  Summer can present some interesting challenges for landscape contractors.  The customers are concentrating on summer vacations and getting the kids back to school, you need to think about sales and keeping your crews productive.

It is hard to get contractors to think ahead, but you need to be selling now for the summer and fall.  Booking business ahead is not always easy, but think about the projects that can be done in August, now. Some companies don’t have that problem, but many new or small companies don’t have the reputation that customers are looking for and therefore, need to sell now for the summer months. Don’t be afraid to ask for a deposit to hold their spot on your schedule, knowing that you have the deposit means that the customer is committed to the project and your company.  It will stop the shopping around by the customer.

Once August 1st roles around many customers are tired of the summer and the kids are thinking about starting school, fall football is on the mind of many parents, not the landscape or the project that you discussed last fall. Booking ahead is a way to help keep the customer on track and be sure that you have sold work.  August is a transition month for many contractors in the northern climates.  It is time to start selling snow removal services and in the companies that do holiday decorating,  it is time to start sales and production. In the landscape industry we need to think about 4 to 6 months ahead of the current season with our sales efforts. Using this rule of thumb will help keep your staff on top of the next sales cycle.

By the the July 4th holiday your crews are beat from the spring rush and a four day weekend is a great break for them, but you need to keep your sales team motivated to keep selling for the next 4 months. It’s time to start some sales contests to motivate your team. Get the spirit back into the sales game. Being a business owner sometimes is like being a cheerleader for your staff,  that is why understanding the sales cycles is so important. Keep a chart in your office of your sales goals for everyone to see, this keeps everyone on top of the goal for sales.

It is the time to start looking to the months ahead to insure that you have the revenue to meet your budgets. Start now by booking ahead for June, July, August and the Fall.

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Categories : sales
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