TZL 1524

TRENDLINES Increase in base compensation by firm size February 12, 2024, Issue 1524 WWW.ZWEIGGROUP.COM

500+ employees

Less than 500 employees

What it means to be an entrepreneur and run a smaller AEC firm in today’s competitive environment. An evolving landscape

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According to Zweig Group’s 2024 Salary Report of AEC Firms , engineering firms with more than 500 employees saw the highest year-over-year increase in base compensation – 8.7 percent versus 3.7 percent for firms with fewer than 500 employees. Participate in a survey and save 50 percent on the final or pre- publication price of any Zweig Group research publication.

A sk any leader of a smaller AEC firm about the challenges they face in today’s climate and you’ll likely get an earful. From recruiting and retention challenges to feeling like they are constantly being stalked by larger serial acquiring firms, sometimes it’s not easy to stay focused on the aspects of the business that bring joy. For the purposes of defining a smaller firm in this article, we’ll focus on firms with around 75 full-time employees (FTEs) or fewer and/or $18 million or less in gross revenues. Running one of these smaller AEC firms can have many benefits, both professionally and personally, including: 1. Flexibility. Not only do you have more control over your work- life balance, you are also more flexible inside the firm to make adjustments and adapt to changes in the marketplace. Additionally, the decision-making process in small firms can be faster as there are fewer layers of bureaucracy. This agility can also be advantageous in responding to staff and client needs. 2. Stronger financial performance. Firms in this data set tend to perform better than their larger peers in profitability (pre-tax, pre- bonus on NSR median 16.4 percent versus 15.5 percent for all other firms), return on owner’s equity (pre-tax, pre-bonus 47.3 percent versus 43.2 percent for all other firms), and annual growth rate (14.5 percent versus 12.6 percent for all other firms). 3. Specialization and niche markets. Smaller firms can specialize in niche markets or specific types of projects. Have you ever heard the phrase “there are riches in the niches”? Refer to the above stats as evidence. Specialization can create a competitive edge and attract clients seeking expertise in a particular area. While we could go on citing other advantages smaller firms can have, many of them also face some significant challenges, including: 1. Lower overheads. Operating costs for smaller firms are typically lower than those for larger firms (overhead pre-bonus 148 percent versus 164 percent for all other firms). This can result in higher profit margins and increased financial stability, however, there is a dark side to keeping overhead low. Many firms in this category need to start building necessary business infrastructure to continue growth and struggle to do so as overhead costs are seen as bad. This is not true. Leaders in this challenging phase must strategically decide

Chad Clinehens, P.E.

FIRM INDEX AECOM............................................................... 4

Cumming Group..........................................6

Willdan Group, Inc.....................................8

WithersRavenel...........................................9

Zubatkin.............................................................6

MORE ARTICLES n KRISTIN KAUTZ: Your new coworker Page 3 n MARK ZWEIG: Ten qualities we all want in our PMs Page 6 n MATT VERDERAMO: It’s time to win more work Page 8 n Developing leaders: Jim Canfield Page 10

See CHAD CLINEHENS, page 2

THE VOICE OF REASON FOR THE AEC INDUSTRY

Chad Clinehens | Publisher cclinehens@zweiggroup.com Sara Parkman | Senior Editor sparkman@zweiggroup.com Tel: 800-466-6275 Email: info@zweiggroup.com Online: zweiggroup.com/blogs/ news

LinkedIn: linkedin.com/ company/22522 Instagram: instagram.com/ zweiggroup Twitter: twitter.com/ZweigGroup Facebook: facebook.com/p/ Zweig-Group-100064113750086/

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business is especially strong in smaller firms and startups, but for those in the 50-75 FTE range, some need big leaps to maintain a competitive edge. If you don’t invest in the right people, it can harm your firm and create even more challenges for you to manage. Invest more in planning. Have a strategy for growth, ownership transition, and technology. If you need some high-level leadership/ management help, consider fractional C-suite positions before committing to hiring or promoting into full-time positions. 3. Drive efficiency. With the talent crunch, efficiency is more important than ever. To approach this, think beyond recruiting and retention of people. Small firms are probably in the best position to take advantage of evolving technology and advancements around artificial intelligence. Every project and every phase, down to the task, can be examined to find where efficiencies can be gained. Fractions of a percent on people’s time can make the difference. Cut through the hype and fear around AI and look for tools that can speed up processes or repetitive tasks that can free up staff to focus on design and client service. AEC firms of fewer than 100 staff stand to gain the greatest competitive advantage with AI. Could it be the great equalizer for small and large firms? The incredibly diverse business climate for small and large firms and the rapid advancements in AI are why we are putting more of a focus on this sector of the industry in 2024. Our inaugural AEC Small Business & Entrepreneurship Forum in Atlanta on May 21 will bring the greatest business insights and strategies for the firms we focused on in this article. Additionally, it is strategically positioned next to the AI & AEC Tech Summit from May 22-23 in the same location. With an incredible lineup of industry experts, we hope these two events will elevate the industry as we give some special focus on these areas. If you are interested in learning more, click here. We are offering a special discount for subscribers of The Zweig Letter . Enter TZL24SMBZ for discounted registration to the Small Firm & Entrepreneurship Forum and enter TZLATL24 if you want to get a bigger discount to attend the AI & AEC Tech Summit as well. Just two-and-a-half days could make a huge difference for you and your firm! Chad Clinehens, P.E. is Zweig Group’s president and CEO. Contact him at cclinehens@zweiggroup.com.

CHAD CLINEHENS, from page 1

how to start making critical business investments to continue growth. Not growing is not an option, unless a slow death is your preferred route. 2. Firm valuation. Smaller firms also tend to have higher valuation multiples. Firms in this category post a $98,900 valuation multiple per full-time employee versus $89,909 for all other firms. Driving value should be the top objective of firm owners, however, like everything, there are tradeoffs. As values increase, it can be more challenging to internally transition ownership as it becomes more expensive. If the firm does not have at least a 20-year financial model of future transitions, many can find themselves in a situation where there is not enough time or funds to keep the firm owned internally. Thus, many smaller firms tend to be targets for larger acquiring firms or private equity groups looking for firms that don’t have other options. 3. Recruiting and retention. This is one of the greatest challenges for a lot of smaller firms right now. Disparities in compensation and the immense resources of larger firms is creating an extremely lopsided competitive market. The challenges in finding good people have never been greater and small firms are feeling it. Running a smaller AEC firm and being an entrepreneur is more challenging than ever as the race for talent has created new and unbalanced dynamics between large and small firms. As outlined in this article, the rewards are significant and the opportunity to drive change and improve the competitive position of these firms is also greater than ever. Here are a few things to keep in focus as you navigate today’s business climate in our industry: 1. Focus on growth while maintaining agility and flexibility. Growth is essential to every business. “Grow or die” is a real thing, especially today. Growth is a critical strategy for recruiting and retaining staff. Remember, opportunities for career growth and development are important to all of your staff. Have a strategic plan that outlines a revenue growth plan, recruiting and retention plan, and a bureaucracy-free framework to accomplish goals while maintaining agility and flexibility. 2. Invest in the business. The pressure to invest in the

AEC SMALL BUSINESS & ENTREPRENEURSHIP FORUM + AI & AEC TECHNOLOGY SUMMIT The 2024 AEC Small Business & Entrepreneurship Forum is connects leaders of small firms to discuss the unique challenges of managing and growing a small business in the AEC industry. The one-day event will comprise keynotes, panel discussions, roundtables, and breakout sessions, all focused on the needs of small businesses. Stay an additional day-and-a-half for the AI & AEC Technology Summit. This event provides valuable insights into technological developments on the technical and business side of running an AEC firm of any size. Click here to learn more!

THE ZWEIG LETTER FEBRUARY 12, 2024, ISSUE 1524

OPINION

Your new coworker

AI needs effective onboarding and subsequent guidance, patience, and education in order for it to become a productive and valued “employee.”

I have often referred to AI as a hungry, spy-trained toddler: Hungry because it is always looking for more and more data to train its model, spy-trained because it most likely is taking your prompts and inputs and giving it back to its model (or owner or even the public at large), and toddler because it is prone to making things up when it generates an output – also called hallucinations.

Kristin Kautz, CPSM

In the past week, I have added another descriptor: new co-worker. In other words, AI is still a hungry, spy-trained toddler, but it is also a hungry, spy- trained toddler who was just given a cubicle next to yours as the latest addition to your team. “Show him the ropes,” your boss says. Like any new hire, AI needs effective onboarding and subsequent guidance, patience, and education in order for it to become a productive and valued “employee.” You would never demand that a new employee know everything about everything on day one, and yet, for some reason we expect this of

an AI tool. Intelligence is something that improves and grows the more it learns, and intelligence of the artificial kind is no exception. I would suggest first understanding the capabilities of the AI tool. Test it out. Change up your prompts and iteratively improve how you ask questions. Give it logical and helpful instructions. Be specific. Over communicate. If you are also the one training its knowledge base, make sure your data is clean and accurate and the resources and files you are

See KRISTIN KAUTZ , page 4

THE ZWEIG LETTER FEBRUARY 12, 2024, ISSUE 1524

BUSINESS NEWS AECOM SELECTED TO PROVIDE ENGINEERING SERVICES FOR METRO VANCOUVER’S STONEY CREEK TRUNK SEWER UPGRADE AECOM, the world’s trusted infrastructure consulting firm, announced it has been selected by Metro Vancouver to provide engineering services for the design and construction of the Stoney Creek Trunk Sewer Upgrade project. In this role, AECOM will help to replace the trunk sewer to accommodate the current and future demands for the cities of Burnaby, Coquitlam, and Port Moody. Once complete, the new sewer pipeline will address existing capacity and odor issues while adhering to the latest standards of quality and sustainability. “The Stoney Creek Trunk Sewer Upgrade project is a critical initiative that will deliver positive impacts for local communities,” said Richard Barrett, chief executive of AECOM’s Canada region. “We are excited to bring together the best of our wastewater conveyance expertise to address existing sewerage and drainage challenges and support the needs of the Metro Vancouver region for years to come.” AECOM will provide comprehensive engineering services that cover civil, structural, geotechnical, environmental, hydro-technical, and traffic planning aspects of the design. Its scope of work includes the design of a new sewer

between existing manholes at the intersections of North Road and Rathburn Drive, Government Street and Cariboo Road, assessment and implementation of air ventilation and odor control, and assessment of the remaining life and integrity of the existing sewer. The local team of design leads, advisors, environmental professionals, and junior staff will be supplemented by expert knowledge in trenchless technologies, hydraulics, and condition assessment from across AECOM. “We are proud to partner with Metro Vancouver leveraging our industry- leading water capabilities to deliver this important project,” said Beverley Stinson, chief executive of AECOM’s global Water business. “Built on a foundation of local talent enhanced by a vast global knowledge network, we look forward to developing resilient and cost- effective design solutions for the Stoney Creek Trunk Sewer that best meet their performance requirements.” The Stoney Creek Trunk Sewer, originally installed in 1959, has become undersized due to substantial regional growth and increased groundwater infiltration due to aging infrastructure. The existing sewer is situated in an environmentally sensitive area and has had operational challenges, further intensified by its location at the bottom of a steep ravine and several direct home service connections. The

new sewer pipeline will mitigate these challenges and is expected to contribute to operationally safe, efficient and reliable infrastructure that will be designed for a service life of 100 or more years. AECOM is the world’s trusted infrastructure consulting firm, delivering professional services throughout the project lifecycle – from advisory, planning, design, and engineering to program and construction management. On projects spanning transportation, buildings, water, new energy and the environment, AECOM’s public- and private-sector clients trust the firm to solve their most complex challenges. AECOM’s teams are driven by a common purpose to deliver a better world through its unrivaled technical and digital expertise, a culture of equity, diversity and inclusion, and a commitment to environmental, social and governance priorities. Metro Vancouver is a diverse organization that plans for and delivers regional utility services, including water, sewers and wastewater treatment, and solid waste management. It also regulates air quality, plans for urban growth, manages a regional parks system, provides affordable housing, and serves as a regional federation. The organization is a federation of 21 municipalities, one electoral area, and one treaty First Nation located in the region of the same name.

KRISTIN KAUTZ , from page 3

uploading are current, relevant, and clear. Keep working with the AI – just like you would a new coworker – until you figure out the best way to interact so that it can provide you with exactly what you are looking for. We all get frustrated with the naivety of the newbie sitting next to us who needs more time and attention than we have to give. However, I am certain that the quality of our investment in AI – including the time, talent, and resources we devote upfront and as we continue to build this working partnership – will create an incalculable advantage for you and your firm. Perseverance will pay off. Kristin Kautz, CPSM is an artificial intelligence consultant at Zweig Group. Contact her at kkautz@zweiggroup.com.

Kristin Kautz presenting at a recent Minds & Machines event in Houston, Texas.

ARTIFICIAL INTELLIGENCE IN AEC Subscribe for AI in AEC news, updates, and articles. This content is intended to help emerging and current leaders be at the forefront of the AI technological revolution. AI is not a trend or fad. AI is here to stay. Click here to learn more!

THE ZWEIG LETTER FEBRUARY 12, 2024, ISSUE 1524

FROM THE FOUNDER

If you take an honest look at people who are really good project managers, you’ll find they have some specific personality traits and abilities that lead to their success. Ten qualities we all want in our PMs

T he owners of practically every AEC firm we talk to or work with tell us that they are trying to have better project managers. You don’t have to be a genius to understand that if you do projects as your primary source of income for your business, you are going to want to have capable project managers – it’s how you make your money. Plus, you want to end up with a happy repeat client after you work with them, and don’t want any liabilities coming back to bite you in the backside later.

Mark Zweig

I think if you take an honest look at people who are really good project managers, you’ll find they have some specific personality traits and abilities that lead to their success. Here are some of them (you may have heard some from me before, but some of them you haven’t!): 1. They aren’t trying necessarily to be firm managers. Sure – they like their discipline and they like project management. But this does not mean that they necessarily aspire to be department managers or be a manager of other project managers. They like being “in the fight” daily, doing work on projects, and dealing with clients, subconsultants, contractors, and other employees. They enjoy solving the problems that come up, and like putting out fires instead of dreading those things.

2. They don’t procrastinate. They return phone calls and emails promptly. They put out project meeting notes fast. They cry for “extra services” agreements when they need to be called for quickly. They don’t put off ‘til tomorrow whatever would be best done today. 3. They know how to respond under fire. They will come under attack from contractors and subcontractors, and occasionally clients, and they don’t lose their cool. They also don’t write angry and stupid emails that make whatever they are dealing with worse. 4. They are good at sizing up people. There’s no substitute for being able to size up people quickly. People who are good at this can predict what their clients will like and won’t like, will know

THE ZWEIG LETTER FEBRUARY 12, 2024, ISSUE 1524

TRANSACTIONS NEW YORK CITY-BASED ZUBATKIN OWNER REPRESENTATION JOINS CUMMING GROUP Cumming Group has announced its merger with Zubatkin Owner Representation. The addition of Zubatkin will expand Cumming Group’s New York City headquarters headcount to more than 200 team members, while also growing its presence in Florida. Zubatkin’s unique experience in the institutional sector will enhance Cumming Group’s ability to serve the cultural and educational markets in the United States and Europe. Complementing Cumming Group’s diverse portfolio, Zubatkin has an extensive mix of iconic projects, including the American Museum of Natural History, 9/11 Memorial & Museum, Buffalo AKG Art Museum, Palm Beach Day Academy,

St. Patrick’s Cathedral, and One Times Square. As a trusted advisor with approximately $7 billion in successfully managed projects, Zubatkin specializes in supporting not-for-profit institutions, including museums, performing arts centers, educational facilities, and religious institutions, as well as some of New York City’s most prominent private developments. “The merger of Zubatkin and Cumming Group reinforces several key elements of our growth strategy,” said Derek Hutchison, president, and CEO at Cumming Group. “We are proud to partner with such a talented team that has a proven track record of delivering high-profile, complex projects that improve our communities. We are excited to help them reach their full

potential by taking their unique approach and expertise to a broader national and international market.” As a Cumming Group affiliate, the Zubatkin team will continue to be led day-to-day by Managing Principal Jason Zubatkin, who brings 15 years of experience in the planning and management of complex capital construction projects. Zubatkin noted, “With a shared client- first approach, we have a solid foundation for a very successful future. The synergy between our combined teams, aligned values, and depth of resources enhances career opportunities for Zubatkin’s team members and translates into delivering an unparalleled level of service for our clients.”

how to please them/impress them, and will know how to communicate effectively with them. They are also good at figuring out who should be in what role on the project. Call it intuition or call it being a real student of human behavior – it makes no difference – some folks have it and others don’t. 5. They know how to treat people. People don’t say about them, “So-and-so is a real jerk (or worse)!” Maybe they learned some real lessons from their grandmothers or their kindergarten teachers? It’s a skill that really helps you as a project manager, where so many of those on your project team don’t actually report to you. “You don’t have to be a genius to understand that if you do projects as your primary source of income for your business, you are going to want to have capable project managers – it’s how you make your money.” 6. They are great communicators. This, of course, starts with being a good listener and observer. But it’s more than that. They do things like parrot back what they heard someone tell them to confirm they heard it right. They don’t use terminology that practically no one will understand. They know how to be succinct and clear. 7. They are just a tiny bit paranoid. A good PM can anticipate where things will go wrong and who won’t do their job properly. That helps keep them (and the project) out of trouble!

8. They are natural relationship builders. Because people like them and trust them – because they know how to treat other people and are good communicators – because they can keep their cool under fire – they naturally build strong relationships with other people. This makes people WANT to work with them. 9. They are excellent multitaskers. I know all the LinkedIn “experts” out there will tell us that we shouldn’t multitask. What? Have these people ever really done anything? As a PM, of course you have to multitask! There will always be all kinds of conflicting demands on your time. You typically have many different projects, clients, and other priorities all tugging at you at the same time. You have to be able to juggle all those balls and still get done what needs getting done without upsetting anyone in the process. 10. They are honest. You have to keep your promises, do what you say you will, and be trustworthy to be an effective PM. You cannot keep a client happy if you are known as someone who speaks empty words and doesn’t follow through. Nor will a PM be able to keep their own team happy if they do things such as artificially shrink the budget or compress the schedule for the project – tools some people who work as PMs use. Sure, it is difficult – especially when you don’t control all the resources – but it’s essential to being an effective PM. I would guess that few of our readers would disagree with me here on the requisite skills for PMs. Yet, it’s really fascinating to me how little of this stuff is actually addressed in the typical PM training that firms do. Mark Zweig is Zweig Group’s chairman and founder. Contact him at mzweig@zweiggroup.com.

THE ZWEIG LETTER FEBRUARY 12, 2024, ISSUE 1524

OPINION

It’s time to win more work

Prioritize building relationships with clients and potential clients to build trust, credibility, and alignment for better outcomes.

I talk to growing contractors every day. One of the most common complaints I hear from them is: “We drop everything to bid these GCs/owners and then they never call us back! What jerks.”

In my time as a vice president of pre-construction and sales, I used to think the same. Until I realized it’s not the GC/owner’s fault I dropped everything I was doing to bid their work! It was my fault. I was expecting my dedication to somehow turn into calls back and project awards, but that doesn’t make sense. Our competitors were doing the same thing as me. I was a commodity. I finally realized I had to do a better job qualifying prospects. You see, if you don’t really know a prospect, and they don’t really know you, then you shouldn’t ever expect a call back. Because before you can build a project together, you need to:

It’s really that simple. And you can’t do any of that simply by bidding a job. You can, however, do it by having a good “relationship meeting.” I can pretty much guarantee that if you make a habit of holding relationship meetings before engaging with new clients – or even reengaging with existing clients – then, the results will speak for themselves: more sales, better win percentage, fewer “ghosted” bids. Here are the four tenets of the relationship meeting: 1. Business alignment (market, size, geography). First things first: Do our businesses truly align? Some questions you should be asking the prospect are: What markets do you work in? (Multi-family, institutional, higher education, etc.)

Matt Verderamo, MS

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Make sure you align with each other

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THE ZWEIG LETTER FEBRUARY 12, 2024, ISSUE 1524

ON THE MOVE WILLDAN CEO SUCCESSION Willdan Group, Inc. announced that Tom Brisbin, Willdan’s CEO has retire from his position as CEO of the company. Brisbin will retain his role as chairman of the board and will act as the company’s part-time consultant to ensure a smooth transition. Willdan’s president, Mike Bieber, will succeed Brisbin as CEO and will become a board member. “I’d like to commend Tom for his leadership and commitment to our company over the past 16 years,” Bieber commented. “I’m proud of what we’ve built at Willdan, ANNOUNCES

and even more excited about where we’re headed. We are building a leading company that transitions communities to clean energy and a sustainable future. Willdan is finishing 2023 strong, and we’re well positioned for the next several years ahead. With just under $500 million in revenue this year and 1,600 team members, we are only getting started. I’d like to thank our customers and shareholders for their support, and I thank the board for this opportunity.” Brisbin has served as Willdan’s CEO since 2007, joining just after the company went public, and growing revenue

more than six times over that period. During the 2008 financial crisis, he led the company’s expansion into energy efficiency, diversifying into a growing market and adding long-term financial stability. Tom has focused most of his career on developing a culture of organic growth and fostering leadership. Bieber and Brisbin met while working with one another 27 years ago. Bieber joined Willdan in 2014 as vice president, corporate development. For the last seven years, Bieber has served as president and focused on company operations.

What are the typical project sizes you are performing? What is the typical contract size for our scope you usually award? Where do you operate? What’s your strategy in that geographic area for the next five years? Some questions you should be asking yourself are: Do we work in the same market(s) as the prospect? Does their typical project and contract size align with our typical project and contract size? Do we operate in the same area(s)? Is there long-term growth potential with them in that area(s)? Make sure you feel comfortable with the answers to these questions before ever bidding a project with a prospect. Otherwise, it’s a waste of time. If you don’t align, stop here. Say thanks for reaching out but don’t bid the job. If you do align, move to tenet No. 2. 2. Philosophical alignment (mutual relationship). Do you align philosophically? This is really simple: What are your values? Could you describe your last successful contractor partnership? On your last project, how did your contractors fit into the project’s success story? Basically, you want to ensure that if you work together, you will be treated fairly, with respect, and hopefully have such great cultural alignment that your teams do an awesome job working together! This is important because you’re setting yourself up to be treated like an equal rather than like a random bid. 3. Mutual agreement for how we will pursue opportunities (the rules of the relationship). To establish yourself as a true partner, you need to set some mutual ground rules for your relationship. The basic formula is: “If I do X, will you

commit to doing Y?” Here’s what that looks like: If we bid this project, will you commit to giving us good, honest feedback? Before we submit our bid, we like to schedule proposal review meetings. If we agree to bid this project, will you commit to having a proposal review meeting with us? If we bid this project and knock it out of the park – even if we don’t get the award on this one – will you commit to giving us a hard look on the next one? Your bid is your leverage. If you want to ensure you receive something in return for your bid – like a call back, a meeting, or really good feedback – then now is the time to do it. And if they don’t keep up any agreements they commit to? Then you have to call them out on it (respectfully). If they don’t own up to it, then never bid them again. If they do, then you’ve established yourself as a partner and professional. 4. Picking a “project” to pursue together. If you’ve made it past the first three tenets, then you get to the fun part: picking a project to pursue together. Maybe you already know which it will be, or maybe you realize the original job they reached out about isn’t right, but they have another one coming up that is. Either way, pick a project before ending the meeting, and then make sure everyone is clear on the commitments that go along with it. Boom. You just showed that you are not like your competition, established yourself as a professional, got commitments for feedback and communication, and significantly increased your chances of winning this project, or future work. Matt Verderamo, MS is a consultant at Well Built Construction Consulting. Connect with him on LinkedIn .

THE ZWEIG LETTER FEBRUARY 12, 2024, ISSUE 1524

PROFILE

Developing leaders: Jim Canfield President of WithersRavenel (Cary, NC), a multidisciplinary consulting firm serving both the private and public sectors.

By LIISA ANDREASSEN Correspondent

A s president of WithersRavenel, Canfield is charged with leading the company and its most valuable resources – its employee-owners. He was initially hired in 1990 to lead the land development group and took over as president in 2013. He says the most exciting thing that’s happened during his time with the company has been its continued growth. Most of that growth can be attributed to adding complementary lines of business and geographic office locations to better serve clients, provide growth opportunities for teammates, and enhance the communities where they work. In 2023, the Triangle Business Journal recognized WithersRavenel as one of the most successful businesses in the region. The company made the prestigious list for the fifth straight year, finishing at No. 43 in 2023. The honor affirms the company’s commitment to quality projects, core values, and client experience. AN ESOP CULTURE DRIVES SUCCESS. WithersRavenel became 100 percent employee-owned in 2019. The primary

impetus for that move had to do with developing a way to transition the company from its two majority owners and founders, Tony Withers and Sam Ravenel, to its employees. It was also closely aligned with their belief in sharing ownership and company culture, which emphasizes that everyone on the team is important to company success. “It’s rewarding to see the growth of teammates and their success as they advance into leadership positions across the organization,” Canfield says. “This new ESOP has led to tremendous growth for us since 2014, and especially over the last four years.” In 2022, the company launched a “focus on innovation.” While innovation can mean many different things, for WithersRavenel, it’s mostly about leveraging technology and being thought leaders to create efficiencies in the way it conducts business, delivers services, and adds value. WithersRavenel wants to help people solve old problems in new ways by leveraging technology. For example, WithersRavenel has developed a web-based tool to avoid sanitary sewer overflows. It’s

THE ZWEIG LETTER FEBRUARY 12, 2024, ISSUE 1524

called LiftCommand and is specifically designed for lift station and sewer system operators, managers, and utilities directors to track your sanitary sewer system, verify permit compliance, and plan for sustainable growth. DEVELOPING LEADERS. However, despite company growth and innovative developments, finding talent is a top

HEADQUARTERS: Cary, NC NUMBER OF EMPLOYEES: 420 YEAR FOUNDED: 1983 OFFICE LOCATIONS:

A WithersRavenel team gathering.

supervisor, the challenges they will face, and strategies to deal with them. It’s also launched cohorts in its Leadership Academy under WR University, which helps employees develop the leadership skills needed to be great leaders and people managers. HEALTHY HABITS. In addition to training, wellness is a key focus at WithersRavenel and the company was recently recognized as one of the healthiest small businesses in the state of North Carolina. In fact, it finished third place in the Triangle and Triad competitions among companies with 100-499 employees in the annual Healthiest Employers awards program. Specifically cited in the Healthiest Employers’ recognition was WithersRavenel’s unique Thrive program which offers micro-training sessions, a testament to their recognition of the diverse needs of their teams in the midst of a hectic workday. Succinct 15-minute, live sessions are conducted through video conferences and are conveniently recorded and made accessible via their SharePoint app for those unable to attend in real time. After the content delivery, they actively facilitate open discussions to promote social connections and provide a platform for participants to share ideas and recommendations related to the topic. WithersRavenel’s Thrive committee includes individuals from throughout the company who generate the program ideas. Additional company initiatives include running and walking clubs, wellness-centered events, team contests, and programs linked with its company health plan. Physical and mental health are both key components of the programming, along with financial and emotional well-being.

challenge in all areas – ranging from recruiting, retaining, and developing talent. To combat this, the company has put an outstanding HR team in place that it considers a true business partner to the practice areas and support teams. “We’re investing in our team members by providing professional and personal development opportunities, including leadership training and we have an internal development program called WR University with six pillars,” Canfield says. He says that the industry, as a whole, is still feeling the effects of the 2008 recession which led to many people leaving the business, and in turn, creating a scarcity of project managers. “The recession was a learning experience for most of us,” he says. “At the time, I was leading our land development group and our company went from around 280 employees to fewer than 100 in a year. We were not nearly disciplined enough with respect to business processes, and I learned quickly that my business acumen needed to increase to enhance our future sustainability.” As a result, this led to a goal of balancing revenue between private and public sector work and implementing business-related requirements dealing with timesheets, invoicing, AR, unbilled time, and more. “Projects are the lifeblood of our organization and we will continue to develop and train our teammates who have a desire to manage projects,” he says. “I want to develop more project managers within our organization as it provides growth opportunities and also leads to more positive client experiences.” WithersRavenel has several programs that revolve around training and professional development. The firm provides supervisors with training about what makes a great

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Geomatics (survey, SUE, and remote sensing)

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GIS

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Land and site development

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Stormwater

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Water and sewer utilities

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THE ZWEIG LETTER FEBRUARY 12, 2024, ISSUE 1524

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