TZL 1279

TZL: Do you share base salary or bonus amounts with your entire staff? MH: We share our compensation philoso- phy with our staff. Everyone in the com- pany knows how salaries are determined, but we do not share the individual salary of each employee. In the same way, everyone knows how the bonus is determined, but we do not share the exact bonus amount that each employee receives. TZL: What actions do you take to address a geographic office or specific discipline in the event of non-performance? MH: We operate our company with a Dem- ing approach, which would suggest that it is our systems that are leading to the non- performance and not the people. In the event of non-performance, we spend time dissecting and trying to understand what the cause of the non-performance is. Until we know “the story behind the numbers” as Deming would put it, there isn’t anything to correct. We then spend time discussing where the system is breaking down and what we can do to correct the issue before addressing it as non-performance with the employee. TZL: Have you ever closed an under-per- forming office? If so, tell us about it. MH: No, we have not closed an under-per- forming office. Recently, our newest office wasn’t generating quite the amount of rev- enue we were forecasting. After evaluating the situation, we realized that the clientele that fit our way of operating and valued our differentiators were smaller in number than we had originally estimated. This led us toward an alternative operating plan for the office, which is based on a new strate- gy we are testing in that market that more aligns our strengths with the clientele in the area. “The leadership in the company is determined by how much responsibility the employee is willing to take on and willingness to continuously learn and improve.” TZL: Internal transition is expensive. How do you “sell” this investment oppor- tunity to your next generation of princi- pals? How do you prepare them for the next step? MH: We went through our internal lead-

ership transition two years ago. I wouldn’t have said it was expensive for us. We had been planning for our transition for seven years, and though it came sooner than we had anticipated, it has been an extreme- ly smooth one. Additionally, by opening shares to anyone who has been with the company for more than three years, we have been able to transition the shares be- ing bought back by the company to new owners without a financial toll being tak- en by the company. The key to the entire transition was to plan for it early so when it came time to move forward, we weren’t stuck with unexpected scenarios. “I know I don’t know it all, so I am constantly looking for those opportunities to learn and to see how I can adapt those lessons into tangible ways of moving the company forward.” TZL: When did you have the most fun running your firm, and what were the hallmarks of that time in your professional life? MH: It’s still happening. There is something different every day, it seems, for me to learn from our employees or other business owners. Being young and dumb has its advantages. I know I don’t know it all, so I am constantly looking for those opportunities to learn and to see how I can adapt those lessons into tangible ways of moving the company forward. TZL: Describe the challenges you encountered in building your management team over the lifetime of your leadership? Have you ever terminated or demoted long-time leaders as the firm grew? How did you handle it? MH: To describe them as challenges for me would be a long shot. I have been very fortunate that the previous leadership of the company has been extremely gracious in their approach to transitioning the management of the company. Again, having been in the plan for years, it was a very slow transition that allowed the company to get comfortable with it before it actually happened. From my end, I will forever be grateful that the former management (founders of the company) was willing to take the approach of slowly adjusting their roles within the company to allow us to

YEAR FOUNDED: 1994 HEADQUARTERS: Sidney, Ohio, and offices in Loveland, Ohio and Portland, Indiana. NO. OF EMPLOYEES: 45 CLIENTS: Public sector: ❚ ❚ Municipalities ❚ ❚ Townships ❚ ❚ Park districts ❚ ❚ DOTs Private sector: ❚ ❚ Residential, commercial, and industrial developers ❚ ❚ Architects ❚ ❚ Contractors SERVICES: Public sector: ❚ ❚ Transportation ❚ ❚ Underground utilities ❚ ❚ Traffic ❚ ❚ Bridges Private sector: ❚ ❚ Site plans ❚ ❚ Land development ❚ ❚ Storm water management ❚ ❚ Surveying MISSION STATEMENT: Make lives better with an enjoyable experience.

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uary 14, 2019, ISSUE 1279

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