Public vs. private sector: Retainers T R E N D L I N E S W W W . T H E Z W E I G L E T T E R . C O M S e p t emb e r 1 8 , 2 0 1 7 , I s s u e 1 2 1 6
Making money in the A/E business
According to Zweig Group’s 2017 Fee & Billing Survey , firms performing a majority of their work in the private sector receive a retainer prior to starting their projects – 20 percent of the time – compared to just 2 percent for firms working predominantly in the public sector .
A s a student of this “industry” for more than 37 years now, I have seen a lot of companies and their associated financial statements. And here’s what I have noticed: Some people make a lot of money in this business while others don’t. When I look at the differences between the highly profitable companies and those that aren’t, here’s what I see: 1)“Working” owners versus non-working ones. The profitable companies have owners who are highly engaged with their clients and projects versus the ones that are simply work- ing as administrators. It just makes sense. As a result, they have a much better feel for what’s going on both inside and outside of the firm and are revenue generators as opposed to cost centers. In unprofitable companies the owners are disconnected from the business. 2)They ask for – and more importantly, get – good fees. This is another huge problem in this business and it simply isn’t talked about enough. We spend more time talking about how to manage a meager fee and making a profit than we do about how to get a good one in the first place. The profitable firms do stuff not everyone else does. They charge a lot and deliver outstanding service. They drive de- mand for what they do beyond their capacity to do it so they are fine with saying “no” when they must. Unprofitable firms are always in the opposite condition. They need every job and will tolerate abuse from their clients. 3)They have high performance standards for their people. The people who make money in this business just don’t believe in carrying
“I have seen a lot of companies and their associated financial statements. And here’s what I have noticed: Some people make a lot of money in this business while others don’t.”
Mark Zweig
OPEN FOR PARTICIPATION zweiggroup.com/survey-participation/
F I R M I N D E X Burns & McDonnell. ..............................12
Emerson.................................................8
Exp.........................................................2
Fehr Graham...........................................6
MORE COLUMNS xz RECRUITING NOTES: Nothing but net, part 2 Page 3 xz MARKETING MATTERS: Marketing matters, part 3 Page 9 xz GUEST SPEAKER: Business development Page 11
Jacobs Engineering Group Inc................8
Michael W. West & Associates, Inc..........2
Shive-Hattery Architecture-Engineering.12
Wiss, Janney, Elstner Associates. ...........2
See MARK ZWEIG, page 2
Conference call: Mick Gronewold
Page 6
T H E V O I C E O F R E A S O N F O R A / E / P & E N V I R O N M E N TA L C O N S U L T I N G F I R M S
2
ON THE MOVE WJE GAINS GEOTECHNICAL/GEOLOGICAL ENGINEERING EXPERTISE WITH MMWAI Michael W. West & Associates, Inc. , a specialized geotechnical and geological engineering firm located in Englewood, Colorado, has joined Wiss, Janney, Elstner Associates . Four of MWWAI’s employees have joined WJE as the initial members of a new geotechnical engineering unit that will be based out of WJE’s Denver office. The newest additions to WJE’s staff include Michael West, Peter Stauffer, Frank Harrison, and Emma Bradford. MWWAI’s principal areas of practice include geotechnical engineering, engineering geology, environmental geology, ground water hydrology, geological hazard evaluations, earthquake engineering, and forensic engineering. Over the past 35 years, MWWAI has provided technical consulting services on a large number of projects locally and internationally. “WJE has collaborated with MWWAI’s professionals for many years on a number of interesting and challenging projects. We are extremely excited to have them now join us and provide WJE with in-house geotechnical capabilities,” said John Reins, WJE principal in Denver. “We are all enthused to join WJE,” said Michael E. West, MWWAI founder. “Working alongside our new WJE colleagues, we can now help our clients solve a wide variety of geotechnical and built world challenges.”
Take your advice from Mark Zweig to-go.
MARK DVORAK NAMED PRESIDENT AND CHIEF OPERATING OFFICER OF EXP Exp , an A/E/C firm, announced that Mark Dvorak has been named president in addition to his current role as COO. Former President and Co-CEO, Vladimir Stritesky retired in July. With more than 20 years of experience Dvorak has evolved from an exp staff engineer, to a senior project manager, to vice president transportation for U.S. Central operations. Dvorak has also nurtured many valued client relationships. Stritesky became president and CEO in 1995. He has assumed the role of advisor to the CEO to ensure a seamless transition of leadership. “We will always be grateful to Vlad for his vision and leadership to grow exp into a highly reputable firm that keeps on winning projects across the globe”, said Ivan Dvorak, chairman and CEO. “After 40 years of dedicated service to Trow and exp, Vlad has decided to pass the baton to the next generation. We thank him for those years of dedicated service, and wish him good health and all the happiness that his growing family offers.” “Mark has earned numerous promotions through the years, gaining a strong understanding of the North American consulting engineering space and the company’s business,” said Stritesky. “In his most recent role as COO, Mark has demonstrated his strong leadership qualities and ability to lead exp to the next level of its development.”
thezweigletter.com/category/podcast/
1200 North College Ave. Fayetteville, AR 72703 Mark Zweig | Publisher mzweig@zweiggroup.com Richard Massey | Managing Editor rmassey@zweiggroup.com Christina Zweig | Contributing Editor christinaz@zweiggroup.com Sara Parkman | Editor and Designer sparkman@zweiggroup.com Liisa Andreassen | Correspondent landreassen@zweiggroup.com
MARK ZWEIG, from page 1
anyone who won’t carry their own load. They have high standards for themselves and everyone else who works there and aren’t afraid to move people out who don’t meet those standards. Unprofitable companies have legions of people they aren’t happy with, but they never do anything to get them turned around or change them out. 4)Their owners and managers – and as a result, their employees – think great things are possible. They are willing to try hard to achieve big goals instead of setting expectations so low they will always be met. A bigger, bolder vision creates better re- sults. Why shoot for a grade of “B” when an “A” is possible? 5)They have really good accounting. That means that the data coming from accounting on the performance of the firm, or units in the firm or projects, are accurate and trust- ed. It also means the profitable companies get their numbers out faster AND they share them with their people. Unprofitable companies have data no one trusts, and it comes out too late to act on it. 6)They have great pride in what they do and love it. How can you put a price on this? It really is a defining characteristic of those who do exceptionally well and those who just squeak by. The passion for the work – coupled with high standards of excellence – simply produces a better end result in terms of the product and the financials. This in contrast to the firms where people are only working for the money and don’t really care that much. Clients pick up on this and prefer using these firms. I could go on and on. This list could probably have 20 or 30 points on it but these are some of the big differences between those who bring in the big money and those that don’t. What has been your experience? Let me know. We love hearing from you. MARK ZWEIG is Zweig Group’s chairman and founder. Contact him at mzweig@zweiggroup.com.
Tel: 800-466-6275 Fax: 800-842-1560
Email: info@zweiggroup.com Online: thezweigletter.com Twitter: twitter.com/zweigletter Facebook: facebook.com/thezweigletter Published continuously since 1992 by Zweig Group, Fayetteville, Arkansas, USA. ISSN 1068-1310. Issued weekly (48 issues/yr.). $375 for one-year subscription, $675 for two-year subscription. Article reprints: For high-quality reprints, including Eprints and NXTprints, please contact The YGS Group at 717-399- 1900, ext. 139, or email TheZweigLetter@ TheYGSGroup.com. © Copyright 2017, Zweig Group. All rights reserved.
© Copyright 2017. Zweig Group. All rights reserved.
THE ZWEIG LETTER September 18, 2017, ISSUE 1216
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O P I N I O N
Nothing but net, part 2 Success in recruiting is relational, not transactional, so keep those contacts warm and be prepared to wait for that all-star to join your team.
L ast year I had the privilege of watching the courting of Kevin Durant once he decided to leave the OKC Thunder for greener NBA pastures. In early July 2016, there were several days of recruiting and negotiations by some of the biggest teams in the NBA that all wanted what Kevin had to offer. In the end, the Golden State Warriors prevailed and ultimately won the NBA Championship with their new star. I wrote about this in a previous TZL article. I highlighted the efforts that every team undertook to try to get Kevin to join them and ultimately how the Warriors won the recruiting battle. The bottom line? When recruiting good candidates you need to pull out all the stops and make it happen.
Randy Wilburn
he lead his team on a fairy tale romp through March Madness and a date with the Duke Blue Devils in the Championship game. They lost in an epic battle, but Hayward and the Butler Bulldogs both made a name for themselves. “One of the foundations of recruiting is developing relationships both for the short-term and long-term.”
Fast forward to this year’s free agency season in the NBA. Outside of some of the monster salary extensions received by a few of the NBA’s biggest stars – James Harden comes to mind at about $248 million – one of the best off-season recruitment efforts came when the Boston Celtics were able to lure away NBA star Gordon Hayward from the Utah Jazz. Over the past seven years, Hayward proved to be a diamond for the Jazz. Picked up in the early part of the first round of the 2010 draft, Hayward had just come off a remarkable sophomore season with Butler where
See RANDY WILBURN, page 4
THE ZWEIG LETTER September 18, 2017, ISSUE 1216
4 I know a lot of you are wondering where I’m going with this article. Please bear with me. I’ve spent the past few years telling everyone who would listen that successful recruiting is all about relationships, marketing (branding), selling, and an eye toward the future of talent acquisition. I even went so far as to craft a course around the subject called Becoming a Better Recruiter. RANDY WILBURN, from page 3 “The story of how Hayward ended up with the Boston Celtics and how he has helped to position them for another deep run in the NBA playoffs in 2017-2018, possibly even a run to the NBA finals, is all about relationships.” One of the foundations of recruiting is developing relationships both for the short-term and long-term. The story of how Hayward ended up with the Boston Celtics and how he has helped to position them for another deep run in the NBA playoffs in 2017-2018, possibly even a run to the NBA finals, is all about relationships. I’ve always said that people work with people they like. It’s a pretty simple concept. Here are three steps that you should take to improve your firm’s talent acquisition efforts: 1)Look for and see the promise in everyone you run into. I know that’s a loaded statement, and not everyone turns out to be a great find, but you never know until you get to know someone. This is true for those who work for you as well as those working elsewhere at a competing firm, or looking to get into the design and construction industry altogether. Celtics coach Brad Stevens was Hayward’s coach at Butler University during the team’s run to the NCAA Championship. He saw promise and recruited Hayward when the lanky teen was still a high school tennis player and thought he could be something special. Hayward’s NBA draft stock rose after that successful sophomore season. He sought out Coach Stevens, family, and friends to ask what he should do next: leave for the NBA or stay another year or two in college. Coach Stevens ultimately said it was his decision, but he was there to sup- port Hayward in every way during the process. Obviously, it would have been in the coach’s best interest for Hayward to stay, but Stevens remained a sounding board and sympathetic ear. 2)In the war for great talent, a hiring manager has to be willing to let some people go if they need to move on to greener pastures. They may eventually come back. We see it a lot in the industry when talent moves to another firm with the hopes that there are better days in front of them – only to find out that what they saw wasn’t a great opportunity. If you treat people right through this process and focus on the relationship, you may eventually win the war. Over his first seven years in the NBA, Hayward emerged as one of its top stars and a force to be reckoned with, whether shooting three-pointers or driving to the hole for a thunder- ous jam. He quickly helped the Utah Jazz become respectable again. All they needed was additional talent. Even with the
players the Jazz assembled around Hayward over the years, they still had a steep hill to climb in the stacked NBA Western Conference. 3)Work to keep your lines of communications and relation- ships intact with any and all potential candidates you come in contact with. Build a simple database of names and stay in touch with them any way you can, even if it means a simple card during the holidays or a LinkedIn birthday greet- ing. With social media and technology being what it is today, there is no excuse for not staying in touch, even if it’s auto- mated. You never know when you will get the chance to call on a talented individual to again join your firm. That chance came for Coach Stevens this Summer. Hayward was looking at the prospect of a max contract with the Jazz (the player’s current team can always structure a deal to pay that individual more money than any other team to encour- age them to stay), or look to join another team. After a lot of soul-searching and time with family and friends, Hayward ultimately chose the Boston Celtics and his former college coach, Stevens, for the next chapter of his NBA career. In his article in the Players Tribune , Hayward wrote about his decision. He mentioned one of the driving factors for him to leave a team that he spent seven years with was the relation- ship he forged with Coach Stevens and the fact that he was always a non-judgmental and sympathetic ear for the rising star. Next year I may write a follow-up to this article where I mention the fact that the relationship that Coach Stevens and Hayward built up over time led them to the heights of NBA success or the Warriors could dominate the league once again.
Only time will tell.
What we do know is that two people who have a lot of mutual admiration and respect for each other are now working together. The sky’s the limit for them. I want to encourage you to look at every point of contact, especially potential hires, as relational ones and not transactional. Relationships always last longer than transactions. Just ask Coach Stevens and Gordon Hayward. To find out more about the Becoming a Better Recruiter seminar and to learn how to build solid relationships for your firm through talent acquisition, please reach out to us. We look forward to helping you any way that we can. RANDY WILBURN is director of recruiting strategy at Zweig Group. Contact him at rwilburn@zweiggroup.com. “I want to encourage you to look at every point of contact, especially potential hires, as relational ones and not transactional. Relationships always last longer than transactions.”
© Copyright 2017. Zweig Group. All rights reserved.
THE ZWEIG LETTER September 18, 2017, ISSUE 1216
5
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THE ZWEIG LETTER September 18, 2017, ISSUE 1216
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P R O F I L E
Conference call: Mick Gronewold Principal at Fehr Graham (Hot Firm #72 for 2016), a 170-person engineering and environmental firm based in Rockford, Illinois.
By LIISA ANDREASSEN Correspondent “I f you ain’t falling down, you aren’t really ski- ing!” Gronewold says. A CONVERSATION WITH MICK GRONEWOLD. The Zweig Letter: You are a proponent of open- book management. What is the advantage of showing the firm’s financials to everyone on staff? Mick Gronewold: Sharing key stats and includ- ing our financial information with the team builds trust and encourages ownership of what we do each day. I’ve found that most of our employees appre- ciate that we’re transparent. Often, it creates dia- logue that shows me how engaged members of our
team are with what we do. They also have a deeper understanding of how everything we do affects the bottom line and how that translates into rewards for them. TZL: How do you go about winning work? MG: We sell trust. Trust that our team will make our clients look great, ensure they get exactly what they want – or more – and that they get it economi- cally. How do we build trust? It’s rather simple. We develop strong relationships with our clients and prospective clients and then we deliver time and time again. We do this in many ways: ❚ ❚ We really listen to our clients’ goals and objectives to ensure they are cornerstone to our efforts. ❚ ❚ We leverage our experience as well as cutting-edge technology to provide relevant solutions.
Mick Gronewold, Principal, Fehr Graham
THE ZWEIG LETTER Septe
7
newold
Zweig Group is social and posting every day! C O N N E C T W I T H U S
facebook.com/ ZweigGroup
twitter.com/ ZweigGroup
linkedin.com/company/ ZweigWhite
blog. ZweigGroup .com vimeo.com/ ZweigGroup
growth in the recent past. MG: It’s organic as well as via acquisition. Being from an agricultural background, I preach that anything that lives must grow. We have a robust growth strategy that challeng- es our existing locations year in and year out to expand and stretch. We also have a focused M&A strategy to increase our geographic footprint, add a service area we see that our client base needs, or strengthen our position in a current lo- cation or market share. Being methodical as well as persis- tent in our efforts toward growth while standing fast in the principals of our strategy is key. Getting lost in the idea of growth and deciding to grow for the sake of growing can po- tentially do more harm than good. TZL: What’s the greatest challenge presented by growth? MG: Much of our growth has come from acquisitions. We focus on integrating new team members into Fehr Graham so that there’s consistency in how we do business at all loca- tions. I’m sure you’ve heard it before, but culture is every- thing. Ensuring compatibility of the cultures and integrat- ing the two entities to form one requires focus and atten- tion. TZL: When hiring, what is the most important thing you look for? MG: The key tenets when hiring obviously change depend- ing on the experience level you’re hiring. However, in all cas- es, the ability to communicate orally and in writing, solve problems, and demonstrate a high level of empathy/emo- tional intelligence is key. Leadership potential and profes- sionalism are also attributes we seek. TZL: When firing, what’s your guiding philosophy? MG: Treat everyone with the highest level of respect. No one gets fired because he or she is a bad person or because he or she made a mistake. A separation occurs simply be- cause behaviors don’t align, and the lack of alignment is hurting the team. TZL: Great company culture is a cornerstone of any great firm. With a growing business with multiple offices, how is the firm’s culture maintained? What are the inevitable changes caused by growth? MG: We continue to work on culture as we add firm offic- es. More and more, we learn how important it is to have See CONFERENCE CALL, page 8 “We must offer more than just a job. There must be opportunities for creativity, professional advancement, and fun. We know our best resources are our people. We make sure they know it, too.”
❚ ❚ Our clients are part of the team throughout the project, not simply people we engage to sign a contract and don’t see again until we hand them the final product. ❚ ❚ We follow up to ensure we met product goals and our clients’ expectations. It is important to us that they had a good expe- rience. We must be proactive, intentional, and thoughtful in our ap- proaches as well as highly communicative as even the best- laid plans and projects experience bumps. When setbacks or complications arise, we effectively communicate with our clients and work with them to find resolutions. This ap- proach allows us to maintain – and oftentimes build – trust. “Sharing key stats and including our financial information with the team builds trust and encourages ownership of what we do each day. I’ve found that most of our employees appreciate that we’re transparent.” TZL: What’s the best way to recruit and retain top talent in a tight labor market? MG: We must offer more than just a job. There must be op- portunities for creativity, professional advancement, and fun. We know our best resources are our people. We make sure they know it, too. We develop and maintain relation- ships with our staff and show we value them in diverse ways such as: ❚ ❚ Providing a realistic work schedule. I’m not saying our people don’t put in the hours to meet client demands, but we work hard to communicate that achieving work-life balance is a Fehr Graham priority that helps everyone perform at a higher level. ❚ ❚ Giving our team more than tools of the trade, which are an expected minimum these days. No one is willing to find a way to make due with a typewriter or Mylar and a LEROY set. We must put current technology in the hands of our people and make sure we give them access to the training they need to use it. ❚ ❚ Relationships are key. Relationships with college campuses, relationships with high school guidance counselors, relation- ships with professional societies, and most importantly, re- lationships with our staff. Word of mouth to fill a position is much more effective than a job posting on a website. We also invest in young people who live within our markets with the hope they may come to work with us after they earn their degrees. We offer several internships for future engineers (civil and structural), landscape architects, geolo- gists, and more. TZL: What’s your preferred strategy for growth, M&A or organic? Give us a synopsis of how your firm effected
© Copyright 2017. Zweig Group. All rights reserved.
ember 18, 2017, ISSUE 1216
8
BUSINESS NEWS EMERSON TO LAUNCH $100 MILLION RENOVATION PROJECT FOR ITS FACILITIES IN SIDNEY, OHIO Building on its longstanding commitment to west-central Ohio and to advance its global leadership in the heating and cooling industry, Emerson announced plans for a major renovation and expansion of the labs and offices at its existing 1-million-square-foot facility in Sidney, Ohio. The project is expected to require $100 million in investments over the next four years. Emerson broke ground in July on the first phase of construction, which will include building a two-story office addition onto the current facility and converting existing space to new and expanded engineering laboratories. With a focus on creating an environment to attract tomorrow’s engineers, scientists, and industry leaders, the renovated facility will facilitate cross-functional collaboration and provide an efficient, modern workplace. A highlight of the project will be an upgraded, cutting-edge lab space to conduct advanced performance and refrigerant testing with its compressors and related products. “Emerson is committed to growing our global leadership position in the heating and cooling industry. To do that we need best-in-class facilities that provide our current employees a cutting-edge space to continue their critical work – and that help us attract the next generation of engineers and scientists,” said Bob Sharp, executive president for Emerson’s commercial and residential solutions business. “These facility improvements will enable us to develop next-level technology and solutions to meet our customers’ future needs.” The new construction projects in Sidney
SIEMENS JACOBS CELEBRATE THE WALPOLE EXPANSION PROJECT GROUNDBREAKING Jacobs Engineering Group Inc. and Siemens Healthineers celebrated the groundbreaking of a major expansion to a key Siemens Healthineers manufacturing and R&D facility for laboratory diagnostics in Walpole, Massachusetts on June 30, 2017. HEALTHINEERS AND Providing engineering and construction support for the expansion project, Jacobs’ scope of services includes more than 30 projects over a three-year period as part of a complex master plan to increase the production capacity, expand office and lab space, and add warehouse space at the existing 500,000 square-foot complex. “Our team brings considerable knowledge to this project, with proven capabilities and 11 years previous on-site experience at Walpole,” said Jacobs Senior Vice President Life Sciences, Consumer Goods and Manufacturing Ken Gilmartin. “Jacobs is proud to be working alongside Siemens to grow the company’s U.S. manufacturing footprint and support their goal of providing improved healthcare worldwide.” Walpole is a main Siemens Healthineers location for developing and manufacturing laboratory diagnostics assays for immunoassay instruments, as well as consumables for molecular and blood gas testing instruments. The Walpole facility impacts patients and healthcare providers across the globe. R&D efforts at the site bring new tests to the diagnostics market to help physicians diagnose and treat disease.
come just a year after Emerson opened its Helix Innovation Center on the University of Dayton campus. The Helix Innovation Center is an industry-first effort funded by Emerson to spur research, collaboration, and education across the heating and cooling manufacturing industries. Since 1937, Sidney has been the home of Emerson’s world-renowned Copeland compressors for air conditioning and refrigeration, and the Sidney location today serves as the company’s headquarters in the Americas for compressor technology and manufacturing. The renovated facility will enable engineers to conduct research, development and testing to develop future technologies for compressors, in addition to manufacturing Copeland Scroll compressors, which are found inside air conditioning systems for homes and commercial buildings, and in refrigeration systems at retailers, restaurants and other institutions worldwide. Globally, Emerson has produced 150 million Copeland Scroll compressors and invested $1.5 billion to date in development of the technology. “Through our Copeland brand, we have a history in this area that stretches back eight decades, as well as 1,700 employees at the Sidney location who call Ohio’s Miami Valley region home,” said Brent Schroeder, group president of heating and air conditioning for Emerson’s Commercial and Residential Solutions business. “We are grateful for the local, regional, and state agencies and officials who have provided support for this major renovation project. We are excited to get the project underway and continue to build for a bright future.”
Fehr Graham wants to grow. We work hard to create an en- vironment in which failure is a positive – an opportunity to learn or solve another problem. A lot of effort goes into making sure that our failures are exposed internally and fixed before the deliverable leaves our office out of respect to our clients. In the end, this is very much a human busi- ness and, as such, mistakes and missteps will happen no matter how good our process is or gets. My colleagues are confident enough in their abilities to come together and de- liver when we experience a failure with one of our initia- tives. The team quickly regroups, formulates a strategy to address it and moves forward. When that failure involves a client, we own it and work diligently to make it right. If you spend time in our office, I know you will hear this phrase, “If you ain’t falling down, you aren’t really skiing!” “Failure is a necessary experience to grow at the pace Fehr Graham wants to grow. We work hard to create an environment in which failure is a positive – an opportunity to learn or solve another problem.”
CONFERENCE CALL, from page 7
consistent culture across the firm. We now have 10 offices in three states, and integrating and ensuring the “Fehr Gra- ham Way” across all locations takes time. It defines how we treat clients, how we complete our work, and how we sup- port each other. Also important is patience and having an open mind. When new people join the firm through acqui- sitions, they often bring great ideas as well as a strong hold on how they approached things before. They also bring new talents that we find ways to use. You must take the time to listen and learn so the whole team gets better. From there, we can communicate to the entire team why certain deci- sions were made and how we will work together moving for- ward. Our all-for-one and one-for-all approach to business as opposed to profit centers encourages cross-office support in securing as well as executing work. This is a big change for some, and it takes adjustment. Once you see the benefits of our process, you never want to go back to those other means that often create silos. TZL: In the event of failure, how does your firm react? MG: Failure is a necessary experience to grow at the pace
© Copyright 2017. Zweig Group. All rights reserved.
THE ZWEIG LETTER September 18, 2017, ISSUE 1216
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O P I N I O N
I t’s time to roll up your sleeves. In this installment of Marketing Matters for the AEC industry, we will break down the three essential social media platforms every AEC firm must use – Facebook, Twitter, and a killer website. Marketing matters, part 3 There’s three horses you need to ride if you are going to win the race, so saddle up with Facebook, Twitter, and a killer website.
tab, and a header image (which, to start off, can be the same picture as your firm logo). It seems like a very basic task, and it is, but many firms haven’t done this. “ The No. 1 social media platform boasts 1 billion-plus active daily users. Facebook is a business tool employed by companies of every size. It has replaced websites as the mass market’s ‘online test of credibility.’”
FACEBOOK ❚ ❚ Why? Everyone is on Facebook. The No. 1 social media platform boasts more than 1 billion active daily users. Facebook is a business tool employed by companies of every size. It has replaced websites as the mass market’s “online test of credibility.” It has one of the most powerful advertising pro- grams on the internet. If you want to send an ad that is targeted to all of the 47-year-old male golfers in three specific neighborhoods in your city who make $250,000 or more a year, you can do that. ❚ ❚ How? Set up a Facebook account for your business. If you have a personal account, you will create a new page for your business. When you create the page, make sure you add your firm’s location, your firm logo to the “profile picture”
Sanjay Jenkins MARKETING MATTERS
See SANJAY JENKINS, page 10
THE ZWEIG LETTER September 18, 2017, ISSUE 1216
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BUSINESS NEWS JACOBS SIGNS GLOBAL ENTERPRISE FRAMEWORK AGREEMENT WITH SHELL Jacobs Engineering Group Inc. has signed a global Enterprise Framework Agreement renewal with Shell Oil Company to provide concept, front-end engi- neering, detailed design, procurement, proj- ect management, construction management, and construction services for Shell projects globally. The agreement aligns with Shell’s
ongoing efforts to transform the way its proj- ects are delivered by improving capital and financial efficiencies. “We look forward to continuing to work with Shell. This agreement fosters fresh and inno- vative project delivery solutions to help meet our joint goal of increased capital efficiency and economic results,” said Jacobs Petroleum and Chemicals President Gary Mandel.
Jacobs is one of the world’s largest and most diverse providers of full-spectrum techni- cal, professional and construction services for industrial, commercial, and government organizations globally. The company em- ploys more than 54,000 people and oper- ates in more than 25 countries around the world.
SANJAY JENKINS, from page 9
Engage with people around topics that interest them and that you have expertise in. Utilize Twitter Search to find trends and specific conversa- tions to join. You can search to see all the people who are talk- ing about “bridges” or the controversial development project via Twitter Search. Share your blog posts from your website. (Again, more on this in just a bit!) Hashtags! You don’t need to use a million hashtags, but a few hashtags (which index key terms in a tweet) will amplify the exposure (measured using the “impressions” metric on Twit- ter) your tweets get. WEBSITE ❚ ❚ Why? This is your office on the internet. This is home base for your clients and your employees. This is a great place to show off the work you do and your capabilities. Having a good website is no longer something that is “nice to have.” It is a necessity. The AEC industry is filled with bad websites, so at this stage, it pays big time to have an up-to- date website. ❚ ❚ How? Check out current web design trends and apply them to your website. Make sure that your website is mobile-responsive. Blog posts (finally!). Your firm offers specialized services. The services can only be rendered with the proper technical know- how, which you possess. You need to share what you know to the industry and the world at large. By publishing content regularly about the niche you operate in, you create a paper trail of your expertise. Educate your audience and they will reward you by coming to you for your professional services. Aim to post at least one new blog post each week. Distribute the posts through the channels mentioned above. Search engine optimization. Read up on the current trends in SEO and format your website and content to comply with those standards. If you have a third party managing your site, make sure that they are following current SEO protocols, as the rules change frequently. Publishing content like blog posts will improve your search engine ranking. Good SEO will help you move from being the 10th listing on the eighth page on a Google search to being on the first page of a search. These are the three top platforms you need to develop when it comes to digital marketing. Now go forth and implement! Theory doesn’t matter if there is no action behind it. As always, I’m here to guide you through it. SANJAY JENKINS is the marketing and e-commerce specialist at Zweig Group. Contact him at sjenkins@zweiggroup.com.
To start, post twice a week (Monday and Friday, to make it easier). Share blog posts from your website (more on that in a bit), link to articles related to your niche, and share news sto- ries you have been mentioned in. Distributing content that already exists or that was made by others is the easiest way to start. Invite all your employees (who have Facebook accounts) to like your page. Encourage them to share content that they had a part in creating. Run ads! Are you trying to win work in a certain region or state? Use Facebook’s Ad Builder to put together an ad that is displayed only to those in the area you have chosen. “Having a good website is no longer something that is ‘nice to have.’ It is a necessity. The AEC industry is filled with bad websites, so at this stage, it pays big time to have an up-to-date website.” TWITTER ❚ ❚ Why? A few months ago, I wrote a social media guide for the AEC industry and said that “Twitter was at the twilight of its relevance.” I’ll be the first to admit this: I was wrong. Twitter’s power lies in the ability for an individual or organization to directly engage with others with minimal barriers. The speed of interactions, trend-creation, and trend capital- ization makes Twitter an important place to be. ❚ ❚ How? Set up a Twitter page if your firm doesn’t currently have one. Tweet at least once a day. Don’t know what to tweet about? That’s okay! Each day of the week has some sort of theme that is used every week, and you can piggyback off that theme. For example, Thursday’s theme is #ThrowbackThursday, where you post a picture or video of something that happened some time ago. You could post a throwback of a project you completed last year or a great work retreat from four months ago. Engage with people directly on Twitter. This is the most im- portant Twitter action item. To directly engage with someone on Twitter, pull up their profile page and click either the “Tweet at” button or click on the “Compose a Tweet” button and type “@Username.” The value of this is simple; by engag- ing with people directly, you show the humanity of your com- pany’s online presence.
© Copyright 2017. Zweig Group. All rights reserved.
THE ZWEIG LETTER September 18, 2017, ISSUE 1216
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O P I N I O N
W hat are the career paths in your firm? The next generation wants to know – specifically. Business development Your next generation of business builders has arrived. Have you shown them the way forward with a comprehensive set of goals and expectations?
This generation grew up with structure, technology, and instant gratification. They want a clear, accelerated career path so they can make an immediate impact. To recruit and retain talent, business leaders must help shape fulfilling career journeys, and teach missing skills, knowledge, and abilities. In “The Millennial Question” (an interview with Tom Bilyeu on Inside Quest), Simon Sinek lays down the challenge. “Teach them the joys, impact, and fulfillment you get from working hard on something for a long time that can’t be done in a month or even a year,” Sinek says. He says good leadership will help this new generation build confidence, learn social skills, and lead a more balanced, meaningful life. To meet this challenge, Shive-Hattery outlined four career paths for employees: Business development, design, operations, and project
management. Each career path has skills, knowledge, and abilities to develop over time – years of experience that require intestinal fortitude. “To recruit and retain talent, business leaders must help shape fulfilling career journeys, and teach missing skills, knowledge, and abilities.” BUSINESS DEVELOPMENT PATH. Ongoing coaching helps staff shape their learning plan. Architect Spero Valavanis is a passionate storyteller teaching busi- ness development to the next generation at Shive- Hattery. Valavanis breaks down specific activities by years of experience to help mentees continually progress:
Greg Kanz GUEST SPEAKER
See GREG KANZ, page 12
THE ZWEIG LETTER September 18, 2017, ISSUE 1216
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ON THE MOVE BURNS & MCDONNELL ADDS VISIONARY IN UTILITY AND GRID MODERNIZATION A leading visionary and innovator in utility and grid modernization has joined Burns &McDonnell , where he’ll help clients navigate evolving regulations, market conditions, and industry needs. Doug Houseman brings nearly four decades of engineering andconsulting experience toBurns & McDonnell, the No. 1 firm in North America in electrical transmission and distribution as ranked by Engineering News-Record . As utility modernization lead consultant, Houseman will evaluate and implement new technologies, processes and systems, as well as help clients develop policies and standards. “Doug brings unique ideas to each project
or challenge,” says Lucas McIntosh, project manager and distribution planning lead at Burns & McDonnell. “We are thrilled to have him join our team and help our clients define and achieve modernized operations, systems, technology, and policies.” Houseman will focus on advanced metering infrastructure, distribution, and substation automation, enterprise asset management, distributed energy resources and distribution management infrastructure, standards, and processes – and more. “One of the best parts of my career has been having people trust me to help them with first-time efforts,” Houseman says. “Whether it was metering in Europe, demand response in the U.S, wholesale
markets in Australia or microgrids in Africa, people have given me the trust to figure it out. I want to help the next generation of engineers understand how to do that with confidence.” Houseman’s experience includes assisting with an Italian utility’s network of 27 million smart meters — meters allowing the utility to change breakers remotely rather than by visiting each location every time a customer wants a higher limit, a move that generated enough savings to finance the entire project. He also has been working with Burns & McDonnell on Entergy projects, helping make changes to the utility’s internal standards to improve the grid’s resiliency and save money.
GREG KANZ, from page 11
in design. ❚ ❚ Market sector expert and client relationship manager ❚ ❚ Promote peers in your firm to clients to create the next generation of relationships ❚ ❚ Speaking engagements, publication, and media ❚ ❚ Strategic leader (10-plus years). The pinnacle of the BD ca- reer path is market sector leadership. You influence firm-wide client pursuits, project-type targets, growth, and business planning. Your knowledge about trends, opportunities, and challenges makes you valuable to clients. Most importantly, you invest in your firm’s staff as a mentor, guiding career de- velopment and ultimately the succession and sustainability of your firm. “If your new generation finds fulfillment in continuous learning, and takes time to build the trust of colleagues and clients, your firm will be an innovative, growing enterprise with a deep bench of leaders.” WHERE TO START. For skills, knowledge, and abilities in market- ing and business development, check out the Society for Marketing Professional Services “Body of Knowledge” or MARKENDIUM. It defines six areas of marketing and busi- ness development to learn: marketing research, planning, client and business development, proposals, promotional activity, and management. The essence of business development is the ability to form trust-based relationships. There are an array of skills, knowledge, and abilities you can teach beyond simple selling techniques. If your new generation finds fulfillment in continuous learning, and takes time to build the trust of colleagues and clients, your firm will be an innovative, growing enterprise with a deep bench of leaders. GREG KANZ is marketing director for Shive-Hattery Architecture- Engineering. He can be reached at gregkanz@shive-hattery.com.
❚ ❚ First five years. Foundational to your success is knowledge of your firm’s values, capabilities and experience. Share your story about why you are excited to be part of your firm with anyone and everyone. Look for ways to give back through par- ticipation in professional and non-profit organizations. This will help you develop a network of professionals/peers and meeting skills. ❚ ❚ Develop communication, marketing, and presentation skills ❚ ❚ Research opportunities through relationships, networks, and media ❚ ❚ Understand your personality type (everyone can be effec- tive) and how to connect with people ❚ ❚ Five to 10 years. Existing clients are ideal training ground for learning relationship development. Through client service, accountability, and availability you become a trusted advisor to long-lasting clients. Spending time with clients – profes- sionally and socially – is important. Tell stories that interest them and share anecdotes related to their needs and goals. ❚ ❚ Participate in presentations ❚ ❚ Take leadership roles in volunteer and professional organi- zations ❚ ❚ Make calls on client/opportunities related to personal ex- pertise and referrals from relationships “Good leadership will help this new generation build confidence, learn social skills, and lead a more balanced, meaningful life.” ❚ ❚ Expert and mentor (10-plus years). After a decade of experience, the decision makers are your network of profes- sionals/friends become decision makers. You lead marketing calls and presentations. Develop presentation teams and strategies. Connect colleagues with clients and opportunities, and mentor them through the process. In the broader market, leverage your personal experience, expertise, and knowledge
© Copyright 2017. Zweig Group. All rights reserved.
THE ZWEIG LETTER September 18, 2017, ISSUE 1216
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