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 N o v e m b e r 1 3 , 2 0 1 7 , I s s u e 1 2 2 4
Ideal vs. actual time spent
Making job offers that get accepted
Y ou go to so much trouble to find the right person for your critical job opening. Sometimes, the process takes months. The higher level the job, the longer it takes to fill. Everyone is busy. Just finding times when the candidate can come to meet with you and your people can be difficult. After an exhaustive search and plenty of dead-ends, you get to the point where you are ready to make a job offer. You extend the offer and it turns out you are unable to hire the person you thought you’d get. They turn you down. What went wrong? What can you do differently next time to avoid wasting so much time? Here are five points you need to consider: 1)Make sure you are offering the job to the right person. Sometimes it’s obvious to me that there is no way a candidate is going to take the job offer. If it is too lateral of a move – or your company is not as prestigious as the one where the candidate works at present – or the candidate has a spouse with a better job – maybe it’s just unreasonable to expect them to take your job. 2)Make sure you do everything you can leading up to the offer to create a positive impression. Who did the job candidate meet with? Positive people who think well of the firm or negative ones who might say the wrong thing? In cases where a relocation is required, did you get a good realtor involved to show the candidate the area?
“Please take my advice here. You don’t want to waste weeks and months, and then not get the person you wanted badly enough to make a job offer to. That’s a waste!”
According to Zweig Group’s 2017 Principals, Partners & Owners Survey , most principals feel like they spend too much time on firm management/ operations and not enough on developing younger staff through mentorship programs. Ideally , principals would spend a third of their time on firm management, down from the actual 40 percent. They would also like to spend closer to a quarter of their time mentoring staff, up from the 12 percent they now spend.
Mark Zweig
OPEN FOR PARTICIPATION zweiggroup.com/survey-participation/
F I R M I N D E X Architecture Design Collaborative............4 BIG RED DOG Engineering & Con- sulting ..................................................10 Boeing..................................................12 Burns & McDonnell. ..............................10 Fluor Corporation..................................12 ISG. ......................................................12 Jacobs Engineering Group Inc................4 Kaman Corp.. .........................................8 KBR, Inc.. .............................................2T Triumph Group, Inc.. .............................12 VHB........................................................6
MORE COLUMNS xz CONTINUING ED: Are you lonely? Page 3 xz GUEST SPEAKER: Taking care of your team Page 9 xz GUEST SPEAKER: Previous employees Page 11
See MARK ZWEIG, page 2
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 Conferencecall:Michael Carragher, part 2 Page 6
2
BUSINESS NEWS KBR DIEGO GARCIA LLC TO SUPPORT DIEGO GARCIA NAVY BASE OPS AFTER GAO PROTEST RESOLVED KBR, Inc. announced that, consistent with a decision by the Government Accountability Office, the award of a $515 million fixed price with award fee contract to KBR Diego Garcia, LLC will stand. The work on the contract, awarded in May by Naval Facilities Engineering Command Pacific, will begin this month. Work will be performed by KBR Diego Garcia, LLC operating under KBRwyle, KBR’s global government services business. The company will provide base operating support services at Navy Support Facility Diego Garcia in the British Indian Ocean Territory. KBR Diego Garcia, LLC will provide a range of services frommanaging facilities and maintaining base vehicles to general management and administration, safety, port and air operations. KBR Diego Garcia, LLC is expected to perform this work over the next eight years if all option years are exercised. “We are proud to support the U.S. Navy’s men and women in Diego Garcia and we are ready to get to work,” said Stuart Bradie, KBR president and CEO. “We are proud of this award which we won as a direct result of the government services acquisitionswemade in 2016,” Bradie continued. “We won this competition with a collaborative company effort including critical contributions from KBRwyle, the global government services business created by our recent acquisitions.” KBR is currently performing operations and
Take your advice from Mark Zweig to-go.
maintenance services for multiple U.S. Navy and Army military bases around the world, including the largest U.S. base in Africa. KBR’s continuing expertise in service delivery at remote locations for the U.S. Armed Forces underpins this award. Across KBR’s combined portfolio of capability, there are common attributes such as providing deep domain expertise, supporting long-lived programs and geographies, a focus on mission- critical execution, and bringing innovation to the full life cycle of any asset, service or system. For more than 50 years, KBR has provided operations, maintenance, and logistics services across the globe supporting the U.S. government. As a key strategic industry partner to the U.S. Armed Forces, KBR brings the singular, integrated service solution driving innovation for our U.S. government customers in addition to the experience and knowledge necessary to expertly support operations at Diego Garcia as a critical asset. Revenue associated with this project will be booked into backlog of unfilled orders for KBR’s Government Services business. KBR is a global provider of differentiated professional services and technologies across the asset and program life cycle within the government services and hydrocarbons sectors. KBR employs more than 34,000 people worldwide (including our joint ventures), with customers in more than 80 countries, and operations in 40 countries, across three synergistic global businesses.
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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
3)Make sure your offer is a decent one. “Decent” in most cases means a minimum of a 10 percent BASE salary increase in the case of a local move, or 15-plus percent when a relocation is involved. And don’t get confused about this. Your offer, bonus included, is not the issue. I’m talking about base salary here. Also, don’t think just because you are in a lower cost of living area that these numbers will go down. Good people (i.e., not desperate, unemployed ones!) expect more pay to make a move to a new firm. It’s risky! 4)Don’t give any more than 24 to 72 hours for a decision. If you give longer than that I can almost guarantee you that you will have a turndown. All you are doing is giving the candidate time to shop your offer with other companies or even their present employer. No one needs more than two or three days. 5)Warn the candidate about the possibility of a counter offer! Most companies do not bring this up. You need to! Ask this simple question of each candidate you are making an offer to: “Now John Q Engineer, what will you do when you go to turn your notice in and your current employer tries to talk you into staying?” Wait to hear their response and then say, “They will put you on a guilt trip, tell you all of the plans they ‘had’ for you, and promise you anything to get you to stay. The reason is you caught them unprepared. And our experience is that means they will do whatever they must to keep you on-board now while at the same time immediately starting to look for your replacement!” Please take my advice here. You don’t want to waste weeks and months, and then not get the person you wanted badly enough to make a job offer to. That’s a waste! 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/year) $250 for one-year print subscription; free electronic subscription at thezweigletter.com/subscribe 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 November 13, 2017, ISSUE 1224
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O P I N I O N
Are you lonely? If you’re looking around but not seeing many people like you, try Zweig Group’s new 2018 seminar, CEO Roundtable. Visit bit.ly/2kUiLZy for more information.
W e hear it all the time: “It’s lonely at the top.” The farther you move up the pyramid, the fewer the peers you’ll find there, but it doesn’t have to be lonely.
Leadership loneliness is just a state of mind, because there really are others out there just like you. You just have to look for them. During a conference I attended a few of years ago, the presenter asked the audience of a couple hundred business executives to count the number of people they had in their professional circle. These were the people you could rely upon for unfettered advice and counsel. The audience was asked to raise their hand if they had one personal advisor. Nearly every hand went into the air. Three advisors? More than half of the hands dropped. Five? Ten advisors? Out of the 250 or so people in the room, only two hands remained. As we progress up the leadership ladder, it becomes increasingly critical that we maintain a group of peers we can turn to for advice. The larger
our group, the broader the expertise we can rely upon. “As we progress up the leadership ladder, it becomes increasingly critical that we maintain a group of peers we can turn to for advice. The larger our group, the broader the expertise we can rely upon.” So where do you find those peers who understand what you’re going through, regardless of your level within your company? ❚ ❚ Network at industry events. Take advantage of more than just the agenda at an industry confer- ence. If you normally sit with people from your firm
Bill Murphey CONTINUING ED
See BILL MURPHEY, page 4
THE ZWEIG LETTER November 13, 2017, ISSUE 1224
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BUSINESS NEWS ARCHITECTURE DESIGN COLLABORATIVE WINS MAME AWARD FOR DESIGN OF ANTON ARCADE AFFORDABLE HOUSING COMMUNITY IN SACRAMENTO Architecture Design Collaborative was awarded the Multi Family Community of the Year by the North State Building Industry Association for its design of the Anton Arcade Residential community in Sacramento. An urban infill community, Anton Arcade features 148 modern residences in the established Arden Arcade neighborhood. The community features one-, two-, and three-bedroom residences and offers an urban lifestyle in a revitalized area. Residents enjoy walkable access from their Green Point Rated community to Country Club Mall, public transportation, and a wide array of retailers. The residents’ clubhouse includes a complete kitchen, media lounge, computer center, fitness room, and play area. Other amenities include a pool, barbecue area, and picnic pavilion. On-site supportive services include after school programs and educational classes provided by Pacific Housing, Inc. “We founded ADC nearly four years ago with the goal of providing our clients with innovative and sustainable building design, and I am proud that our firm has been recognized with a MAME award,” said Corey DeManty, principal. “From the outset, this project – which provides modern affordable housing – was a true collaboration with Anton Development Company. We are very pleased to have played
a role in expanding affordable housing in Sacramento.” Architecture Design Collaborative services clients nationwide offering multi-disciplinary architectural, planning, and interior design services. ADC has active projects in 20 states specializing in mixed-use, residential, retail, and commercial projects. SIGHTSPACE PRO MOBILE EXPANDS AUGMENTED AND VIRTUAL REALITY FOR ARCHITECTURE AND CONSTRUCTION Limitless Computing Inc., the award-winning leading provider of 3-D mobile augmented reality, announced SightSpace Pro 4.0 for immersive and interactive visualization of 3-D models in real-world environments for Apple and Android users. SightSpace Pro now supports Apple’s ARKit, and combined with geolocation technology, provides a complete AR experience for Apple users from the office to the field. For easy access from anywhere, at any time, Apple and Android users can simply sign in to SightSpace Pro with their Google account and find their models, including those stored on the SightSpace Cloud. “Communicating design visions with clients and colleagues has been a challenge for many architecture and construction professionals,” commented Jeffrey Franklin, CTO, Limitless Computing Inc. “By emailing a SightSpace Share Code to a client, our users can share projects securely with any metadata they choose. Anywhere there is a Share Code
– in email, on blueprints, on a construction site – anyone with a mobile device can have an interactive, immersive, augmented reality experience. It’s augmented reality for everyone.” SightSpace Pro provides an augmented and virtual reality experience for all major 3-D modelling software, including Trimble SketchUp, Autodesk, Graphisoft ArchiCAD, Solidworks, and .DWG. JACOBS SECURES ENGINEERING ROLE FOR THE KUALA LUMPUR TO SINGAPORE HIGH SPEED RAIL PROJECT Jacobs Engineering Group Inc. has secured one of six coveted reference design consultant packages for the high profile Kuala Lumpur – Singapore High Speed Rail project, which was announced earlier this year. Once completed, the 350-kilometer high speed rail link will be the fastest city center to city center mode of travel between Kuala Lumpur and Singapore, with a journey time of 90 minutes. Jacobs will deliver the RDC02 reference design package that includes the design of the five intermediate stations in Malaysia together with other HSR infrastructure associated with the station development, encompassing access roads, highway, and pedestrian links into existing infrastructure. “The win is another milestone for Jacobs and especially significant since this high-speed rail project is the first of its kind in Southeast Asia,” said Jacobs Buildings and Infrastructure Asia Pacific Senior Vice President Patrick Hill.
BILL MURPHEY, from page 3
it’s very likely there are dozens of others feeling the same sense of loneliness. Reach out to them. Pick up the phone and introduce yourself. Talk about the leadership challenges you’re facing. You’ll be pleasantly surprised to learn many of your peers are experiencing similar challenges. Perhaps they have already built a peer group and you would be a welcomed addition. ❚ ❚ Participate in local business social events. Attend local chamber, civic, or charity events in your area. Introduce your- self to others at different leadership levels than yours. It’s a great way to introduce others to your amazing company, so ensure you have your “elevator speech” ready to go. Zweig Group is introducing a new program in 2018 specifically designed to connect AEC senior executives. CEO Roundtable will address the challenges of leading a firm and will provide ample opportunity to share and discuss issues facing you and like-minded peers. As an added feature, we’re going to connect the event with a tour of a local destination – perhaps a libation production facility – to encourage social networking. In the meantime, if you’re feeling the need to connect with someone who knows what you’re going through, give us a call. We’ve been in your shoes. BILL MURPHEY is Zweig Group’s director of education. Contact him at bmurphey@zweiggroup.com.
during the lunch, try joining a table of strangers. During the breaks, ask a friend to introduce you to two people. You’ll exponentially grow your network and may find a connection with someone with a similar background, hobbies, or experi- ence. Another tip for industry events: Load your pockets with busi- ness cards. To some people they’re old-fashioned, but there’s nothing like having a stack of cards on your desk that you can thumb through and be reminded of the people you’ve met. ❚ ❚ Cold call industry peers. While this may take you well out- side your comfort zone, it can be an incredibly effective ap- proach. If you’re feeling like you’re alone on your own island, “Zweig Group is introducing a new program in 2018 specifically designed to connect AEC senior executives. CEO Roundtable will address the challenges of leading a firm and will provide ample opportunity to share and discuss issues facing you and like-minded peers. ”
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THE ZWEIG LETTER November 13, 2017, ISSUE 1224
The Industry’s #1 Choice for Principal Training EXPERIENCE A DIFFERENT KIND OF SEMINAR FOR AEC PROFESSIONALS // 2018 SCHEDULE 5
Attendees of The Principals Academy earn 12 PDH / 12 CEUs. Zweig Group seminars are eligible for Professional Development Hours credits and Continuing Education Units. All attendees receive a certicate of completion indicating the number of hours earned during each seminar. • Financial Management • Project Management • Leadership • Mergers & Acquisitions • Ownership Transition Planning • Recruitment and Retention environmental consulting rms, and is presented in tutorial and case study workshop sessions. • Business Planning • Marketing/Business Development • Accounting The Principals Academy is Zweig Group’s agship training program encompassing all aspects of managing a professional AEC service rm. It’s the most impactful two days you can spend learning about principal leadership, nancial management, recruiting, marketing, business development, and project management. The two-day agenda covers several critical areas of business management from the unique perspective of architecture, engineering, and
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CHARLESTON, SC October 25-26
THE ZWEIG LETTER November 13, 2017, ISSUE 1224
6
Carr
P R O F I L E
Conference call: Michael Carragher, part 2 President and CEO of VHB (Best Firm Civil #23 and Hot Firm #46 for 2017), a 1,400-person firm based in Boston, Massachusetts.
By LIISA ANDREASSEN Correspondent “B ottom line, when it’s the right move, and when it will benefit employees and enable us to serve our clients better, we go all in to provide the support needed to make it happen,” Carragher says. A CONVERSATION WITH MICHAEL CARRAGHER. The Zweig Letter: The A/E market is great right now. What are you doing to cushion your firm in the event of a downturn? Michael Carragher: Listening and learning are the critical components here. We’re listening to our cli- ents and understanding their challenges and con- cerns; listening to economists; and staying ahead of market trends. We’re always looking on the ho- rizon. In the past, we’ve adapted to downturns by balancing our mix of public and private work and
short- and longer-term projects. We continue to strive for this balance, and our work is focused across six primary markets: transportation agen- cies, real estate, institutions, energy, federal gov- ernment, and local government. I also believe that you need to remain focused on practical invest- ments and fight the urge to take advantage of good times by investing in riskier ventures – stay fo- cused on the things that are right to do – in up and down economies. TZL: How do you deal with underperforming em- ployees? What are your steps for removal after they have proven to be ineffective, or even coun- terproductive, to your firm? MC: We don’t start with “steps for removal.” Super- visors work to discuss how an employee is meet- ing expectations, and we are clear about areas for improvement. There is much opportunity to work with employees to help them be successful. We try
Michael Carra- gher, President & CEO, VHB
THE ZWEIG LETTER Novem
7
ragher
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to be clear on performance expectations and goals. We en- courage candid, frequent feedback so there are no surprises and we outline a clear process to turn things around when expectations are not being met. Next steps and outcomes are outlined and we follow through. Yes, there are times it’s not a fit and we work closely and professionally with HR to make the best decision for the employee, VHB, and our clients. TZL: Firms that have principals and firm owners who lower their compensation and invest back into the firm perform better, grow quicker, and have higher valua- tions. How do you balance owner compensation with in- vestment in the firm? MC: We work hard to compensate our employees appro- priately for their expertise, level of responsibility, and con- tributions to our future through salary, benefits, and in- centive compensation. Separately, we seek to create long- term wealth building opportunities by managing a success- ful business venture. An employee’s role in the day-to-day operation of the company determines their compensation. An owner (approximately 25 percent of our employees) is someone who has demonstrated consistent strong perfor- mance and consistency with our core values and has been vetted and recommended for ownership by senior manage- ment and approved by the board of directors. Our employ- ee owners also have the opportunity to acquire additional stock on an annual basis based upon their contributions driving the company forward and exhibiting positive behav- iors consistent with our core values. In summary, our compensation program is focused on an- nual performance and market conditions; it thereby results in having the financial opportunity to invest in VHB’s fu- ture. The ability to accumulate long-term wealth results from ensuring the company’s consistent balanced short- and long-term performance. “Individuals within marketing and communications are too often our unsung heroes. Their partnership with our engineers, scientists, planners, and designers helps to effectively tell VHB’s stories and convey our value to our clients.” TZL: How does marketing contribute to your success rate? Are you content with your marketing efforts, or do you think you should increase/decrease marketing? MC: Individuals within marketing and communications are too often our unsung heroes. Their partnership with our en- gineers, scientists, planners, and designers helps to effec- tively tell VHB’s stories and convey our value to our clients
in a way that positions us to secure increasing opportunities to help our clients succeed and VHB to grow. Their unique skills and insights, along with their dedication to advancing our organization, is highly valued. “We have no desire to just be bigger than someone else; our desire is to create a successful, healthy, growing VHB that stays true to our core values and culture, and in the end, is a company in better condition than when each of us joined. If we do this, we’ll succeed as good stewards.” It’s an exciting time to be part of VHB. We’re experiencing unprecedented growth across regions, markets, and ser- vices. Through this growth, we’re adding offices, reaching new clients, and enhancing our skills. We are in the enviable position of strengthening our amazing team by welcoming hundreds of new VHBers each year. To maintain our cul- ture and deliver the high quality on which we have built our brand, we’ll continue to invest in marketing as well as com- munications to make sure our organization meets the new demands and is scalable as we grow. We are currently fo- cused on a broader approach to our marketing processes and training to engage technical professionals as well as in- crease the strategic value and influence of our marketing, design, and communications professionals. TZL: If there was one program, course, or degree pro- gram that you could take or recommend before becoming a principal or owner, what would it be? MC: At VHB, it would be our LEADs program. It’s a two-day workshop designed for VHB leaders to build personal effec- tiveness and continue to enhance VHB’s status as a genera- tional company and an employer of choice. The program helps VHB leaders to increase their leadership impact through: ❚ ❚ Reinforcing the criticality of leadership to VHB’s future, and to individual career success. ❚ ❚ Helping individuals to review their competency-based 360 degree feedback in a frank and authentic way, and plan for behavioral changes necessary to reinforce strengths and de- velop/change areas of challenge. ❚ ❚ Learning about motivational preferences as a way to build more productive relationships. ❚ ❚ Understanding how to manage ego (self and others) for more successful interactions. See CONFERENCE CALL, page 8
© Copyright 2017. Zweig Group. All rights reserved.
mber 13, 2017, ISSUE 1224
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ON THE MOVE RICHARD BARNHART NAMED PRESIDENT OF KAMAN AEROSPACE GROUP; GREGORY STEINER TO RETIRE Kaman Corp. announced that Richard Barnhart, 57, has been selected to lead the company’s aerospace segment, succeeding Gregory Steiner, executive vice president of Kaman Corporation and president, Kaman Aerospace Group, who will retire from the company effective January 2, 2018. Barnhart retired from The Barnes Group in 2016 as senior vice president and president of Barnes Aerospace following a tenure of divisional leadership and advancement across a number of the company’s aerospace and distribution divisions. Prior to his service with Barnes, Barnhart was president of Kaman’s Aerostructures division. He began his career with Price Waterhouse and spent a decade in increasingly responsible operating roles with United Technologies and Pratt & Whitney. “Rick’s track record of driving profitable long-
term growth make him ideally suited to serve as the next leader of our aerospace segment. His diverse experience and focus within the aerospace industry, particularly across a number of companies with varied end markets, position him to drive further business development and continued operational improvement. I look forward to Rick joining the management team and building on the strong foundation Greg has helped to build,” stated Neal Keating, chairman, president, and CEO. “I also would like to congratulate Greg on his retirement. Under his leadership over the last nine years, the aerospace segment has achieved top line growth, increased profitability and the successful integration of a number of key acquisitions. I appreciate Greg’s commitment to stay with us through the end of the year to provide Rick with an orderly transition of leadership. I thank him for his service, and wish him well in his retirement,” Keating added.
Barnhart received an MBA from the University of Connecticut, and he holds a bachelor’s degree in accounting from the University of Vermont. Barnhart and his wife live in Ellington, Connecticut. KamanCorporation, foundedin1945byaviation pioneer Charles Kaman, and headquartered in Bloomfield, Connecticut, conducts business in the aerospace and industrial distribution markets. Kaman offers more than 4 million items including bearings, mechanical power transmission, electrical, material handling, motion control, fluid power, automation, and MRO supplies to customers in virtually every industry. Kaman provides engineering, design, and support for automation, electrical, linear, hydraulic, and pneumatic systems in addition to belting and rubber fabrication, customized mechanical services, hose assemblies, repair, fluid analysis, and motor management.
CONFERENCE CALL, from page 7
“Change is inevitable and exciting and our mission is to adapt and evolve to overcome new and unexpected challenges our clients will face that come along with increasing urbanization. As we continue to grow, VHB will stay true to who we are.” Bottom line, when it’s the right move, and it will benefit employees and enable us to serve our clients better, we go all in to provide the support needed to make it happen. In addition to the technical aspect and finding ways to bet- ter serve clients, we also support our employees’ entrepre- neurial spirit, passion, and drive that makes local young professional groups, volunteer efforts, and wellness pro- grams more successful. Our employees really drive these efforts and these programs are a tremendously important part of our culture. I came to VHB to start a transit and rail practice nearly two decades ago. It’s grown and evolved to become an integral practice at VHB. More recently, we honed our focus on ap- plied technologies and hired a leader to create a vision and build a team and a client facing practice that has resulted in significant successes for VHB. TZL: What’s your prediction for 2017 and for the next five years? MC: I’m an engineer at heart, not a soothsayer. Any out- come will be different than what I predict! Change is inevi- table and exciting and our mission is to adapt and evolve to overcome new and unexpected challenges our clients will face that come along with increasing urbanization. As we continue to grow, VHB will stay true to who we are. Bring it on!
❚ ❚ Recognizing communication styles and how they change in different circumstances. ❚ ❚ Addressing contemporary leadership challenges (e.g., manag- ing the younger generation of workers, managing in tough economic times, succeeding in a matrixed organization, suc- cession planning) of their own identification through best- practice sharing with peers. ❚ ❚ Creating a personal action plan that includes accountability around change and a plan for each individual’s leadership legacy for VHB. In addition, two of VHB’s co-founders, Rich Hangen and Bob Brustlin, have talked candidly with some of our LEAD alumni about their decision to create our generational com- pany culture. Their perspective is invaluable; we created a video of Rich’s last workshop overview so that VHBers can continue to benefit from his insight. TZL: What’s the greatest challenge presented by growth? MC: There are many. For VHB it’s about maintaining bal- ance as we grow – balancing business performance with consistency and strength of our core values and culture. We have no desire to just be bigger than someone else; our desire is to create a successful, healthy, growing VHB that stays true to our core values and culture, and in the end, is a company in better condition than when each of us joined. If we do this, we’ll succeed as good stewards. TZL: What is the role of entrepreneurship in your firm? MC: Entrepreneurship is what brought me to VHB! I had never encountered such an embrace of entrepreneurship before. Entrepreneurship is encouraged and intelligently challenged to help you really think through a strong strate- gy and business plan. And then, VHB provides tremendous support to help you succeed.
© Copyright 2017. Zweig Group. All rights reserved.
THE ZWEIG LETTER November 13, 2017, ISSUE 1224
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O P I N I O N
Taking care of your team Transparency, training, and feedback are all important, but so is remembering that people don’t live to work, they work to live.
I n recent TZL articles you’ve heard my thoughts about sharing the company’s financial results with everybody, building a dream team, how to purge underperforming project managers, and making the difficult decision to part with misaligned members of your leadership team. In this article, I would like to discuss what we’re doing to take care of our very valuable team members.
Will Schnier GUEST SPEAKER
Does BIG RED DOG do each of these things well? Hell no! Any member of our team can tell you that, and if you asked, I suspect that they would be very honest. But we do work every day on delivering on those promises and we regularly seek feedback from every level of our organization on how we’re doing in that regard. Transparency is paramount to how we operate our firm. From day one, we’ve maintained an open book and open office mindset. Following the “What does taking care of our team mean to us? It means transparency. It means feedback on how team members are doing in the form of regular formal and informal reviews.”
Purging underperformers at every level of the organization is critical to creating an admirable, well-run firm. It’s required. But so is what we do every day to help make our team members feel like their toil is not in vain. What does taking care of our team mean to us? It means transparency. It means feedback on how team members are doing in the form of regular formal and informal reviews. It means demonstrating that there is an executable plan in place for the company and for the individual. It means providing training opportunities where our team members can learn from each other and from our company leaders and clients. It means having a well-conceived menu of benefits. It means that there is upward mobility in responsibility and pay for proven performers. And it means making exceptions for exceptional team members or circumstances.
See WILL SCHNIER, page 10
THE ZWEIG LETTER November 13, 2017, ISSUE 1224
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ON THE MOVE BURNS & MCDONNELL STRENGTHENS AVIATION CAPABILITIES WITH EXPERIENCED HIRES Burns & McDonnell added five experienced project managers to its aviation team, extending the firm’s established capabilities to deliver integrated and design-build project services. “With airports, airlines, and their owners rising to meet customer demands and address growth needs, the ability to deliver comprehensive projects – and to do so efficiently and effectively – is more important than ever,” says Bret Pilney, vice president of the firm’s Aviation Group. “That’s what we do, and that’s why we’re adding to our team. These professionals are well-known in the industry for delivering successful projects, and doing it by bringing teams together. They’re a perfect fit.” The new project managers include: ❚ ❚ Mark Deaton, who works to deliver integrated design-build services for clients focused on quality, value, efficiency, and empowerment during renovations and new construction projects. He has more than a
quarter century of experience, including the past decade leading a 40-member federal project team and its $500 million project portfolio. ❚ ❚ Brenda Enos, who leads efforts to plan, design and execute environmental projects for airports. Her more than quarter century of experience includes the past seven as assistant director for capital programs and environmental management at the Massachusetts Port Authority. The authority, known as Massport, owns and operates three airports – Boston Logan International Airport, L.G. Hanscom Field, and Worcester Regional Airport – along with the Port of Boston’s containerized cargo, cruise, and autoport terminals. ❚ ❚ Jill Geboy, who delivers quality, efficiency, and value to aviation projects in Southern California and beyond. Based in the firm’s office in Brea, California, she has six years of experience consulting on and administering projects at San Diego International Airport and for Los Angeles World Airports.
❚ ❚ Armando Hernandez, who oversees and executes airport projects in the Southeast and across the United States. Based in Miami, Florida, Hernandez has more than three decades of experience in planning, design, and construction for dozens of major projects, from aviation facilities to water systems. He’s leading Burns & McDonnell’s work to design and implement upgrades for baggage security at Miami International Airport, a $160 million project expected to be finished next year. ❚ ❚ Gary Pare, who focuses on fueling projects at airports, government installations, and other logistics centers. He has 13 years of experience engineering and executing construction and maintenance projects for major downstream owners, including Chevron, Tesoro, BP, Phillips 66, and ExxonMobil. Based in the Brea office, he’s currently working on fueling projects at the Port of Los Angeles and Marine Corps Base Camp Pendleton.
WILL SCHNIER, from page 9
talent, those A players that we all want, then that firm has to provide the opportunity for rapid advancement based on results. This doesn’t mean an annual promotion with a 5 percent raise. That means move them up in rank and pay as soon as they’re proven. Four or five projects should be enough. Don’t wait for 20 or 30 because they’ll be on the BIG RED DOG team well before that! Finally, every once in awhile, if we’re lucky, each of us will have a moment of clarity that will help us really understand what is important at the office. For me, that moment came the morning of August 28. On this morning, I watched on television as one of our team members in Houston, complete with his bright red BIG RED DOG shirt, was there with his brother pulling his neighbors to safety through the flooded streets in a boat that had run out of gas, many of them kids and women. I wish I could show you the photo that is burned into my mind’s eye. In that moment, each of the “very important” work issues that we were dealing with was put into perspective. Our people do not live to work; they work to live. And when something exceptional like a natural disaster takes away every material possession that one has, it’s a great time for a company to step up and do something exceptional for their people. So that’s exactly what we did. No committees, no meetings, just action. We don’t provide the perfect work environment for our people. And, truth be told, no firm ever will. That is a moving unicorn of a target. But every day we strive to get a bit closer to that goal because our team members deserve the best we can give them, and in return, we will get more of their best. WILL SCHNIER is CEO of BIG RED DOG Engineering & Consulting. He can be reached at will.schnier@bigreddog.com.
conclusion of each accounting period, we provide an open- book management report to every person in the company. This report shows our revenue, our profit, our sales, our proposal volume, and metrics related to our marketing and recruiting. Everybody in the firm needs to know these things! Why? Because we have a plan, remember? And if we expect a large group of people to execute that plan together, they need to know what the goals state and how we’re tracking against our goals on a regular basis. “Our people do not live to work; they work to live. And when something exceptional like a natural disaster takes away every material possession that one has, it’s a great time for a company to step up and do something exceptional for their people. So that’s exactly what we did. No committees, no meetings, just action.” Increasingly, constant feedback streams are becoming table stakes for a solid team-building atmosphere. Our team members deserve to know how they’re doing against the expectations we set for them. And we let them know in a formal review process twice a year. In between, informal reviews reinforce the strengths of each team member and remind him or her that we all have weaknesses that could use some love. Many firms operate like a university where tenure means something related to pay and job security. That’s a whole lot of BS. If a firm hopes to attract and retain the best
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THE ZWEIG LETTER November 13, 2017, ISSUE 1224
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O P I N I O N
Previous employees Depending on why they left – and what they did while they were gone – it might be a good idea to welcome them back into the fold.
I t’s not uncommon when sorting through a pile of resumes to come across a familiar name. If a former employee applies for a position with the company they once left, is rehiring them a stroke of luck or a terrible mistake?
are poor choices for rehires; however, rehiring an employee who left due to a family situation, such as caring for an aging parent, can not only foster long- term loyalty with the rehired employee, but also “One of the biggest advantages to a previous employee is that they are a known commodity. You know their personality, work ethic, and skills ... They know the company’s procedures, culture, and goals. If a good fit for a rehire, they can offer significantly reduced retraining cost.”
One of the biggest advantages to a previous employee is that they are a known commodity. You know their personality, work ethic, and skills. That knowledge goes both ways: They know the company’s procedures, culture, and goals. If a good fit for a rehire, they can offer significantly reduced retraining cost. But how do you decide if they are a good candidate? I offer you a criterion to evaluate. 1)What was their past performance? The single most important thing for you to consider is their previous track record. What was their performance while at your company? Did they bump along the bottom or continually exceed expectations? Did their co-workers enjoy working with them or did they sow workplace strife and frustration? 2)Why did they leave? The question is more nuanced than if they were fired. Did they quit because they were frustrated with the company? Those employees
Cheryl Hyatt GUEST SPEAKER
See CHERYL HYATT, page 12
THE ZWEIG LETTER November 13, 2017, ISSUE 1224
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BUSINESS NEWS BOEING SELECTS TRIUMPH GROUP AS MAJOR SUPPLIER FOR ITS U.S. AIR FORCE T-X OFFER Boeing has selected Triumph Group, Inc. as a major supplier for its T-X Air Force training jet. If the Air Force awards the contract to Boeing, Triumph’s Aerospace Structures business unit, located in Red Oak, Texas, will supply the wing, vertical tail, and horizontal tail structures, with opportunities for additional work, generating 950 direct and indirect jobs. “Providing our military with the newest and most advanced training system is crucial to preparing future generations of warfighters,” said Congressman Joe Barton, who represents the 6th District in Texas where Triumph Aerospace Structures is located. “I would like to thank Triumph and Boeing for their commitment to our national defense and for promoting our community and jobs right here in the 6th District.” This announcement follows Boeing’s May 15 decision to assemble T-X at its St. Louis facility. “This opportunity secures economic growth for the community and attracts the best and brightest talent with highly-skilled jobs locally and across the nation,” said Congressman Pete Sessions, chairman of the Rules Committee. “Texas is open for business building the right choice for the next U.S. Air Force trainer with Boeing and Triumph Group.” The first two new, purpose-built T-X aircraft have proven the design’s low-risk, performance and repeatability in manufacturing. “Boeing T-X is a new, flexible design that meets the requirements of the U.S. Air Force,” said Karl Jeppesen, vice president of Supplier Management for Boeing Defense, Space & Security. “Triumph Group is a long-standing supplier to Boeing, teaming with us on iconic programs such as V-22 Osprey and C-17 Globemaster III. It takes partnerships like this to win and position us for a bold, bright future, and we are proud to welcome Triumph as a major supplier and member of this team.” Triumph Group designs, engineers,
manufactures, repairs, and overhauls a broad portfolio of aviation and industrial components, accessories, subassemblies, systems, and aircraft structures. “We are excited for the opportunity to support the great men and women who serve and defend our country. Along with Boeing, we are ready to provide the best option for the T-X program,” said Dan Crowley, Triumph Group president and CEO. Boeing T-X is a training system designed specifically for the Air Force training mission. It will replace the service’s fleet of aging T-38 aircraft. The initial acquisition, for 350 aircraft and the associated ground based training and support, is valued at up to $16 billion. Initial operating capability is planned for 2024. The contract award is expected by the end of the year. ISG LANDS SECOND-STRAIGHT HONOR ON THE DES MOINES REGISTER’S TOP PLACES TO WORK LIST The Des Moines Register recently released its rankings for the 2017 150 Top Places to Work survey results with ISG (Hot Firm #10 for 2017), a multi-disciplinary Midwest firm with three Iowa offices, moving up 30 spots to land in the top 50 among the small business group. In its second straight feature, the coveted ranking, which is shared with the area’s most reputable and humble companies, comes after a recent office move and expansion in Des Moines’ East Village, and formal shift to an ESOP structure. “It’s incredible when I look around our local Des Moines office and can witness the tremendous growth that has gone hand-in- hand with the firm’s increase to more than 250 professionals,” notes ISG Des Moines Office Leader and Associate Principal, Derek Johnson, PE. “Our office happy hours have extended to include the likes of water/ wastewater engineers, landscape architects, planners, water resource specialists, and AV/low voltage and electrical engineers, just to name a few – with an infectious amount of ambition and opportunity on the horizon.”
Administered by WorkplaceDynamics, LCC, ISG received an 88 percent response rate to the Iowa survey, exceeding the industry average by 13 percent. “I think one of the best feedback items from the survey was the fact that 96.8 percent of Iowa ISG professionals noted they would recommend a career at the firm to a friend,” states ISG Storm Lake and Algona Office Leader and Associate Principal, David Doxtad, PE. “We are all owners now, and already so invested in the Iowa communities we serve and schools that mentor local students, that our growth is truly tied to our talent. Whether it be our drone flying around the state to complement projects or hyper realistic virtual reality walk-throughs, we’ve had the opportunity to add some pretty stellar service offerings to the mix.” FLUOR JOINT VENTURE AWARDED BHP COPPER CONCENTRATOR MINING PROJECT IN CHILE Fluor Corporation announced that its joint venture team was awarded an engineering, procurement and construction contract for BHP’s Spence Growth Option project at the Spence open-cut copper mine in northern Chile. The 50/50 joint venture with SalfaCorp is responsible for the delivery of the 95,000-ton- per-day copper concentrator and associated works. Fluor will book its share of the value in the third quarter of 2017. “Our team has worked closely with BHP since the project’s initial phases to align on the project’s goals and structure with an execution approach that will allow us to safely deliver this important project,” said Tony Morgan, president of Fluor’s Mining & Metals business. “Fluor’s resume includes some of the world’s most significant copper projects. This experience, combined with our integrated solutions approach, brings cost and execution certainty to the project.” Fluor Corporation is a global engineering, procurement, fabrication, construction, and maintenance company that designs, builds, and maintains capital-efficient facilities for its clients on six continents.
candidate’s backup choice does not set either of you up for a healthy relationship. CHERYL HYATT is a co-founder at Hyatt-Fennell. She has over 20 years of experience in executive search. She can be reached at chyatt@hyatt- fennell.com. “The single most important thing for you to consider is their previous track record. What was their performance while at your company? Did they bump along the bottom or continually exceed expectations?”
CHERYL HYATT, from page 11
raise morale of the rest of your staff, as they see the company values its employees. 3)What have they done in the meantime? Did they leave to pursue a degree or additional training? Rehiring an employee who has gained new skills and perspective, yet has insight into your company, is a strategic move; however, an employee who has had short stints at other organizations may be chronically unsatisfied. 4)Why are they applying now? Maybe you previously lacked growth opportunities, but have a new venture that they are an ideal candidate for. Be aware of employees who may be desperate and are turning to an old standby. Being a
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THE ZWEIG LETTER November 13, 2017, ISSUE 1224
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