The Stir Stick - Mixing it up in the paint Industry

New Blog Address

2011-07-22T09:59:00.000-07:00

Hi everyone. Thanks for all interest and comments in the Stir Stick. The Stir Stick has a new home! Visit my blog on our new website at www.wolfgangpainters.com or at www.wolfgangpainters.com/category/blog-and-tips/stir-stick-blog/

See you there,

Dave

The Skate Park: Lesson's Learned

2011-07-07T09:26:00.000-07:00

My son loves skateboarding. Everything about it: the skateboard, the tricks, the challenge, the clothes and the music. Rocco is five, so he doesn’t get the whole non-conformist aspect of skateboard culture, the part of the sport that gives skaters a bad rap, he doesn’t care. He thinks the guys at the skate park are cool and he wants to be one of them.

I get Rocco’s intrigue. What’s not to admire? Skateboarders are creative, tenacious, and risk taking. They are Mavericks who don’t care what anyone thinks other than their fans. Impressing the crowd is integral to the sport. The freedom and the artistry of skateboarding are impressive. Who wouldn’t want to spend their days in the sun perfecting a craft that they love. Frick, it sounds amazing, sign me up!

Of course, the quickest route to emergency for me would be to step on a skateboard. These days about as extreme as I get is a pair of Nikes and some pavement. But, the skate park still offers inspiration.

Recently, Wolfgang’s competitors have been complaining about our marketing, our pricing and our whole “bold” approach. We are different, we take risks, we are tenacious and our competitor’s don’t like it.

It can be difficult to stand strong while a storm of criticism rains upon you. The harsh words from our peers are hard on staff and owners alike. You hear enough negative BS and you begin to question your own strategy even when your customers love you. But, like the guys and gals at the skate park our conviction is strong. Our dedication to our craft is steadfast.

So, whenever I’m feeling insecure about Wolfgang’s strategy, Rocco and I head to the skate park. With every trick and every wipe out, Rocco cheers. It reminds me that Wolfgang’s fans (our customers) cheer us on as well.

Our competitors are like the elderly man waving their canes at the skateboarders yelling, “ do something with your life!” Does anybody listen to the old dudes? Not the skateboarders, they just ignore them. Kind of like our competitors, who cares, ignore them.

My Thoughts on the Riot

2011-06-27T12:06:00.000-07:00

It’s been a couple weeks and the wounds are healing. The loss was very disappointing, the riot was devastating but the city is back to normal. So, what to do with the “guilty”?

As it turns out the majority of the rioters were not “anarchists” as our mayor suggested but pissed-off, alcohol and testosterone fuelled Canucks fans. I’m guessing the average age of the participants was twenty. The vast majority of them would never think to riot, but they did.

The riot probably cost the city millions in VPD overtime, damage and cleanup. Not to mention, the negative press from around the world. And the costs will keep mounting with endless police investigations, charges and court battles. Maybe those costs can be stemmed?

The riot erupted quickly; the Social Media response was instantaneous. Facebook pages, tweets, blogs condemning the riot were impressive save the few morons bragging about their new loot. Not surprisingly the posts and updates were also vicious. Threats of injury and death under the guise of public shaming flooded the net. Over night a new, highly efficient, court system formed, the court of Social Media.

The punishment inflicted by Social Media on the rioters was swift and ruthless. The perpetrator, their families and friends all felt the pain of the public shaming. It’s not nice but its effective.

A lot of stupid decisions were made that night. Let’s be on honest. We have all made stupid decisions. I’ve made a few. Ask yourself, as a drunken twenty-year-old, would the mob mentality have gotten the best of you? Is it effective to chase down every dumb ass that grabbed a purse or cheered on a fire?

For those who injured people, lit fires and initiated the looting, throw the book and make them pay. For the others, the VPD has other issues and the courts are burdened as it is. Let’s put our tax dollars to better use tax and let Social Media do its thing.

It’s Not Just a Game!

2011-06-06T09:41:00.000-07:00

Do you ever get this one? “Relax man, it’s just a game”. I beg to differ:

It’s the most patient, loyal and hopeful fans in North America.

It’s skateboarders, CEO’s and ESL students sporting their Canucks Blue in downtown Van.

It’s endless uniform changes, none of which were great, but we wear them all proudly.

It’s lacing up your sons skates, beside a Sedin twin and thinking, “Holy Crap, it Daniel! Wait, its Henrik! err . . . what do I say?” It was Henrik, my son asked.

It’s games being broadcast in Punjabi, a community joining in on the celebration at 72^nd and Scott Road after every win and in doing so, exemplifying everything that is great about Canada.

It’s Bure and Mogilny, brilliant but flaky.

It’s Smyl and Linden, rock-solid but wanting.

It’s Naslund, a little tragic.

It’s Messier, the best leader in sports until he came Vancouver. What the hell?

It’s reading a box score and instantly memorizing the stats.

It’s accepting that Luongo will let in a bad goal and put “foot in mouth” every second game. Who cares, he wins games.

It’s sending and receiving every email over the last month with the signature, Go Canucks Go!

It’s huge goals: Burrows, D. Sedin, Kesler, Bieksa and Burrows.

It’s Finish, Swedish, Canadian, American, German and Danish players admitting in a heartbeat that the Cup is bigger than the Olympics or any World Championship

It’s huge hits, killer power plays, biting and loving Bieksa’s pummeling of Marleau - you play with the bull, you get the horn –

It’s forty years of ups and downs, mostly downs. Questionable draft picks, some inspired (Burrows). A parade of owners, gm’s and coaches. Two cup runs, many early exits and now . . .

Two wins away.

Go Canucks Go!

Recession Hits Lower Mainland Paint Industry Two Years Later

2011-05-27T17:51:00.000-07:00

When the recession hit in 2008 and construction ground to halt, the architects, engineers and “first in” trades felt the hit. Many firms downsized and some closed up shop entirely. The city resembled a ground hog infested field with giant dormant holes scattered throughout.

The finishing trades were lucky. Construction projects nearing completion continued and that meant that the dry-wallers, painters and flooring trades had a couple more years of work.

Well, its 2011 and past projects are now complete. While the engineers, excavators and steel firms are getting busy; the finishing guys are twiddling their thumbs waiting for the buildings to go up.

What does they mean for a company like Wolfgang whom focuses on re-painting buildings? The new construction paint firms have flooded the re-paint market. There is excess capacity in the market and no increased need for paint jobs. Classic supply and demand: supply goes up, demand stays flat or drops and prices follow suit. In other words, the bottom has fallen out of the market.

So we are going to have a couple of lean years until some new buildings go up and the new construction guys re-enter the market that they know best. Lean years are in business ok. A tight market forces better systems, tighter overhead, fine tuned strategy and outside the box thinking. Not to mention, some weaker players leave the market all together.

Of course all this is good news for the consumer. Excess supply is always good for the end user. If you are looking to have your building painted at a deep discount, now is the time. You are going to pay at least twenty percent below market price. 2011 is probably the best time in the past ten years to have your building re-painted.

Hey you, get off of my cloud!

2011-05-18T09:49:00.000-07:00

You know the feeling: you share your BHAG (Big Hairy Audacious Goal) with a friend and they chime in with “Whatever man, get real. Good luck with that one?” and like a pinprick to a balloon you are instantly deflated.

Sharing your dream takes courage. When you lay your cards on the table you want the passion to be reciprocated. Unfortunately, more often than not, you get the devils advocate. Why do some people feel the need to drag others down? Perhaps insecurity, past let downs or envy? Who knows . . .

I used to get very upset when my dreams were “poo-pooed” Lots of huffing and puffing, lots of “they don’t get me”. Then, my wife hit me with the trout-slap, “ if your conviction is so strong, why do you care what others think?” Yes, good point, insert moment of clarity.

Thanks to Jen, I realized that my own insecurities, not others, were the issue. Jen’s question was tough, she prompted some serious reflection and personal change. The answers were not easy but very empowering, a journey worth taking. The answers are still a work in progress.

I am learning not to “pitch” my goals so much, just to go out and achieve them. Focusing on the internal motivation for my goals is much more lasting than any external recognition.

If someone asks, I’ll speak to my dreams. If they punch holes, I bite my lip, thank them for the feedback and move on.

If they think my heads in the sky, that’s fine. I take Jagger’s approach and say to myself, “Hey you, get off of my cloud!”

Mission Accomplished

2011-05-12T08:24:00.000-07:00

Forty-six. That’s the number of kilometers my Daughter, Rosalie, ran at Kilometer Club this spring. Her goal was “to reach the second page of the kilometre chart” which meant running at least thirty-six kilometers. Rosalie hit her goal!

I am proud of Rosalie’s performance but more impressed with how much she enjoyed herself along the way. She looked forward to every day at Kilometer Club. Rain or shine, she ran. Rosalie was never late for the runs and ran until the teachers said stop.

At dinnertime she would share the days results, “well, I ran two kilometers in the morning, Ben and I talked a little while we ran, sometimes I walked. Then after lunch my teacher and some of my friends ran another kilometer, I have five more kilometres to get to the second page . . . “ or “it was really wet today, I was freezing! I think I’ll were a tuque next time”

Rosalie savored every milestone along the way and proudly displays her ribbons on our family message board.

Goals are wonderful. I truly believe that through vision, conviction and tenacity, one can accomplish anything. But more important than the goal is the journey. Growth and positive change come from a journey well embraced. Enjoying the ups, learning from the downs and truly celebrating the achievement that’s what Rosalie did.

The Kilometre Club

2011-04-18T16:05:00.000-07:00

Inspiration comes in many sizes, small and large. Team Canada’s performance at the Vancouver 2010 Olympics was inspiring on large scale. Obama’s inauguration speech was inspiring on the grandest scale. But, it isn’t always epic events that motivate.

Rosalie, my six-year-old daughter, attends a great school. Her Principal has implemented some solid programs; music appreciation over the PA system, “All School” conga lines, Popsicle Fridays with proceeds to a good cause, Gala events for the parents, Adirondack Chair Charity Auctions (chairs decorated by the students) and many more.

My favorite event is the “The Kilometre Club”. The students, kindergarten through grade seven, run laps around the field before school. Parents and Teachers volunteer to monitor. Four laps around is the equivalent of a kilometer. Individual classrooms track the student’s progress. Over time as the kids hit milestones (fifteen kilometers, twenty-five kilometers . . .) they receive ribbons.

Rosalie loves “The Kilometre Club”. Rain or shine, she runs, with or without her friends. My wife watches and sometimes, with our two other kids in tow, runs along. Jen and I encourage Rosalie; but we have never “pushed” her to run. On her own, Rosalie sets a goal, “Dad, tomorrow, I am going to run two kilometers” and then she goes out and hits the goal.

The fact that Rosalie is leading her class means nothing to her. I say, “Wow, Rosalie you are the top runner in your classroom . . .” she shrugs it off “ You are beating the boys!” is met with a roll of her eyes. Rosalie runs on her own accord, pursuing her own goals. Pure internal motivation coming from a six year-old, how wonderful!

My young daughter has reminded me of an important life lesson: external motivation is fleeting; lasting and powerful motivation comes from within. Live you own life, you own dreams and pursue your own goals.

Go Rosalie go!

Beyond Price and Quality Part Five: The Tough Questions

2011-04-16T14:04:00.000-07:00

So, you have successfully tendered your project, it’s time to award the job. Your two lowest prices are within two percent of each other. How do you decide? Conduct an interview with both contractors and ask some questions:

When will you start and finish the project? Red Flag: if the start and finish dates seem unrealistic, they probably are. You are dealing with a contractor that tends to overpromise and miss on service commitments.
Who from your firm will oversee the project?
How will you communicate updates, changes and any issues as the project unfolds?

Most importantly:

4. Why should I choose you over the next contractor?

5. What is your competitive advantage?

Those last two questions are the deal breakers. If you don’t receive a succinct answer you are most likely dealing with an average firm. A contracting firm that is going to provide average service and a frustrating experience.

If you were to asked a Wolfgang representative those tough questions, here is what you would here:

Why should I choose Wolfgang Commercial Painters over the next contractor?

Accountability: We keep our commitments. When we say we are going to start at 8AM, we do.
Teamwork: We work together towards shared goals. Our office, sales, and operations staff works together to deliver a great experience for you, the customer.
Open: We are open to new ideas, learning and feedback. If you are unhappy, let us know and we will respond quickly.
Win/Win: We operate so that all stakeholders win. The customer, suppliers and Wolfgang must win in order to achieve a truly successful project.

What is Wolfgang Commercial Painter’s competitive advantage?

We offer Professional Color Consultations to help settle on a color scheme.
We offer a “Start and Finish” guarantee.
We offer online Job Blogs to ease communication while the project is ongoing

Before you award your next project ask some tough questions. It will help you choose the right firm for the job.

Beyond Price and Quality Part Four: The Job Walk

2011-04-07T10:56:00.000-07:00

One of the keys to a successful construction tender (request for bids) is an effective job walk. More often than not contractors are asked to view a potential site on their own without a project manager to explain the details of the job. Asking contractors to view the site independently may seem the like easiest route to receiving proposal? But, without a proper job walk you will get large spreads in pricing because contractors will inevitably bid on different scopes of work. Scope confusion and varying pricing, doesn’t sound effective? Avoid the headache, invest a little time and conduct a proper walk with your potential contractors.

Here are some tips:

Schedule a specific time for the job walk. You will not need more than one hour. Invite all four contractors to attend at the same time.
Use email to invite, it is easier than phoning. Request confirmation of attendance from the contractors via email.
Invite four contractors, so if one doesn’t show, you are covered.
Hand out your tender package to each contractor based on your budget quote. Review the basic specification and scope, your areas of includes and excludes and the submittal deadlines.
Set the key expectations: Submittal dates (two weeks), time frame (deadline for start and finish) and any unique requirements.
Walk the entire site with the group. Encourage clarifying questions. Now is the time to answer questions and get the entire group on the same page.
Red Flag: If a contractor calls with multiple questions after the job walk, it is a red flag that they do not communicate well and they will have a hard time meeting your specific needs throughout the job.
If an important change in scope occurs at the job walk send out an addendum to all bidders via email to keep everyone on the same page.

There you go, a few simple steps to achieving an effective job walk. More to come . . .

Beyond Price and Quality: Part Three

2011-03-28T16:51:00.000-07:00

Since our inception in 2004, Wolfgang Commercial Painters has been involved in over three thousand construction tenders. Many of the projects were tendered effectively and some were not. Projects that are tendered ineffectively start off on the wrong and inevitably go over budget. Here are the “classic mistakes” that we have seen repeated over and over:

1. No job walk:

Contractors are met on site to review the project individually (if at all) as opposed to a group walkthrough. Resulting in a scheduling nightmare for the property manager or building owner and scope confusion.

2. Jobs tendered to late in the season:

You will get your best price if you tender a project in the winter. Tender in late spring or summer and you will pay more.

3. No deadline set for submission:

Contractors are left to submit their proposal at leisure. Drags out the tender process. Jobs end up being awarded in peak season when capacity is lower and in the end the jobs take too long.

If you are about to tender a construction project avoid the aforementioned mistakes and you are well on your way to a successful project!

More to come . . .

Beyond Price and Quality: Part Two

2011-03-24T14:12:00.000-07:00

One of the keys to a successful construction project is setting the correct expectations with your contractor. With potential employees you set expectations during the job interview and with potential contractors you set expectations during job tender. Get your service expectations on the table early and you will avoid a lot of conflict with your contractor down the road.

Here are three key expectations to set during the tendering (bidding) process:

Submittal dates for tender closing

Set a firm deadline for contractors to submit their quote. By doing, you will avoid having chasing down the contractors for their proposal. Two weeks is ample time for a contractor to prepare his bid and submit. If a firm misses the deadline, eliminate them from the process

Deadline for start and finish

Construction projects are notorious for dragging on and on. Nip this one in the bud, by giving your contractors a deadline for starting and finishing the job. Discuss the deadlines with your contractors during the tender process and settle on a realistic timeframe. If a contractor can’t make the deadline don't hire them.

Your unique requirements

Do you have specific tenant concerns that your contractor needs to be aware of? Does your contractor need to coordinate with other trades on your site? Do you have specific work schedules or security procedures that need to be followed? What ever your specific needs are, table them during the tendering process to avoid frustration down the road.

Set the right expectations early in the process and you are well on your way to hiring the right contractor for your job and in the end, a successful construction project.

More to come . . .

Beyond Price and Quality: Part One

2011-03-17T15:05:00.000-07:00

Recently, at a local trade show, I taught a seminar on tendering construction projects. The purpose of the seminar was to help building owners and property managers choose the right contractor for their construction projects. In other words how do you hire a firm that can deliver on all your needs not just price and quality?

The workshop went well and many people have been requesting information. So, over the next few blog posts, I will share some of the seminar content.

One of the keys to tendering a project successfully is to eliminate the construction firms that cannot deliver on your needs. How do you do that? How do you rank contractors before they have done the job?

Here are three “Red Flags” that can help you separate the good from bad:

If contractor calls with multiple questions after the job walk, they do not communicate well and they will have a hard time meeting your specific needs.
If they can’t bid accordingly and submit their proposal “off” scope they are not organized enough to handle your project professionally.
If the start and finish dates seem unrealistic, they probably are. You probably are dealing with a contractor that tends to overpromise and miss on service commitments.

Don’t take these mistakes lightly. The submittal process is the easiest part of a construction project. If your potential contractor can’t listen and seems to be overpromising, eliminate him or her from the process. By doing so, you will save some serious headaches down the road.

More to come . . .

Update on CCSVI

2011-02-28T09:27:00.000-08:00

My mother is back from LA and her CCSVI procedure. The surgery had an immediate impact on her vision, the “MS Fog” lifted and her flexibility seemed better. Balance and other internal issues remain unchanged. The surgeon suggested that the full impact of the procedure wouldn’t be felt for a few months. So, we are monitoring her symptoms with fingers crossed.

The clinic my mother used is performing thirty CCSVI procedures per week (seventy five percent of the patients are Canadian). Our hotel had at least eight CCSVI patients. Unbelievable!

We learned a lot about CCSVI and I wanted to share in hopes of clearing up some confusion:

CCSVI (Chronic cerebro-spinal venous insufficiency or constricted veins) is believed to be a disease separate from MS.
The CCSVI procedure helps symptoms directly associated with CCSVI not necessarily MS. Many CCSVI and MS symptoms are similar. CCSVI may be part of the reason why MS develops? There seems to be a bit of “chicken or egg” debate brewing.
The CCSVI procedure is a vein angioplasty. Balloons are inserted via catheter into the constricted veins, inflated to stretch the vein, and then “deflated” and removed.
At our clinic, stints are used in only three percent of patients.
The idea is that the inflated veins promote better blood flow and therefore relieve some CCSVI symptoms.
Prior to the surgery you must have an MRI specifically an MRV (which follows a very strict protocol) to review the health of your veins. In my mum’s case her jugular veins were completely collapsed on one side. You should receive a DVD of your MRV along with a DVD of your surgery showing the improvement in blood flow.
The procedure is not perfected by any means. Veins are like elastics, they have memory, once stretched they want to revert back to their original form. To that end, many patients experience a re-occurrence of their symptoms, as their veins revert a few weeks after the procedure. The ultimate “cure” may be vein valve replacement.
Advancement’s are happening with every procedure. Surgeons have now learned that inflating the balloons to the extent of tearing the inner lining of vein helps reduce the chance of the veins re-collapsing.
The MRV cost twenty five hundred dollars and the CCSVI surgery costs eighty five hundred dollars.
There have been many miraculous stories associated with CCSVI along with many disappointed patients.

I can offer no scientific data on CCSVI. My family is learning as we go just like the rest of you. Hope the information helps and good luck to anyone who is considering the procedure.

Can’t Please Them All, Doesn’t Mean You Shouldn’t Try!

2011-02-26T13:12:00.000-08:00

Here was an unsolicited email response to our latest “Start and Finish” guarantee radio spot:

Good morning

After hearing another one of your radio ads on the Peak (I think) I thought I would write in and give you an unsolicited opinion.

First of all, let me say that it’s good to see that the BBB doesn’t have any complaints filed against you in the past 36 months, and also your high rating. That automatically puts you ahead of about 75% of the painters out there.

As far as your radio ads go, they make me laugh when I hear them. I think your intent is good, but your offer falls short for a couple of reasons.

A refund offer of 5% is nothing. 5% is not even a decent discount for a large job when negotiating the price. So, to offer a 5% discount if the job isn’t finished on time is like McDonalds giving you a free apple pie if you order $20 worth of food. It’s something, but it’s essentially nothing. The reason it doesn’t mean anything to me, and makes me snicker, is because in almost every single instance of hiring a contractor (be it for commercial or residential purposes), the result has been the same- a HUGE inconvenience caused by jobs that are not done properly or completed on time. Everyone I know has gone through exactly the same thing. We recently had some contractors finishing a retail store for us, and the owner of this company showed up at our office within 30 minutes of the job being finished demanding to be paid. We told him that as soon as we could inspect the work on the following day, we would be happy to pay him. The next morning at 8AM he was on the phone to us, yelling and screaming, saying we were going to rip him off and not pay. Do you know why that was? Because upon inspection, there was a lot of the work that needed to be redone as it was done poorly. Had we have paid him up front, or before checking the work, we would never have seen him again. Unless it was a family friend that was hired, I have never had an experience, or known of an experience with someone using a contractor that turned out well. Turned out well meaning the work was done properly, and on time.

Tell me, what good does a 5% refund do if you are dealing with a contactor that buggers off for days (or weeks or even months!!) at a time, leaving your home or business in a state of chaos? I have known people that have lived in situations like that. A job that should have taken literally a week took almost 6 months.

So, while I appreciate the sincerity of your ads, in a world where you may be the exception to the rule, your 5% back offer falls flat.

If you really are true to your word- as I suspect you may be- why not just say something like:

At Wolfgang Commercial Painters, when we give a client our word, we keep it. Your job will be finished on time, and on spec. Period. If it’s not, we will correct it IMMEDIATELY.

As I said, an unsolicited opinion.

Have a great weekend,

Our Sales Representative, George, responded immediately:

We appreciate your feedback and it will be considered. I would like to have you as our customer from now on so that your hassles may be minimized. Please read through our information package and call me so that I can learn about what you do and some of your potential needs.

Sincerely,

George

You never know, one day, because of George, our frustrated consumer may hire Wolfgang and give us a chance to prove our sincerity. Either way, I am glad that George is on our team!

Burger Fridays

2011-02-21T13:42:00.000-08:00

We try to have fun at Wolfgang and I think this one speaks volumes. From our Operations Team:

We are at an epic moment in Wolfgang's history! Using the brain trust of Wolfgang Commercial Painters, we are embarking on the most aggressive research to-date. If done right, we may influence every man, woman and child in the Lower Mainland. As only the Wolfgang team can, we will resolve to discover, beyond a reasonable doubt "who makes the best burger in the Lower Mainland".

Greg

Researcher - Wolfgang Burger Division

Check out our Burger blog at http://wolfgangburgerfridays.blogspot.com/. If you have a burger joint that we should check out, let us know.

Be Different or Be Dead

2011-02-17T09:17:00.001-08:00

In business, if you are not different, if you don’t stand, out you will not grow. If you are not growing, you are dying. A little dramatic, but it’s true.

Consumers love different: Apple, FIDO, Zappos, Whole Foods, and Clearly Contacts to name a few. Why do people open up their wallets for different? Unique brands stand out amongst the clutter. Unique offerings make the purchasing decision easier for consumers. Different compels people to buy.

Vancouver companies Provident Security and Nurses Next Door and yes, Wolfgang Commercial Painters, do a good job of standing out. Provident offers a “Five Minute” alarm response guarantee. Brilliant! Nurse Next Door’s employees drive from customer to customer in pink/floral wrapped vehicles. Nice!

Wolfgang is proud to be to be different and we work hard to “stand out” in many areas. Instead of paper notices for our customers we set up Job Blogs to keep people informed. Choosing a color for a paint project is difficult so we offer professional color consultation on all our jobs. Painters traditionally wear white, not ours. White uniforms get messy fast, so our painters wear blue t-shirts and brown pants matching our logo.

Perhaps the best example of our quest to be different is our “Start and Finish” guarantee. Renovation projects tend to drag on too long, in turn, upsetting the customer. We guarantee to start and finish when promised or you get five percent back. Risky, challenging, different and our customers love it!

Of course you can’t simply be different and prosper. Your service or product needs to be consistently good, if not great. Those who are brave enough to stand out and deliver on their promise, grow, those who don’t fade away.

“No, We Don’t Subcontract”, Liar!

2011-02-14T09:37:00.000-08:00

Franchisee, licensed applicator, contract employee, certified contractors . . . just another term for Subcontractor.

I can’t tell you how many tender meetings I have attended where the painting companies dance around the question “Do you Subcontract your work?” Here’s the truth, every major non-union painting company, in Vancouver, including Wolfgang, utilizes subcontractors.

Why do major firms contract out their work? Commercial Painting is seasonal. Eighty five percent of the revenue is produced in an eight-month period. A subcontractor business model allows for a quick ramp up and greater capacity. The best painters like to work for themselves in order to maximize their earnings. So, when we sub contract we get the best tradesmen in the city on our team. When we subcontract our work we fix our largest cost, labor. In business when you fix your largest expenditure you lower risk.

Why do smaller paint companies (two – ten employees) choose to contract their work from larger firms? Again, it’s simple. The most talented painters in the city, the most operationally excellent tradesmen, like to focus on producing work. So they build relationships with a few larger shops and eliminate the need for costly marketing, sales and admin.

Customers benefit from the subcontractor model because they get the most skilled painters producing their job and fixed labor means no cost overruns.

Sounds good right? Many customers don’t think so.

End users get nervous because they equate sub-contracting with the old ”dump and run” It may be true sometimes but if you are dealing with a professional firm it is not the case.

At Wolfgang every one of our projects, small or large, is overseen by one of our project managers. Every project ends with a Quality inspection with the customer, project manager and sub contractor in attendance. Deficiencies are noted and corrected in a timely fashion.

Our sub-contractors go through an interview and screening process just as an employed painter would.

Our contractors attend Wolfgang University where they learn our values, best practices, systems, and customer service standards. Wolfgang U is rigorous and on going. If the attendees don’t maintain an 80% GPA throughout the courses, they don’t work for us. If they pass and maintain their GPA, they become one of Wolfgang’s certified contractors.

It’s interesting to note that since Wolfgang began subcontracting three years ago our quality survey scores have improved from 4.4 to 4.6 out of 5 and our “would recommend” score moved from 92% - 96%.

So hopefully, a little information, will help our customers become more comfortable with the term subcontractor.

Canada Not "Open" to CCSVI

2011-01-27T12:58:00.000-08:00

Wolfgang is a value-based company. That means that our four values – accountability, open, teamwork and win/win – form the basis of everything we do.

When we interview a potential employee we look for alignment on our values. No alignment, no job. If a job goes sideways we fix it, at the expense of profit, because we are accountable. We have left work on the table because we felt that the customer was not interested in a win/win relationship.

Of our four values, I am most proud of “Open”. It can be a challenging, but we work hard to remain open to new ideas, opportunities and feedback. I believe that our open-minded approach to business is the main reason for our success to date.

Whether in business or personal, I am always frustrated when I witness narrow mindedness in action. Case in point, an MS/CCSVI seminar I attended recently with my mother.

My mother has MS, she is dong well, but her quality of life is compromised. The CCSVI procedure, which involves the widening of constricted veins, offers hope for MS symptom relief. The Canadian Government, Canadian Neurosurgeons and the Canadian MS Society are lagging far behind the rest of the world when it comes to accepting CCSVI.

While not a cure, data from around the world is mounting that CCSVI offers MS patient’s symptom relief. Recently, I read that seventy five percent of MS patients show vascular constriction on their MRIs. At the time of the seminar, three thousand people worldwide had completed the procedure and two thirds of the patients experienced an improvement in their MS symptoms. Interestingly, two thirds of MS patients using drug therapies report symptom improvement. The drug therapies have harsh side effects, there are no serious side effects reported with CCSVI.

According to the presenters at the CCSVI seminar some of the drug therapies cost the Canadian health care system as much as $40,000 per patient per year. The CCSVI procedure would cost $3000 per patient.

My mother knows personally at least ten people that have completed the CCSVI surgery. The vast majority experienced symptom relief. My friend, who suffers from MS, had the procedure completed in December. Since the procedure he is feeling better and I can tell you, he looks stronger, less fatigued and more mentally alert.

US, Poland, Mexico, Italy, Israel, Egypt are all offering the procedure yet Canada is holding back. Canadians with MS are flying around the world to have the procedure completed. Why? The answer is that Canada health care system is waiting for results from their own studies to confirm to that CCSVI is viable. It seems that Canada is not “open” to accepting data from studies around the world or from the three thousand patients that have had the procedure completed. Stubborn arrogance, very frustrating!

My mother is flying to California at on Feb 6^th, to have the CCSVI procedure completed at a private clinic at significant expense. My sister and I are going with her. CCSVI is not a cure, and my mom is not expecting to walk away from the surgery table symptom free. She is simply hoping to feel better.

My mom should be having this surgery in Vancouver, without hassle, and with her family and friends there for support.

At the CCSVI seminar it was announced that two class action lawsuits are commencing. Maybe the bad press and the fear of multi-million dollar settlements will force the Canadian health care system to become more “open”.

Our Customers Speak and We Listen

2011-01-25T10:44:00.000-08:00

In the past, Wolfgang has blanketed Vancouver’s Property Management industry with paper marketing. Flyers, post cards, faxes, direct mail, proposal folders, display ads, invoices, you name it we did it. If we needed leads we dropped a bunch of flyers. If we needed “Brand” awareness we send out postcards. You get the picture. We never felt good about the paper waste but the marketing worked so we did it.

However, as the company grew and gained market share our traditional marketing tactics devolved from effective to unproductive to damaging. Our customers became bored and irritated with our marketing efforts. Eventually, one our customers, emailed, “stop with the paper or we’ll stop buying!” Right, time to change.

Today, we have eliminated paper marketing in favor of social media and PR. And, our paper billing has been converted to a digital format. The change in our billing process was a no brainer but the marketing has been challenging.

PR and social media take lots of legwork and time and the results are difficult to quantify. There tends to be long periods of “unknown” or “is this going to work?” and in business the unknown is scary. But, our customers let us know that a change was needed and we are committed to “greener” not to mention more effective marketing.

Check back in a few weeks to see how our campaigns are rolling out.

Painting the Town "Green"

2011-01-19T14:32:00.001-08:00

The paint industry and its negative impact on the environment has been a popular news story lately. Let’s face it; paint is not a green product. The industry is improving though. Recycled paint is more common, proper disposal programs are in place and low or zero VOC (Volatile Organic Compound) paints are becoming the norm.

Now, a major step has been taken to clean up the industry. By the end of 2012 oil paints will be regulated out of production and not allowed for residential or commercial use. Low VOC, water based paints will be become the standard. The phasing out of oil paints as a method of “greening” the industry is a step in the right direction but it is controversial.

Low VOC paints require more energy to produce than oil based paints. Water borne paints under perform oil paints on high traffic areas like doors, frames or handrails. Moreover, when transitioning a surface from oil-based to water-based paint, harsh primers are required. Even with the proper primer, the water-based system breaks down faster and the surface requires more frequent re-paints.

So let’s summarize: more energy, harsh primers, less durable paints, more frequent re-paints. Doesn’t sound very green? Short term, it is not. However, paint technology is rapidly improving and the manufacturers are developing more durable water borne products all the time.

Despite our concerns, Wolfgang is on board with the new paint regulations. Long term, the changes make sense. For now, our job is to adopt the new regulations and educate our customers along the way.

Hang onto to your bottom line like your life depends on it, because it does!

2011-01-14T11:07:00.000-08:00

I remember leaving my first meeting with the bank, the year that I founded Wolfgang and thinking “OK, he’s not quite as enthusiastic about my business as I am?” The bank was not interested in loaning me money. I was on my own and I needed to be profitable or the business would fail.

During my start-up I had no choice but to compete on price. Margins were tight, they still are. A thousand dollars loosely spent in the second quarter didn’t seem like much, but at the end of year, that thousand hurt. Two, three or four line items over budget, as was my case, and your profit is seriously compromised.

So, I learned to watch my overhead closely. Overhead is fixed. I had direct control over my overhead. If I overspent I had no one to blame but myself. Accountability, I love it!

Next, I learned to budget from the bottom up. In other words, I set profit goals not revenue goals and built my budget around the profit goal. This was a hard concept to grasp because revenue is sexy. Of course, there is value in a revenue goal, it helps you to think big. But, revenue is useless without profit.

After a rough first year, I realized that I needed to track expenses properly. So, I bought some accounting software and soon after hired a bookkeeper. The particular software was not important, excel could have done the job. The lesson learned was that the budgets needed to be to be tracked weekly.

Once I had a smart profit goal and a proper tracking system, it all came down to discipline.

Ikea’s “as is” section furnished my office. I cold called and networked non-stop to generate leads. I bought used equipment and vehicles. Shopped my uniform, insurance, and marketing suppliers relentlessly. Grind, grind, grind . . . And, I utilized co-op programs (free labor) when I needed administrative help.

I am not saying that I haven’t spent money through the years. I have, you can’t grow without investing in your business. I just learned to spend on the right lines, track properly and to hold on to that bottom line.

Humble Pie

2011-01-05T13:08:00.000-08:00

My mentor says, “Meeting with your managers to solve business issues is bull s . . t! If you want to learn about your business, if you want to solve a problem, talk to your customers”.

We survey our customers a lot. Once a year we ask our customers to rank ”what’s important” when it comes to hiring a service company (the survey concept was taken from the Frances Frei EO Event). At the end of each job we send out the classic survey question “On a scale from one to ten how likely would you recommend us to a friend?” Occasionally we ask our customers how they perceive our brand? Specifically we ask them “How would you describe us to a friend? Heck, we even asked our customers, through our facebook page, to vote on a “Wolfgang” Bouncy Castle that we are going to donate to community events (another borrowed idea from an EO colleague).

The feedback we receive from our surveys is invaluable and sometimes painful. The results are invaluable because our customers hold the answers to most of our strategic questions. And, painful, because our customers have a keen sense of where and how Wolfgang needs to improve. Sometimes, you need to eat a piece of humble pie.

I hold my breath every time the results of a survey come back. The strokes are great, the pokes hurt. I am a passionate guy, I have poured my heart and soul into the business. Any time I hear something negative about Wolfgang I get defensive. It’s something I ‘m working on and I still got a ways to go. So, reviewing the surveys is not my favorite task.

This year our surveys respondents told us that we are easy to work with, our workmanship is solid and our customer service is great. At the same time, our customers suggested that Wolfgang should work to become more consistent. Specifically, we need to start and finish projects in a more timely fashion.

One customer stated, “It doesn’t matter how easy or friendly your staff is to work with, if the you take too long, if they don’t deliver on a deadline, I am not happy with your service.” Ouch! We heard similar feedback from enough customers that we needed to take action. After all, any construction project is a pain in the rear and no one wants it to drag on.

We listened and learned. When we sat down to talk strategy for 2011 we let our customers feed back guide us. In fact, consistency is our organizational theme for 2011. And, we are putting our money where our mouth is.

For 2011 we will be offering a “Start and Finish” guarantee. In short, we guarantee to start and finish our projects when promised or our customers get five percent back.

We have aligned the staff and built a bonus package for the entire organization based on our “start and finish” guarantee. This guarantee is risky for us. Commercial Painting is competitive and we don’t want to give away five percent of our hard earned profits. But, improving our service is important and we hope that this guarantee gives our customers another compelling reason to buy from us.

So, Wolfgang is stronger for 2011 because of our customer’s feedback. We will keep on asking them for help in 2011 and I will try not to cringe every time a survey with a “poke” hits my desk.

Happy Holidays!

2010-12-22T14:15:00.000-08:00

So, Santa visited my son’s pre-school the other day. It took two minutes for my boy to notice that he was wearing running shoes, not black boots. “Santa, why are you wearing runners?” The room went silent waiting for Santa’s response, “I have been jogging, trying to loose a little weight”. Rocco replied, “Yah, you are kinda fat!” That’s my boy.

Happy Holidays everyone!

Sixty Four Percent Gross Profit, Not Bad for Crap Service.

2010-12-16T12:58:00.000-08:00

Wolfgang is a service company and we work hard to deliver. We make mistakes but for the most part we provide solid service. It takes big time commitment, hard work, patience and a thick skin to consistently please customers. Delivering great customer service is rewarding and tiring at the same time. But, if you don’t enjoy helping your customers, if you don’t want to make a difference with your business, get out of business.

So, when I experience poor customer service from another company, it bugs me.

I had my snow tires installed the other day. I usually go to Kal Tire (great company, amazing service) but this time, unfortunately, I was pressed for time so I ended up at their main competitors.

I walked through the door and I was greeted with a gruff “You need to move your car”. Not, “Hello” or “Welcome” or “How can I help you?” just “You need to move your car”. I moved my car, re-entered the office and said, “Hi, I need my snow tires installed” to which the attendant, who happens to be the owner, stated “Can’t help you until Friday”. OK?

I explained that I was leaving town so I wanted to leave the car to pick up at a later date. The attendant responded, “You need to park the car down the street and bring the keys back to me”. What the hell? “You have five guys in the bays can’t they move the car for me?” I said, “Too busy” was his reply.

I had a plane to catch and didn’t have time to argue, so I moved the car again and brought the keys back.

I was charged $110 for the job. It probably took one hour. Peg labor at forty per hour. With no other variable costs, the shop made seventy dollars gross profit. Sixty four percent gross profit margin, not bad for crap service.

Two weeks later my wife and I travelled to Whistler to celebrate our ten-year anniversary. We stayed at the Four Seasons. The staff was all smiles all the time, our room was cleaned three times a day, they shuttled us back and forth from the village, provided complimentary champagne and chocolates for our anniversary, the staff greeted us by name every time we walked by reception. In short, the service was over the top! What a pleasure.

We paid less than two hundred per night! Do you think the four seasons made a sixty four percent margin? Not a chance. I doubt that they broke-even on the room. Of course, the hotel made money on the dining and additional activities that we took part in. The overall experience was so exceptional that we were happy to pay “rack rate” for the add ons.

So, one company makes a large margin and alienates a potential long term client in the process. The other company uses a loss leader, delivers unbelievable service and works hard to close additional high margin sales.

Guess who wins in the end? Guess who gets a repeat client?

Wish Upon A "Star"

2010-12-07T10:11:00.000-08:00

Two months ago I began a recruiting campaign looking for two Sales Reps and a Project Manager. The positions have been posted online, marketed through Twitter, facebook, LinkedIn and worked hard through my network. To date fifteen people have been interviewed with no offers on the table or in the funnel.

With a sluggish economy and jobless rates in the news everyday, I expected a boatload of strong candidates? Not the case. I’ve been down this road before and I guess I shouldn’t be surprised. Regardless of external factors, good people are very hard to find.

The challenge is finding the right balance of fit and talent. Loyal workers are tempting, great people with exceptional work ethics but lacking the raw talent that drives growth. Mavericks got talent but they don’t fit with a transparent and team oriented culture. Like everyone I am looking for the Star, the “A” player, the person who outperforms and takes the company to the next level. Easier said than done.

The longer the recruiting cycle drags on the more tempting it is pull the trigger and hire. I’ve made that mistake before. Ouch! Nothing is more costly than a poor hire. Time for the company and the employee is wasted, money is burned and team morale takes a major hit.

It easy to externalize while recruiting; there are no good candidates, on line job site are expensive and overrated. But, more than anything this recruiting challenge suggest that I need to focus more on growing people. But, that’s for another post.

In the meantime we keep looking. Know anyone?

A Job Well Done

2010-12-01T22:28:00.000-08:00

Over the last few weeks we took the time to say thank you to our customers. We delivered Halloween treats, hosted a movie premier, made a lot of phone calls to say thanks and continued our Christmas tradition of handing out “Wolfgang” short bread cookies.

Our “Thank you” theme continues in December with a focus on our contractors. The contractors are the guys and gals who get the work done. The people, who work from forty-foot ladders, spray epoxy on metal roofs in the blistering heat, work graveyard shifts while painting parkades and sacrifice weekends to hit deadlines.

Wolfgang switched from employee painters to sub-contractors in 2008 and it was an excellent move. Like any business model change, it had its challenges. But now, through teamwork and a commitment to win/win from our contractors, the model is producing great results.

The paint industry has and always will be built around sub-contractors. Painters are hard working, self-taught and independent people. The best painters want to leverage their skills and maximize their earning potential, so they become sole proprietors. Some choose to work solely for themselves and others, wanting to avoid the headaches of marketing and sales, choose to contract their work from larger paint companies.

With care and attention the sub-contractor model delivers price certainty for the customers, capacity for the larger paint contractors and a simpler more consistent business for the subs.

Our contractors are operationally excellent; they know how to produce paint jobs efficiently with great quality. They are great people to work with.

So, for December we are saying thank you to our contractors. We will have a little party, share a few laughs and celebrate a job well done.

Beware the slippery slope

2010-11-29T07:35:00.001-08:00

Your competitor has talent on his roster. Talent, which you think would look good on your side. So, you decide to make a pitch. You invite the coveted “talent” for coffee and suggest that the grass is greener.

Surprise, the “talent” says he is very satisfied with his current position and that he has no intention of leaving.

Now what?

Guaranteed that the “talent “ is going to report the recruitment and any proprietary information that you divulged back to his Boss. By attempting to lure the “talent” you are suggesting to the market that you current roster needs improvements (not good for staff morale) Moreover, the door is now wide open for the competitor to come after your staff.

Whoops, you’ve just clamored up a very slippery slope!

If you are thinking about stealing “talent” you had better be sure your target is unhappy with his current lot. Underestimating your competitors corporate culture and staff loyalty, can lead to trouble.

If “talent” approaches you by all means recruit and improve your team. Attracting talent is paramount for any entrepreneurs’ success. But don’t get obsessed with the players on the other team. In the end you are probably best served to support and nurture you own talent and avoid the slippery slope.

Builder of the Decade?

2010-11-19T09:39:00.000-08:00

I attended the Builder of the Decade event mostly out of curiosity. Having seen Premier Campbell speak a few times, I wanted to see if he had been humbled. Nope, the man is as defiant as ever.

Considering the botched roll out of the HST, the “now you see it now you don’t” fifteen percent tax cut and his resignation, you would have thought it was time to crawl under a rock! But, there he was proudly recounting his accomplishments for a packed house.

Look at it objectively and the Liberals achievements are impressive: the Sea to Sky Highway, Golden Ears Bridge, Abbotsford Hospital, the Gateway Project, Canada Line and the 2010 Olympics! Together these projects created thousands of jobs and helped to make the province a better place for everyone. Campbell and his liberals don’t deserve all the credit for these projects but they did their part.

Under Campbell the residents of BC pay lower income taxes, dodged a real estate crash and the subsequent economic meltdown. Not bad.

Campbell’s speech last night captured his time as Premier nicely. Solid performance with snippets of unfortunate clumsiness (his Schwarzenegger impression was brutal)

Say what you will about Premier Campbell you can’t deny that under his leadership the province got infrastructure, jobs and lower taxes.

Err on the side of Fun

2010-11-14T08:34:00.000-08:00

My business partner likes to say “Err on the side of fun”. Kevin likes to have a good time. In both business and personal, it’s good advice. Looking to feel more connected to your family, goof around in the basement, play Wii together or go jump around in the local swimming pool. Want to feel more connected to your clients, take them out for some fun.

Last weekend the Wolfgang Team and one hundred and fifty clients went out for some fun. We hosted a private screening of the new DreamWorks movie Megamind. We picked up the tab for movie and the treats. It was a great family event. Parents and kids loved the movie and had fun.

The Megamind event was our way of saying thank you to our valued clients. The event was very casual; no hard sell, just a great time. For me, the best part was having a laugh with our guests as they entered the theatre. It was great to touch base outside of work and meet the families.

Will the event generate some immediate business? Probably not, our business is seasonal not much painting goes on in the winter. Generating business was not the point, saying thank you was. But, I believe that people want to do business with good people. So, come spring, when our clients look to tender their paint jobs, they will probably remember that they had some fun with the Wolfgang.

Learning from our Customers

2010-11-05T11:54:00.000-07:00

Every year we survey our customers in an effort to improve our service. We enquire about the quality of our work, service and our people. Thankfully our wonderful clients take the time to answer our questions. The feedback is invaluable and we use it as the foundation for our business strategy.

This year our survey respondents told us that we are easy to work with, our workmanship is solid and our customer service is great. At the same time, our customers suggested that Wolfgang should work to become more consistent. Specifically, we need to start and finish projects in a more timely fashion. After all, any construction project is pain in the rear and no one wants it to drag on.

We’ve listened and learned. In fact, consistency is our organizational theme for 2011. And, we are putting our money where our mouth is.

For 2011 Wolfgang Commercial Painter will be offering a “Start and Finish” guarantee. In short, we guarantee to start and finish your project when promised or you get five percent back.

The “start and finish” guarantee is risky for Wolfgang. Commercial Painting is competitive and we don’t want to give away five percent of our hard earned profits. But, improving our service is important and this guarantee gives our customers another compelling reason to buy from us.

So, we thank our customers very much for the feedback and helping us to make Wolfgang a better company.

Thank you!

2010-10-29T14:34:00.000-07:00

How much does it cost to acquire a new customer? How much does it cost to retain an existing customer? We ran the numbers and Holy *%$#, new customers are expensive!

From a marketing perspective, in our case, the cost to acquire a new customer was ten times that of retaining an existing customer.

Marketing costs only tell part of the story. New customers are labor intensive. They require more utilities from the sales, operations and administrative departments. And, more often than not, new customers are won over by price. Yikes! Add it all up and you are probably not making much margin from your new customers

But you can’t have repeat clients without new. So you do what it takes.

Knowing the numbers is helpful because it crystallizes the value of repeat clients. Nothing is more important in your business than customer retention and nothing is more costly than loosing a previous customer.

Maximum efforts must be taken to keep your existing clients happy and feeling great about the services your offer. This means specific marketing campaigns, special events, extra patience and extra care.

Most of all it means saying thank you. To all our customers, thank you very much for your business. We greatly appreciate you, we value you and we look forward to serving you in the future.

What Did You Expect?

2010-06-14T15:23:00.000-07:00

More often than not, service companies fail to meet their customer’s expectations. Who is to blame? Almost always, it is the service company! Unrealistic expectations start with over promising and end with unsatisfied customers.

Perhaps the super friendly receptionist states “John, will call you back immediately” or the smooth as silk Sales Rep states “ We’ve done this a million times, no problem” or the owner says “Our team is the best in the industry” or a previous customers states “ They were awesome! Nothing to do better” Either way during the sales process, the customer and the operations team can be set up for a fall.

When lofty expectations are not met the customer is inevitably dissatisfied. In other words, your operations team can deliver above average service, better than the competitions and the customer can still be unhappy.

How do you avoid this problem? Set realistic expectations from the first point of contact to final inspections. Here are some examples of realistic expectations:

I am sending a message to Jack as we speak. I know that he is very busy today but he will return your call.
John, the building is going to look worse before it looks better.
It may not look brand new, but the building will look great when is complete.
We work 7:00 – 3:30. But, Mary, sometimes our guys show up late. On Fridays they will probably leave a little early.
Your landscaping may get damaged. If we break a plant, we will replace it.
Problems will occur. We will correct the problems quickly.
Surprises will pop up. We will inform you of the surprises as soon as we can.
Weather dependent, the job should take two - three weeks.

Good service companies don’t over promise on purpose. It is human nature to pound ones chest but is not helpful. When your organization uses the appropriate language with customers it is easier to meet expectations. In fact, if you are good at managing expectations, you can exceed.

Under promise over deliver and your customers are satisfied.

Innovate, Innovate, Innovate

2010-05-07T10:45:00.000-07:00

No doubt, innovation is key to success in business. The most innovative and different companies lead the pack.

A local “hero” of innovation is Silver Wheaton, a metal streaming company and an offshoot Goldcorp. Wheaton makes an upfront payment to “non-silver” mines in exchange for the rights of the silver production. The mines use the upfront payment to fund current operations, expand or explore and Wheaton gets the silver at fixed price. Wow, a win-win.

With this model, Wheaton has locked in its largest expenditure. In business, when you “fix” your most volatile expense, you are winning. Wheaton has overcome the biggest hurdle of their industry. Brilliant and Innovative!

Beware the Slippery Slope

2010-04-20T14:32:00.000-07:00

Surprise, the “talent” says he is very satisfied with his current position and that he has no intention of leaving.

Now what?

Whoops, you’ve just clamored up a very slippery slope!

Collusion is Great?

2010-03-22T15:32:00.000-07:00

I often hear business people gushing about their competition; “Frank is a great guy. I stay away from his clients and he stands clear of mine.” Or, “John won’t undercut our pricing, he doesn’t want to drive the market down. What a great guy. We are on the same page”. Even more perplexing, often at job walks I will overhear competitors comparing pricing; “What was yourprice at East 4^th? We went in at 35 points”.

Funny that the guys doing all the talking or colluding are usually the guys on the loosing end.

The goal of business is simple: deliver a superior product or service at a better price than your competition. That’s right: if you want market share, you need to beat your competitors.

I fail to see how sharing intelligence gives you the upper hand. It takes years to build a brand and establish a true competitive advantage. In realty, the only advantage most entrepreneurs have over the next guy is the grey matter between their ears.

If you can deliver at a better price than the next guy, congratulations, you have won. Keep your secrets to yourself!

Business is a game of “high stakes” poker. In poker and business you need to out-smart and out-work the other guy in order to win. Discussing strategy with other players or competitors is loose and risky. You may be thinking that you can lead you competitors astray with a bluff; Sorry, eventually your bluff will be called.

When you sit down to the table keep you mouth shut and hold your cards high, or you will be knocked out of the game.

True Patriot Love

2010-03-01T15:41:00.000-08:00

It started off with an ambitious relay across our great country and ended with a gold medal that will be cherished for generations.

Along the way we witnessed unspeakable tragedy on the Luge track and eloquent humanity during the opening ceremonies. Collectively, we held our breath when Joannie Rochette skated and triumphed under the most adverse conditions.

We watched, with jaws dropped, as Shaun White took our breath away on the half pipe and cheered wildly when Petra Majdic tenaciously skied to a bronze medal in Whistler. Canada’s athletes struck gold on home soil for the first time and then punctuated Bilodeau’s achievement with a record breaking thirteen additionally gold medals.

What a performance!

We high fived strangers on the street, hugged, hooted and hollered. “Oh Canada” poured out on every street corner like beer at Canada Hockey House. Yes, there were some glitches but, who cares! VANOC, its Volunteers and the city of Vancouver laid down a golden performance. The legacies are many: Canada Line, highways, stadiums, word class sporting facilities and Own the Podium.

But, more lasting than any is the feeling that Canada can “clutch up” on the world’s stage. I believe our country and our people have changed. Canadians are more united, more determined and more proud than before these games. This was a seminal moment for Canada.

I am so proud to be a Canadian. Go Canada Go!

Live and Learn

2010-01-08T17:25:00.000-08:00

It seems that the recession is ending. Let’s hope? Consumer and business confidence is up, retail sales are solid, houses are selling and stimulus programs are in full flight. I question how the economy has turned around so quickly but, there is some light at the end of the tunnel.

The 1st quarter of 2009 was a dark time at Wolfgang HQ. Very bleak! But, as the year unfolded and we executed our recession strategy our prospects brightened. In fact, by year end, we had completed our best revenue and earnings year to date. So, what did we do right?

· We made the tough and painful decisions quickly
· We set clear expectations with our key staff to expect a bumpy road ahead
· We changed our business model from employee based to contract based
· We managed overhead tightly
· We increased our marketing effort four fold
· We watched cash flow like hawks
· We took great care to provide excellent service to our clients
· We lowered our prices
· Our staff came through big time with loyalty and performance

All the above were great “recessionary” moves that buoyed Wolfgang in 2009. Can’t help but think “Should have made those moves when the economy was booming!” Live and Learn.

Back on Track

2009-04-23T15:20:00.000-07:00

Long time no post. But, I am back.

Around Nov 15, 2008 the recessions reared its ugly head at Wolfgang. How did we know? The phone stopped ringing.

How did we react? Well, at first we panicked, bleed red ink, made excuses and navel gazed. Then, I am happy to say, we picked ourselves up off the mat, increased our marketing effort four fold and made some tough strategic and personnel decisions. Believe it or not, despite the recession, we now have a shot at 10% growth for 2009.

This is Wolfgang’s first recession and we are learning how to adapt on a daily basis. One thing for sure, the sky is not falling and business will continue.

Wolfgang has some hard work ahead to lock in a successful year and there is no doubting that the market has changed. But, if we hold true to our values - accountability, teamwork and open to learning -, we have great shot at success.

Keep Them Happy

2008-10-21T18:20:00.000-07:00

Three years ago we went to our employees and asked “How can we make your job more enjoyable?” They responded with three succinct requests: give us job security, profit share and extended benefits. Tall order? Well, I am proud to say that we have had no layoffs in three years, our crew chiefs take part in a generous profit share and we subsidize a solid extended benefits program. In short, we gave our employees what they asked for.

The company has changed a lot in three years. We have added a marketing manager, operations manager and a production assistant. Not to mention that the business has changed from a sole proprietorship to a partnership. And, we have grown from eight field staff to thirty. Phew!

With all this growth and opportunity you would think that everyone would be happy. Well, some are and some are not. There have been a few grumblings from the field and it seems that the needs of our employees have changed.

In essence it seems that our field staff is looking for one thing: the highest possible hourly wage. We have the best painters in the city and they deserve a great remuneration package. The problem is that we have positioned our company to take on lower margin work in the off season to keep everyone working, provide excellent benefits to lower after tax dollar expenses for our staff and profit share to maximize annual earnings. We accomplish all of this by offering fair hourly wages at the market average not above.

Now what do we do?

Our first step was to have every employee answer a satisfaction questionnaire. Unfortunately, the answers to the survey made the matter more confusing. Our next step is to hold two separate meetings, one with the painters and one with the crew chiefs. The purpose of the meetings is to gain a better understanding of each groups needs. The outcomes are two fold: the field staff tells us what they want and the field staff understands the potential implications of their desires. Should be some fun meetings!

I know that in the end the entire team will work together to com e up with a manageable solution. We always do. And then ion three years we will do it all again.

I will report back with the outcomes from our meetings.

Welcome Bloggers

2008-08-18T15:19:00.000-07:00

Welcome to my blog, Stir Stick: “Mixing it up in the world of small business”. Get it? My business is painting; we use stir sticks to mix paint. I know, pretty lame.

Anyways, what should you expect to read on my blog? Well, one thing that you won’t see is perfectly scripted, typo free writing. But, hopefully you will find my entries on small business to be insightful, sometimes funny and always honest. Most importantly, I am interested in your comments, feedback and engaging in some “blog” dialogue. Talk to you soon.

Yours truly,

Dave

Bumping Up Against Our Values

2008-08-14T15:15:00.000-07:00

At Wolfgang we have three corporate values:

Exceed expectations

Take pride in what you do

Respect the individual

Our values may not be original, but they are solid. We try to preach these values daily. Our instructions to new employees are simple, “If you feel that Wolfgang’s values are being compromised, come directly to the owners”.

Occasionally our values are really put to the test.

A few months back two long term painters had made decisions that clearly compromised our values. Both painters were well liked, productive and oozing skill. Furthermore both employees we pegged as future stars. But, their “bump up against” our values forced a decision: stand by the Wolfgang values and terminate or compromise the company values, “problem solve” and keep them on board.

The last thing we wanted to do was loose two great employees, in the middle of our season, in a tight labor market. But, we also knew that not terminating meant paying “lip service” to our values and in doing so compromising our employees trust in management.

In the end, we terminated both employees. We made the right choice. But, at the time, this was not an easy decision. I had worked closely with both these employees, letting them go was gut wrenching.

Our staff seems on board with the decision. One employee stated; “I am glad to be part of a company that has the strength to stand up for what they believe”.

Nobody said that small business was easy.

Thought I was a Good Coach

2008-08-14T12:18:00.000-07:00

Coaching is difficult. I can remember my old Boss and mentor saying “I learn something new about coaching everyday!” I always thought, “Wow, you’ve been in business for thirty years, you must be a slow learner.” The tables have turned.

We have this fantastic crew chief. Let’s call her Jackie. Jackie is a star in every sense of the word. Jackie has been with Wolfgang for three years, she produces quality work on or under budget, she provides fantastic customer service and most importantly she possesses a phenomenal attitude.

Over the years I have had many opportunities to coach Jackie. A lot of our coaching events involved problem solving around productivity and maximizing Jackie’s profit share. After all, every employee is motivated by money, right?

After our coaching events I would check in with Jackie and ask “what are you taking away from our time together” Jackie would generally respond to my questions with intelligent answers. Amazingly, Jackie’s answers were always the ones that I was hoping to hear.

I often thought to myself, “what a great job I am doing with Jackie! She is doing a wonderful job for us and she is satisfied with her job. I wish we had more people like Jackie!”

Imagine my surprise when my newly hired Operations Manager informed me that Jackie has been frustrated for a long time. Jackie was annoyed that every time we worked together the conversation centered on productivity and profit share. Moreover, Jackie revealed that she is not motivated by productivity and bonus; she simply wants to produce quality work and to be seen as a key member of the Wolfgang Team. How many entrepreneurs have dreamed of hearing those words from their employees?

So, what did I learn? First, my new Operations Manager is a better listener than I. Second, not all our employees are motivated the same way. In Jackie’s case she is motivated by producing quality work and being a leader on a great team. Third, as her coach, it is my job to recognize Jackie’s needs and to coach her accordingly. Good thing my new Operations Manager is her new coach.

Everyone in our company is motivated for different reasons. That doesn’t mean that we are not aligned. On the contrary it means that we have an open and strong corporate culture.

I learn something new about coaching every day!

Remembering the 80/20 Rule

2008-07-02T15:14:00.000-07:00

I always read the 80/20 principle to mean concentrate on the few things (the 20%) in life that are truly important and you will be happy. When I started Wolfgang the 80/20 principle was top of mind. I chose to run a business so that I could spend more time with my family and control my income. My basic strategy was to work on areas where I provided the most value and hire the right people to take care of the rest.

The first two years were great. I was making good hiring decisions, the business was growing 15% year over year and I was taking every second Friday plus an additional month off. Sweet! Then something happened and the company started growing 50% year over and year. Probably because I was making good hiring decisions and taking time off?

When Wolfgang took off, I stepped further back from operations and sales. Smart move, I needed to spend more time on strategy and alignment. Unfortunately, I freaked out and started to feel guilty about not working as hard (time in the field) as I had in the past. So, to compensate, I started micromanaging in order to feel like I was working “harder”. Every second Friday off got the axe, eight hour days turned into twelve hour days and then my vacation time started to shrink. Guess what happened to our growth? Wolfgang stalled.

This year I hired a coach to skill me up and help me feel more confident in my new role. Also, I have made a key hire in our operations divison, gave him lots of support and let him do his job.

Most importantly, I am spending more time with the family. Last week we headed to Parksville and spent three days exploring tidal pools. In short, I am spending more time working on the important (the 20%)aspects of my life.

Guess what the business is trending to grow by 60% this year!