PROOF OF CONCEPT – the success of strategy is seen in the numbers!
Over 27 years of working with remodelers around the country I’ve encountered nearly every problem to confront a remodeling company: the dissolution of long-term partnerships, ineffective marketing, sales systems which don’t produce results, unmotivated production crews, theft from overhead coffers, bankruptcy, and terrible accidents on the job.
On the other side I’ve seen phenomenal successes: great customer satisfaction, happy employees ready, eager and capable to take over the company from the owners upon retirement, and substantial consistent profits over time.
Each outcome results from success or failure to implement good leadership which imparts vision & motivation to employees who then implement tactics appropriate to each of the main areas of the company: marketing and sales, production, administration and leadership.
Through Remodelers Advantage we clarify the tactics meeting by meeting necessary to reach the next level of success for each unique company. These tactics typically apply to one or two main areas: usually one portion of the company is working well, say sales, while production slippage produces less gross margin than budget.
The numbers then provide “proof of concept.” Want to know if your marketing is working, look at the number of good leads received this month. How about sales: look at sold volume compared to budgeted sales. In every main area certain time-tested systems apply. Get these systems in place, establish goals for each and then test your assumptions AGAINST GOOD NUMBERS.
The bottom line is this: talk all you want about volume, but until and unless you meet the criteria for success in the other areas of the company, you’re not assured of dropping profit to the bottom line. Youth and energy can easily build a large company which produces good net profits. But over time only effective systems implemented by good employees can produce consistent net profits. You will only know this if you have good numbers and use them well!