A Thought Creates A Result - Your Vision of Excellence Matters.
Summary: As a builder I need to understand that if I have NO idea of what excellent management practices look like, I need to find a source for guidance. The ability to have a vision of what a Best Practice should be - is essential to get the best results quickly.
Many times when I work with clients, they struggle and struggle to run better, yet they cannot achieve a sense of stability and great results. I always ask, "Do you have an idea of what a well run options and upgrades program looks like? Have you ever seen one in action?" As a management consultant the issue at hand could be warranty, or closing department, or budgeting etc. The point of this discussion it that you must have a good idea of what an excellent process is for whatever you are trying to improve.
This is why consultants exist in the business world, if you do not have an idea of what is excellent, you need to secure the knowledge from industry events and or industry consultants. I specifically want to discuss this topic as many folks delay getting help and thus suffer longer than they need to with poor results and end up firing a lot of good people in the process.
Take the instance of Chip in Montana, he and his brother Carl had a great company, they were doing quite well but they both were starting families and they had to get more efficient just to manage the kids and the company.
Chip and his brother were competitive athletes and hated to be less than the best at anything. Build for baseball or any other sport for that matter, they were really ticked they could not overcome the management of the options and upgrades processes for production of close to 100 homes. (Hint: this is one of the most complex processes a builder manages.)
“I am spending so much time on options and upgrades management it is really starting to be a drag. We have to get better so I have time to see my kids grow up!” Chip said.
“Well how are you managing it?”
Chip responded, “The best way we know how, a list, an excel spreadsheet and true grit, John Wayne would be proud of us!.” “Ok, what is your vision of how it should run?” I asked. “My vision is that there has to be a better way, this is really time consuming, we make a ton of mistakes. and I am worn out!”
I had to laugh and smile, because his response was a classic one. I knew he was ready to get this problem resolved!.
“So you really have NO vision, except what you are doing - is NOT working?” I asked. “Yes, the pain is great and that is why you are here. Please give me a hand on this issue.”
“Ok, perfect, I can give you a detailed process flow outline of how the best in the business manage this issue, we will tweak it so it fits your market, culture and leadership style and we will be off and running.
“ We proceeded to discuss the vision, and I outlined 3 different ways we could go about fixing the problem, we then secured some assistance from a team member and in about 3 to 4 months we had the vision gaining speed. In time it was running very smoothly, with less effort, less errors, and much happier customers, and of course a much happier Chip and Carl. They could spend more times with their kids.
The entire team was happier, their customers were happier and I spoke to Chip a few months back, he said, “We are running strong and stable, what a relief, we feel good about the process, we have more time for family events. The vision is a reality, we Love it!”
The moral of this story is it is best to have a proven vision in place in order to execute and improve operations quickly. No vision, no improvement can happen. Excellence begins with a thought. That is my story and I am sticking to it.
Home builders and developers are the backbone of this country. They work hard, take risks, and create more wealth for society than any other sector of the economy. If you are a home builder and concerned about your results - you can do better! If you want to find out more, call me at 303.525.4944 or email me at firstname.lastname@example.org and LinkedIn is a great place to find out more about my credentials, background, and references.
My first three questions when you call are usually:
1) How many units do you sell per year?
2) What is your average sale price range?
3) What is your projected net income for the current year?