Fact Number ONE:
“As a contractor your major limiting asset is time.”
As a remodeling professional, chances are you can get all the studs, insulation,
drywall, cabinets, furnaces and concrete you need to build or install whatever is
required for the services or products you provide. You can’t buy more hours to
make your day long enough to accomplish everything you need to do.
The only way around this shortage of time is to become more efficient by
implementing processes to speed up the repetitive things that eat
up your time and/or enlist the help of others by delegating authority.
Fact Number TWO: “Your success may depend
on how soon you can install business processes to simplify complex activities.”
When you arrive on the job you have a process for installing a water heater,
shell sealing, insulation, a new kitchen, building an addition or diagnosing
the building’s performance (all complex activities).
However you may have no processes in your
business to assure sustainability.
Sustainability is most often dependent on cash flow.
The three most important processes for creating and maintaining cash flow in businesses
are; positioning, pricing, and proposing. These complex processes are so inter-dependent that if one fails the others falter. When these processes work, profits follow.
When there is a failure in one of these systems you might actually begin going out of business, regardless of how big you are or how long you have been in business.
Sadly, too many contractors start going out of business
the day they open their doors.
The real issue is that often we don’t know what we don’t know!