Last week Devon and I spent time at the JLC Live conference in Providence, Rhode Island. We had the opportunity to see old friends and make new friends as well.
It’s always encouraging to talk with contractors who are working to improve their business skills. Some were experienced contractors looking for a refresher course, others were brand new in business. One contractor told me he’d only been in business for three weeks – talk about getting a strong start!
Too many of us neglect continuing our education because we think there isn’t any more we need to learn. One of the pitfalls of graduating from high school and/or college is the belief that you’ve finished your education.
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I close my classes with a slide that says, “To Keep Your Money In Your Company,” with an arrow pointing to “Education.” I firmly believe it’s the best investment you can make for your company. If you want to be a success in this or any other business, spend time daily on your education.
You should always be looking for ways to learn more about business, sales, estimating, production, human relations, customer service, etc. You should also be learning more about life. Some people disdain the liberal arts (art, literature, philosophy, history, psychology, the sciences, etc.), but a major advantage is that you develop a broader spectrum of knowledge and skills. A liberal arts education can also improve your thinking skills.
I see too many company owners who aren’t willing to pay for education, either for themselves or their employees. There’s no nice way to say this is a major mistake. That’s the mindset of a mechanic; they are focusing on the work being done, not the big picture. If you’re a business owner, the big picture is what matters.
Education gives you and your employees hope. It encourages you and sometimes forces you to think about what you’re doing and how you can do it better, faster, at a lower cost and more profitably. Education helps you and your employees solve problems not only on the job but while working with clients, other employees, suppliers and subs. It can help with your estimating and your sales. Remember, nothing happens in business until somebody sells something, at a profit.
Part of educating your employees is accepting the fact that when they try something new, they’ll make mistakes and some of those mistakes will cost your company money. You’ll make mistakes as well. Everyone needs to be held accountable for their choices and the decisions they make, but if someone is trying to do good, that’s far better than not trying at all. Reward the effort and pile on the praise even if the results are less than expected. You’re paying yourself and your employees to think, so give praise while you’re giving correction.
There are a lot of avenues available to improve your education, with books, audio tapes, podcasts and online classes. We have a number of online classes for business owners and salespeople.
Education gives you the mental strength to make things happen. It removes the boundaries set up by ignorance and lack of knowledge. It also removes the hesitancy to try something new, to use new people or subcontractors to get a job done. It throws out the old mantra, “Well, that’s the way we’ve always done it!”
The knowledge and experience Michael Stone gained in his 60+ years in construction has helped thousands of contractors improve their businesses and their lives. He is the author of the books Markup & Profit Revisited, Profitable Sales, and Estimating Construction Profitably, and is available for one-on-one consultations.
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