Skip to main content

Extend your core services


Our job as service organizations is to provide the greatest value possible to our clients, this includes services outside of our core capabilities.  These scenarios may shed some perspective:



  • Building owner, or manager and need a subcontractor | you may pride yourself on a fantastic relationship with the subcontractor owner, how do you know the qualification levels of the actual subcontractor workers?  Sure you'd like to always say "make sure you send only Bob".  This seems like a good strategy, especially considering the current velocity of change.  What you may consider is requesting the person with the highest qualifications for the work that needs to be performed.
  • Multi location contract which needs assistance in tertiary markets | there are no golden eggs. When service organizations procure multi location contracts often times the majority of locations are within our service territories. Yet, and this varies, a certain percent are way outside and require us to engage subcontractors. While vetting subcontractor workers may not be practical, consider facilitating a "before and after" practice.  Regardless of service call type requested, photographs when they arrive and leave are very powerful (create a posting site to make it easy for the sub workers). While on some calls this may seem ridiculous it will keep everybody honest.
  • Extension of core services | fundamentally I believe many service organizations would like to, or are already, extending the scope of their services to clients. Of course we need to be careful that the subcontractor will not steal our customers. In addition if you believe electrical is a good subcontract service to complement your mechanical work make sure that you qualify a few electrical subcontractors. Often, because of relationships, challenges with getting subcontractors paid, familiarity with workforce we choose to find one good subcontractor and stick with them only. Relationships are fantastic yet competition keeps you competitive.



As mentioned in a previous post; if you are still against subcontractors you need to pull your head out of the sand.



-----

Next post:  do rates really matter?

-----

Comments

Popular posts from this blog

suggesting is NOT selling

People and companies want to buy from people that they trust.   The individual which possesses the broadest set of knowledge will gain the most credibility and as a result yield high levels of trust.   When I was in the field I definitely had the ear of the customer and for the most part discussed areas that needed improvement or replacement. At no moment was I ever, at least in my mind, selling. Instead, as I think back on those days, I believe I was simply "suggesting". Take an immediate need, add in a trusted advisor and a credible suggestion, you will most likely get a sale. However, this is not selling. From my non-salesman perspective I would sum up the following related to the sales process; sales is not a single event but instead a sequence of connection points which create a positive experience that leads to a purchase . Over the years I've been fortunate to have known many different types of salespeople in different industries and I believe that they a...

In$pired

As the steam from Avid Andy's coffee fogged his glasses on this crisp January morning, he reflected on last year and thought enthusiastically about the year ahead.   Sometimes the noise of business is deafening, we rarely take the time to contemplate our moves, instead are often thrown one direction or another.   Hey, face it, if you are reading posts to gain perspective you fall in the group of folks who pride themselves as obsequious hoop-jumpers.   We live to help others and expect that all of those around us feel the same way.   I just love Influential Irene.   Okay, it is out in the open, she is an inspiration for me and so many others.   Irene reminds folks every year, without fail, these three statements which she fondly refers to as "the punchline" (although this is no joke).   Businesses, of any size, will be successful if they remember that it is people that make a company.   Put this advice into practice, today: Sincerity |...

focus on your annuity base, come on man..

Stick with what you know and repeat often. When I think about maintenance, regardless of type of contract, I think about consistency, consistency, consistency. The motivation behind writing this post is to encourage you to either build or bolster your existing maintenance base, here are some things to consider: most maintenance contracts should yield between 5% and 7% additional revenue above and beyond the contract value.   Building trust between you and your clients organization will result in additional service activity. Full risk contracts, or those where you were charging one flat amount and taking all of the financial risk, can be profitable.   Watch out for the age of the equipment, service call track record, and customer disposition pull-through opportunities can be constrained with full risk contracts unless the scope of work is very specific. This can be a bit of a slippery slope. The perception of a...