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Green Side Up
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Green Side Up
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STOP – THINK & PLAN for 2009!
Without a doubt 2009 is going to be a challenging year.
The wars, the economy, the falling value of the U.S. dollar, the continuing credit crunch; these and so many other serious issues face the new U.S. administration, it’s enough to “make your head spin”. Prices of fuel last year seemed to “go through the roof” and then settle down again.  Other materials such as urea, the basis for much of the fertilizers many of us use, were over $800.00 per ton on the world market last April and then in the fall, the price fell like a rock to $300.00 a ton. 

All of this affects our business, our customers, and our lives.
Hedge fund analysts and investment bankers call us from Wall Street on a regular basis, asking and paying for our opinions (how cool is that $$). They seek insight as to how this recession will affect the sales and profits in the landscape and lawn care businesses throughout the country.
My answer to them and to you is this; it’s going to get worse before it gets better.
I don’t think we have yet felt the real consequences of the problems our “Wall Street Friends” have created. Living through a hurricane is an appropriate illustration. When a hurricane hits you feel the tremendous winds and as it passes you can find yourself in the “eye” of the storm. I’ve experienced this and it’s an eerie feeling. Then, as the storm passes there comes a tremendous backlash. That’s how the situation feels to me right now. I am waiting for the backlash. So as business people, what does this mean? What are we to do?
My answer is to STOP - THINK & PLAN.

Whether you are a small “mom and pop” shop or a huge multimillion dollar operation you should STOP – THINK & PLAN. We know of some large design build companies that were down in revenue by some 60% for 2008.  This is a staggering amount. A friend in the design build business in Florida for many years just “folded up shop” in August and went to work for another company.

We need to stop, think & plan so we can not only minimize the effect but also take advantage of the current and future economic down turn.

Let me give you some sample questions to ask in  planning sessions.

SALES & MARKETING

  1. Are we doing all we can to generate design build sales in our market?
  2. How do we minimize the effect of the lack of sales in our design build department?
  3. How can we increase our revenues from our existing client base?
  4. What marketing and advertising should we be doing?
  5. How much money should we spend this season on marketing?
  6. Do we need to create a full blown marketing plan?
  7. What is our competition up to and how are they doing?

PEOPLE

  1. Do we have too many people?
  2. Is every person essential in the company?
  3. Do we have the right people?
  4. Are our people doing the right jobs?
  5. Are all of our people “fully engaged” in the work or just collecting a paycheck?

OVERHEAD

  1. Have we looked at every line item in our overhead to reduce costs?
  2. Is there equipment we could purchase that will save us money?
  3. Have we bid out our overhead services, i.e. insurance, etc., to see if we are getting the best value for the price?

FINANCE AND OPERATIONS

  1. Do we know what jobs are making us money?
  2. Do we know if we are making money in every department?
  3. Are we estimating correctly?
  4. Are we pricing correctly?
  5. Should we create an incentive plan for the departments?

If you don’t have the answers to these questions, you could be in serious trouble during the 2009 season.  Take time to think about, discuss and create a strategy with appropriate tactics to accomplish your goals.

For companies that do plan during this economic down turn, this can be a time of incredible opportunity.  Many companies will prosper. For example, many Harvest Members are taking on new customers as weaker companies fail. Some Harvest Members are looking to acquire or are acquiring companies that are for sale due to the difficult economic times.  Keep your eyes open for great opportunities.
Don’t “fly blind”. Create a plan and work the plan.
Review your plan and monitor your progress each month during 2009.
If you STOP – THINK & PLAN you will be able to “Harvest Your Potential” at the end of the season.  As your company’s leader,  the future is in your hands. 

P.S. If you didn’t get my book, “Green Side Up – Straight talk on growing and operating a profitable landscaping business!” go to our web site, it’s available in hard copy or (for those of you that would rather listen while plowing or riding from job to job) on CD.  Two colleges are making Green Side Up a mandatory read for their classes. If you haven’t read it; order right now.


Order Green Side Up
in Soft Cover or
7-CD set Today!

This book will help you establish sound business principles for your company. (And by the way, the first chapter of the book is about (you guessed it)  PLANNING.) 

Head Harvester East

Head Harvester West