The Tim Faller Show

Ep.87: Rising from the Ashes with John Murphy

We all occasionally think about the worst that could happen, like a disaster befalling your business or family. The kinds of thoughts that creep into your brain in the wee hours of the morning, that prompt you to think about how you might handle it. Luckily, for most of us, those imagined catastrophes never materialize.

For John Murphy, though, that nightmarish scenario came true when a building fire broke out in his office/warehouse and shop that housed the company’s paint and fine finishing division. The fire destroyed the building and nearly all of its contents. 

In this episode, John tells Tim and Steve the story of the fire, the immediate aftermath, and how his business survived.

John started Murphy Bros. Design | Build | Remodel in Minneapolis, MN, in 1983, just over a year after he graduated from college in 1981. John had worked part-time in construction starting in high school, and thought his degree was the ticket out of hard physical work. He started his new career in life and annuity insurance sales. After a year, he’d made only about half of what he’d earned as a carpenter. He was married with a new baby. Rather than ask for his job back, he decided to go it alone. The company was first named John Murphy Builders but became Murphy Bros. about a decade later — John’s brothers had joined the business. He says he’s still not sure his degree paid off, but he hung up his tool belt around 1997, and promoted himself to an office job.

Early on the morning of May 23 — the business’s anniversary date — John’s phone lit up in the kitchen. He heard it from his the bedroom, but didn’t answer it until it started ringing again a few minutes later. Picking up, he learned only that there was a fire at the business. He jumped in his truck, got to the office and saw all the emergency vehicles and their flashing lights. He says at first glance it didn’t look terrible from the front. The damage was immense, however. This wasn’t the only thing on his mind, either. His brother had been battling lung cancer, and died only days after the fire. John talks about how he handled it all emotionally and professionally in the short term and beyond, including:

  • Assessing priorities after the fire
  • The benefit of having strong community relationships 
  • How he and the company dealt with jobs in progress
  • The help offered by other remodelers
  • Keeping the business going forward
  • The benefits of having a second office and showroom location
  • Maintaining their public image
  • Why proper record keeping (and storage) is necessary
  • Making the company leaner, stronger, and better
  • Dealing with insurance companies
  • And more …

To help disaster-proof your business, John recommends storing your records and operating in the cloud, an annual detailed review of your insurance policies with your agent, and taking safety training seriously. Here’s the link to the security video of the fire on the Murphy Bros. blog.

Ep.86: Hindsight is 2020

If you’ve ever wondered what you’d do differently when starting your remodeling business if you only knew then what you know now, you’re not alone. 

Tim and Steve do, too. 

In this episode, the guys talk about what they’ve learned in their time at Remodelers Advantage and from their podcast guests that they wish they knew when they were running their own businesses.

They each identified the five biggest takeaways that make remodeling businesses stronger, more profitable, and built for growth. Learn what they think is important and why, including:

  • The power of job descriptions
  • Being financially transparent
  • Protecting profit through data
  • Making business decisions based on numbers, not feelings
  • Learning to sell, not just take orders
  • Getting to a zero punch list
  • And more …

Including the five states Tim still has to visit, as well as sincere thanks from everyone at the show for giving us your time, ideas, and feedback. If you’ve got an idea for a topic or guest, drop Tim a line at tim@remodelersadvantage.com.

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Come learn from Tim Faller and some of the most experienced, well-respected speakers, presenters and panelists in the North American remodeling industry. 

The Extreme Business Makeover is two days of interactive, thought-provoking presentations, break-outs and panel discussions with some of the remodeling industry’s best and brightest. The perfect way to prepare your company for 2020 and beyond! Register Today!

Ep.85: [Back-Up] Building a Trade School From Scratch with Richard Laughlin

We’re looking back at some of our most powerful episodes as we end the year. This episode takes a positive and proactive look at solving the skills gap in the remodeling industry. 

Richard Laughlin is taking a grass-roots approach in his small Texas town, with a trade-school program that’s beginning to spread across the state. 

In this episode, Richard talks about re-starting that local trades program with Tim and Steve, and what it does for the students and employers.

Richard Laughlin is the owner of Laughlin Homes & Restoration in Fredericksburg, TX, and is the 2019 recipient of The Fred Case Remodeling Entrepreneur of the Year Award. He grew up in large-scale commercial construction with his dad and grandfather, who were general contractors. He attended Fredericksburg Trades school from 1975-78, and won statewide awards in carpentry skills as a sophomore in 1976 and cabinetry in 1977 with a custom built-pool table. He started his own design build custom home business in 1984. LHR has been recognized with dozens of state and national Awards. Richard filmed several episodes of Junk Gypsy on HGTV and was on Extreme Makeover

Richard has great memories of his own trade education, but the program was later downgraded in favor of a more college-prep focus. Kids were no longer getting the kind of time and attention necessary to get construction skills. About four years ago, Richard stepped into the breach, and he appealed to his state representative to get legislation passed that would create an opportunity for skills-based education again. Richard and other builders in his area pulled together to create a trade program that gives students hands-on experience building a custom home over the school year. He talks about how the program got off the ground, and how you can do something similar, including:

  • Showing the school systems the benefits
  • Raising money for a trades program to beat the budget argument
  • Putting together a strategy
  • Getting your subcontractors on board
  • Soliciting tool and materials donation
  • Working for sponsorships
  • Being persistent
  • How it fills jobs later
  • Structuring a non-profit
  • Creating a curriculum
  • Making the time to do it
  • And more …

Restarting the trades program has been very rewarding, he says, and spreading it nationwide is the goal. Read more about it on Richard’s website, or on the Casa Uber Alles Facebook page.

Ep.84: Residential vs. Commercial Construction with Steve Tankersley

There can be a bit of a disconnect between folks working in residential and those in commercial construction, and a way of thinking that they’re just completely different. But there are ideas and methods of production that can be used successfully in both.

Steve Tankersley is a third-generation builder whose earliest memories are of being on a jobsite with his father. He earned a bachelor’s degree in construction management from Sacramento State University while working as a carpenter for one of Sacramento’s largest residential remodeling companies. After graduating, Steve was an estimator and project manager overseeing multi-million dollar projects ranging from churches, schools, and hospitals to power plants, train stations, and apartment complexes. 

That’s when Steve first envisioned applying large-scale commercial project management philosophies to small- and mid-sized properties, commercial and residential. 

In this episode, Steve talks about what each side of the industry can learn from the other with Tim and Steve.

Steve and his wife, Heather, founded Tankersley Construction in Rancho Cordova, CA, when he realized that to truly be part of a company he loved, he needed to create it himself. It has quickly grown into one of the Sacramento region’s largest remodeling companies. Tankersley Construction has won multiple NARI awards for their projects, recognizing excellence in design, management, scheduling, and safety. 

About half of Steve’s work is in residential and half in commercial. There are separate management models for each, with different layers of management. He talks about what is the same, what is different, and how to get the best of both worlds, including:

  • Superintendents vs. project managers
  • Who works where — and when
  • Project management and client management
  • Critical-path scheduling
  • Using LEAN in construction
  • Starting at the end, and scheduling backwards
  • Taking the safety culture of commercial into residential
  • Getting selections done
  • And more …

Including how Steve applied what he learned in multi-phase commercial projects that help keep remodeling clients on their own schedules.

Ep.83: Secrets of the Final Completion List with Ed Hoksbergen

If you’re getting to your final walk-through and finding work that’s not done, or not done right, your schedule gets fouled up and your budget is busted. To tie up all the loose ends before they can cost you more time and money, you’ve got to be a step or two ahead of the problems.

A final completion list can help. Ed Hoksbergen uses a 100-point system to ensure a project is complete and up to his company’s standards, and to turn over a job with a zero punch list.

In the episode, Ed discusses using a final completion list with Tim and Steve, including how to set one up and what it can do for your jobs and warranties.

Ed has been the production manager at Encore Homes in Middleton, WI, since 2012. He joined the team as an assistant superintendent in March of 2002 in the multi-family division, and was promoted to I superintend in 2004 in single-family division. Since incorporating this quality assurance form and checklist, Encore has seen their 30-day and one-year punch lists greatly reduced and — in some cases — found nothing on the punch list at the one-year walk-through.

The QA score sheet used to grade a project manager on the completed job. Ed says the form is set up to be done six days prior to closing a project. It’s used to ensure all work is up to Encore standards and to turn over a completed job with a zero punch list. A project manager scoring 96 percent or better is awarded a bonus at the end of the job. Ed talks about how to set up your own completion list, including:

  • Assessing the quality of the work
  • Looking at the details
  • How to close out the job
  • Educating the client
  • How to sell it to your team
  • Determining what’s in or out of a PM’s control
  • And more …

A completion list can help you boost the quality of your work while helping you deliver jobs on time.

If you would like to follow Tim’s adventures on the road….

Every month TIm Faller shares his “From the Field” Newsletter with additional tips, thoughts and tales of his travels across North America, working shoulder-to-shoulder with some of the best production teams in the business. If you would like to subscribe to Tim’s Newsletter, CLICK HERE!

Ep.82: Key Performance Indicators for Carpenters & Project Managers with Rick Swanquist

Many problems plaguing production departments end up costing time and money. While it’s clear that there are issues, many remodeling companies can’t pinpoint the causes. 

One way to find out what’s really going on is to establish Key Performance Indicators, or KPIs. KPIs allow you to measure how well your production process works. But what should you measure, and how can you do it?

In this episode, Rick Swanquist answers those questions as he joins Tim and Steve to discuss how he uses KPIs to really know what’s going on in his production department, and what it means to his company.

A veteran of the construction industry, with nearly 15 years of project management experience, Rick has been with Main Street Design Build in Birmingham, MI, since 2015. Rick was hired to be a project developer at Main Street, quickly working his way up to project manager, and spent the first two years of his tenure managing projects. He has been a production manager for two years at Main Street. Rick’s passion is scheduling and managing subcontractors and in-house carpenters to see a project through to its completion.

When beginning to institute KPIs in your company, you need to figure out what they’ll be. Rick defines a KPI as a goal that is practicable and repeatable through objectives defined by metrics, that have timelines and targets with methods for predicting and measuring them. The data is collected throughout each project and evaluated at the end. Rick talks about what he looks at, how to set goals, and keeping his team accountable through KPIs, including:

  • What can be measured
  • How to evaluate KPIs
  • The 13 KPIs he uses for carpenters
  • The KPIs for project managers
  • Using the project autopsy to measure performance
  • How long-term measurement ensures accurate assessments
  • How the estimate works in the mix
  • Keeping the process open and transparent
  • Establishing a baseline for expectations
  • How KPIs can boost morale and healthy competition
  • The client satisfaction score
  • And more …

All the KPIs, taken together, allow Rick to see how his team is performing and to identify and solve problems in production quickly. 

Ep.81: Success with Daily Logs with Jason Stearns

Today we’re tackling what can be a simple topic, but some remodeling companies are still struggling with daily job logs. Technology has made this task so much easier to accomplish and to store.

In this episode, Jason Stearns talks with Tim and Steve about what to capture in a daily log, how to get your project managers to do it effectively, and why it’s a legal necessity. 

Jason has been in high-end residential market in San Francisco for almost 30 years, including projects working with many prestigious architecture firms. He joined Jeff King & Co. as director of production in 2017. Since then, he’s helped implement the use of Procore for their production teams, standardized the project scheduling formats, and started a weighted numeric skills assessment system for evaluating the carpentry and labor staff to identify needed training for advancement.

The daily log is a working tool that helps you track your scheduling commitments from subcontractors, keep records to protect you and your company during disputes, and other information. Jason talks about how his company uses daily logs, and the benefits, including:

  • Using templates for the log
  • What information to record
  • Tracking inspections
  • Using it as a legal document in lawsuits
  • How to get your team’s buy-in
  • Making everyone accountable
  • Using the logs in a project review
  • Why to keep them private
  • And more …

If you’re still on the fence and not regularly keeping daily logs, Jason says keeping one for every job, every day, is the best insurance you can have against your company getting hurt in a legal dispute.

Tell Us More …

We’ve gotten fantastic ideas from our listeners for topics and guests. If you’ve got a suggestion for Tim, drop him a line at tim@remodelersadvantage.com.

Ep.80: Evaluating Trade Partners with Joe Divel

We talk about working with trade partners and subcontractors a lot around here. It can be a complicated and challenging relationship — too often it’s like you can’t live with them, and you can’t live without them.

Part of any relationship is change, and adjusting to those changes to keep it fresh and healthy. To keep track of those fluctuations, you need to evaluate how you’re working together.

In this episode, Joe Divel talks about trade partner evaluations with Tim and Steve, how they can keep work relationships solid for all parties, and head off problems before they start.

Joe has been with Case Design Remodeling Inc. in the Washington, DC, metro area for 21 years, wearing many hats during that time, mostly in the production area. Currently, as the senior director of recruitment, alliances, and logistics, he helps production by managing the company’s alliances, tracking job completion, and managing field support and safety.

At Case, they refer to how they work with trade partners or subcontractors as an alliance — Joe says that word choice reflects the respect they have for the firms they work with. He talks about how to start and maintain your own evaluation tools and what it can do for your company, no matter what you may call your subcontractors, including:

  • On-boarding new partners
  • What should be evaluated
  • Who you should survey
  • How often to assess the partnership
  • The red flags to look for
  • Sharing the results with partners
  • How to address problems
  • Learning how you can help them
  • And more …

Including why the company checks on proof of insurance from partners, and how much coverage your own firm should carry.

Keeping up with Tim Faller…

Every month, Tim shares personal and professional tips and advice, and some great stories of his adventures out on the Road. “From the Field” is Tim’s monthly Newsletter and is publishing this Thursday… if you aren’t already subscribed, Click here to Jump on Board.  

Ep.79: Syncing Estimating & Production with Ryan Beaber

It’s a common challenge Tim finds in his consulting work with remodelers — how difficult it is to accurately estimate your remodeling company’s own work, to bring jobs in on time and budget. The difference can cause friction between estimators and those in the field, and cost you money. 

In this episode, Ryan Beaber talks to Tim and Steve about his experience as an estimator, and why communication between the estimator and project managers is the key to accurate forecasting. This year, his company is coming in one percent under budget on their jobs. 

Ryan is an estimator with Forward Design Build Remodel in Ann Arbor, MI. Ryan joined the team in 2015 as a carpenter, and in January 2019 moved into the office to take over the estimating responsibilities. Forward Design Build Remodel has had year-over-year growth for several years, consistently out-pacing industry averages in customer satisfaction, and receiving peer recognition such as the 2018 ProRemodeler Gold Design Award, the 2018 NARI CotY Regional Award for residential interior, and the 2019 Fred Case Remodeling Entrepreneur of the Year runner up.

Ryan says experience in the field helped his transition to becoming the estimator. He understands how the field team works and knows the subcontractors, which helps him keep communications open, accurate and efficient. Ryan talks about how he and the field staff make this happen, including:

  • Using past jobs to predict future budgets
  • Handling discrepancies between budget and what actually happened
  • Accepting responsibility for mistakes
  • The importance of cataloging communications
  • Tracking all the data
  • Posting the red flags
  • Handling change orders quickly
  • The KPIs to look for
  • Taking care of clients’ emotions
  • Handling material cost increases
  • And more …

Ryan says both estimating and production want the company to be successful — use that to get everyone on the same page, and pulling in the same direction.

The Suggestion Box is Open

This episode was once again the result of a listener’s suggestion. If you have an idea for a topic or guest, drop Tim a line at tim@remodelersadvantage.com.

Ep.78: The Four-Day Work Week with Tim Welsh

To make the remodeling business work, there are a few musts — you have to be efficient, you have to have a competitive edge, and a good work-life balance.

Tim Welsh’s company does it in four days a week — at least in the field.

In this episode, Tim discusses the four-day work week with Tim and Steve, including how he came to it, what benefits there are, and how you can do it too.

Tim is the president of Welsh Construction in Lexington, VA. Though he started out wanting to enter the custom furniture business, Tim began his career as a laborer and worked his way up to foreman. He opened his own business 26 years ago, doing everything himself, until his wife joined him. Tim and Janeen have grown the company, added staff, and are in the process of transferring ownership as part of an eight-year transition plan.

The four-day work week started for Tim early on in — though at that time it meant four long days in the field for him, with the fifth day spent in the office or on sales calls. The carpenters working for him got used to being on the job for 10 hours, four days a week. When Tim transitioned out of the field, he kept the four-day schedule for his field staff. “It was in their DNA by that time,” he says. Tim tells you why it works for his company, including:

  • Who works four days, who works all five
  • How it makes start-up and breakdown more efficient
  • What you save from only having four lunch breaks
  • Explaining the schedule to your clients
  • Working with your subcontractors     
  • Getting used to 10-hour days
  • Working in winter darkness
  • How to work Monday holidays into the mix
  • The financial aspect
  • How it helps in hiring and keeping field staff
  • And more …

Tim says this schedule can help smaller contractors to concentrate their efforts in the field, while leaving time for other tasks on the fifth day. For larger firms, with lead carpenters and project managers, he advises rolling it out and trying it. It may work for you.