Diversity in recruiting

In Zweig Group’s 2019 Best Firms To Work For survey, firms were asked about their efforts to have diversity in the workplace. Focusing on recruiting talent, 45 percent of Best Firm candidates said they specifically recruit women and/or minorities to work for them. When breaking this down by staff size, we see that larger firms are generally able to increase their diversity efforts in recruiting relative to smaller firms.

Participate in a survey and save $320 on any Zweig Group research publication. Visit bit.ly/TZLsp to learn more.

T R E N D L I N E S

F I R M I N D E X

W W W . T H E Z W E I G L E T T E R . C O M

T H E V O I C E O F R E A S O N F O R A E C F I R M S & M A N A G E M E N T C O N S U L T A N T S

Acton ADU ...........................................12

Clayco ..................................................10

Dewberry ................................................4

FSC, Inc. ................................................6

Kleinschmidt Associates .........................2

Shive-Hattery Architecture-Engineering .10

SVA Architects, Inc. ................................8

Page 6

J u l y 2 9 , 2 0 1 9 , I s s u e 1 3 0 6

Growing opportunity: Valorie Loessin

See MARK ZWEIG, page 2

“Taking these steps could

help you get more focused

on the right clients and

projects and that could

lead to more success over the long (and short) term.”

I was talking with an old client the other day about their business. They had gone

through an ownership transition and the “new” management (although most had been there for the majority of their careers) wanted to get the company back onto a growth path after too many years of being the same size.

It became immediately apparent that they needed to do a better job defining their market areas of focus and targeting specific clients to pursue. Here are some steps to help any company that wants to do this:

1) Figure out what you do well and what you make money on. My experience is that these two are usually the same, but not always. For example, years ago, I was working for an engineering firm that did a study of projects performed in each of about 10 market sectors. One thing we learned was that although they had an extensive resume in higher educa-tion projects, we consistently lost money on them. So higher education was NOT one of their market areas of focus. In another case, a landscape architecture and planning firm we worked with looked at marketing costs as a percentage of revenue and determined that for one small area they worked in (ecotour-ism), marketing costs were nearly 90 percent of revenue after three years of making this one of their targets. It was determined that it was time to pull the plug. The same sort of analysis can and should be applied to specific clients. Know your data – how much work you are do-ing, what it costs to get it, and whether or not you make any money doing it.

Better understanding your target markets and clients

MORE COLUMNSxz CHRISTINA ZWEIG NIEHUES: Principal like it’s 1999 Page 3

xz GREG KANZ: Success as one firm Page 9

xz ANDREW TARVIN: Leading while laughing Page 11

Mark Zweig

© Copyright 2019. Zweig Group.

All rights reserved. THE ZWEIG LETTER July 29, 2019, ISSUE 1306

2

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2) Once you figure out the markets you can serve well (and profitably), put a list together of every single client that fits into that market definition. Most AEC firms do not take this step. Their target client lists have huge gaps in them because no one ever bothered to research and define a complete list. Or, management may have the false notion that only potential clients they have sat in front of, or those they know for sure have projects and funding for them, should be targeted. Not the case. You want a complete list here.

3) Now that the target markets and clients that make them up have been determined, it’s time to figure out which of those clients are the best long-term prospects for work. This takes some research. And in these cases, extra efforts must be applied to be sure to identify all decision makers and potential influencers of a selection process. And the marketing and business development plan has to include specific (and sufficient) steps to be sure every single one of these people is aware of the firm and thinks favorably of it.

4) Now that the target markets and clients are identified (and there is usually much, much more potential in them than the typical AEC firm realizes at first blush), it may be time to take another look at the target markets and ask yourself which other markets wouldn’t be too difficult of a stretch to expand into. For example, healthcare-focused ar-chitects may decide in some cases that the higher education market is one they should explore. Reason being, they may have done healthcare work on university campuses so client knowledge and relationships to exploit could already be there, making non-healthcare, higher-ed work a logical extension for them.

So how are you doing here? Taking these steps could help you get more focused on the right clients and projects and that could lead to more success over the long (and short) term.

MARK ZWEIG is Zweig Group’s chairman and founder. Contact him at mzweig@zweiggroup.com.

MARK ZWEIG, from page 1

BUSINESS NEWSKLEINSCHMIDT ASSOCIATES ENTERS STRATEGIC ALLIANCE WITH THE CONSERVATION FUND Kleinschmidt Associates, an engineering, regulatory and environmental consulting firm, announced that they have entered into a strategic alliance with The Conservation Fund.The Conservation Fund has worked in all 50 states to protect more than 8 million acres of land since 1985. Conservation takes many forms, and the fund’s programs interpret and practice conservation in a mutually reinforcing way to make sure the value of natural resources in America remain essential to our prosperity.“Kleinschmidt Associates has a long history of designing and implementing energy and water resource projects that strive to protect and enhance natural resources,” says Scott Ault, chief technical and operations officer with Kleinschmidt. “From designing effective fish passage at hydroelectric facilities to developing wetland mitigation plans for large-scale linear projects, our goal is to develop mitigation approaches that function long into the future and offset all potential impacts to natural resources. In that regard, we were naturally drawn to working with The Conservation Fund and this strategic alliance is a mechanism to formalize our relationship.”The strategic alliance outlines an understanding between the two organizations to collaborate on wetland and stream mitigation and endangered species conservation projects.“The Conservation Fund looks forward to

our collaboration with Kleinschmidt to create meaningful and lasting land, water and wildlife solutions to meet the often-complex mitigation needs of energy and infrastructure projects,” said Roberta Zwier, director of mitigation solutions at The Conservation Fund.“Our expertise in land conservation and Kleinschmidt’s expertise in habitat restoration projects, particularly wetland and stream restoration, creates opportunities to increase the conservation benefit of our projects and expand the suite of services we can offer to our respective clients and partners.”Kleinschmidt Associates performs engineering, regulatory and environmental consulting for North American energy companies and governmental agencies that strive to protect and enhance the natural environment without compromising performance. The firm works at the intersection of regulatory requirements, environmental science, and engineering solutions to achieve its clients’ objectives.For more than half a century, Kleinschmidt has delivered new ideas that offer practical solutions to tough problems and sensitive issues. Kleinschmidt’s goal is to bring energy, water, and the environment into balance so future generations will thrive.The Conservation Fund makes conservation work for America. By creating solutions that make environmental and economic sense, the Fund is redefining conservation to demonstrate its essential role in future prosperity.

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3

THE ZWEIG LETTER July 29, 2019, ISSUE 1306

Almost 30 years ago, Zweig Group launched its first Principals, Partners & Owners Survey. In May, Zweig Group released the 2019 Principals, Partners, & Owners Sur-

vey of AEC Firms. While some things are remarkably similar – the average principal in the AEC industry is still a registered technical professional with a bachelor’s degree, Caucasian, male, and over the age of 40 – quite a few things have changed.

A look at what it means to be a principal in the AEC industry and how this has and hasn’t changed over the past two decades.

O P I N I O N

When Zweig Group first started this survey in 1991, just 45 percent of AEC firm principals had a computer in their workspace. This is a question we no longer have to ask! Technology, staffing, and workplace perks are just a few of the areas we’ve seen major evolution over the past three decades.

Comparing Zweig Group’s just released 2019 sur-vey to the 1999 version, some remarkable similari-ties and surprising differences stand out.

VIRTUALLY UNCHANGED. It’s pretty amazing that the role of principal is reported to be highly reward-ing. In 1999, 91 percent of principals reported that their investment in their firm was worth

more than they paid for it. In 2019, 92 percent felt this way.

Coupled with the perceived value of their invest-ment, principals have not strayed away from personal commitments to their firms. In 1999, 58 percent signed a personal guarantee for some or

Principal like it’s 1999

See CHRISTINA ZWEIG NIEHUES, page 4

Christina Zweig Niehues

“Comparing Zweig Group’s just released 2019 survey to the 1999 version, some remarkable similarities and surprising differences stand out.”

© Copyright 2019. Zweig Group.

All rights reserved. THE ZWEIG LETTER July 29, 2019, ISSUE 1306

4

all of the firm’s debts. In 2019 this was 57 percent.

Big changes come to light when we look at salaries. Principals in the AEC industry have seen large increases in salary, well beyond simple inflation. In 1999, median annual base salary was $100,000 and median total compensation was $140,000. In 2019, me-dian annual base salary was $165,000 and median total compensation was $241,875! Billing rates have also increased – going from $125 per hour to $205 per hour.

Although principals have higher salaries and bonuses/distributions, workplace perks have declined. In 1999, 52 percent of principals had a company car. In 2019, that was just 37 percent. In 1999, 24 percent of principals had a company provided country, health, or social club membership; 20 years later, that number has been cut in half to just 13 percent.

Technology has also changed the way princi-pals work. In 1999, 5 percent still didn’t have a computer in their workspace (in 1991 this was the majority, 55 percent). Although com-puters were present in workspaces, only 86 percent of principals had a unique email ad-dress, 92 percent had internet access at work, and only 77 percent had internet access at home.

In 1999, just like 2019, principals worked a median of 50 hours per week. Two decades ago, 31 percent of principals reported fre-quently working on weekends/holidays. Pos-sibly due to the widespread availability of internet and technology, in 2019, 40 percent report frequently working on weekends/holi-days.

It’s clear the industry has not been immune to the political climate. In 1999, 54 percent of respondents reported Republican, 22 per-cent Democrat, and 21 percent independent. In 2019, 37 percent identified with being Republican, 21 percent Democrat, and 42 percent none/independent.

In 1999, 41 percent were between the ages of 40 and 49, with an additional 44 percent old-er than 50. The industry is aging with many of the same principals sticking it out in their role 20 years later! In 2019, just 16 percent of principals were between the ages of 40 and 49, and 80 percent are over the age of 50.

In 1999, 96 percent of principals were Cauca-sian and just 5 percent were female. Despite what is happening in the larger world, the AEC industry, particularly in the principal role, has not diversified much. In 2019, 90 percent of principals were Caucasian. Slightly more women have made it into the role, now 17 percent of principals are female, but still drastically less than the overall workforce, which is approaching a 50/50 gender split.

Still, principals today by and large don’t feel the industry has a problem with a lack of di-versity. Although 75 percent of women prin-cipals feel this is an issue, just 58 percent of men feel the same.

As recruiting remains the top challenge cited among principals, a focus on diversity and creating a more inclusive workplace is going to become a necessity.

CHRISTINA ZWEIG NIEHUES is Zweig Group’s director of of research and e-commerce. She can be reached at czweig@zweiggroup.com.

CHRISTINA ZWEIG NIEHUES, from page 3

BUSINESS NEWSDEWBERRY’S GSP INTERCHANGE 163 IMPROVEMENTS PROJECT EARNS MULTIPLE ENGINEERING AWARDS Dewberry, a privately held professional services firm, has announced that the Garden State Parkway Interchange 163 improvements received a National Recognition Award at the 2019 ACEC Engineering Excellence Awards competition. The project also earned the ASCE New Jersey Section 2019 Project of the Year <$100 million award.The $67 million GSP interchange 163 improvements were completed in 2018, and helped to reduce vehicular traffic queues from occurring in the high-speed left lanes by the relocation of existing left-side exits to more conventional right-side exits. These improvements helped to alleviate operational and safety issues along both the ramps, as well as both the northbound and southbound GSP mainline roadways.Dewberry’s services included environmental studies; bridge assessments; signage design; maintenance and

protection of traffic; highway, structural, geotechnical, and utility engineering; permitting; and stormwater management.“We’re honored that the GSP Interchange 163 improvements received awards both nationally and locally. These improvements were important for creating a safer highway for the residents of Bergen County and the heavily traveled Route 17,” says Dewberry Senior Vice President Ali Vaezi, P.E.The ACEC Engineering Excellence Awards recognize engineering achievements that demonstrate a high degree of skill and ingenuity among firms.ASCE’s awards are presented for outstanding civil engineering projects that were recently constructed in New Jersey.Established in 1956, Dewberry is a leading, market-facing firm with a proven history of providing professional services to a wide variety of public- and private-sector clients.

2019 PRINCIPALS, PART-NERS & OWNERS SURVEY Zweig Group’s 2019 Prin-cipals, Partners & Owners Survey of AEC Firms is a comprehensive study of owners and top manag-ers of U.S. AEC firms. This eye-opening report covers ownership, stock apprecia-tion, buy/sell agreements, non-compete agreements, voting rights, roles, respon-sibilities, perks, compensa-tion, and more.

The 2019 Principals, Part-ners & Owners Survey has data on the following:

z Principal compensation, benefits, and perks

z Common issues and challenges related to running an AEC firm

z Qualifications, job re-quirements, and demo-graphics of principals, partners, and owners in the industry

z Employment agree-ments, non-competes, and stock buyback pro-visions

z How principals manage time and break down the work day

For the 2019 edition, prin-cipals from across the U.S. in the AEC industry re-sponded to a questionnaire on the topics above. Their responses were then tabu-lated and analyzed.

For more information about this survey, visit bit.ly/PPO1306

THE ZWEIG LETTER July 29, 2019, ISSUE 1306

5

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QUESTIONS?For group rates, or if you have any questions, contact Melissa Swann at 479-305-3357, mswann@zweiggroup.com or visit zweiggroup.com.

JOIN ZWEIG GROUP FOR THE ELEVATE AEC CONFERENCEThe Elevate AEC Conference is the AEC industry’s premiere experience to connect global leaders, solve industry issues, present next practices, and celebrate the most successful firms in the built environment.

Zweig Group’s annual conference is the largest gathering of award-winning AEC firms, making it the industry’s most comprehensive business conference for leaders and aspiring leaders of AEC firms in the US. EXPANDED EDUCATIONAL OFFERINGS This year, the Elevate AEC Conference marks another leap in the evolution of Zweig Group’s annual event with expanded educational offerings focused on firm management, senior marketers and HR professionals covering the latest strategies and emerging trends critical to grow your business.

M&A Next is a full-day symposium (pre-Elevate AEC Conference event) designed to provide M&A education. The conference-within-a-conference will provide practical application through interactive roundtable discussions, expert panel conversations, and focused networking to connect leaders from across the country.

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THE ZWEIG LETTER July 29, 2019, ISSUE 1306

6

P R O F I L E

Growing opportunity: Valorie LoessinPresident of FSC, Inc., a surveying firm servicing oil and gas clients and private developers headquartered in Columbus, Texas.

FSC, Inc. got its start in 1970 as Frank Surveying Com-pany (named after Leonard W. Frank, grandfather of

current executive vice president Matthew Loessin) when he became a licensed land surveyor in Texas. Frank built a successful surveying company servicing mostly private cli-ents and land developers. By the time he retired in 2007, he had successfully surveyed more than 4,000 tracts of land in Texas. In 2004, Matthew and his wife, Valorie, successfully transitioned the company into a full-service surveying firm servicing oil and gas clients and private developers. Today, the legacy continues and Valorie has been the company’s president since July 2016. Her background includes work in both the public accounting industry and in corporate ac-counting for a publicly-traded company.

“With the right attitude and work ethic, we see the young workforce as a true growing opportunity,” Loessin says. “By starting them in entry-level positions, they are able to be-come skilled in their respective positions and grow within the company. We have seen many excel in their positions, advance quickly, and are not only recognized by us, but by our clients as well.”

A CONVERSATION WITH VALORIE LOESSIN.

The Zweig Letter: Do you tie compensation to perfor-mance for your top leaders?

Valorie Loessin: Absolutely. We like to look at top person-nel on an individual basis and continually assess key factors that would warrant an increase in compensation. Increases in client base, creating a larger team to service these clients and the demand of work this brought, as well as productiv-ity of the team are some of the key factors we assess when making these decisions. As a growing firm, we are constant-ly assessing this amongst our top leaders, as we want to en-sure they are well taken care of, which allows them to per-form at their best.

TZL: When did you have the most fun running your firm, and what were the hallmarks of that time in your profes-sional life?

VL: For us, seeing our company grow – obtaining contracts with new clients, being awarded major projects, opening

By LIISA ANDREASSENCorrespondent

© Copyright 2019. Zweig Group.

All rights reserved. THE ZWEIG LETTER July 29, 2019, ISSUE 1306

7

YEAR FOUNDED: 1970

HEADQUARTERS: Columbus, TX

NUMBER OF EMPLOYEES: 80

NUMBER OF OFFICE LOCATIONS: 4

SERVICES:

z Engineering

z Land surveying

z GIS

z Oil and gas

z Construction

z Geospatial

CULTURE: Striving to be ONE

company. FSC aims to maintain

a culture that you typically do

not find with larger companies.

They believe everyone is a

contributor and should feel

comfortable sharing ideas and

opinions.

CORE VALUES: Deliver results

through service. Do whatever

it takes. Embrace change and

drive changes. Be passionate

and follow with determination.

Pursue growth and learning.

Do more with less. Build

relationships – the open and

honest kind. Create fun and

make this a great place to work.

Be creative and open your mind.

new offices, increasing our workforce – there was a thrill in all of it. Each new cli-ent meant growth.

TZL: Describe the challenges you en-countered in building your management team over the lifetime of your leader-ship? Have you ever terminated or de-moted long-time leaders as the firm grew? How did you handle it?

VL: Some of the larger problems we’ve en-countered would be managers that had a drive for their profession and their po-sition, but gradually faded – all for a vari-ety of reasons. For each individual circum-stance we tried to find ways to alleviate the problems, to address any issues, change things up if need be. While we have never demoted long-time leaders, they may not have received a promotion or advancement over someone newer, someone that con-tinued to follow our tenacity for growth.

TZL: How do you promote young and new leaders as the firm grows?

VL: As our company grows and new posi-tions evolve, we find this to be the best op-portunity to promote our younger and up-and-coming staff who have proven them-selves to be best for the respective posi-tions. We can tailor these positions to ben-efit both the employee and the company by creating a position that highlights their strengths and how they best contribute to the company and their teams, while allow-ing them to also advance within the com-pany.

TZL: In one word or phrase, what do you describe as your number one job respon-sibility as CEO?

VL: Nothing is excluded from this respon-sibility.

TZL: What happens to the firm if you leave tomorrow?

VL: My husband is executive vice president and would continue to run the company

with the same drive and passion as he did when we first started.

TZL: If the worker shortage continues, do you see wages increasing to encour-age more talent to enter the AEC space, or will technology be used to counter the reduced workforce?

VL: I believe it’s a combination of both. For what technology cannot provide, increased wages are the most effective tool to retain those employees who are essential and to entice a new workforce.

TZL: There is no substitute for experi-ence, but there is pressure to give re-sponsibility to younger staff. What are you doing to address the risk while pur-suing the opportunity to develop your team?

VL: With the right attitude and work ethic, we see the young workforce as a true grow-ing opportunity. By starting them in en-try-level positions, they are able to become skilled in their respective positions and grow within the company. We have seen many excel in their positions, advance quickly, and are not only recognized by us, but by our clients as well.

TZL: A firm’s longevity is valuable. What are you doing to encourage your staff to stick around?

VL: Our staff is our greatest asset. We try to create an environment in which every-one feels as though they are part of not just this company, but part of something greater. Each person is essential to the suc-cess of the company, and we could not be who we are as a company without each and every person. Recognition, raises, rewards, and bonuses are our main incentives for employees to ensure they are happy in their positions and with the company.

TZL: Benefits are evolving. Are you offer-ing any new ones due to the changing de-mographic?

VL: Benefits play such a large role in at-tracting new employees and retaining

See GROWING OPPORTUNITY, page 8

“With the right attitude and work ethic, we see the young workforce as a true growing opportunity. By starting them in entry-level positions, they are able to become skilled in their respective positions and grow within the company.”

“Our staff is our greatest asset. We try to create an environment in which everyone feels as though they are part of not just this company, but part of something greater.”

© Copyright 2019. Zweig Group.

All rights reserved. THE ZWEIG LETTER July 29, 2019, ISSUE 1306

8

current employees. It seems to be an area we are constantly evaluating. Are we following our industry, are we competi-tive with our competitors, and, most importantly, are we open-minded to ideas that may be different, new, or that present themselves to us? Increasing 401(k) match, increas-ing vacation hours per year, and subsidizing tuition costs for employees seeking advancement in our field during em-ployment are several examples of benefit changes we have made to cover the spread of demographics within our com-pany.

TZL: Are you currently pursuing the R&D tax credit?

VL: Yes, however this is being done through an outside con-tracted firm that specializes in this area.

GROWING OPPORTUNITY, from page 7 “Recognition, raises, rewards, and bonuses are our main incentives for employees to ensure they are happy in their positions and with the company.”

BUSINESS NEWSSVA ARCHITECTS RECEIVES FOUR PCBC GOLD NUGGET “AWARDS OF MERIT” Demonstrating its excellence in an array of design genres, SVA Architects, Inc. has earned four 2019 Gold Nugget Awards of Merit. The Gold Nugget Awards is part of the annual PCBC® event (formerly known as the Pacific Coast Builders Conference), the nation’s largest regional real estate development conference and trade show. The Gold Nugget Awards is considered one of the Nation’s most competitive and prestigious design competitions. Representing a diverse portfolio, receiving these Awards of Merit demonstrates SVA’s excellence in urban mixed-use, affordable, event center, and higher education design.This year’s 56th annual Gold Nugget Awards will recognize outstanding architectural design and planning achievements in more than 50 building categories, including mixed-use, indoor-outdoor lifestyle, educational, special use, senior housing, and more. Eliciting submissions from around the world, this year’s competition drew more than 600 entries. SVA’s 2019 Gold Nugget Merit Award-winning projects include: z Jordan Downs Phase 1B (Los Angeles,

CA) – Judges Special Award of Excellence. One of only three projects receiving a Judges Special Award of Excellence, Jordan Downs is an investment in a long-neglected Los Angeles neighborhood. The master plan by SVA in collaboration with Mithun | Solomon calls for nearly doubling the number of units from 700 to 1,375, retaining the same number of affordable units while adding market-rate housing to diversify the neighborhood. Developed by The Michaels Organization and the Housing Authority of the City of Los Angeles, Phase 1B is comprised 115 new affordable units, replacing the superblocks of barrack-like housing with a grid of small-scale pedestrian-oriented streets. The new housing is intended to match the scale and character of the surrounding single-family neighborhood, with front doors immediately connecting to pedestrian paths. At the heart of the design is a 4.6-acre Central Park and Jordan Downs Community Center.

z Legacy Square (Santa Ana, CA) – Best

On-the-Boards Affordable Housing Community. Earning a Merit Award in the Best On-the-Boards Affordable Housing Community category, Legacy Square, developed by National Community Renaissance® and Mercy House, is a mixed-use development consisting of 93 residential units, 7,767 square feet of flex mixed-use space, and a 2,576 square feet community center. Ninety percent of the units are proposed as affordable to households earning less than 60 percent of the area median income, of which 33 units are designated as Permanent Supportive Housing. In addition to numerous on-site amenities, the development will host an on-site Service Coordinator to connect residents with a variety of community resources. Located at a future OCTA (Orange County Transportation Authority) OC Streetcar stop and only 0.7 mile from Santa Ana Regional Transportation Center, Legacy Square addresses the community’s significant need for affordable and transit-oriented housing.Ernesto M. Vasquez, FAIA, CEO of SVA Architects, states, “For projects like Jordan Downs and Legacy Square, there’s a partnership trio that is critical in bringing the project to fruition: A non-profit partner to provide services, a for-profit group for financing, and the public agencies that can unite the community and partners behind a cohesive vision. These projects are a result of that three-part synergy, and they represent the best in urban development that takes into account local services, job growth, social integration, and community needs.”

z California Baptist University Events Center (Riverside, CA) – Best Special Use Project. Earning a Merit Award in the Best Special Use Project category, the new California Baptist University Events Center, developed by CBU, provides a space where students, faculty, and the surrounding Riverside community can celebrate the dynamic university population. The two-level, 5,050-seat Events Center – which can expand up to 6,000 seats – is the largest indoor gathering space on the CBU campus

and can accommodate a variety of events. The building was designed to complement the Mission Revival architecture that is a hallmark of the CBU campus. The versatile nature of the new facility will allow the University to embrace future technology and trends, while honoring its heritage of excellence in higher education.

z Chaffey College Academic Villages at Chino and Fontana Campuses (Chino, CA & Fontana, CA) – Best Educational Project. Receiving a Merit Award for Best Educational Project are the Academic Villages at Chaffey College District’s Chino and Fontana campuses. The Academic Villages provide a place where students can dine, socialize, and study. The Villages accommodate a campus store, instructional spaces, a student lounge, public safety office, and outdoor seating. Developed by Chaffey College, the project makes use of upcycled shipping containers and permeable surfaces to minimize campus impacts. The emphasis on sustainability serves as an educational tool itself, reinforcing Chaffey College’s vision and associating the spaces in which students learn and socialize with the viable, comfortable solutions of tomorrow.

Robert Simons, AIA, President of SVA Architects, states, “Since its inception, SVA has built an outstanding relationship with numerous education clients. It’s very rewarding for us to have these projects recognized with prestigious Gold Nugget Awards of Merit. We’d like to thank the judges for honoring these extraordinary projects and recognizing the value they bring to so many students.”Founded in 2003, SVA Architects has become one of the Country’s most innovative and respected design and planning organizations. The award-winning firm specializes in urban planning, architecture, and interior design of public, private, and mixed-use projects. Among the firm’s portfolio are civic, educational, residential, commercial and mixed-use developments. SVA Architects values institutional and public environments as the foundation of a community and the backdrop against which we live, learn, work, worship, and play.

9

THE ZWEIG LETTER July 29, 2019, ISSUE 1306

You never know where a lead might come from. Architect Cami Manley heard that a major insurance company planned to build a new headquarters in Des Moines,

Iowa. It was early in the process with no designer on board yet. Cami quickly reached out to experts within her firm to put together the best team for an introductory meeting with IMT Insurance. Initial meetings went so well that the project team rolled into design without going through a competitive request-for-proposal process. Today, the new headquarters is open for business and exemplifies a one-firm success for Shive-Hattery.

Connections across teams and offices increase employee engagement and performance, but the connections must be fostered.

O P I N I O N

The IMT story represents the best of working as one firm: Creating exciting opportunities for employees; and providing the best value and most creative solutions for clients. Our one-firm philosophy is an umbrella strategy to accelerate growth by instilling a strong culture of collabora-tion, knowledge sharing, innovation, and connect-edness.

The benefits of behaving as “one” are many. You feel part of something bigger and better as one firm. With more natural connectedness and com-munity you create more meaningful relationships across the firm, effectively growing social capital. This leads to better retention of employees and exciting opportunities like the IMT headquarters.

A highly networked organization compresses the time to learn new skills. Nick Hatz, a young civil engineer, participated in Business Development University and the Leadership Development Pro-gram.

Success as one firm

Greg Kanz

See GREG KANZ, page 10

IMT Insurance, courtesy of Shive-Hattery.

“Our one-firm philosophy is an umbrella strategy to accelerate growth by instilling a strong culture of collaboration, knowledge sharing, innovation, and connectedness.”

© Copyright 2019. Zweig Group.

All rights reserved. THE ZWEIG LETTER July 29, 2019, ISSUE 1306

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“These programs gave me a better understanding of busi-ness overall – leadership versus management, the philoso-phy of professionalism, business acumen, soft skills/emo-tional intelligence, marketing, and business development,” Hatz says. “The other wonderful outcome was time carved out of a busy schedule to meet people from different of-fices, backgrounds, and roles to feel more connected and comfortable as one firm.”

On this journey as one firm, employee engagement is cen-tral to the philosophy. This means employees are doing what they want to do, what they are good at, and what the company needs. This sweet spot is where meaningful work and learning happen. That’s why instead of measuring “sat-isfaction” Shive-Hattery is consistently checking the pulse of employee engagement. This is done through ongoing coaching, not performance reviews, and an employee en-gagement survey every 18 months. Employees respond to questions in 10 areas:

z Communication

z Feedback mechanisms

z High-performance culture

z Leadership (it starts at the top)

z Engagement of first-line leaders

z Personal engagement

z Rewarding the right behaviors

z Creating a motivational culture

z Tracking and communicating progress and success

z Hiring and promoting the right behaviors and traits for your culture

“Average Percent Agree” results are compared with the norm of 130 AEC firms. You then know how you stack up with your competitors. Best-in-class comparisons are the top 15 percent of “all industries surveyed” (with a three-year rolling window). This includes companies outside the AEC space. Both perspectives are good to know as you seek to make your firm better and become best-in-class. Some things we measure to gauge progress as one firm include:

z I am well informed about the financial performance

z I am committed to Shive-Hattery as a career opportunity

z I am informed about what is happening

z There are real opportunities here for meaningful career and professional advancement

z We have quality training opportunities to improve skills

z There is adequate communication between disciplines

z There is adequate communication between locations

Another interesting insight is visualizing work sharing across teams and offices. Revenue follows the employee at Shive-Hattery so we can create an import-export visual-ization between locations. Line thickness represents the amount of work flowing between offices. This daylights work sharing in a unique way and generates conversation about how we can share work in a better way.

Other future one-firm metrics we’re considering are track-ing the number of multi-office pursuits and projects – again to daylight the collaboration happening across the firm. Mentoring, marketing, and presenting will be tracked by a “one firm” time code. If you take time to mentor someone in a different location, you can use this general administration number to daylight this beneficial activity. The company rewards and recognizes those who take time to do these activities.

Finally, we’re gamifying awareness of markets, services and experts throughout our 400-person firm. The “You Do What?!” quiz on the company intranet is brief and asks questions about particular markets, services and experts. Employees who do well on the test have a chance to win a prize. More than 50 employees participated in the first quiz, with 12 people earning 100 percent.

“You Do What?!” videos are funny, two-minute features with experts explaining what they do. Interviewed by a fictitious host, Marcus Wellington, experts answer ques-tions and explain what they do day-to-day. It’s a fun way to recognize employees and increase awareness.

GREG KANZ is marketing director for Shive-Hattery Architecture-Engineering. Contact him at gregkanz@shive-hattery.com.

GREG KANZ, from page 9

ON THE MOVECLAYCO WELCOMES JAMES HAVEL AS EXECUTIVE VICE PRESIDENT AND CHIEF FINANCIAL OFFICER Clayco, a full-service turnkey real estate, architecture, engineering, design-build and construction firm, announced today that James M. Havel has been named executive vice president and chief financial officer of Clayco Enterprise.In this role, Havel will work directly with Tony Schofield, who remains CFO of the individual Clayco businesses. Over time Tony will continue to grow his focus towards strategic initiatives. Together, Tony and James will steer the financial systems and performance.“We are pleased to have a professional with Jim’s financial and operational expertise, as

well as proven experience with some of St. Louis’ most respected organizations,” said Bob Clark, Chief Executive Officer of Clayco. “Given the dynamic nature of our industry, we are fortunate to have someone join our finance leadership team to help insure we take full benefit of the challenges and opportunities associated with the significant growth we have experienced.”Before joining Clayco, Havel served as EVP, Chief Financial Officer of Express Scripts and Major Brands Holdings, a privately-held beverage distribution company. He also spent more than 34 years with Ernst & Young LLP, where he began his career in 1976. During his time with Ernst & Young LLP, Havel served as an

audit partner and in a number of firm leadership roles, including as managing partner of the St Louis office. Havel is a member of the board of directors of Enterprise Financial Services Corp. and is a Certified Public Accountant.Clayco is a full-service, turnkey real estate development, master planning, architecture, engineering and construction firm that safely delivers clients across North America the highest quality solutions on time, on budget, and above and beyond expectations. With $2.6 billion in revenue for 2018, Clayco specializes in the “art and science of building,” providing fast track, efficient solutions for industrial, commercial, institutional and residential related building projects.

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THE ZWEIG LETTER July 29, 2019, ISSUE 1306

As you can imagine, stand-up comedy can make you a better presenter. After all, it’s one of the hardest forms of public speaking you’ll ever do (aside from effectively

teaching second graders), which means if you can do okay in stand-up, all other types of business presentations will seem easier. But stand-up comedy can also make you a better leader.

It might sound a bit odd, but there’s plenty of things the C-suite can learn from stand-up comedians.

O P I N I O N

The majority of my leadership training has come from two places: 1) the internal leadership development program at Procter & Gamble, and 2) stand-up comedy. The first is expected. P&G is a promote-from-within company, so they have to have good leadership training. The second is surprising, but has been just as valuable in my career development.

Here are five important ideas leaders can learn from stand-up comedians:

1) Start strong. The most important part of any stand-up set is the first 30 seconds. It is in that small timeframe that an audience decides if you are worth paying attention to.

Those first 30 seconds are just like the first 30

seconds of any recommendation or proposal you give at work. Some people know this concept as “head nodding” – get people in agreement early on, make them realize you’re funny, and they are much more likely to agree with you later.

In standup, a good introduction relates to some-thing the entire audience can be a part of, such as a joke about the city, something a previous comic said, or the ridiculousness of your own voice. In the business world, that may mean starting off a presen-tation by establishing that you are all on common ground. If you are proposing a solution to a problem or “opportunity,” confirm with the audience that you all agree that there is, in fact, a problem, and you agree on what it is. Then, once they’ve settled in and

Leading while laughing

Andrew Tarvin

See ANDREW TARVIN, page 12

© Copyright 2019. Zweig Group.

All rights reserved. THE ZWEIG LETTER July 29, 2019, ISSUE 1306

12BUSINESS NEWSACTON CONSTRUCTION, INC. LAUNCHES ACTON ADU, A NEW COMPANY THAT SPECIALIZES IN ACCESSORY DWELLING UNITS Acton Construction, a residential building company operating in the Silicon Valley for 30 years, has launched Acton ADU, a company specializing in designing and building customized accessory dwelling units (while also navigating changing California regulations), with a focus on long-term family planning.Founder, Stan Acton, a long-time California housing advocate, created Acton ADU to both meet the demand for knowledgeable and specialized accessory dwelling units builders, and to make a positive impact on the California housing shortage by offering a

holistic approach to long-term housing plans for homeowners.Acton shared, “The shortage of housing is a major issue in California. One that can’t be solved without expanding capacity within existing city boundaries.” Acton continued, “With multigenerational living on the rise, we help homeowners create long-term plans for their families who want to retire, need to accommodate aging parents, help young adults just starting out on their own, and as a future investment.”Acton ADU is ultimately a full-service company that specializes in accessory dwelling units architecture and interior design,

navigating code regulations in 19 city or county jurisdictions, as well as the complete construction of fully liveable accessory homes.Acton ADU is a Northern California company founded by family housing advocate, Stan Acton. The company specializes in designing, navigating, and building personalized accessory dwelling units for homeowners that want to benefit from a long-term family housing and investment plan.Acton ADU is based out of Campbell, California and serves 20 cities and jurisdictions in the San Francisco Bay Area’s Silicon Valley for more than 30 years.

have already been nodding along (not nodding off), you can transition into the meat of the meeting.

2) Deliver with confidence. Comedy is a mixture of both con-tent and delivery. Yes, the material itself has to be good, but so does the delivery. In fact, delivery can often make up for weaker material – just look at Dane Cook’s early career. The jokes weren’t mind-blowingly funny, but his delivery of it was.

The same is true for leading others. If you’re not confident in what you’re doing, it will be much harder for people to fol-low you. As Adlai Stevenson said, “It’s hard to lead a cavalry charge if you think you look funny on a horse.”

The key to improving your confidence as a leader is the same as developing it as a comedian – through practice and repeti-tion. The more often you do something, the easier it tends to become and the more comfortable you get.

3) Seek feedback. Comedy, in a way, is simple. How do you know something is funny? It makes people laugh. The only way for a comedian to know if people will laugh at the joke is to try it out and see. The immediate feedback they receive on stage is invaluable as a performer.

Similarly, feedback to a leader is crucial. Stopping to ask for ways to better connect with each of your direct reports, im-prove a presentation, or what went well in a particular meet-ing can guide you in finding what works and what doesn’t. Then you can start working on the right things – working smarter and not harder.

One key thing to note is that feedback doesn’t just have to come from other people. Comedians record their performanc-es so they can go back to evaluate a performance. Checking in with yourself periodically, or tracking your daily progress, can help you find what is and isn’t working for you.

4) Give credit where credit is due. The cardinal sin of stand-up comedy (just after murder) is stealing material. Taking some-one else’s jokes and pretending they are your own is like buy-ing a Coke, putting your own label on it, and selling it as Joe’s Soda. After all, jokes are the primary product that comedians “sell.”

In management, to take credit for what other people have done is not only dishonest, it’s limiting for both you and your team. Your team doesn’t get the proper recognition they deserve, and you don’t showcase your ability to inspire your team to great results.

Taking credit and stealing material may help you get ahead in the short-term, but in today’s world, the frauds and the thieves tend to get found out and left behind.

5) Respect peoples’ time. The second biggest sin in comedy is going over your allotted time (called “blowing the light”). Nearly every comedian imagines they could entertain the crowd for hours upon hours, but (thankfully) shows typically limit the amount of time each comic has, often based on their skill-level or connection to the show. To go over the amount of time given is to tell the show producer and all of the other comedians, “I think I’m more important than you,” and, “I don’t respect you.”

When you, as a leader, hold people longer than the scheduled time, or consistently show up late to meetings, you’re saying the same thing: “I think I’m more important than you,” and, “I don’t respect you.”

Respect people’s time and they’ll respect yours (and you) for it. If you need help keeping meetings on track, you can always do what comedians do: give people a notification when their time is almost up and then cut the mic if they go on for too long.

Becoming a stand-up leader isn’t easy, but following some of these principles from stand-up comedians can certainly help. Plus, this is the perfect excuse to finally give stand-up comedy a try or at least watch some of your favorite comedians online. You won’t just be having a laugh, you’ll be on your way to becoming a better leader as well.

ANDREW TARVIN is the world’s first humor engineer, teaching people how to get better results while having more fun. He is the author of Humor That Works: The Missing Skill for Success and Happiness at Work and CEO of Humor That Works, a consultancy for human effectiveness. For more information, please visit humorthatworks.com and connect with him on Twitter, @drewtarvin.

ANDREW TARVIN, from page 11

“Becoming a stand-up leader isn’t easy, but following some of these principles from stand-up comedians can certainly help. Plus, this is the perfect excuse to finally give stand-up comedy a try or at least watch some of your favorite comedians online.”