Do We Need Generational Education?

Well, I was touching up my blog today and noticed that I officially turned 1 year old in April. It's really seems like yesterday that I figured putting a blog together would be a good outlet for my thoughts. I hope that you've found points of interest as well!

Lately I've been speaking with a lot of people on the topic of generational communication and more specifically the barriers that exist in today's workforce (due to 4 generations occupying the same space).

As technology, medicine, etc. progresses, it's only logical to surmise there will be more generations in the work force. Currently we have 4 (and an approximate avg age). Y (22), X (33), Baby Boomers (median 47), and Traditionalists (58). I have seen a slight variance in these ages, but for argument's sake, the population can be categorized mainly by generational influences that shaped them (e.g. war, economics, inventions, parental upbringing). Of course there are always exceptions to the rule.

Now, whether you were shaped by WWII or Vietnam or the Internet, it probably had a very different impact on you and your peers. Why is it that we believe younger generations (or sometimes older) should be "more like us?" It seems to me to be one of the most important aspects in (any) business to understand and accept one another. Freedom of communication and candor only allow progressive, creative minds to flourish.

Generational education for ALL employees, even as simple as a short session called the "history of (insert your generation here)" held bi-annually could prove extremely effective in alleviating communication difficulties. In fact, I would say that at least 50% of all arguments stem from misunderstandings. Isn't that enough reason to dedicate some of your time to learning and respecting each other?

With management mandating generational specific education for ALL employees you can create fun, team building sessions that also enhance corporate synergy, inter-extra office communications and eventually bottom line.

Who's In a Recession? You Are!

I stopped listening to NPR and reading the news awhile ago. Not because I didn’t want to listen to current events, but mainly because I was sick of hearing about the economy.

Today I heard that, by definition, the economy is in fact NOT in a recession. 2 consecutive quarters of shrinking GDP is apparently the red flag…however today it was reported that the economy actually GREW this past quarter.

In the AEC industry some firms have felt the rippling effects of the media circus surrounding grim economic forecasts. In my mind, this consumer uncertainty is a self-fulfilling prophecy driven by mainstream media—and anyone who consistently adheres to those “grim forecasts” is likely to find themselves a part of it.

While many firms struggle, however, there are others who are making a profit. There IS money somewhere. It hasn’t just disappeared. The only thing is that there’s less of it being handed out—and when money isn’t just handed out, mediocre firm’s profit margins take the hit while sustainable, pliable firms are continuing to do what they’ve always done: creating value.

Unfortunately for mediocre firms they find excuses to support their (business sustainability) negligence. They chalk it up to a recession—and the media only fuels this rationale. Of course the market place has its cycles, hasn’t it always?! What baffles me is that if this sinusoidal model is common knowledge, why the heck are businesses not adapting and adjusting to roll with that wave—and instead getting washed away with it? My guess is short-term, inflated value. Just one of the many flaws in a society of rush-rushism.

Outsourcing HR? Terrible Mistake

I was flipping through the “Hot 100 Businesses” in the last issue of Entrepreneur the other day and noticed something: a lot of these firms are staffing agencies. This got me thinking: why has HR become a necessity for outsourcing?

I would surmise one of two things: either HR departments (and I’m just talking AEC) are understaffed or lazy. Don’t get me wrong, HR is probably one of the most important functions of a business—but it’s interesting to see how much people are willing to pay to not have to recruit or hire potential employees.

I think AEC firms are making a mistake in not maintaining a fully functional HR department. As per the aforementioned statement, “HR is probably one of the most important functions of a business.”

I like to view HR as a revolving door. Everything that intricately associates with your firm enters and exits there. In addition, HR is partially responsible for the well-being of your people! Word of Mouth advertising (whether good or bad) is largely driven by HR, for something as vital as the portal of your company why not pour in ample resources for it to function at the top of its game?

Now we return to our staffing agency situation. I think HR departments are understaffed and rationalize the need to properly fund HR at their firm by outsourcing and saying “it’s not my problem.” This is NOT the way to go. Outsourcing one of your most important functions only adds extraneous layers to your business model. It’s one more ear to whisper in (a la the children’s game telephone). If you look at long-term value, the cost of managing a great HR department in-house outweighs the cost of replacing 50% of your hiring pool every year because of mismatched employees.

Making sure that HR is well taken care of and receives the necessary resources to ensure the well-being of your people is an investment that is sustainable and well worth the cost.

Message Mixing in Today’s AEC Environment

We get hit with hundreds of messages everyday—and usually that’s not even going online! Depending on how much you drive, check email, surf the web, watch TV, listen to the radio…or just walk down the street—that number could easily rise into the thousands.

Getting bombarded with advertising and marketing on a daily basis will cause anyone to become desensitized. Sooner or later, someone figures out a new tactic—and it works—for awhile. The thing is if it does work, then everyone jumps on it, causing that medium to quickly become over-stimulated. And over-stimulation only elicits message indifference—leaving us at square one.

The AEC industry is filled with many “follower” firms to adhere to this bandwagon strategy. That is, not many are apt to be innovative and edgy. Not many are willing to do things a different or unique way. Does it hurt the bottom-line that they neglect this novelty? Perhaps. Though, an argument might be made that engineers and architects (and potential clients) don’t and have never really care about those things. Well, perhaps that’s accurate. SOME might not—but the reality is that a lot do.

In this industry, a marketer’s most difficult task is to find their place in the wide world of messages. In order to do so, why not open up the box and push the envelope? Instead of pouring thousands of marketing dollars into typical advertising, why not revert back to a more classic direct mail campaign or a client-interview approach? If you do wish the spend your budget through directories, sponsorships and print advertising, why not adjust your marketing-mix to strike a new or unique medium? Something that other firms don’t? Radio? (non AEC) Magazines? Billboards? A Hotel? What you’re doing is creating placement that doesn’t get lost in the wash. You’re branding—not selling. Who goes flipping through a magazine looking to find an architect to build their next elementary school? No one. But who remembers your name and company when they saw your billboard everyday on the way to work? The recognition gets you one step closer to the trust that it takes for someone to take that leap with your firm. And then, well they’re yours to lose.

Present day marketing requires finding new ways to consistently move ahead of what the rest of the industry is doing—and it is clearly evident that more attention should be focused on this topic in the coming years—as business development departments fight for clients and human resource departments fight for prospective employees. Oh yeah…and then there’s the 78 million person generation exiting the workforce…

Customer Relationship Management (CRM) for the AEC Industry

Magical. Marvelous. CRM genie in a bottle is often the way sales reps paint the picture for relationship management software. Often times, busy executives looking for a quick fix to their business solutions are the ones taking the bait.

Who can blame those reps? They're just doing their jobs. Because CRM software is a useful tool and can actually be beneficial to those who need it and understand it FIRST, I personally think there is nothing wrong with what CRM reps are doing. The responsibility falls into marketing professionals with influence at the top.

Because I work with a company that has fallen into the "pretty picture" trap I only offer a few suggestions on how to go about conducting the proper due diligence before jumping in.

First, know what your business goals are. Have focused direction and your employees on board. Make sure that your top-levels are on board.

Second, begin your research and explore all options. Some CRM software is for big fish, some for small. Know what you are and how these tools can help you achieve your business goals. Also, talk to those who've implemented before and understand their lessons learned.

Third, conduct your cost-benefits analysis. Does it make financial sense? Include cost of populating and upkeep. These are general costs you can calculate through bill rates and estimated manhours your research gathered (in step 2).

Fourth, using management's assistance, promote it to the company. Use creative techniques and establish handbooks or standards for the company to follow. No one likes a system they don't understand. Make sure everyone knows what it is and how it might help.

My firm never got past the implementation stage...because we didn't fully plan for the system, we just bought it and hoped it would create itself.

We did learn a valuable lesson, however, and next time around when we're ready to consider CRM we'll have a much more realistic and effective approach.

Educating Top Level Management about Marketing

Why isn't marketing being highly regarded in the industry? That is, why is only 5 or 6% of annual revenue being poured back into work and potential employee generation?? I think the problem is hidden at the executive level--and in that problem is a solution.

I think the responsibility is in our hands to convince those at the executive level of our worth. We can do this by making sound decisions, following through on our initiatives and actions, and delivering results that impact (and reflect) the bottom line.

The respect has long been absent from our industry...it's up to us to become the "experts" of our field--so that when someone thinks of marketing, they think of consulting us.

Unfortunately, the majority of professionals at the top are technical experts by trade. Now consider this...you've spent 20 plus years developing skills as a technical expert, sure BD might come naturally to you (if you're an extrovert). You might even go as far to group marketing into that knowledge bank and assume since you understand BD you MUST understand what "marketing" is as well.

Well, heck, I understand how a storm water management plan is done, but I wouldn't suggest doing one...that's a civil engineer's JOB! THEY'RE THE EXPERT! Now let me do my job.

So, how do you educate someone who thinks they understand something just because they've been around for awhile? First I'd say respect their opinion because it does matter. Second I'd say research and develop bottom-line arguments. Develop dollar figures for everything you suggest. Especially your returns. Third I'd say enlist the help of other "business" people, such as BD, HR, IT, Accounting, etc. The fact is we're all in this together and there's no problem with helping each other when in need.

I believe that right now marketing professionals in this industry are revolutionizing our field. I love being around as it happens. I think it's up to us as marketers and business developers to EDUCATE our top levels and anyone else who lends an ear through quality research, analysis, logic, and numbers--because that is what comes naturally to many of those at the top.

Understanding another person's perspective is our key to being understood.

Progressive marketing: eliciting change

Progressive marketing is a concept that is both elusive and difficult to sustain. It means thinking and reacting ahead of time to prepare for what will happen in the future. Of course, one can only look and predict so far into the future—and there is always that sense of inaccuracy.

The recent SMPS VA conference in Charlottesville posed progressive marketing as its topic. During the two-day conference, we (and by “we” I mean the approx. 50 people there) had a chance to discuss different ideas and concepts that could help us “predict” more in our jobs.
At the end of the day however, I was left unsatisfied. I felt as though we talked and talked about how important “marketing” was in the AEC industry—however, I still see the same reactive approach around me. Of course I know change takes time, but I left the seminar feeling no closer to finding action that defines the change than I was before. I did however, have many thoughts and ideas spinning through my mind that I have JUST now had a chance to write down. I know, silly me.

1. Change takes time and the right people—in order to change our industry, we must be on the same page and work together.

2. Progressive thinking takes time and change! If it takes the weekend, then by all means, I’m willing to put that work in so I can think clearly and away from the reactive sense of the work week. Starting from scratch, throw EVERYTHING out of the window. Start simple. Think about processes that can be streamlined and duplicated and then use technology as a TOOL FOR CHANGE. Set the standards and determine measurability tactics. Then try it! If it doesn’t work, tweak it. Repeat the process.

3. Remain creative and open-minded. Keep up the marketing chatter. Spout off your good ideas. Have a meeting in a different location every week. Rather than stay inside for a meeting go to the park—or walk around the block. Business can be done ANYWHERE, being static only means being uncreative.

4. Make your department a department. Make sure that you have ideas and fact supporting your ideas. Measure and report them. Have fun while you work—after all, it’s just life. Other departments might actually take a page out of your book. Be infectious.

I think the bottom line is that you have enough “right” people to make the change in your industry. There are very few innovators in the AEC world but a lot of followers. Once a marketing department begins doing things, doing them well AND being profitable, then it seems like everyone just HAS to do it—however very few can duplicate the process because they don’t have the right team.

Once the right team is in place, it’s only a matter of pushing one another to succeed and that passion for success will determine the department’s ability to elicit positive, progressive marketing.