Table of Contents January 2007

Features

• Web Extra: Additional Reading Materials for "The New Recruits"

  Got an urge to learn more? Fernando Pagés Ruiz recommends the following books for helping U.S.-born remodelers and builders bridge the gaps between their U.S.-born employees and the foreign-born population.

   
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  The New Recruits

  The future of the remodeling workforce is alive and well in Lincoln, Neb., where the nine employees of diverse-by-design Brighton Construction are still excited about their careers.

   

• Are You Culturally Aware?

  Test yourself with these questions on cultural awareness.

   
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  The Next Wave

  Have you built a presence among Hispanic customers in your market? If not, consider that they are the fastest-growing ethnic group in the U.S., and their incomes are growing rapidly as well. This group will be a significant market for remodelers, if not immediately, then very soon.

   

• Added Value

  Benefit costs are skyrocketing, but they're becoming increasingly essential to retaining a loyal and productive workforce. In the first of a three-part series, REMODELING looks at how benefits affect the bottom line.

   

Reader Panel

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  Multicultural Clients

  The results of a REMODELING survey regarding multiculturalism on the job.

   

Other Articles

• Web Extra: Additional Reading Materials for "The New Recruits"

  Got an urge to learn more? Fernando Pagés Ruiz recommends the following books for helping U.S.-born remodelers and builders bridge the gaps between their U.S.-born employees and the foreign-born population.

   
• 

  The New Recruits

  The future of the remodeling workforce is alive and well in Lincoln, Neb., where the nine employees of diverse-by-design Brighton Construction are still excited about their careers.

   

• Are You Culturally Aware?

  Test yourself with these questions on cultural awareness.

   
• 

  The Next Wave

  Have you built a presence among Hispanic customers in your market? If not, consider that they are the fastest-growing ethnic group in the U.S., and their incomes are growing rapidly as well. This group will be a significant market for remodelers, if not immediately, then very soon.

   

• Added Value

  Benefit costs are skyrocketing, but they're becoming increasingly essential to retaining a loyal and productive workforce. In the first of a three-part series, REMODELING looks at how benefits affect the bottom line.

   

View Point

• Figure This

  Statistical snapshot for the month of January.

   

• Some Like It Hot

  Although being in a hot housing market sounds like a winning proposition for remodelers, the truth is that there are some downfalls.

   
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  RMI Optimistic

  Remodeling activity increased during the third quarter of 2006, according to the latest release of the Remodeling Market Index (RMI). However, the current conditions portion of the index jumped more than two points (to 47.8), but still remains well below 50, which is the watermark for what is...

   
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  Transition Time

  A report to be published next month by the Joint Center for Housing Studies at Harvard University (JCHS) examines the drivers of the boom, where the remodeling market will look to help it bounce back and continue to grow, and where we might end up in 2015.

   

• Pilot Error

  Like commercial pilots, we have analytic tools we can use to determine whether we are still on course and meeting our goals, indicators that tell us if our businesses are functioning properly.

   

Commentary

Linda Case

• Previewing Growth

  It doesn't take a fortune-teller to predict that change will be the one constant as your company grows. Change never stops. Here are some peeks into that world beyond.

   

Mark Richardson

• New Direction

  Rather than argue with the data, I think it's helpful to think about what consolidation would mean to the industry and why it might be beneficial.

   

Shawn McCadden

• Identity Crisis

  Experience teaches that until owners, managers, and employees can separate their identities from their roles, they may be personally affected by the comments, attitudes, and expectations of their clients and co-workers.

   

Guest Columnist

• Sunk Costs

  Humans are alone in the animal kingdom in their unwillingness to grasp the concept of sunk costs. We would rather throw good money after bad to the point of ruin rather than acknowledge an error. How do you figure out if a situation is untenable, and how do you know when to walk away?

   

Your Business

Ways + Means

• Do the Right Thing

  Jake Schloegel and his team in Kansas City, Mo., have worked hard to put ethical behavior at the top of their list of core values. These efforts were recently acknowledged by the Society of Financial Service Professionals, which awarded Schloegel the American Business Ethics Award, a national award...

   

• By Law: Arbitration

  Arbitration clauses in a contract can force a customer dispute into a private forum for permanent resolution, rather than using the court system to resolve it. Arbitration can avoid the risk of runaway jury awards. That also means that a large number of lawyers, who might take a case hoping to get...

   

• Compliance Made Easy

  To help make things easier, the BGI and the Small Business Administration manage a one-stop federal compliance Web site

   

• A Year-Round Incentive

  Bonuses are a pleasure to give when they improve profitability and productivity. Develop guidelines for when and how you'll distribute bonuses, but be flexible to account for variables such as weather, and to encourage team-work on all jobs, not just those that are clear moneymakers.

   
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  Integrity Rewarded

  The remodeling industry doesn't always have the best reputation. To change public perception, many companies choose to enter competitions like those sponsored by the Better Business Bureau.

   

Bottom Line

• Communicating Collections

  A quick primer on the best practice of collecting monies owed.

   
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  Sign Language

  Remodeler Kelly Vogan considered a signing bonus something reserved for athletes--that is, until he began using one.

   

Sales + Marketing

• Sales School 101: The Way You Do Business

  You want the job, but not at the risk of compromising your profit margins. How do you "educate" prospects and clients that you just won't do certain things, no matter how they ask?

   
• 

  Try It. Buy It.

  These are tough times, especially in places like Rochester, N.Y. So a standout showroom can be a differentiator for a remodeling company.

   
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  In Slowing Times, Forward Thinking

  With leads dropping like flies throughout the industry, refining your marketing strategy might be an option you can't afford to ignore in 2007. Here are some of the actions one remodeler is taking to keep their business strong, as well as suggestions from two marketing consultants.

   

Field Notes

• Learning the Ropes

  Remodeling neophytes have a lot to learn about the trade, and, it seems, a diminishing number of organized outlets for learning it all. The National Center for Construction Education and Research offers several possible solutions.

   
• 

  Think Young

  Undisciplined, uninterested, lazy: We've heard these terms and worse to express remodelers' frustration with young workers. Attitudes toward work may be changing, but the rapid aging of the construction workforce suggests that remodelers might need to change as well.

   

By Design

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  Stepping Up

  Stairs take us places. Solid and sturdy or seeming like they're balancing on air, staircases can be a focal point or a hiding place.

   

Tech@Work

• Joe Stoddard: Sending Faxes via E-mail

  If you choose the right service, you can keep records of faxes to your content management system and remain paperless.

   

• On the Record

  Ever wish you could build a sales team that you could trust to sell the job as well as you do every time? One way to make that dream a reality is by using call recording software to ensure that sales calls are being handled uniformly and efficiently.

   

Good Form

• Decisions, Decisions

  Bill Asdal first built this decision analysis tool for personal use, when he was considering building a house for himself and his family. He soon realized its value, and now makes it available to customers on the Asdal Builders Web site.

   

Big50

Close Up

• 

  Profile: Gary Porter

  REMODELING profiles Gary Porter, owner of G.A. Porter Construction of Dayton, Ohio

   

Second Look

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  Second Look: Scott Barr

  After Scott Barr took over Southwest Remodelers in 1992, he quickly grew the company's volume from $2.8 million to $5.5 million in 1995, the year it was named Big50.

   

Other Articles

• Face Off: Should You Be Obligated To Provide Safety Instructions In Your Employees' Primary Language?

  Occupational Safety and Health Administration regulations make it crystal-clear that employers have a regulatory obligation to ensure that every employee has been given the necessary information and training to perform their job duties safely. If you think you're going to beat OSHA on this issue...

   

K+B

Design Clinic

• 

  Mixing Shades of Cabinetry

  A popular look for today's kitchens involves using a combination of two cabinetry colors to subtly or dramatically change the composition of color in the room.

   
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  Making the Most of It

  This bathroom remodel was in a home with 2-foot thick masonry perimeter walls. Demolition revealed a window that had been covered up--leaving a deep opening in the wall. Stewart Davis, design director of CG&S Design-Build in Austin, Texas, decided to design a cabinet to fit the space.

   

Management

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  Kitchen Turnaround

  After frustrating experiences with a few kitchen remodeling jobs that took longer than scheduled, contractor Robert Amberson in Tempe, Ariz., decided to streamline his operation, and offer the "1 Week Kitchen." He read about remodelers offering bath remodels completed in one week and thought he...

   

Spec Book

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  Products: Countertops

  A look at the latest in countertops

   

Replacement

Windows

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  Solving Window Condensation

  Some practical guidelines to combatting window condensation.

   

Products

Trends

• Web Extra: The Importance of STC

  In explaining how noise-reduction products work to keep homes quieter, representatives from Owens Corning and Quiet Solution both refer to a wall's STC or sound transmission class.

   
• 

  Garage: The Final Frontier

  Countless garage-worthy vehicles have been displaced by household clutter. To rectify the situation, garage organization manufacturers are helping homeowners store their belongings, alleviating what's become a top home organization headache.

   
• 

  Dull the Din

  Advanced building materials help buffer homes' distracting noises.

   
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  Graphic Novelties

  In the 1990s, cozy homes gave way to sleek designs and less room for clutter. In the 21st century, sophistication is still the word of the day, but homeowners are finding that some pattern here and texture there can bring warmth and style to living spaces without being lavish.

   

In Focus

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  Products: Caulks, Sealants, and Adhesives

  The latest in caulks, sealants and adhesives.

   
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  Products: Flooring

  The latest in flooring.

   
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  Software: A Digital Edge

  The latest in remodeling software.

   

First Look

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  Products: Sink, Closet Organizer, Floor Covering, and more

  The newest accessory to the freedomRail line lets users maximize all usable space in their double-hang closet setups.

   

Other Articles

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  Net Resolve

  Predictable and recurring net profits result from good management of each of a company's three vital "departments"--marketing and sales, production, and administration. Make a New Year's resolution now to measure and grade performance in each of these departments.