Profound business question

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the bottom is profitability....as a business owner that should be your number one focus....smple as that....

how you get there is the debate...but without profit, doesn't matter if you are an ace or a hack....because you wil be out of business....
 
I cannot begin to recall how many times I've told engineers who work for me that "better is the enemy of good enough". I believe in quality, and I've always trained my employees on following a process that will give the customer the desired results and meeting the customers expectations.

BUT, making it "better" will put you out of business if it means adding cost to exceed the minimum mandatory requirements of your contract with no offsetting increase in revenue. If the customer isn't willing to pay for the improvement, then you cannot afford to give it away - your competitors will eat your lunch.

If you can upsell quality by explaining the cost/benefit to the customer, great. I would always try.

Please understand, I'm not saying cut corners or give the customer anything less than what they contracted for. But if they want more - that falls under the magical term "increase in scope". And that isn't free.
 
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iwire said:
Man that is a pet peeve of mine, people going out to the truck empty handed, there is almost always something that can be brought out to the truck, or taken to the dumpster along the way.
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Agreed. :cool:

I try to keep a running tab of things I need from the truck, and don't send the helper until there is something I need RIGHT NOW. Why 4 trips instead of one. Take something out with you.

http://i125.photobucket.com/albums/p66/JohnJ0906/HPIM1214.jpg

I have a couple of these organizers with small parts, connectors, etc. One with screws. No need for a bunch of trips for hardware - I just bring these in, and have it right there where I am working.


edit to change from picture to link
 
480sparky said:
In some cases, yes.

I like to think I differentiate myself from others by the quality of work, not low prices. I tell people my shirt & truck don't say "Wal-Mart Electric" on them.

For instance, I may be bending pipe, and according to code, what I just installed is fine. But as I stand back and look at it, I say to myself, "Self, that looks like crap. Redo it."
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My company is called Quality Electrical Services. If just good enough was OK for me I would have named it Just Good Enough Electrical Services instead. :smile:
 
mdshunk said:
Does being too concerned about quality actually effect your bottom line? Is there such a thing as being too concerned about quality? Is 'good enough' okay most of the time?
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The dilema!

Someone already said Wal-Mart, I'll say Mcdonalds, I'd rather be Ruth's Chris. It is tough.

My "tag" line is "Plug into quality" it goes with the logo and say what we are all about.
 
bikeindy said:
The dilema!

Someone already said Wal-Mart, I'll say Mcdonalds, I'd rather be Ruth's Chris. It is tough.

My "tag" line is "Plug into quality" it goes with the logo and say what we are all about.
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First off I dont mean to sound rude, but alot of you guys just make me laugh. You reminde me of some of the chefs I used to work for. They would be running 35-45% food costs and not understand why the owner is bitching that the restaurant is not making money. Next thing you know he lets one of the night dishwasher go so now you have one guy doing dishes and pans on his own. Now the front is bitching that the crockery is talking to long to come back and the bartender is screaming for glasses. But the chef is still running his Roasted lobster tali with foi gra foam and aged meats for no money................You my friend are not Ruth Chris but mom and pop trying to pretend that you are a global company, so relax if you pipe run a1/8 of an inch off or not. 99% of the time the customer could give two ships if all the couplings are facing down.
Ive had crew leaders tell me to un kindorf strap my pipe runs so that all the letters are on the same side or to turn my couplings around so they are all facing down. A complete waste of time that doesnt really bring in any more money only cost you money.
Dont get me wrong, I am not a slob I have seen some real crappy work and have nothing but distain for people that work like that lets keep it real. some of you guys quote prices for stuff that almost make me giggle sometimes. And I feel that some of you charge this much cause your to busy with the small stuff.
 
JohnJ0906 said:
Agreed. :cool:

I try to keep a running tab of things I need from the truck, and don't send the helper until there is something I need RIGHT NOW. Why 4 trips instead of one. Take something out with you.

http://i125.photobucket.com/albums/p66/JohnJ0906/HPIM1214.jpg

I have a couple of these organizers with small parts, connectors, etc. One with screws. No need for a bunch of trips for hardware - I just bring these in, and have it right there where I am working.


edit to change from picture to link
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I've got half a dozens boxes like that in my truck. Real often the hardware store is 30-40 miles away so dropping things and "running to town" realy isn't an affordable option.
 
iaov said:
My company is called Quality Electrical Services. If just good enough was OK for me I would have named it Just Good Enough Electrical Services instead. :smile:
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So the real question is do your customers know what quality electrical service looks like?

Other than cleaning up after the job and the fact that the receptacle works when the customer plugs something in the customer doesn't have a clue what quality in electrical work looks like.

I believe we go overboard too often when in reality if you follow the code you've done a quality job.
 
Chances are the customer doesn't know what quality service looks like. But I do. You don't have to go "over board" to do a neat, safe installation. You just have to care.:smile:
 
iaov said:
Chances are the customer doesn't know what quality service looks like. But I do. You don't have to go "over board" to do a neat, safe installation. You just have to care.:smile:
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If quality means "neat" and "safe" then I'd say that you do good enough.
 
I agree.

For example. I like square d QO panels, and used them for years until the price went up to the point of not being competitive with Siemens or C-H. It didn't take me long to realize that the competition wasn't using them. I have now learned to use a name brand that has the lowest price in an effort to get the job.
 
brian john said:
NO If you cannot be the best WHY BOTHER.
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In a niche market, I absolutely see your point. I'd want to be the best guy. When you're competing in a much, much broader market, it is quite difficult to stand out on quality alone, unless you want to travel for your work. It's a catch-22, and a very real struggle, Brian.
 
To paraphrase Stone in Markup & Profit...give them the job they are paying for. Sure, it might look better with crown molding, but they have to pay for it if they want it. If you give it to them, you lose your profit.

I do the best work I can and sometimes add little extras. Anything but a small extra comes with an additional expense.

Dave
 
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