Released: September 18, 2024
In this episode, Jeffrey Scott shares insights into overcoming the primary growth constraints in the green industry. He discusses the importance of mindset, trust, and building a destination company to foster business success.
โConfidence and mindset are the keys to unlocking business growth. When you surround yourself with the right people and trust your team, scaling becomes possible.โ
Confidence and mindset are the keys to unlocking business growth. When you surround yourself with the right people and trust your team, scaling becomes possible.
Hereโs what we discuss in todayโs episode:
Introduction to Jeffrey Scott (Start โ 00:41):
Rob introduces Jeffrey Scott, a leader in the green industry, discussing his deep experience as a consultant and coach, and his family roots in the landscaping and pool businesses.
The History of Glengate and Scott Pools (01:22 โ 04:48):
Jeffrey shares the fascinating story of his familyโs journey in the industry, from cesspool pumping to construction, and how Glengate was born through a family dispute over trademarks.
Transition from Family Business to Consulting (04:48 โ 06:12):
Jeffrey recounts his decision to step away from the family business and start his consulting firm to serve the green industry, including peer groups and one-on-one coaching.
Changes in the Landscape Industryโs Professionalism (06:46 โ 08:15):
Jeffrey reflects on the growth of professionalism in the landscaping industry, from tradespeople running businesses to finance graduates entering the field.
Key Growth Constraints for Entrepreneurs (09:46 โ 11:32):
Jeffrey identifies confidence and mindset as the biggest challenges for entrepreneurs, explaining how self-belief and the ability to envision a 10x future are crucial for success.
The Importance of Surrounding Yourself with Great People (12:40 โ 13:43):
Discussion on hiring the right people and trusting them to help grow the business, with a reminder to invest in talent rather than cut costs when recruiting.
Building a Destination Company (23:25 โ 27:12):
Jeffrey introduces his concept of a โdestination companyโ and how businesses can create environments that attract and retain top talent by fostering transparency and trust.
Mindset Shifts for Entrepreneurs (29:14 โ 32:17):
Jeffrey advises entrepreneurs to step back from daily operations, empower their teams, and focus on long-term planning, even when uncertain about the future.
Breaking Growth Constraints (40:14 โ 41:34):
Jeffrey discusses lead flow as a major growth constraint for many companies today and emphasizes the need for a diversified marketing approach to avoid over-reliance on a single channel.
Final Thoughts and Recommended Resources (42:06 โ End):
Jeffrey wraps up the episode by recommending Die with Zero by Bill Perkins, and invites listeners to explore his consulting and peer groups for more in-depth guidance.
Actionable Key Takeaways:
- Focus on Mindset: The most significant constraint is often the entrepreneurโs confidence and vision. Aim to see the potential for 10x growth.
- Surround Yourself with Talent: Hiring the right people and trusting them will help scale your business. Donโt be cheap when recruiting.
- Become a Destination Company: Build a culture of transparency and trust where employees can grow and give feedback openly.
- Diversify Your Marketing: Avoid depending on a single channel for leads. A broad approach will keep lead flow consistent.
- Long-Term Planning is Essential: Even in uncertain times, plan for the next three to five years. You can always adjust as you go.
Resources Mentioned in This Episode:
Episode Transcript
00:00
Rob: Hi, everyone, and welcome to the I Am Landscape Growth Podcast, where entrepreneurs help entrepreneurs grow faster, better, and stronger in the green industry. From leadership to sales, recruiting, and operational excellence, we cover the topics holding entrepreneurs back and share how to get past those bottlenecks with the best in the industry. Iโm your host, Rob Murray, co-founder and CEO of Intrigue, a digital marketing company focused on helping landscape companies grow. So sit back and enjoy the show.
Alright, everybody, welcome back to another episode of the I Am Landscape Growth Podcast. Today I have an amazing guest, Jeffrey Scott. Jeffrey, thank you so much for doing this.
00:41
Jeffrey: Youโre most welcome. Thanks for having me.
00:43
Rob: When it comes to the green industry, I donโt think thereโs very many people that have the depth and breadth of knowledge and experience that you have. So Iโm just pumped for the audience to be able to have you on the show and kind of sharing. So thank you again for doing this. In looking at your background and seeing kind of where you come from, and even just before we started the interview, youโre kind of born into the industry with Glengate. And for the folks that donโt necessarily know you as well as others, can you give us a quick Coleโs Notes summary of how you ended up in the green industry and where you are right now with Jeffrey Scott Consulting and the peer groups?
01:22
Jeffrey: So my grandfather started a company called Scott Pools. He originally started off pumping cesspools and doing small gardening. This was a typical immigrant story. Before World War II, he went off to the war. He came back, and my grandmother saved every army check that he mailed home. So she did all the cesspool pumping with a couple of employees and my dad and my uncle. And she saved that money so that when he got homeโhe was totally shut up in the Battle of the Bulge, which is in the Ardennes, which I think is Belgium or France. I think itโs Belgium. And so he had to convalesce for like a year in New York City. And thatโs when they were doing all the big construction with the big equipment.
02:18
Jeffrey: And my grandfather saw these hugeโwell, huge for back thenโthese huge backhoes. He got totally turned on. And then when he finally got home, he learned that my grandmother had saved all his money. So he used that money to buy the biggest equipment he could and move himself into the construction and pool business ultimately. So Scott Pools, which my uncle then took over, and my dad moved down countyโthat was to a whole other county in Connecticutโand started a spin-off called Scott Aquascapes, I believe it was called. Then he decided to branch out and kind of break away and start his own company. First, he called it the Joe Scott Pool Company. But thenโnow Iโm really telling you some backstage stuff hereโ
03:20
Jeffrey: My uncle sued my dad because he owned the trademark on our last name. My dad had the logo already designed, and he had to match a name to the logo. It had some rolling hills in it, and it had a gate. So he came up with the name Glengate, and thatโs how that was born. And I worked in that since I was a young kid, going to college every summer. And then finally, when I graduated college, I decided to go to Europe. Iโm very curiousโthatโs a big driver. I think itโs my success today, but back then it meant, โHey, weโre going to go to Europe.โ It was sort of a little down economy when it came to getting jobs. I studied chemical engineering. I thought I was going to leave the landscape industry, and then there werenโt that many jobs.
04:15
Jeffrey: So I went to Europe, and I ended up living there for seven years. I got my MBA and did consulting in corporations in different countries. And then I finally came back to the States, went to work for my dad and my family, and there was a lot of family in that little business. I became CEO after a few years. But ultimately, my brothers, my dad, and I are much better off as family than as working partners.
04:48
Rob: Yeah, no doubt.
04:50
Jeffrey: And so I said, โYou know, Iโm going to get out of this.โ And I have a great professional background. So my wife and I were talking, and weโre like, โI should go back into consulting. The green industry needs consulting.โ And long story short, thatโs why I went into consulting. And it wasnโt a straight line. If we had a beer here, I would tell you the meandering way I got to where I am with my newest businessโjust like everybody elseโs pivots.
05:24
Rob: Sure.
05:25
Jeffrey: But thatโs the long and the short of it. And now weโve got our consulting company. Itโs really a coaching company. Yes, we do consulting, but we do an awful lot of coaching, peer groups, one-on-one. And Iโve coached in one way or another about 350 companies. Thatโs in Canada and the US. I lived in Hollandโokay, little sidebar. So I lived in Holland for a few years, went to school there, my wife is Dutch. And of course, if youโre up in the Ontario marketโthe landscape industry is run by the Dutch.
06:05
Rob: Yeah, it is.
06:06
Jeffrey: So I sort of feel like Iโm part Canadian, part Dutch. The Dutch connection.
06:12
Rob: As long as you like tulips, itโs a very good connection, right?
06:15
Jeffrey: Yeah.
06:16
Rob: Okay, so that just speaks again, like I said at the very beginning, about the history of being in the business and having your brain wired around what works and what doesnโt. The scar tissue that comes along with being there in a family business and being CEO. But the tenureโone quick piece, just curious to get your take on it and more of a point of interest than anything elseโwhat would you say about the professionalism and sophistication of your average landscape entrepreneur today versus when you started consulting in the space?
06:46
Jeffrey: Oh, I love that. I thought you were going to ask me something different. Well, Iโll answer the question in my head and your question. Much more sophisticated. Thereโs more information out there for people to grow quicker. Thereโs more young graduates of financeโI did lawn mowing to get myself through finance school or business school, and I decided to stick with that industry. Yeah, in a way, you could say the opposite, howeverโthat thereโs fewer tradespeople running landscape companies and more professionals. Sort of a trade-off, if you will.
07:31
Rob: Yeah, yeah. Itโs interesting. I think we did our first talk for a landscape group seven years ago, and we usually pull the audience around some of the resources that we bringโthings like Jim Collins, Simon Sinek, whatever. It was crickets. We asked people if theyโd heard of these people, and last year, it was like more than 70% of these rooms had not only heard but had brought them into their leadership teams or somehow exposed their company to these principles and ideas, which I just thought was really cool. So, I mean, obviously, youโre experiencing that. So the point ofโwait, did you answer the question that was in your head?
08:08
Jeffrey: No.
08:08
Rob: Okay. What was that?
08:10
Jeffrey: Whoโs more sophisticatedโthe pool industry or the landscape industry?
08:15
Rob: Alright, letโs hear it.
08:16
Jeffrey: And so the reason Iโmy dad, when he left my uncle, he left also because he wanted to start up a full landscape company. My dad was the founding member ofโwhat is it? The APLD, which is the professional landscape design association. So he was a founding member of the APLD, and he just loved design and landscape and not just the concrete pool. So you might wonder why Iโm not consulting with pool companies, since Iโmโif you go way back, thatโs where Iโm from. But the pool industry is a generation or two behind the landscape industry, so itโs much more pleasurable working with landscape companies. Any landscaper listening who has used a pool company as a sub already knows what Iโm talking about.
09:15
Rob: Fair enough. Weโll leave it at that. Which is, obviously, then thereโs maybe a niche that can be opened up for a consultant or consultancy within the pool industry. Alright, nature of the podcastโwhat is the primary growth constraint holding entrepreneurs back in the green industry? I ask you that question. I mean, I have asked everybody on the show that question. We hear all sorts of different answers. We hear some of the similar ones, and whether theyโre real or notโdebatable. But whatโs your take today in the climate that weโre in? What is the primary growth constraint?
09:46
Jeffrey: You know, it is different for different people. In the last two days, Iโve led two peer group meetings and have discussed in depth with, gosh, 30 landscape companies. And I have their numbers. So Iโve got their P&Ls, and Iโve got their pain points, and Iโm going to talk about that. But second, let me go in general. So, in general, I think itโs the knowledge, confidence, and attitude of the entrepreneur.
10:22
Rob: Yes, man.
10:23
Jeffrey: Itโs all between the earsโwhat is possible, not knowing? And, you know, nobody quite knows. Not everybodyโs born with the confidence to see the futureโlike the guy who started Chat GPT, right?
10:38
Rob: Sure.
10:39
Jeffrey: You read about him, youโre like, โOh my God, that guyโs aโฆโ And that guy is an anomaly, like Elon Musk, but where theyโre just born with this preternatural confidence. But for most, itโs that self-confidence and the vision to think ten times your size, five times your size. So thatโs the biggest obstacleโthe confidence. And then I think surrounding yourself with people that can share that vision of whatโyou know, โYou could be ten times the size, really. You could haveโyou only have to work three days a week if you want to when we get there.โ Really? Is that possible? So having mentors like me or whomever to help you identify your goal and say, โNo, it is possible.โ
11:32
Rob: Yeah, thatโs cool. I mean, and itโs the clichรฉ, right? The man who says he can and the man who says he canโt are both right. And so that mindset of what is possibleโI havenโt heard anybody say it like that. There have been a couple of folks I would say that are wiser than their years who just came on the show and really spoke to this idea that itโs everything between the ears of the entrepreneur or the leader first. And what I like about what youโve just articulated is the fact that itโs also about surrounding yourself with other people who see it, too. So itโs like, first is me, then itโs we.
12:08
Rob: So if we look at this in general, before we get into this idea of todayโs times and this peer group of 30 professionals, entrepreneurs that you just spoke with, if somebody is predisposed to the idea of 10x and seeing the future, maybe this question doesnโt apply. But for someone who has maybe grappled with the idea of, like, โI want to be bigger, Iโm not sure if I can do it,โ what do they do? Or what can they start doing to make it more tangible in their own mind so it could become a reality?
12:40
Jeffrey: You know, besides joining one of my peer groups, right? Youโre not looking for that answer.
12:44
Rob: Youโre like, no, I know, but peer groups is an answer, and weโre going to get there. So seeing other people who have done it makes it real.
12:50
Jeffrey: Youโve got to getโsay, from one to ten million, right? Youโve got to be willing to let go and trust other people, which means you need the systems so that youโre not micromanaging. Youโve got to surround yourself with great people. And sometimes itโs get one good person. And then once you have one, you can have two, and once you have two, then you can have three or four. And do not be cheap when youโre doing that. Donโt try to save $2 an hour, $5 an hour, $10 an hour. Great people will make you money. Bad or cheap people will cost you money. If you want to makeโwhatโs that?
13:34
Rob: Yo, keep going. Iโm just going to add to that in a quick second.
13:37
Jeffrey: So if you want to make money, get the right person. The P&L will work itself out.
13:43
Rob: A-players are free because they pay for themselves. They make the money.
13:48
Jeffrey: There you go.
13:48
Rob: Right? Thatโs the idea. And so when you look at attracting or paying somebodyโmaybe youโve got somebody on your team currently who you see as a bright spot, or youโre looking for somebody to come in and be a bright spot. And average pay is X. Is there any kind of benchmarking to pay a little bit more? And is there an idea of what that little bit more is?
14:14
Jeffrey: Yeah, I mean, I could throw out a number, but let me give a realistic answer or a real answer. Pay ranges are different in every part of the country.
14:30
Rob: Sure, thatโs true, thatโs fair.
14:31
Jeffrey: They really are. Thatโs the one thingโwhen someone says, โWhat should I pay for this guy?โ Iโm like, first off, you need to know your market better than I might know your market.
14:40
Rob: Sure.
14:41
Jeffrey: Getting past that, I can help that person work through it, but you really need to know your market and how tight it is for you to be paying top of the market. You need to know what your market is.
14:54
Rob: Right. And if you say average plus 10%, plus 20%, whatever it might beโ
15:01
Jeffrey: I mean, I was thinking 20%, but thatโs such a pat answer. You really have to know a little bit more about your own market, Joe.
15:07
Rob: No, thatโs cool. But I think it just gives some people a bit of an idea to start with. A lot of these ideas that people will speak to are a little bit more conceptual than say something like 20% as a starting point. And it might not be the right answer, but at least it gives something tangible.
15:21
Jeffrey: So then I will say you can throw money at somebody and still get the wrongโ
15:25
Rob: No doubt. Yeah. Money doesnโt cure all problems.
15:29
Jeffrey: Well, right. Itโs not theโyou know, itโs like chicken and egg. No, you donโt just spend more moneyโyouโre automatically in a better spot. Itโs that you need to hire better people, and donโt let the money get in the way.
15:44
Rob: So then letโs get to that for a quick second. Whetherโand look internally. So letโs say Iโm looking for somebody as a bright spot. Iโm not sure if Iโve got somebodyโmaybe I do. Maybe my trust factor isnโt as high as I need it to be in order to let go of things.
15:57
Jeffrey: Itโs not.
15:58
Rob: So then what do I look for in somebody? Thatโs an indicator that, โOkay, cool, thereโs somebody I can let go of things to.โ
16:07
Jeffrey: Yeah. By the way, Iโve measured trust literally on personality profiles along with other attributes. And the entrepreneurs, on average, their lowest score in personality profiles is trust. Literally, itโs a big issue. I mean, listen, you know it when you see it, right? You know what a great person looks like. So you have to be willing to hireโnot for what you need today, but โWow, with the right people, I could really be growing. And then in three years, I could be here.โ So hire today the person you need to help you run what the company will look like in three years.
16:51
Rob: Love it. And then going to this idea of what the company looks like in three years and back to this idea of knowledge, confidence, and an attitude to plan for three years or five or ten. And someone whoโs been maybe looking down in front of them, footstep, footstepโthey need to lift their head up to plan for three years. What is a good starting point for how to do that? Some people get caught up like, โWho knows whatโs going to happen in the world?โ And three years from nowโhow could I plan that far out? And Iโm not suggesting thatโs true for people, but if someone were thinking that way, how can you get them through that a little bit?
17:26
Jeffrey: Yeah, itโs hard to do your own planning. It just is, is, isโyouโre inside the jar. You canโt see what the outside of the label looks like because you can only look at the label from the inside.
17:41
Rob: Thatโs a cool perspective.
17:43
Jeffrey: Itโs really hard. I would say that youโve got to have that faith in yourself. Of course, you donโt know whatโs going to happen, so donโt let that stop you from just coming up with your plan. You can always change your plan. In fact, you will. And if you start building a team, you involve them in the planning and let them be honest with you on whatโs possible and whatโs not. But either way, theyโre going to help you achieve your dream. And donโt be afraid of failure. If anything, be afraid of success becauseโmeaning you get the team involved, and youโre more than likely going to hit your goals, in which case, you better be ready to keep planning forward.
18:26
Rob: Thatโs cool. One thing that we found for ourselves as an organization and also working with a couple of othersโdoing the planning the first time was actually the hardest because all the boxes were empty. And then once we started re-evaluating what we had put in place, we were like, โOkay, thatโs wrong, but now this is more right. Itโs still wrong, but itโs more right.โ And I think people get stuck on that a little bit. You know, itโs a daunting task to fill in what a three-year picture is going to look like in detail.
18:59
Jeffrey: I wanted to add something. When youโre looking for these players, look outside the industry. It is so hard to find the right people inside the industry. And sometimes you spend so much time untraining them of bad habits. But look outside the industryโthereโs a wealth of talent out in the blue world. Get past the green into the blue world, and thereโs a wealth of talent out there.
19:26
Rob: Trey, is there a story or two of an industry where someoneโs found success? Is there any common pattern that youโve seen over time?
19:34
Jeffrey: Well, not common patterns except the overarching pattern of, you know, โTake out the blinders. Look out into the big world.โ I love telling this one story. One of my clients had some health issues, so Iโm like, โWe need to get you a COO.โ He was about $5 million, and he said no. For two, three, four years, the guy was going to cost a lot of money, maybe $150,000 more with bonuses and stuff. And he finally said yes. We got the personโhe came from, I think, manufacturing, a much larger company. And whatโs the difference between an expense and an investment? An investment takes years to pay off; an expense, in theory, you pay for it that year. This addition to his payroll paid for itself in the first year. In the first year, he made more money than heโd ever made.
20:35
Jeffrey: So get help with the recruiting. You know, we brought in a specialty recruiterโI bring them to all my clientsโand itโs all doable. Itโs all possible. At some point, Iโll tell you about some of the real issues Iโm hearing today.
20:52
Rob: Well, yeah, I was going to say, letโs just segue into it because, I mean, we talk about the general piece, itโs mindset and letting go and trust, broad stroke. But you mentioned this idea of speaking to these folks and having your ear to the ground. So what is the kind of word on the street right now that youโre hearing in terms of the primary growth constraint?
21:13
Jeffrey: The primary? That keeps making me think of Star Trek when you say thatโthe prime objective.
21:20
Rob: Nice.
21:21
Jeffrey: So everybody has their own primary growth constraint. Clearly, right now, on average, lead flow is less than it was last year. Not for everybody, but for many people, that is the primaryโwhat was itโprimary growth constraint. Yeah. So I ran two different peer groups. For one of them, that was a big issue, and we benchmarked everybodyโs lead flow and sales for the past two quarters. What marketing is actually working, whatโs not? And everyone has a little bit of a different story. The commonality was, yeah, lead flows are down, whether theyโre down 5% or 50%. For some, that happened last year. There are a few markets, but for more, it was this year. And so people seem to beโthe people issuesโI mean, it is an issue. I think itโs going to lighten up if the market continues to soften.
22:31
Jeffrey: And this is all post-pandemic, right? So during the pandemic, it was harder to hire people. So I think things are going to get easier because weโre long past that. I think lead flow and selling is getting harder. We forgot what business as usual was.
22:48
Rob: We got complacentโsending proposals to people without even talking to them, running things up, thinking that youโre going to get the job because you can do the job. You know, all these things have gotten more competitive.
23:00
Jeffrey: So that means companies got lazy, inefficient, and so now they need to work harder, get more efficient, use better technology to get efficient. Youโve got to really be on the cutting edge of that. So thatโs one common growth constraint. Iโve worked with a lot of companies to build this, what Iโve trademarked as Destination Company. Become a Destination Company.
23:25
Rob: Sure.
23:25
Jeffrey: Yeah, itโs my trademark. I wrote the book ten years ago, and itโs been fairly successful. So weโve helped quite a few companies grow past that so that they can keep growing and attracting people. Peopleโfor some companies, capital is a constraint. โIโm growing, Iโm growing. Now I really need to get serious about capex, and so Iโm able to grow. Iโve got the people, Iโve got the leads, got the reputation.โ And for companies that maybe paused on the capex, they now have catch-up to do, so thatโs going to be a growth constraint for some.
24:11
Rob: But do you find the supply chain though, for capital equipment and expenditures, is available now? I know two years ago, it would be tough to get trucks or equipment or heavy machinery, whatever. It seems like things are rolling normal-ish.
24:24
Jeffrey: Steven, yeah, they are. Interest rates are higher. I will tell you, with interest rates being so high, we are seeing, especially in the commercial world, HOAsโthey have to pay more insurance, so now they want to do less work. Now thereโs less enhancements. So not only is it business as usual, but these high interest rates are having an impact. Iโm sorry, high interest rates and high insurance costs are having an impact. So thereโs always a new issue or constraint. Iโve been investing in the stock market for years, since I was a kid, and thereโs always one issue that would drive the market up or down. Itโs not always interest rates; sometimes itโs something else. And so you canโt just assume that itโs business as usual, or you canโt just assume, โOh, Iโve seen this cycle before.โ
25:17
Jeffrey: No, every cycle is going to be a little bit different.
25:20
Rob: Yeah.
25:22
Jeffrey: Insurance and interest rates.
25:24
Rob: Right. Thatโs cool. And usually when you break one constraint, another one shows up. So if you break your people constraint, and I want to get to this idea of the Destination Company, then all of a sudden your lead flow isnโt where you need it to be, and all of a sudden youโre staffed up, but you donโt necessarily have the work to support it, or your runway of work is getting shorter. You know, you have to break another constraint. So letโs go back quickly to this Destination Company. You know, we work with people becoming like an employer of choiceโso similar. Not to say itโs the same, but similar. What do you see as top one or two things companies are doing that are Destination Companies that other ones arenโt?
26:02
Jeffrey: Yeah. When I wrote my book and I finally got one of my clients to read it, heโs like, โOkay, I read your book, and itโs really about how to build a great company, isnโt it?โ Iโm like, โYeah, bingo.โ So itโs not just a gimmick? Itโs not a gimmick.
26:18
Rob: No, no.
26:18
Jeffrey: Of course itโs not. Iโm talking to thisโmy client, if heโs listeningโmy client from eight years ago, when I finally got him to read it. So itโs not a gimmick. Itโs not about just better recruiting, although that helps. So if youโre a Destination Company, youโre very transparent. Youโve shaken off the low-trust gene, and you have flipped it on its head. And you run a very transparent organization where your employees can give you feedback as well as you can share information with them. And youโre willing to take that feedbackโto poke the holes in your bucket. Before you start adding new recruiting sources to fill the employee bucket, youโve got to fill the holes in that bucket.
27:12
Jeffrey: Iโm doing a little segue here. A lot of talk about the NPSโNet Promoter Score, you know, for clients. But you should do it for your employees, and thatโs what you should be measuring and constantly fixing and improvingโis that internal the ENPS and your culture, from your employeesโ perspective?
27:35
Rob: I mean, I love it in a big way. Iโm a huge believer in this, and I wish everybody would do it more because then everybody would be probably happier in everything that they do, whether itโs at work or at home, from all the staff that would be impacted by organizations being run that way. Itโs interesting though, too, because I find in really high-performance cultures, ENPS will go down because people donโt think their peers can hack it, which is funny and cool. And by down, I mean it goes from like 80 to 70. So itโs like, itโs still extremely highโitโs like world-class stuff. But one of the things I was curious aboutโthereโs a Gallup poll, Gallup Internationalโthey did this poll, this organizational health check. There are twelve questions.
28:22
Rob: I donโt know if youโve heard of this survey. What we found, anywayโwe used to do the survey not anonymously, but then we decided to do it anonymously, which seems a bit counterintuitive that you need anonymous feedback for better feedback, but I think you do. I think people are willing to share more when itโs anonymous. But it was a game changer in terms of finding the holes in the organization with feedback. And it stung a little bit at the beginning, but I think if more people could do it, thatโd be awesome.
28:57
Rob: So then, going back to this idea of building a great company and finding the holes in your bucket that need to be fixed before you start putting more people into itโwhat do you see as top one, top two issues organizations are facing when they start to go down this path?
29:14
Jeffrey: Yeah, there are seven pillars in my book, by the way. So this is really just one pillar, or even just part of one pillar. So itโs more complex than that. But to answer your question, you asked for one or two things they need to do to improve the transparency.
29:36
Rob: Well, just to start building this trust up and flipping it on its head, so you find the holes in your bucket. Iโm just curious, what are those holes typically from the perspective of symptoms? So if Iโm a person, an entrepreneur running a landscape business, or anything really, what are the symptoms that Iโm experiencing that would demonstrate Iโve got some holes in my bucket that I need to fix?
29:57
Jeffrey: Well, as an owner, you know what the symptoms areโitโs called attrition. But what are the drivingโwhat are the underlying factors? Iโll tell you from a Latinoโs perspective because this will highlight it. A Latinoโand Iโve been told this by Latinos, so this is me just conveying information from the sourceโbut they will remember every promise youโve ever made and not fulfilled. Now, in the Latino culture, they like to make promises because they have such belief in their can-do attitude. Theyโre not necessarily going to fulfill them all and keep them all, but they believe they will, and they want to. So on the one hand, theyโll make these promises, may not keep them, but if you as Jefe make a promise and donโt fulfill it, they will remember that forever. So what Iโm saying here isโyouโve got to keep your promises.
30:55
Jeffrey: That goes for Anglos, all of us, right? We all care about it. Itโs the extreme example of donโt do any pre-PR on ideas youโre thinking about, but just roll out ideas that youโre going to follow through. Keep your promises. I think thatโs a key fundamental. Thereโs a few, obviously, but thatโs really important.
31:21
Rob: Yeah, and itโs crazy because I think a lot of times people donโt necessarily value the perception of notโdo what you say youโre going to do. When you say youโre going to do it, sadly, it seems to be a differentiator these days versus the normal. So I think youโre right in terms of building trust because thatโs consistency, right? If I say Iโm going to do something and I do it, I know I can trust that youโre going to do the things you say youโre going to do. If I donโt, then how can I trust anything that youโre saying? It makes it really difficult for me.
31:52
Jeffrey: Yeah.
31:54
Rob: So then, you know, attrition and then not following through on promises as being one big thing. What else do you see as somebody from a Destination Company that they could do to really start to move in that direction? Actually, you know what the biggest question isโthe trust piece. If I have low trust, how do I build my ability to trust others?
32:17
Jeffrey: Well, I work with a lotโI mean, Iโm a coach, and some people call me a business shrink. Half of what I work on with entrepreneursโand these can be wildly successful entrepreneurs. You know, Tiger Woods has a coach, hello.
32:33
Rob: All the best people in the world, all the best athletes in the world, have coaches.
32:36
Jeffrey: Yeah, exactly. And they have multiple coaches, really. So half of my coaching is psychological. Not, โOh, what did your dad or mom do to you when you were a kid?โ Not that, butโ
32:50
Rob: It might play a part, but anyway.
32:53
Jeffrey: But itโs really about wrapping their heads around decisions they need to make. Why are they not making that decision? Blind spotsโyouโve got a blind spot here. Iโm calling that psychology, but letโs get at this frickinโ blind spot. Why is that? Why arenโt we dealing with that? Whatever. And so the psychology of the organizationโhow do we get the organization to buy into changes? So quite a bit is psychological, right? You want to be good in businessโwhat should you study besides business? Psychology.
33:28
Rob: And then what do you find are typical blind spots entrepreneurs donโt know about?
33:33
Jeffrey: Everyoneโs got their own blind spot.
33:35
Rob: Itโs all over the place.
33:36
Jeffrey: Itโs allโyou know, Iโm going to go back to my peer group. So we talked a lot about how you pay salespeople in this one peer groupโhiring salespeople, making sure the sales commission plans donโt backfire, making sure the cost of the sales teamโyou can afford it long term. Long term means more than one year, like itโs sustainable. One of my clients, whose name shall remainโwho shall remain namelessโheโs had a problem for years, and I beat up on him for years, and he just was very conservative. And even though the sales compensation was working to his disadvantage, he really valued consistency and stability. And it had to do with his personality. I canโt tell you the real personal stuff going on there, but there were some real personal things that he was just trying to overcome in his life.
34:38
Jeffrey: So he wanted stability, and so he lived with it. He finally fixed it, and this has been going on for years. And yayโyay to getโbecause what would happen was his sales team, some of them would win big, heโd have to do big payouts, and heโd be losing money or breaking even or making 4%. Your sales team will never be completely aligned with your P&L, but it should be somewhat aligned. It canโt be like a huge gap.
35:08
Rob: Yeah, they canโt be making heyday when youโre losing money.
35:14
Jeffrey: It might happen that one salesperson will, but really youโve got to manage it so that the company rises and falls, generally, more or less, with the sales team.
35:27
Rob: Yeah, that makes sense.
35:28
Jeffrey: He finally addressed it. It had been his blind spot because of some personal issues that I really canโt get into.
35:41
Rob: He wasnโt blind to it. He was ignoring it, essentially, yeah.
35:45
Jeffrey: Yeah, but he finally got around to it.
35:47
Rob: Cool. So then this actually highlights a point I hear some people talk about. I see a lotโcan you just speak to the idea of entrepreneurs sometimes running businesses to serve the business, almost to their detriment? So theyโre running themselves ragged to try to make this business go versus designing the business to serve their life. Do you see that? And can you speak to that idea at all? What shifts for people when they start to do it the other way around?
36:15
Jeffrey: Well, I thought you were going to say something else, so can I add a third possibility there?
36:21
Rob: Yeah, of course.
36:21
Jeffrey: Some people set up the business to serve the employees to the detriment of the business.
36:26
Rob: Oh, interesting. Thatโs a cool perspective.
36:30
Jeffrey: You know, we have one client weโve been working with whoโheโs so focused on helping, very spiritual, giving money away, giving people jobs to help them out in the company, and looking to keep his guys employed year-round, even though he didnโt quite have everything set up that way. He took chances, risks, and made mistakes that really hurt his business, which then hurts everybody else. You know, I liken it to a spaceship. Do what you want, but donโt poke a hole in the spaceship. You know, donโt harm the spaceship thatโs giving us all oxygen to breathe and getting us from A to B. Right. Weโve got to protect the spaceship at all costs because thatโs the livelihood and the life of everybody in the spaceship.
37:25
Jeffrey: And so a business has to be protected in that way. Now, if youโre saying the owner gives themselves too much, like the example I gave, or gives too much of their timeโlike the example youโre givingโthey run the risk of ruining their life. Thereโs a little clichรฉ, or not a clichรฉ, but hereโs how I would say it. If you spend so much time with your business, itโll be like youโre having an affair, and your spouse may leave you because youโre having an affair with your business, and thatโs real. There are a lot of entrepreneurial divorces for that one reason.
38:14
Rob: You see it in all industries, all businesses, yeah.
38:16
Jeffrey: Yeah.
38:16
Rob: With work instead of business, but same thing.
38:16
Jeffrey: Yeah, yeah. My husbandโs having an affairโor my wifeโwith the business. And I think our industry is very wholesome. Weโre down-to-earth, we believe in nature, weโre homegrown. And I think our families are very important to us, really, in our industry. I mean, I canโt speak for every industry in the world, but I do think the green industry is a bit of an exception there.
38:45
Rob: And the openness and camaraderie within the industry is something that I havenโt seen in other industries either. So I think youโre right. There is something to it.
38:53
Jeffrey: And so you owe it to your family to setโand you owe it to your company to set the example. By the way, letโs come back to trust. Here we go. Weโre coming full circle. If you can trust your employees, hire great employees, set up good systems and trust them, then you can let go and let them run things. And that shows respect to them. You want to build a Destination Company? Empower your team, let go, and get out of work on time. Set the example for them that itโs a healthy business environment.
39:27
Rob: Love it.
39:28
Jeffrey: So I think that all ties together, really.
39:30
Rob: Oh, 100%. And it goes back to mindset. Some people think theyโve got to be the first one in, the last one to go, in order to set the example versus โIโm going to work out in the morning, come in at a good time, leave at a good time, have dinner with my kidsโโbeing an example. So I think that mindset is super important.
39:45
Jeffrey: There are two kinds of companies. Those companies that when the owner leaves, it kind of falls apartโitโs not really set up properly. And then there are companies where, when the owner leaves, it does better.
39:59
Rob: Yeah. And youโll never know unless you leave.
40:02
Jeffrey: Youโll never know unless you leave. And then if something needs to get fixed, you come back and you make sure the first few days youโre going to be focused on identifying the issues and improving the systems.
40:14
Rob: Love it. Okay, so you said back in the peer group what weโre experiencing now in terms of growth constraint was lead flow. And you said some things are working, some things arenโtโdifferent strokes for different folks. But was there a common thing that wasnโt working and a common thing that was?
40:31
Jeffrey: Everyone had something different that worked for them. I think the common thing that wasnโt working is when you didnโt have a broad enough marketing approach.
40:43
Rob: Oh, itโs like many pillars, so theyโre kind of like people were maybe too dependent on one channel?
40:50
Jeffrey: One channel or a couple channels that youโve always been dependent on and you havenโt really refreshed your marketing approach.
40:58
Rob: And so if youโre talking to someone right now whoโs struggling, what would be one thing they could look at?
41:03
Jeffrey: Well, Iโd want to look at everything theyโre doing. If theyโre telling me, โWell, I used to get it from referrals and builders and people who see my trucks,โ Iโm like, โOkay, well, thereโs a lot missing from that plan. So letโs look at all the typical marketing approaches and fill in.โ If youโre only getting business from digital and youโre struggling because even digital goes up and downโ
41:34
Rob: Sure.
41:35
Jeffrey: Iโll be like, โOkay, letโs look at your power partners. You donโt have enough partners bringing you business?โ Right? Letโs look at some of the other factors.
41:40
Rob: Okay, thatโs cool. Youโve heard of Jay Abrahamโs Parthenon Approach?
41:46
Jeffrey: Iโve heard of Jay Abraham. I believe Iโve heard of him for years.
41:50
Rob: Yeah, heโs been around for a long time. But anyway, he talks about the ideaโtwelve pillars of lead gen, right? So how do you diversify across twelve pillars? So if any pillar breaks, the building still stands. For anybody whoโs listening, thatโs a good resource. All right, so a couple of things, thenโsomeone wants to get in touch with Jeffrey Scott, join a peer group. How do they do that?
42:06
Jeffrey: Well, we have a website: www.jeffreyscott.biz. B-I-Z. Now, down south, they spell Jeffrey E-R-Y, but Iโm originally from Connecticut, so itโs R-E.
42:22
Rob: Yeah.
42:22
Jeffrey: Isnโt that funny?
42:23
Rob: Kind of important.
42:23
Jeffrey: Yeah. Go to the website, and there are landing pages on our peer groups and our coaching and consulting. Thereโs a landing page for our events we run. I have my own podcastโyouโll find that on the website as well. And so yeah, thatโs the first resource I would go to. You can follow meโIโm pretty active on LinkedIn.
42:46
Rob: Yeah, okay, awesome.
42:48
Jeffrey: So you can follow me there as well.
42:50
Rob: And then, one author, speaker, or resource that you think would be worthwhile for people to check out?
43:00
Jeffrey: I just lost your visual. Iโm going to assume youโre still there.
43:03
Rob: I am still here.
43:05
Jeffrey: One author, speaker, resource that people should check outโthere are so many. Iโve just read a book with all my clients called Die with Zero.
43:18
Rob: Okay.
43:19
Jeffrey: And itโs all about how to live your life and spend your money so that youโve maximized your fun and happiness and arenโt just working like a dog to save money so that you have all this money when you die. Itโs sort of a clichรฉ, but when you read the book, he actually has some novel ideas that I honestly hadnโt really thought about till I read his book.
43:46
Rob: So Die with Zeroโwhoโs it by?
43:49
Jeffrey: Iโd have to Google it, but I think thereโs only one.
43:50
Rob: Sure. Either way, we can Google it. Actually, Iโll do it right now, just for the sake of anybody listening.
43:55
Jeffrey: Yeah, heโs got some novel ideas in it that actually changed my approach on how to deal with money with my kids.
44:02
Rob: So thatโs one good resourceโBill Perkins, for anybody listening.
44:07
Jeffrey: Yeah. My book, Destination Companyโyou can find it on Amazon. Become a Destination CompanyโI donโt make any money selling books, soโ
44:26
Rob: No, no, thatโs cool.
44:27
Jeffrey: But there are seven pillars there that will help you build a better business. Itโs not a big bookโI wrote it so that you couldโIโm like, you have a short attention span. So I wrote it so itโs going to be easy to get through with some good stories, but itโll definitely help you.
44:49
Rob: Awesome, man. So check it out: jeffreyscott.biz, social media, LinkedIn activeโreally appreciate you doing this. Die with Zero, Iโm going to have to check it out. I mean, thatโs a selfish question. Most of the questions I ask on this podcast are selfishโIโm just trying to learn. So I really appreciate you sharing and for everybody listening to the show. So thank you, Jeffrey Scott, for being a part of it.
45:07
Jeffrey: Hey, I really appreciate it, Rob. Thank you so much.