In this episode, we delve deep into the realm of business management and leadership for your architecture and engineering A&E firm’s success. Our guest is June Jewell, CPA, a distinguished business management authority and CEO of AEC Business Solutions. June is renowned for her best-selling book, “Find the Lost Dollars,” and her latest publication, “RAISE Your Value,” which outlines a 5-step approach to discovering untapped value, creating a winning competitive advantage, and raising fees. In this episode, June elaborates on these principles and enlightens us on their application in practice.
***You can view the video version of this episode here.***
Here Are Some of the Questions I Ask June:
- Can you explain how your new book, “Raise Your Value,” relates to the commoditization of A&E services and why it’s happening in the industry?
- Can you explain the concept of commoditization and why it is occurring in the A&E industry, as discussed in your new book “Raise Your Value”?
- Why is strategic client selection important for firms, and what are some effective strategies for selecting the right clients?
- What are some tips for uncovering hidden value within a firm, as discussed in your book, that can help listeners improve their approach to business?
- Can you walk us through the 5 steps “Raise Your Value” formula outlined in your new book and explain how it can help firms increase their value and fees?
- What are some strategies that firms can employ to avoid the trap of competing solely on price?
- What trends do you see shaping the future of the A&E industry and how can firms adapt to stay ahead of them?
- What final advice or key takeaways would you offer to up-and-coming leaders in the industry who are seeking to enhance their firm’s value and profitability?
Here Are Some Key Points Discussed in This Episode About Unlocking Hidden Value and Elevating Your A&E Firm’s Success:
- Commoditization in the A&E industry occurs when clients cannot differentiate between firms offering the same services, leading them to prioritize price as the deciding factor, which many firms fall into the trap of accepting, ultimately neglecting to have the value conversation with the client and becoming the lowest-priced option in the market.
- Commoditization occurs when clients are unable to differentiate a firm’s value from that of their competitors, leading them to base their decision solely on price, which can lead to a race to the bottom, and the failure to have a value conversation with clients about what they are getting from working with the firm.
- A common mistake that firms make is assuming that their best client is the one who gives them the most work, but the most profitable client may be different, and understanding who your best client truly is, can be crucial to achieving success.
- What firms need to do to uncover hidden value is to focus on the results they deliver and connect the dots between why clients hire them and how they help achieve business goals, as well as identify ways they are saving clients’ money and communicating it effectively.
- The RAISE formula is a process for companies to increase their value and success. It involves rating clients based on ideal client criteria, assessing business operations and portfolio, investigating the firm’s true value proposition, developing a winning advantage, strategizing a plan based on value, and executing that plan to attract better clients and differentiate themselves in the market. By focusing on value and differentiation, firms can achieve greater success and growth.
- To stop competing on price, firms must shift their mindset to focus on working with clients who view their services as an investment in achieving their business goals and learn to communicate the real value they bring to the table.
- A&E firms need to adapt their technology, business practices, and culture to stay current and attract younger employees, who are comfortable with technology and want more flexible work arrangements and invest in developing middle-level leaders to ensure a sustainable future for the industry.
- Engineers working for a business need to see themselves as a business person and be focused on helping their clients achieve their business goals, as this mindset will differentiate them and make them more valuable professionals in the industry.
More Details in This Episode…
About June Jewell, CPA
June R. Jewell, CPA is a leading business management expert guiding Architecture and Engineering firm leaders to top industry profits by improving culture, processes, and systems, and ensuring leaders, PMs, and employees are trained for high performance.
She is the author of the best-selling book, Find the Lost Dollars: 6 Steps to Increase Profits in Architecture, Engineering, and Environmental Firms.
June is CEO of AEC Business Solutions, providing business assessments, training programs, workshops, and process improvement services to stop projects from leaking profits and find lost dollars in nine areas of your business.
June’s new book, RAISE Your Value, prescribes a 5-Step process to uncover hidden value, design a winning competitive advantage and increase fees. You can learn more about June and her team at www.aecbusiness.com
Books Mentioned in This Episode:
This Episode is Brought to You by Simpson Strong-Tie
Simpson Strong-Tie is a building-industry leader committed to helping people design and build safer stronger homes, structures, and communities. Our employees are passionate about innovative technology, engineering, and building a better world. We believe true success is achieved together. Come build with us at strongtie.com.
We would love to hear any questions you might have or stories you can share on how you unlock hidden value and elevate your A&E firm’s success.
Please leave your comments, feedback, or questions in the section below.
To your success,
Anthony Fasano, PE, LEED AP
Engineering Management Institute
Author of Engineer Your Own Success