6 Parts of a Spray Foam Company

Spray Foam Magazine – Fall 2020 – All companies, regardless of size, have a few critical functions that they have to implement to create success. Let’s take a look at the 6 parts of an SPF company, along with the purpose and processes of each, in The Business Bullseye.

1. OPERATIONS – Most business owners start their business because of their product or service. They have specialized knowledge or skills and decide to go into business for themselves focusing on operations.
   
   The first rule of operations is to WOW your customers and give them an excellent experience, so they become repeat buyers and send you referrals. The first step of WOWING your customers is to provide superior service by managing expectations and over delivering everywhere possible – quality, timing, cleanliness, customer service, etc. Behind the scenes, operations revolve around optimizing the production and logistics of your product by managing costs and scheduling. It is important to remember that no matter how good you are at what you do, you do not get to do it until you have customers.
   
   Furthermore, many of these business owners end up being an employee of their business. This is okay and often expected, in the beginning, but owners should have bigger goals because they take on so much risk.
   
   
2. MARKETING – Before a business gets to deliver their product or service, they have to find customers. And for most businesses this starts with the basic process of marketing, or taking people from not knowing who you are and what you do, to knowing.
   
   This can sometimes be an awakening for business owners to realize that they are really in the business of attraction and need to identify their ideal customer. Where do they hang out? Where do they find information? What are their pains? Challenges? Motivation? Goals? Aspirations? etc., and what messages will engage them and get them to act?
   
   Once you know who you want to target, the most critical step in developing your marketing engine is to attract these targets to engage with you and your company with your marketing and advertising activities. One suggestion is known as a lead magnet and offers your target market something that they value in return for engagement with your company. You see this in the form of offering samples, evaluations and reports, in exchange for customers contact information and further engagement. And you can do this either live, like after a presentation or at a tradeshow, or online, like with an offer on your website.
   
   Once you capture your prospects contact information, you can now share additional information and directly market to the prospect that has shown interest. This is done by placing your clear, concise marketing messages in front of your target market through email, direct mail, phone calls and meetings. Also, you can share your story to connect with your prospects on a deeper level. Go beyond the simple product or service that you offer and explain why you do what you do, what impact it has on the greater good or how you are connected to something bigger than yourself.
   
   Remember, the average buyer needs five to seven different touch points with a company before making their buying decision, and for higher dollar purchases the average number of touches can increase. It is critical that you stay persistent and nurture the prospects that have shown interest; keep in touch with them on a regular basis, share information they will find valuable and develop a relationship, without being pushy, so that they think of you when they are ready to buy.
   
   When you implement some of these practices into your business to better focus on your target market, increase inquiries and build stronger relationships with your engaged prospects, your efforts will be returned many times over as your sales process flourishes.
   
   
3. ADMINISTRATIVE – With your marketing efforts producing more and more prospects, your sales efforts moving them through your perfect sales process and then delivering and amazing them with your operations, you are on your way to creating a thriving, successful business.
   All other functions are part of administrative – finance, accounting, legal, etc., so this is where you take care of your bills, keep your lights on and your doors open. It is critically important to have good people on your side in these areas. You can employ them or contract them, but they will save you time and money in the long run.
   
   
4. SALES – Once the business generates interest, for example from an advertisement, a presentation or a trade show, there must be a simple conversion process that takes the prospect step by step through the sales cycle.
   
   The goal here is getting the prospect to a yes; and the best salesmen take their prospects on a journey, through several key phases:
   • Know, Like & Trust
   • Ask Questions to Identify Their Problem
   • Propose a Solution to their Problem
   • Offer a clear and concise Call to Action
   
   Let’s tackle a quick definition here—a sale is an exchange of value where each party gets more value than they give. Your customer sees more value in your offering than the cost and you, of course, want to trade your offering for their money. This is a positive experience and should be approached as such. Figure out the best way to create value, communicate this to your prospects effectively and you will win. “Stalking” a prospect like prey, trying to “get them,” is the absolute wrong approach to sales and is part of the reason that society has a negative view of salesmen; don’t be part of this problem. Keep in mind, people love to buy, but hate to be sold, simply help them see why they should buy from you.
   
   Every business has to develop their own sales process given their available resources, but if you include these components and master these methods, you will increase your closings and generate more business.
   
   Remember, if you understand your prospects’ situation and perceived problem and can get them to trust you at 100 percent before stating your call to action and asking for their business, you will more likely complete the transaction than if they only trust you at 50 percent.
   
   
5. GENERAL MANAGER – The general manager oversees all functions of the business and reports to the owner.
   
   Some of these functions include: tracking the sales and marketing numbers – incoming contacts, qualified leads, quotes/sales presentations and closed sales, managing the production, output and delivery, including material cost, labor, waste, production schedule and logistics. They also oversee the administrative tasks and responsibilities to make sure the company is growing and continues to operate.
   
   Often, a general managers role is filled by the owner in the beginning and it is up to them to develop and create processes to automate and systematize the business, so they can replace themselves in the future.
   
   For you active general managers and the owner operators that want to grow your business and become GMs, it is your job to create and implement systems and processes, teach them to your team and then manage them to make sure the business is performing and heading in the right direction. Systems and processes are simply a set of rules that should be followed, they can be simple or complex, and several can be established in each part of your business including marketing, sales, operations and administration.
   
   A good manager can rely on systems and processes to run the business without having to be on top of every decision, minimizing the potential for a bottleneck in the operation. Business metrics can be established to track performance and new personnel can be trained using these systems, reducing the impact of turnover. Management of your systems and processes can replace micromanagement of your people and this will improve the operation of your business.
   
   
6. OWNER – Owners keep the general manager on track, benefit from the success of the company and have to course correct when the business falters.
   
   If an owner approaches the creation of their business with the end in mind, they can develop and create simple systems and processes that operate without them, so that when the time is right, they no longer have to work in the business and can still have an income from the business.
   
   When most owners start their business, they are involved in all aspects of the organization, often being the key employee making decisions for the entire entity; sometimes creating a bottleneck.
   
   If they are out of commission, or otherwise unavailable, these businesses may come to a screeching halt if others are not empowered with systems and processes to make decisions. An owner has the prerogative to employ themselves and work in the business for as long as they want to, but if this is their goal, then they are merely self-employed and down the road he may discover that the business owns them and not the other way around.
   
   However, the keen owner has a goal of developing a business that can run without his or her daily involvement and they can benefit from the profits generated by the systems they have in place, whether they are physically involved or not, this is the essence of leverage and residual income and how many successful entrepreneurs have created their lifestyles.