Case Study of Jack Arnold : Owner of Arnold Electric Services
Jack Arnold is the owner of Arnold electric services which is an electrical service provider company based out of Chicago, Illinois. They have been in this industry since 2008.
Let’s roll back in time to see how jack made his breakthrough in this industry.
When Arnold started out his business, he couldn’t make much progress in the electrical business. At a certain point in time, he had given up hopes because he felt he could not scale up his business anymore. He had plans to close down his business and had started looking out for other jobs. He was about to take up a position at a gas filling station.
He then started attending networking meetups where he would meet other company owners in the home service business domain and that’s when he came across service excellence training and consulting who provide business coaching and training services to home service providers.
He implemented few changes in his business later on which turned out to be useful for his company
- Arnold went from a time and material rate company to a flat rate company.
Let’s understand what this actually means
When a customer would call out for a problem, for example, fixing an outlet then what Arnold previously used to do was provide 1 option which has 1 pricing and in many cases customer would not be happy with the pricing so in that scenario Arnold would have to provide a discount and cut down on the pricing. Now there is a transformation in the way they offer the services.
They have a checklist for a job and this provides the customer more options and flexibility on what exactly he wants to get repaired. This is a win-win situation for both the company and the customer. It leaves the customer more satisfied with the service as well as the fee that he needs to pay.
Let us take one real-life example on different grounds which will make this business strategy more clear –
When you go out shopping and at the billing counter you get to know that the bill is around 120$ and you have got just 100$ then you started taking off a few of the shopping items to fit in your budget. You keep the ones in the shopping cart which are on top priority and you remove the ones which are not needed on an urgent basis.
The above example is what portrays how the customers can choose what kind of service repair do homeowners can opt for with the help of a checklist.
- Building a team is an important process. When Arnold started to hire more people he started to examine the personality profile of every applicant. He put in more effort to understand what else a technician would majorly require apart from being good at technical skills. He then realized that team members need to have moral values which ultimately is a crucial part of building a winning culture. The technicians are going to be on the field, meeting the customers and the way they carry out the service, communicate with the customers, take the feedback from the customers, all of it comes into play.
This was something which he believed in and so he got service excellence training and consulting to conduct a 3-hour session every Monday morning for the technicians.
- Arnold believes in 3 key factors for business growth
People, process and product – Arnold believes in this principle which was stated by billionaire entrepreneur Marcus Lemonis
It is people and their beliefs that make up a successful business. A strong team with a clear vision is what helps the business scale up quickly.
Process right from large scale operations to even the smaller levels of a business is another crucial factor in business management.
When we talk about the product or service that a business offers to the customer, it all boils to the crux of the problem that the product is solving. Is it something that really makes the lives of the customers simple.
Jack was able to go from 3 technicians in the field to 10 technicians in the field within 6 months after understanding all the crucial factors of scaling up a business and implementing it right from the nano level. Be it in the operational process, hiring or giving importance to the team members.