Turning Around a Blue Collar Business in Decline George | George Tibil & Keith Fields Interview

Introduction

This tutorial provides a comprehensive guide on how to turn around a declining blue-collar business, based on the experiences of George Tibil and Keith Fields, who successfully revitalized a commercial cleaning business. Through actionable steps, this guide aims to help entrepreneurs navigate the challenges of acquiring and improving a struggling enterprise.

Step 1: Understand Your Business Background

• Research Previous Ownership: Investigate the history of the business you’re acquiring to understand its challenges and successes.
• Analyze Financial Trends: Look at revenue trends and identify key areas where performance has declined. For instance, Tibil and Fields noticed the revenue dropped from $1.5 million to $1.1 million before their acquisition.

Step 2: Take Immediate Action

• Get Involved in Daily Operations: Work alongside your staff to grasp the intricacies of the business. Tibil and Fields worked night shifts cleaning offices to understand the operations firsthand.
• Assess Staffing and Culture: Evaluate the existing workforce and company culture. Building trust and rapport with employees is crucial for a successful turnaround.

Step 3: Develop a Vision for Growth

• Set Clear Objectives: Establish short-term and long-term goals for revenue growth and operational efficiency. Tibil and Fields aimed to increase their revenue from $1.1 million to $1.8 million within nine months.
• Communicate the Vision: Clearly articulate your vision to the team to foster a sense of purpose and alignment.

Step 4: Build a Strong Company Culture

• Foster Team Collaboration: Encourage open communication and collaboration among staff to build a supportive work environment.
• Recognize Employee Contributions: Acknowledge and reward hard work to boost morale and retention.

Step 5: Manage Changes Effectively

• Evaluate Management Structure: Identify any ineffective leadership or management practices. Tibil and Fields had to make tough decisions, including firing the general manager.
• Implement Training Programs: Invest in training for staff to enhance their skills and improve service delivery.

Step 6: Focus on Financial Management

• Understand Business Valuation: Familiarize yourself with how to assess the business’s worth and identify potential investment needs.
• Monitor Financial Health: Regularly check financial statements to track progress towards revenue goals and adjust strategies as necessary.

Step 7: Leverage Partnerships

• Build Strategic Alliances: Foster relationships with other businesses for potential collaborations that can enhance service offerings and reach more clients.
• Utilize Networks for Support: Connect with mentors and industry peers who can offer guidance and share best practices.

Conclusion

Turning around a declining blue-collar business requires dedication, strategic planning, and effective management. Key takeaways include the importance of understanding the business's background, actively engaging with operations, building a positive company culture, and maintaining a strong focus on financial health. As you embark on this journey, remember that the effort put into understanding and revitalizing the business will ultimately lead to sustainable growth and success.