We have recently been working with some A&E executives to develop a process and tools to assess the competencies of their Project Managers (PMs). The challenges that drove these efforts revolve around their inability to assess whether employees are ready to be promoted to a PM as evaluating why some PMs perform better than others, and how to fix this. Most of our clients expect PMs to deliver profitable projects, strong client relationships, and high-performing teams. Yet most firms continue to manage, promote, and develop PMs as if they all have the same skills, strengths, and developmental needs.

When A&E firms treat all PMs the same, they rely on generic training programs, subjective performance reviews, and uniform expectations. High performers are constrained by irrelevant oversight while underperformers continue to struggle with critical capability gaps that affect project success.  

Over the past ten years, my experience assessing and training thousands of project managers has shown a consistent pattern. When PMs lack essential business skills and core competencies, the results are avoidable problems, costly mistakes, growing frustration, and disappointing profit margins. 

What Goes Wrong When PM Capabilities Are Not Assessed 

When firms fail to assess PM competency, the consequences are predictable and costly: 

• Projects exceed budgets because financial risks are not identified early. 

• Scope creep goes unmanaged because PMs lack the skills or confidence to identify and negotiate change. 

• Write-offs increase because budgets and labor are not actively managed. 

• Client relationships are in danger due to reactive communication and inconsistent service. 

• Teams become disengaged because expectations and accountability are unclear. 

• Strong PMs become overburdened while weaker ones are promoted and compensated beyond their capabilities. 

• Leadership pipelines are in jeopardy, creating succession risk. 

• Training investments fail to deliver measurable returns. 

• Accountability is not practiced because firms lack a framework for measuring expectations. 

Most firms respond to these symptoms with more training, more reporting, or more process. Yet without understanding the specific capabilities of each PM, these efforts rarely address the root causes of performance shortfalls. 

Why Competency Assessment Must Be Multi-Dimensional 

Effective PM assessment cannot be based on a single score, personality profile, or traditional performance review. High performing PMs excel across multiple dimensions that influence financial results, project execution, leadership effectiveness, and client outcomes. 

A robust assessment approach should evaluate PMs across a comprehensive set of categories and competencies, measured through both self-evaluation, objective testing, and supervisor input. It should move beyond subjective opinions and focus on observable behaviors, decision-making patterns, and business impact. 

While these competencies can be grouped into broad domains such as financial acumen, project execution, leadership and people management, and client and stakeholder management, the true value lies in the depth of analysis. Firms need granular insight into where each PM excels, where gaps exist, and which capabilities most directly influence project outcomes. 

Without this level of rigor, firms are left with incomplete data and ineffective development strategies. 

The Strategic Benefits of Assessing PM Competencies 

A structured approach to assessing PM capabilities changes the equation. Instead of guessing, firms gain clarity. Detailed data replaces guessing and better decisions can be made. 

When firms assess competencies intentionally, they can: 

• Improve hiring decisions and reduce the risk of costly mis-hires. 

• Identify high potential talent earlier. 

• Create targeted development plans instead of generic training programs. 

• Establish clear career paths and promotion criteria. 

• Strengthen performance management and accountability. 

• Improve project staffing and risk management. 

• Increase consistency across offices and teams. 

• Align talent development with business strategy. 

• Build a stronger pipeline of future leaders. 

• Improve profitability through better project execution. 

• Increase employee morale and motivation.  

Assessment transforms PM development from a reactive exercise into a strategic system. 

What High Performing Firms Do Differently 

High performing A&E firms define excellence in project management in measurable terms. They assess PMs against clear competency criteria. They use assessment results to tailor development plans, coaching, and accountability expectations. 

Instead of treating all PMs the same, they target and differentiate. High performers are challenged and retained. Emerging leaders are developed intentionally. Underperformers receive targeted support before their projects and clients are at risk. 

Over time, the results are transformative: 

• More predictable project outcomes 

• Stronger financial performance 

• More consistent client experiences 

• Clearer leadership pipelines 

• Higher engagement among PMs 

A New Standard for PM Performance 

The future success of A&E firms will depend on their ability to develop PMs who think and act like business leaders, not just technical experts. Assessing competencies is not about labeling people, it is about creating clarity. When firms understand the specific capabilities that drive project success, and develop PMs accordingly, they gain the ability to improve performance systematically rather than reactively. 

Treating all PMs the same is no longer viable. The firms that will outperform their peers are those that assess, develop, and deploy PMs based on real competencies rather than assumptions. 

What a Structured Assessment Makes Possible 

When firms adopt a structured approach to assessing PM competencies, the impact extends far beyond individual performance. A well-designed assessment becomes a foundation for firm wide improvement. 

It enables firms to: 

• Hire and evaluate PMs with greater confidence and objectivity. 

• Design targeted development strategies and training programs that deliver measurable impact. 

• Strengthen performance management practices with clear expectations and data driven feedback. 

• Create transparent career paths and succession pipelines. 

• Improve project staffing and risk management. 

• Align talent development with strategic business goals. 

• Build a culture of accountability and continuous improvement. 

• Achieve more consistent project outcomes and sustainable profitability. 

Ultimately, assessing PM competencies is not just a talent initiative, it’s a business strategy. Without multi-faceted, objective assessment, firms are left guessing, and guessing is expensive. 

A New Standard for PM Performance 

The future of A&E firms will be shaped by their ability to develop PMs who think like business leaders, not just technical experts. This requires a fundamental shift in how firms evaluate and develop talent. 

Assessing competencies is not about labeling strengths and weaknesses. It is an objective approach that creates visibility into what truly drives performance. When firms replace assumptions with assessment data, they unlock the potential to transform project outcomes, strengthen leadership pipelines, and achieve sustainable profitability. 

For firms seeking to improve margins, enhance accountability, and build a stronger generation of project leaders, the path forward is clear – stop guessing and start assessing. What benefits would you see if every one of your PMs performed even 10 percent better? 

After assessing and training thousands of project managers and working with hundreds of firms to improve financial outcomes, one truth stands out. Firms that invest intentionally in developing strong project managers consistently outperform those that do not. 

Below are five high-impact strategies that can radically improve project manager success and strengthen your firm’s financial performance. 

Assess Competencies

Not all project managers are operating at the same level of competency. If you look at the standard PM job description, they often fail to identify specific competencies that are required to be a successful PM. And even in those firms that do have standard competencies identified, PMs are rarely assessed in these areas. Many PMs are promoted based on technical expertise or longevity rather than their ability to manage clients, teams, budgets, and risk. 

A structured competency assessment helps you: 

• Identify strengths and gaps in technical, financial, project management, leadership, and client management skills 

• Benchmark your project managers against industry expectations 

• Build targeted development plans 

• Improve hiring and promotion decisions 

• Pinpoint the areas where competency gaps are directly contributing to profit erosion 

A clear view of PM capability gives leadership the foundation needed to develop a consistent, high-performing project delivery team. Assessment is not optional. It is the starting point for every improvement initiative. 

Create Structured PM Processes and Systems

One of the biggest obstacles to profitability is the lack of standardization. When project managers each use their own approach to budgeting, scheduling, communication, and financial management, inconsistency becomes the default, and inconsistency is expensive. 

Without firm-wide project management processes, you can expect: 

• Quality control problems 

• Scope creep and unmanaged risk 

• Budget variances that appear too late to correct 

• Difficulty evaluating PM performance 

• Wasted effort and duplicated work 

• Frustrated clients and team members 

By contrast, firms that implement standardized, repeatable processes and systems see measurable improvement in quality control, predictability, client satisfaction, and profit margins. Processes and systems create structure, and structure enables faster PM onboarding, aligned expectations across departments, and smoother communication with accounting and technical staff. 

Most importantly, standardization creates the conditions required for meaningful accountability, which is addressed in strategy number five. 

Train Project Managers on Financial Acumen and Best Practices

Many project managers do not fully understand the financial consequences of their decisions. In my book, Find the Lost Dollars: 6 Steps to Increase Profits in Architecture, Engineering and Environmental Firms, we outline the specific points in the project lifecycle where money leaks out of the business and how project managers can prevent those losses. 

Training PMs in financial literacy and project management best-practices equips them to: 

• Build accurate and defensible budgets 

• Understand contractual obligations and risk 

• Manage scope proactively 

• Reduce write-offs and missed billing 

• Improve communication with clients 

• Plan resources more effectively 

• Make informed decisions that protect margins 

When PMs know how the firm makes money, as well as how projects lose it, they become stronger leaders, better decision-makers, and far more effective stewards of profitability. Financial training is not a luxury. It is a requirement for any firm that expects reliable project performance. 

Hire a Project Accountant to Support Your PMs

Even the strongest project managers struggle when they are overloaded with administrative and financial tasks that distract from managing clients, teams, and project outcomes. A project accountant is one of the most powerful productivity and profitability boosters available to A&E firms. 

A project accountant can: 

• Oversee billing and invoicing 

• Track budgets, forecasts, and financial performance 

• Monitor work in progress and cash flow 

• Support collections and documentation 

• Ensure timely execution of change orders 

• Coordinate schedules and deliverables 

• Maintain financial data in Deltek Vantagepoint, Ajera, or other industry systems 

• Help keep PMs focused on project financial outcomes  

This role delivers an exceptional return on investment by improving billing accuracy, accelerating cash flow, and freeing project managers to focus on high-value responsibilities. In most firms we work with, Project Accountants are often billable roles that pay for themselves. 

Strengthen Accountability with Clear Goals, Performance Monitoring, and Incentives

Processes and training are essential, but they only produce lasting change when accountability exists. Without clear expectations, visible metrics, and consistent follow-through, project manager performance becomes subjective rather than measurable. 

To build a culture of accountability, firms must: 

• Set clear, measurable goals for financial, operational, and client performance 

• Track performance through dashboards, KPIs, and regular, frequent check-ins 

• Provide coaching and feedback early and consistently 

• Apply consequences and rewards that reflect real performance 

• Ensure every PM understands how their actions impact firm profitability 

Accountability is not punitive. It creates clarity, alignment, and motivation. When expectations and incentives are aligned, project managers become more engaged, more responsible, and significantly more effective. 

Final Thoughts 

Project managers have more influence on firm profitability than any other role. When you assess their competencies, create structured processes, provide financial and project management training, support them with project accountants, and strengthen accountability, you are not simply improving project outcomes, you are transforming the way your firm operates. 

These five strategies create a foundation for consistent performance, stronger client relationships, and dramatically improved profitability. 

If your firm is ready to elevate project management performance and increase profits, visit AECBusiness.com to explore our Business and PM Assessments, Find the Lost Dollars training program, and tools designed specifically for architecture and engineering professionals. 

As artificial intelligence continues to disrupt nearly every corner of the A&E industry, many A&E firms leaders I speak with are grappling with both the urgency and uncertainty of its implementation. This was a common theme at last week’s PSMJ AI and Technology Conference in Austin, and provided much needed clarity and direction, as well as apprehension, for firm leaders navigating this new frontier.  

I literally had firm leaders tell me their heads were spinning after listening to some of the speakers talk about the fast pace of change and how AI will affect the industry. I thought it might be helpful to take my notes and summarize them into key points and steps that you can take to start to leverage the benefits of AI in your A&E firm. And yes, I did use AI to help me write this article. But the notes used to write it are mine, and I edited the final output to include my own recommendations, from a business perspective, to help small to medium sized businesses progress with AI. 

As my intention with this article is to add value, save you time and provide next steps, at the end of this article, I have included a 90-day readiness checklist and access to an editable AI Policy template you can download to use for your A&E firm. 

Here are the most critical takeaways, organized into actionable categories, to help you position your firm for long-term success. 

1. Start with Strategy: AI Is Not Just a Tool—It’s a Business Decision

Before deploying AI across your firm, you need an overarching technology strategy that includes: 

• A clear AI policy and governance framework (download the template here). 

• Regular risk assessments 

• Clear guidelines for ethical and secure use 

AI is not a standalone initiative—it must be part of your broader innovation and business strategy. Larger firms are already years into this process, forming internal AI committees and developing proprietary tools. If your firm is just beginning, start small: identify one business process where AI could increase efficiency, then track ROI and time savings. Success here can pave the way for broader adoption. 

2. Policy, Privacy, and Security: Own Your Data and Your Future

The message was clear: Data privacy and ownership are non-negotiable. 

• Always verify outputs from generative AI—especially anything client-facing or public. 

• Own your data, your prompts, and your results. Never use free tools for proprietary or client information. 

• Be cautious—some free tools (e.g., DeepSeek) are hosted in foreign countries and may use your data to train their models. 

• AI tools are changing terms of service rapidly. Policies must be reviewed multiple times per year to protect your intellectual property. 

Don’t advertise that you’re using AI unless asked. Treat it like any other internal technology. This posture may shift over time, but discretion is key for now. 

3. Train Your People, Especially the Young Ones

AI will change jobs—but it won’t replace people who are adaptable, analytical, and AI-literate. 

• There is real fear around job displacement. It’s your responsibility to reskill your workforce. 

• Younger staff often adopt technology more quickly. Let them test tools, provide feedback, and drive early-stage innovation. 

• Assign or hire someone who understands both A&E practice and AI technology. Just as many firms once needed a “Revit Champion,” they now need an AI Champion. 

4. Leverage Your Most Valuable Asset: Your Data

Your firm’s data is one of its greatest untapped assets. 

• Use AI to analyze internal data—Revit files, specs, historical project data—to identify trends, efficiencies, and risks. 

• AI can help assess what data you have and how it can create value for clients and the firm. 

• Consider hiring a data scientist in the future. This role will become critical in unlocking AI’s true potential. 

Used strategically, your data can differentiate your firm and unlock new service offerings—especially as clients gain access to the same AI tools. 

 5. Real-World Use Cases: Practical Applications Emerging Fast

Some promising examples of AI applications discussed at the conference include: 

• Reviewing Revit drawings to automatically flag building code violations 

• Leveraging AI in transportation design to plan for autonomous vehicles 

• Integrating AI with digital twins—real-time models of physical assets that use sensors and cameras to monitor buildings or infrastructure 

• Ability to create a design from an RFP. If you can do it, your clients can too… 

• Smart city forecasting: AI predicting weather impacts on roads and buildings, monitoring for public safety, and optimizing traffic and energy systems 

These aren’t just futuristic ideas, they’re already being tested and implemented in forward-thinking firms. The pace of change is much faster than it was in the past. If you haven’t already started, you are behind. 

6. The Road Ahead: Recommendations for Smaller A&E Firms

If you’re a small or mid-size firm, don’t be overwhelmed. Focus on what you can do now: 

• Audit your current tech stack—tools like Deltek and Microsoft already have built-in AI capabilities many firms aren’t using. 

• Build a small internal AI working group to evaluate and test tools. 

• Invest in training programs and perhaps a fractional AI expert. 

• Stay current by following trusted advisors like Steps Consulting or AI in AEC, who specialize in helping firms implement these solutions. 

You don’t need to build a proprietary AI platform today—but you do need a plan. 

Final Thoughts: Change Is Inevitable. Leadership Is Critical. 

The advancement of AI is ten times faster than previous technology waves—and adoption is lagging. Many A&E firms I have worked with are barely using their existing legacy systems that have been around for years (like Deltek). How will you increase the pace of adoption to maintain your current competitive advantage, let alone exceed it? 

If you wait too long, the gap will grow too wide to close. AI will not eliminate your firm—but firms that fail to adapt will be eclipsed by those who use AI to create more value, faster and smarter. 

One good benefit of AI is that it levels the playing field. Small to medium-sized firms can access the same tools and resources that the largest firms use. 

Also consider how AI will affect your business model in the future. If AI will replace some of your services, how will you maintain or grow your revenue in the future? This is a huge concern for many firms as the tools get better and able to replace design, reporting and even some kinds of field services. Those firms with a time and materials business model will need to reinvent how they do business, how they bill for services and how they demonstrate value to clients. 

Now is the time to ask: 

• What client problem can AI help you solve today? 

• How will you stay ahead of clients and competitors who are gaining access to these same tools? 

• Who in your firm is tasked with leading this transformation? Leadership support will be critical.  

The firms that thrive in the coming decade will be those that take intentional, strategic steps today. 

✅ 90-DAY AI READINESS CHECKLIST FOR A&E FIRMS 

Your first steps to safely and strategically implement AI in your practice.

Phase 1: Assessment & Awareness (Days 1–30) 

• Identify all current AI use within your firm (including informal use by staff) 

• Interview key staff about how they are using AI tools (e.g., ChatGPT, Firefly, etc.) 

• Review and document all software platforms currently in use (e.g., Revit, Deltek, AutoCAD) and identify which include embedded AI 

• Conduct a brief risk assessment (data privacy, client exposure, IP risk) 

• Form an internal AI Task Force or Working Group 

• Begin researching AI use cases in your disciplines (e.g., code compliance, design generation, project risk) 

Phase 2: Policy Development & Data Strategy (Days 31–60) 

• Draft an AI Use Policy (start with the template below) 

• Create internal guidelines for prompt engineering and review of AI outputs 

• Inventory your firm’s data assets: where it lives, who owns it, and what value it may have 

• Ensure you are only using paid AI platforms that comply with data privacy standards 

• Establish a system for reviewing AI vendors’ terms of service quarterly 

• Educate employees on the risks of AI misuse and free/public tools  

Phase 3: Pilot Programs & Training (Days 61–90) 

• Choose one business process to test an AI pilot (e.g., marketing copy, proposal writing, design QA) 

• Assign a small team to manage the pilot and evaluate ROI 

• Document time savings, quality impacts, and user feedback 

• Develop a basic training plan for all staff on ethical and effective AI use 

• Identify internal candidates for deeper AI training (future AI Champions) 

• Schedule regular reviews of your AI policy (e.g., quarterly updates) 

The architecture and engineering (A&E) industry stands at a pivotal moment where understanding core values, financial acumen, client loyalty, differentiation, and culture is essential to long-term success. The Value Quotient (VQ) Assessment, developed by AEC Business Solutions, provides A&E firms with a data-driven framework to measure their performance in these five critical areas and uncover actionable strategies for improvement. 

Here’s a closer look at what the VQ Assessment reveals about the state of the industry and how firms can use these insights to sharpen their competitive edge. 

The Five Pillars of the VQ Assessment 

The VQ Assessment evaluates firms on a scale of 0 to 100 points, distributed across five categories: 

1. Values – The foundation of a firm’s purpose, strategy, and culture. 
2. Financial – Strength in financial literacy and strategic management. 
3. Differentiation – Clarity in unique value propositions and proprietary processes. 
4. Clients – Building strong, lasting relationships. 
5. Culture – Fostering a cohesive and value-driven organizational environment. 

Key Findings: Strengths and Gaps 

The average VQ score across the A&E industry is 45.45 out of 100, indicating significant room for improvement. Here’s a breakdown: 

Strengths 

• Values (Average score of 10.81/20): Many firms emphasize purpose-driven leadership and cultural alignment. However, gaps remain in embedding these values into everyday operations. 

• Financial (Average score of 10.24/20): Financial acumen is moderately strong, with many firms demonstrating transparency and strategic focus. 

Weaknesses

• Differentiation (Average score of 7.20/20): Firms struggle to clearly define and communicate what sets them apart, often prioritizing technical expertise over strategic branding. 

• Culture (Average score of 7.66/20): Misalignment between employees and organizational values is evident, particularly in understanding and leveraging unique value propositions (UVPs). 

Role-Based Insights 

Perceptions of firm performance vary significantly by role: 

• Finance Teams rated Values (12/20) and Financial (11.36/20) the highest, likely due to their metrics-driven focus. 

• Marketing and Business Development roles scored lowest in Differentiation (6.33/20), reflecting challenges in articulating UVPs. 

• Project Managers provided higher scores for Differentiation (9.32/20) and Culture (9.14/20), reflecting their close collaboration with teams and clients. 

Opportunities for Growth 

Strengthening Values and Culture 

Firms need to move beyond simply documenting their values and ensure they are woven into the fabric of daily operations. Leaders should actively communicate and demonstrate these values through their own actions, creating a strong example for the entire organization. Values should also be integrated into recruitment processes, performance evaluations, and decision-making frameworks. By doing so, firms can create a unified culture where employees feel connected and clients recognize the firm’s authenticity and purpose. Conducting regular pulse surveys or workshops focused on values alignment can further reinforce and measure progress.

Enhancing Differentiation 

In a competitive market, standing out is essential. Firms must develop a Unique Value Proposition (UVP) that is not only relevant but resonates deeply with their target audience. This involves understanding client pain points and aligning services to solve them in a way competitors cannot. Beyond crafting a compelling UVP, firms should ensure it is consistently reflected in all communications, from website content and proposals to client presentations and social media. Training employees to articulate the UVP effectively during client interactions can further solidify the firm’s position as a leader in its space.

Building Financial Resilience 

Financial health is foundational to sustainable growth. Firms should invest in training employees at all levels to understand the impact of their roles on the bottom line. Providing transparency around financial metrics—such as project profitability, overhead rates, and cash flow—empowers teams to make more informed decisions. Encouraging a culture of financial literacy not only drives accountability but also opens doors to innovative ideas for cost-saving and revenue generation. Establishing regular financial review sessions and linking financial goals to broader business objectives can ensure long-term resilience.

Fostering Strong Client Relationships

Client relationships are the lifeblood of professional service firms. To strengthen these relationships, firms should establish a structured client feedback process, such as regular surveys or debriefs, to understand evolving needs and satisfaction levels. Acting on feedback demonstrates commitment and builds trust. Additionally, firms should aim to position themselves as strategic partners by offering insights, education, or value-added services that go beyond the immediate scope of work. Building deeper connections with clients can also lead to increased referrals—ensuring the firm grows not only through new clients but also through the endorsement of satisfied, loyal ones.

Taking the Next Step 

The VQ Assessment serves as both a mirror and a roadmap for A&E firms. By identifying areas of strength and opportunities for improvement, firms can take targeted actions to build resilience, align their teams, and deliver exceptional value to clients.

You can download the full report here.   

Introduction

In 2023, AEC Business Solutions (AECBS) partnered with 3C Engineering to implement the innovative “Find the Lost Dollars” training program. This case study explores the huge impact on this small California engineering firm from engaging with AECBS, and the direct impact of the program on 3C Engineering’s profitability and project management effectiveness. 

“We’ve seen tremendous results so far to date… it was definitely worth our investment, both time wise and financially.”
– Kelly Robinson, CEO, 3C Engineering, San Luis Obispo, CA 

Background

3C Engineering is a growing engineering firm known for its excellence in project delivery. However, like many small growing engineering firms, they faced challenges including low profitability, inconsistent project management practices and overall operational efficiency.  

These challenges were hindering their ability to grow profitably and maintain their competitive edge in the industry. They also realized they had the typical issue of a lack of financial and business acumen in their leadership and management teams. In response, Kelly Robinson, the CEO of 3C Engineering, looked for help in addressing these costly issues. After reading the best-selling book, Find the Lost Dollars: 6 Steps to Increase Profits in Architecture, Engineering and Environmental Firms, and a referral from an architecture client in their area who had been through the training, they heard about the Find the Lost Dollars program and sought the expertise of AEC Business Solutions to address these issues. 

Business Challenges Uncovered

In their initial consultation with AECBS, they identified the following issues causing them to lose profits and frustrating their leaders and managers: 

Inconsistent Project Profitability

One of the primary challenges confronting 3C Engineering was the inconsistency in project profitability. Despite their reputation for engineering excellence, some projects consistently failed to meet profit expectations. For instance, a major infrastructure project, which seemed promising on paper, experienced unexpected delays and cost overruns, leading to a significant reduction in profit margins.

“I think in general, most of our projects were going over budget or at least breaking even. It wasn’t like we had a bunch of victories. We were just kind of barely hovering around breaking even on what we were doing.” -Kelly

Difficulty in Identifying and Handling Scope Creep

Another key challenge was the difficulty in identifying out of scope work during projects. The firm lacked a systematic approach to identifying extra services and requesting change orders. They weren’t tracking write-offs, and most of their contracts were fixed fee contracts, resulting in projects that went over budget. 

Need for Improved Project Management Practices

3C Engineering recognized that their project management practices needed enhancement. Their project management was “horizontally integrated”, and they did not have a clear Project Manager role. While their engineering expertise was unquestionable, they struggled with project control and resource allocation. This issue became evident when they encountered difficulties in tracking project progress accurately, resulting in inefficient resource utilization and cost overruns. 

Lack of Accountability

One of the hurdles encountered by 3C Engineering pertained to maintaining accountability among employees, primarily due to the lack of enforcement regarding essential tracking protocols. The team exhibited inconsistencies in completing their time sheets accurately and lacked effective time management practices. 

Inconsistent Data Tracking

Prior to completing the Find the Lost Dollars Program, 3C Engineering did not track their data in a consistent manner. They were not entering opportunity data, they weren’t separating their direct and indirect labor, and they had poor data to reflect on overall.

“We didn’t know what to do when we started the company. I bought QuickBooks. I was an engineer. I had no clue. We didn’t even have payroll. We weren’t even making money. And so just going back and better understanding expenses and costs and making sure everything was mapped correctly and setting up that back end so that we knew the data were looking at was real data, and not having to do fuzzy math in our head to extract that out.” – Kelly 

Desire for Increased Overall Profitability and Efficiency

Beyond specific project-related challenges, 3C Engineering had a broader goal of increasing their overall profitability and operational efficiency. They sought to not only recover lost profits but also establish a sustainable framework that would enable them to consistently deliver profitable projects and remain competitive in the A&E industry. 

Collaborative Approach

AEC Business Solutions introduced the “Find the Lost Dollars” program, a comprehensive approach aimed at identifying and recovering hidden profits within 3C Engineering’s ongoing and completed projects. The collaboration involved the following key steps: 

1. Business Management Assessment: AEC Business Solutions and 3C Engineering enlisted feedback from their team to identify strengths and weaknesses in 9 areas of their business. Their employees provided insights needed to create a roadmap for business process and systems improvements. They did this using the Business Management Assessment (BMA).  
2. Process Optimization: Based on the assessment, AEC Business Solutions recommended process improvements and best practices in project management to prevent further profit leakage. 
3. Technology Integration: They were able to identify where automation could increase efficiency and provide better reporting for executive decision making. 
4. Training and Development: AEC Business Solutions provided the Find the Lost Dollars program of online and live training sessions for 3C Engineering’s leaders and project managers, empowering them with the necessary skills to ensure profitable project delivery. 
5. Monitoring and Support: Continuous monitoring of project performance allowed for early identification of issues, enabling timely corrective actions. 

Results

The implementation of the “Find the Lost Dollars” program yielded significant improvements for 3C Engineering.

Increased Profitability

By identifying and addressing profit leakage, 3C Engineering saw a notable increase in project profitability. In less than one year, they went from zero profit to a 20% profit margin! 

Streamlined Processes and Improved Data Tracking

Process optimizations reduced inefficiencies, resulting in smoother project execution and cost savings. They are now tracking opportunity data better, for improved sales effectiveness. They have improved the way they manage and report on projects, which has helped them control project costs and reduce project write-offs. 

Real-time Insights, Improved Accountability & Transparency

Advanced technology integration provided real-time data, enabling proactive decision-making and improved resource allocation. Due to the changes 3C Engineering made in time tracking and data recording, everyone on their team can now see who spent what amount of time on what category, etc., for every single project. This transparency throughout the company has improved accountability tremendously, and all team members now understand the importance of correctly tracking their time and metrics.  

Enhanced Project Management

They implemented a Project Manager role or “layer” across the company, where they did not have this specific role before. The training and development of their project managers has increased organization amongst their teams and consequently improved their ability to deliver profitable projects consistently.   

Sustainable Growth

The program has facilitated a culture of continuous improvement, setting the stage for sustainable long-term growth.  

Tackling Scope Creep

They now make sure that project managers fully understand scope and how to talk to clients about scope and extra services. As a result of completing the training, they found $175,000 just in extra services in a few months. They implemented better project kickoff meetings to identify scope and started meticulously reviewing contracts to make sure that they identified to the client how they were going to handle that scope. 

Confidence in Financial Management

The management team at 3C now has more confidence in talking with clients about money, charging higher fees, and asking for change orders. Very often what holds A&E professionals back from asking for more money is fear. By training them in financial concepts, they now have the confidence to discuss financial issues in a more business focused way and appreciate what the firm needs to make a living.

“I think one thing that we’ve really improved is making sure that the project managers understand scope and speaking up for additional services, really kind of understanding what the customer is asking for and where those ad services are. Just this last year, I think we’ve got 175 grand in ad services. So, understanding scope and having people speak up when there’s asks being made that are out of scope and getting those ad services communicated has been good.” – Kelly 

Conclusion

The collaborative effort between AEC Business Solutions and 3C Engineering demonstrated the effectiveness of the “Find the Lost Dollars” program in enhancing profitability and project management within the A&E industry. Through this partnership, 3C Engineering not only recovered lost profits but also established a foundation for ongoing success and profitability. This case study serves as a testament to the value of a proven approach to improvement of processes, systems, and training technical team members on business and financial concepts withing the architectural and engineering sector. 

3C is committed to continuing to improve their business management practices, using the concepts and tools learned in the Find the Lost Dollars program.  

We are thrilled to unveil the latest addition to the “RAISE Your Value” family: the audiobook version! Following the tremendous success of the hard copy release last year, we recognized the need to cater to the busy and dynamic lifestyles of professionals in the architecture and engineering industries. Thus, the audiobook version was born, offering a convenient and accessible way to dive into the transformative insights of this groundbreaking book. We are excited to be launching the audiobook on March 27th! 

Author Background 

June Jewell is an accomplished author with over 30 years as a recognized business expert in the architecture and engineering industry. Having worked with over 1,000 A&E firms, June has been highly successful in helping firms increase profits, create a culture of accountability, improve processes and systems, and raise their value in the minds of their ideal clients, employees, and their markets. June brings a wealth of knowledge and many new ideas designed to help you “RAISE Your Value” and take your firm to the next level of success, growth and profitability. Her dedication to empowering professionals in these industries shines through in every chapter of the book. 

Overview of “RAISE Your Value” 

“RAISE Your Value” presents a 5-Step Formula for architecture and engineering firms to uncover hidden value, design a winning advantage, and charge more for their services. In this book you will learn how to target an ideal client, differentiate from your competition, identify unique strengths, raise your fees using unique pricing strategies and develop a strategic plan that leverages this value. June Jewell’s insights offer practical guidance and actionable strategies that have the power to transform your firm by increasing revenue without working harder or adding staff.  

Benefits of the Audiobook Format  

The audiobook version of “RAISE Your Value” offers numerous benefits for busy professionals. With the flexibility to listen on the go, whether driving in the car, walking the dog, at the gym, or working on projects, the audiobook allows individuals to absorb valuable insights without disrupting their schedules. Additionally, the engaging narration brings the content to life, making it easier than ever to grasp complex concepts and apply them in real-world scenarios. 

Narration and Production  

June herself narrates the book with clarity and a true passion for the topic that enhances the listening experience. Recorded in a professional studio, the production quality ensures that listeners are fully immersed in the content, with crisp audio and seamless transitions between chapters. Every effort has been made to deliver an audio experience that captivates and inspires listeners from start to finish. 

Available Listening Options 

We’re excited to be offering the RAISE Your Value Audiobook on almost every platform you can imagine, including, but not limited to, the following:  

Amazon / Audible 

Apple 

Spotify 

Audiobooks.com 

Chirp 

Nook 

Kobo 

Google Play 

And many more.

The audiobook will be available to purchase from all retailers by March 27th!

Be a Part of the Launch Team 

Want to help us get the audiobook off the ground? Members of our RAISE Your Value Launch Team will receive the following benefits:  

• Be among the first to listen to the audiobook and give us your valuable feedback
• Invitation for you and your leadership team to attend an exclusive web training to learn and discuss how to implement the 5-Step RAISE Your Value Formula in your firm 
• Up to 20% discount on the RAISE Your Value online workshops for 12 months 
• Corporate discounts on bulk orders of books 
• Exclusive invitation to join us for our RAISE Your Value Audiobook Virtual Launch Party! 
• Invitations to participate in other live and virtual events, workshops, book signings and other educational opportunities 

You can reserve your spot on our launch team here and be among the first to access this valuable resource.  

Testimonials and Reviews

But don’t just take our word for it—here’s what readers have to say about “RAISE Your Value”: 

Conclusion 

As you navigate the ever-changing landscape of the architecture and engineering industries, let “RAISE Your Value” be your guide to success. With the release of the audiobook version, valuable insights are now more accessible than ever before. Order your copy today and take the first step towards unlocking your firm’s true potential.  

The business environment for A&E firm is changing due to growing competition, fee pressure, technology advances and hybrid work arrangements. Most A&E firms struggle to adapt to the fast pace of change. In working with A&E firms of every size and discipline all over the U.S. and Canada, I see 5 main challenges that are causing firms to fail to achieve their strategic goals and financial targets.  

I would like to propose some unconventional “solutions” to these problems. Hopefully I can stir up some good discussion and motivate some firms to think outside the box: 

CHALLENGE 1 – DIFFICULTY HIRING AND RETAINING STAFF 

This has been a problem for many years in the A&E industry and most firms have tried a lot of different strategies to find talent and retain employees. This challenge causes many other problems including having to turn away work, burning out employees with long hours, failure to develop employees because of tight schedules, hiring mediocre employees, and project issues due to inexperience and turnover.  

Two alternative ways to consider this issue include developing employees faster, and limiting the types of projects you agree to take.  

Many companies outside of the A&E industry, such as tech companies, start employees in “management” training right out of college. Most firms in the A&E industry wait 5-8 years to start any kind of leadership or business training needed to be an effective project manager (PM). In my experience, initiating business training at an earlier stage in one’s career fosters loyalty, develops crucial skill sets, and greatly impacts the success of projects. 

Also, I believe it does not make sense to hire mediocre employees to work on unprofitable projects with bad clients. Many firms are spread so thin, they ignore their best clients while tending to their most demanding, and often, least profitable clients. By weeding out your lowest profit clients and projects, you can take some of the pressure off your employees and end up with higher profits, and ultimately, happier clients and employees. 

CHALLENGE 2 – COMMODITIZED SERVICES 

The A&E industry has become commoditized due to fee pressures and an inability to differentiate services. When firms compete without clear differentiation, price becomes the most important factor in selection. 

As a result, many firms are forced to compete on price. This is often because they are focused more on the solutions they deliver, and the technical aspects of their work, and not the outcomes and results the clients want or need for their projects. By developing a Winning Advantage that clearly differentiates your services from your competitors based on value, you can justify higher fees and improve your ability to win in a competitive situation, or avoid one altogether. 

By training your team to sell on value, rather than price, you can get better clients that appreciate your work and raise your prices. Check out my book, RAISE Your Value: 5 Steps for Architecture and Engineering Firms to Uncover Hidden Value, Design a Winning Advantage and Charge More, to learn my 5-Step process to develop your Unique Value Proposition (UVP) and overcome commoditization and competition.  

CHALLENGE 3 – PROJECT MANAGERS (PMs) NOT TRAINED FOR SUCCESS 

PMs in the A&E industry are challenged with having many responsibilities that they are not trained to be successful at including business development, project financial management, staff supervision and client relationship management. None of these essential business skills are taught in college. To add to this, many firms lack structured processes and systems, and fail to hold employees accountable to ensure consistency, quality and predictability of project success.  

Developing PMs is often put on the back burner because of the lack of time discussed above in challenge number 1 – staff shortages and turnover. However, providing the right training can help make up for staff shortages by eliminating wasted time, building confidence in PMs, reducing project mistakes and disputes, and increasing revenue by controlling scope creep and reducing write-offs.  

Many of your current challenges with project profitability can be addressed with business training focused on daily behaviors and implementing processes and systems with accountability. It is almost impossible to hold a PM accountable if they are not adept and confident in reading project financial reports and using systems effectively to control project costs. Check out how our Find the Lost Dollars business management training program has helped hundreds of A&E firms address this challenge and increase profitability in 12 months or less. 

CHALLENGE 4 – NO STRATEGY TO GET BETTER CLIENTS 

The pursuit of new work in the A&E industry is often not strategic in nature. Many firms continue to work with unprofitable clients that don’t appreciate their work, refuse to approve change orders, and delay paying on time. This does not make good business sense, and is leading to low profit margins and possibly, employee turnover.  

Selecting clients that value your solutions and are willing to pay more to have a trusted partner on their team is key to growing and thriving financially. 

Most firms could fire the bottom 20 percent of their clients, which would relieve their struggles to find staff and probably increase their revenues and profits in a year or less. 

Developing and implementing an intentional strategy to get better clients, rather than the pursuit of revenue, is a game changer and will elevate your firm faster than almost any other strategy you can execute. 

CHALLENGE 5 – PERFORMANCE NOT REWARDED ON THE RIGHT METRICS 

Incentive programs based on discretionary factors, or the wrong metrics, will have the opposite effect than desired. Performance programs based on annual reviews, discretionary bonuses and office or team-based metrics will discourage employees from performing higher or reward the wrong behavior. 

Annual reviews should be a thing of the past. No one likes them and they often focus on behaviors or problems that happened months earlier, rather than instant feedback which is more effective at teaching and helping employees learn from their mistakes. 

Discretionary bonuses disempower employees because they believe there is little they can do to influence their own compensation. They see poorly performing staff get the same bonuses they do, and often assume it’s because the boss likes them better. 

Using metrics based on the how the team or office is performing does not incentivize employees to collaborate or raise their individual efforts. Using a hybrid metric, based on the performance of the entire firm, an employee’s team and achievement of their own goals, will create more collaboration, teamwork and incentive personal performance. It also improves your ability to hold employees accountable and makes it easier to be transparent with firm financial data. 

Sometimes you may need to evaluate your organizational structure and how you report financial data to even the playing field. For example, a firm organized around teams will discourage sharing of resources. 

OVERCOMING THE CHALLENGES 

To overcome these 5 challenges, you will need to do an assessment of what is going on in your firm that is causing your metrics to be less than desired. I recommend asking a series of questions designed to uncover where people, processes and systems do not support your teams.  

If you need help assessing where you can be stronger, consider my Business Management Assessment that will provide a wide range of data and feedback from your employees and enable you to quickly break down where problems exist and get suggestions for addressing them. 

At AEC Business Solutions, we are passionate about helping our clients solve challenges just like these and have lots of ideas that we would love to share with you and your team. 

We are excited to announce the launch of our new program – the RAISE Your Value Strategic Advantage, kicking off in January. This blog post will provide information about the program, the results you can expect to achieve and how you can be one of a small group of firms that are able to break the trap of commoditization that has plagued the A&E industry. 

In the increasingly competitive world of Architecture and Engineering (A&E), many firms are forced to compete on price and lower fees to win work. Finding a way to differentiate, offer additional value and stand out against competitors can seem like a monumental task.  

What if we told you there’s a way to gain an extra $100K in revenue after completing our program, with the ultimate goal of reaching $1 million in just 12 months – all without the need for additional employees or working any harder? Sounds too good to be true, right? Well, it’s not when you have the right strategy in place. 

Getting More with Less 

By participating in the RAISE Your Value Strategic Advantage, you have a unique opportunity to achieve accelerated financial success by redefining the way you approach value, pricing, and competition. Over the course of several months, our team will work closely with your team and a small group of non-competitive peers to elevate your firm’s value, get better clients, command higher fees, and gain a substantial competitive edge. 

The central objective of this program is simple: to help your firm attract more ideal clients while distancing yourselves from those who do not truly value your work. By systematically rating clients and developing an actionable plan, firms can retain their best clients and improve relationships with others. 

Results you can Expect from the RAISE Your Value Strategic Advantage

Differentiate Your Firm and Move Away from Competing on Price 

One of the primary benefits of the program is the opportunity to distance your firm from the relentless cycle of competing on price. When two firms appear the same, price becomes the primary differentiating factor. When your team is able to clearly articulate your unique value, price is less of a factor in whether you win or lose. Your value message will empower your firm to showcase your unique strengths and offerings. By differentiating your firm from competitors, you’ll no longer need to engage in price wars to secure projects. Instead, you can emphasize the value you provide and command fees that reflect the true worth of your services.

Identify Your Best Clients and Learn How to Retain and Grow Relationships 

The difference between the most successful and profitable firms and the average firms is the firm’s clients. When you have clients that value your skills, service, relationship and ability to help them avoid expensive problems, you can charge more and not have to lower fees to get projects. The program’s first step is defining your ideal clients and rating your current clients against this criteria. This process provides insights into which clients are the most beneficial for your firm. With this knowledge, you can focus your efforts on retaining your best clients, nurturing those relationships, and even expanding their scope of work. By identifying and catering to your best clients, you’ll maximize profitability and build enduring partnerships. 

Develop a Strategy to Attract More Ideal Clients 

While retaining existing clients is essential, the program also emphasizes the importance of attracting new ideal clients. The knowledge gained from the program will enable you to craft a strategic approach for identifying and winning over clients who align with your firm’s strengths and values. This ensures a sustainable stream of projects that not only bring in revenue but also align with your firm’s vision and capabilities. 

Equip Your Team with a Framework for Discussing Value 

The program equips your team with the skills and tools needed to effectively communicate the value your firm offers. This is not just about technical services but also about the tangible and intangible benefits your clients receive. Your team will gain the confidence to articulate the value proposition clearly, demonstrating to clients why your services are worth the investment. This enhanced communication is vital in securing projects and nurturing client relationships. 

Master Pricing Techniques to Win More Often 

Pricing is a critical aspect of profitability, and the program provides valuable insights into pricing strategies that work. You’ll learn how to set fees that reflect your value while remaining competitive. With these pricing techniques, you’ll be in a better position to win projects without resorting to underbidding, ensuring that each project contributes to your firm’s financial success. 

Conduct Research for Forward-Thinking Strategic Planning 

The program encourages research and analysis to prepare your firm for a forward-thinking strategic planning process. By gaining a deeper understanding of your market, competition, and clients’ needs, you can make informed decisions that guide your firm’s growth. This research-driven approach is essential for developing a robust strategy that aligns with your long-term objectives. 

Uncover Your Hidden Value and Design a Winning Advantage 

Throughout this program we will be exploring the unique ways your firm adds value to clients. We will develop a Unique Value Proposition (UVP) and Proprietary Process that speaks to the needs and desires of your ideal clients. Instead of talking about design or engineering services, you will have a framework and graphic tools to describe the results your team delivers that helps your client achieve their personal, business and financial goals. 

The RAISE Your Value strategic advantage Process 

In the best-selling book, RAISE Your Value, June Jewell introduces the RAISE Your Value 5-Step Formula. This formula has 5 unique steps that take your firm through implementation of the concepts in the book and positions your firm to execute on your Winning Advantage. The $1M Fee Accelerator Program takes you through the first three steps of the 5-Step Formula as follows: 

Step 1: Rate Your Clients and Develop Your Ideal Client Criteria 

The first step involves identifying which clients are the best fit for your firm. This approach enables firms to attract more of their ideal clients while strategically managing those clients who do not align with their goals. By rating clients and developing a plan, firms can systematically retain their best clients and enhance their relationships with others. 

Step 2: Assess Your Firm’s Value Differentiators 

In step two, firms undergo a thorough evaluation of their sales process, rates, project financials, client feedback, and competitive positioning in the market. This comprehensive analysis guides firms in enhancing their market presence and strengthening their value proposition. 

Step 3: Investigate Your Unique Value

The final step involves collaborating to develop a Unique Value Proposition (UVP) and a Proprietary Process that sets your firm apart from competitors. This market differentiator becomes the firm’s winning advantage, enabling you to attract high-value clients and command higher fees. 

Program Delivery and Support 

The RAISE Your Value Program is designed to be flexible and self-paced, allowing firms to progress quickly or at a pace that suits your unique goals. While enrolled in the program, firms receive ongoing support through: 

• Live coaching and support during weekly small group Zoom calls. 
• An online platform featuring educational materials, exercises, worksheets, and templates to guide firms through each of the 12 program sessions. 
• Unlimited email support from June Jewell and the AEC expert team as firms work through their weekly assignments. 
• As part of our Premium Program, you can receive more one-on-one guidance from June and her team to support your efforts through completion of the 12 Sessions. 

Unlocking Your Firm’s Potential 

The RAISE Your Value Strategic Advantage offers a structured approach to increasing your firm’s value, profitability, and market differentiation. Join the ranks of successful A&E firms that have harnessed the power of value-based pricing and transformed their financial future. 

Don’t miss this opportunity to unleash your firm’s full potential and achieve the financial success you deserve. Take the first step toward financial transformation by scheduling a call with us today. Discover how this program can be tailored to your firm’s unique needs and set you on the path to success. 

We are kicking off the new season of the program in January with limited spaces in both the Standard and Premium programs. Schedule a Call today to see which program is best for your team! 

Satisfaction Guaranteed 

What sets the RAISE Your Value Program apart is the confidence we have in its effectiveness. We believe so strongly in the value it provides that we offer a 100% satisfaction guarantee. If, after completing the program, firms do not witness the promised results, we stand by our commitment to provide a full refund. 

This guarantee underscores our belief in the transformative power of the RAISE Your Value Program, emphasizing its ability to unlock the full potential of A&E firms. You have nothing to stop you – this program is risk free! 

In summary, the benefits of the RAISE Your Value Strategic Advantage extend far beyond the obvious financial gains. It’s a holistic approach that empowers A&E firms to refine their positioning, enhance client relationships, and secure projects at fees that reflect their true value. By enrolling in this program, you’ll equip your firm with the tools and strategies needed to thrive in a competitive industry while achieving sustainable financial growth. 

Wondering how to get started? Click the button below to schedule a convenient time to talk with us to discuss if the program is a good fit for you and your firm. If we find you are a good fit, we will get you enrolled in the program and you and your firm can get started immediately.  

Still Not Sure? 

Watch these testimonial videos where our clients talk about their experiences and results working with our team! 

Jim Duffy, President/CEO, Ten Over Studio

Ursula Iafrate & Benjamin Jados, FAE Consulting

Bryan Johnson, President, Capital Engineering

In today’s competitive landscape, architecture and engineering (A&E) firms face numerous challenges when it comes to differentiating themselves, maintaining profitability, and cultivating a company culture that truly embodies their values. In my newest book, RAISE Your Value: 5 Steps Architecture for Engineering Firms to Uncover Hidden Value, Design a Winning Advantage and Charge More I describe the challenges faced by A&E firms in differentiating and selling on value instead of competing on price.  

As part of our efforts to help our clients assess their current market position and value proposition, I developed a new tool – the Value Quotient (VQ). Just like measuring your Intelligence Quotient (IQ), the VQ will help you score your firm in five areas crucial to competitive and financial success. 

Below we explore the significance of the VQ Assessment for A&E firms, its five key elements, and how it can lead to enhanced success and competitiveness. 

Understanding the Value Quotient (VQ) Assessment

The Value Quotient (VQ) Assessment is a quick tool that enables A&E firms to score their culture, marketing, and business practices in relation to the concept of “value.” It is constructed around five essential elements that collectively measure a firm’s Winning Advantage: 

1. VALUES: Defined Values that Drive Purpose, Strategy, Culture, and Sales 

At the core of any successful A&E firm lies a set of well-defined values that serve as the guiding principles for the organization. These values not only influence the firm’s purpose and strategy but also shape its culture and sales process. The VQ Assessment prompts firms to evaluate how their values are guiding their business decisions, employee and client selection and core business messages. 

2. FINANCIAL: Financial Literacy and Focus 

Financial stability is fundamental to any A&E firm’s longevity and growth. The VQ Assessment emphasizes the importance of financial literacy and a sharp focus on financial matters. Without a sound financial focus at all levels, project managers and leaders will undersell services and fail to make key decisions that affect firm profitability and growth. It encourages firms to assess their financial acumen and make informed decisions to secure their financial future. 

3. DIFFERENTIATION: Having a Competitive Winning Advantage 

In an increasingly crowded marketplace, A&E firms must stand out to thrive. Differentiation is key, and the VQ Assessment highlights the necessity of a Winning Advantage. This involves developing a Unique Value Proposition (UVP) and Proprietary Process that sets the firm apart from competitors. A well-crafted UVP and visual Proprietary Processes can attract ideal clients and foster long-term relationships. 

4. CLIENTS: Valued by Clients, Measured by Feedback 

Having great clients is key to an A&E firm’s success. A&E firms should continuously assess their client relationships to ensure they provide mutual value. The VQ Assessment encourages firms to solicit feedback from clients through various methods, such as surveys or interviews and assess current clients against ideal client criteria. By actively seeking client input, firms can gain insights into client satisfaction and make necessary improvements. 

5. CULTURE: Embracing Value Throughout the Organization  

A firm’s values must extend beyond mere rhetoric; they should be ingrained in the organizational culture and embraced by employees at all levels. The VQ Assessment enables firms to evaluate the extent to which their values have been integrated into their culture. A strong value-centric culture can lead to better employee engagement and more consistent delivery of value to clients. 

Utilizing the VQ Calculation

The VQ will score your firm in each of the five areas – each with a total highest score of 20 and a total assessment score of 100. Based on your score, you will be receive results that describe your position in each area and provide some suggested courses of action. 

The VQ calculation serves as a starting point for A&E firms to assess their current position regarding these five crucial elements. However, its value doesn’t end there. We have developed a new program called the RAISE Your Value $1M Fee Accelerator to work closely with me and my team to help you implement the first three steps of the 5-Step RAISE Your Value Formula.  

The RAISE Your Value $1M Fee Accelerator Program is designed to help you gain an additional $1M or more in revenue, by increasing prices and getting better clients, without adding staff. Schedule a call with me to review your VQ scores and see if this program makes sense for you and your team.  

Conclusion

The Value Quotient (VQ) Assessment is a valuable tool that can significantly benefit A&E firms seeking to thrive in today’s competitive landscape. By focusing on values, financial literacy, differentiation, client relationships, and culture, A&E firms can enhance their Winning Advantage and build a strong foundation for long-term success.  

Utilizing the VQ calculation and the 5-Step RAISE Your Value Formula, firms can navigate the complexities of the industry, differentiate themselves, and deliver exceptional value to clients while fostering a culture that aligns with their core values. In doing so, they can truly unlock their potential and achieve new heights of success. 

Don’t miss out on the opportunity to discover your Winning Advantage, align your values with your actions, and achieve unparalleled success in the A&E industry. Take the VQ Assessment today and embark on a path towards growth, differentiation, and lasting excellence. 

If you’re interested in learning more about the RAISE Your Value $1M Fee Accelerator Program and what it can do for your firm, you can do so by clicking below. 

In a recent article published in Geostrata Magazine by June Jewell, the key challenges and opportunities in the engineering and architectural sectors are discussed, shedding light on why some firms manage to charge high fees and achieve significant profits while others are stuck with lower margins. The article also highlights the importance of focusing on client value rather than competing on price. 

The central theme of the article revolves around the harmful effects of commoditization within the engineering and architectural industries. It addresses the following key points: 

1. The Problem of Commoditization

Many engineering and architectural firms often find themselves competing primarily on price, leading to a situation where their services are perceived as interchangeable. This commoditization reduces the growth potential and profitability of these firms, limiting their ability to invest in talent, technology, and other strategies for growth and success. Commoditization is caused because most A&E professionals struggle to differentiate themselves from competitors and discuss the value points an ideal client cares about.

2. The Importance of Quality Clients

Selecting high-quality clients is one of the key factors to firm growth and success. Not all clients are created equal, and it’s crucial for firms to focus on those clients who value quality, are willing to pay for it, and align with the firm’s objectives. The right clients can lead to more profitable work and long-term success.

3. The Value Proposition

To break free from commoditization, firms must develop a clear and compelling Unique Value Proposition (UVP). The UVP is a powerful message that highlights the unique benefits and value the firm provides to clients, setting them apart from the competition. An effective UVP can lead to higher fees and better client relationships.

4. Proprietary Process

In addition to the UVP, a Proprietary Process can further differentiate a firm. When combined with the UVP, it creates a competitive advantage that’s difficult for competitors to replicate. The Proprietary Process should focus on delivering results that clients desire and be presented in an exciting and memorable way. 

5. The RAISE Your Value Formula

The 5-Step RAISE Your Value Formula, which offers a structured approach for engineering and architectural firms to uncover hidden value, provides a way for firms to define their differentiation, and execute their plans. This formula can help firms escape commoditization and rise to the top of their industries in terms of fees and profitability. The acronym RAISE includes 5 steps that walk a firm through the process of identifying their unique value: 

R = Rate Clients 

A = Assess Market Positions 

I = Investigate Value and Develop the UVP and Proprietary Process 

S = Create a Strategic Plan to Leverage the Value Message 

E = Execute on the Strategic Plan 

6. The Future of the Industry

The GeoStrata article concludes by emphasizing the importance of A&E professionals recognizing and communicating their true value to clients. By refusing to be commoditized, the industry can thrive and continue to deliver value to clients and society as a whole. 

Through June Jewell’s work with the GeoProfessional Business Association (GBA), she has participated in efforts to Elevate the Industry. An Elevate the Industry Accord was created to provide a framework of guidelines for engineering firms to operate by. You can read and sign the Accord here.  

In summary, the article highlights the need for engineering and architectural firms to shift their focus from competing on price to delivering unique value to clients. By developing a strong value proposition and proprietary process, firms can attract better clients, command higher fees, and ultimately achieve greater success in the industry. The full article in Geostrata can be read here.  

In the competitive world of Architecture and Engineering (A&E) firms, the sales process is a crucial aspect of success. Securing new projects and clients heavily depends on going after the right projects, managing sales opportunities, and submitting well-crafted proposals. However, one common challenge that plagues many firms is the lack of a systematic sales process to ensure the highest revenue for the least amount of proposal submissions. 

In my book Find the Lost Dollars: 6 Steps to Increase Profits in Architecture, Engineering and Environmental Firms, I demonstrate the value of having a good sales process to ensure investments in marketing and sales are not wasted. 

The Problem: Lost Opportunities in the Pipeline 

Many A&E firm leaders have no clear idea of their real pipeline – the opportunities and proposals currently in progress. This is often because they lack a consistent sales process designed to ensure sales success. This lack of consistency and visibility hinders key decisions around hiring, resource management and cash flow. By establishing an effective sales process, firms can see a huge increase in sales wins with overall less effort and cost. 

Managing the Sales Process In a CRM 

An effective sales process should outline every step taken from lead generation through sales close. It should include the who, what, when and how of every step and data point required to manage sales to a high close rate. Using a Client Relationship Management (CRM) system to manage the entire sales process will increase consistency and accuracy of data used for crucial decisions.  

A&E firms have struggled for years in implementing and managing CRM systems to track leads, opportunities, proposals, and sales statistics. CRM systems can be an extremely valuable tool when maintained consistently and used by anyone responsible for working with clients and bringing in business. 

 Without a CRM, the data needed to ensure a high Win Rate will be tracked in multiple spreadsheets and be inconsistent and incomplete. Without this kind of data, firm leaders will not have adequate information to predict future revenue, backlog, and staffing requirements. 

Another major problem that will cause the firm’s Win Rate statistics to be low will be a lack of sufficient proposal follow-up. Without this follow-up, dollars spent on proposals are wasted and the firm will suffer from volatile sales and utilization. 

Creating an Effective Go / No-Go Process 

One challenge many A&E firms struggle with is deciding which project to pursue. An effective Go / No-Go process will keep your team focused on limiting project pursuits to those projects you have the highest chance to win, have the highest profit potential and are with clients and markets you are targeting in your strategic plan. 

Your Go / No-Go process should have a scoring system that will provide a hard cut-off for when opportunities should be pursued or not. This will help guide your team and ensure resources are not wasted on projects the firm should not go after. 

Track and Analyze Key Metrics 

The best measurement of sales success is the Win Rate metric. This is calculated by dividing sales wins by total proposals submitted. The Win Rate can be calculated by both units and dollars. It can also be calculated by market sector, seller-doer, departments, and any other valuable subcategory of the business. 

Another key metric that can provide great insight is the correlation between the Go / No-Go Score and the Win Rate. This metric will show you whether you are selecting the right opportunities to bid on and help you narrow down your proposal efforts to the types of clients and projects that your firm will be most effective at pursuing.

Designate a Proposal Follow-up Coordinator 

The key to successful proposal follow-up is designating a team member to track and follow-up on leads, opportunities, and proposals. This person will serve as the Proposal Follow-up Coordinator, responsible for monitoring the progress of each proposal and ensuring timely follow-up actions are taken. By centralizing this responsibility, you create accountability and avoid situations where proposals slip through the cracks. 

Create Accountability and Update Proposal Data 

The sales process should include a standardized system for updating sales progress in the CRM. Require team members to consistently update the status of each opportunity and proposal providing real-time visibility into the pipeline. Implement regular meetings or check-ins with the Proposal Follow-up Coordinator and Seller-Doers to discuss updates and any challenges faced during the sales process. This practice ensures that everyone involved stays on the same page and fosters a culture of accountability. 

Personalized and Timely Follow-up with Clients 

Effective follow-up goes beyond automated emails or generic phone calls. Encourage your team to engage in personalized interactions with clients. Timely follow-ups show that your firm is invested in the client’s project and values their business. A personalized touch demonstrates professionalism and builds rapport, increasing the likelihood of winning the project. 

In the competitive sales landscape of A&E firms, the sales process is a critical determinant of success. The key to transforming your proposal submission efforts into consistent wins lies in effective follow-up. By designating a Proposal Follow-up Coordinator, leveraging a CRM system, tracking important metrics, and fostering a culture of accountability, your firm can achieve improved win rates and more consistent results.  

Never let a proposal disappear into the void; instead, take charge and lead your firm towards a successful sales process that elevates your project lifecycle to new heights. Embrace the power of an effective sales process and watch your firm flourish with a robust pipeline of opportunities and satisfied clients. 

1. THEY DON’T WANT TO GO BACK

2. YOU MAY HAVE TO SEND THEM HOME AGAIN

3. VACCINATED VERSUS NON VACCINATED EMPLOYEES

4. MASKS OR NO MASKS

5. SAFE WORKING ENVIRONMENT

6. REQUIRING VACCINES

7. EVERYONE IS IN A DIFFERENT SITUATION

8. BURNOUT

9. TURNOVER

10. HYBRID POLICIES