I lead by example and can be very hands-on. I want our employees and subcontractors to succeed just as much as I do.” — Matt Boelman |
When the Motown classic “Ain’t No Mountain High Enough” from Marvin Gaye and Tammi Terrell hit the charts in 1967, Matt Boelman was not even born.
He might have heard the song on an oldies radio station growing up in Ankeny, Iowa but the song’s lyrics literally and figuratively describe Boelman’ s passionate pursuit of excellence while managing Des Moines, Iowa-based, Team Perficut’s snow and ice management operations.
In addition to his day job as vice president of Perficut, where the 36 year old has transformed the company’s snow division from a means to simply generate cash flow in the winter months to a multi-million dollar division that employs more than 50 employees in peak season, Boelman has developed a most unique hobby – mountain climbing (See sidebar).
The discipline and commitment Boelman employs in his climbs is also reflected in his day-to-day management practices.
“I lead by example and can be very hands-on,” says Boelman. “I want our employees and subcontractors to succeed just as much as I do.”
The hands-on approach to his work started when he joined Perficut after high school at the age of 18. Boelman attended Ankeny High School with his future business partner, Kory Ballard.
“Like most landscape companies we started out mowing lawns,” says Boelman. “We did snow removal – driveways and sidewalks mainly – in the winter to keep busy and generate cash flow.”
From a humble beginning with a couple of plows attached to their landscape trucks, Boelman and Perficut had the makings of their snow and ice management division. And, as with most business start-ups, the journey had its share of twists and turns.
About six years ago Boelman says the company stopped looking at snow and ice management as “something they did in the winter” and made a concerted effort to turn the division into a profit center.
The decision to make snow and ice management a more significant part of the business was fueled by advancements in plow technology and a company developed pricing matrix. These factors allowed Perficut to aggressively and successfully pursue larger commercial clients who were demanding zero tolerances.
“The pricing matrix allowed us to invest in the high-end equipment we needed to bid and manage the commercial accounts we were targeting,” says Boelman.
Reaching for the summit There aren’t many mountain ranges in Iowa but that didn’t stop Boelman from pursuing a hobby that has taken him from South America to the Himalayas in search of the ultimate thrill – reaching the summit. Boelman got involved in mountain climbing through a friend and has become a passionate climber who has traveled the world pursuing the next challenge. He has climbed in the western United States, Alaska, Andes Mountains in South America and the Nepal’s legendary Himalayas. “Mountain climbing has made a big change in my life,” says Boelman. “It has motivated me to never give up and always keep charging ahead to reach my goals.” The inspiration Boelman derives from climbing allows to him draw a parallel between mountain climbing and the daily challenges he faces in the business world. “You have to be tough both mentally and physically in climbing, and the same goes for business,” says Boelman. “Both are hard at the start and you will encounter bumps along the way but the pain subsides when you reach the summit of your goals.” While climbing provides a literal high for participants, its cruel nature can also deliver staggering blows. Boelman discovered this in May 2011 when he made his first attempt to scale the Holy Grail of mountains – Everest. Soaring 20,029 feet – nearly five miles – into the thin air above the mountainous landscape of Nepal, Mount Everest is every climbers’ ultimate goal and definitive challenge. The mental and physical challenge of climbing Everest started with the logistics. On past climbs, he would spend 10 days or so preparing but Everest required a two and half month commitment – not an easy task for a married father with two small children at home. “The planning was tough and the first three weeks were brutal,” recalls Boelman. “We lived in tents and I was initially not prepared mentally for the challenge.” Boelman adapted to his surroundings and the task that lay in front and above him, and set forth to conquer a mountain that has claimed the lives of more than 300 climbers since records started being kept in 1922. Making steady progress Boelman and his fellow climbers reached to within a few hundred feet of the summit before a cerebral edema – the swelling of brain tissues from leaking fluids from the capillaries – forced him back down the mountain. “I was devastated when I had to leave the climb being that close to the summit,” says Boelman of the potentially fatal condition that can cause loss of coordination, weakness, and decreasing levels of consciousness including disorientation, hallucinations, psychotic behavior, and that requires climbers to descend immediately to a lower altitude. “I was fortunate to get off the mountain when I did.” While Boelman made it down safely, the experience left him motivated and he plans to be back by 2014 to finish his journey. |
As the company grew and shifted its focus to servicing high-end, large scale commercial accounts, its equipment pool grew right along with it.
“We learned that our investment in high-end equipment has improved our efficiencies and delivered a return on investment for us,” says Boelman. “Price has never been a deterrent, we buy the best.”
Perficut rotates its equipment on an average of every three years, feeling it receives the best performance from the equipment in that time.
The investment in new equipment provides a morale boost for employees who take pride in operating the latest, most advanced equipment. The company employs three mechanics during the peak snow and ice season, and also has a mobile service truck capable of repairing vehicles, plows and other equipment in the field. This reduces equipment down time and puts equipment back to work faster.
“Our investment in equipment has allowed us to take on larger, more complex jobs,” he says. “Investing $7,000 or more in a snow pusher takes a commitment and we are not afraid to do it.”
Cultural experience
As profit margins and operational efficiencies improved, Perficut’s employees stopped feeling that snow was the enemy and they became excited about snow and ice management.
“We started deploying and managing our people differently,” says Boelman. “Changing the culture was the biggest challenge we faced.”
The dim internal view of snow and ice management was fueled by the feeling that it was always a hassle. “It seemed we always had a major snow event on Christmas, New Year’s Eve or the Super Bowl and it was demoralizing for our employees,” he says.
How did Boelman and his partners turn around the anti-snow culture? By opening the company’s books and showing employees just how good it could be if they put their heart and soul into removing snow and ice.
“We showed them the numbers and how successful we were financially when we were efficient and doing the job right,” says Boelman. “It was not always an easy transition but to get where we wanted to go we had to turn negatives into positives.”
Making this transformation required Boelman and Perficut to develop new operational, training and financial systems to follow. It also required this 36-year old devoted fan of the University of Iowa Hawkeyes to learn from his mistakes.
“There was a lot of trial and error involved with growing the snow division,” says Boelman. “We went through some pains but worked very hard and stayed committed when other companies may have bailed.”
Giving and receiving feedback from both customers and employees has been an important part of the process. “We encourage feedback from our team members and customers and take the feedback seriously,” says Boelman. “We also make sure to explain why we do things a certain way and what results we expect – we are very open.”
Shift in focus
The shift in focus from residential to commercial – 95 percent of Perficut’s snow and ice customers fall on the commercial side of the ledger – was driven by a company-wide chance in philosophy that started three years ago.
Perficut saw an opportunity to carve out a niche servicing the commercial market. “We saw it as the best change to grow and succeed,” he says.
The internally developed pricing matrix came about after Boelman did extensive competitive analysis and concluded that the Des Moines market was behind industry pricing levels, and that Perficut was ahead of the curve – a perfect recipe for success with commercial customers.
“We sell on value and while our proposals may look similar to our competitors, we include added value benefits that give us an edge,” he says.
Among the added value benefits Perficut provides are dedicated account managers, a 24-hour call center, a dedicated emergency contact line and extensive documentation and reporting.
The company has extensive documentation protocols in place to improve operational efficiencies and limit the company’s liability. Perficut performs preseason inspection reports – including video – on all its snow and ice clients’ properties. The reports document all pre-existing hazards at the site and plug them into the company’s internal mapping program.
Performance site reviews are completed after each snow event and document any damage incidents, as well as provide an evaluation on the quality of the work (i.e. a sidewalk was not cleared to Perficut’s standard). “We are always keeping track of how we are doing and we use the PSRs for internal training to keep improving,” he says.
At winter’s end, Perficut provides clients with a summary, video included, of the work performed. This extra effort sets Perficut apart from competitors and drives its customer service-oriented culture.“We are a partner with our customers and look out for their best interests, not just to see how much money we make,” says Boelman. “Our customers know we are watching their properties better than they are.”
Another component of any successful snow and ice management company is working with subcontractors. Historically, these industry relationships have not always been matches made in heaven, but Boelman sees it differently.
With Perficut having snow operations across Iowa and in several neighboring states, Boelman has had to assemble a team of subcontractors who are in step with Perficut’s systems and philosophies.
“I approach working with subs from the customer’s standpoint and usually the best choice is to retain the current service provider,” says Boelman. “It maintains service continuity and makes the customer happy. We want our subs to grow with us.”
Lessons learned
Accredited Snow Contractors Association (ASCA) Executive Director Kevin Gilbride has known Matt and his partner Kory Ballard for nearly 15 years.
“I met both of them at Lawn & Landscapes management seminar series in the late 1990s,” he says. “At that point they were a growing company figuring out how to run a company that had revenues of about $6 million. Through those years they continued to grow their business, follow their adventures, educated themselves and gave back to their community.
“Matt runs the snow operations for Perficut and is the driving force behind their growth in the snow industry,” Gilbride adds. “Matt’s leadership has made them one of Snow Magazine’s perennial Top 100 companies and one that gives back to the industry and the community. When Matt heard about the ASCA he immediately volunteered to serve on the education committee and has contributed tremendously to the development of the ASCA’s educational programming.”
Boelman says he has a passion for figuring out how to solve a problem – whether it is adjusting an internal procedure or resolving a customer issue. He says failure opens your eyes to figuring out what went wrong and how to fix it. “When you are faced with adversity, you can learn a great deal,” he says.
When asked about his mentors, Boelman says he has been fortunate to have learned from many of his peers and co-workers over the years.
Boelman views success differently from most. He doesn’t gauge success on how much money you make or what profession you chose. His measuring stick is measured by the amount of blood, sweat and tears you put into it.“The passion you invest in your career or your personal life will judge your success.”
Knowing your limitations and hiring people who can get over the hump and solve problems is important. This mantra has been part of Perficut’s blueprint for success as the company sets it sights on continuing its growth, improving service standards and satisfying customers. “We want to be the most successful we can be,” says Boelman. “We don’t put a limit on anything. If we continue to invest in our people, equipment and systems, the growth will take care of itself.”
Jeff Fenner is a Cleveland-based freelance writer and frequent Snow Magazine contributor.
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