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Here - Building Contractors Association of Otero County

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Dear BCAOC Members,<br />

BCAOC has moved!!! Due to the economic times and the<br />

decrease in members in the BCAOC some major changes<br />

have had to take place. I am now a part time Executive<br />

Officer for the <strong>Association</strong> as well as a part time staff<br />

member <strong>of</strong> the Alamogordo Chamber <strong>of</strong> Commerce. In<br />

an effort to cut back on costs the BCAOC has relocated<br />

their <strong>of</strong>fice to the Alamogordo Chamber <strong>of</strong> Commerce lo -<br />

cated at 1301 N. White Sands Blvd. My phone number<br />

575-437-2066 and fax #575-437-2218 will remain the<br />

same as well as the email address bcaoc@qwest<strong>of</strong>fice.net.<br />

I will still continue my same duties and will be asking for<br />

my committees to pitch in and help me as well. The Board<br />

<strong>of</strong> Directors has agreed to hire me a part time temp per -<br />

son a few days during the year to help make sure the as -<br />

sociation is still able to provide you with the same great<br />

service and benefits!! I will admit, I was saddened by the<br />

news <strong>of</strong> cutting back but now after some thought I am<br />

looking for the new challenges and I appreciate all the<br />

support I have received from so many <strong>of</strong> you already.!!<br />

Remember I am still your Executive Officer and will work -<br />

ing just as hard to keep the <strong>Association</strong> going in the right<br />

direction, I will just have to learn to delegate some <strong>of</strong> the<br />

duties to my wonderful Volunteers. So stop in and see me<br />

at the Chamber <strong>of</strong> Commerce building!!<br />

Tickets are on sale for the 22nd Annual Shrimp Boil. They<br />

are available here at the BCAOC Office (1301 N. White<br />

Sands Blvd.), Alamogordo Title Co., Morrison Supply Co.,<br />

Custom Overhead Doors and the BCAOC Website at<br />

www.bcaoc.com. This years event has also undergone<br />

some changes. The Shrimp Boil will be held at Mesa<br />

BCAOC<br />

2009 Board Members and Officers<br />

Executive Board <strong>of</strong> Directors:<br />

President – Mark Bolin President Elect – Josh Rardin<br />

Associate VP – Rick McCracken Secretary/Treasurer – Jeri Melton<br />

Past President – Allen Gorby Life Member – Mike Drunzer<br />

Executive Officer – Amber Sanchez<br />

Builder Members<br />

Jim French, Gerald Matherly, Tommy Messer,<br />

Harris Blankenship, Randy Rabon, Jessica Beach<br />

Associate Members:<br />

Beth Crabbe, Rudy Chanez, Miles Ledgerwood,<br />

Phil Stevens, Lee Ann Bain<br />

A Message from the<br />

Chief Executive Officer<br />

Verde Ranch and tickets have gone<br />

down in price to $25.00 per person.<br />

Please contact me if you are inter -<br />

ested in purchasing tickets.<br />

Amber Sanchez<br />

We are still actively recruiting New Members, if you have<br />

someone in mind and would like for me to help you in the<br />

recruiting process please contact me and I will be glad to<br />

help.<br />

The BCAOC.com has recently undergone a few changes.<br />

What do you think? Is there something you would like to<br />

see on the website, if so please let me know and I will get<br />

it done.<br />

Thank you for all your support!!<br />

Amber H. Sanchez<br />

Executive Officer, BCAOC<br />

The <strong>Building</strong> <strong>Contractors</strong> <strong>Association</strong> <strong>of</strong> <strong>Otero</strong> <strong>County</strong> is a nonpr<strong>of</strong>it voluntary trade associa -<br />

tion affiliated with the New Mexico Home Builders <strong>Association</strong> and the National <strong>Association</strong><br />

<strong>of</strong> Home Builders. The association seeks to represent and serve the diversified needs <strong>of</strong> its<br />

members who consist <strong>of</strong> large, small volume and custom home builders, developers, and re -<br />

modelers, as well as industry-related suppliers, subcontractors, & pr<strong>of</strong>essionals.<br />

As the voice <strong>of</strong> the housing industry in <strong>Otero</strong> <strong>County</strong>, the association’s primary mission is to<br />

represent those involved in and served by the building industry in our region, and all those in<br />

pursuit <strong>of</strong> the American Dream.<br />

This will be the accomplished by spearheading a combined effort <strong>of</strong> all industry-related<br />

groups in addressing the quality <strong>of</strong> life in the community.<br />

The <strong>Building</strong> <strong>Contractors</strong> <strong>Association</strong> <strong>of</strong> <strong>Otero</strong> <strong>County</strong> will work to achieve the following<br />

goals:<br />

� Educate our membership, our industry and the public;<br />

� Actively participate in legislative & regulatory affairs;<br />

� Provide the forums that encourage quality construction and innovative products.<br />

We responsibly serve our community by being the positive influence on the building industry.<br />

2


Hello BCAOC Members,<br />

I am sure you have all heard the news by now…<br />

BCAOC had to make some tough Budget cuts this year<br />

and Amber is now Part Time and the <strong>of</strong>fice has relo -<br />

cated to the Chamber <strong>of</strong> Commerce. The telephone<br />

and fax numbers as well as the email address will re -<br />

main the same. In an effort to keep Amber employed<br />

full time, the Chamber <strong>of</strong> Commerce has an agreement<br />

with the <strong>Association</strong> to “share” her. If you would like<br />

A Message from the<br />

President<br />

Mark Bolin<br />

more information on this please don’t hesitate to call me.<br />

If you have any ideas or suggestions on how to achieve<br />

the goals <strong>of</strong> this organization please feel free to contact<br />

me at bolinhomes@beyondbb.com<br />

Respectfully,<br />

Mark Bolin<br />

BCAOC President, 2009<br />

Housing Affordability Continues To Hover Near<br />

Highest Level In 18 Years<br />

Bolstered by affordable interest rates and low prices, na -<br />

tionwide housing affordability during the second quarter <strong>of</strong><br />

2009 continued to hover near its highest level since the se -<br />

ries began 18 years ago, according to the National Asso -<br />

ciation <strong>of</strong> Home Builders/Wells Fargo Housing Opportunity<br />

Index (HOI) released today.<br />

The HOI showed that 72.3 percent <strong>of</strong> all new and existing<br />

homes sold in the second quarter <strong>of</strong> 2009 were affordable<br />

to families earning the national median income <strong>of</strong><br />

$64,000, down only slightly from the record-high 72.5<br />

percent during the previous quarter and up from 55.0 per -<br />

cent during the second quarter <strong>of</strong> 2008.<br />

“The increase in affordability — along with the $8,000<br />

federal tax credit for home buyers — is stimulating de -<br />

mand, particularly among young, first-time buyers,” said<br />

NAHB Chairman Joe Robson, a home builder from Tulsa,<br />

Okla. “But to keep the recent upturn in home sales going<br />

into next year, Congress will need to extend the tax credit<br />

for another year and make it available to all buyers in an<br />

effort to encourage activity in the trade-up market.”<br />

Robson noted that the tax credit, which expires on Nov. 30,<br />

is currently limited to just buyers purchasing their first<br />

home.<br />

Indianapolis, once again, was the most affordable major<br />

housing market in the country during the second quarter.<br />

Almost 95 percent <strong>of</strong> all homes sold were affordable to<br />

households earning the area’s median family income <strong>of</strong><br />

$68,100. Indianapolis has now topped the affordability list<br />

16 consecutive quarters.<br />

Also near the top <strong>of</strong> the list <strong>of</strong> the most affordable major<br />

metro housing markets were Youngstown-Warren-Board -<br />

man, Ohio-Pa.; Detroit-Livonia-Dearborn, Mich.; Dayton,<br />

Ohio; and Grand Rapids-Wyoming, Mich.<br />

Several smaller housing markets posted even higher af -<br />

fordability scores than Indianapolis, with Kokomo, Ind. out -<br />

scoring all others. There, almost 98 percent <strong>of</strong> homes sold<br />

during the second quarter <strong>of</strong> 2009 were affordable to me -<br />

dian-income earners. Other small housing markets ahead<br />

<strong>of</strong> Indianapolis on the affordability scale included Lansing-<br />

East Lansing, Mich.; Mansfield, Ohio; Elkhart-Goshen, Ind.;<br />

Lima, Ohio; and Bay City, Mich.<br />

New York-White Plains-Wayne, N.Y.-N.J., where just over 21<br />

percent <strong>of</strong> all homes sold during the period were affordable<br />

to those earning the median income <strong>of</strong> $64,800, was once<br />

again the nation’s least affordable major housing market in<br />

the second quarter. This was the New York metro area’s fifth<br />

consecutive appearance at the bottom <strong>of</strong> the list. Other ma -<br />

jor metro areas near the bottom <strong>of</strong> the affordability chart<br />

included San Francisco; Honolulu; Los Angeles-Long<br />

Beach-Glendale, Calif.; and Santa Ana-Anaheim-Irvine,<br />

Calif.<br />

Among smaller metro areas, San Luis Obispo-Paso Robles,<br />

Calif. was the least affordable market, followed by Ocean<br />

City, N.J.; Santa Cruz-Watsonville, Calif.; Flagstaff, Ariz.;<br />

and Santa Barbara-Santa Maria-Goleta, Calif., respectively.<br />

Please visit www.nahb.org/hoi for tables, historic data and<br />

details.<br />

EDITOR’S NOTE: The NAHB/Wells Fargo HOI is a measure<br />

Continued on page 4<br />

3


AFFORDABILITY from Page 3<br />

<strong>of</strong> the percentage <strong>of</strong> homes sold in a given area that are af -<br />

fordable to families earning that area’s median income dur -<br />

ing a specific quarter.<br />

Prices <strong>of</strong> new and existing homes sold are collected from ac -<br />

tual court records by First American Real Estate Solutions, a<br />

marketing company. Mortgage financing conditions incorpo -<br />

rate interest rates on fixed- and adjustable-rate loans re -<br />

ported by the Federal Housing Finance Board.<br />

The NAHB/Wells Fargo Housing Opportunity Index is strictly<br />

the product <strong>of</strong> NAHB Economics, and is not seen or influ -<br />

enced by any outside party prior to being released to the<br />

public.<br />

4


Real Estate Update ~ July 2009<br />

Karen Krupovage, Owner/Qualifying Broker Affinity Real Estate LLC<br />

Statistics for the Year - 2009<br />

Total Number <strong>of</strong> "Sold" Listings . . . . . . . . . . . . . . 291<br />

Statistics for July 2009<br />

SOLD - Residential . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68<br />

SOLD - Commercial . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2<br />

SOLD - Land . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12<br />

Active - Residential . . . . . . . . . . . . . . . . . . . . . . . . . . . 734<br />

Active - Commercial . . . . . . . . . . . . . . . . . . . . . . . . . . . . 75<br />

Active - Land . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1043<br />

On Contract - Residential . . . . . . . . . . . . . . . . . . . . . . 67<br />

On Contract - Commercial . . . . . . . . . . . . . . . . . . . . . . 0<br />

On Contract - Land . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15<br />

2nd Qtr 2009 2nd Qtr. 2008<br />

SOLD Residential . . . . . . 227 Units . . . . . . . . . . . . 147 Units<br />

Avg. Price SOLD . . . . . . . . $156,686 . . . . . . . . . . . $147,017<br />

Avg. Days on Market . . . . . . . . . . . . . . 138 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 124<br />

(based on information from the <strong>Otero</strong> <strong>County</strong> Assoc <strong>of</strong> REALTORS®, Inc. Multiple Listing Service)<br />

5


Want to See<br />

Your Business<br />

Featured <strong>Here</strong>?<br />

Call Jeri Melton at 430-8063 to see how to get<br />

your business entered in our monthly drawing.<br />

6


Recognition, Acknowlegement Boost<br />

Morale and Productivity Normal View<br />

While lay<strong>of</strong>fs are painful for all involved, they are a neces -<br />

sary reality <strong>of</strong> the recession and housing downturn.<br />

After the lay<strong>of</strong>fs, however, it’s more important than ever for<br />

owners and managers to do what they can to keep the re -<br />

maining staff members at peak performance and maintain<br />

a positive mood in the workplace.<br />

Two relatively simple ways to boost mood and perform -<br />

ance are recognition and acknowledgement.<br />

Motivational expert Frederick Herzberg reported in the<br />

Harvard Business Review that recognition is 300% more<br />

important to motivate employees than the size <strong>of</strong> their sal -<br />

ary or compensation package.<br />

While most builders I’ve spoken with believe that they ef -<br />

fectively recognize their staff members, most employees tell<br />

me they are under-appreciated for the work they do.<br />

Who’s right? It doesn't matter.<br />

What does matter, however, is how effectively owners and<br />

managers can bridge that gap in perception and what<br />

steps they are willing to take.<br />

Strategies for Acknowledging Employees<br />

Builders can choose from a number <strong>of</strong> ways to recognize<br />

and acknowledge their staff members.<br />

Regardless <strong>of</strong> the form, however, be sure that the acknowl -<br />

edgment and recognition are deserved because acknowl -<br />

edging staff members for half-hearted efforts and mar -<br />

ginal results diminishes the power <strong>of</strong> recognition.<br />

The following are several strategies for recognizing em -<br />

ployees. Initiate the ones you are most comfortable with<br />

first, and then build from there:<br />

Continued on page 8<br />

7


ACKNOWLEGEMENT from Page 7<br />

Don't overlook small ways to acknowledge.<br />

Don't wait for the big event to recognize staff members. When deserved, acknowledge them <strong>of</strong>ten and i n small ways. An<br />

e-mail, quick call or even an “attaboy” in the hallway are simple ways to show that you appreciate t heir efforts.<br />

Acknowledge in public.<br />

Public recognition inspires staff members and highlights behavior for others to model. Use memos, co mpany newsletters,<br />

staff meetings or any company gathering to recognize individuals and their achievements.<br />

Acknowledge in private.<br />

Employees also appreciate when their efforts are acknowledged privately.<br />

Recognize employees in small ways.<br />

Send an employee a “thank you” note when warranted, or share a cup <strong>of</strong> c<strong>of</strong>fee or a<br />

simple hand shake. Make recognizing others a part <strong>of</strong> your daily conversation, thinking<br />

and action.<br />

Ask rather than tell.<br />

Develop the habit <strong>of</strong> asking questions rather than telling employees everything you think<br />

they need to know. This creates an atmosphere <strong>of</strong> collaboration and is also a powerful<br />

form <strong>of</strong> recognition because employees feel respected and see that their opinions are<br />

valued.<br />

Recognize an individual in relation to the company's core values.<br />

For instance, when an employee provides exceptional service, acknowledge that by say -<br />

ing something like, “That's exactly what we mean when we talk about customer service<br />

our way."<br />

Double the impact <strong>of</strong> recognition.<br />

Recognize both who your employee is as well as what he did<br />

in relation to his positive traits. For example, tell your em -<br />

ployee, “You did a great job running the meeting last week.<br />

It demonstrated your people skills and leadership ability.<br />

Those are qualities we value.”<br />

Delegate to employees.<br />

Delegate responsibilities that expand your employees' contri -<br />

butions. Effective delegation increases trust and gives em -<br />

ployees the sense that they are growing with the company.<br />

Follow up and follow through on all promises.<br />

Under-promise and over-deliver. When follow-up on prom -<br />

ises is consistent and timely, it demonstrates respect and<br />

value for the people you manage.<br />

As with most business strategies, effective recognition works<br />

equally well outside <strong>of</strong> the workplace. Since the recession<br />

has taken its toll on more than your business and employ -<br />

ees, take a moment to acknowledge loved ones and let them<br />

know how much they contribute to your life.<br />

8


Membership Renewals<br />

Associates: Builders:<br />

� AFFINITY REAL ESTATE, LLC<br />

Karen Krupovage<br />

� ALAMO EARTHWORK AND PAVING, INC.<br />

Robert Johnson<br />

� ALAMOGORDO DAILY NEWS<br />

Mike Bell<br />

� BANK'34<br />

Karlon Cox<br />

� GENERAL HYDRONICS<br />

Shannon Wright<br />

� J BAR D PLUMBING<br />

Josh Stovall / Doug Stoval<br />

� MAINZ ELECTRIC, INC.<br />

Glenn Mainz<br />

� WELLS FARGO BANK<br />

Phillip Gutierrez<br />

Thanks<br />

for Renewing<br />

Your BCAOC<br />

Membership!<br />

� BAR M CONSTRUCTION<br />

Ernest Martinez<br />

� CARMEL BUILDERS & REAL ESTATE<br />

Poncho Cookson<br />

� FRENCH BROTHERS, INC.<br />

James French<br />

� GENTRY CONSTRUCTION<br />

Wes Gentry<br />

� HOME SERVICE CONTRACTORS, INC.<br />

Perry Hisaw<br />

� KEN TALLEY CONSTRUCTION<br />

Ken Talley<br />

� RAJCO<br />

Robert Johnson<br />

September Meeting<br />

SEPTEMBER 15, 2009<br />

MESA VERDE RANCH<br />

6:00 PM - 9:00 PM<br />

Come join us!<br />

IN ADDITION TO SHRIMP, WE WILL<br />

ALSO BE SERVING PULLED PORK!<br />

A DJ WILL BE PLAYING ALL<br />

YOUR FAVORITES!<br />

TICKETS ON SALE NOW!<br />

$25.00 PER PERSON<br />

B.Y.O.B.<br />

9


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10


International Builders' Show Registration Opens With Special Offers<br />

On Education, Hotels and More<br />

The National <strong>Association</strong> <strong>of</strong> Home Builders (NAHB) today<br />

<strong>of</strong>ficially opened online registration and housing for the<br />

2010 International Builders’ Show® (IBS or the Show), the<br />

largest annual light construction tradeshow in the world.<br />

Scheduled for Jan. 19-22 in Las Vegas, the Show will at -<br />

tract tens <strong>of</strong> thousands <strong>of</strong> building industry pr<strong>of</strong>essionals<br />

from around the globe.<br />

“The International Builders’ Show is considered the pre -<br />

miere event <strong>of</strong> our industry,” said NAHB Chairman Joe<br />

Robson, a home builder from Tulsa, Okla. “With its combi -<br />

nation <strong>of</strong> education <strong>of</strong>ferings, product showcase and pro -<br />

fessional networking opportunities, IBS provides attendees<br />

with the knowledge, tools and insights they need to not<br />

only weather the current economic downturn, but to posi -<br />

tion themselves for success as the industry recovers.”<br />

With more than 175 education seminars to choose from,<br />

attendees will have the opportunity to learn about a range<br />

<strong>of</strong> subjects, including sales and marketing strategies, the<br />

latest green building and remodeling techniques, or the<br />

current economic outlook. In addition, many pre-show<br />

courses are designed to help participants attain important<br />

industry designations, such as Certified Aging-in-Place<br />

Specialist, Certified Green Pr<strong>of</strong>essional and several others.<br />

The Exhibit Hall <strong>of</strong>fers builders valuable ‘face time’ with<br />

the manufacturers and suppliers <strong>of</strong> the latest and most indemand<br />

home construction products. The show floor will<br />

feature the industry’s most important suppliers displaying<br />

the latest and greatest building products and services<br />

across more than 250 product categories.<br />

This year, NAHB will introduce several new <strong>of</strong>fers and in -<br />

centives for attendees including:<br />

- Complimentary four-day passes to the IBS Exhibit Hall for<br />

NAHB members who register by December 11.<br />

- One- and two-day education passes, which include ad -<br />

mittance to the Exhibit Hall all four days <strong>of</strong> the show, plus<br />

unlimited access to one or two days <strong>of</strong> education seminars.<br />

- No cost education seminars for registered attendees on<br />

Friday, Jan. 22.<br />

- Special $100 discounted registration rate for NAHB<br />

members attending IBS for the first time.<br />

Includes full registration access to all education seminars<br />

and admittance the Exhibit Hall for the duration <strong>of</strong> the show.<br />

In an effort to make attending IBS more affordable, NAHB<br />

will be <strong>of</strong>fering discounted room rates from $32 to $199 a<br />

night at all <strong>of</strong> the Las Vegas hotels in NAHB’s hotel block.<br />

The discounted rate rooms are limited and are available<br />

only if booked by the end <strong>of</strong> August.<br />

The 2010 International Builders’ Show is not open to the<br />

general public. <strong>Building</strong> industry pr<strong>of</strong>essionals and their<br />

affiliates throughout the housing trades are welcome to<br />

register by visiting the show’s Web Site at www.Build -<br />

ersShow.com.<br />

[EDITOR’S NOTE: Complimentary registration is available<br />

to credentialed members <strong>of</strong> the working press. Visit<br />

www.BuildersShow.com/Press for more information or to<br />

register. For more information, please contact Liz Warin,<br />

at ewarin@nahb.com or 202-266-8495.]<br />

11


Single-Family Housing Starts And Permits Rise In July<br />

Production and permitting <strong>of</strong> new single-family homes<br />

continued on an upward trajectory in July, according to<br />

newly reported numbers from the U.S. Commerce Depart -<br />

ment today. Meanwhile, substantial declines on the multi -<br />

family side dragged down the overall numbers, with com -<br />

bined single- and multifamily starts down 1 percent to a<br />

seasonally adjusted annual rate <strong>of</strong> 581,000 units and<br />

combined single- and multifamily permits down 1.8 per -<br />

cent to a 560,000-unit rate.<br />

“With the impending expiration <strong>of</strong> the first-time home<br />

buyer tax credit at the end <strong>of</strong> November, July was probably<br />

the last month in which to get homes permitted and started<br />

in time for customers to take advantage <strong>of</strong> that valuable<br />

incentive,” noted Joe Robson, chairman <strong>of</strong> the National<br />

<strong>Association</strong> <strong>of</strong> Home Builders (NAHB) and a home builder<br />

from Tulsa, Okla. “Builders were responding to improved<br />

demand related to that upcoming deadline and also to the<br />

first signs <strong>of</strong> an economic recovery.<br />

However, it remains to be seen what happens after the tax<br />

credit expires, and the severe credit crunch that has cur -<br />

tailed many multifamily projects is looming over singlefamily<br />

builders as well. Congress and the Administration<br />

need to take action now in order to maintain the momen -<br />

tum toward a housing and economic recovery.”<br />

“The latest report marks a fifth consecutive month <strong>of</strong> im -<br />

provement in single-family housing starts and a fourth<br />

consecutive month <strong>of</strong> improvement in single-family per -<br />

mits,” noted NAHB Chief Economist David Crowe. “This is<br />

exactly in keeping with our latest member surveys, which<br />

indicate that builders are cautiously optimistic about sin -<br />

gle-family sales conditions over the next several months.<br />

That said, the significant drop-<strong>of</strong>f in multifamily construc -<br />

By Ted Garrison<br />

1. Determine what your real commitment to great serv -<br />

ice is. Check with front-line people and customers to<br />

determine what is lip service and what is real.<br />

2. Set up a simple system to gather customer input. If<br />

you already have a system, make sure that the infor -<br />

mation is being used.<br />

3. Benchmark your service. Develop measurements you<br />

can track and compare to general service leaders in<br />

your industry and outside.<br />

4. Measure the lifetime value <strong>of</strong> a customer to you.<br />

5. Measure the percentage <strong>of</strong> customers who are repeat<br />

and the number <strong>of</strong> true referrals you receive from<br />

them.<br />

tion and permitting shown in recent months’ reports may be<br />

a harbinger <strong>of</strong> the financing challenges facing all home<br />

builders going forward. A severe lack <strong>of</strong> credit for acquisi -<br />

tion, development and construction financing, along with<br />

other issues tied to low appraisals and the upcoming expi -<br />

ration <strong>of</strong> the first-time buyer tax credit, could derail the pro -<br />

gress made so far. Government action is required to ensure<br />

that housing can help generate jobs and economic growth<br />

in the days ahead.”<br />

NAHB is calling on Congress to extend the first-time home<br />

buyer tax credit for another year and to <strong>of</strong>fer it to all in -<br />

come-eligible buyers. In addition, NAHB is urging Congress<br />

to help eliminate the credit crunch, correct faulty appraisal<br />

practices and expand Net Operating Loss tax provisions<br />

that can help avoid more lay<strong>of</strong>fs.<br />

Single-family housing starts posted a 1.7 percent gain to a<br />

seasonally adjusted annual rate <strong>of</strong> 490,000 units in July,<br />

while single-family permits registered a 5.8 percent gain to<br />

458,000 units. Both <strong>of</strong> these were the highest levels regis -<br />

tered since October <strong>of</strong> 2008. Meanwhile, multifamily starts<br />

tied a record low set in April <strong>of</strong> this year, falling 13.3 per -<br />

cent to a 91,000-unit rate. Multifamily permits fell 25.5 per -<br />

cent to 102,000 units.<br />

Due largely to declining multifamily production numbers,<br />

housing starts fell in three out <strong>of</strong> four regions in July. The<br />

Northeast posted a 16.3 percent decline, while the South<br />

and West posted more moderate declines <strong>of</strong> 1.4 percent<br />

and 1.6 percent, respectively. The Midwest was the only re -<br />

gion to report a gain, <strong>of</strong> nearly 13 percent. Meanwhile,<br />

housing permits fell 5.2 percent in the Northeast and 9.2<br />

percent in the South, but gained 14.1 percent in the Mid -<br />

west and 7 percent in the West in July.<br />

85 Possible Actions for <strong>Contractors</strong> for Better Customer Service<br />

6. Experiment with some <strong>of</strong>f-the-wall service ideas. Work<br />

to uncover needs customers don't know they have.<br />

7. Make a list <strong>of</strong> ways you can use quality and delivery<br />

to make price unimportant to your customers.<br />

8. Decide how you can use speed and flexibility to de -<br />

liver better service than your competitors.<br />

9. Determine what services customers will be happy to<br />

pay extra for.<br />

10. Measure your customers' definitions <strong>of</strong> great service.<br />

11. Develop a database <strong>of</strong> each major customer's specific<br />

Continued on page 14<br />

13


ACKNOWLEGEMENT from Page 13<br />

concerns so you can deliver customized one-to-one<br />

service.<br />

12. Look for even minor customer complaints and see if<br />

you can use them to thrill customers and turn these<br />

complaints into new standard procedures for great<br />

service.<br />

13. Measure customer satisfaction! You can't improve on<br />

it if you don't know your starting point.<br />

14. Use innovative relationship marketing and unprece -<br />

dented customer service to increase customer satisfac -<br />

tion.<br />

15. Include your employees in customer service changes.<br />

Enlist their ideas.<br />

16. Consider paying specific bonuses or commissions for<br />

high customer ratings.<br />

17. Understand that every aspect <strong>of</strong> every customer inter -<br />

action is an opportunity to get more business?.or lose<br />

it. Make a list <strong>of</strong> your "moments <strong>of</strong> truth" when pros -<br />

pects and customers form impressions <strong>of</strong> you.<br />

18. Know your customers?what do they want from your<br />

business? What do they like about you: what do they<br />

dislike?<br />

19. Use the information you learn about your customers<br />

to build a relationship with each customer. Keep track<br />

<strong>of</strong> what you know in a database.<br />

20. Work to reward loyal customers and encourage refer -<br />

rals.<br />

21. Gather input from all employees as to how they see<br />

current internal customer service. (In organizational<br />

climate studies, you might measure cooperation, sup -<br />

port, morale, job satisfaction, and so forth.)<br />

22. Ask employees what they want from their jobs.<br />

23. Calculate your turnover and absenteeism rates and<br />

what they cost you. Include costs <strong>of</strong> "dropping the<br />

ball" for customers.<br />

24. Make sure top execs regularly spend some time on<br />

the frontline.<br />

25. Find ways to turn your organizational pyramid upside<br />

down to emphasize customers and support your staff.<br />

26. Develop a clear message about internal customer<br />

service and disseminate it throughout your organiza -<br />

tion.<br />

27. Develop recognition programs where employees can<br />

acknowledge each other for internal service.<br />

28. Develop a larger incentive program where all em -<br />

ployees can earn bigger rewards for internal service.<br />

29. Set up a schedule to shop your competitors regularly.<br />

Encourage your employees to do so also. Use your<br />

findings to benchmark your business.<br />

30. Establish specific customer service criteria-for exam -<br />

ple, greet customers within 10 seconds, answer phone<br />

by second ring, automatically <strong>of</strong>fer a rain check for<br />

out-<strong>of</strong>-stock items, use customer's name when possi -<br />

ble.<br />

31. List five ways you could use data from a mystery<br />

shopper program.<br />

32. Call several mystery shopper services. Evaluate their<br />

services to find the one or two that best fit your needs.<br />

Then check their references.<br />

33. Discuss mystery shopper programs with your staff. So -<br />

licit their input on criteria and procedures. Tell them<br />

how the data will be used.<br />

34. Decide how to discuss data with individual employ -<br />

ees. Remember, reprimands should always be private;<br />

praising can be public.<br />

35. Consider use <strong>of</strong> a reward program for employees<br />

who give good service (name and photo on plaque in<br />

store, gift certificates to restaurant, name in company<br />

newsletter, and so forth).<br />

36. If you are part <strong>of</strong> a shopping center or other multibusiness<br />

complex, talk with other owners and center<br />

management to see if coordinating an overall mystery<br />

shopper program is feasible and desirable.<br />

37. Collect the "easy" complaints. Ask all frontline people<br />

to contribute. Make it fun by having a competition for<br />

the "best" complaint.<br />

38. Develop a plan to uncover the 96% <strong>of</strong> complaints that<br />

are never made by customers. Consider paying cus -<br />

tomers for complaints.<br />

39. Do the same thing for internal customer complaints.<br />

Start by taking them privately since they will involve<br />

more internal politics.<br />

40. Involve employees in developing a "manual" on how<br />

to handle complaints and things they can do to make<br />

it up to customers.<br />

41. Train employees in helping unhappy customers, start -<br />

ing with saying "Thank you for complaining."<br />

42. Clarify your lines <strong>of</strong> authority so any employee can<br />

deal quickly with most problems.<br />

43. Develop a follow-up system to check in with custom -<br />

ers who took the trouble to complain.<br />

Continued on page 15<br />

14


ACKNOWLEGEMENT from Page 14<br />

44. Create a policy on how to use e-mail to help your<br />

customers.<br />

45. Set high standards for speed <strong>of</strong> response to e-mail<br />

correspondence. Look into using auto-responders for<br />

immediate responses.<br />

46. Analyze your Web site from your customers' perspec -<br />

tive. Prepare a FAQ page if you don't already have<br />

one.<br />

47. Create standard letters (boilerplate) from your best<br />

answers to questions for all reps to use.<br />

48. Create a way to communicate on a regular basis with<br />

customers who wish it, such as an online newsletter or<br />

discussion group.<br />

49. Personalize messages whenever possible. (There are<br />

products that allow even e-mail newsletters to be per -<br />

sonally addressed.)<br />

50. Look into the benefits <strong>of</strong> customizing an extranet for<br />

all customers, or individually for major customers.<br />

51. Consider providing online courses or other online<br />

learning opportunities for customers.<br />

52. Set up a schedule to regularly update your web site.<br />

53. List the various cultural backgrounds <strong>of</strong> your custom -<br />

ers.<br />

54. Describe the differences in the way various subgroups<br />

<strong>of</strong> your customers behave. Remember, "culture" can<br />

also refer to needs for support, tendencies to com -<br />

plain, or other service demands.<br />

55. Get your service reps to share their knowledge <strong>of</strong> dif -<br />

ferent types <strong>of</strong> customers.<br />

56. Look at the assumptions you make that may bias your<br />

behavior.<br />

57. Talk to customers who represent different cultures and<br />

find out what you can do for them.<br />

58. Create pr<strong>of</strong>iles <strong>of</strong> different customer types for training<br />

purposes.<br />

59. Decide on ways to acknowledge and show respect for<br />

customers.<br />

60. Use "whole-brain" approach to set up a complete sys -<br />

tem that incorporates both procedures and creativity.<br />

61. Set up a method to collect feedback from your service<br />

reps.<br />

62. Collect feedback from internal departments that are<br />

your customers (those departments to which your de -<br />

partment provides services.)<br />

63. Find the source <strong>of</strong> potential problems and change<br />

your system to prevent them.<br />

64. Practice prevention. Focus 10 times more energy on<br />

preventing problems early than on correcting them<br />

later.<br />

65. Set up a customer advisory group to get feedback<br />

from important customers.<br />

66. Do a broad customer survey.<br />

67. Agree on a brief vision statement about service <strong>of</strong> 50<br />

words or less, and preferably 20 words or less.<br />

68. Gather stories <strong>of</strong> great service from your organization<br />

and circulate them.<br />

69. Have each employee write down how they contribute<br />

to the vision.<br />

70. Set up one or more regular customer feedback<br />

mechanisms.<br />

71. Include at least one face-to-face session with customers.<br />

72. Set specific, high goals for service.<br />

73. Set up one small and one large reward program for<br />

great service.<br />

74. Reward people for finding customer-unfriendly proce -<br />

dures.<br />

75. Measure customer satisfaction at least once a year.<br />

76. Identify your biggest customers and assign reps to<br />

them. (Coordinate with sales if appropriate.)<br />

77. Create a customer advisory group.<br />

78. Create teams responsible for service.<br />

79. Collect and distribute stories <strong>of</strong> great service. If neces -<br />

sary, start with little stories <strong>of</strong> very good service.<br />

80. Look into the ISO criterion for customer service or oth -<br />

erwise develop a "checklist" <strong>of</strong> what constitutes great<br />

service.<br />

81. Create a program to build relationship trust with cus -<br />

tomers. This means contact, notes, e-mail, and so<br />

forth.<br />

82. Create formal training goals in general, and for spe -<br />

cific employees.<br />

83. Identify technology that would enhance your service.<br />

84. Create a database to record information about your<br />

customers. Look especially for things they care about<br />

pr<strong>of</strong>essionally or personally.<br />

85. Talk to your best customers and find out how they<br />

want to be treated. Set up a mechanism to treat each<br />

one, or group, differently.<br />

15


Members Continue to Drive Away With a<br />

Shiny New $500 GM Offer<br />

NAHB members can continue to receive $500 towards the<br />

purchase or lease <strong>of</strong> most new GM passenger cars, lightduty<br />

trucks, vans and SUVs - whether for business or per -<br />

sonal use.<br />

Purchase or lease a new 2008, 2009 or 2010 model year<br />

Chevrolet, Buick, GMC or Cadillac passenger car and<br />

light-duty truck, van or SUV.<br />

Vehicles excluded from this <strong>of</strong>fer include Cadillac CTS-V,<br />

Chevrolet Camaro, Chevrolet Corvette ZR1 and Hummer,<br />

Saab and Saturn vehicles. Medium-duty trucks are also<br />

excluded.<br />

The $500 exclusive <strong>of</strong>fer can be combined with most retail<br />

national and regional incentives in effect at the time <strong>of</strong> de -<br />

livery.<br />

There is no limit to the number <strong>of</strong> vehicles members can<br />

purchase.<br />

Customers must take delivery by Jan. 4, 2010.<br />

For complete details, please visit:<br />

http://www.nahb.org/generic.aspx?genericContentID=<br />

35284<br />

The program runs through Jan. 4, 2010.<br />

For more information, e-mail Tiffany Lindsley at<br />

tlindsley@nahb.com , or call her at 800-368-5242 x8273.<br />

Other Member Advantage Discounts<br />

For the most up-to-date details on the Member Advantage<br />

discount program and all <strong>of</strong> the participating companies,<br />

go to www.nahb.org/MA .<br />

16


Growing Our Strength Through Member Recruitment, Retention, and Involvement<br />

The Spike Club Levels and Awards<br />

Recruiting new members to your<br />

local association is an activity<br />

recognized and rewarded<br />

through the NAHB Spike Club<br />

Program. Those who participate<br />

are called Spikes and they are<br />

among the most valued mem -<br />

bers <strong>of</strong> the association.<br />

Member-to-member recruitment<br />

and retention efforts are highly<br />

valued because <strong>of</strong> the grassroots<br />

growth and stability they bring to<br />

the association. These efforts<br />

lend to the development <strong>of</strong> the<br />

general membership and our<br />

leadership pipeline, keeping the<br />

face <strong>of</strong> our association true to<br />

that <strong>of</strong> our industry and the wide<br />

scope <strong>of</strong> interests we represent.<br />

Spikes are the membership lead -<br />

ers <strong>of</strong> our federation, building<br />

the voice, power, and influence<br />

on every level, in every state!<br />

the BCAOC can help you<br />

BU ILD<br />

your business!<br />

Advertising space is now available for<br />

the upcoming issue <strong>of</strong> our BCAOC<br />

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or Amber Sanchez at 437-2066.<br />

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