WEBVTT
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We don't have to be flexible, but the option of not being flexible is they ain't gonna put up with your crap and they're not gonna work under certain conditions because they don't have to.
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What is going on, LM family, back again?
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And this time I am getting to know.
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Actually, this is the second time we've had a conversation, which is kind of rare lately, but I'm getting to know, and you're gonna get to know a super awesome person.
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And like the one thing that I know we're gonna dive into is her care for the trades, for the people out there, the real experience that people have out there in the workforce on our construction sites.
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She is the co-founder and CEO of Co-Build Construction.
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They're a general contractor in San Francisco in the Bay Area.
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So they're over in beautiful fancy town, which is amazing.
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She's also the co-creator of Builder's Grit, which is a thing that we're gonna absolutely talk about that helps field teams debunk the myth of toughness and develop real grit and resilience, which I think there's probably gonna be some vulnerability in there.
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I also know there's gonna be some neuroscience like packed up all in there.
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So if you can't tell already, she's a super amazing, inspiring person, Miss Stephanie Wood, who's given me, I think, a little leeway to call, introduce her as Steph Wood.
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Yes, sir.
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Super motivational, traveled an amazing path, very interesting path, and you're gonna get to know her here in a sec.
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But now, if this is your first time here, you are listening to the Learnings and Missteps podcast, where you get to meet people, amazing superstar people just like you that are sharing their gifts and talents to leave this world better than they found it.
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I am Jesse, your selfish servant, and we are about to get to know Miss Steph Wood.
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Miss Steph, how are you this morning?
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Or after you're talking about.
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I'm super excited to be here.
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Thanks for the invitation.
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I'm excited.
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Oh, of course.
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I got to, I've got in, we got introduced by way of Jordan, who I've got to hang out with, who's an amazing dude.
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That his heart for the industry stood out to me.
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And then when I got to talk to him and he told me about what y'all are doing over there at Cobilt, I'm like, whoa, like, where is what in the world?
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Like from a real human being, he's like, Oh, yeah, you got to meet Steph.
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And then we met at Congress, and and here we are.
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So I like to start off with a super simple question.
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Are you ready?
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Okay, what is the meaning behind Cobild?
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Something tells me there's some significance there.
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Yeah, yeah.
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So for sure there is.
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It's actually the we kind of founded Cobild on a notion that we could do construction differently.
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I co-founded Co-Build with my husband Ed.
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He came up through actually the trades and was a superintendent, was leading a region here for a big developer.
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And he saw how actually really the trades were dehumanized.
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They were seen as enemies and people you just had to keep tack, keep your thumb on.
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Um and he kind of was like, this is not working for me.
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And my background was in management consultant and or organizational leadership.
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So we started Cobild with the notion that building goes better when we work collaboratively.
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So that's how Cobild came to be.
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I love it.
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I love it, I love it.
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So, Cole, in my head, what that's more like a collaboration, an element of collaboration with everybody that's on the job site.
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Am I really the job site?
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And actually, even I would say extends to our clients where we're listening well.
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I think that sometimes builders just get drawings and say, give us your drawings and we'll go build it, instead of listening well to what really defines success for the people we're building for.
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And we want to be good about listening for that.
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Oh my goodness.
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Okay, I'm sure you know this, but I just want to make sure, do you recognize how rare that perspective is in our industry?
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Like nationally.
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People tell me it's very rare, but I honestly cannot imagine another way to do it.
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So I'm sure you got peers out there in the industry.
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I'm wondering like, have you gotten any kind of pushback or like looking competitors looking at you sideways?
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What in the hell's wrong with you?
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What are you what are y'all doing it that way?
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Why are you that's harder?
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Why don't you just make it easy?
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I think the pushback we got initially was for our trades.
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They didn't believe it, first of all.
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Our trade partners were like, I don't know what this nonsense is about.
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This this feels very soft and fluffy.
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And we're not used to this, and I'm not sure why it matters until they started making more money on our projects.
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And then I and they actually also started to see that not focusing on culture has impact on the viability and profitability of a business.
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So maybe that's where I saw the most pushback was our trades until they kind of got a taste of why it matters.
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So the trades were like, Yeah, I hear you talking, but let's see.
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Yeah, yeah, that's cute.
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Uh-huh.
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That sounds cute.
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What for real?
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We'll figure that out for real out there on the job site.
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That's amazing.
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But so it sounds like okay, now they're on your project and they're profitable or more profitable than maybe normal, and then they come around and say, Wow, this is awesome.
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This is that you meant it, huh?
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Yeah.
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Okay.
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Now I have I got a question, and then I have a theory.
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So I'm gonna start with my theory, and I think you're like, if I could put a case study together, if I ever had the discipline to do that, I would.
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My theory is this given the current state of our industry, massive labor shortage, it's gonna continue to get bigger because we have the baby booners leaving the industry, so it's not just head to head, we're talking like head count to head count.
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We're talking like decades of experience exiting, and everybody's fighting for the same talent or people.
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So wages are going up.
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And I feel like we're at a point where the wages aren't really as important or they're not going to be the differentiator as much as the quality of life that people experience on a project.
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Meaning, when the decision makers within that project team and in Shangri-La within the construction company are really invested in appreciating the people, those firms and teams are going to be are going to win.
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They're gonna win the talent game.
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What do you think about that?
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I mean, we're betting on it.
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So I've pushed all my tips on in for that.
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I we're betting on that.
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That's the case, that if we treat people with respect, we'll get the highest, best quality folks on our projects, and we'll just build better.
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And then yeah.
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Okay, and so in terms of let's say I'm gonna say I'm dumb.
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This is the way I think.
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Like first date, second date.
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First date, they get on your project, they experience sure that's cute, and then they're like, oh wow, this is different.
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Second date, maybe that's the second project, maybe it's negotiating change orders.
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Do you see, do you are you able to feel or sense that you're getting some kind of preferred pricing based on their experience that they had with you before or their first experience?
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I think it takes longer than two projects, but people are slow to trust and they want to know what's a pattern and not just a fluke.
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But over time, I think it's true.
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Yeah, I think it's definitely true.
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Yeah, I my money says yes.
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I mean, I've been on the subcontractor side of my business, of the business the majority of my life, and I've been in those conversations, right?
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We're like, hey, Jess, we're gonna bid this project, it's a tenant finish out, and we want to go really aggressive and we want to do a labor multiplier of 0.80 on the ductwork.
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And I'm like, I mean, sounds like the conditions are there, but who is going to do the project?
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And they would tell me the name of the GC.
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And I said, okay, who's their project manager and superintendent?
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And based on that name, I would say negative.
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We need to put a 1.3 multiplier on the labor because those guys are ding-dongs.
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They're they don't treat us worth a damn, and we're gonna scratch and claw for every penny because they cannot manage a project.
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Yeah, flow is messed up.
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Yeah.
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Yes, yes.
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Construction's difficult.
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We face every damn constraint possible.
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It's gonna destabilize the plan.
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We got weather, we got supply chain issues, we got people, like the whole thing.
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Yeah, that's hard enough as it is.
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And then to have to work with people that have zero respect or appreciation for your, like you said, treat you like you're a problem.
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It's just not worth it.
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No, no.
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I mean, trades get treated like the enemy, but the reality is the GCs are not building anything.
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We want to do the LM family member shout-out.
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And this one goes to Miss Lynn Randall, who's also in California, but she's down in the San Diego, Southern California area.
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Miss Lynn says Depth Builder is more than Jesse's passion for the industry or his charisma.
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Ding.
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Depth builder courses are about real life experience and success translated into real action.
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Actionable knowledge and skills you can use immediately to improve yourself, your life, and the lives and projects you are a part of.
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Miss Lynn, that is super, super awesome.
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I promise, like my eyes welled up a little bit when I was reading it.
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Thank you, ma'am, for your support and for going out of your way to leave me a little Google review.
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So I'm fancy now.
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I got Google reviews.
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And folks out there, you already know I love attention and I love to know what you're thinking.
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I love to know how things are impacting you.
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So when you take the time to leave a review, leave a comment, do five stars or one star, any and all of the above, it is extremely meaningful to me.
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And it gives me an excuse to shout you out in a future episode.
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The traits are truly our partners.
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Things get built because they're skilled and they bring their skill to our project, and they are the builders.
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So our main job is to clear the path, um, to create tools for clear communication, to help facilitate relationships between different trades, to be clear in what the schedule is and what the flow is, right?
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And be, yeah, that's our job.
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Agree.
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Agree.
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Help us out here.
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Now, yeah, I imagine you didn't just, or maybe you did, you waved a magic wand and said, Okay, I want to operate, build a construction business.
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It's really collaborative and provides a different experience for all the human beings, the client, every all stakeholders involved.
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And then you just waved your wand and you had a lineup of like seasoned superintendents and project managers that said, Hey, I know how to do that.
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Is that what happened?
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This is not what happened.
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Actually, this is still a dilemma.
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It's such a challenge.
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Like the people with the skills have only known a particular type of construction, and it's the kind of construction where they get treated like the enemy.
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So there's that group of folks who are skilled, they know what they're doing, they're a little jaded because they have a right to be, frankly.
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And then there's folks who are brand new, they don't know what's up, but they're willing to try, and they're bought into the idea that we can work collaboratively.
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So, how do you put together a team of people who have enough hope in the industry that it can change and enough skill to do it together?
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We're, I mean, it's a challenge, it's really a challenge.
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We find some unicorns out there who have both skill and also just this passion for treating people with respect.
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I would say Jordan's a unicorn.
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Um and he will make you an AI image to prove it.
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Um, we gotta see that.
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But there aren't that many out there.
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So part of our job as a team is to cultivate those people.
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And we have a rhythm of regular all hands meetings, which are totally leadership.
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It's basically if you come to co-build, you're getting a graduate school degree in leadership because you might be skilled in construction as absolutely completely necessary.
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But there's also construction, and building well is ultimately about building people well.
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And those are skills that aren't usually taught to people who have a background in construction.
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So we do it weekly, really.
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Wow.
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Yeah.
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Wow.
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Yeah.
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And so, and when you're bringing in like experienced hires, what's their response to that?
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Well, we've gotten good about asking good questions before we hire people because it's not for everyone.
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Some people that pivot is too big, too hard.
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And they're not, yeah, they're not willing to do it, and they just want to finish out their career in what they know.
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So we do our best to not even invite them in because they won't be successful here.
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They just won't.
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So after we sort of do our initial investigating, and we've gotten pretty clever about that.
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Um, we don't always get it right, but we get it pretty close to right.
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Then it's still a shock to the system.
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I would say almost everyone who has a background in construction is a little bit of a shock to the system.
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But what they find is that they're in a place where like there's a little bit of room to make a mistake, to figure it out, to try new things.
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We're trying to get people to be able to tolerate a level of risk because we know that they begin to believe that they're just not going to have their feet chopped out beneath them.
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Um, I love like the tolerating the level of risk, I think is massive because I've been on, yeah, I'm a lean construction psychopath, right?
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I got introduced to it back in 2000.
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And I just wanted to lean everybody.
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And I would judge people, right?
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Like, why don't you just do this thing?
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This thing is better, this thing is easier.
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And when I say lean, there's a lot of tools.
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I know y'all are engaged in rather, y'all already had the DNA, and now you're putting maybe adopting and incorporating some things that are in the lean world.
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So you have the heart and the philosophy already before the branded stuff that comes from lean.
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Anyways, what I finally had to come to terms with was I'm coming to people and telling them that I have a better way, which is not a good approach.
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Number one.
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Number two, because that has a demeaning effect, right?
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If somebody comes to me and tells me, hey, I got I see what you're doing, I got something better, like what I'm less than all of a sudden, and not on purpose, but I'm minimizing all of the experience they've cultivated or fought and clawed the hard way.
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Yeah.
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And so for I mean, I struggled with it too.
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I remember the one of the project executives came out to my job site and said, Hey Jess, we're launching 5S and we're gonna we're gonna use your project as a case study.
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And I said, You can 5S yourself back to the damn office.
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And I didn't say it that nice, right?
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I didn't have time for that.
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And so the risk for folks that have a lot of reps out there have run projects successfully, got promotions, got all the accolades and the big sexy jobs, is that they have a method that works, they have history and data that says this produces the outcome.
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Yep.
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You want me to do it this way that is like 180 degrees from how I've typically functioned, it's a huge risk for them as an individual.
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For sure, for sure it is.
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It sounds like y'all are like recognizing and embracing that in maybe two forms.
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First, coming up with the methodology to identify people that can be successful in your system, and then giving them some space to fail and do it wrong and mess up and be messy, but work progress over perfection type thing.
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Am I reading that right?
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Yeah, yeah.
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Yeah, I think that's one of the things that people say is a distinctive when they come here is like our tolerance for risk, our tolerance for people to try a new thing and see if it works.
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Yeah.
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Because I mean, we're entrepreneurial at the end of the day, and you have to tolerate a little bit of room for let's try something new.
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So let's see if it's better, and then not just tear people apart when it didn't work the first time.
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It's like, okay, that we learned a lot.
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That was a good experiment, and we're gonna rally the troops, we're gonna fix the mess, and we're gonna do it again, bringing what we learned to the next round.
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Yeah, yeah, yeah, yeah.
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I love it.
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I love it.
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And I'm gonna add, and this one's really for the the old, all the LM family members here that have the all the highlights, like I do.
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I bet I got some highlights myself.
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Yeah, the highlights going on, right?
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It's easy, and I've said it in the past, and I hear a lot of people say it now.
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It's like this generation, wah, wah, wah, wah, wah, right now, they were saying that when I was 18 out in the field.
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So that's that's a legacy complaint or excuse.
00:18:05.680 --> 00:18:23.119
But like for real, for real, with one thing that it kind of bugs me, but I super, super appreciate is like the folks that are in their first zero to five years in our industry now, they are extremely skilled at advocating for themselves, which was a skill I never had.
00:18:23.359 --> 00:18:26.720
And as irritating as it is, it's what it is.
00:18:26.960 --> 00:18:33.680
And so we need to be flexible and like flex to appreciate that and bring them in.
00:18:33.759 --> 00:18:47.200
And even worse, like, here's the reality we don't have to be flexible, but the option of not being flexible is they ain't gonna put up with your craft and they're not gonna work under certain conditions because they don't have to.
00:18:47.839 --> 00:18:49.759
And so are you seeing that?
00:18:49.920 --> 00:19:03.039
I'm wondering, maybe this is too nosy, but in my head, if there's a younger generation, they went to work for one firm A, B, or C, and then they say, Oh no, they this is not, this is too much.
00:19:03.200 --> 00:19:06.000
They're expecting me to sacrifice my entire life for them.
00:19:06.240 --> 00:19:09.519
Then they come to you and say, Oh my god, this is exactly what I need.
00:19:09.680 --> 00:19:11.920
Are you seeing any signals like that?
00:19:12.240 --> 00:19:13.440
Yeah, I think so.
00:19:13.599 --> 00:19:14.640
I actually do think so.
00:19:14.799 --> 00:19:22.000
I mean, one of the things that we know from the research is that people's performance goes down after 50 hours a week.
00:19:22.319 --> 00:19:24.559
Um yeah, like exponentially.
00:19:24.720 --> 00:19:34.960
I mean, I know it anecdotally from living that I get more done in a good 45 hours than I do in 65 for sure.
00:19:35.200 --> 00:19:38.880
It's just exponentially just tanks my productivity.
00:19:39.200 --> 00:19:44.799
So, I mean, it's just smart to ask people to have rhythms of work and rest.