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Thread: Best small business organizational structure?

  1. #1

    Best small business organizational structure?

    In your opinion, what is the best small business organizational structure? This would be for a exterior cleaning business that has a max of 10 to 12 employees.

    Do you keep it simple and use a flat structure like: CEO/President -> Managers/Lead techs -> Assistant techs? This structure seems like it would encourage more ownership of business success with the workers, but not free the owner from enough duties.

    Or do you get more detailed/complicated with a hierarchical structure like:

    CEO/President
    Division Managers
    Operational Managers under certain division managers
    Service Managers/Lead Techs under the operational managers
    Assistant Techs under each service manager

    A benefit of this structure would be freeing up more time for the CEO/Owner to focus more on the business goals and direction while allowing more time for family or other ventures. A down side might be a slower channel of communication or decision making.

    I'm trying to decipher what would be best for the future of my business. This is my third season, and I have finally stepped out of my comfort zone and hired my first full-time employee. My goal is to get out from behind the wand as quickly as possible while focusing most of my efforts on growing a profitable business. My gut feeling tells me to keep it simple and go with a flat structure, but I don't have the entrepreneur experience that many of you do.

  2. #2
    Great Questions?
    Alabama Pro Wash
    Tuscaloosa,Alabama
    http://www.roofcleaningalabama.com/
    205-799-9069
    EMAIL: andy@alabamaprowash.com
    http://youtu.be/kyqjMWcA1hg

  3. #3
    I like the more hierarchical structure.
    Midsouth Commercial Pressure Washing
    Murfreesboro TN
    615-481-2843

    Nashville Pressure Washing
    www.nashvillecommercialpressurewashing.com

  4. #4
    Quote Originally Posted by PinpointDan View Post
    I like the more hierarchical structure.
    What items do you like best about it?

    Maybe a hierarchical system works better for commercial work and a flat structure works better for residential.

  5. #5
    Super Helper Member
    Join Date
    Jul 2007
    Location
    Valparaiso, Indiana
    Posts
    941
    We do the following:

    Operations Manager
    Sales Representative
    Lead Restoration Tech
    Assist Restoration Tech

    The Operations manager and sales rep are generally the same individual until you surpass 4 trucks. While I own the company I also serve as the op manager and sales rep for our original branch. Our other 2 locations have a op manager/sales rep that manage each location. There will come a time where another sales rep may need to be added and we will break apart the titles but it hasn't happened yet.

  6. #6

    Best small business organizational structure?

    I have do a video on this one. Really to much to say, the way I operate is much different than most. Average guy does three years had two retire 25 years. Currently a bunch over the 17 year mark....

    I don't train employee to be my competitors anymore.


    Text me anytime for anything if you need Help 480.522.5227
    Ron Musgraves
    www.propowerwash.com

  7. #7
    Quote Originally Posted by TimberSeal View Post
    We do the following:

    Operations Manager
    Sales Representative
    Lead Restoration Tech
    Assist Restoration Tech

    The Operations manager and sales rep are generally the same individual until you surpass 4 trucks. While I own the company I also serve as the op manager and sales rep for our original branch. Our other 2 locations have a op manager/sales rep that manage each location. There will come a time where another sales rep may need to be added and we will break apart the titles but it hasn't happened yet.
    This seems to be the current path I am on. I'm also curious as to how having 2 divisions (TimberSeal and IndianaProWash) is set-up and working for you. I like the idea of having different divisions in the future.

  8. #8
    Quote Originally Posted by RON MUSGRAVES View Post
    I have do a video on this one. Really to much to say, the way I operate is much different than most. Average guy does three years had two retire 25 years. Currently a bunch over the 17 year mark....

    I don't train employee to be my competitors anymore.


    Text me anytime for anything if you need Help 480.522.5227
    Great points Ron. Employee retention is key and must be analyzed for any sustainable structure. You last statement is something I have thought about and am working on avoiding.

  9. #9
    Super Helper Member
    Join Date
    Jul 2007
    Location
    Valparaiso, Indiana
    Posts
    941
    Quote Originally Posted by Jason Reider View Post
    This seems to be the current path I am on. I'm also curious as to how having 2 divisions (TimberSeal and IndianaProWash) is set-up and working for you. I like the idea of having different divisions in the future.
    Having the company broke up (resi vs. commercial) helps in retaining the credibility IMO (wood care specialist / exterior cleaning specialist). Jack of all master of none is the best phrase that comes to mind. I would like to hire in someone strictly sales for I.P. soon but my plates been a bit full and I haven't found my golden goose yet. We'll be at 8 trucks/crews this Spring with TimberSeal - still only 1 truck with Indiana Prowash.

  10. #10
    Quote Originally Posted by TimberSeal View Post
    Having the company broke up (resi vs. commercial) helps in retaining the credibility IMO (wood care specialist / exterior cleaning specialist). Jack of all master of none is the best phrase that comes to mind. I would like to hire in someone strictly sales for I.P. soon but my plates been a bit full and I haven't found my golden goose yet. We'll be at 8 trucks/crews this Spring with TimberSeal - still only 1 truck with Indiana Prowash.
    I remember you starting Greg, time flys


    Text me anytime for anything if you need Help 480.522.5227
    Ron Musgraves
    www.propowerwash.com

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