At Grunder Landscaping Co. (GLC), implementing open-book management (OBM) has significantly improved our company culture. Through our monthly "Grow Meetings," we share financial information, key performance indicators (KPIs), and future plans with our team, fostering transparency and engagement. These meetings have been a key part of our growth strategy, here's how it works:

Sharing Future Plans
As leaders, we have a clear vision of where the company is headed. By sharing upcoming projects, seasonal goals, and growth opportunities, we keep our team informed and excited about the future. This transparency helps team members see potential career paths and understand how their roles contribute to our collective success.

Focusing on Impactful Financial Metrics
We prioritize sharing metrics that are straightforward and within our team's influence. This approach ensures clarity and empowers employees to take ownership of their work. Key metrics we track include:

• Onsite Time: Monitoring the percentage of scheduled time spent on job sites helps assess efficiency.
• Direct Labor Hours: Tracking billable versus non-billable hours ensures optimal labor utilization.
• Job Cost Variance: Comparing estimated versus actual costs identifies areas for improvement.
• Gross Profit per division: Evaluating profitability at the department level aids in financial planning.
• Equipment Utilization Rates: Assessing how effectively equipment is used can highlight opportunities for better resource management.
• Client Retention Rates: Measuring repeat business helps gauge customer satisfaction and service quality.

Building an Ownership Culture
By sharing financial information and involving employees in goal-setting, we cultivate an ownership mentality. Team members are more engaged when they understand how their work affects the company's bottom line and when they share in the rewards of our collective success.

Implementing open-book management has transformed our company culture, leading to increased transparency, accountability, and team cohesion. By focusing on relevant metrics and involving our team in the company's financial journey, we've created an environment where everyone is invested in our shared success.

We'll continue sharing how we use OBM, and what we do to ensure our team understands the numbers we share, as the year goes on. And if you're looking for a way to dive-in on ideas for implementing this at your own company, I'd encourage you to join us at one of our GLC Field Trips this fall. At this event we'll cover the metrics we measure our sales and operations teams against, the structure of our production bonus program, how we communicate changes and plans with the team, and the ins-and-outs of how the business operates. Mark your calendar and claim your spot now, with just 4 date options this year these events are bound to sell out. 

We'll talk to you next week!

Vince Torchia
Vice President & Director of Strategy
The Grow Group & Grunder Landscaping Co.