The head of a Sydney-based disaster-recovery company says networking and choosing pragmatic employees have helped his business bloom.
| Entrepreneur |
Don Sutherland, Managing Director |
| Company |
Redwing Services |
| Business type |
Disaster recovery |
| Founded |
2000 |
| Employees |
6 full-time staff; contractors as required |
| Head office |
Sydney, New South Wales |
| Contact details |
+61 2 9690 0360 |
Key Learning Points |
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Generalists v. specialists
Don’t ignore generalists in favour of specialists. Practical experience and problem solving abilities are not to be underestimated.
Staff resource base
Include your staff in decisions that affect them and listen to their advice. Very often, they will be the best judges of what machinery to purchase to suit what they do.
Documentation
Document your company’s procedures. You must be able to track back. Keep your systems simple. If something is simple, people will do it.
Marketing
Target your marketing. Develop specific pitches for key market sectors and if possible, engage PR support. Networking within your target market sectors can help develop relationships and increase awareness of your business.
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The Redwing Services Story
When Don Sutherland hires new staff or engages contractors, he puts a high premium on problem-solving abilities. In the disaster recovery industry, knowing how to think on your feet can be a lot more important than a host of academic credentials.
Sutherland says: “We don’t look for rocket scientists. We look for people with very good common sense. I tend to find that people who have done a trade are more grounded. We still need the engineers - because we deal in quite technical fields sometimes - but we also need people who can offer good commonsense problem solving.”
Sometimes, Sutherland adds, he will recruit people from an industry such as watch making. They can figure out how to take something apart and put it back together again so that it works. It is very much a generalist approach that mirrors the flexibility of Redwing Services.
Redwing is prepared to deal with many of the sorts of disasters that can afflict companies. Most frequently, these involve fire, flood or dust. Less often, they involve chemical or environmental disasters. Redwing’s main activities are technical consultancy, equipment refurbishment, cleaning, and stabilisation. It also can provide clients with total disaster management, taking responsibility for the entire recovery operation.
The company tries to respond to any disaster within 24-hours. Sutherland’s advice: “The quicker that you can stabilise the situation, the quicker you have some chance of recovery. If it’s a fire or a flood, you have to do things straightaway to preserve things.”
Sutherland’s pragmatic approach to hiring staff is echoed in his willingness to listen to his own people. Previous mistakes have hammered home lessons to him. He says: “In my past company, we wasted hundreds of thousands of dollars buying things that people wouldn’t use. So I now find that I’m very open to what the staff suggest, right down to the types of vehicles that are best for our work.”
Sutherland also emphasises the importance of documenting procedures and keeping them simple. It is a tip that applies to most businesses but is particularly relevant in disaster recovery work. Often, the person who has taken apart a piece machinery may not be available to complete the job on deadline.
In Redwing’s first year, marketing mistakes cost it about $1 million in lost business. It was the result of a shotgun approach to advertising. Sutherland says: “You have to be very careful how you spend advertising dollars because it’s often difficult to gauge success.” Redwing now uses a highly targeted marketing approach with public relations support. Key markets include the insurance industry, manufacturers, mining and other industry sectors. Different sales pitches have been developed for each sector.
Sutherland is a champion of pragmatic networking. He says: “For the insurance industry, for example, you have to target the adjusters, the brokers and the insurance companies. So I go to various industry functions. A lot of it is just being known, it’s just relationships.” Sutherland has also joined industry groups in other sectors and gives presentations on specific subjects to increase Redwing’s prominence.
Disasters do not happen everyday. This is fortunate but it also presents a big cashflow challenge for companies such as Redwing Services that depend on the unusual. The company’s solution has been to diversify its offerings in an effort to expand its revenue stream.
Redwing will soon merge with a similar size operation that specialises in dry ice cleaning of machinery. Sutherland expects the new service’s revenue will more than double group turnover. Redwing is also offering clients risk assessments that can include succession planning in the event of the CEO’s death.