Don Rogers explains how using one universal process for projects big and small results in 80% repeat business.

Tetra Tech EC, the largest operating unit of TetraTech, Inc. with more than $513 million in revenue for FY, 2007, is a full-service consulting, engineering, remediation, restoration, and construction firm. Its work consists of everything from initial assessment to clean up and remediation for forest restoration, endangered species protection, and other environmental projects. In recent years, it branched out into traditional construction, building wind farms for the alternative energy industry and aiding the Department of Defense with domestic and overseas projects (to date, Tetra Tech EC has erected more than 400 structures in Iraq).

Although Tetra Tech EC’s list of services and client portfolio are nothing less than impressive, according to CEO Don Rogers, the company’s edge is consistency. “I believe we are the most consistent performer in the marketplace, and that is because we have a rigorous process we apply across our entire business that encourages our professionals to be creative. You need the combination of best practices and best people to succeed in this incredibly competitive marketplace,” he said.

The process is applied to all projects—the largest contract totaling $1.2 billion, the smallest a mere $5,000, and everything in between—and it starts with a comprehensive risk assessment. A work plan is developed, which outlines ways to handle risks identified in the initial assessment. The plan then becomes a set of documents, all of which are peer reviewed by the appropriate experts.

Don Rogers, CEO

The key to executing the process effectively is getting clients involved before they’ve even put the project up for bid. “We talk to them about the risks and how we believe those risks should be dealt with before we’re selected for the project. It’s a great advantage to our sales and operations staff to engage in these discussions from the get-go,” said Rogers.

Each process Tetra Tech EC has developed revolves around the client and focuses on responsiveness and consistency in execution, because as any executive knows, satisfied clients are repeat clients. “Client service is the strategy. The rest—repositioning ourselves to take advantage of opportunities resulting from market changes—is tactics,” Rogers explained, adding that about 80% of Tetra Tech EC’s business is repeat.

Doing it right
Tetra Tech EC’s client-engaging process is supported by three operating philosophies: Client Service Quality, Do it Right, and Shared Vision. Rogers noted that the company lists each philosophy in order of importance, starting with the three principles of Client Service Quality. The first principle requires project teams to put themselves in the client’s shoes. Only by taking an outside perspective can they act in the client’s best interest. The second principle is to include the client in every decisionmaking process. “When you think you have the best solution, check with the client before executing. They may have something else in mind,” said Rogers. The third is to accept the client’s judgment. “If the client truly understands the plan and still wishes to go down another path, you have to humble yourself. After all, it’s the client’s project, not yours.”

Do it Right is organized into eight principles, first and foremost being safety. Tetra Tech EC’s record of 6 million work hours without a lost time incident (the equivalent of two and a half years) was broken in March of last year by a minor car accident for which the company was not at fault. So far, Tetra Tech EC is back on track with 3 million accident-free work hours under its belt.

The second principle is to follow laws and regulations, which seems like a given but cannot be overlooked. “Regulations are lessons learned. They are the result of dealing with problems or accidents that wouldn’t have occurred had the right steps been taken,” said Rogers.

The third Do it Right principle is to follow the intent, not just the letter, of client contracts. Rogers explained that each party has ideas that cannot be completely captured with words, and this principle is meant to engage project teams in discussions with clients to learn exactly what is expected.

The fourth principle is to create the level of quality the client is expecting and has paid for. Rogers noted that to a quality control expert, quality is a zero sum game—you achieve it or you don’t. But Tetra Tech EC has chosen different terminology. “We use ‘level of quality’ because it evokes conversation about what exactly the client is looking for,” he said.

Fifth is to plan the work and work the plan. “The big difference between us and other companies in this industry is the amount of time and energy we spend on plans,” said the CEO, adding that the company has developed 11 elements of planning. Of course, not all 11 elements are used for each project, but they are there for each project team to consider and use at their discretion.

The sixth Do it Right principle is to document and distribute, as plans can’t do much good if the right people don’t have access to them, while the seventh is to include all persons with input or who will be impacted whenever a decision is made or plan is developed.

Last but not least is principle eight: continuous improvement. “We identify lessons learned and analyze root cause impacts, and we share those results with individuals who can benefit from them,” said Rogers.

Sharing a vision
Finally, shared vision is an operating philosophy that elicits agreement between clients, project teams, subcontractors, and all others involved in a project before taking action. The CEO explained that the company considers employees to have achieved Shared Vision when each of them understands their four project goals (scope, schedule, budget, and level of quality) and how those goals fit into the bigger picture. In fact, supervisors are trained to ask their teams on a regular basis what their four project objectives are for every project. “It keeps everyone on their toes,” said Rogers.

“These operating philosophies are the foundation on which we develop every procedure. We have one universal system from accounting and HR to engineering and construction—all of them fit this system and interrelate,” he continued.

Of course, Tetra Tech EC doesn’t want its rigorous process and procedures to interfere with its employees’ ability to perform in the best interest of the client, so it has created the quality rule. The quality rule dictates that any employee who finds that a process or principle impedes his or her work must describe how that process is getting in the way and how it should be modified. Using Tetra Tech EC’s Intranet, the project team leader can approve or deny that deviation within minutes. According to Rogers, if an employee has described a process that is more efficient and produces better results, management will make that change company-wide. “Our procedures change several times a week, but always in accordance with our overall goal or providing clients with consistent results,” he said.

Tetra Tech EC’s employees are attracted to a company culture that encourages innovation, creativity, and personal growth, and Rogers believes that expressing that creativity in a work process that results in consistent performance—and satisfied clients—is big factor in the company’s high employee morale and low turnover. “The whole system is employee owned—it has to be. If the employees don’t own it and embrace it, it will become a burden rather than a help very quickly.”