< PreviousThe speed of the industry is why Spartan Contracting Corporation is continuously investing in the latest technology so that both its employees and clients are kept informed about projects every step of the way.“We understand the pressure people work under in this industry, which is why it is important for us to energize our people and to keep a lighthearted atmosphere,” he adds. It is this approach to teamwork that has led not only to its rise in the industry and its impressively high staff retention rate but also a string of unexpected achievements.Here, lateral thinking is paramount to achieving success. This company does not hire people based on existing skill sets. Characteristics that are important, however, are work ethic, per-sonality, and insight into how improvements can be implemented.One example of the accomplishment that this approach has reaped is someone Scott and Dave refer to as the company’s golden child: Kris Paterson. Kris was discovered while managing a car wash. The guys liked what they saw, made him an offer he could not refuse. Recently, he was appointed as a project manager, after starting as a skilled technician. And this interesting mixture of similarly bright minds is giving this new kid on the block a significant edge by exploring unorthodox ideas like when one of its employees suggested importing its granite tops from Asia. This turned out to be quite brilliant move, as the company was able to install custom-made, granite tops for less than the cost of pressed chipboard. This and a number of other great plans led to the company winning first place award in the 2018 commercial renovations category from the American Society of Interior Designers (ASID) for its sterling work on The Outpost student dormitories at Waco, Texas. What had started as a construction management contract eventually turned into taking on the entire project as the owner loved the company’s work so much. “No one can renovate occupied student dorms quicker than us, and no one can renovate financial centers in a more clean and professional manner than us, either. I think we’ve built some of the coolest and trendiest student dorm clubhouses I’ve ever seen,” says Scott. For any of those young people who might be interested in the construction industry, the partners’ advice is simple. “Be you. Listen to your gut. Do the right thing all the time. Things will work out in the end with this approach,” says Scott. Dave adds to this advice: “We always tell our team that we are not judged by how we deal with good times, but instead, it is how we deal with the ‘Oh, shit!’ moments that really sets us apart,” he says. Dave also advocates finding a prompt solution to challenges as they arise. “Never fault your team for messing up. Fault your team if they didn’t learn the first time,” he adds. When it comes to sharing the love, Spartan is generous, and despite not having a standard set of regular charities that it supports, it jumps at every opportunity to help others. Just last year, it renovated – at its own cost – the home of the sheriff of Pasco County after he sustained serious injuries in a motorcycle accident. This year, it is supporting the Hooked on Hope charity fishing tournament among other initiatives. It is also considering turning the company into an employee-owned outfit in the future. The company’s inception in 2012 was as unusual as its approach to the industry. Before they got together, Dave owned a painting “This company’s leaders believe in keeping things simple, in being good people, and in doing what they say they will.”DEC 2018 - JAN 201930 company, while Scott worked for a general contractor that did a lot of work for financial institutions. As it happened, Dave was doing a lot of work for Scott’s company when Scott decided to apply for his Florida contractor’s license. In the beginning, Scott was responsible for everything from product estimations and project management to supervising and accounting. “When Dave came on board, we started to grow, and I was able to ease out of the project management side and focus more on running the day-to-day aspects,” says Scott. This company’s leaders believe in keeping things simple, in being good people, and in doing what they say they will. Neither of the partners ever thought that they would ever own a general contracting company and yet, here they are.And management positions nearly always go to those promoted from within the company. “We really are proudest of this,” says Dave. Here, the sense of camaraderie is palpable, and colleagues have established a genuine culture of family. “The guys all hang out with one another outside of working hours and are always there for each other to pick each other up whenever someone has an issue, whether personally or job-related,” Scott adds. One of the company’s traditions is its Friday conference call. This is an opportunity for everyone to get together to discuss all active projects and share any difficulties with the group. “We don’t use this meeting to point fingers but to solve problems. When you have twenty guys on a conference call, chances are that at least one of them has experienced a similar problem before,” David adds. The company has enjoyed a one hundred percent annual growth in revenue for the past three years as it has grown from four people to twenty-seven. Out of the twenty-seven, only around three were recruited; the majority was referred by other employees who knew they would be a great fit. “This has resulted in a great group of people that really care about each other, our clients, and the company,” says Scott. The owners take being hands-on to the next-level. “Titles mean nothing to us, and when clients want to know why our business cards read ‘Project Manager,’ we explain that that’s what we are,” says Scott. “Nothing is below us. From the president to the skilled labor professionals – we don’t expect any of our people to do what we wouldn’t be prepared to do ourselves,” says David. The company is set to continue its phenomenal growth trend and employ a further six to eight people in the coming year. It is also very diligent in reinvesting funds to ensure that technol-ogy, infrastructure, and brand awareness consistently improve.31CONSTRUCTION IN FOCUS It goes without saying that, to achieve longevity in business, a company needs to be adaptable, progressive, and dedicated. To navigate an industry for fifty years, growing all the while, is a small wonder. DEC 2018 - JAN 201932Written by David O’NeillIn 1955, John B. Haines IV established a small excavating company in Worcester, Pennsylvania, operating out of his parents’ family farm. John began to expand the con-tracting business, first excavating basements and footings for home builders and then moving on to more complex civil construction work. Soon realizing that help was needed, John teamed up with friend Terry Koch in 1957, and the duo formed Haines & Koch. By 1966, childhood friend John R. ‘Jack’ Kibblehouse reconnected with John, Terry, and a handful of dedicated employees. Tony Jeremias, Public Relations & Marketing Director, explains how the company’s position in those opening years differs greatly from its current standing as an industry leader. “When Johnny’s father Jack and John Haines started the corpo-ration, there were just a handful of dedicated employees,” he says. “Back in the day, these guys got it done with a few pieces of heavy equipment, some basic tools and pure determination.” Jack would eventually run the office and estimate project work, and by 1968, growth had again spurred change. As a response to the company’s development, Haines & Kibblehouse, Inc. (H&K) was formed. Scott B. HainesPresident & Chief Executive OfficerJames T. HainesChief Operating Officer33CONSTRUCTION IN FOCUS While much has changed in virtually every aspect of their business and the industry itself over the past half-century, John R. ‘Johnny’ Kibblehouse Jr., Vice President & Secretary, recog-nizes two aspects of the company that have endured. “I think honesty is one of our greatest values. We have a lot of repeat business from simply servicing our customers well and being fair on every project. Integrity in our company – we think a lot about that as well,” says Johnny. “Our fathers brought us up that way, and we will continue along this same path now and into the future. “H&K has been family-owned-and-operated since day one,” he continues. “Beyond the ownership, there are multi-gener-ational employee families that have been here with us since the beginning. There are also nine third-generation family members currently working in the company. We’ve instilled in them our same ideas and thoughts.” Johnny states that this long-term investment by employees in the company is of great benefit to the group. “We like when we get multiple generations involved in the business. After all, our people are the most valuable asset in our company; if we have someone here for a long period and they then bring their son or daughter in, they seem to share our values, and we cherish that.” The H&K Group, as the company is collectively known, has evolved and developed, which is inevitable over a fifty-year period. However, the extent to which the company has grown is staggering. “Yes, we’re a heavy civil contracting company, but we’re also much more. We can handle virtually every aspect of civil construction from the ground up,” Johnny states. “From site and land development, to transportation and structures, to demolition and design-build, etc. we are a full-service “The group was just awarded its largest-ever construction project.”DEC 2018 - JAN 201934 company. Additionally, we own or operate twenty-five crushed stone facilities and twenty asphalt plants. Several of which are joint ventures.” As the young H&K grew as a civil contractor, executive lead-ership quickly realized that an effective construction materi-als supply chain was key to remaining competitive, feeding not only itself with materials but its customers and contract-ing competitors as well. This was made possible through the acquisition of two key quarry locations from local quarry owner Vernon Horn in 1972. The significance of both the H&K Materials and Blooming Glen quarry acquisitions cannot be understated, as Mr. Horn’s Blooming Glen facility also contained a small asphalt plant. This early foray into asphalt production has also proven its worth time and time again in H&K’s story of success. Tony believes that this is a key component that separates the group from other companies. “I think the unique aspect that differentiates us from our competitors is that most don’t bring what we can “The company values its existing staff, and every effort is made to ensure its people are highly skilled and capable of completing each job.”DEC 2018 - JAN 201936 to the table – asphalt, concrete, and construction aggregates. This construction materials component makes us extremely competitive in our business sector.” This most recent chapter in the H&K story represents the period of greatest adversity, change, and, ultimately, triumph in the corporation’s history. With the economy shrinking through 2010 and less work in the project pipeline, the company was forced to adjust. Looking inward, slowing growth, and rethink-ing its objectives, H&K turned adversity into opportunity. By capitalizing on federal stimulus spending and a growing demand to fix the nation’s crumbling transportation and infrastructure systems, H&K ramped up its heavy civil con-struction focus through 2011. By 2013, the company was retooled and successfully securing a significant share of the shovel-ready infrastructure work throughout the region. These projects would also demand vital construction mate-rials from its quarries, asphalt plants, and concrete plants, further bolstering what could be called the company follow-ing the economic downturn. This recovery has led to enormous success in the construction sector. The group was just awarded its largest-ever construc-tion project. As lettings were announced on October 4, H&K topped PennDOT’s award list on four public infrastructure projects in Berks, Lehigh, and Montgomery counties. It is note-worthy that PennDOT’s lettings were extremely competitive on all projects, and one of H&K’s two Berks County awards on October 4 was in excess of $168,000,000, making it its single largest PennDOT award to date.These successes have not been without problems. “This year, one of the biggest challenges we have faced has been the weather,” says Johnny. “It has been a tough year in our region in regard to rain. It was one of the wettest years in recorded history, so it has been a tremendous challenge, particularly with the site work.” Johnny also acknowledges that attracting skilled workers to the sector can prove difficult. “Finding good labor – that has been a challenge. Our industry in general – construction, materials, and contracting sectors – they aren’t quite as appealing as other industries we are up against. I think that is a big problem.” The group has hit upon a strategy to work through the issues it faces. “Workforce development continues to be a key topic at H&K. In a recent Recruiting and Retention meeting we “Our people are the most valuable asset in our company.” Congratulations H&K on50 years of Excellencetalked about getting out and targeting our local high schools and promoting our industry from the inside out. It is a definite point of focus for the company.” In addition to recruiting from outside, the company also values its existing staff, and every effort is made to ensure its people are highly skilled and capable of completing each job. “We have many of our own in-house training programs, and we recently obtained a CAT heavy equipment simulator. We regu-larly train people on it, so that they don’t have to go straight out in the field. They can learn on the simulator instead,” explains Johnny. “Also, we are able to bring in unskilled labor and train them without tying up valuable equipment time. I think the whole industry is heading in this direction.” This dedication to upskilling its staff has additional benefits; Johnny is eager to point out that it is always a welcome sight to see staff members rise through the company. “We like to see in-house career advancement – we try to push our people that way. The folks that have the desire to excel are moved up. Sometimes we do hire outside people, but as much as we can, we push from the inside to bring people up through the corporation.”The company is dynamic, forward thinking and hungry for more expansion. This growth can result from in-house expertise by directly identifying growth partnerships. “Seeing increasing demand for repair and maintenance of the region’s aging water supply and wastewater systems, we recently added a Water & Wastewater Division. We teamed up with someone who had extensive knowledge in the wastewater industry that had his own business. He came on board to run the division for us, and he has done a really fine job since start-up in 2009. Generally speaking, this has been our recipe for growth and expansion through the years – identify a niche and then strategically fill it. Sometimes we look for key opportunities outside of H&K, and others, we steer exceptional people from within the company to develop and run new business units or divisions.” “Sometimes we do hire outside people, but as much as we can, we push from the inside to bring people up.”DEC 2018 - JAN 201938The H&K Group has passionate and driven staff who are the heartbeat of the company, and Johnny sees this as the founda-tion for all future endeavors. “We want to expand our talent, explore the industry and see what else we can accomplish out in the field.” The group is rightly celebrating its significant fifty-year mile-stone this year. However, nobody within The H&K Group is resting on their laurels. Here is to another fifty years! 39CONSTRUCTION IN FOCUS Next >