Latest / The Inspired Stories Podcast / How AI is Reshaping Staffing with Scott Fiore | Staffing Series
Transcript
- 0:04Welcome to another edition of Inspired Stories where leaders
- 0:07share their experiences so we can learn from their successes,
- 0:10how they've overcome adversity, and explore current challenges
- 0:13they're facing. Welcome to another edition of
- 0:18the Inspired Stories podcast where leaders share their
- 0:20experiences so we can learn from their successes and be inspired
- 0:24by how they've overcome adversity.
- 0:26My name is Anthony Kotaspodi and today's guest is Scott Fiore,
- 0:30President of tri-star, a top staffing agency in Lancaster,
- 0:34York and Central Pennsylvania. They successfully placed
- 0:37hundreds of well qualified people in the right jobs every
- 0:40year. Their rigorous process,
- 0:42experience, and attention to detail dramatically increases
- 0:46the likelihood of a successful employee employer match.
- 0:50Tristar is more than a temporary staffing company.
- 0:53They approach every single job assignment with the same level
- 0:56of professionalism, whether the positions are temporary, temp to
- 1:00hire, or permanent. They can serve as an extension
- 1:04of your company's HR department for recruiting, staffing, and
- 1:07they even offer consulting for the challenges your HR team may
- 1:11face. Outside of his professional
- 1:14commitments, Scott is deeply involved in the Lancaster
- 1:17community. He has served as chair of the
- 1:19board of trustees of the Lancaster Chamber of Commerce
- 1:22and Industry. He chaired the board of
- 1:24directors of the Lancaster Cleft Palate Clinic and the Lancaster
- 1:28Symphony Orchestra. He also served on the boards of
- 1:32United Way of Lancaster and Affiliated Staffing Group and
- 1:36the Longs Park Amphitheatre Foundation.
- 1:39Now before we get into all that good stuff, today's episode is
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- 2:10Now back to our guest today, the President of Tristar, Scott
- 2:13Fiore. I appreciate you making the time
- 2:14to Share your story today. Thanks for having me, Anthony,
- 2:17and thanks for that great intro. How did I do with the
- 2:20pronunciation of Lancaster several times?
- 2:22How many times? Did I get great?
- 2:23You did great for someone that just learned it a few minutes
- 2:25ago. Before we started recording
- 2:28folks, I, I shared that intro with Scott just to make sure
- 2:32everything was accurate. And I was pronouncing it
- 2:35Lancaster. I spent a year studying in
- 2:38Lancaster, England. And so I had to quickly rewire
- 2:41my brain. And so thank you for your help
- 2:44with that. So Scott, tell us first the path
- 2:48that got you into the staffing industry in the first place.
- 2:52Sure. Went to college, came out of
- 2:55college and got into the financial industry not knowing
- 2:57what else I was going to do. Didn't like it.
- 3:02Spent a couple of years in it and then went to work for a wire
- 3:06and cable manufacturer here in in the Lancaster area that I
- 3:10enjoyed. I enjoyed selling products.
- 3:13My wife at the time was working for a temporary staffing service
- 3:16called Tristar and we were, we had become very close with the
- 3:19owner of the business and my wife was starting, we were
- 3:24starting a young family. We had a couple of kids.
- 3:27And at the time my employer at the time was bought out.
- 3:33So lots of changes with that. And with that employer for me to
- 3:37continue in that industry meant moving again.
- 3:40The woman who now became my partner but owned Tristar at the
- 3:43time came to me and said, hey, would you like to come to work
- 3:47for me in the staffing industry? And I said, well, I don't know
- 3:51anything about it. She said I can teach you and
- 3:54hopefully you'll become my succession plan.
- 3:55And that's the short answer to a long to a long process.
- 4:00But that's how it all worked out.
- 4:02So she must have, she must have had a really high opinion of you
- 4:05without even working with you to say, hey, I've got you in mind
- 4:10for being my successor. Well, she, we, we put a pretty
- 4:15rigid plan in place. We spent five years where we
- 4:18were both feeling each other out.
- 4:20She wanted to make sure I was the right fit for her
- 4:22succession, but also that I was, I felt comfortable in the
- 4:27industry and comfortable in the company.
- 4:30And to her credit, she presented me with a, after that five years
- 4:37with a partnership agreement that that she crafted.
- 4:41And I was a young, young buck at the time.
- 4:43I was like, yeah, I'll sign it. She goes, no, you won't.
- 4:45You'll get an attorney. You'll have them review it.
- 4:47You'll come back to me with questions to make sure you're
- 4:50comfortable with this agreement. So I did.
- 4:53And that's probably the single best business advice I've ever
- 4:58received or tried to give to folks is when you're entering a
- 5:02partnership like that, it's just like a marriage.
- 5:05You're putting together a prenup so that everybody knows should
- 5:08that partnership dissolve, what that means for both parties,
- 5:13what the costs are for both parties.
- 5:15And I tell people all the time, we argued all the time and
- 5:18continue to argue nicely about the business and direction of
- 5:21the business and, and issues. We've never argued about that
- 5:25partnership agreement because we both vetted it, signed it, and
- 5:30you know, it is what it is and. What is her name that your?
- 5:34Partner Joan Paxton. She founded Tristar in 19, the
- 5:37Tristar in Pennsylvania in 1989. OK.
- 5:41And so Joan gave you this advice which yes, also from my own
- 5:44experience, I think it's fantastic advice in those early
- 5:49days when a partnership is first forming, It's the honeymoon
- 5:51period, everybody's getting along, all they see are dollar
- 5:54signs in the future. And so that's the time really to
- 5:57have a lot of those hard conversations of what if this,
- 6:00what if that and get that all figured out and on paper.
- 6:04So that when you get into those, some of those tense situations
- 6:08where things aren't going as well and you know, you've got to
- 6:11make some hard choices, then you know, you've got a document to
- 6:14go by that says, hey, here, here's how we agreed to deal
- 6:16with these things. Right.
- 6:18So, OK, so you didn't have any background in staffing?
- 6:21No. But you, you had this
- 6:24relationship and you got invited in.
- 6:27And So what were those first, I don't know, weeks and even
- 6:29months like switching from selling a physical product and
- 6:32now selling a service? You know, that was tough for me
- 6:36because I could go out and hold something and show something to
- 6:40somebody, sit down with an architect, sit down with an
- 6:42engineer and talk about how they want that one of that piece of
- 6:45cable design to a difficult sales process.
- 6:50Because I would go meet a prospect or a client and I could
- 6:56do the best sales job in the world, Convince them that
- 6:59Tristar was the right service for them.
- 7:01But if they didn't have a hiring need at the time, I don't get an
- 7:05order. So it took me some time to to
- 7:10get that. But then also I had to figure
- 7:13out, OK, how do I maintain that top of mind for the time they
- 7:18need somebody, which I may not know.
- 7:21So there's, you know, selling in the staffing industry is a lot
- 7:25about creating a relationship, creating trust, but also making
- 7:30sure you're top of mind when the need arises.
- 7:34And I'm curious what techniques you found have worked to stay
- 7:38top of mind without being annoying.
- 7:42Yeah, so in the old days it was phone calls, letters, you know,
- 7:47real letters that went through the mail with a stamp on them.
- 7:50And then it became e-mail. And our industry changed pretty
- 7:56significantly when the, when the Internet boomed, because now we
- 8:01could stay in touch easier and less intrusively through a quick
- 8:07e-mail. And the interesting thing was,
- 8:10Anthony, you know, when the, when the first job boards came
- 8:13about, the word in the staffing industry is they were going to
- 8:16put us out of business because people wouldn't need us anymore.
- 8:20And those job boards pretty quickly figured out that we were
- 8:22probably going to be some of their best customers because we
- 8:24wanted access to that pool of candidates.
- 8:28So it, you know, it went, like I said, it went from letters,
- 8:33phone calls, emails, but it's, you know, it was still labor
- 8:38intensive. You know, you had to set a
- 8:39tickler, send this person an e-mail, make, make sure you make
- 8:44a phone call to this person. Back in the early days, we set
- 8:48up some mail marketing campaigns through a marketing agency that
- 8:54were were successful. Now what we've been able to do
- 8:59and and the big change now is automation and artificial
- 9:02intelligence. Now we now we've made that
- 9:06process automated so that as a new prospect is identified by
- 9:12our sales team, there's an automated process by which we
- 9:15communicate with them, which includes e-mail, which includes
- 9:18text messages, which includes phone calls, which might include
- 9:21a personal visit. But now we can automate that.
- 9:26We can scale it so I can do it to lots more people more often
- 9:31and allow my salespeople to spend the time actually being in
- 9:35front of people, whether it's like you and I are now or
- 9:38actually in person. So that's these days, that's the
- 9:41biggest change and that's been my vision to how I'm going to
- 9:44scale this company. And so the, the tech, there's
- 9:47some automation, right? It could send the e-mail, it
- 9:50could send a text message. You still need a human being I
- 9:52assume to make the phone call? Or are you using a recording or
- 9:56AI to do that? Right now we're using a human
- 9:59being, but the automation is telling the human being when to
- 10:02make that phone call. So there are very specific times
- 10:06when that happens throughout the process.
- 10:09It would not surprise me if in the next 12 months that's not a
- 10:13human being. OK, interesting.
- 10:17And before we talk about your plans for growing the company, I
- 10:21want to go back to sort of the last huge introduction into your
- 10:27industry that people thought were going to put you out of
- 10:29business, these job boards. Why do you think they didn't put
- 10:33you out of business the way that people feared at the time?
- 10:36Looking back, I think it was their business model.
- 10:41I didn't realize it at the time, but if I look back at Monster
- 10:45Career Builder, what they were, what they intended to do was
- 10:51create a database of resumes and candidates that they could then
- 10:56sell to people like me and people like you that are looking
- 11:01to fill a job. But they needed to get those
- 11:04candidates first into the database.
- 11:07And the way they get them into the database is to advertise for
- 11:10jobs. So they upload the date, so they
- 11:13upload their resume. So, so the people that have the
- 11:16most jobs are the staffing industry.
- 11:18So they, they came to us and said, hey, we'd like to partner
- 11:20with you, but we'll post your jobs for practically nothing for
- 11:24free. And we were like, hey, that's
- 11:26cool. So we did that and it drove a
- 11:28lot of business to us. But at the same time, it enabled
- 11:32them to create this database of candidates with which they
- 11:36charge a lot more money for today because that's more
- 11:38valuable. So it didn't put us out of
- 11:41business because they came to us and we worked together.
- 11:43We really partnered with them and they helped us grow as an
- 11:46industry as we helped them grow also.
- 11:49And so, you know, as we look say, you know, today, Fast
- 11:53forward, I don't know, 20 years or so, 30 years, whatever it was
- 11:57since those job boards first came out.
- 12:00Why do you think a lot of clients, a lot of companies use
- 12:05Tristar instead of using Indeed themselves?
- 12:10So what Indeed can provide or another job board can provide is
- 12:14a resume. What a company like we provide
- 12:18is the vetting of that resume, the qualifying that candidate
- 12:22and the determination if that candidate really matches that
- 12:25position. And it's, it's easy to attract
- 12:30a, it's easy and inexpensive to attract a candidate.
- 12:33You, you put an ad out somewhere wherever it is and you get a
- 12:36resume. Difficult thing that most hiring
- 12:39managers and HR folks know is how do you know that that person
- 12:42is what's on the resume? That's our job.
- 12:45And we do that by looking at the resume, by interviewing the
- 12:51candidate, by using automated and artificial intelligence
- 12:54tools to vet that candidate, to make sure what we present to the
- 12:58candidate is a lot more than what they get from just looking
- 13:03from just getting that resume on a job board.
- 13:06So really what they're buying from us is the time and the
- 13:08expertise. You know, and if somebody who
- 13:13has gone through the hiring process myself and getting
- 13:19flooded with resumes, I can attest to the enormous value of
- 13:22that process. It's like, OK, well, I'm going
- 13:24to put a job out there, you know, and I don't know if I'm
- 13:27going to get any responses. I hope I get, you know, at least
- 13:29a few candidates to choose from. And then I get flooded with
- 13:33resumes and I don't even know how to begin.
- 13:37Like, I don't have a process for it.
- 13:38I'm in over my head. So I'm curious, you know, now
- 13:41that AI is becoming better and better, how are you using tools
- 13:48like like that to help your agency vet through and kind of,
- 13:53you know, serve as a filter for some of those job prospects that
- 13:56come? Here.
- 13:57So the first step in that process is the is the tools that
- 14:02we use. We'll search our database, we'll
- 14:04search the job boards, search the Internet for people who who
- 14:09on paper match what the job description or what we've asked
- 14:12that bot to look for. So once that is once that
- 14:17candidate is identified, the next piece of artificial
- 14:20intelligence tool actually screens that candidate.
- 14:23So based on the on the resume of the candidate, based on the job
- 14:27description, it will start asking questions through a text
- 14:31message or an e-mail of that candidate, pre screening them to
- 14:37come up with, to get to a point where the artificial
- 14:40intelligence says this candidate, as far as, as far as
- 14:45we're concerned, meets the criteria and turns it over to a
- 14:48real human at Tristar or not. And that saves a, a tremendous
- 14:53amount of time. And we can also do that 24 hours
- 14:56a day, seven days a week, which you can't typically do in in a
- 15:00with a human, you know, So, and that gets to my fewer people,
- 15:05but able to screen more, more candidates more quickly and more
- 15:08effectively. And that that tool is learning
- 15:11every day and every screen what we're really looking for.
- 15:15So it gets a little better and a little better every time.
- 15:18So Scott, I know that you've got plans for growth.
- 15:22You you want to be able to place more folks into jobs that are
- 15:26good fit for them and for the employers you want to be able to
- 15:29grow into new geographies as well.
- 15:33All of this is typically rather labor intensive, but you guys
- 15:37have been working on a tech stack for with the last 18
- 15:42months that is positioning you for this growth.
- 15:46Can you talk a little bit about that?
- 15:48Yes. So about two years ago looking
- 15:51forward into how I envisioned our industry, I knew that we had
- 15:55to make some pretty significant changes if we were going to grow
- 15:58the business and I'd rather grow the business than remain
- 16:01stagnant and we could have remained just like we are been
- 16:04just fine. But what I saw and and what I
- 16:11envisioned was changing how Tristar sees itself.
- 16:19We were a in the past, I would define us as a staffing and
- 16:24recruiting firm that utilizes technology.
- 16:27I'm moving that to, we're going to be a tech firm that does
- 16:30recruiting. So identifying core technology
- 16:35and then ancillary technology that all ties together to #1
- 16:40speed up the candidate identification and screening
- 16:43process, then the communication process with them, then
- 16:50communication and, and candidate presentation with our clients
- 16:57back office automated tools. The more I can do with
- 17:02automation and, and artificial intelligence and technology, the
- 17:06less people I need to do that that will allow me to hire
- 17:11different people. Two years ago, I didn't have a,
- 17:14a person focused on tech in my business.
- 17:17I do now. That's all they do.
- 17:20And, and they know all of Tristar inside now because they
- 17:24have to deal with all of those, all of those functions.
- 17:28So as I grow, I'll be able to hire people who are really
- 17:33skilled recruiters that don't have to worry about doing data
- 17:36entry, that don't have to worry about doing initial screening,
- 17:40so they can really focus their time on candidates and clients,
- 17:43which is what makes the most sense and is most efficient for
- 17:46them. So what you're describing,
- 17:49Scott, is not spending a, a weekend learning how to use
- 17:53ChatGPT, which you're describing here sounds like a pretty
- 17:57significant lift. I mean, the way that you put it,
- 18:01I, I think is evidence enough. You switching from a, a staffing
- 18:05agency that's got, you know, some tech behind it too.
- 18:08We are a tech company that does staffing.
- 18:12Now you've got a full time person dedicated to helping to
- 18:15build this tech. How's it going?
- 18:18Where are you in this process? So we are just at the point I
- 18:23added AVP of business development because I felt that
- 18:27the tech stack was ready this summer and then started poking
- 18:33around for for people and had one follow my lap.
- 18:37So we just hired AVP of business development with specific and
- 18:41extensive staffing industry experience, who in my
- 18:44discussions with him really bought into the technology and
- 18:49how we could use it to grow the business.
- 18:51So he's been on board. I think this is his fourth week.
- 18:56So we're still here. I mean, I spent a lot of money
- 18:58on this tech and investigating the tech and technology and all
- 19:01of that. And we're still here, we're
- 19:03still making money and we're we're positioned technology
- 19:07wise, but also financially to grow into those markets and and
- 19:11really start to make a splash. What do you think the timeline
- 19:15looks like? I mean, you know, you don't hire
- 19:17the guy on day one. You know, with tech that's, you
- 19:19know, brand new from this summer, there's going to be a
- 19:22process there. There still is that business
- 19:24development. You have to cultivate the
- 19:25relationships in different geographies.
- 19:28In a good case scenario, when do you think you might start seeing
- 19:32some return on that investment? You know, I've really learned to
- 19:37set my expectations over my career, and my expectation for
- 19:42this one is 12 months. From about now, 12 months from
- 19:46about now, OK. And the tech that you put in
- 19:50place, was this mostly like out-of-the-box tools that were
- 19:54made specifically for the staffing industry?
- 19:56Have you guys had to, you know, customize or build your own
- 20:00tools because what you wanted didn't exist?
- 20:04All of it is out-of-the-box with some customizations for us,
- 20:07obviously specific to the tech, to the staffing industry.
- 20:13I know I could have built it all.
- 20:14It would have cost me a fortune. I'd be nowhere near where I am
- 20:19in the process right now. There's some great products out
- 20:22there, great vendors to our industry and they're constantly
- 20:26making updates, constantly changing.
- 20:29Part of my job is just keeping an eye on what they're changing
- 20:33and, and my my internal person page who does the tech, her job
- 20:36is to keep on top of them because they implement change so
- 20:39quickly and we want to make sure we're taking advantage of the
- 20:42latest versions of the products they have, but also the new
- 20:46stuff that's popping up. You know, it happened upon one,
- 20:51I think it was in the winter that it really wasn't even on
- 20:55the radar in this, in the staffing industry world, but has
- 20:59been a super game changer for us.
- 21:01It's an AI tool that listens to our interviews and then
- 21:05populates the database. And that's that's been a game
- 21:09changer for my team. Listens to the interviews and
- 21:13then populates what specifically into the database.
- 21:15Just everything that was talked about.
- 21:17Yeah, it really does. It takes care of what we would
- 21:19call the interview notes, getting that, getting the the
- 21:24information that was in the interview spoken into the
- 21:27appropriate field in the database and it does it.
- 21:30And that was always a log jam for us and I think it is for
- 21:35many people in the staffing industry.
- 21:37You do the interview, but then you move to the next interview,
- 21:40you move to the next problem. And it might be a day or two
- 21:42before those notes get into the database and, and the, you can't
- 21:46use the database to search if the notes aren't there.
- 21:49So this tool, it's called Quil QQUIL, they've been one of the
- 21:53best that I've seen come around in the last year, year and a
- 21:57half. Real, real game changer for us.
- 22:00And what's the accuracy like? It's unbelievably accurate,
- 22:05probably better than we would be.
- 22:08Wow, that's impressive. You know, and this this kind of
- 22:11reminds me of what we're talking about with the job boards.
- 22:14You know, some people were probably running scared when
- 22:17those first became a thing. And, you know, and now that AI
- 22:21is becoming so powerful in so many ways, but particularly in
- 22:25the staffing industry, I think there are some people that, you
- 22:29know, kind of doing the ostrich thing, sticking their head in
- 22:31the sand and hoping that it it goes away.
- 22:33But you guys are taking a much different tack.
- 22:36You are embracing it. It's not going anywhere.
- 22:39Let's get to be a part of it. Let's get ahead of the curve and
- 22:41let's see how we can use this to leverage ourselves for future
- 22:44success. Yeah, we're, you know, we're a
- 22:47small company. There are huge global staffing
- 22:53firms that have way more resources than we do and, and
- 22:57they're making investments in that, in that technology.
- 23:00The advantages I have is I can implement it a lot quicker than
- 23:02they can. And that's always been my my
- 23:05vision through the last couple of years is like, I have to find
- 23:08the tech that's going to work for us, get it in into our
- 23:13processes, get it into our systems and, and be using it and
- 23:16be better at it than the big guys are.
- 23:18What do you think happens to those companies who don't do
- 23:21what Tristar is doing now in the staffing industry?
- 23:25You know, I, I think many of them will be fine there.
- 23:29There's, there's a whole lot of staffing firms that are small
- 23:34and local like we used to be, are now, but used to be in my
- 23:38opinion, that will maintain a, a good book of business through
- 23:42relationships and just being really good at what they do.
- 23:45I think over time those businesses will probably find
- 23:50that they can't grow as quickly and they can't grow as
- 23:52profitably because they've got such a big investment in people
- 23:57and those people are doing things that they really don't
- 23:59need to be doing. And so.
- 24:02During interview notes, if you know, that's a long, detailed
- 24:06process that takes a recruiter away from talking to a client or
- 24:10talking to a candidate or an employee.
- 24:13And they're most efficient and most profitable for me when
- 24:16they're talking to somebody not doing data entry.
- 24:23So two years ago, I had this vision, started working on the
- 24:26tech stack about 18 months ago. It's ready this summer.
- 24:29Now you got AVP of business development.
- 24:32Do when you think about growth in terms of geography, do you
- 24:36think about moving sort of from where you are in Pennsylvania
- 24:40and kind of moving out? Or is it like, we don't even
- 24:43have to think that way, Like we could go to Utah right now and
- 24:48be a player there? We're looking for people in
- 24:51Vegas right now, but you know, the plan is to is to be somewhat
- 25:03the, the plan is to be somewhat careful about growing too
- 25:07quickly. You know, I'd like to increase
- 25:09my presence in this area in Pennsylvania first, Maryland,
- 25:13Jersey, New York to some extent, but there's nothing to prevent
- 25:18me from filling a job anywhere in the country that makes sense
- 25:21for us. And so for you, it's about, I'm
- 25:26guessing that, you know, you think about the chicken or the
- 25:28egg. The thing that needs to come
- 25:29first is the relationship with the employer.
- 25:33Correct, right? And then once you've got that,
- 25:35then you can find, you've got your process for finding
- 25:38candidates that you can bring and present to them.
- 25:40Right. And I think we can do it more
- 25:43quickly and more accurately than than most of our competition
- 25:48right now. So talk to me about the types of
- 25:52positions that you are really good at filling now and will
- 25:58that change now that you have this new tech stack in place?
- 26:05Yes and no. So we've built our business on
- 26:08filling what's called office, clerical, administrative
- 26:10positions, support positions, think customer service, think
- 26:14bookkeepers, back office, that type of thing, Secretary's admin
- 26:17assistants. We know how to do that and we
- 26:20know how to do that really, really well.
- 26:23What we're what we're growing into is that next step up in,
- 26:29in, in management, not really the C-Suite or executive
- 26:34placement, but you know, we used to do accounting assistants or
- 26:39pair of bookkeepers. Now we can do accountants.
- 26:41So that level moving up in an organization, engineers, project
- 26:45managers, those types of things. Anything where there's where we
- 26:50can utilize the technology that we have to screen this wide
- 26:54funnel of candidates down to fewer that then we can spend
- 26:57time with. Those are the ones that we'll be
- 27:00focusing on. And how would you break down the
- 27:02percentage of your business that is temp attempt to hire versus
- 27:07permanent? Right now we're about 90 to 95%
- 27:11attempt to hire on any given week or month and I anticipate
- 27:16that will that spread will start to grow a little bit.
- 27:21And that's because you're specifically growing into
- 27:23filling these sort of higher level positions where it makes
- 27:27sense that those would be folks that are there longer term.
- 27:32What about industries then? What kind of industries do you
- 27:35guys have a strong foothold in now?
- 27:37And are there any that you're not sort of a big player in yet,
- 27:41but would really like to get into?
- 27:43Yeah. Right now, the industries that
- 27:46utilize us the most are where we're, we've been super
- 27:48successful in our healthcare, not clinical, but in support
- 27:53positions, the insurance industries and then
- 28:00manufacturing, but again, not on the floor in those support
- 28:04roles. Where I envision US growing into
- 28:08are those types of businesses just not in our current market
- 28:15that that's where we tend to do best.
- 28:17We don't fill warehouse positions.
- 28:19And these days, you know, 20 years ago there was, there was
- 28:22back office and support roles in warehouses.
- 28:24There really isn't much of that anymore.
- 28:26They've automated that. You know, you go to Amazon
- 28:29warehouse, there's hardly anybody working in it, but the
- 28:33people that are there are not the ones that we typically place
- 28:38the order fillers, the picker Packers, the forklift drivers.
- 28:41That's that's not what we do. So warehouse is not something
- 28:44that we're going to really super focus on.
- 28:47What you would do in those environments are more the office
- 28:51jobs, the AD, the admin, OK. Yep, and those just don't exist
- 28:55anymore. You know the the computers are
- 28:57placing the orders and sorting the orders and telling the
- 29:00pickers what to pick and that type of.
- 29:03Thing. Talk to me about the consulting
- 29:06work that you provide for some of your clients sort of becoming
- 29:09an extension of their HR department.
- 29:12So what I, many years ago, I was asked to serve on a search
- 29:17committee for one of the non profits that I was on.
- 29:20And you know, I hadn't learned to keep my mouth shut at that
- 29:26time. So I, I jumped right in and
- 29:28said, here's the process that we should use to hire this, this
- 29:31executive director. And after that lots of
- 29:35nonprofits started calling and saying, Hey, could you do this
- 29:38for us? Could you help us find an
- 29:40executive director? So we've worked with many, many
- 29:43nonprofits and coached their search committee through the
- 29:48hiring process. And then what we started also to
- 29:51do is, is help human resources, excuse me, departments when,
- 29:57when they needed more resources to come in and be an extension
- 30:01of their recruiting arm. That's where most of our
- 30:03consulting is done, doing what we know how to do, just helping
- 30:06a, a client learn how to do that.
- 30:10And we've kind of built a little name for ourselves locally in
- 30:13the nonprofit world when they need to do a search to help them
- 30:16through that process. And and you know, I don't charge
- 30:19what a search firm would charge because they're a non profit.
- 30:23They're in my part of the community and I don't offer the
- 30:27same services that that search firm does.
- 30:29Also, the search committee still does the bulk of the work.
- 30:32I'm just there to coach them through it.
- 30:35What, what might that look like? You're just you're sort of
- 30:38teaching them the process that you would use for your own
- 30:41clients so that they can do it themselves.
- 30:43Yeah. So I'll sit in with the
- 30:44interviews with them. I'll manage the interviews for
- 30:46them. They still have to make the
- 30:48decision. They still have to do the heavy
- 30:52lift of screening, you know, going to the candidates that
- 30:55they want to interview. We'll, we certainly call it down
- 30:57for them a little bit, but it allows them ownership of the
- 31:01selection of the candidate. One thing I learned is,
- 31:05especially in, in the nonprofit world, the hiring of a, of a, of
- 31:10a leader of an organization, an executive director or president
- 31:13is critical when the, when the search committee and then
- 31:16therefore the board feels invested in that hire.
- 31:20And when the candidate has invested time with that group of
- 31:24people, the odds of the success of that are much higher than if
- 31:28they just go out, identify 2 candidates, have the search
- 31:31committee interview them and, and then move on.
- 31:34So the success rate seems to be a lot better.
- 31:38And the other thing is I I often know the organization, so I know
- 31:41what they're looking for. I'm going to guess this
- 31:44consulting, this coaching that you offer is probably not part
- 31:49of the scaling plan that you have going forward because.
- 31:53We no there's. Too much work, yeah.
- 31:56Yeah, that's too much work and I can't scale that.
- 32:00That's personal. That's individual to me.
- 32:03And it it, it would be it, it it would really take away too much
- 32:10time away from the other stuff to really grow the business
- 32:12effectively. I mean, obviously you're
- 32:14charging a fee for the service that you're providing, but it
- 32:18sounds like, you know, part of this is also you just have those
- 32:21relationships. These are friends in the
- 32:24community. I mean, we went through a number
- 32:26of the, you know, the nonprofits in your area that you have been
- 32:31are a member of chaired. And so it sounds like this is a
- 32:35little bit of, you know, sort of that giving back to the
- 32:38community kind of mindset that you have.
- 32:40Yeah. And, and we've always felt both
- 32:43Joan, the founder and I, this community has been very good to
- 32:45us and we owe something back to the community.
- 32:48And that's why we're active in the community.
- 32:50We encourage our team to be active in the community.
- 32:53And you know, most recently we, we helped the United Way of
- 32:57Lancaster hire their, their executive director.
- 33:01I've been involved with that organization for years.
- 33:03Joan has, we know what they're looking for.
- 33:05We know what they want. And The funny thing was they had
- 33:09looked for an executor, We had helped them with a search for an
- 33:13executive director about four, 5-6 years ago.
- 33:17And she was on the list of people that I contacted because
- 33:20I knew she would the one that they just hired, but she wasn't
- 33:24ready. So when, when the current, when
- 33:27the old executive director moved on, he had a great opportunity
- 33:31left on good terms. She was one of my first calls,
- 33:34the woman they eventually hired and now she was ready.
- 33:37And, and then, you know, that's part of what a a firm like ours
- 33:40recruiting firm can offer. They, they know the right
- 33:43candidate. Maybe the candidate's not ready,
- 33:45maybe the organization isn't ready.
- 33:46But when that happens, it's our job to then make that match.
- 33:52Scott, what's the biggest mistake that you see companies
- 33:56make when hiring? The biggest mistake I think
- 34:01people I, I think companies make is falling in love too quickly.
- 34:08And once they fall in love with a candidate, not following
- 34:16procedures that they had put in place to appropriately vet that
- 34:19candidate. Certain, you know, some people
- 34:23interview super well and the resume looks great.
- 34:27And I always tell people 80% of what you see on a resume is
- 34:29probably a work of fiction in many cases or embellished.
- 34:35I was just looking at a something on the Internet where
- 34:38they, a consultant was saying, you know, use this word when you
- 34:42mean this on a resume, that type of thing.
- 34:44There's plenty of ways, you know, ChatGPT can make your
- 34:47resume look great. So you look at a resume, you
- 34:53fall in love with it, it's perfect.
- 34:54It's perfect because Chachi probably lined it up to your job
- 34:57description. Then you interview the candidate
- 35:00and they do a great job because they've gone on the Internet and
- 35:03said, what questions might they ask me about this job and how
- 35:05should I answer them and all those things.
- 35:08And because everything's so great, maybe you don't do the
- 35:11background checks as maybe you skip a step.
- 35:15Maybe you don't look into their their credit history.
- 35:18If it's a, if it's a, if it's an accounting position, or maybe
- 35:22you skip the references because you know they'll be good and
- 35:26maybe just call the references they give you instead of maybe
- 35:28doing a little extra work and calling some people that might
- 35:31be able to give you a reference that isn't on their reference
- 35:35sheet. So it's, it's doing that work is
- 35:37what I see most often when, when we make a placement and they
- 35:42don't work out it, it, it is hardly ever because of a
- 35:46candidate not having the skill to do the job because they don't
- 35:50fit culturally with the company or or they don't have the soft
- 35:54skills that that organization or that fit the culture of the
- 36:00organization. That's mostly why candidates
- 36:04don't work out. And these days when you can very
- 36:08quickly skill up when you know, if, if the person that I hired
- 36:15for our tech didn't join the organization for tech, just fell
- 36:20into it and you know, she learns things by going on YouTube or
- 36:23asking questions of the vendors, you know, and she learns it like
- 36:26that because the resources are available for that.
- 36:29You don't have to go take an Excel class to learn Excel
- 36:31anymore. You just go into ChatGPT and
- 36:33say, what's the formula for this?
- 36:35So it's that ability to learn that is more important than the
- 36:40skills that you may possess. And that that's another thing
- 36:45that I think people put too much weight on.
- 36:47What's their experience? Well, their experience probably
- 36:50doesn't matter because of the way, because of how things
- 36:53change so quickly these days. It's what's their capacity to
- 36:56learn. How can you gauge that in an
- 36:59interview process? You have to have a conversation
- 37:01and you have to look at what they did in the past, not these
- 37:04are the skills they have, but how did they learn them and how
- 37:07quickly did they learn them and why did they have to learn them
- 37:10and, and, and did they enjoy that?
- 37:14Can they show me that they, they had a problem, they went out and
- 37:18found a solution to that problem wherever it might be and then
- 37:21implemented that solution. Those are the most effective
- 37:24employees in today's environment in the office world.
- 37:28How can they find out the latest and greatest way to fix this
- 37:32problem that my company has? Are personality sets part of
- 37:36your process for? Yes, much so.
- 37:39And they they can also give some.
- 37:41We use them because they give some validation to what we may
- 37:46or may not find in the interview.
- 37:48Someone says they're a great problem solver, but the
- 37:51personality assessment leads us to believe they may not be.
- 37:54And we're going to focus on those questions and then and
- 37:57background checking that more than an area that may line up.
- 38:02So yeah, we, we, we use them extensively now.
- 38:05We've used them as long as as I've been involved in the
- 38:08company as a validation tool. I always try to tell clients
- 38:13they're not you. You don't make a final decision
- 38:18on a candidate based solely on a personality or behavioral
- 38:21assessment. It's just a tool that you use to
- 38:23validate what you may see in the interview, what you may hear
- 38:26from the references, and then what your gut tells you.
- 38:30Do you have any specific favorites in terms of the
- 38:33different personality tests out there?
- 38:35You know, they're, I spent a lot of time with these things over
- 38:39the the past several years and they're all based on young and
- 38:42Freudian technology, not technology, whatever the.
- 38:48Schools of thought, yeah. Schools of thought there you go
- 38:51so you know, disk is one that I've used forever.
- 38:56So many tools are based on the disk model and and how it works
- 39:00and then when you get on the personality side, they they're
- 39:04all based on pretty much the same science.
- 39:07So find one that fits for you, find one that where you have a
- 39:11good coach who can teach you about them.
- 39:14Because you know, I've been looking at disk profiles for 25
- 39:18or so years. So I can look at a profile
- 39:21pretty quickly and make some some determinations.
- 39:24But someone who just trained in disk and it's their first,
- 39:28second or third interpretation, they're probably not going to
- 39:32see some of the subtleties of that product or that report that
- 39:36someone who's much more experienced is.
- 39:38So you really need to be careful how you interpret those tools
- 39:43because they can backfire on you pretty quickly.
- 39:46You know, Scott, you threw out an alarming stat, and I don't
- 39:49know if you were exaggerating this or if you believed this to
- 39:51be true. 80% of what you see on a resume is some form of fiction
- 39:57or embellishment. Do you believe that that's an
- 39:59accurate number? I'd stick to that.
- 40:02Yeah, it might be on the high side, but especially these days
- 40:08where you can take a job description, put it in ChatGPT,
- 40:13take your resume, put it in ChatGPT and make my resume match
- 40:17this job. OK, so that's a thing.
- 40:20Of course, that's the thing. Of course it's.
- 40:22A thing. It wouldn't have occurred to me,
- 40:24but it's a little bit clever, you know, here's a question that
- 40:30I'm going to guess a lot of other business owners or
- 40:32managers out there would like to know the answer to because I've
- 40:34got some conflicting information.
- 40:36When somebody calls me for a reference on somebody who worked
- 40:39for me, you know, previously. Am I allowed to just be blunt
- 40:44and honest or is my safest course of action to just confirm
- 40:50their employment dates If it if it's not a good reference that I
- 40:54would give. Right.
- 40:56Yeah. I've asked attorneys this and
- 41:01their advice is as long as you tell the truth, you're probably
- 41:06safe. And I said, well, why?
- 41:09Probably. And it's because they're lawyers
- 41:11and nothing's ever, ever black and white.
- 41:15But if, if you tell the truth and you and, and you can
- 41:21validate that, you still may get sued and it still may cost you
- 41:24money, but you're probably more likely to spend less money or
- 41:28win. So I'm always honest.
- 41:31And one of the questions I and many in the industry and many HR
- 41:37people ask is a simple one. Are they eligible for rehire?
- 41:41If they are, they probably left on pretty good terms.
- 41:44If they aren't, you know, I might ask why they might tell me
- 41:48why they may not. But that simple yes or no answer
- 41:52is going to tell me a lot about a about a candidate.
- 41:56Wow, that's powerful. But as long as you're honest,
- 41:58Anthony, you, you should be able to, you know that that's what
- 42:02references are about. And you know, we people get
- 42:05scared about being sued and people get scared about
- 42:08ramifications. But if, you know, if if someone
- 42:12was late every day for two weeks and you coached them and you
- 42:17tried and, and, you know, you had to terminate them, you can
- 42:21probably verify that. So if you say, well, they were
- 42:24late 10 days in a row, I coached them.
- 42:26I gave them five warnings, I had to terminate them.
- 42:29That's the truth. So if they sue you, you're going
- 42:31to show them that information. And yeah, you're going to spend
- 42:35some attorney fees probably. But you know, they really don't
- 42:38have a case. Yeah, fortunately I, I had
- 42:42mostly really good folks that worked with me in the past.
- 42:46I can, I'm trying to remember the, the, the person and see
- 42:49them in my head where I got a call, you know, to be a
- 42:51reference for them. And they were just not a
- 42:53reliable employee. And I wasn't sure how to, how to
- 42:56approach that. And so my response is I just
- 43:00kept confirming their employment dates.
- 43:01They would ask a question and I can confirm that they and I and
- 43:06eventually, you know, after two or three times, they figured out
- 43:08the picture. Yeah.
- 43:10You know, references are many companies are, are, are have
- 43:13outsourced that process so that it's, it's automated or it's
- 43:17simply these are the dates, you know, these are the, these are
- 43:22their title. You know, that's a key
- 43:26opportunity for you to learn about a potential candidate.
- 43:30And we've automated it, but we have very specific
- 43:33questionnaires that we e-mail out to, to references that
- 43:38really get pretty deep and give our, give the person giving the
- 43:42reference an opportunity to really provide good information.
- 43:46And then then we put together all in one report for our
- 43:49clients to look at. So they get a lot of information
- 43:52in that reference. And you know, if, if you're just
- 43:55calling for dates, you know, why do it?
- 43:57I, I, I wouldn't even make that call.
- 43:58It's a waste of time. What you want to find out is how
- 44:01did they perform in the job? What were the things they did
- 44:05really well? What were the where were the
- 44:07areas they maybe needed coaching so that, you know, if you hire
- 44:10that employee, what you might need to do to to help them be a
- 44:14better performer. So, you know, that's an area
- 44:16we've always spent time on. We will always continue to spend
- 44:19time on. Many companies don't, don't
- 44:22because it's hard. It's hard to get someone on the
- 44:24phone. It's hard to get someone to give
- 44:25a reference, but you know, we've always had a a policy that if we
- 44:32can't get a reference on them and they haven't worked for us
- 44:34so that we could be a reference for them, we're not going to put
- 44:37them to work. Yeah, makes sense.
- 44:40You know, a lot of the employers that I talked to, it's still a
- 44:42pretty tight labor market. We're recording this in October
- 44:45of 2024. And so, you know, we talked
- 44:48about different strategies for finding good talent and
- 44:52obviously that's where a company like Tristar comes in.
- 44:55But then also once you have somebody and they're working
- 44:57out, how do you hold on to them? It's probably a little bit
- 45:02outside of the the scope of what you do, but obviously you have
- 45:06been in so many different companies, you've seen so many
- 45:09different employment scenarios, you've talked to so many
- 45:10employers and employees. What do you think employers can
- 45:16do to hold on to those folks that they like?
- 45:21So here's my philosophy on that because I have 10 people that
- 45:23work for me internally in my company.
- 45:28My job is to give them the opportunity to reach their
- 45:30potential number one, when I hire them, be the best they can
- 45:36be within Tristar. Then another job I have is to
- 45:40grow my business such that as they advance in their career, I
- 45:44have a space for them. Now if I don't and they come to
- 45:50me and say, hey, I've got an opportunity to take this job,
- 45:53I've done half of my job. I, I, I allowed them to excel in
- 45:57their job. And then I haven't enabled them
- 46:00to advance in my own company. And that's why I want to grow my
- 46:04company because I want to hold on to the people that I have.
- 46:07So provide opportunities for people, provide training,
- 46:11provide coaching, constant feedback.
- 46:15You know, there's, there's all kind of schools of thoughts on
- 46:17the different generations in the workforce.
- 46:19But what I found is no matter how old an employee is, the more
- 46:23feedback I give them, waited to the positive, the longer they'll
- 46:29stick around, The, the, the, the happier they are in the job.
- 46:33And then, you know, getting to know your, your, your team.
- 46:37I, I, I noticed that my current team is, is on the younger side.
- 46:41And every day they come in with these coffee cups from Starbucks
- 46:44or wherever it was. We just did a, a kitchen
- 46:47renovation at, at my house. So we had this whiz bang coffee
- 46:50maker because I'm a coffee snob. And I, I figured, you know, why
- 46:53don't I buy one of these whiz bang coffee makers for the
- 46:55office. You know it.
- 46:57So now they can make lattes, cappuccinos, you know, the whole
- 47:00mine yards. And they were thrilled.
- 47:02And now they don't have to spend $5 on a cup of coffee on the way
- 47:05into the office. You just gave them a little pay
- 47:08raise. I I kind of did and you know it,
- 47:11it wasn't cheap. You know, it's not like a Mr.
- 47:12Coffee coffee maker. It's not inexpensive.
- 47:14But the ROI on that is fantastic because now they, they can at 10
- 47:21in the morning, they don't have to run out to Starbucks to get a
- 47:23coffee or they don't have to drink a Curry cup of coffee
- 47:26because they're coffee stuff. So it's just understanding your
- 47:28team, what makes them tick, talking to them like your
- 47:32equals, but at the same time holding them accountable to do
- 47:36their job. You know, it's a balance that
- 47:38you know, a good manager has to learn over time.
- 47:40And, and you know, I've made mistakes with that.
- 47:42I'm sure most managers have. And over time, you learn.
- 47:46Yeah. You know, Scott is business
- 47:48owners, obviously one of our big jobs is to keep our eye on the
- 47:51profit and loss statement, right?
- 47:53Like we got to make sure that that those numbers look healthy.
- 47:56And as I think about this in sort of two big levers we've
- 48:00got, you know, increasing sales and, you know, decreasing
- 48:04expenses. We've already talked about the
- 48:06tech stack that you put in place, which is huge on both of
- 48:10those. I wonder outside of that, this
- 48:13new tech that you guys have put in place, think about each of
- 48:17those levers. Is there a creative solution
- 48:19that you've tried in the past that's worked well for you to to
- 48:22move one or both of those? You know, I, I've learned in
- 48:26this, in our industry, revenue is very, very much dependent on
- 48:34the current economy. This is probably the only time
- 48:38in my career where I've seen low unemployment numbers, but our
- 48:42industry's kind of in a valley of, of revenue right now.
- 48:47And, and, and my opinion on that is in the 2003 time frame, you
- 48:53know, 2022-2023, it was really hard to hire people.
- 48:57It was really hard and our industry was just booming.
- 49:03And as the economy has slowed down and there's lots of
- 49:07indicators to show that, what I don't think is happening is
- 49:11employers are letting people go like they would have been a
- 49:13previous slow down because they know how hard it's going to be
- 49:17to find them again. And that's why I think the
- 49:20unemployment numbers are still pretty low.
- 49:23I, I think it's somewhat artificial because not
- 49:27artificial because they're wrong, but companies are holding
- 49:30on to people where they may not have in the past.
- 49:34And that's made the hiring landscape a little more
- 49:39difficult, certainly easier than it was a year or two ago, but
- 49:45probably more difficult based on the economic conditions that
- 49:50we're seeing. That's interesting.
- 49:54So you're, you're saying the first time in your career in
- 49:58this industry that you've seen there be low unemployment
- 50:03numbers, which is what we have. But the staffing industry in
- 50:06general is sort of in a valley. It's, it's in a little bit of a
- 50:09funk right now. And the reason you believe is
- 50:13companies are not hiring as much, right, Because a lot, a
- 50:16lot of things have slowed down in the economy.
- 50:17But even with that, companies are not letting go of employees
- 50:23in the same way that they would have in the past.
- 50:24So there's also not sort of this influx of extra workers
- 50:28available. To be placed that's, that's
- 50:30strictly my opinion and it's part of the puzzle.
- 50:34I think I, I, I do think that companies are implementing
- 50:36technology and and automation so that they may not need as many
- 50:40people as they have in the past. But I think when you combine
- 50:43those two things with baby boomers not retiring at the
- 50:47rates we expected, you know, all these other things that are,
- 50:51that are all coming together at the same point in time.
- 50:54I think that's, those are some of the things.
- 50:56And, and I always bring up that companies are holding on to
- 50:59people. I think that's the the, the
- 51:03difference. You know, the one thing that I
- 51:05can say is the the oddity right now of of what we would see
- 51:09typically. Are there any specific mentors
- 51:14or books, maybe podcasts or experiences that have helped
- 51:19shape you or your professional career?
- 51:21Scott. I don't know that there's any
- 51:23specific book I'm always reading.
- 51:25If I threw my camera around, you'd see books everywhere, you
- 51:29know, mentor wise. I, I try to, I, I, I love to
- 51:36play golf and I spend a lot of time doing that and I try to put
- 51:40myself, myself in a position where I can be golfing with
- 51:46people who I can create a relationship with that can help
- 51:53me grow personally and professionally.
- 51:56I have a guy I met several years ago.
- 51:57He's become a really good friend into all kinds of different
- 52:01businesses as an investor. And you know, as as I've ticked
- 52:05his brain over time, he's been a great source of help for me.
- 52:08Just, you know, I'm in this little company, He's got 30
- 52:10companies and what's he, what does he do for in this situation
- 52:13or that situation? But I know he's giving me the
- 52:17advice because he wants to help me.
- 52:19And it's not because he wants something from me.
- 52:23And I try to surround myself with people like that.
- 52:27Yeah, that's really important to be able to have folks that you
- 52:30can learn from, people who've been there before.
- 52:34What about any like sort of mastermind groups or, you know,
- 52:37sort of like small circles of like minded people is that?
- 52:40Yeah, I'm in a group, A presidents group that meets a
- 52:46few times a year in person and then every month or two
- 52:50virtually. Right now, you know, it's about
- 52:5212 of us that really can kind of lay it out, layout our issues,
- 53:00our problems, our failures, our successes.
- 53:02So that's the small group I'm in.
- 53:04I'm in a bigger industry peer group which is independent
- 53:08staffing service owners. There's about 40 businesses
- 53:10represented in the group. That one we certainly get
- 53:15together as owners separately from we most of the time we'll
- 53:19bring our our key folks to provide them some learning
- 53:23opportunities and provide them some networking opportunities.
- 53:26But in any group like that, I've always, I always try to find
- 53:30that that subgroup that thinks like I do, that has different
- 53:36experiences than I do, that I can lean on either at that time
- 53:40when we're together or when we're not.
- 53:42Lots of emails, lots of phone calls go back and forth when
- 53:45we're when you can trust someone like that, it's really
- 53:48important. Yeah, I do think that's really
- 53:50important just from my own personal experience, you know,
- 53:53having sort of that safe place where you can open up about what
- 53:57you're struggling with. Yeah, you know, and to be able
- 54:01to get helpful feedback from people who have been there,
- 54:06they've they've been through it, they've got some ideas and
- 54:09solutions how to come through the other side.
- 54:10Yeah, it's key. And you know, sometimes it's
- 54:14good advice, sometimes it isn't. You have to be smart enough to
- 54:18figure out what's the what's the good advice and what's not good
- 54:20advice. You know, in while we're on the
- 54:23topic, I'd be curious to hear about maybe a particular
- 54:25challenge that you've gone through Scott, either personally
- 54:28or professionally, maybe what you learned coming through the
- 54:31other side. Oh, so I would.
- 54:36Say one of the biggest challenges I went through or we
- 54:40went through my partner Joan and I is in the 2008 recession.
- 54:45You know, we're still a somewhat young company.
- 54:50We, we, we're in OK financial position, but not great.
- 54:58You know, we were, we were trying to grow the business.
- 55:01We didn't have a ton of cash in the bank.
- 55:03We were young in our careers both personally and
- 55:06professionally. So that, that recession hit and,
- 55:10and it was, you know, nail chewing time and us not taking
- 55:14paycheck time. And, you know, we came out of
- 55:18that and we came out of it stronger.
- 55:20And I remember her and I sitting down and, and saying, you know,
- 55:24we're never going to go through this again.
- 55:26We're we're going to build a strong balance sheet so that we
- 55:31can weather storms because economies are always cyclical.
- 55:36We can, we can get through them. We can get through whatever
- 55:41might be thrown at us and not have to worry about money.
- 55:47So we spent the next several years, more than several,
- 55:51improving our balance sheet, you know, getting rid of our debt,
- 55:54making our cash position strong so that when the COVID crisis
- 55:58hit, we weren't worried about money.
- 56:01I sat my staff down and I said, you know, when they first sent
- 56:04us home, they sent us home for what they said was going to be a
- 56:06couple weeks. And it was certainly longer than
- 56:09that. But I sat my whole company down
- 56:11and said, listen, we could take 0 sales for this many months
- 56:18before I have to worry, not before I'm out of business,
- 56:22before I have to worry. And that allowed me to convey to
- 56:26them that they didn't have to worry.
- 56:32Your job's safe. You're going to work.
- 56:34You're going to get a paycheck. You're going to come to work
- 56:36every day. Your benefits are safe.
- 56:38We don't lay anybody off. We certainly could have and, and
- 56:44it would have made it made sense for a little while, but we
- 56:47bounced back more quickly than I think some industries did.
- 56:50But knowing, you know, having went through that period of not
- 56:55not collecting a check to pay team, you don't have to worry
- 57:00because you know, now I'm a different financial position
- 57:02than most of my employees. If they're not getting a
- 57:04paycheck, that's if not the first or second week, the 3rd or
- 57:074th week, it's going to be a big deal.
- 57:09And knowing that I could offer them that safety net and
- 57:12security. And we worked on lots of
- 57:15different things. We worked on vision statements
- 57:17and we found, we found things to do.
- 57:21But that's probably the biggest lesson I've learned is have your
- 57:23balance sheet strong because things aren't always going to be
- 57:26rosy. Yeah, it's going to.
- 57:29The rain clouds are going to come in eventually.
- 57:31Yeah. What was that like for you in
- 57:342008 when maybe there were some questions about are you going to
- 57:40make it? I mean, you and your partner had
- 57:42to stop taking paychecks at different times.
- 57:44Like what kind of stress were you going through and what
- 57:48helped you cope with that? I wouldn't say that we ever
- 57:54thought we weren't going to make it OK, But you know, when that,
- 57:58when the line of credit starts ticking up to its Max and you
- 58:04know, you're, your, your revenue's down so you're not
- 58:06collecting as much money, It, it, it was stressful because at
- 58:09the same time, I don't want to go home and convey that stress
- 58:12to my stress to my wife or kids. So, you know, at that time, it
- 58:19really was that peer group, the big peer group, the, the 40
- 58:22independent members, because we were all going through it and,
- 58:26and, and knowing they were to, it wasn't just me, they were
- 58:31doing the same things we were doing.
- 58:33Having some of the members that have been through more than I
- 58:36had older folks saying, hey, every time this happens, we come
- 58:40out stronger. OK, So there is a light at the
- 58:43end of the tunnel. This isn't going to be forever.
- 58:46And then starting to see some signs from different members of
- 58:50the group that things were starting to turn around helped
- 58:53me alleviate my stress. But it was tough.
- 58:57You know, I probably, probably I didn't eat as healthily as I
- 59:04should have during that time. Probably drank a little bit more
- 59:07than I should too. You know, and we laugh about it,
- 59:10but I think those are good things for people to hear,
- 59:12right? You know, people look at Scott
- 59:14and they're like, wow, he's really successful.
- 59:16He's got this great, strong business now and he's putting
- 59:18the tech in place. He's going to be growing in new
- 59:21regions. Like, you know, this is just a
- 59:23sharp guy. He's smart and like, everything
- 59:25comes easy to him. And it's like, no, like I went
- 59:27through some really hard stuff and I drank a little bit and
- 59:30maybe when I shouldn't have, I wasn't eating the best food
- 59:32because, you know, I was searching for comfort in other
- 59:35places. So yeah, thanks for sharing
- 59:37that. I think that's.
- 59:38Important for for people to hear.
- 59:39You know, we're, we're all human beings.
- 59:41We, we all bleed the same color of blood.
- 59:43So keep that in mind, folks. Scott, I've got one more
- 59:47question for you. But before I ask it, I want to
- 59:49do 2 things for those listening today.
- 59:52If you like today's content, please hit the like share or
- 59:54subscribe button on your favorite podcast app.
- 59:57I also want to let people know the best way to get in touch
- 59:59with you, Scott, What would that be?
- 1:00:02LinkedIn is is easy and or just go to our website
- 1:00:06tristarjobs.com 2RS and star. All right.
- 1:00:10So last question for you, and I kind of have a feeling I know
- 1:00:13where you're going to go with this.
- 1:00:15How do you see the staffing industry evolving in the next
- 1:00:18few years? What do you think the big
- 1:00:19changes are that are coming? I think that over my career the
- 1:00:25the staffing industry has gone from filling quick open
- 1:00:29positions, my secretary is sick, I need someone today to much to
- 1:00:33being a much more strategic partner of our clients.
- 1:00:38I think as I look out 510 and 15 years, I think the way our
- 1:00:43industry is going to change is in response to how people work.
- 1:00:48I think more people will work not just for one company, but
- 1:00:56they'll have skill sets that they can work with several
- 1:01:00companies at a time. And the way they'll be able to
- 1:01:02do that and access benefits is, is through a company like mine
- 1:01:08who will have the talent that companies need.
- 1:01:14And I, and I think you'll see fewer and fewer companies, I
- 1:01:18believe hiring full time people all the time.
- 1:01:21They're going to, they're going to come to a company like me and
- 1:01:23say I need someone that can do this project.
- 1:01:26And it's going to take this amount of time.
- 1:01:28And it might be a week, might be a year, it might be two years or
- 1:01:33it might be 20 hours a week that they need something for.
- 1:01:36We're starting to see that a little bit in the bookkeeping
- 1:01:38side of the business. Small companies don't need a
- 1:01:41full time bookkeeper. Can't justify it.
- 1:01:43Well, if I can package two or three bookkeepers, 1 bookkeeper
- 1:01:48to to handle two or three companies, they get their full
- 1:01:52time work, they get their benefits through me.
- 1:01:54The customer gets the 20 hours, 15 hours a week that they need
- 1:01:57for that skill set. I think that's how our industry
- 1:02:00is going to evolve. Interesting.
- 1:02:04So when you first started talking about that, I thought
- 1:02:05you were sort of describing like a like a fractional CFO kind of
- 1:02:09a thing. That's that too.
- 1:02:11You're seeing that too. And I think our industry will be
- 1:02:15how those people can effectively and is easily get paid.
- 1:02:23And so the, the benefit of this for both the employer and the
- 1:02:29employee is the employer doesn't have to carry the expense of
- 1:02:34this person on their payroll full time, but the employee, I
- 1:02:38mean they want a full time job with benefits, right.
- 1:02:41And so when they're on the Tristar team, they don't have to
- 1:02:45worry about that when you know you are going to help to fill
- 1:02:48in, you know, if this job's only 20 hours to fill in another, the
- 1:02:51other 20 hours somewhere else and or you know, if this is the
- 1:02:55three month assignment, they know that you're going to find
- 1:02:57something else for them after that three months is up.
- 1:02:59So they've got job security. Right, Yeah, that's the way
- 1:03:03we're started. We're just in the beginning of
- 1:03:05that companies, our clients are just, you know, they'll have to
- 1:03:10get comfortable with that and we'll have to make some changes
- 1:03:15as as an industry to get comfortable with that too.
- 1:03:17And it may, not saying it will, but it may involve it may change
- 1:03:22who pays us. Right now, our clients pay us.
- 1:03:26I I could see a time when a fractional CEO is the person
- 1:03:33paying us, much like a professional athlete pays an
- 1:03:36agent. Oh, that's interesting.
- 1:03:39We'll have to check in with you in a few years to see how this
- 1:03:41is shaping up. See if you're Crystal.
- 1:03:44That's that's further out there. That's that's my real wacky
- 1:03:47thinking Long. Term.
- 1:03:48That's what. That's what the second bourbon
- 1:03:50usually starts. I like it.
- 1:03:53Well, Scott, I want to be the first one to thank you for
- 1:03:55sharing both your time and your story with us today.
- 1:03:58I really appreciate it. It was my pleasure.
- 1:03:59I enjoyed. It was a great conversation.
- 1:04:01Anthony. Folks, that's a wrap on another
- 1:04:03episode of the Inspired Stories podcast.
- 1:04:05Thanks for learning with us today.