Become the Alpha.

If you look at the different business models out there, most companies follow the leader. The reason is because as smart as many are-they do not want to put in the work to create differentiation strategies. I feel this is based on human nature.

There are less Alphas than followers. A true Alpha. According to the Merrium Webster an alpha is defined as the following:

·?????? A socially dominant person or animal

The rest of the animals hold positions in the pecking order below the alphas and respect their leadership roles, although they may challenge other wolves (even alphas) to raise their rank.

Alphas will take risks to maintain the top spots, they set the pace and most of us simply follow.

Can you catch an Alpha-yes once you break the cycle of being a follower?

A unique train of thought for business-The Godzilla Monster verse.

§? Godzilla, King Kong, Scar King, and King Ghidorah are the alphas. In the second installment of the new movie series-When King Ghidorah awoke and sent out the message the following happened: Most of the monsters heard the call and responded.

§? Godzilla went to reclaim the title of Alpha.

§? King Kong heard it but ignored it-the reason given is that he knew he was the Alpha of skull island and did not care what happened outside his kingdom.

§? In the next movie we will meet the Skar King -He was firmly entrenched as the Alpha of the hallow earth-why would he bail down to another.

It does not matter if this is a story-if you look at most animal behavior there is an alpha. They do what must be done to protect their subjects and kingdoms.

?How can this be applied to business?

By not looking at other companies but to research and find unique unfilled niches. by not competing on price-but by using technology to your advantage. You can use the latest trends to your advantage.

Let us look at new trends-the biggest one besides artificial intelligence and crypto is Sustainability and ESG.

What is ESG?

First, let us cover some background on what ESG is, and its rising importance to companies around the world.

?You have probably heard terms like “sustainability” and “corporate responsibility” before. The first pertains to an organization’s efficient use of natural resources, and its active reduction of harm to the natural environment and to communities. The second term encompasses an organization “doing the right thing” – a concept that includes sustainability but also community involvement, ethical business practice and commitment to the greater good, rather than an exclusive focus on profit.

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ESG includes and expands upon these topics, bringing in other stakeholder concerns, many of which have become recognized goals in global frameworks such as the United Nations (UN) sustainable development goals. A synopsis of issues under the ESG umbrella includes:

?Environmental:

This category encompasses compliance with existing environmental regulations, including (in the US) EPA regulations such as the Clean Air Act, the Clean Water Act, Emergency Planning and Community Right-to-Know Act (EPCRA), and Resource Conservation and Recovery Act (RCRA), and associated requirements such as air and water permits, hazardous waste management, and chemical reporting such as Tier II reports and Toxic Release Inventory (TRI)/Form R reporting. It also includes measurement of greenhouse gas (GHG) emissions that contribute to climate change, whether they come from operations under the organization’s direct control (e.g. process emissions) or from utility consumption, or from offsite sources such as the treatment storage and disposal (TSDF) facilities that treat the facility’s waste. It should be noted that there’s a growing trend toward mandatory disclosure of GHG emissions and associated climate risk information, such as whether a company has implemented a climate transition plan, as evidenced by the Securities and Exchange Commission (SEC) 2022 proposed rule that would require climate-related disclosures from public companies. Plus, the environmental category includes the company’s efforts to reduce its energy and water consumption, reduce volumes of hazardous waste generated, improve its recycling and reduce amounts of waste sent to landfill, to reduce consumption of non-renewable resources, and to consider the broader ecological and environmental impact of its operations.

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Social:

This broad category basically pertains to how the organization treats people, whether they’re inside or outside the company’s walls. It includes compliance with safety regulations such as those issued by OSHA in the United States, as well as its following of industry best practices for safety. There is also a focus on human capital, which includes a wide range of practices related to its workforce, such as handling of labor issues and compliance with labor laws, diversity, equity and inclusion (DEI), psychological safety and management of psychosocial risks, and commitment to the continuing education and skills development of its workforce. (Note: The Securities and Exchange Commission (SEC) has stated that they consider human capital a significant material risk and increased disclosure requirements (opens in a new tab) regarding it, effective November 2020). It includes the company’s quality management process and how well it manages the safety of its products and services, and the company’s interaction with an impact upon its community and the world. For example, one social focus might be whether there is reliance on exploitative overseas labor practices, or sourcing of raw materials from regions where the sourcing may contribute to political oppression.

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Governance:

This category is based around how well a company is managed, and how well it abides by ethical practices at all levels. Some aspects covered in this category include compensation plans, including the gap between executive compensation and other employee compensations, and whether executive compensation is tied to achievement of ESG-related goals such as sustainability and DEI performance. Other considerations for governance may be compliance with applicable financial and tax regulations and the transparency of associated records.

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The Rising Importance of ESG

As we can see, the concept of ESG is not new, because it builds on concepts and goals that already existed. What is new is that plenty of data is now available, showing that high levels of ESG performance are correlated with better business stability and greater profits.

?When I look at the HVAC contractor market-I see very few companies that have invested in acquiring the knowledge and ability to understand it and have solutions available to address.

?It does not matter if your firm’s focus is maintenance and service, retrofit or new construction. ESG can be applied to each one.

?????? I.????????? Maintenance-service -to improve maintenance analytics, air quality, install remote monitoring and be aware of potential solutions to create a plan for your customers.

???? II.????????? If you are maintenance and retrofit-you need to understand it if the chief sustainability asks you to help them improve their score. –

??? III.????????? New construction- Do you know the equipment providers, do you understand the new technology -how it operates, how to install and start it up?

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The Alpha companies do, if you want to stop following the pack and be considered an Alpha then look for opportunities like these.

As a business coach and fractional sales manager for commercial HVAC contractors, I have spent the time researching, talking to the various OEMs and if you want to provide a clear path how to become the go to firm in this market. The question I ask is will you let fear and ignorance hold you back.

It has not held me back and I am sought after to teach companies how to understand the concept, market, and equipment. I will be launching my new Site shortly-CommercialHVACbuinesssolutions.com.? https://commercialhvacbusinesssolutions.com/esg/ The site is a Best Practices site for commercial-Industrial HVAC and other trades.

If you want to improve profits, gross sales, and reduce costs-even though the site is not ready, yet you can see what we will offer. I have a wide variety of other experts working with me to create the Alpha site to help your company become dominant and profitable.

Written by Ross Goldstein, MBA, CEM -Ross is moderator of the HVAC owners Group, a frequent guest writer on a host of collaborative article on a variety of business topics and the guiding hand for helping the HVAC commercial-industrial sector having a place to turn to for Best Practice, Marketing, Coaching, Fractional Sales Management solutions.

?267-623-0596