Company: Hager Fox Heating & Air Conditioning Co., Lansing, MI
Company Description: Hager Fox Heating & Air Conditioning Co. was founded in 1941, and is striving to become the premier HVAC contractor in all of Michigan. Priding ourselves in providing solutions and choices for our Clients' comfort, we service and install equipment in residential and light-commercial applications. Our business sells nearly $5 million per year, and employs approximately 25 people.
Nomination Category: Management Categories
Nomination Sub Category: Executive of the Year - Materials & Construction

Nomination Title: Rich Rau, Owner

Tell the story about what this nominee achieved since January 1 2013 (up to 525 words). Focus on specific accomplishments, and relate these accomplishments to past performance or industry norms. Be sure to mention obstacles overcome, innovations or discoveries made, and outcomes:

Rich Rau’s accomplishments in 2013 include:

1.Overall company sales increased 19% over 2012 (Which was a 19% increase over 2011)

2.Sales Department increased 23% over 2012 (Which was a 37.5% increase over 2011)

3.Service Department increased 11% over 2012

4.Installation department was 63% more productive in 2013

5.Through coaching and goal-setting, an annual sales campaign increased 485% over 2012

6.Through coaching and development, the company facilitated the first salesperson in its history to sell over $2 million in one year

7.Secured the largest commercial contract in over a decade

8.Adopted a four-tiered, fully objective, opt-in, employee of the year program called, “The Golden Fox Award.” Required components include job shadowing of a fellow Team Member, a day of community service, reading a book from a specific selection geared towards development, and attending a professional development program, followed by a one-page paper about what was learned from each component. 2013 enrollment was 43% of eligible staff.

9.Adopted and implemented a number of new policies and procedures, including a “Drug and Alcohol-Free Workplace,” “Company Vehicles Policies and Procedures,” “No Texting While Driving,” and an “Annual Review” and “Mid-Year Review” program for all Team Members, all with the intention of increasing the overall level of professionalism and excellence, and resulting in an 80% reduction in workplace injuries

10.Enhanced brand standards and image by designing and executing vehicle wraps of the entire fleet, and designing and launching a new website that pairs with an industry-leading push into SEO

11.Invested in an industry-leading push into Big Data harvesting, aiming to identify those in the marketplace that are similar to the “True Client”

12.Received awards for 2013 Medal of Excellence from Bryant, 2013 Highest Sales Growth from Behler-Young, and 2013 Super Service Award from Angie’s List (Third consecutive year)

13.In partnership with the Lansing Board of Water and Light, Hager Fox saved the community over 50 tons of coal in 2013 by intentionally selling high-efficiency equipment

14.In 2013 the company reached absolute capacity with current staffing levels. Further growth can only occur by adding staff.

15.Made the decision for the good of the staff to offer all employees with a Platinum health care plan, as well as covering the deductible, 100% paid for by the company, even though the cost was an exorbitant hit to the bottom line as a result of the Affordable Care Act.

Hager Fox has grown and developed extensively over the past few years, but none as much as 2013. The vision and foresight of Rich to hire a Sales & Marketing Manager far exceeded his original goals of rebranding the company and generating an additional 33% in revenue – In 2013, the Sales Department sold more than the entire company sold in 2011. As Hager Fox has grown, Rich has maintained the entire tenured workforce, with the average employee having been with the company for over 15 years. Rich has demonstrated on countless occasions his dedication to his staff, and for that, we believe Rich Rau is deserving of being awarded 2014’s Executive of the Year for Materials & Construction.

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Provide a brief (up to 125 words) biography about the nominee:

Hager Fox Heating & Air Conditioning Co. is a 73-year old company, independently owned by Rich Rau, a nearly 50-year veteran of the HVAC industry. Rich has surrounded himself with a team of professionals that have carried out his vision and mission for the company’s future. Mike Courter, General Manager, has led the day-to-day operations of Hager Fox for nearly 35 years. Jane M. Smith, Comptroller, has carefully controlled the company’s finances since 1991. Matthew D. Anderson, Sales & Marketing Manager, was hired in 2012 to rebrand the company and drive sales growth.

In 2013, Rich was particularly successful in casting a vision for his company as he navigated the transition of over 25 employees towards a heightened level of professionalism and excellence.