Is a PAYT (Pay As You Throw) program in your future?

A Pay As You Throw (PAYT) program has been a topic that has come and gone and come back in the world of residential waste service.  The system is fairly simple, where a customer purchases bags at a per bag price from their hauler, or has a choice of cart size varying in price based on the cart size.  The idea is that your waste disposal cost is relative to the amount of waste you need to be disposed of.

In my history, we used this type of system to cater to senior citizens who did not generate high volumes of trash.  This was also a popular program in rural areas where residents are more likely to burn their trash.  Later, as recycling became popular, PAYT became an incentive to divert materials from more expensive disposal into “cheaper” recycling.  Unfortunately in most areas, those economics don’t work any longer, unless there is some subsidy or other market influencer making recycling cheaper.

When we’ve done the PAYT by-the-bag program, we called them Budget Bags.  We first used bags, then switched to tags (Budget Tags) so we could eliminate the inventory problem and be able to mail tags to customers. We charged $3.50 per tag in sets of 10, plus a $3.50 mailing fee. We sent them guaranteed delivery so people could not claim they did not receive them. We only provided this service if we were already passing your house.

While this list is not exhaustive, here are some props and cons to having a PAYT system:

PROS:
• Nice market niche. Provided a nice “PAYT” (Pay As You Throw”) alternative, which got us points with local government, helped encourage recycling and a way to differentiate from our competitors.
• Popular with senior citizens.
• Little investment.
• Worked well with serious recyclers.
• Cash up front.

CONS:
• Required hand loading. We were working on modifying this service on routes we were converting to ASL.
• Some customers abused the weight limit.
• Unless you charged a “route fee”, it did not cover your fixed costs. This is why we only provide this service to customers we were passing already. We considered it “gravy”.
• Customers were willing to pay more for this service, and not have a cart.

 

Have questions about PAYT?  Feel free to contact me, I’d be happy to help!

A city finds out the waste business isn’t as easy as it looks.

Copy and paste this link to read about one city’s venture into hauling their own trash.

 

https://www.standard.net/news/government/north-ogden-halts-in-house-garbage-collection-renews-deal-with-trash-hauler/article_c8fcf89b-d59f-5d3f-bba7-57241e8aac0f.html?utm_source=Sailthru&utm_medium=email&utm_campaign=Issue:%202020-07-16%20Waste%20Dive%20Newsletter%20%5Bissue:28544%5D&utm_term=Waste%20Dive

Looking for some Summer reading? Try “Every Stop Has A Story” by Owen Deckinga

Here is a great book written by  a veteran Chicago garbageman who has just about seen it all.   I met Owen a couple of times, and we actually shared some of the same alleys back in the late ’70’s and early ’80’s.  He was a wonderful man and a great story teller, and went home to the Lord this past February.  He will be missed.  This book is strictly stories from the streets and alleys of Chicago, told only the way you would expect from a guy like Owen.

 

Available on Amazon.

 

Can an independent hauler perform better than a national company?

Why do municipalities tolerate poor performance from the national waste companies, and why can’t these companies get their act together? If you need an argument against a city going to an exclusive agreement, this might be it!

 

https://www.nola.com/news/politics/article_96ba53ce-c143-11ea-8d7d-07dd37ab0e1d.html

An easy and effective way to manage and encourage your team

Here is a short read about motivating your team from my good friend, Rhoda Kreuzer.  If you manage people, you need to read this.

 

 

“Impacting the World, One Person at a Time”

You never know how or when you’ll have an impact, or how important your example can be to someone else.
– Denzel Washington

Many people have been planting flowers, fertilizing their lawns, and trimming bushes all in hopes of having a beautiful landscape to enjoy. That same lawn that you have tended would probably be brown and full of weeds if you had not taken steps to ensure it would be healthy. Likewise, your flowers would be wilted and crumpled if you did not water them and give them plenty of sunlight.

The people on your team are just like the grass or flowers in your landscape.They need certain care in order to flourish. If neglected, they may still do their job but most likely not to their full potential. In a Gallup Organization study, they found that most employees need to receive feedback and recognition once every seven days. That may sound like a lot, but consider how much stress they experience, how many complaints they may field from customers, or the challenges they face from week to week.

Your one single comment may not seem like a lot, but it is huge in warding off burn out and fatigue. Your positive messages and example may be just what they need to keep a smile on their face and create raving fans from your customers. Make a difference by displaying gratitude to your team, listening to their needs, and treasuring their input. Water them through training and mentoring opportunities. You can have a positive influence on those you lead and reap the enjoyment of having an awesome team!

PREDICTORS OF SUCCESS

Here is another excellent piece by my good friend, Rhoda Kreuzer.

 

Have you ever wondered what factors in your life would predict success? Success is less about what you have externally and more about what you bring to the world from the inside. You can have countless things in life and fail. Research has shown that money is not a predictor of success. Some of the most successful people in life started out with few resources and lack of support but surpassed their counterparts.

Successful people incorporate hope, a positive outlook, a realistic view of challenges; but their emphasis remains on humility, gratitude, accountability, and a desire to make a difference. They are able to recognize their unique qualities, what areas they need support in, and how these features fit into their goals. These attributes are consistent with those who are successful long term.

Successful people do not wait for ideal circumstances, or for others to fix their problems. They understand their own role in facing challenges with a sense of purpose and optimism. They also realize that there are many who have positively influenced their lives, have mentored them, and worked with them to obtain success. Successful leaders express the immeasurable impact of those who have cared and supported them through the difficult and progressive times, as well as the triumphant times.

What qualities, positive or negative, are you bringing to your business and team? Are you accepting the responsibilities of accomplishing your goals? Who do you need to express gratitude towards, and how can you focus on being productive?

 

Reacting versus Leading

Here’s another “Leadership Bits & Bytes” by my friend Rhoda Kreuzer.

While this does not exclusively apply to the waste and recycling industry, there are some important concepts that can be applied to any business operating in a time of crisis.

 

During times of crisis, there are certain reactions that primarily happen, including:

  • Denial: Pretending the crisis is not impacting people and business.
  • Fear: Staying overwhelmed by negative outcomes or thought trails.
  • Reworking: Reacting to the situation day by day; working from a survival state.
  • Blaming: Other people have caused this crisis, now they should have to fix it.

Successful leaders tend to have a different approach, rather than leading from their reactions. While reacting may keep your business surviving through this crisis, it will not allow for creativity or innovation. Strong leaders use an approach that focuses on solutions and new opportunities. As you navigate a crisis or challenging time, ask questions about what you are focusing on, giving your energy to and how you are spending your time. If the answers are less then fruitful, pivot to start identifying new opportunities, new needs to meet, new ways to deliver your products or services, new ways to engage your team, and/or new marketing approaches.

You cannot always resolve every issue, but you can respond in a positive way that builds momentum and ensures that you are prepared to succeed in the future. You can plant seeds about new opportunities with clients, you can use this time to evaluate how to become more efficient and more innovative. Instead of marking time, or being fearful, choose to use this time to improve and grow. The rewards of leading in times of crisis are huge. They prepare us for a successful future with teams that are focused on the right priorities.

What do you need to begin doing right now to prepare for the reopening of our economy? Do not wait—this window of preparation will close. Be ready!

Communication in Times of Crisis

Here is a great article on communication written by a good friend of mine, Rhoda Kreuzer. While this article is geared more towards communicating with your in-house team, the same principles apply when communicating with your customers or community as well.

 

COMMUNICATION IN TIMES OF CRISIS

By Rhoda Kreuzer

 

If you can remember back to the beginning of this year, the word “Coronavirus” either was not part of your vocabulary or you only thought about it as something that occurred in other countries. It was not on our radar nor did we have any idea how devastating it would be to our health and economy.

A crisis rarely comes with instructions on how to navigate the disruption to our businesses. However, there are some keys that are imperative for all of us, one of which is communication. In particular, having a regular communication process is critical. When putting together your communication strategy, consider the following:

~Who will initiate communication throughout your organization? Typically having senior leadership communicate in times of crisis is important.

~What will be communicated? Transparency and authenticity are key in your communication. Provide your team with the confidence that they will know anything as soon as you know it.

~How often will you communicate? You can’t communicate too often. There is a lot of anxiety during times of crisis. I would suggest at least once a week or more depending on how much there is to communicate and how much is changing.

~What is the goal of the communication? The goal of your communication needs to be keeping people informed, calming fears, providing focus for their work, and outlining the strategy for navigating and overcoming the crisis.

While much of this seems to be common sense, communication is crucial in times of crisis. We often overlook the obvious in light of the urgent. Communication is a strong tool to influence and support your team. Consider these questions to succeed in times of crisis!

8 Signs an Employee is Exceptional

 Here is a quick read from Brendan Rogers.  How many of your employees fit the description of  “Exceptional”?   More important, are you, as an entrepreneur in a position of leadership, “exceptional”?

  Brendan Rogers

Brendan Rogers

Partner & Co-Founder @ 2.a.m [ Ventures x Talent ] – Co-Founder @ Wag! | Investor | Advisor | Mentor |

Brendan Rogers is currently the Founder & Managing Partner of 2 a.m. [Ventures x Talent]. 2.a.m. is a pre-seed, industry-agnostic micro fund investing in ambitious founders from all over the world, as well as placing 10x talent in early-stage, high growth startups.Previously, Brendan Co-Founded Wag! the mobile dog walking app that disrupted the global pet service space. Wag! has raised over $360 million in venture capital, most recently $300 million from Softbank’s Vision Fund.Brendan is an active advisor and mentors many companies, accelerators, and universities in the LA/Silicon Valley area. He is a frequent contributor to Forbes, a speaker at national conferences, and has appeared on some of the top podcasts in the industry.Before Wag!, Brendan co-founded a social discovery service to meet new people, which grew to over 50 million users in over 10 countries and was acquired by IAC in 2014.

 

8 signs an EMPLOYEE is EXCEPTIONAL

 

1. They ask questions others do not

 

2. They constantly try to improve everything, starting with themselves

 

3. People come to them for help and advice

 

4. They remain positive in negative situations and are the sunshine for everyone else

 

5. They are loyal, knowledgeable, honest, and hard-working, they exceed expectations and help others exceed theirs.

 

6. They challenge status quo, and come up with new ideas

 

7. They have a strong sense of ownership, of urgency, of responsibility

 

8. They are nice people –
If people aren’t nice, then it does not matter how smart they are.

 

Did I miss anything?

 

 

Some Garbageman Poetry

 

Found this gem in some of my dad’s stuff from back in the day.