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Tip: Scott Graby, president of Hearthstone Property Services in Murfreesboro, Tennessee, recently introduced an incentive program to his employees that has been so successful that the company not only increased productivity but also reduced the size of some of its crews.

Landscape contractors are always looking for ways to energize their crews and increase their productivity. Scott Graby, president of Hearthstone Property Services in Murfreesboro, Tennessee, recently introduced an incentive program to his employees that has been so successful that the company not only increased productivity but also reduced the size of some of its crews. Introduced last year, the program puts exterior maintenance crews on a combination commission/grading pay system. Crews are paid a pre-established dollar amount for every property they complete in a day. The more properties they complete, the more they earn.

The program sounds relatively simple, yet it took a while to work some of the kinks out, Graby admits. Each property had to be rated, and employees, including foremen, had to buy into the system. The company also had to find a way to ensure that in an effort to increase their productivity, crews would not compromise the company’s high quality standards. The latter led to the development of a grading system. Jobs are inspected, and if they don’t meet company standards, crew members revert back to their hourly pay schedule for that job. The pay cut is significant.

According to Graby, whose company maintains 200 commercial properties, the program holds many benefits for both employees and employer. Employees earn significantly more money on commission versus an hourly wage. During the busy season, for example, they can earn upwards of 50 percent more per week than they would make working at an hourly rate.

From the employer’s perspective, the advantages gained from the commission-based program go beyond increased productivity. Crews working on commission, or book rate, take care of their equipment, since equipment downtime equates to downtime for operators, too. The program also locks in labor expense at the exact number the company budgeted, and in a few instances, crew size actually decreased, as members found they could accomplish just as much (and bring home more money) with one less person. “From a management standpoint, not having to worry about crew productivity frees our time for more profitable pursuits,” says Graby. “It’s a wonderful win-win arrangement.” In fact, the program has been so successful that Hearthstone has also extended it to its mulching, trimming, and spraying crews.

Hearthstone Property Services has been in business since 1986. Landscape maintenance accounts for one-half of its annual revenue; sweeping parking lots makes up 40 percent, with snow plowing, pressure washing, and other services bringing in 10 percent. The company services accounts within a 2,500 square-mile area of middle Tennessee, including greater Nashville.

By Scott Graby
Hearthstone Property Services
Murfreesboro, Tennessee
(as told to Rod Dickens, ALCA Contributing Writer)