October 4, 2006
From Oakland Business Review September 28-0ctober 4, 2006
GIFFELS-WEBSTER'S SUCCESSION PLAN COINCIDES WITH GROWTH
BY JOANNE MALISZEWSKI jmaliszewski@mbizreview.com
Giffels-Webster Engineers Inc. is tapping the next generation of company leaders as the business increases staff to keep pace with double-digit growth.
The Rochester Hills-based firm’s five principals, who collectively own 85 percent of the privately held civil engineering and surveying firm, promoted seven employees as associates. Those seven are being groomed for company leadership, said President Keith Mayer, one of the five principals.
The seven associates own the remainder of the company.
The move doesn’t mean any of the principals are retiring immediately. But about 15 years ago, company official decided to establish succession plans to keep the company on firm footing and to maintain employee loyalty.
“You need to always have a group of people identified to take over the company in the next generation,” Mayer said. “It’s important for the people running the company and the staff so they know there is a direction.”
Mayer plans to step aside as president in the next few years, but will continue to work on the business development for the firm.
“We will then bring in another principal in the next two or three years,” he said. Our objective is to promote from within.”
The transition plan comes as the company’s growth is on the rise. In the past year alone, Giffels hired 12-15 additional staffers, bringing total employment to about 110. Growth so far this year is at 20 percent, compared to all of 2005 when it was about 25 percent, said Mayer who has served as president for the past 12 years.
Mayer credits the company’s growth to a decision made three or four years ago to diversify Giffels’s client base. The decision came when business decreased with the sluggish economy. Diversification between private development work and public municipal work lessens the financial blows that can hit the company when either market slows, Mayer said.
Still, Giffels limits its work to engineering outside of a building, including site work and landscape architecture, which was added about eight years ago.
The jump in growth also prompted the opening of a new office in Macomb County’s Washington Township in June. Twelve employees are based in the new office, which provided surveying and civil engineering services to private and public clients in that area. Paul Modi, an associate at Giffels-Webster, is leading that office.
A third office is in Detroit.
Joanne Maliszewski covers real estate and development for Oakland Business Review.
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