The Building Products Distribution Industry Paradigm Shift

 

As I continue the process of finishing my book titled “Pro Se Can You See©”, I write about the winning approach I have taken over the years in confronting numerous misguided and often corrupt individuals in positions of authority who believed themselves to be unaccountable and therefore above reproach.   From bad actors in law enforcement and politics to corrupt financial advisors to directors and C-Suite execs of nationally known multi-million and multi-billion dollar corporations – including P&C insurance companies, and a big city District Court Judge who, with the approval of the then sitting Chief Justice of the Minnesota Supreme Court, I personally threatened with a criminal charge.

The last challenge that was recently presented to me was by a multi-billion dollar international hotel chain whose CEO earns an estimated $27 million in annual compensation.   Once I made it clear to him personally that I was holding him accountable for the problems experienced by me while staying at one of his corporations properties, he made sure that my concerns were immediately addressed to my satisfaction.

When I share the stories of my top down approach to dealing with such bad actors, people often react with shock, astonishment, and/or dismay.  In their minds, that’s not how the world works.  In my mind, supported by my own personal successes over the years in moving the above to correct their wrongful and often quite harmful thinking and behavior, I know that when the truth is revealed, the only right action that can be taken by those who believe themselves to be unaccountable were the actions that I recommended to them that they follow, which they did indeed follow.

As I see it, that is exactly how the world is supposed to and should really work.  As the above concerns those of you mentioned in the heading, the building products distribution industry is not immune from also being held accountable for their questionable actions as well as their inaction and disregard.

Over the past few years, the P&C insurance industry has dramatically changed their business model from one that, for the most part, historically fulfilled the promises made to their policyholders by them to a new business model that makes every possible attempt to underpay or deny billions of dollars-worth of legitimate insurance covered property damage claims each and every year.  As one prominent insured plaintiff’s attorney once stated it, “Despite the platitudes expressed by insurance companies in advertisements, where they brand themselves “the good hands people” or “a good neighbor,” they have one and only one purpose – to make as much money as possible. The way insurance companies make money is simple, by paying either nothing or as little as possible on any claim. What is fair or right is of no consequence.”

Who does that reality then negatively affect?  Obviously, the first people affected by such thinking are the policyholders themselves who, in total, pay roughly one trillion dollars each year in premiums to their insurance companies for the promised protection.  Part of the problem is that the great majority of those policyholders have no idea how the insurance claims recovery process really works and that lack of knowledge makes them easy prey.

Also part of the problem is the fact that 95+ percent of the restoration contractors across the country who do such work view the restoration recovery process from an outdated bottom up perspective as opposed to the top down perspective that I teach – and have proven over the years across the country, works to both their own and their insured customer’s great advantage.

The end result, and this should be of great concern to all of you, is the fact that because of the above realities, each and every year, and, unbeknownst to your trusting investors, billions of dollars-worth of roofing, siding, and related building products are never ordered by your contractor customers who, in reality are not really your customers but are rather, as I refer to them, your contractor “sales force”.  As a result, shareholders who have invested billions of dollars-worth of their hard earned money will, at least until the needed changes are made, never achieve the kind of ROI they should be achieving.  It is quite likely that once the truth has been revealed to those investors through this post and elsewhere, their reaction will be less than pleasant.

Regarding the above, as the market stands today per the above, the only ones making real money are the P&C insurance companies.  The ones paying the price?  Policyholders, restoration contractors, building product manufacturers and distributors and, just as important, building product manufacturing and distribution company shareholders.

The time to change the model from the no longer viable and grossly inefficient bottom up approach to my top down approach is now.  Those who make the change will lead the way into a new era.  Those who do not will be left behind.  To learn more about the problem and the solution to the problem, you need to view the website through the web address link shown below then follow the guidance given therein.

Sincerely,

Larry Burtis – President/CEO at 3RSystems, LLC

 

Discover the problem and learn the solution at:  www.3RSystems.com