Building a RESTART Mindset– Joe Calhoon

Building Your Plan (Part 1) We Were Doing Great… Until We Weren’t – Jim McCann

1. The general format for today’s webinar will be a 45-minute presentation by our speaker, followed by approximately 15 minutes for questions.

2. Muted – All attendees will be muted.3. Q & A –Feel free to type your questions into the “Q & A” panel at any

time during the presentation. Please note: questions asked in the chat may not be addressed by the speaker.

United Motorcoach Association

presents Building a RESTART Mindset

IQ – Intelligence Quotient

IQ – Intelligence QuotientEQ – Emotional Intelligence

IQ – Intelligence QuotientEQ – Emotional IntelligenceAQ – Adversity Quotient

Your Adversity Quotient describes your hardwired pattern of response

to all forms and magnitudes of adversity, from major tragedies to

minor annoyances.

The Mountain: represents your purpose in life and work

The Mountain: represents your purpose in life and workClimbers: dedicated to life-long assent

The Mountain: represents your purpose in life and workClimbers: dedicated to life-long assentCampers: retired climbers, they’ve lost their edge

The Mountain: represents your purpose in life and workClimbers: dedicated to life-long assentCampers: retired climbers, they’ve lost their edgeQuitters: gave up on their higher pursuits, are bitter & depressed

Image of mountain

The motorcoach world is in crisis and it’s not our fault.

Now, it’s time to DECIDE how we move forward.

Know when to hold’em, know when to fold’em

Here’s the first and maybe most important question…

In this business environment are you going to closeyour business or attempt to grow your business?

Either decision is totally acceptable.

The Four Dimensions

of AQ

Control has two facets: 1. The extent to which you’re able

to positively influence a situation2. The extent to which you can

control your own response to a situation

Ownership: The extent to which you take it upon yourself to improve the situation at hand, regardless of its cause

Reach: How far you let adversity go to other areas of your work and life

Endurance: How long one perceives the adversity will endure

Control of our responses and influence Ownership to improve the situation regardless of its causeReach is how far we let adversity go to other areas of your work and lifeEndurance is how long we perceive the adversity will endure

Utilize Zero-Based ThinkingImagine you are starting a new business.

Last time around, you started with a “hope and a prayer.”

This time around, you are starting with your fleet, the good will of your customers and

employees, and experience.

Keep It Simple

Life is complicated enough without over-complicating things.

The 40 Ideas to RESTART Your Business will help you make better decisions and take

more positive action moving forward.

Decide who is going to do what by when?• Be specific• Make it measurable • It must be attainable• Make it high-leverage

Develop a financial survival plan in the next 2 weeks. - BobCall our top 50 clients in the next 4 weeks. - MaryCreate employment agreements with 3 employees in the next 3 weeks. - Fred

• What did you do? What was your most significant accomplishment in the past 4 weeks? Be specific.

• What did you do? What was your most significant accomplishment in the past 4 weeks? Be specific.

• What happened when you did it? What was the result of your action.

• What did you do? What was your most significant accomplishment in the past 4 weeks? Be specific.

• What happened when you did it? What was the result of your action.

• What did you learn? Please share your lesson learned.

1. Consider your ideal future. Be intentional. Develop a clear and simple plan.

1. Consider your ideal future. Be intentional. Develop a clear and simple plan.

2. Decide whether you will climb, camp or quit.

1. Consider your ideal future. Be intentional. Develop a clear and simple plan.

2. Decide whether you will climb, camp or quit.3. If you’re going to climb, clarify the high-

leverage actions you will take during the next 4, 8 and12 weeks

1. Consider your ideal future. Be intentional. Develop a clear and simple plan.

2. Decide whether you will climb, camp or quit.3. If you’re going to climb, clarify the high-

leverage actions you will take during the next 4, 8 and12 weeks

4. Now, let’s get’er done!

UMA Summit Wednesday June 17, 2020

In this quadrant, the focus is on Internal Economic Issues, such as: Profitability Risk versus Reward

Business Efficiencies

Asset Management

Internal Processes and Systems

Financial Analysis & Benchmarking

Budgeting

Organizational Structure

In this quadrant, the focus is on External Human issues, such as: Customer Retention Successful Selling & Servicing Marketing & Advertising Company Positioning in the Market Tuning in to Customers’ Wants and Needs Growing Customer Base and/or Market Share Branding Etc.

In this quadrant, the focus is on Internal Human issues, such as: Key Job Results & Descriptions Successful Interviewing & Hiring Managing & Motivating People Improving Employee Performance Job Satisfaction & Morale Capitalizing on the Strengths & Talents of People Capabilities Required for High Performance Etc.

In this quadrant, the focus is on External Economic issues, such as: Economic Shifts Market Changes Technology Industry Trends & Consolidation Forces Legal & Political Factors Strategic Focus & Development Industry & Product Market Share Other forces outside the business

2 Year Industry Aggregate Comparison Year over Year 2019 v. 2018 – Total Company

Total Revenue $ +9.2% Total GM$ (A.I. $) +8.8% Total Expenses $ +9.2% Total Net Income $ +3.7%

2 Year Industry Aggregate Comparison Year over Year 2019 v. 2018 -Expenses

Expense Categories 2019 % 2018 %

% Variance

Personnel 44.7% 43.9% +10.8%EquipmentMaintenance

7.4% 7.3% +10.6%

Transportation 12.4% 13.3% +2.1%Other Variables 6.3% 6.5 +5.8 %Revenue Equip. Financing

11.7% 11.6% +9.0%

Other Fixed 9.9% 9.8% +9.6%Total Expenses 92.6% 92.1% +9.2%

Average 20% Most Profitable20% Least Profitable

% of A.I.Total Personnel ER 44.6 38.9 50.5

Total Equip. Maintenance ER 7.4 6.3 8.8

Total Transportation ER 12.5 14.0 12.4

Total Other Variable ER 6.3 6.2 5.8

Revenue Equipment Financing 11.8 10.0 10.2

Other Fixed 9.9 8.1 14.2

Total Expenses ER 92.5 83.6 102.0

Net % of A.I. 2019 7.5 16.4 -2.0

2- Year Industry Aggregate YTD Feb. 2020 % Var. to LY

Sales +5.1%

AI $ (GM$) +5.0%

Expenses +4.3%

Net Income +116.5%

2- Year Industry Aggregate

YTD Feb. 2020 % Var. to LY

YTD March 2020% Var. to LY

Sales +5.1% -16.3%AI $ (GM$) +5.0% -17.4%Expenses +4.3% -4.9%

Net Income +116.5% -302.2%

• Took control of cash• Made the necessary changes to our staff• Took advantage of the PPP and other loan programs• Worked diligently on legislative relief

• Develop a set of worst case – base case and best-case projections.

• Establish trigger points that drive your decision making at the right time

An easy to use projection tool that can be used. Monthly 60 – 90 days Beyond

Expected Sales $

Expected Gross

Margin %Expected Available

Income $ Personnel Line items

Profit Plan Targets - including Wages,

Commissions & Bonuses

CHARTER -$ 0.0% -$ Charter Sales MgmtCharter Salespeople -$

Charter Support -$ Dispatch -$

Drivers -$ Safety & Training -$

FIXED ROUTES -$ 0.0% -$ Station

CONTRACTS -$ Tour Sales Mgmt

Tour DirectorsTOURS -$ 0.0% -$ Tour Salespeople

Tour Support

TOTAL BUS -$ -$

SHOP -$ 0.0% -$ Shop -$ Cleaners -$

MERCHANDISE -$

OTHER -$ 0.0% -$ Other Departments

-$ -$ General Management -$

Company Administration -$ Corporate Allocation

Total Wages, Commissions & Bonuses $0OPE % 0.0% $0

of Personnel Expenses $0

ERDate Range Personnel Expenses -$

Comments Equipment Maintenance Expenses -$ -$

Transportation Expenses -$

Other Variable Expenses -$

TOTAL Variable Expenses [20-24-28] -$

Revenue Equip Financing Expenses -$

Facilities Fixed Expenses -$

Other Fixed Expenses -$

TOTAL Fixed Expenses[16-20-24] -$

TOTAL EXPENSES [72-84-96] -$

Cash Flow / Non-Operating Income & Expenses -$

NET PROFIT -$

TOTAL COMPANY

Other Personnel Expenses

TOTAL PERSONNEL EXPENSESExpense Ratio

Sheet1

Expected Sales $Expected Gross Margin %Expected Available Income $Personnel Line itemsProfit Plan Targets - including Wages, Commissions & Bonuses

CHARTER$ -0.0%$ -Charter Sales Mgmt

Charter Salespeople$ - 0

Charter Support$ - 0

Dispatch$ - 0

Drivers$ - 0

Safety & Training$ - 0

FIXED ROUTES $ -0.0%$ -Station

CONTRACTS$ -

Tour Sales Mgmt

Tour Directors

TOURS$ -0.0%$ -Tour Salespeople

Tour Support

TOTAL BUS$ -$ -

SHOP$ -0.0%$ -Shop$ - 0

Cleaners$ - 0

MERCHANDISE$ -

OTHER$ -0.0%$ -Other Departments

TOTAL COMPANY$ -$ -

General Management$ - 0

Company Administration$ - 0

Corporate Allocation

Total Wages, Commissions & Bonuses$0

OPE %0.0%Other Personnel Expenses$0

of Personnel ExpensesTOTAL PERSONNEL EXPENSES$0

Expense Ratio

ER

Date RangePersonnel Expenses$ -

CommentsEquipment Maintenance Expenses$ -

$ -

Transportation Expenses$ -

Other Variable Expenses$ -

TOTAL Variable Expenses [20-24-28]$ -

Revenue Equip Financing Expenses$ -

Facilities Fixed Expenses$ -

Other Fixed Expenses$ -

TOTAL Fixed Expenses[16-20-24]$ -

TOTAL EXPENSES [72-84-96]$ -

Cash Flow / Non-Operating Income & Expenses$ -

NET PROFIT$ -

Personnel Based Budget

Expected Sales $

Expected Gross

Margin %

Expected Available Income $

Personnel Line items

Profit Plan Targets -including Wages,

Commissions & Bonuses

CHARTER $ - 0.0%$ - Charter Sales Mgmt

Charter Salespeople $ -Charter Support $ -

Dispatch $ -Drivers $ -

Safety & Training $ -

FIXED ROUTES $ - 0.0%$ - Station

CONTRACTS$ -

Tour Sales MgmtTour Directors

TOURS $ - 0.0%$ - Tour Salespeople

Tour Support

TOTAL BUS $ - $ -

SHOP $ - 0.0%$ - Shop $ -

Cleaners $ -

MERCHANDISE$ -

OTHER $ - 0.0%$ - Other Departments

TOTAL COMPANY

$ - $ -

General Management $ -

Company Administration $ -

Corporate Allocation

Total Wages, Commissions &

Bonuses $0

OPE % 0.0% Other Personnel Expenses $0

of Personnel Expenses TOTAL PERSONNEL EXPENSES $0

Expense Ratio

ER

Date RangePersonnel Expenses $ -

Comments

Equipment Maintenance

Expenses $

-$ -

Transportation Expenses

$ -

Other Variable Expenses

$ -

TOTAL Variable Expenses [20-24-

28] $

-

Revenue Equip Financing Expenses

$ -

Facilities Fixed Expenses

$ -

Other Fixed Expenses

$ -

TOTAL Fixed Expenses[16-20-

24] $

-

TOTAL EXPENSES [72-84-96] $ -

Cash Flow / Non-Operating Income

& Expenses $

-

NET PROFIT $

-

• Routine Maintenance outside labor• Routine Maintenance parts• Accident Repairs• Road Service Expense• Tires• Garage and Shop Supplies • Cleaning Supplies• Sublet Cleaning Expense

ER

Date Range Personnel Expenses $ -

Comments

Equipment Maintenance

Expenses $ -$ -

Transportation Expenses $ -

Other Variable Expenses $ -

TOTAL Variable Expenses [20-24-28] $ -

Revenue Equip Financing Expenses $ -

Facilities Fixed Expenses $ -

Other Fixed Expenses $ -

TOTAL Fixed Expenses[16-20-24] $ -

TOTAL EXPENSES [72-84-96] $ -

Cash Flow / Non-Operating Income &

Expenses $ -

NET PROFIT $ -

• Fuel and Oil• Drivers’ Meals• Tolls and Permits• Other Transportation Expenses

ER

Date Range Personnel Expenses $ -

Comments

Equipment Maintenance

Expenses $ -$ -

Transportation Expenses $ -

Other Variable Expenses $ -

TOTAL Variable Expenses [20-24-28] $ -

Revenue Equip Financing Expenses $ -

Facilities Fixed Expenses $ -

Other Fixed Expenses $ -

TOTAL Fixed Expenses[16-20-24] $ -

TOTAL EXPENSES [72-84-96] $ -

Cash Flow / Non-Operating Income &

Expenses $ -

NET PROFIT $ -

All other variable expenses not already mentioned such as Accounting Bank Charges Credit Card Fees Legal Office Supplies Telephone Etc

ER

Date Range Personnel Expenses $ -

Comments

Equipment Maintenance

Expenses $ -$ -

Transportation Expenses $ -

Other Variable Expenses $ -

TOTAL Variable Expenses [20-24-28] $ -

Revenue Equip Financing Expenses $ -

Facilities Fixed Expenses $ -

Other Fixed Expenses $ -

TOTAL Fixed Expenses[16-20-24] $ -

TOTAL EXPENSES [72-84-96] $ -

Cash Flow / Non-Operating Income &

Expenses $ -

NET PROFIT $ -

Why Start There?• Many of you will be entering a long and difficult

period of rebuilding.• Many of you have retreated 1 plateau or 2 plateaus• Plateau maps help you grow.

Build from production to management

Personnel Base Budget ToolIf you would like the tool, send me an e-mail at jmccann@spader.com

Tomorrow’s session will focus on Plateau Map Management

mailto:jmccann@spader.com

Please complete and return your feedback sheet. If you would like additional slides and information, please check the

box on your feedback sheet.

800-772-3377

www.spader.com

Building Your Plan Part 2 the Return to Profitability: Creating Your Roadmap – Jim McCann

You can Always Sell More: Increasing Sales and Competitive Advantage in Today’s World – Jim Pancero

The Right Team Members Delivering an Experience, Not Just Passengers – James Blain & Bruce Heinrich

We’ll see you back here tomorrow at 1 pm ET

Slide Number 1Thank you!Slide Number 3Today’s ScheduleHousekeepingSlide Number 6During challenging times, it’s more important than ever to lean into our personal resources…During challenging times, it’s more important than ever to lean into our personal resources…During challenging times, it’s more important than ever to lean into our personal resources…Adversity Quotient by Paul Stoltz, PhDAdversity QuotientSlide Number 12Adversity QuotientAdversity QuotientAdversity QuotientAdversity QuotientSlide Number 17Slide Number 18Slide Number 19Slide Number 20Slide Number 21Slide Number 22At the Crossroads – YOU Must DecideAction Idea #1Slide Number 25Dimensions of AQDimensions of AQDimensions of AQDimensions of AQMeasuring Your AQ �Self Evaluation Action Idea #2Action Idea #3Slide Number 33Slide Number 34Slide Number 35Defining High-Leverage PrioritiesSlide Number 37During our Follow-ups over the next 4, 8 and 12 Weeks�Be Prepared to Answer 3 QuestionsDuring our Follow-ups over the next 4, 8 and 12 Weeks�Be Prepared to Answer 3 QuestionsNext Steps…Next Steps…Next Steps…Next Steps…We Were Doing Great ……�Until We Weren’tTotal Business SuccessSM Model:�Performance IssuesQuadrant I: Financial Strength & ProfitabilityQuadrant II: Customer Base Loyalty & GrowthQuadrant III: People Productivity & MoraleQuadrant IV: Economic Forces & Business TrendsTotal Business SuccessSM Model:�Performance IssuesHow Well Were We Doing?How Well Were We Doing?Motorcoach Trends: �YE December 2019Slide Number 54How Well Were We Doing? �Until We Weren’tHow Have We RespondedIdentify a Path to ProfitabilityPersonnel Based Budget ToolSlide Number 59Slide Number 60Slide Number 61Slide Number 62Equipment Maintenance ExpenseSlide Number 64Transportation ExpenseSlide Number 66Other Variable ExpensesSlide Number 68Slide Number 69Slide Number 70Slide Number 71Thank YouComing Up TomorrowThank you!