Case Study The HouseCallCompany.com Abstract The case.docx

1. Case Study: The HouseCallCompany.com
Abstract:
The case describes an actual small business and the efforts to
grow the business by the original owner. The case addresses a
demonstration of the owner’s faith by his rehiring a worker who
was previously terminated. The founder and owner of the
business grapples with the perceived failure of the person who
he has rehired; as well as with letting go of his directive
leadership
approach to allow others to lead; and a contrasting leadership
style. The case presents challenges for students to consider not
only
the expression of their faith but also the different types of
approaches to managing a small business.
INTRODUCTION
In 2014, Dean Thomasson, president and CEO of The House
Call Company, had just finished a
series of annual reviews with the key managers in his small but
growing home performance business.
Thomasson’s business model was a relatively new approach in
the industry, a “home performance” model in
which an HVAC (heating, ventilation, and air conditioning)
contractor collectively considered all of the
energy systems in a home in order to cross-sell energy services
to the homeowner (Troast, 2014). This model
was the next step in the growth of Thomasson’s original HVAC

2. entrepreneurial start-up, and there was much
to celebrate as reflected in the 50 percent increase in sales from
the previous year (see Table 1). The
prospects of future growth looked promising.
With the recent acquisition in March 2014 of a small cash-
strapped HVAC business, Thomasson
Enterprises (dba TheHouseCallCompany.com) had expanded its
footprint in coastal Virginia and was now
positioned for greater growth in the newly constituted home
performance industry (ACI, 2012). Having
demonstrated success with an increase of sales of $1 million
over the previous year (see Table 1), and with the
company striving to reach $4.5 million in sales in the coming
year, Thomasson and his Operations Manager
*Ray Ward were hoping that with the addition of a
knowledgeable industry technician into the Service
Manager position, they could grow the Repair and Service lines
of their home performance business
substantially in the future (see Exhibit 1).
Yet Thomasson had come away from the annual reviews with
questions in his mind about the
performance of his Service Manager, *Frank Whiting1. Whiting
had good experience and strong industry
knowledge and was originally hired by Thomasson into a
Service Technician role, with the belief that he
could groom Whiting for the Service Manager position. This
Service Technician role was critical to the
company’s future success as it was responsible for inculcating
Thomasson’s core values in customer-facing
employees and promoting value-added, revenue generating
services. However, Thomasson was losing
confidence in his Service Manager, a man that he recently
rehired and to whom he had offered a second
chance.

3. Several years earlier, Whiting was dismissed from the company
due to his unwillingness to follow
established standards and stubbornly insisting that he knew best
how to run the business. Despite Whiting’s
past performance, Thomasson believed that he had not managed
the situation with Whiting well the first time
around, and he had let his own emotions get the best of him.
Since then, Thomasson had become more
committed to his Christian faith after a series of poor decisions
cost him his first business and his marriage
(2015). As he sought to demonstrate in more tangible ways his
renewed faith, Thomasson desired to model
Matthew 20:28 by offering Whiting a second chance and by
providing greater support and coaching this time
around. Whiting for his part had stated that he did learn from
his previous failure and he had asked for this
second opportunity. In support of his decision to rehire,
Thomasson had also learned that since his dismissal
from the company the first time, Whiting had gained a better
sense of managing the service area of a
competing firm; however, rumors of stubbornness and
insubordination had followed Whiting back to The
House Call Company. Thomasson’s decision to offer Whiting a
second chance aligned with his Christian
belief in redemption, but it also made good business sense.
Thomasson’s small company was poised for
growth, and experienced industry leaders like Whiting were
difficult to find.
1 * Subordinates names changed upon request.
Thomasson needed a competent Service Manager who could

4. direct eight technicians and manage a
portfolio of business that produced $1.7 million of sales in 2014
(see total revenue figures in Table 1), and
held the potential for greater revenue in the future by providing
the bulk of the projected 50% increase in
sales in 2015. Thomasson wondered whether he could be
successful this second time around in grooming a
talented but maverick personality such as Whiting into a key
role in his privately-held entrepreneurial
business, allowing himself to step back and pursue other
business ventures. Thomasson had two objectives
the upcoming year. One was to set his current business on a
firm footing, with established leadership and
clearly defined performance standards by which they could
achieve success. The second was to branch out
and invest himself into a new business opportunity, and he was
building momentum towards making the
transition. This new business venture would keep him engaged
with that entrepreneurial energy which fed his
pursuit of operational excellence, a pursuit that would improve
customer service and drive increased revenue.
But first he needed to trust his new Operations Manager with
managing this business. Although as the
founder and owner of the business he could make a decision
now regarding Whiting’s future, Thomasson
also sought to withdraw himself from the day-to-day decision so
as to redirect his energies toward this new
venture. As he pondered what to do about the performance of
his Service Manager, Thomasson sought the
input of his new Operations Manager Ray Ward as to whether or
not he needed to make a change.
A SERIAL ENTREPRENEUR WITH A NASCENT FAITH
Dean Thomasson learned how to use power tools at 12 years

5. old, and became interested in home
repairs when a carpenter showed him how to do certain repairs
around his home (Graham, 2014). Later at 16
years old he started doing home framing on the weekends. He
started his own construction firm in 1986. As
a young man Thomasson landed a job working for a small
contractor in the heating, ventilation and air
conditioning business (HVAC). The owner of the business
admired the hard working Thomasson and
encouraged him to go back to school to gain additional training
in this industry (, 2015). Thomasson applied
himself at Tidewater Community College and after two years
received his Associates degree. He then went to
work full time in the HVAC industry. At the time there seemed
to be low barriers to entry in this industry,
and it was fairly easy for an industrious person with some
knowledge to get started building a business (2015).
In the days before Angie’s List and customer satisfaction
websites, as long as a person had a certain amount
of equipment and some self-confidence, he or she could
convince a homeowner that they had the experience
and knowledge to repair almost anything (2015).
Thomasson had the personal confidence and industry
knowledge, and he became even more
successful as he worked his way up in the industry. He then
chose to venture out on his own with a franchise
business, Mr. Comfort, in 1995 (Thomasson, 2015b).
Thomasson’s personal drive and attention to detail
helped him to grow his small franchise business, but in his
personal life things were not working as well. His
attitude early in his work life and his personal life exhibited a
“my way or the highway” demeanor which
created some tense relationships. At one point his marriage
began to suffer due to the excessive amount of
time he spent away from the home in building the new business.
Attempting to salvage both the business

6. and his marriage, Thomasson recommitted himself to following
the principles of his childhood Christian
faith, as well as accepting a partner to help him run the
business. Ultimately he could not reverse the damage
that had occurred in his marriage, and his marriage became
more unstable shortly after his partner joined the
business. Frustrated and discouraged in his inability to manage
both relationships, Thomasson let his
business partner buy him out and he left the business.
Thomasson used his same drive and determination in
seeking to reconcile with his wife. He sought out counseling,
and made several appeals in order to repair the
damage with his wife. But his marriage came undone and ended
shortly afterwards (2015).
Having learned some hard but enduring lessons through these
difficult experiences, Thomasson
reflected deeply on these losses and committed to allowing his
faith to have a greater influence in his personal
and his business life. Thomasson began to consider what a
faith-oriented approach to running a business
would look like, and this began to change his approach to work.
Still nurturing the entrepreneurial spirit,
Thomasson would later start his current business under his own
name, Thomasson Enterprises, out of his
home in 2002 (Thomasson, 2014).
MANAGING GROWTH THROUGH PERFORMANCE
EXCELLENCE
Thomasson worked out of his home for the first five years of
his new business, and then leased a
2000 square foot facility in Portsmouth, VA in an industrial
area as the business began to grow. In 2008, still

7. operating out of his home, Thomasson worked with a consulting
firm to develop performance metrics to
support goal achievement, and he began to see more tangible
results. As the company grew, Thomasson
struggled to grow out of his dual role as chief salesman and
master technician to operate more in the role of
President and CEO of the growing business. Thomasson
struggled with what Hamm (2002) described as
working on things as compared to working on his business, and
being too narrowly focused on how things
were done (Hamm, 2002).
In 2012, in order to position his business for success in the new
home performance industry (ACI,
2012), Thomasson chose to operate his business as the “House
Call Company,” and he acquired the unique
URL www.housecallcompany.com to establish an internet
presence as web-based searches for home services
became more prevalent (Lentz, 2012). The transition of
traditional HVAC contractors into whole house
service providers was a natural transition for Thomasson, whose
process-driven approach and confident
demeanor enabled him to build strong rapport with customers
who trusted his professional expertise.
Thomasson has painstakingly taught each of the customer
service representatives to answer their
phone or online chat by asking customers, “How can I make you
smile today?” When making home service
calls, his technicians are trained to ask homeowners for three
things: what is that thing the customers “gotta
have” (to fix the problem immediately); what is it that they
“ought to have” to avoid this problem going
forward; and what would be “nice to have” (ideal)? Thomasson
has trained his technicians that this series of
questions empowers homeowners to make the best choice in
addressing home performance problems, and

8. this process encourages homeowners to choose solutions with
which they can live (2015).
Thomasson had believed in operational excellence even before
he had recommitted himself to his
Christian faith. But once he had done so, he worked with great
passion - like he did with all of his activities -
at finding more ways to include his faith in the management of
his business. He often referenced the Parable
of the Talents (Matthew 25), and saw in this scripture passage
the remarkable trust of the Master in giving
great responsibility to his servants, and his high expectations
for a return on the investment upon his arrival.
Thomasson had high expectations for his own performance, and
he expected the same high level of
commitment and attention to quality processes and performance
metrics from his staff.
Although Thomasson had had a knowledge of Christ since his
childhood, he had more recently
worked harder to cultivate and express his faith in more
tangible ways. He joined a weekly Bible study with
other business owners and has participated in the study for a
number of years. He has committed himself to
become more active in his church and has stepped into several
leadership roles there (2015). He was
supporting several ministries generously, and he has been able
to articulate a strong understanding of his faith
in witnessing to others (2015). Thomasso n has participated in
an association of Christian business
professionals and has promoted his services through their
website and literature (CBC, 2015). Thomasson
has chosen to become more involved in industry associations,
local civic organizations and his community’s
economic development authority (Graham, 2014) with the hope
that he can grow stronger in expressing his
Christian beliefs in the marketplace.

9. Because of his increasing interest in expressing his Christian
beliefs, Thomasson has sought to
demonstrate in a tangible way his care for his employees by
investing heavily in employee training, seeking to
improve their skills in the delivery of superior customer service.
He is well read on the subject of motivation,
having consumed management books such as Daniel Pink’s
book, Drive, and books on the science of
persuasion. Thomasson has encouraged his employees to set
development goals that are both professional
and personal. He has created a compensation plan for his
employees that not only encourages them to
achieve their performance goals, but also allows employees to
earn substantially more than just their normal
paycheck. Thomasson has espoused the belief that he wants
everyone who works for him to be “wildly
successful” (2015). Thomasson wants the expression of his
faith to be evident in the way he treats his
customers and his employees.
FAITH MEETS WORK
http://www.housecallcompany.com/
Thomasson made the decision to offer Whiting a second
opportunity in the business as he sought to
model in his business the redemptive act of Christ, “who gave
Himself for us to redeem us from every lawless
deed, and to purify for Himself a people for His own
possession, zealous for good deeds” (Titus 2:13,
NASB). Thomasson was deeply committed to this approach, but
there were moments of doubt. Recently,

10. Thomasson had noticed several occasions where Whiting did not
follow through on some of his
recommendations on ways to maximize service call potential
with his employees. As Thomasson began to
prepare for a follow up meeting with his Service Manager, he
reflected on what appeared to be the missed
revenue opportunities that Whiting was not promoting among
his Service Technicians. These missed
opportunities included questions his technicians were not asking
because they did not like to talk to
customers. By not making these connections, the technicians
missed the opportunity to offer customers the
option to sign up for a “Peace of Mind” Priority Membership,
which was an annual contract of regular
service appointments to maintain the systems in the dwelling.
As much as he wanted to give Whiting the
benefit of the doubt, Thomasson could not excuse the fact that
his recommendations were not being
followed.
Thomasson sought to model his faith in his approach to his
employees as he also sought greater
revenue growth and greater levels of responsibility from his
managers. Thomasson did not see these as
mutually exclusive concepts. He firmly believed that the
scriptures were clear in how believers’ efforts would
be evaluated by Christ (Matthew 25:31-46 the Sheep and the
Goats; also James Chapter 2:26 – faith without
works is dead). Thomasson firmly believed that operational
excellence and faithful service to God were the
best means to reflect the Gospel in his work. His adherence to
strong processes and good habits to capture
every revenue opportunity were important in growing his
business; therefore, he determined that Whiting’s
shortcomings had to be addressed.

11. DIFFERING PHILOSOPHIES OF MANAGEMENT
In this second meeting with Frank Whiting, Thomasson would
include Ray Ward, the new
Operations Manager for the HouseCallCompany.com. Ward was
an experienced engineer, but he had only
been in this role of Operations Manager with the
HouseCallCompany.com for a little over one year. Ward
had been managing a smaller company in the industry that
became mired in debt and was ready to be closed
down with the assets sold off to pay creditors (Carr, 2014). As
another effort to express his Christian faith in
a tangible way, Thomasson agreed to purchase the company’s
debt on behalf of the company’s owners, who
were people he knew and shared his Christian faith. As a part
of this acquisition, Ray Ward moved over to
work for Thomasson and was installed as the Operations
Manager of the larger corporation (2015).
Ward had an engineering background, but not a lot of industry
experience. Yet his skill set in
engineering and systems analysis allowed him to grasp the key
performance drivers in the industry and made
him a valuable key leader (2015). Ward also expressed that he
shared Thomasson’s Christian faith, which
encouraged Thomasson as he planned to develop Ward into a
future senior leadership role in the business.
Thomasson saw that the acquisition of the smaller business
would reap a large return for him, in that it
provided not only additional accounts in the Hampton Roads
area by which he could expand his business
footprint, but it also provided him with a competent leader. The
promotion of Ward into a critical role in
Thomasson’s business would be the means by which he could

12. achieve his objective: stepping back from the
day-to-day operations in order to pursue more business
opportunities. Yet there were also challenges which
emerged that Thomasson did not anticipate as he planned his
exit strategy.
The leadership personalities of Thomasson and Ward could not
be more different. Thomasson was
more process-driven, pushing for more advanced technology so
that the business could capture more data in
shorter cycles; this data could be used to assess revenue
opportunities that were available and take corrective
action. Thomasson knew exactly what each employee and
manager needed to do to grow the business,
because he had done it himself, and had carefully trained other
technicians to follow his lead. Thomasson
expected that each employee in their various roles would follow
their prescribed processes, respond
appropriate to the customers, ask the right questions, and make
the best decisions leading to quality service
and improved revenues. Thomasson had managed to grow his
business by learning to develop performance
metrics that supported goal achievement. Meanwhile, advances
in technology had made performance metric
data more readily available to the managers. Since managing by
means of strong processes and performance
metrics was the means by which Thomasson had grown his
business, he sought to provide managers with
greater access to calendar and account reminders, to help
technicians address all the revenue opportunities on
each call, and to manage cost controls by limiting tools usage
through detailed equipment lists.
Ward’s approach was more laid back and outcomes-focused.

13. Ward was insightful in understanding
the challenges faced by the technicians and managers. Ward
took a longer term view of the objectives set by
the managers that seemed to easily frustrate Thomasson. He
believed that the managers had the knowledge
and experience necessary to accomplish their goals, so they
would figure out the best way to do it. As long as
they were acting ethically and upholding the name and
reputation of the firm, Ward would give the managers
much more latitude in choosing how to achieve their goals.
Ward urged managers to develop their
technicians by using collaboration first, and then to make a
joint decision with the employee, thereby giving
the employees greater ownership of the responsibility.
Leadership Styles
Dean Thomasson Ray Ward
Process-focused Outcomes-focused
Details important Results important
Do as I suggest Do what needs to be done
Tell employees how to do it Collaborate with employees on how
to do it
Good work habits Learn how best to get it done
Short-term excellence Long-term results
The approaches advocated by Thomasson and Ward are not new
or unique to the business
environment. They actually represent two sides of the
performance management debate that continue to
ferment tension among managers seeking to improve their
approach to managing people. These contrasting
approaches are spelled out in some of the most well-known
leadership books, providing two separate paths to
help entrepreneurs scale their businesses. For example, in

14. Michael Gerber’s book, The E-Myth Revisited,
Gerber described the way to small business success as creating
a business model and following it precisely.
Gerber believed that a business development process would
produce quality results every time and would
transform a small business into an effective organization
(Gerber, 2001). Ordinary people given precise
training and the confidence to repeat excellent processes would
be able to perform extraordinarily following
this model. Gerber considered the franchise prototype model
developed by Ray Kroc for the McDonalds
franchise as the best approach to take (Gerber, 2001). This
approach reflected more of how Thomasson
believed his employees needed to be managed.
Conversely, Marcus Buckingham and Curt Coffman in the
book, First Break All the Rules, described
the best managers as people who focused on outcomes
(Buckingham and Coffman, 1999). Managers needed
to select the right people for the job, define the outcomes for
their employees, and then create a climate in
which employees could achieve their objectives. Buckingham
and Coffman suggested that management was
not about direct control but about remote control (Buckingham
and Coffman, 1999). Employees could take
different approaches, and managers might themselves differ on
the approaches. But as long as employees
acted safely and accurately with the customers’ satisfaction in
mind, managers could trust their employees to
use their talents and skills to achieve the defined outcomes
(Buckingham and Coffman, 1999). Following in
this line of thinking, in the past month Ward had requested that
all of the HouseCallCompany.com managers
go offsite without Thomasson to plan for the New Year and to
develop their own revenue and performance
objectives.

15. MAKING THE PERSONNEL DECISION
Thomasson believed that he had acted according to his faith in
offering Whiting a second
opportunity to be successful at his company. Thomasson had
addressed Whiting’s previous performance,
admitted his own shortcomings in the relationship, and had
offered greater support in this second chance. In
his management book, Love Works, Joel Manby (2012)
suggested to his managers that they look for an act of
contrition or repentance by the terminal employee as a sign that
the employee was willing to recommit
themselves to the second chance opportunity. Whiting was a
knowledgeable and experienced employee, and
he had recognized that he did not make the most of his
opportunity with Thomasson’s firm the first time
around. He and Thomasson had met informally to discuss the
possibility of working together again. Yet
now in his second turn at the company, it did not appear to
Thomasson that Whiting was taking full
responsibility for the missed revenue opportunities of his
technicians, and he was again resistant to follow
those processes which Thomasson believed would help grow his
portfolio.
Ward and Thomasson met to discuss Whiting’s situation. It
was a professional but lively discussion.
Both men respected each other's roles, and both men had
different approaches in mind that motivated their
actions. Despite his deep commitment to second chances,
Thomasson was leaning towards letting Whiting
go for the second time. Ward meanwhile wanted to give

16. Whiting some more rope. Ward was relatively new
to the Operation Manager role, and learning to manage Whiting
was going to be his responsibility. His
approach was very much based on outcomes, and he did not
believe that Whiting had been given enough
time to demonstrate that he had changed and could do more.
Meanwhile Thomasson knew that he needed to
withdraw his daily involvement, and he needed to turn over the
responsibility of managing the firm to Ward.
Dean Thomasson faced two challenges in that meeting. The
first was whether he had made the right
decision in rehiring Frank Whiting, and whether he should
terminate him…again. The second challenge was
really whether Thomasson himself was serious about pulling
back from the day-to-day decision-making of his
growing home performance company in order to let Ray Ward
make the decisions. While Thomasson was
focused on fixing or replacing his Service Manager Frank
Whiting, he was also responsible for grooming and
freeing his new Operations Manager Ray Ward to lead his
business. Thomasson had strong opinions about
the business, and was challenged to step back from hands-on
activities to more of an oversight role. He
needed to learn to hold Ward more accountable for managing
the business – including the business results –
and how Ward chose to reach them. At this point, Thomasson
realized that Frank Whiting represented more
than an important personnel decision; this situation and how
Thomasson approached it would set the
direction of his business for years to come.

17. Table 1: Thomasson Enterprises (dba The
HouseCallCompany.com) Annual Revenue
Year Total Revenue
2002 $14,908.68
2003 $339,547.23
2004 $286,855.54
2005 $480,227.42
2006 $787,931.69
2007 $962,640.33
2008 $863,478.32
2009 $963,953.86
2010 $1,595,855.16
2011 $1,008,320.82
2012 $2,236,081.07
2013 $1,996,851.03
2014 $3,003,242.28

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20. Lentz, S.D. (2012). Trademarking of the
HouseCallCompany.com. Retrieved January 17, 2015 from
http://www.trademarkia.com/housecallcompanycom-
85624803.html.
1985 1990 1995 2000 2005 2010 2015
Rehired
Whiting
Business
coaching
performance
metrics
Purchased
first
franchise
Mr.
Comfort
Started
current

21. business
under his
own name
Relocated
to current
location –
smaller
space
Dean Thomasson: Growth of
Faith and Business Timeline
Started own
construction
firm
Completed
AA Degree
Married
first wife
Started
in

22. HVAC
industry
Brought in
partner to
better
manage
growth &
time
Recommit
to faith
First
marriage
ended
Hired
Whiting
Started
dba
House
Call

23. Co.
Over
$1M
Sales
Fired
Whiting/
Bought
other
business
Project
sales of
$4.5M
Asked for help
integrating
faith into
business
http://www.prlog.org/12287985-the-house-call-company-and-
energy-efficient-solutions-announce-merger.html
http://www.prlog.org/12287985-the-house-call-company-and-
energy-efficient-solutions-announce-merger.html

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85624803.html
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25. Inc. Retrieved January 17, 2015, from
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https://www.youtube.com/watch?v=42HG-eINxjk
http://www.housecallcompany.com/

26. http://linkd.in/1Atu4mP
http://www.energycircle.com/blog/2014/01/06/top-home-
performance-business-trends-2014
http://www.energycircle.com/blog/2014/01/06/top-home-
performance-business-trends-2014
http://www.zoominfo.com/p/Dean-Thomasson/1235621214
Company Name:
President
Thomasson Enterprises Dean Thomasson
dba
HouseCallCompany.com
General Manager

27. Ray Ward
Service
Commercial
R New
Construction
P.O.M. 5000 Sales
Administrative
Frank

28. Bill
Paul
TBD
Erin
Service Manager
Commercial
Manager
RNC Install
Manager

29. Sales Manager
Office Manager
Dispatcher
Foreman
Foreman

30. Mktg.
Coord.
Office
Admin.
Shaun
Billing
Installer

31. Installer
Sales
Warehouse
Manager
Tech Team
Installer
Installer

32. Sales
Shop Fab
Tech Team
Installer
Installer

33. Sales
Delivery
Buckingham, M., and Coffman, C. (1999). First break all the
rules: What the world's greatest managers do differently. New
York, NY.: Simon and Schuster.