Maintaining Long-Term Employee Relationships Cindy Milrany, CFO/CAO

1. Maintaining Long-Term Employee Relationships Cindy Milrany, CFO/CAO

2. Freese and Nichols, Inc. Multi-service engineering, architecture and environmental science firm 119-year history means experience, strength and stability 15 offices in Texas and North Carolina More than 550 experienced professionals, technical experts and support personnel

3. Why Long-Term Employees Matter Retention of organizational knowledge Linkages to long-term client relationships Reduction of recruiting and training costs Maintain culture as firm grows

4. Our Employee-Focused Culture Flexibility and Discretion External Focus and Differentiation • Internal Focus and Integration Stability and Control

5. Family-Oriented Cultural Profile • Value Drivers • Commitment • Communication • Development • Appreciation • Theory Gain organizational effectiveness thru human development and participation

6. Family-Oriented Culture:Commitment • Our Guiding Principles • We are ethical • We deliver quality • We are responsive • We add value • We improve continuously • We are innovative • We develop professionally • We respect others • We appreciate our clients and fellow employees • We give back to our communities

7. Family-Oriented Culture: Communications President’s Roundtable Principle Luncheons Open Door Policy Freese.com Blog President’s Letters CI Luncheons Strategic Plan Roll-out

8. Family-Oriented Culture:Development • Career Ladder • Developed for every discipline • Includes employee career assessment • Education and experience for each step of career • Possible technical, sales and management career paths • Used for Development Plans

9. Family-Oriented Culture:Development • Performance Review and Individual Development Plan (IDP) • Expected competencies • Individual performance goals • One-year and three-year career development goals • IDP with training, project assignments, offer of technical coach • Training linked to FN University

10. Family-Oriented Culture: Appreciation • Thank Tank • Online thank you • Everyone can thank everyone • Aligned with our core values

11. Hierarchy-Oriented Cultural Profile • Value Drivers • Efficiency • Consistency • Quality • Timeliness • Theory Gain organizational effectiveness thru control and efficiency

12. Hierarchy–Oriented Culture:Efficiency Automated Processes

13. Hierarchy–Oriented Culture:Efficiency Resource Management

14. Hierarchy–Oriented Culture:Quality and Consistency Technical Excellence Program

15. Hierarchy–Oriented Culture:Quality and Consistency • Quality Control • Quality is an on-going process • Quality Control Plan defines reviews • Quality Assurance • Initial, mid-point and final reviews • Kick-off meeting documentation • Quality Control Plan • Project Schedule • QC and QA Review Forms

16. Hierarchy–Oriented Culture:Timeliness Keeping Projects on Track Project Manager Portal • PM Dashboards • PM Process • Project News • Project Status • Project Action Items

17. Innovation-Oriented Cultural Profile • Value Drivers • Creativity • Future Thinking • Transformation • Improvement • Theory Gain organizational effectiveness thru creativity and vision

18. Innovation-Oriented Cultural: Creativity I2 Team Innovation Newsletter Innovation Award R&D Fund

19. Innovation-Oriented Cultural: Future Thinking Employee Contributions to Strategic Planning • Futures Committee • Subject matter experts provide insights about future trends • TEP Reports • Technical staff provide current trends in services, technology, regulatory trends • Market Scans • Account Directors provide understandingof shifts in client expectations

20. Innovation-Oriented Cultural: Improvement • CI Steering Committee • CI Luncheons • CIdeas • CI Teams • Standing Teams • PM Steering Committee • CAD Steering Committee • GIS Steering Committee

21. Market-Oriented Cultural Profile • Value Drivers • Customer Focus • Competition • Accountability • Market Share • Theory Gain organizational effectiveness thru customer focus and competition

22. Market-Oriented Cultural: Customer Focus • Hedgehog Concept • In his book, Good to Great, Jim Collins told a story about a fox and hedgehog. Despite the fox’s attacks, the hedgehog consistently survived, even thrived, by doing one thing – rolling into a ball of spikes. • Our Hedgehog, our one thing… Be the very best at client service, resulting in long-term mutually beneficial relationships

23. Market-Oriented Cultural: Competitive • Core Competencies • Understanding client needs • Being the technical experts • Exhibiting ethical behavior • Being a trusted advisor • Competitive advantages in the marketplace

24. Market-Oriented Culture: Accountability My Utilization • Bi-monthly President’s Reviews • Project-level reviews • Annual Performance Reviews • Individual’s goals tied to firms’ goals • Performance Portals • Performance for groups, projects and employees

25. Market-Oriented Culture: Market Share Overarching Goals • Stewardship of Resources • Integrated Services Delivery • Across the project life cycle • Leveraging our multidisciplinary expertise and that of our partners

26. Long-term Employee RelationshipsMoving Toward Our Desired Culture Profile Perceived by Employees Profile Desired by Management Employee Survey Aligned with Profile

27. Long-Term Employee Relationships Employee Engagement Individual Dev Plans Emp Opinion Survey Career Ladders Mentoring Program FNI University Technical Coaching Sr. Leader Training Leadership Training Cultural Assessment Wellness Program

28. Long-term Employee Relationships:Being a Great Place to Work 2013 Best Companies to Work for in Texas 2011 Best Place to Work for in the Coastal Bend Area 2010 Best Midsize Firm to Work for in Dallas-Ft. Worth 2009 Best Small & Medium Companies to Work for in America 2009 Top 10, Best Civil Engineering Firms to Work For Nationwide

29. Thank You