Phil Cleaveland and Lindsay Verdugo – Daily Journal of Commerce /news/author/pcleaveland-and-lverdugo/ Building and Construction News in Portland, Oregon and the Pacific Northwest Tue, 14 Jan 2025 18:02:09 +0000 en-US hourly 1 https://wordpress.org/?v=6.6.6 /files/2023/08/favicon.webp Phil Cleaveland and Lindsay Verdugo – Daily Journal of Commerce /news/author/pcleaveland-and-lverdugo/ 32 32 Empowering disadvantaged businesses to build strong foundations | Opinion /news/2025/01/14/empowering-disadvantaged-businesses-to-build-strong-foundations-opinion/ Tue, 14 Jan 2025 18:02:06 +0000 /?p=504425 The onus is rightly on established organizations to continue to foster and nurture small businesses to upscale. We must do our part to help build a larger trade partner pool for investment.

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Phil Cleaveland and Lindsay Verdugo

Most business owners tell you that having core skills such as marketing, branding and a vision for impacting the market makes or breaks any venture. The construction industry is no exception.

This principle inspired Mortenson’s MWBE Empowered Program, which was developed by our Oregon and Southwest Washington team to support emerging, women-owned and minority-owned businesses. The program is designed to equip participants with essential business skills needed to succeed in a competitive marketplace. Over six months, participants engaged in productive monthly workshops, gaining targeted support, mentorship and training in operational excellence and goal setting. The program curriculum addresses topics that are high level enough to be relatable for all construction firms while providing the details, tools and resources needed to set partners up for success.

The Empowered Program grew out of two main themes. One is the skilled labor shortage that has challenged the wider construction industry for more than 15 years; consistent growth in construction is being further fueled by large infrastructure projects that are either under way or planned for the near future. The second is the desire to increase women-owned and minority-owned contractors in the industry and ensure that these new businesses thrive and grow.

A growing segment of commercial construction projects locally includes defined goals for participation by minority-owned, women-owned and disadvantaged business enterprises (MWDBE). This means greater demand to find qualified trade partners needed to meet those goals.

Large project goals that prioritize MWDBE trade partners can both benefit and challenge small firms. One of two outcomes typically occurs when these goals compound and a larger share of work is allocated to meet them: Either these firms become overstretched beyond their current capabilities, or they successfully scale up and graduate out of the small and emerging business category.

The onus is rightly on established organizations like Mortenson to continue to foster and nurture that small business pipeline to upscale and graduate. We must do our part to help build a larger trade partner pool for investment.

The Empowered Program is customized to guide small firms to be more strategic in their growth without putting their business at risk. Mortenson’s initial cohort of small businesses embarked on the inaugural Empowered Program from May through November 2024. It included five businesses: GGC, a one-woman carpentry shop; J3 Painting; Life Safety Solutions, which offers firestop, fireproofing, sealant and insulation services; Organon Group, an electrical contractor; and Madlyn Metal Fab. Six curriculum modules included business development, estimating, project management, operations, labor management and brand management.

For Adan Mendoza, CEO of Organon Group, a Milwaukie-based business that focuses on HVAC and low-voltage systems, the biggest takeaways from the Empowered Program are the importance of marketing and branding – even for firms with a solid customer base – and the art of estimating.

“I felt that estimating was probably the most helpful block of instruction for me,” Mendoza said. “There were some things that validated what we’re doing as an organization, and hearing from a larger firm that we’re going in the right direction was definitely valuable.”

When it comes to marketing and branding, Mendoza says that even with a solid customer base, a firm can find significant value in branding itself in a more professional manner.

“This course provided realization that there is value in how our business and organization looks, outwardly, from a more professional aspect as opposed to trying to gain customers through more traditional advertising or marketing,” Mendoza said.

“The whole experience was positive,” he continued. “It was good to network with people who were on the other side of these classes and then also interface with different people that are in different facets of Mortenson’s organization. It allowed us to make connections that will ensure our paths will cross in the future.”

Our goal for the Empowered Program is to grow the pool of small businesses needed to achieve MWDBE project objectives. We are enthusiastic about the win-win nature of this initiative and are humbled to be able to support historically disadvantaged organizations with growth and success.

We are optimistic that this first Empowered Program cohort of trade partners will serve as a pilot that will be replicated throughout our organization across the country, and with the built-in flexibility to mold the curriculum to the needs of its participants in each unique marketplace.

Our industry has a responsibility to build with purpose. By fostering authentic partnerships, we break down barriers, open doors to meaningful opportunities and strengthen the economic health of our communities. Together, we can empower small and diverse businesses to thrive.

Phil Cleaveland is a design phase executive in Mortenson’s Portland office. Contact him at 971-202-4100 or phil.cleaveland@mortenson.com.

Lindsay Verdugo is a senior community empowerment specialist in Mortenson’s Portland office. Contact her at 971-202-4100 or lindsay.verdugo@mortenson.com.

The opinions, beliefs and viewpoints expressed in the preceding commentary are those of the authors and do not necessarily reflect the opinions, beliefs and viewpoints of the Daily Journal of Commerce or its editors. Neither author nor the 91Ƶ guarantees the accuracy or completeness of any information published herein.

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