Acing It: CEO Elevates his team of "Service-Hearted People"

Name: Andy Bell
Title: CEO and Founder
Company: Ace Handyman Services & Ace Hardware Painting
Units: 392
Age: 58
Years in franchising: 24
Years in current position: 26

Andy Bell founded the home improvement and renovation company Handyman Matters in 1998 and started franchising in 2001. When the company was acquired by Ace Hardware in 2019, the name changed to Ace Handyman Services, and Bell stayed on as CEO to help it grow.

The cash flow injected by Ace Hardware has enhanced Ace Handyman Services in everything from training and support to marketing and operations. The brand now has more than 390 franchise territories across more than 40 states and continues to expand.

Based in Denver, Bell, 58, leads his team with what he calls a "supportive and enthusiastic" style and says it's important to make sure his team has the right tools to do their jobs. He's also particular about who is hired. "Every colleague and craftsman in our organization is a brand ambassador who must embody Ace's values, mission, and vision," he says, "so hiring kind, service-hearted people across the organization--not just at the top--is of utmost importance."

Lately, Ace Handyman Services has been upgrading its technology, says Bell, "so that we can optimize the way we do business." The move has involved changing out the brand's POS system, data management system, and website. "The system is more complex than ever, but it's more accurate and gives us instruments to fly this plane faster, farther, and higher than ever before," he says.

Bell says taking advantage of the Ace Hardware name should help him with his goal to have an Ace Handyman Services & Ace Hardware Painting location near every one of the more than 5,500 Ace Hardware store locations across the U.S.

"There is no challenge I won't tackle," he says, "and I do my best to lead and grow people beyond their expectations."

LEADERSHIP

What is your role as CEO? I would define my role as chief energy officer because I inspire people to go beyond what they believe they're capable of.

How has Covid-19 affected the way you have led your brand? Covid-19 has led companies to implement a greater level of accountability. Technology now allows us to hire remote employees from anywhere in the country. Things must be structured so that everyone knows what they're doing, when they're doing it, and what they're accountable for and then report weekly to make sure we're moving the needle on whatever will get us closer to our goals.

Describe your leadership style. Supportive and enthusiastic. I always want to ensure that my team has the right tools to do their jobs well.

What has inspired your leadership style? My leadership style is grounded in the understanding that everyone is human no matter what their role. Mistakes will be made at every stage of business, so encouraging an environment of learning is crucial.

What is your biggest leadership challenge? One of our biggest challenges right now is upgrading our entire franchise system to implement and optimize robust, world-class technologies. We just changed our POS system, data management system, and website for roughly 400 franchises all around the country. Things are much more complex compared to when I started back in 1998 when administration equated to a pen, paper, and a filing system. As technology advances, we prioritize onboarding our team onto the latest systems so that we can optimize the way we do business.

How do you transmit your culture from your office to frontline employees? I believe culture is defined by your actions. Taking accountability is important. I'm quick to apologize when I make a mistake and determined to learn from those mistakes.

How can a CEO help their CMO develop and grow? Setting the tone and culture for new colleagues is paramount because culture feeds brand voice. Culture trickles from the top, so if we have a strong culture in place, our leaders will embody that.

Where is the best place to prepare for leadership: an MBA school or OTJ? On the job. I don't have an MBA, but I'd suggest that my 26 years of life experience running a business have served as an MBA+. As CEO, I can perform every function within this organization, and I'm proud of that unique quality. I believe it's important to understand all of the pieces that make your machine run.

Are tough decisions best taken by one person? How do you make tough decisions? I think it's best to put heads together to form a consensus. Diversity of opinion is important, and decisions are stronger when there's a focused, collective effort.

Do you want to be liked or respected? Respected. I work hard. I treat people with dignity and respect. All I ask is the same in return.

Advice to CEO wannabes: Clarity is kindness. Figure out your communication style and plan so that everybody's clear on expectations.

MANAGEMENT

Describe your management style: At the forefront, I'm always asking our team: What does winning look like? As a leader, listening is key. I want to hear my team, truly understand their thoughts and needs, and ask questions that steer us strategically. I think it's important for everyone to understand why we take on each initiative, why it matters, and where it's meant to go.

What does your management team look like? Ace Handyman Franchising is run by Andy Bell, CEO, and Chris Bue, president. We have a team of vice presidents who also cover marketing, operations, IT, and development.

How does your management team help you lead? Our management team is phenomenal. They operate seamlessly on the front lines, which protects my time so that I can continue keeping the big picture in mind and drive us forward.

Favorite management gurus: Do you read management books? (please name): Though a less traditional perspective, Endurance: Shackleton's Incredible Voyage by Alfred Lansing is an incredible maritime story about leadership and resilience. It's about Sir Ernest Shackleton, who led his crew on a treacherous expedition around the Antarctic. Against unbelievable odds, including their ship being crushed by pack ice, he didn't lose one man.

What makes you say, "Yes, now that's why I do what I do!"? The opportunity to lift people up. I have high energy, high optimism, and high accolades for those around me. That is my style.

OPERATIONS

What trends are you seeing with consumer spending habits in your territories? While the costs of services and products are higher than before, we're not seeing a reduction in consumers asking for services. We're typically seeing a reduction in the duration of projects or flexibility in our repair timelines. When Ace Hardware acquired us in 2019, they saw a sweet spot between the DIY homeowner demo and do-it-for-me homeowners. The do-it-for-me demo is fairly represented in the homeownership of the millennial generation.

How is the economy driving consumer behavior in your system? Consumers are more discerning and delaying some home improvement projects due to caution or prioritizing travel and entertainment. But hybrid and remote work are also part of our new normal, so people want to invest in home improvements that benefit their work and personal lives.

What are you expecting from your market in the next 12 months? I think we're returning to a new normal. Overall home values are rising, so there's some discretionary equity there. As interest rates come down, I hope people become encouraged to enter small business ownership.

Are your franchisees bullish or bearish about growth and adding additional units? I can't speak for all of my franchisees--it's a matter of individual perspective. If your mindset is bullish, you see opportunity no matter the climate. But if you depend on the economy to forecast your opportunities, you're probably bearish. Personally, I believe when it comes to business, we have to do what we will with what we have.

Are commodity/supply costs any cause for concern in your system? Commodity and supply costs don't affect us as greatly as other businesses.

In what ways are political/global issues impacting the market and your brand? Election years create unrest. People tend to hold back on major decisions until new country leadership has been defined. I don't see this year as being any different. This pattern has happened every four years in the 26 years I've been in business.

TECHNOLOGY

How much influence does your IT department have on your brand? Our IT team is critical. Online presence is how people find us, review us, and where we can create an initial point of contact after they've researched our company.

How have your company's tech tools changed over the past five years? If this was a physiology class, we would have removed every organ and replaced them with new ones. We've recently changed our website platform, POS platform, and data management platform.

How does technology influence your decisions? Technology allows us to see real-time data from our franchise units so that we can make decisions based on today's insights instead of some lag indicator in six weeks. It's made us more responsive, nimble, and wiser about running and controlling our business operations. We can act on franchisee/customer feedback today instead of tomorrow.

Are you using AI? How? We don't use AI for content or anything that would be consumer facing. We want our own, personal brand voice to communicate authentically to our consumers and community. However, I do think it's a useful tool for brainstorming and training.

How do you measure your ROI on technology investments? Our ROI is largely based on franchisee unit economics. Introducing new technology might come with an initial learning curve for franchise owners, but once your team is trained and competent, you can start to optimize the tech and experience its full benefits.

How did/do you create a culture where use of technology advancements is welcome and used? I constantly listen to my staff's needs and requests for new tools and do my best to deliver what they need to do their jobs well.

PERSONAL

What time do you like to be at your desk? I'm up every day at 5 a.m. to get work done, so I can be fully present by the time I hit my desk at 8 a.m. It's important for me to be available to my staff even if it's just offering a pleasant "Good morning!"

Exercise in the morning? Wine with lunch? I don't exercise as much as I should though it's one of my goals. I don't drink.

Do you socialize with your team after work/outside the office? I love socializing with my team at company events. Outside of work, I'm not much of a partier. I'm more energized by life.

Last two books read: Two great books I read recently are The 4 Disciplines of Execution: Achieving Your Wildly Important Goals by Sean Covey, Chris McChesney, and Jim Huling and Profitable Partnerships: Improve Your Franchise Relationships and Change Your Life by Greg Nathan. The latter I've read many times before, but every time I revisit it, I discover something new. When not reading industry books, I enjoy John Grisham.

What technology do you take on the road? I run everything on my iPhone. I could run my entire business off of it.

How do you relax/balance life and work? I draw a line in the sand every evening at 6 p.m. and spend my Sunday evenings organizing myself for the next week. The rest of my time is for my family.

Favorite vacation destination(s): My family recently went to Portugal and had an amazing time. The culture and people are beautiful.

Favorite occasions to send employees notes: I like sending notes of appreciation to teammates when they're covering for someone who is out sick or on vacation, working extra hard to ensure we're operating at the same level. I'm a big believer in what you appreciate appreciates.

Favorite company product/service: My Bluetooth speaker can light up any dull moment, so I always have it on me. Sometimes, I'll even play music before online meetings. Music inspires me, especially classic rock, like Tom Petty.

BOTTOM LINE

What are your long-term goals for the company? To have Ace Handyman and painting services in every territory that has an Ace Hardware (5,500-plus U.S. locations).

How has the economy changed your goals for your company? Paired with grit and determination, we've been fortunate to keep our strategy consistent. We're layering on more services that will let us continue to build out our commercial services as well as our residential business.

Where can capital be found these days? All around if you do your research and stay prepared. You can get an SBA loan, a HELOC, approach angel investors, or borrow from friends or family and pay them back with interest--the list goes on. Capital is based on a solid business plan and an enthusiastic pitch to the right person.

How do you measure success? To me, success is lifting up others around you. I love to see people exceed their expectations. There's nothing more rewarding than asking someone where they want to be in five years and then watching them achieve just that--and often more.

What has been your greatest success? My family. I have two fantastic boys and a beautiful, wonderful wife. Holding that together for more than 30 years has been my greatest personal accomplishment. To me, success is seeing my two boys as gentlemen and scholars in the community, paying it forward by lifting up those around them.

Any regrets? I don't think there are any wrong turns in life, but I was offered a college scholarship to run cross country, and I didn't do it. If I could rewind, I'd love to have followed that path and seen how it would have impacted my approach to business.

What can we expect from your company in the next 12 to 18 months? Our continued pursuit of perfection and excellence as ambassadors of the wonderful 100-year-old Ace Hardware brand. One of my dad's favorite quotes that resonates here is from the great coach Vince Lombardi: "Perfection is not attainable, but if we chase perfection, we can catch excellence."