January 24, 2024

Ep 21: Blueprints for Growth: Excellence in Business Innovation

17 minutes

Chris Tatge is the founder and president of DC Materials, a company that has been at the forefront of innovation in construction for the past four years. But what sets Chris apart is where his journey began - as a struggling high school student with no purpose and direction, who through mentorship and support evolved into a successful turnkey framing contractor. Today, he's a self-made entrepreneur who is disrupting the construction industry.

In this episode, Chris Tatge, CEO and founder of DC Materials, joins the host, Jacob, to discuss the growth and success of his company. DC Materials, known for framing labor and materials in multifamily spaces, has been recognized as the 539th fastest-growing private company in the US and third in Wisconsin, according to the 2023 Inc 5000 rankings. Tatge outlines the unique business model of DC Materials, which combines providing both material and labor, a practice uncommon in Wisconsin but prevalent in other parts of the US. This approach, along with strategic wholesale material purchases and value engineering opportunities, contributed to the company's exponential growth. Tatge also touches on how the pandemic affected the business, highlighting their agility in adapting to fluctuating material costs and the advantages they had over traditional lumber yards.

The discussion then shifts to Tatge’s journey from carpenter to industry innovator. He credits his involvement with the National Framework Council and encounters with professional framing contractors for inspiring a shift in his business focus from labor to material profit. DC Materials specializes in framing for apartment buildings, and Tatge shares their plans for expansion, including a larger lumberyard and new office space. He also discusses the labor market, emphasizing their strategies for remaining a preferred employer for subcontractors. Towards the end of the conversation, Tatge reflects on the broader industry trends, noting significant mergers and acquisitions in the lumber space and the venture capital interest sparked by a McKinsey report calling for innovation in construction. Finally, he shares his vision for the future, which includes off-site construction and continued mentorship and influence within the industry.

Here’s what to expect this episode:

Innovative Business Model: DC Materials, stands out in the Wisconsin market for its unique approach of combining both labor and material provision in the construction of multifamily wood apartment buildings.

Adaptability During the Pandemic: Navigating the challenges of the COVID-19 pandemic, particularly in dealing with fluctuating material costs. Their agility and unique business model allowed them to be more responsive and less affected by the rapid changes in the market compared to traditional lumber yards.

Professional Growth and Industry Influence: Tatge's personal journey from a hands-on carpenter to an industry innovator is highlighted. His involvement with the National Framework Council and interactions with professional framing contractors in other regions played a significant role in his professional development and the strategic shift in his business focus.

Future Expansion and Industry Trends: insights into broader industry trends, such as significant mergers and acquisitions in the lumber space and the increasing venture capital interest in construction innovation.

Commitment to Quality and Labor Relations: The importance of quality in their projects and maintaining good relationships with subcontractors. Strategies like prompt payment and resolving disputes favorably for subcontractors ensure that DC Materials remains a preferred employer and maintains a reliable labor pool.

Connect with Chris Tatge:

https://www.linkedin.com/in/chris-tatge-38007a72/

Connect with Jacob Koenig:

https://woodbridgegrp.com/

Learn more about your ad choices. Visit megaphone.fm/adchoices

...more