Water Treatment Industry Trends & Outlook in 2022 | Podcast Ep. 81 | Toolbox for the Trades

Kathleen Burbidge and Eric Yegi from the Water Quality Association. Welcome to the Toolbox for the Trades podcast. I'm so excited to have both of you. Happy to be here.

Thanks, Jackie.

So I'm going to start off this conversation the way I do every single one, which is how did you get into the trades? And, Eric, maybe you can kick us off.

Sure. So I've spent about 20 years of my career in the environmental testing industry, and in that industry, it was all about finding problems. And it was often not very rewarding because we often found the same problems over and over again. So we were testing drinking water, soil and wastewater. And when it came to drinking water, of course it was, you know, we looked at the historical data to make as a double check for our results on any given sample. And it was often very clear that we were finding the same things and the same samples over and over again every year. And one of my clients was actually wqa. And so that's how I ended up getting involved with wqa. And I realized that they're really all about solving problems, and that's really what I love to do. So that's how I got into the trades, joining WQA so that I could focus on solving problems rather than just pointing to them.

I love that. That's a perfect answer. Eric, I'm guessing that you've given that multiple times before. Kathleen, what about you? How did you get involved in the trades in wqa?

Yeah, you know, it really started with my passion for drinking water. So I jumped feet first into working with the Water Quality Association. I began by looking at regulations at the local, state, federal level and impacts on the industry. And from there was able to develop a regulatory database that was really about making it easily accessible to members. And, you know, combining then my passion for drinking water with my background in government affairs was, you know, amazing to just see how that helped support the industry.

That's awesome. And as you guys are talking about this, I'm reminded of this old marketing campaign from decades ago. You might have seen it, but it's about how plumbers are the health of the nation. And I feel like so often we forget in the trades, plumbing and H Vac, which are the traditional. The traditional industries that Service Titan serves. It's so focused around keeping the health of our community good. And I'm trying to think of a healthy good, trying to keep the health of our citizens good. Wow. Why can't I get a sentence to make that I'm kind of screwing this up? I'm trying to make a nice transition. So this is a note to my editors that I screwed it up. I'm going to take it again and give you guys an example as to how to do this. So I love that you both shared that background. And it's actually reminding me of an old marketing campaign from, I think, the 50s, which is that the plumbers are the health of the nation. A lot of the contractors that we have on this podcast, the work they do really does impact the health of our community. So I'm so excited to have you both on here being passionate about this and getting a little bit deeper into it. So, Kathleen, why don't you tell us a little bit about what you do at WQA specifically. Sure.

So I've been at WQA now for about seven and a half years. Over six of those years, we're working Garment affairs on regulatory initiatives, like I talked about with David Loveday. And now I'm supporting External affairs. So relationships and engagement have really been my focus for over the past year and a half.

Nice. And when you say Garment affairs, are you talking about the actual production of garments within the U.S. i'm sorry, government Affairs. Government Affairs. I was like, garment affairs. No, that's 100% okay. Okay. Government affairs was like government Affairs. I mean, brainstorming a whole new. A whole new division there. That's awesome. And then, Eric, what about you? What do you do for WQA specifically?

So I'm the Director of Technical affairs for wqa, and through the Technical Affairs Department, we provide water treatment professionals with access to the latest science on various topics. For example, we can help members understand new and emerging drinking water contaminants, where they come from, whether they represent a health concern for their customers, and, of course, how to remove them from the drinking water. And we also provide input on various research projects that are relevant to the industry, most of which are funded through the Water Quality Research Foundation. And I also serve in a voluntary role as the science consultant for the Water Quality Research Foundation. And then, of course, we also speak at various conferences about point of use and point of entry treatment technologies. Or in other words, point of use. Point of entry are jargon terms that we throw around, but really, you can think about it as treatment that would go in a building or in a home. So treatment that would go in your home or in a hotel or restaurant, things like that.

Love it. And we're going to get into some of the water treatment specific trends that you are really knowledgeable on, Eric, which I'm really excited about, because I think some of the learnings from what you've ascertained within your role are going to be really useful to folks in all industries, especially communicating some of that really heavy knowledge of. Here's how you educate your customers about some potentially scary things like contamination. But before we get to that, I want to talk a little bit about best practices, business best practices. Because WQA really supports its members that fall within the water treatment space and gives them the resources they need to create awesome businesses. So in both of your times at wqa, I'm sure you've seen how a lot of different companies operate. And my first question is, what do you find makes water treatment companies most successful in 2022? And Kathleen, maybe you can take this one first.

Yeah, I'm thinking of really the mindset of a lot of those companies that I see. And a phrase that comes to mind is a rising tide lifts all boats. And it's a real opportunity in the trades to harness the value of being at the table, having a larger voice together and being tuned into the trends in your space. So for Water Quality association, we're talking about the water space and everything that Eric can talk about on the technical side as well as the business operations trends. And so I've seen a lot of companies be intentional about bringing their entry level employees, their trainers and their leaders into larger industry events, promoting professional certifications in their organization so that you really begin to observe that at those companies, the passion for water and the passion for the company's mission gets run through their entire operation.

Got it? Yeah, 100%. I agree with you there. And a rising tide lifts all boats. I love that you stuck with the water theme and that is certainly something that we say here at Circus Titan. Eric, what about you? Would you like to add anything on to Kathleen's answer? Do you have a different perspective?

Oh, no, absolutely. I agree with Kathleen 100% there. I maybe would add on to there. I'm not sure that we're done with COVID and all its variants. So possibly in 2022, flexibility to overcome supply chain issues and labor shortages are going to be key. You know, in terms of the supply chain issues, networking is always the key. So, you know, if you're in the water treatment space, then you would want to come to the WQA convention and exposition network with all the suppliers there so you can, you can develop a more robust supply chain, shall we say? And you know, if you're not in the water treatment space and there's, I'm sure, a convention and exposition for your industry Point is, get, get to know what that is. Go there, network. And so that you have that, that flexibility. And in terms of the competitiveness or with labor shortages, you know, it's all, it's all going to be about competitive salaries, benefits and perks, being open to flexible hours when the work allows for it. We do have, for the water treatment professionals, we do have a special benchmarking tool that's designed for water treatment dealers. So if you're a water treatment dealer, you can participate in our business operations report, which allows you to confidentially enter your data. You're the only one that has access to your data and it would be data. It's surveying you on things like salaries and for key positions and things like that. And then once you finish entering your data, you're able to benchmark yourself against other businesses in your area or across the country. So it allows you to sort of.

See where you fall and it allows you to see where there are some areas where you can offer more to attract top talent and keep the folks working for you happy.

Yep.

And that actually goes really well into my next question because you guys work with so many companies because you're leveraging data in such a way which, what separates, in your opinion, a good water treatment company from a great water treatment company? And Eric, maybe you can take this one first.

In my opinion, it's ethics and training. So knowing how to apply the right treatment solution for complex water quality issues. Consumers are becoming more educated every year and the research is continuing to uncover new emerging contaminants that maybe you weren't aware of before. In all of those new contaminants come with new treatment challenges. So the really great water treatment professionals keep current with those trends and they approach problems with proven solutions that are validated by science and third party certifications.

Nice. Kathleen, what about you?

Yeah, I mean, tagging on to exactly what Eric said. Sometimes it is having the ability to say, I don't know and I'll get back to you so that you can leverage all of the expertise and resources that the industry has to really help you. Then educate the consumer, educate your team, and know that you have science backing you up.

I love that. I want to tell you both as we're talking as a consumer of water, which I think everyone who listens to this podcast is going to have in common. I'm like low key, like, oh, man, I guess, yeah, there's going to be different contaminants all the time. Yeah. There's not just like one set of contaminants like, with more innovation and advancements in our society, more things get introduced into our water systems. You constantly have to be testing, you constantly have to be uncovering potential issues to be resolved. So that just terrified me. But we'll go on. And, you know, separate from my existential crisis here, Eric, you already uncovered, you already touched upon several big trends that are hitting the industry right now. The supply chain issue, the hiring shortage. We talk about the hiring shortage in literally every episode of this podcast. What are some of the other fascinating trends that you've uncovered in the past year and how are they impacting WQA members today?

Well, interestingly, since the pandemic began, the industry has of course been challenged by these supply chain issues and labor shortages. And we saw the demand for commercial drinking water treatment installations kind of drop off the face of the earth, right, because all the commercial buildings were being shut down. And so they really didn't need treatment, they were just vacant buildings. But at the same time, we saw that the demand for residential drinking water treatment started to skyrocket, and that was really completely unexpected. I suspect that was because, you know, all of us working from home were suddenly much more aware of the water quality in our homes. And another factor may have just been that without the commute times, we had more time to think about home improvement stuff. Right. But since, since the pandemic, we have seen that the commercial stuff, the commercial work has come back to where it was before, and we've continued to see that residential work really grow. So the demand, on the demand side, everything is great, Right? But then on the supply side and the labor side, it's a real challenge. So that's been kind of the dynamic that's been facing the water treatment industry.

Got it. And you may know the answer to this. If you don't, that's okay. But out of all the WQA members, what percentage of them is there an equal split between folks who specialize in residential treatment versus commercial treatment?

So most of our members do offer residential treatment as part of their service. I think it'd be more. The proper way to look at it would be that it requires a higher level of knowledge, often to get into the commercial stuff, especially if you're getting into the high purity water applications like laboratories and medical. So that would be less common than the residential treatment stuff.

Got it. So based on, you know, the trends that we've seen recently. So we saw a spike in increased residential demand. Commercial fell off, but now it's coming back while residential continues to maintain steady. What are some Recommendations that you've been giving your members to to take advantage of these trends.

Yeah. Again, it's back to dealing with those challenges. Right. The demand is there. There's. There's no question the demand is there. The commercial side has already rebounded to where it was before and has passed that. And the residential side is way beyond where it was before. So it's now back to being flexible to deal with those challenges of labor, labor shortages and supply chain issues. And again, Kathleen, our advice on those fronts would be networking. I'm sorry? And again, our advice on those fronts would be the networking aspect for the supply chain issues and for the labor shortages. It's looking at your salaries and your benefits and your perks and trying to be flexible with your hours whenever possible. And we do realize that especially in the water treatment industry, you can't always be flexible with work hours. At some point you have to have people installing stuff in the field and there's just no way around that.

Got it. It is really interesting, however, that flexibility in work schedule is really becoming more and more of a top line item for a lot of workers. So I'm glad you're addressing that, Kathleen. Kind of bouncing off what Eric said. What are you seeing as you communicate with members? What were some things that you're hearing, you know, on the ground, so to speak, from different members about how these trends are impacting them from day to day?

Yeah. You know, taking a look at the challenges we're facing and the way businesses are operating, it's really become a major focus to not only have your operating plan, you know, of making sure that you've got the schedules, you're working on, the supply chain issues, but there's also huge opportunities that you're having to look towards. So you have companies that are trying to make investments because they see the opportunities building in two to three years and they know that they need to have the staff, the products, all in line in order to really take hold of what's coming in the future for the water industry.

Got it. So originally I was going to plan to go straight into water specific trends, but I think this is a great opportunity to talk about leed, which is a really cool program that WQA has developed to really address these labor shortages. So, Kathleen, can you tell us a little bit about that program? Why was it created and what does it do?

Yeah, absolutely. So lead stands for WQA's leadership engagement and Development Program. It was created with the intention of forging deeper participation, developing advanced leadership skills, and encouraging overall participation within WQA and the broader industry. There's three advisory councils and two mentorship programs under lead. And the councils really take charge of the programs, the goals, and then providing recommendations back to our board. So in the past three years, from when LEAD really began, their impact has provided incredible tangible solutions for our members. So including young professionals, women in industry, it's contributed to their professional development through scholarships, networking events, mentoring and education. So the advisory councils have really taken, you know, a several pronged approach to meeting the goals of lead. Yeah.

Awesome. So lead, just to recap, because I was so. I geeked out on this when you first told me about this program. So there's three subdivisions. Right. And one specifically targets women in the industry. The second one is to create growth opportunities for new businesses. And there's also a diversity component as well. Right.

So there's. So, yeah, there's three advisory councils under lead. There's Women in Industry, which is win, there's rise, which is Young Professionals, and then there's thrive, which is really taking advantage of all of the inclusion opportunities, engagement, making sure that our programs are accessible and utilized by our members. And that's really where that inclusion equity component come in.

Nice. And when was LEAD first established?

Yeah, so like I said, about three years ago is when our first advisory council was formed. So that was when, as well as RISE was originally young professionals, and then over the course of 2021, we wanted to really bring THRIVE into the sort of umbrella, if you will. And all three groups had very similar goals, wanting mentorship programs, wanting education, you know, accessibility to events.

And.

And so we realized that we really should form LEED as the umbrella that champions all of these goals. And so that's where leadership, Engagement and development came in.

Got it. And how do your members work within these. Within the overall ecosystem of lead?

Yes. So our councils are run fully by our members, so there is a staff liaison that helps support on the back end. But when it comes to taking, Taking charge of leading these programs, setting the goals, maybe there's recommendations they have to the board for other programs in wqa, that's fully fueled by our members.

That's awesome. I know. It's still pretty recent and I definitely commend you guys for doing this. And it really goes into what Eric was saying before about how networking and getting to know the other people in your industry is so critical, especially in. In times like Covid, where we just all get, you know, everything gets turned upside down. I would love to know if there's any. You know, I hesitate to say Success story. Right. Because we're all in the, we're all progressing towards something. But are there any particular, you know, examples that have come out of lead that come to your mind that you would like to share?

Yeah. I mean, what's been really exciting is to see when someone is a mentee, the next year they come back and they become a mentor and they stay a mentor. Then you have those same mentees becoming leaders on our committees and our advisory councils elsewhere in the organization. And then you see them start to rise to being on our board. And so that's really demonstrating the full success intention of the program.

That's awesome. And what qualifications do you have to meet to be a mentor or mentee within the lead program?

Yes. So like I said, there's two mentoring opportunities for members. They are now open to all members, which is really exciting. You just need to be an employee of a WQA member company. So the first program is the WQA mentorship program. It's free eight month program. Participants start with having our call for mentors and mentees. When it comes to mentors, we're really looking for people that want to share their passion with others in the industry. And we do the signups in April, so it's coming up soon. And we take as many mentees as we have mentors. So we're really lucky in our industry that they always are willing to step up. And, and so we've been able to, if we do have a lot of mentees, actually go out and find additional mentors as needed, which has been tremendous for growing the program. And we have mentees that might have 20 years experience in the industry, but they're looking for help on getting the most out of engaging with the larger industry outside of their company. And then we have someone that has two months experience and they're trying to really learn about the industry, what they have to offer and finding a mentor that would share their passion with them.

Got it. Do you also have a lot of. I know we're really going on this. I promise I'm going to get back to you too, Eric, who's been patiently listening and smiling and nodding along to anyone who's watching the video. But do you have any mentees who come in who are fairly early in their water treatment career?

Yes. Like I said, we'll get mentees that might have two months experience and it's really them wanting to learn what a career could be in this industry and they want to invest in the company they're working at. They want to feed off of that same passion that they're seeing not only at their company, but the larger industry as well. So it becomes this huge range of who is looking and seeking mentorship, which is amazing. You know, a lot of times you'll get a mentorship program that is solely for people entering the industry. And ours has expanded to be more for just anyone that's looking to learn about further engagement in the industry, which is why we get that span of experience.

That is so awesome. I'm really happy that you guys have this program program. And I encourage anyone listening to explore their various industry groups to see if this is available. If you're water treatment, definitely check out wqa. But I find it so interesting how that initiative that you've been describing so beautifully, Kathleen, really ties into what Eric was saying before about the labor shortage and how we really just need to be lifting the industry up as a whole. So I want to take this moment to kind of pivot back to some water treatment specific trends and how WQA specifically really leverages data to provide their members with the best information possible. And before I go to some specific questions, Eric, I'm just curious. Did you guys uncover any data that informed the development of LEAD or the mentorship program at wqa?

I will defer to Kathleen on that one. Actually.

We start off like you said, WQA is data driven. We start off almost all of our initiatives with collecting data. So before even we have our first advisory council meetings, we are collecting data from our biz ops report, from our market trends reports, and then also doing deep dives with our stakeholders to really make sure that we are getting the goals and priorities set up the right way.

That's awesome. And it totally makes sense why you're a partner with ServiceTitan now because we're super data driven and I'd love to hear that you guys really took that and you made something with it. So let's go to some water treatment specific trends, specifically the ones that have been making me low key uneasy this whole episode, which is water contamination and why both of you are involved in wqa, right? It's a big topic for water treatment companies. And Eric, I would love for you to tell me a bit about the information WQA has found around this topic and what should the big takeaways be for members and non members?

So in terms of drinking water contaminants, for example, if you're on municipal water, on the municipal water side, we're still seeing a lot of issues with lead and with pfas, PFAS stands For per and polyfluorinated alkyl substances. It's a broad class of chemicals that are used in firefighting foams and nonstick coatings and things like that. And they are currently unregulated, but they are showing up in groundwater and surface water all across the country, which of course is making it into our drinking water as well. So those are two that we've seen a lot on the municipal water side and private wells. It's still kind of the same normal suspects that we've been dealing with for many, many years. Arson and nitrate and bacteriological issues. So even radiologicals and some of the deeper wells. And in terms of water treatment, our members kind of a lot of them are first of all providing treatment for aesthetic issues which are also important to the consumer. Right. You want to be able to control the buildup of scale in your plumbing, in your home, so it doesn't build up in your water heater, destroy your appliances, plug your shower heads and make it difficult to clean all your, you know, your sinks and tubs and things like that. There's also taste and odor issues that a lot of people want to deal with which aren't necessarily linked to a, you know, a health related contaminant. Oftentimes taste and odor issues can be something completely harmless, but still not something you necessarily want in your water. And then of course, they are dealing with these health related contaminants that we talked about as well, Lead, pfas, arsenic, nitrate and all the others.

So these are all, you know, things that you deal with every day. Kathleen, you hear about this all the time. As a consumer, I hear this kind of stuff and I'm like, this is terrifying. I can't trust anything that I drink. So what do you guys recommend that WQA members, what tactics and strategies do you recommend they use to communicate this type of information that can appear, quote, unquote, scary? What are your best recommendations for that?

So what we tell our members is to provide science based information. So avoid scare tactics that have no scientific basis. But at the same time, don't be afraid to offer information that you can back up with science. And if you're unsure about a particular situation or your internal experts don't agree, feel free to reach out to WQA and ask for a second opinion. But yeah, it all comes down to basically sticking with that science based information.

The education based approach, essentially.

Yep.

Kathleen, anything you want to add in regards to that?

Yeah, that's exactly right. And the only other thing I'd add is just to congratulate Eric on all of the amazing technical support that his department does provide. So you can already just go on to the WQA website and there's technical fact sheets, there's summaries relating to all of the research that's been conducted through the research foundation that they've provided. So you can already, you know, really have that information at your fingertips, as well as getting on the phone and calling our technical support team, too.

That's awesome. So we've talked about a whole lot of different trends affecting the industry, affecting the consumer. Eric, I want to give you the opportunity to talk about any trends we might have missed in our conversation so far that you're really passionate about or that you are, or you're excited about, that you want the podcast audience to be aware of.

I think if you're in the trades, you ought to keep an eye on sensors and the Internet of things. These are solutions which are evolving rapidly. And this technology can solve a lot of unique challenges associated with in home treatment, such as ensuring that the homeowner maintains their system or that they replace consumables at the required frequency. And there are systems out there right now that can actually call a service person directly or notify you on your cell phone if your system needs service. So those are definitely things I would keep an eye on. There's also new contaminants which are constantly coming up or getting in the news, and we would encourage people to reach out to WQA when those come up, and we will be researching them, I'm sure, and we will have information to share on those contaminants. But, yeah, the best way, I think, to keep up on these types of issues as an industry is to attend your annual conventions for that industry. In our case, it's the WQA Convention and Exposition.

Well, that is a perfect segue. Tee up if I've ever heard one, Eric, because I was going to ask Kathleen about the convention, which is coming up, which times perfectly with the release of this podcast. So, Kathleen, tell me a little bit about the WQA convention.

Yeah, I'd be happy to. So WQA's Convention and Exposition will actually be this year in Orlando, Florida, April 6th through the 8th. And the theme is Impact. So a lot of what Eric and I have touched on today is about having the greatest impact you can on your business and in your marketplace. So, you know, come for technical education, there's business operations education. You can walk the trade show floor. We'll have sessions where all of the dealers come together during A power morning on the first day and they engage in discussions on hot topics impacting dealerships. We have sessions, you know, again for all manufacturers that are addressing issues of particular interest to them. So I encourage everyone that wants to learn more to go to wk.org, convention where you can look up the schedule for additional details. I'd also say since we've talked a lot about best practices and business operations, that if that's at all a focus for your 2022 goals, I do encourage people to check out the business Boot camp which takes place April 5th. It's actually the day before convention kicks off in the same location and the focus is a day long training to fuel your impact on operations, compliance and business strategies. And all of that information to participate on the convention website as well.

That's awesome. Thanks for that. So I want to pivot, we're going to start wrapping up this conversation but you know, you guys have such a, you know, wonderful opportunity to interact with so many WQA members. I really wanted to ask you what has been your most memorable interaction with a member so far? And Eric, maybe you can take this question first.

Sure. So since joining the industry and wqa, I've been consistently impressed, I guess by three quantities that seem to be common amongst our members, support for science based decision making, their generosity and collaboration. So I'm a scientist at heart and I really enjoy keeping up on the latest findings and my fields of interest. And as a science geek, I generally gravitate towards science based decision making, whatever that, you know, wherever that may lead me. And I'm very happy to say that at wqa I have the complete support of the industry in that regard all the way up to the Board of Governors. Our members truly support science based decision making and you know, wherever that leads us, that's where we're going to go in terms of our advocacy. And I've also been touched by their generosity, you know, whether it's reaching out to help consumers during natural disasters such as fires and floods and hurricanes, their willingness to volunteer on a collaborative level to provide their knowledge and expertise for professionals who are dealing with those issues. And you know, also just their willingness to collaborate with the rest of the industry as. But back to Kathleen's point of a rising tide raises all votes. That's really what it's all about. You get involved with collaborating with your peers and the rest of the industry through the trade association and you learn a lot through that. You end up making an impact on the industry. But it also has a great impact on you and your organization. That's sort of the three things that have stood out to me since joining wqa.

That's awesome. Well, Kathleen, what about you? Do you have any particularly memorable experiences with members that you would like to share?

Yeah. You know, a memory that sort of echoes a lot of the same themes that Eric just shared has to be just looking at our annual DC fly ins. So this is something that I had helped create. And beginning the first year, it was way too hot in July, and we apologize to our members and we'll always have it in either the spring or fall going forward. But everyone comes to D.C. to talk with with regulators, legislators, and you see them immediately take the company hat off. They're there to talk about, you know, the uniqueness of the industry and the uniqueness of the impact that our industry can have have on the betterment of water quality. And so it's been just incredible and special to see how engaged our members are and supportive of each other and the greater goals that we all share.

That's awesome. And when you say DC flying, was that just the industry as a whole going in to speak with legislators? Do you do it once a year?

Correct.

All right, awesome. Very cool. All right, so here are some closing questions that I have for this season of the podcast. Kathleen, if you could give yourself one piece of advice from early in your career, what would it be?

I think it would be ask people about themselves. Be an active listener to understand their path and passion because it will enrich your relationships and then it'll help you on your discovery of your own passion.

The great Eric, what about you?

Follow your instincts. Take advantage of every training opportunity that you can.

Okay, now here's the fun. If you had to choose a song to be the soundtrack of your life, what would it be? Eric, you can go first.

Well, I guess I would have to say Fishing in the Dark by the Nitty Gritty Dirt Band.

Love it. Kathleen.

All right. I don't know about Soundtrack for My Life, but my favorite song is Catfish and the Bottleman. They cover the Killers. Read my Mind.

I love that cover too. Kathleen. Oh my God. That is a great song. Kathleen Burbage and Eric Yegi, thank you so much for joining me on Toolbox for the trades. We learned a ton about WQA and what you guys do. So thank you for your time and for sharing your knowledge.

Thanks for having us.