Trade Education Innovator: Former Medical Student Helps Fill the Skills Gap. (Ep# 4)

00:02

Tom: Hello, pros. Hello builders, hello remodelers, little architects, designers and decorators and everyone in between who helps create the spaces in which we live and work and play. And welcome to the Profile Podcast presented by LL Flooring. I'm Tom Kraeutler, and if you work in this industry, we are delighted to have you listen to the Profiles Podcast, where we profile successful professionals who are setting examples, overcoming challenges and sharing what it takes to build a great business and a great life so we can all benefit from their experience. So, to that end, we would love to hear from you. Please reach out to share an idea. Ask a question or suggest a topic or maybe even a guest. We'd love to hear your tips for working with your customers, your suppliers and running your business. You can reach us by emailing profiles@llflooring.com. That's profiles@llflooring.com or by visiting the LL Flooring Pro portal at LLFlooring.com/Pro. Now let's get to work.

You know, in the home building, in the modeling industry, there are many multigenerational families that have grown their businesses from very humble beginnings and sometimes pretty far from our shores to become very successful business leaders and innovators in our country. And today it's my pleasure to talk with a pro who has accomplished such a journey. Carlos Mongalo is a second-generation Nicaraguan immigrant. He went from being a medical student to running his father's flooring business to becoming a flooring innovator after inventing a new type of flooring together with his Dad, but his drive did not end there. Understanding that the flooring industry had a huge need for installers and no organized trade program to help train them. Carlos launched the National Flooring Contractors Apprenticeship Program, a nationwide program to train and connect students with qualified contractors, thus lifting the entire industry. Carlos Mongalo, Welcome to the Profiles Podcast! How are you doing?

02:08

Carlos: I'm doing great today.

02:09

Tom: Hey, so you started in construction because your father had a flooring company that he started when he arrived in Miami. And I guess that you picked it up from your dad growing up? Tell me about that.

Bucking Family Tradition: Drops Med School for Father’s Flooring Company

02:22

Carlos: Yes. Before my father came to the state, his family were my great grandpa, my great grandparents. They were all doctors. And when he came to the states, he had to find a way to, you know, support the family. And he found it through doing floor installations and sanding or finishing the hardwood flooring. And over the years, that's something that I saw and picked up the trade. I never thought I'd get into it, but that's what happened. But I remember when I was a little kid, my dad would when he would buff the floors, I would sit on the buffer, and he would just give up on the floor.

02:57

Tom: Take a ride, huh?

02:59

Carlos: Yeah, it was a fun ride. And I remember just going to the job sites with my dad and or waiting outside in the car with my mom and my dad would be doing some estimates. So, it's something that I grew up in. Never thought that it would come this far. I thought after college, I was going to do some non-profit work in Latin America. But life just turns, throws you a curve ball and you have to find ways to go with the waves.

03:23

Tom: Now, where did your family immigrate from?

03:25

Carlos: Nicaragua.

03:26

Tom: Wow. So, they come from Nicaragua. The family was in the medical profession for the most part while you lived over there. Your dad was lucky enough to get out and come to the U.S. and was he was he always handy before that? How did he get it? How do you go from, you know, a family that was doctors into doing carpentry?

03:46

Carlos: You know, that's a great question. It's the question we did ask my dad. I know that my father was a surgeon back in Nicaragua. My great grandpa, my grandpa, we're surgeons. And they would always help in the hospitals because my, my great grandpa started a hospital in Puerto Coetzee's, which is on the Atlantic side of Nicaragua, and he used to deal with all the indigenous people who live there, and my father would help there as well. So, I know my dad, he had that background of being handy and working. So yes.

04:15

Tom: Now when you were growing up, did you think you were going to get into your dad’s business, or did he have other plans for you?

04:19

Carlos: No. You know, the family tradition was to be a doctor. So, when I went to college, I started the pre-med program, and I did an internship at my uncle's hospital in Nicaragua. When I was in college, I had the opportunity to turn into a course, and when I was doing an internship, I realized that I loved it, but I didn't see myself going to the same place every single day. I just didn't like the idea of having a routine like that. So, I had a change of heart, and I joined the Business Administration program. And the funny part is, when I returned from Nicaragua, I turned that experience that internship program into another program at the school, and I started sending other pre-med students to go to the experience I went through to see if they wanted to become a doctor and not about that.

Finding Solutions Fueled Entrepreneurial Spirit

Yeah, I didn't know that that was the beginning to my entrepreneurial spirit. I wasn't really trying to do any type of business. I was just really trying to help these young students figure out what they really wanted to be a doctor. Not because you spent so many years in medical school and then you find out that you don't want to be a doctor and you spent all of this money and time. So, I find it like a solution for them to figure it out ahead of time. By entering at this hospital.

05:29

Tom: So that's interesting because it seems like you started a bit of a vocational education situation there, helping to connect medical students with apprenticeships. And you're still doing the same thing, but in a whole different business, because you mentioned that there was a moment in your in your education there with your dad where you took over the business and that led you to create the National Flooring Contractors Apprenticeship Program. So, let's talk about that. How did that transition happen?

05:55

Carlos: You know, I had to start. I took over the family business when I was 24. You know, my father became idle. He couldn't work. I was getting my master's degree at the time, and it was my last semester, and for me to become independent overnight was a lot of pressure. I had to drop out of graduate school and focus on the business so we can bring in income to pay the bills and, you know, the food and all that stuff. And that was the beginning of learning how to close deals and market the company something that I never thought of doing. Like the for-profit side to make the story short. Seven years pass by. I'm in San Francisco. You know, the company is flourishing. We're getting all these contracts that have sales right to have crews, and I just wasn't happy, and I was like, you know, I'm not happy with like, this is I feel like I'm not fulfilling any type of purpose here. So, I thought about sharing this opportunity with other young individuals. Same age or younger. I wanted them to start their own company instead of them just becoming like an employee or flooring installer. I wanted to give them a company because I was thinking about, you know, the family, like the future families that they can grow up with in an environment of a very healthy financial company that can take care of them.

07:21

So, I kind of thought about that how I can use this, this business model and teach other people how to do it and they can actually prosper in life. Well, that's cool.

07:32

Tom: So, you know, so here you are. You're rolling along with the business. You pretty much taken over from your dad, you got a new product on the line and then you had a very, it's always interesting how one conversation can change your direction. And you had that conversation with a representative of what was then Lumber Liquidators now called LL Flooring. And that was an epiphany so talk to me about that.

LL Flooring Conversation Leads to Launch of Trade Education Program

07:58

Carlos: Yes. So, I met that national insulation manager of LL Flooring, Al Beswick in San Francisco. I meet him for the first time and he's and then he's asking me questions like, "Hey, how are you going to make sure that you know, you take care of our contracts? Or how do you plan on growing your workforce?" And I saw my idea that, well, my idea is to work with the Job Corps centers nearby. There are kids there who are already in the carpentry program, and they learn a bit of flooring installation. And my thought is that since you guys are going to give me the contract, I don't have to focus on the sales side I can just focus on developing a workforce. And then Allen told me that was a great idea, and he informed me that there was a labor shortage in the flooring industry. And I just said, you know, that's interesting. I had no idea there was a shortage in the flooring industry. I didn't know that. I had no idea.

08:47

Tom: That's a good point because you were focusing on your business then and you know, you didn't have a labor shortage. So, it was not in your wheelhouse. You weren't recognizing what was happening. But across the country, there's labor shortages and in trades all over the industry. The skills gap is really huge right now.

09:04

Carlos: Yeah, I had no idea. Then he told me, there's actually organization. I believe its floor covering leadership council is actually doing a study. That study proves that there's a labor shortage, and to stabilize it, they need 180,000 new installers in an age of 18 to 24 in the next 10 years to stabilize the shortage. And that's a lot. That's a lot of people, if you think about it. Yes.

09:30

Tom: Yes, and so there in you saw the opportunity.

09:32

Carlos: Yeah, I saw the opportunity. I saw the evidence because after he told me that I was okay, I can go to the Department of Labor in DC and talk with them and said, Hey, we need to focus on the flooring industry and find the financing, the budget, the funds to basically train kids, how to do more installation at a professional level, because the study even shows that there's a large number of claims against foreign contractors for poor workmanship. So, I saw two problems there, and the solution was one using all these vocational schools nationwide to implement a flooring covering program. And also, once they get out, they joined the apprenticeship program, get funding for them to get CFI certification, which is certified for installers out of out of Dallas. But that certification you can get in the flooring industry and the government will finance that. And these kids will basically be fully trained with top quality training. And now you have a skilled workforce coming out of vocational schools.

10:41

Tom: So, with that inspiration, you started trying to determine how you could actually start an apprenticeship program and you launched the National Flooring Contractors Apprenticeship Program, which is now still fairly new. It's about what is a little over a year old. So, talk to me about the program and what does that? What does that mean to be an apprentice when students or foreign companies are seeking apprentices in your industry? Can I talk to you about what that means to be an apprentice?

Meeting Millennial Demand for Entrepreneurship

11:09

Carlos: Yes, to be an apprentice it's basically the roadmap to become a professional floor installer in the flooring industry. In this case, we added a little addition to it where when you complete the program, you have the opportunity to even start your own company.

11:29

Tom: So typically, when you when you went to an apprenticeship program, you would go right from an apprenticeship to working for a contractor in the field. It sounds like in your program, there's an option to be an apprentice where you go and work with, say, a larger company to continue, or you could be an entrepreneur and start your own companies. Correct?

11:47

Carlos: That is correct. That is correct, that's the opportunity that we're providing this generation. Is that because of the generation, because this is a generation that just doesn't want to work for anybody?

12:00

Carlos: You know, it's very interesting. For some reason, the millennials have this this mentality of being their own boss. So, when I go out and speak to these students at Job Corps centers or similar vocational schools. And I present them the opportunity that they can join his apprenticeship program. And there's the opportunity where you can start your own business. They get highly excited. And when I saw that reaction from them, I said, we have something here. We found something that they get excited for because, you know, millennials get bored really quick. So, we feel like this model will give them that fire to actually want to accomplish and achieve them. So, yes. All right.

12:42

Tom: So, talk to me about the actual program. How long does it take? What does it involve, the aware of the locations? How does it work?

12:49

Carlos: So, the apprenticeship program, it's a hybrid program, which means there's two ways that an apprentice can complete it. Number one is they can complete four years of being an apprentice or they can. It can be based on competency, how quick they learn the trade, which they can be up to a year and a half. But when they complete the program, they have the opportunity to stay with the current employer or start their own company. And that's up to them.

13:18

Tom: Now how do they pay for the program or is it paid for through federal programs?

13:24

Carlos: Well, in the beginning, there's going to be like an internship opportunity where the vocational student will go and work with the employer to see if they want to be a floor installer. Like that the employer doesn't have to pay for that. So that worker at that current moment, the state will pay that internship for them. So, it's kind of like a work-based learning and they get paid for that. And at the same time, the student is going to say, "Yes, I like this trade" or "No, I don't like this trade", and the employer doesn't waste any money and finds out there's a connection between them and the future apprentice.

14:02

Tom: Well, it seems like there's a lot of benefits to an employer to be able to connect with the source that's going to prepare these employees to be productive for them. You know, it's difficult to be able to recruit from a skilled workforce because, as we said, there's a lot of shortage in that area. But if they can find these young men and women at the right time, they're perfectly trained and ready, willing, and able to jump into it. Haven't picked up any bad habits right out there in the field and are able to dive into the projects that they really like. I like the fact that you've kind of had this sort of get to know you, period, where the Apprentice can really test out that this is something that interested in the employer. Make sure it works out for them, too.

14:42

Carlos: Yes, we're matchmakers now.

14:46

Tom: So, you have this idea to start this program. How do you get it replicated across the country? How do you distribute the program? So that's available to the maximum number of students?

Partnerships Spread Program Availability

14:58

Carlos: Yes. What we did was we partner up with Job Corps, Youth Build, and Big Picture Learning, which are national organizations already with campuses throughout the country. We partnered up with them and we go in there and we talk about our program and the kids were interested. They join our program and have the opportunity to become an apprentice and, in the future, potentially run their own company in a flooring industry.

15:22

Tom: So, you're able to leverage those existing programs to add to tap the work, tap the students that are in them and find of those students, which of course, great candidates who might be interested in this particular trade. Yes, exactly.

15:33

Tom: Alright so the program is well underway now. You've had some students that are that have come through it. Can you tell me about maybe an example of a person or two that that has gone through the process with you and how it's all worked out for them?

15:45

Carlos: Yes, we have a company in San Diego its JW Floor Covering. They get all the contracts for Home Depot, and we connected them to a student from Job Corps in San Diego as well San Diego Job Corps center, actually has a flooring installation program. So, these apprentices already come in with the pre apprenticeship programs in them, which is great. And in addition to that, when they join these companies, the good thing for the employer is that they don't have to train them so much from zero. They already know what they're doing, and it's easier for them to come to the job site, it's easier for the foremen and to manage everything. So that's a great thing. So, we just had someone who started the program, that's when we knew that this thing was going to work. The process was very simple. The connection was very simple, and the pipeline was very simple. The only thing that happened was the pandemic hit, and because of the pandemic, we had to slow everything down. But it gave us time to put a good foundation set in place and see where we needed to tweak some things up, see what connections and who we needed to connect with within the local workforce boards. They're very excited. I wasn't expecting to get so much feedback from the workforce board, like positive feedback, wanting to work with us and wanting these kids to join like an entrepreneurship path after they complete the program. It's just so much resources out there for these future apprentices to become successful, and we're just connecting the dots and assisting them to become successful in life.

17:18

Tom: So, these national programs have the flooring, in some cases, programs in place already, are you supplementing them or are you going to those locations to teach them or the students leaving those locations and going to a centralized place for school? Or are you just providing the education? Now you've got a school out there, you've got a program out there like Job Corps, they're already doing a flooring program. How do you connect the dots and give them the specialized, the specialized training that you've come to develop as part of the National Flooring Contractors Apprenticeship Program?

17:46

Carlos: Good question. So, what we do is this when we identify a city that needs immediate attention, a job of floor installers, for example, LL Flooring will tell us, "Hey, San Francisco or New York City or Chicago or Miami, Florida needs immediate attention of floor installers." What we do is we go talk to the director of the Job Corps, centers or youth build centers or big picture learning centers, and let them know, "Hey, there's an immediate need floor installers in this market." And then we get in contact with those contractors the flooring contractors and we let them know, "Hey, we're going to start working on getting you a workforce." So, we go in there and we talk to the kids, to the apprentices, the free apprentices, and we say, "Hey, this is an opportunity that we have for you is something that you'd be interested in? You can join this program." So, if they're interested, they started doing an internship with the local flooring contractor, and that takes about six weeks to go in there. They like to trade, they'll let us know, and then they join our apprenticeship program. And then they are basically it's job placement. They start working for this employer and then the employer will have to follow the guidelines that we gave them the standard of what they have to teach them in the hours and need to complete.

18:57

I see, the education is happening. It's happening at the employer level, it's on the job training and you guys are guiding them.

19:04

Carlos: That's correct. Yes. Got it. We're guiding them. And then when we have eight kids in a specific city that are ready to be to get their CFI certification, CFI goes to that city, and they do the training. It’s the five-to-six-week training. They learn how to install carpet. They learn how to install hardwood flooring. So, they're hard to install LBT, LBP, all flooring types for which LL provides or any other company, like carpet companies. And they get that certification and that training, that's how it works.

19:39

Tom: All right. Well, Carlos, thank you so much for taking time to speak with us today. I wish you the best of luck with the National Flooring Contractors Apprenticeship Program. Sounds like you've got the foundation in place right now, and there's a lot of opportunity for growth. I know the industry is really going to be appreciative of having a steady stream of skilled workers out there to help fill these fill the skills gap in the business. Thank you so much. Thank you so much. I really appreciate this interview.