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Entrepreneur turns basement waterproofing into multimillion-dollar enterprise

Entreprenuer and Basement Systems CEO Larry Janesky dicusss basement waterproofing with a customer.

How Basement Systems built a network of knowledgeable, dedicated dealers and streamlined its logistics to save time and money.

A single good idea can sometimes build a successful enterprise. That's exactly what Founder and CEO Larry Janesky of Basement Systems, a former home builder frustrated with his trade's technologies and practices, found after he developed a better way to waterproof basements.

"UPS has provided the best service I've ever seen in my entire career. They are completely committed to helping us be more successful." – Christopher Purrone

From that one previously unmet need and his solution, he founded his company, based in Seymour, Conn., 26 years ago. Janesky soon began reaching out to contractors with his ideas and patented products so they could permanently solve these problems for homeowners. Through his enthusiasm and commitment, he has since grown Basement Systems into a company that educates and grows nearly 400 independently owned and operated dealers across the United States and Canada using the company's 30 patented products and techniques.

"We help our dealers succeed by training them all the time," explains Tom Matthews, Basement Systems' national director of marketing. "Our School of Entrepreneurship shows them how to work on their business and not just in their business, so they grow and become leaders."

In addition to basement waterproofing, Basement Systems and its network dealers offer total basement finishing, crawl space encapsulation and foundation repair with propriety products and techniques. It also launched a Dr. Energy Saver division, which helps homeowners identify ways to save energy in the home and be more comfortable.

Basement Systems' Corporate Logistics Director Christopher Purrone has focused on optimizing efficiency on the massive logistics side of the flourishing business, which has been growing by nearly 20 percent or more year-over-year. UPS has been instrumental in helping Basement Systems meet these goals.

Automation saves nearly 17 hours a week

One major source of efficiency was connecting UPS WorldShip® technology with Basement Systems' internal systems via CrossWare software. The platform integrates orders, shipping, notifications and accounting, explains Henry Villegas, Basement Systems' UPS account manager. He worked with LTL representative Anthony Ferretti closely on the project.

Before the integration, staff members had to comb through UPS Freight® reports to apply the correct freight charges to orders.

The system is seamless. Purrone says: "UPS put a lot of programming time into the software integration, and now the minute we put the bill of lading number for the order, it establishes the dollar amount based upon our dealer's contract and shipment weight. Customer service can see that immediately and invoice right then."

In addition to the automation, UPS makes it easy for Basement Systems to schedule and ship up to 340 UPS Freight LTL (less than truckload) and 80 truckloads of supplies to dealers every month. Staff members save time in shipping because they used to go onto each individual LTL carrier's website and manually enter shipping data. Now with the WorldShip system, addresses are automatically transferred into the system and pickups are coordinated through one UPS website. The information transfer saves almost 17 hours per week, for an estimated $30,000 per year in savings in labor cost savings.

Streamlined billing and returns reduce hassles

Basement Systems now processes bills electronically through the UPS Billing Center, saving paper and time once spent reconciling shipping charges. It also means that the company can take care of shipping charges easily by paying online.

Before, staff members had to call the local terminal and manually fill out a bill of lading for each return. Now the company simply e-mails the bill of lading to the local UPS shipping terminal, taking roughly 4 minutes to set up a return instead of 10.

Purrone is pleased and excited with Basement Systems' new logistics efficiencies and knows that UPS will continue to play an integral role in the company's growth. "UPS has provided the best service I've ever seen in my entire 30-year career," he says. "They are completely committed to helping us be more successful."

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