Transforming Utility Operations with Technology and Expertise

THOMAS KLEIN

Chief Operating Officer

Constructive, Inc.

The procurement landscape in the water sector has been dramatically reshaped by a series of challenges in recent years. Global supply chain disruptions, evolving regulatory environments, and the accelerating pace of technological advancements have significantly raised the stakes. Issues like aging infrastructure, climate change, and stringent regulations on contaminants such as PFAS have underscored the critical role of procurement in sustaining competitiveness and driving value. At the forefront of these transformative waves stands Thomas Klein, a dynamic COO and Co-founder of Constructive. From his beginnings as a high school vocational student to ascending the ranks to become a celebrated executive, his journey is a perfect example of blending technical acumen and visionary leadership. Klein’s expertise is particularly relevant as the water sector increasingly adopts digital innovations and advanced technologies to address challenges in water quality, supply chain management, and regulatory compliance. His leadership in fostering innovative solutions and strategic initiatives makes him a pivotal figure in navigating the complex and evolving procurement landscape of the water industry In an exclusive interview with TradeFlock, Klein reveals the innovative strategies and pioneering approaches that have distinguished him as one of the USA’s Most Influential COOs of 2024. Dive into our discussion as we trace Klein’s leadership arc, delve into the secrets of his success, and discover how his groundbreaking initiatives are propelling the industry to unprecedented heights

Klein’s leadership is about breaking through the ordinary, setting new standards, and inspiring others to push the industry forward through every challenge

Starting as an engineering intern to COO today, how has your journey been so far?

My professional journey began with a deep-seated passion for engineering that took root even before my internships. In high school, I immersed myself in drafting and design classes for three years, which paved the way for my first internship with a local pump manufacturer. This early exposure provided invaluable experience and set the stage for my career. Throughout college, I continued to intern, accumulating substantial hands-on experience.After graduation, I began my career as a product engineer with a valve company. My expertise in pump and valve manufacturing soon led to a project manager role at a major water/wastewater utility. In this position, I not only managed capital projects but also delved into customer experience, data analytics, mergers and acquisitions, and program management. During this period, I pursued a master’s in business management, which expanded my understanding of utility operations and enhanced my strategic acumen. This diverse professional background opened doors to a role at a software company specializing in the water/wastewater sector. There, I played a crucial role in expanding design software into the drinking water arena, merging product development with commercial strategy. Today, as COO at Constructive, I draw upon my entire career journey. Our innovative software modernizes procurement in the water/wastewater industry, creating a dynamic marketplace for utilities to discover and acquire cutting-edge services and technologies. It’s incredibly fulfilling to see my varied experiences come together to drive meaningful advancements in this vital sector.

What industry trends do you foresee having the most impact on the utility procurement sector in the next five years?

Water and wastewater utilities have typically lagged in technology adoption. However, there’s a shift now with increasing demand for technologies that enhance operations and turnkey services. In the US, both technology and turnkey offerings have historically been difficult to procure due to competitive bid requirements. Our platform addresses these challenges by simplifying the identification, evaluation, and procurement of trusted technologies and turnkey services.

In today's digital era, the ability to leverage AI in daily tasks has become as essential as spreadsheet skills were fifteen years ago. Mastering AI is now a fundamental skill that drives efficiency and innovation across all levels of an organization

Who has been the most influential person in your professional journey, and why?

Behind every successful leader is a story of guidance, mentorship, and inspiration. In my life, two individuals stand out as pivotal influences in his remarkable career. Firstly, my father, Ed Klein, the CFO of a water & wastewater utility, taught me the intricacies of utility financing, including balancing rates and capital improvements. His insights into the most valuable ways vendors can serve utilities have been invaluable, even in my current role. Secondly, Ari Raivetz, the CEO of Transcend, has greatly influenced me. At Transcend, a software company for utilities, vendors, and engineering consultants, I gained experience working with diverse water/wastewater companies. Ari coached me on everything from customer collaboration to team motivation, which has proven critical in my success at Constructive.

Can you elaborate on how you develop and execute strategic goto-market plans to build strong relationships with key industry players?

Building an online marketplace for utilities and their vendors requires a deep understanding of both sides’ needs. Often, I serve in a consultative role, helping vendors revise or create go-to-market strategies tailored to utilities’ needs. A recent example of this strategic work is the creation of a joint venture for a new company. This venture introduced several patent-pending PFAS treatment systems with a unique business model. This approach not only enhances our platform but also fosters strong relationships with key industry players.

How do you plan for organizational growth to ensure Posterity Health is future-ready?

Planning for growth at Posterity Health involves a strategic balance of foresight and operational flexibility. We focus on scaling our services while maintaining the quality of care by investing in technology, building strong partnerships, and ensuring our team is equipped with the necessary skills and resources. By closely monitoring industry trends and patient needs, we adapt our strategy to remain at the forefront of reproductive healthcare.

What industry trends do you foresee having the most impact on the utility procurement sector in the next five years?

Water and wastewater utilities have typically lagged in technology adoption. However, there’s a shift now with increasing demand for technologies that enhance operations and turnkey services. In the US, both technology and turnkey offerings have historically been difficult to procure due to competitive bid requirements. Our platform addresses these challenges by simplifying the identification, evaluation, and procurement of trusted technologies and turnkey services.

How do you leverage technology to enhance operational efficiency and drive innovation? Can you share a few examples of them?

At Constructive, I believe AI usage is a mandatory digital skill for all team members thus we use large language models (LLMs) for various tasks, including product roadmap strategy. By combining feedback from in-person product interviews with simulated feedback from AI tools like ChatGPT and Gemini, we enhance our product team’s effectiveness and decision-making. LLMs also aid in researching service lines, technologies, vendors, and informational content for our platform. Building a marketplace for industrial-grade technologies and services requires a deep understanding of both market sides. LLMs speed up our research efforts, leading to faster operational speeds and better service for our customers.

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