For some reason, some managers believe that always telling the craft labor the project is losing money is a good way to increase the productivity but I don’t see the logic behind this strategy. I believe being honest to the workers in the field is the one and only way to go. Lying does nothing [...]
It’s amazing how a small gesture to an employee can actually increase the productivity. Just recently an employee jokingly made the comment that it would be a good donut day today. Well that turned into the President of Tempest Company stopping at a bakery and picking some up for the office which was a nice [...]
Just a few years ago, I would be willing to bet if an employer offered an employee the deal of a 40 hour paycheck in return for 47 hours of work, the employee would simply laugh and walk away. The situation above is having a much different outcome today. Not only are construction workers accepting [...]
A few of our contractor clients have seen an upswing in their markets. Yes, they are in specialty areas. However even specialty areas were, or are, depressed as much as the overall construction market. This upswing is both good and bad news for them. While it is good news for my firm, it is a [...]
When bidding on a project the estimator has to keep in mind how the project will be constructed. It ranges from the staff qualifications to the selection of equipment on the project. It involves determining the methods to be used and the capabilities of the labor force. It is good to keep in mind who [...]
To refine the estimating process and submit a more confident bid number you really need to have the production rates for your craft labor. If the company that you work for does not have this information you will need to find a way to get it. A common way to track productivity is to have [...]
Small Tools and Consumables The small tools and consumables on a project are related to the craft labor and the type of work for the project. In some areas of the country, for select craft, they may also be influenced by union agreements. The standard definition of small tools will vary. Some put it at [...]
Contractors, both primes and subcontractors, are slashing prices in a desperate attempt at staying in business. They will take work at practically any price to get just another dollar of revenue. Never mind that this attitude is hastening them into oblivion. The market today is rife with contractors taking work at pricing that is too [...]
I continue this blog series to break a decades-long silence in the construction industry -the nine true secrets of successful estimates. THIRD SECRET The third secret to be revealed is the hourly rate for craft labor. A sub-secret to this is the hourly rate for staff labor and it has similar principals. The labor rate [...]
Society is killing the construction industry. There is so much emphasis and pressure placed on kids these days that in order to be successful, you need to go to college and “get that piece of paper”! Over the years society has painted a negative view of obtaining a skill in a trade. When I first [...]
