We have seen an increase in the number of construction disputes in the last three to four months. Not only is the number noteworthy – more than we saw in the previous two years – there are other areas that are interesting. One of the first that comes to mind is the amounts that are [...]
Successful projects rely upon getting the costs right. Whether an owner, designer, construction manager, or contractor, if the costs are not right, the project will suffer. To get the costs right, you have to have the right personnel involved on the project from the beginning. Reliable budgets need to be developed from the very beginning. [...]
Getting the right budget on a project is not a difficult process. In fact, it can take some serious effort to get it prepared incorrectly. It doesn’t matter what size the project may be. On a recent assignment we were assisting the owner/developer to prepare the project budget. Our role was the oversight, gathering and [...]
Communications on a construction project are crucial in the success of a project. Just like good fences make good neighbors, good communications yields good results. Too many projects start with poor communications at the onset of the project. This is when the plans and specifications do not reliably represent the work to be performed. If [...]
Let’s say you were lucky enough to be low bidder and get a job with some profit in it. Okay, pretend this is not a fairy tale. Where does all the profit go when you’re done? You may have started out with 5% profit but you only end up with 1% in the end. It [...]
Construction firms are the most optimistic companies in the world. They bid on projects and enter into construction contracts where conflict is inherent and the terms are loaded against them. The commercial terms of the contract can consume page after page of small print. These pages should be reviewed carefully prior to submitting the bid [...]
Let’s get things in perspective. No dispute is going to get resolved amicably. The lawyers, judges and arbitrators may know of and respect one another; however the parties in dispute are usually at each other’s throats. Then there are the experts for each side. They are fair game for the other side. By this I [...]
Perhaps the title on this one should be the Competitive Advantage Everyone Needs. In the previous blogs on this subject the responders mentioned innovation and better ideas by the contractors. If they have one, keeping it secret was one option. The thing is, cheating on the specified materials and workmanship is not a competitive advantage. [...]
My recent blog on The Competitive Advantage Nobody Needs generated some interesting responses on ENR.com. There were some very insightful comments, even from the one responder that thinks everybody is a crook in the construction industry. Bidders that short circuit the specifications are taking something of value from the owner of the project. In the [...]
I just had it reinforced that technology solutions are still dependent upon the nut behind the wheel (user). I recently moved up from a 10 year old vehicle to a new one with interactive computer controls for almost everything imaginable. The same applies to technology solutions in construction – be it in the field or [...]
