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Do You Want to Do a Good Construction Proposal?

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It Starts by Asking the Right Questions

Another week has gone by and Gene’s looking forward to today’s meeting. As they wrapped up last week’s meeting, John indicated that they would “actually” learn the first step in the proposal system today.

As Gene enters SMR Construction Company’s conference room, John is sitting at his computer with a Power Point on the big TV ready to go. “Good afternoon, Gene. Are you ready to get started learning the first step for doing better proposals?”

“I’ve been looking forward to it all week long.” says Gene.

“Okay. There’s oriental takeout there on the counter. Fill a plate and let’s get started.”

As they fill their plates, John asks Gene,

“When you begin talking with a new customer, what’s the first thing you ask?”

Gene ponders the question as he sets down. “I ask them about their construction project. What is the work they want done? For example, are they wanting to add on a room addition or remodel the kitchen or do they want to replace the windows?” Then Gene continues “You know…

WHAT is it they want done?”

John responds, “This is the typical question asked by most contractors. Without a doubt, it’s a question that needs to be asked. But there’s another question that will help you serve your customers better in achieving their construction dream.

The most important question is WHY.

Why does the customer want to do this project? Do they need more space, does something need repaired or replaced, are they looking to make an area more usable, or is it just because they want to? Learning their “why” early helps clarify their “what”.

As the construction professional, it’s your job to guide the customer through this process. Most customers have very little if any experience doing construction projects. Often, they get ideas from DIY programs on TV or the internet, other people’s projects, etc. and they just want one of “those”, whatever that is.

Every project is as different as the customer. Without blueprints, specs or seeing the existing location, the chances of giving the customer the project they want is almost impossible. Unless they have a full set of blueprints and specifications to bid from, you need to gather the information for each specific project.

The customer will have a vague image in their mind of what they want. It’s the contractor’s responsibility to guide them to the realization of that dream.

Last week we talked about the documents and definitions that make up the proposal process. Here are the steps to preparing a proposal:

  • Gathering information
  • Preparing the Scope of Work
  • Pricing the Project
  • Quantities
  • Preparing the Proposal

The important thing when gathering information is to not overlook something. This is what makes the Bid Sheet so important. It includes a list of most of the different construction tasks that might be needed and provides space under each task for a brief description, dimensions, specific notes, drawings, etc.

A pre-determined list minimizes the possibility of forgetting something.

The information gathered can be recorded in whatever way works best for you. It can be handwritten on a printed out Bid Sheet template, or it can be entered directly to a Bid Sheet on a tablet, smart phone, or laptop.

Using the Bid Sheet minimizes overlooking things because the different areas of a construction project are already listed.

If you use an electronic device (tablet, smart phone, or laptop) to gather the information, you can enter it in the appropriate space on the Bid Sheet template. With most electronic devices now, you can either type, write, or draw right on the device.

Using an electronic device streamlines the process and reduces the chance of something getting overlooked. Be sure to keep a copy of the template for the project you are working on; this will leave a blank template for the next time.

Forgetting to include something in the proposal is a sure way to lose money.

There are over one hundred items listed on the Bid Sheet and it still doesn’t cover every possibility. Construction projects vary a lot. Even small projects can include a lot of different pieces. If you leave one of the pieces out, someone’s going to be disappointed.

Here’s an example of finding out the WHY:

When meeting with customer, Jane Smith, she explained that she wanted to add a laundry/sewing room to her house but didn’t know where to start or what it should include.

We asked her WHY.

We found that she loved to sew and did a lot of it. Currently she used the table in the main floor dining room for measuring and cutting and did the sewing on a machine in the basement. In addition, her washer and dryer were in two separate closets in the master bathroom. Both situations were inconvenient.

Finding out “her why” helped us to find solutions for building her dream.

Here’s an example of the information gathered on the Bid Sheet:”

As they were finishing up John said, “If you’re serious about doing better proposals and haven’t got your Building a Better Proposal Stystem yet, I would suggest that is the first thing you do.

I would recommend you use the Bid Sheet this week when you meet with a customer wanting a proposal. Bring it with you next week so we can use the information from the Bid Sheet to prepare a Scope of Work.”

If you’d like more information about the proposal system referred to in this blog post, you can check it out here or join us at the free Building a Better Proposal Workshop at 10:30 CST on Saturday, February 10th. Attendees will be able to get the proposal system at half price plus a 90-minute, one-on-one training on how to use it for free.

You can learn more about some of the other tools and training for building a successful construction business here. If you have any questions, schedule a free 30-minute construction company consultation.

Previous posts in this series:

What is “business clarity” and how do you find it?

What‘s it Take to Build a Successful Construction Company

It’s Time for the First Meeting

Being Aware of Bid Mistakes is the Best Way to Avoid Them

Building Anything is Better When You Start with a Plan

Building Anything is Better When You Start with a Plan

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So Wouldn’t You Like a Plan for Doing Construction Proposals

It’s Saturday, and today will be Gene’s third meeting with John. Even though there’s been no change in Gene’s overwhelming workload, today is the first time he’s not considered canceling. He knows the value of this information and is looking forward to the opportunity to learn more from his mentor.

It’s Gene’s turn to provide lunch and John’s in for a treat…Gene’s bringing chili-cheeseburgers and fries from the Burger Station. Driving to John’s office, the smell of those burgers is more than Gene can bear, so he samples a few fries on the way, just to be sure they’re okay.

Gene had barely gotten in the office door before John yelled out from the conference room, “You brought Burger Station!”. Over the years when Gene was working for John, the two of them frequented this fine establishment often.

As Gene gets lunch out, John says, “We have a lot to cover today, so we better get started. As we go through this today, think about building a proposal as compared to building a construction project. Now let’s review…

First, we started with WHY…

Why do you do what you do? Why should you do proposals? Both these questions are similar to the question we should ask customers when they’re considering a construction project. Why do you want to do this project?

Second, we discussed that communication is the contractor’s responsibility.

We are the professionals in this arrangement. We shouldn’t expect the customer to know everything about construction. This is why they are looking to hire someone to do their project. It’s up to us as contractors to communicate clearly.

Third, we discussed bid mistakes. 

These mistakes are commonly made and are costly. Being aware of them ahead of time helps you know what to avoid and increases the opportunity for happy customers. Not to mention it gives you a big advantage over your competition.  

In our meeting two weeks ago I gave you the proposal overview to take and review. Today we’ll go through it and break it down. I know it seems like we’ll never get to actually doing a proposal, but think about it like a construction project…

The designing and planning take as long as the construction.

Let’s start by looking at the documents included in the system and a brief description of each.”

Bid sheet – A Word document with the various construction categories and individual tasks listed with space for filling in the scope of the work to be done, dimensions, materials, locations, etc., for each category as needed for clear communication.

Worksheet – An Excel spreadsheet with all the construction categories and individual tasks listed with overhead and profit markup formulas.

Proposal – A Word document with space to fill in pertinent information, i.e. customer’s information, what will or will not be supplied by the contractor, the scope of work, the proposed price for each specific element, a total project price, payment arrangements, and project duration.

Data Base – An Excel spreadsheet with prices for material and labor for a wide variety of specific construction tasks. This information will be used in the worksheet template.

After reviewing and discussing these documents and definitions, they looked at the process of doing a proposal.

STEP 1 – Gathering Information

Gathering the right information correctly and effectively is critical to preparing an accurate and thorough proposal. Once you’ve been contacted by a potential customer, start by scheduling a meeting to discuss their project and find out what they hope to accomplish. At this initial meeting gather –

            Measurements and dimensions, existing and new

            Building materials, existing and new

            Pictures of pertinent areas and existing construction

            Customer’s design ideas and finishes

The information gathered at this meeting can be recorded in whatever way works best for you. The important thing in this step is to gather any and all information needed to prepare an accurate proposal. It can be handwritten on a printed out Bid Sheet template, or it can be entered directly to a Bid Sheet on a tablet, smart phone, or laptop. Using the Bid Sheet minimizes overlooking things because the different areas of a construction project are already listed.

STEP 2 – Preparing the Scope of Work

After the preliminary information has been gathered it’s time to clarify the scope of the project by writing out the description of each specific task in terminology that both the customer and the contractor understand. It needs to include enough specifics to be thorough without being too technical. It doesn’t help communication if the terminology is confusing to the customer. This written description on the Bid Sheet will be transferred to the Proposal and serve as a written scope of work to be performed and materials to be provided.

STEP 3 – Pricing the Project

Next is putting prices to the project. This process involves two different Excel spreadsheets, the Worksheet and Data Base. Based on the descriptions written on the Bid Sheet, content from the Data Base will be copied and pasted into the correlating cells on the Worksheet. After the pertinent information from the Data Base has been placed on the Worksheet, it’s time to fill in the quantities.

STEP 4 – Quantities

On the Worksheet you will fill in the quantity needed to do the work on that line item. This may be lineal feet, square feet, square yards, cubic feet, cubic yards, numbers of pieces, etc. Once this is completed you will now have prices for each of the different tasks listed on the Proposal.

STEP 5 – Preparing the Proposal

Now you have everything you need to complete the Proposal. You will take the descriptions from the Bid Sheet and the prices from the Worksheet and put them both on the Proposal. After filling out the customer’s information at the top of the page, the scope of work, the price for each task, the total project price, how payments are to be made, and the duration of time to do the project, the Proposal is ready to be presented to the customer.

As they wrapped up the meeting, John looked at Gene and asked him what he thought so far. Gene said, “I had no idea there was this much to doing proposals.”

John said, “I know. That’s why most contractors either guess at their bids or just give estimates…and we’ve all seen how that well that works out.

Next week we’ll dig deeper into GATHERING INFORMATION.

If you’d like more information about the proposal system referred to in this blog post, you can check it out here. You can learn more about some of the other tools for building a successful construction business here. If you have any questions, schedule a free 30-minute construction company consultation.

Previous posts in this series:

What is “business clarity” and how do you find it? (12/24/23)

What Does it Take to Build a Successful Construction Company (12/31/23)

It’s Time for the First Meeting (1/14/24)

Being Aware of Bid Mistakes is the Best Way to Avoid Them (1/21/24)

 

How Do You Choose the Right Construction Contractor?

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It’s Like Shopping for the Perfect Christmas Gift

Last week we talked about how a construction project should have the same sense of excitement as opening the perfect gift on Christmas morning. The problem is, more often than not, it’s like getting a stocking full of coal.

A construction project should be a good experience…not a bad one.

We talked about the six things to consider when looking for the builder that’s the right fit for you. There are some other things to consider as well. These things are about what you want.

  • What is the problem(s) or issue(s) that need addressed?
  • Do we need more space for our growing family?
  • What is our budget?

Maybe this construction project is building your dream home.

Determining the reason(s) behind your construction project can help when choosing your construction contractor.

An example of the need for the right professional help is a window project that I was asked about a few years ago.

The customer had a window that was put in in the early ‘90s and the bottom frame of the wood sash was rotting. They contacted the manufacturer’s retail store and met with a sales representative. The rep. told the customer that the problem was hail damage and all the windows needed to be replaced.

The customer received a quote for over $36,000 to replace thirteen windows.

Having done other work for this customer before, they asked my opinion.

I agreed to give the customer a proposal for replacing the windows using the same windows previously quoted. My price was almost $10,000 less for the same work with the same windows.

This was before I even went to look at the project.

Having installed a lot of these windows over my career, I found it hard to believe that all of them needed to be replaced. So, I scheduled a meeting to look at the project.

After looking at it, I determined that of the thirteen windows originally quoted by the manufacturer…only one needed replaced. All the others needed was some interior wood refinishing.

When it was all said and done the customer opted to replace all thirteen windows, and even with some additional staining and painting, the project was just a little over $26,000.

The manufacturer’s quote was a simple one-size-fits-all solution that did not have the customer’s best interest at heart.

It takes experience, knowledge, and a desire to help the customer find the best solution to go beyond one size fits all.

Construction projects can be overwhelming and daunting for customers. The fear of mistakes and making the wrong decisions keeps people from moving forward. Hesitance is a stumbling block that prevents people from enjoying their dream project.

When faced with the opportunity to make a decision, make one. “I understand that God did not put in me the ability to always make right decisions. He did, however, put in me the ability to make a decision and then make it right.” (Andy Andrews, The Traveler’s Gift)

We all have areas in our lives in which we are more skilled or knowledgeable. This is why it’s important to find qualified professionals to guide you through areas where you are less qualified.

One of the biggest challenges with building a dream is getting all parties involved moving the same direction. Too many times these parties are pulling in different directions. Like two horses pulling together as a team can accomplish more, we can do the same. That team of horses need someone to take control of the reigns and give direction.

Guidance is one of the most important things needed to build your dream.

Finding the right builder is like doing a construction project, in that it’s not as scary as it seems if you know what questions to ask and have someone you trust guiding you.

Make your construction project like opening that gift on Christmas morning that you’ve always wanted. It doesn’t have to be a stocking full of coal.

If you’d like to learn more about how to build your dream construction project, check out some of the Building a Dream Project blog posts at Solution Building.

How Your Home Building Experience Can Feel Like the Holidays

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And I Don’t Mean Getting a Stocking Full of Coal

The weather is getting cooler, and Halloween has come and gone. This means the holiday season is upon us. Some people like this time of the year more than others, and I get that.

It’s a little like a home construction project. Different people have had different construction experiences…some good and some not so much. The problem with construction is that there are more bad experiences than good, and it shouldn’t be this way.

A home construction project should be like Christmas.

Each day building up excitement of opening a present on Christmas morning as the project progresses. Or the warm, comfortable feeling of sitting in front of a fire with a blanket, hot chocolate, family and friends after the project is finished.

We know what to expect when getting gifts from friends and family. You should have the same sense of trust and comfort when working with a construction company.

I remember one time when I called a customer to give them the production schedule for their construction project, they were relieved to hear from us. They hadn’t heard from us since we met to sign paperwork and get their first payment a few days earlier.

They were concerned that we had taken their money and weren’t coming back.

We’ve all heard the stories of the “storm chasers” that came through town after a storm. They get money for material and then never come back to do the work.

Or what about the guy that was laid off from ‘his job’? He has a pickup, a hammer, and a skill saw. Heck, he built a deck for his buddies’ cousin.

Oh, and don’t forget the kid that worked for a contractor for a couple of months and got fired because he wouldn’t show up to work. He’s now an ‘experienced contractor’.

I read a study years ago that ranked building contractors below used car salesmen. This is not to say that all used car salesmen are bad, but they have, over the years had a stigma of…shall we say…not being the most honest and trustworthy.

For builders to have been ranked below them was very confusing and a little disturbing. I then realized that I viewed my customers differently than most builders.

For me, my customers aren’t just customers, a project, or a way to earn money. They’re friends. When considering what it costs to have a construction project done…

Having a contractor who’s looking out for your needs and has your back is better than hiring someone who just sees you as a paycheck.

As a customer, it’s important to find a builder that will help you make your construction dreams a reality and has your best interests at heart.

To do this you need to know what to look for, so you can find the right builder for you. Here are six things I would recommend when considering which builder, you should hire. –

  1. Word of mouth – This is the best form of advertising. Find someone that you know and trust that has had a building project done. Ask them who they used and what their experience was like. This will give you a view from someone who is independent of the industry with nothing to gain.
  • References – Don’t be afraid to ask builders for references. This is a variation of ‘word of mouth’ to find references in addition to people that you know. A builder should be able to supply you with 3-5 names of past customers that you can follow up with. If not, you should proceed with extreme caution.
  • Professionalism – The level of professionalism will vary between contractors. There is not one specific style or level of professionalism that should be used in every instance. What you want is to know that this builder takes what they are doing seriously. You should be concerned if you get a hand-written estimate on a napkin.
  • Experience – This comes with time. Not every qualified builder has years and years of experience, but the more years, the more experience. You don’t want to hire that ‘experienced contractor’ I referred to earlier that was fired for not showing up to work.
  • Communication – Even small and simple projects require communication. Of course, the bigger and more complex the project the more important it is to communicate. In today’s world there are all sorts of ways to do this. The specifics of how aren’t as important as the doing it is.
  • Compatibility – This is the bottom line when it comes to determining who to use. Depending on what is important to you, what your focus is for your project. Find a builder that shares those core values. Each one of us is different. Take the time to get informed and find the best fit for you.

Too many times I’ve become aware of construction projects going badly, leaving customers feeling abused and abandoned. I have heard too many people say the worst experience of their life was a construction project.

A construction project should be one of the best experiences of life, not one of the worst.

Walking onto your finished construction project should feel warm and cozy…like coming home for the holidays.

Poor Communication is the Number One Reason for Disagreements, Part 2

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Written Communication is Really the Only Way to Avoid This Problem

I have written multiple times about communication and the problems that come from the lack of communication. Most of the time this has been focused on communication between construction contractors and customers. This is certainly a problem, but can also be a problem between general contractors and subs.

Whether it’s subcontractors or customers, the communication responsibility lies with the general contractor.

Verbal communication leaves too many things open to interpretation.

Several years ago, a partner and I were meeting with a customer early in the process of building a new home. The customer pointed out that the distance from the electric meter to the house was more than the 50’ allowance, as per the written proposal.

He asked if this was a problem. My partner told him that it wasn’t a problem. Guess what…

It was a problem.

The problem didn’t surface until later when the customer was billed for the additional 100’. After some “digging”, the communication breakdown was uncovered.

The customer asked, “if it was a problem”. What he really was asking was…”is it going to cost more?”. 

My partner’s response in reality was, “we can dig the additional 100’, but it will cost you three times as much as the 50’ allowance in the proposal”. But this isn’t what was said.

Neither of them intended nor expected this to be a problem. It was a simple matter of misunderstanding…a lack of communication.

Communication is, …the exchange of information and the expression of feelings that result in understanding.

Understanding is the tricky part.

Over the past few weeks, I’ve been reminded of the importance of communication with subcontractors as well as customers. When I had a situation where I hired a sub to do a bathroom remodel that I had never used.

He came with a couple of positive recommendations.

After talking with him on the phone, I sent him a scope of work and before and after drawings. He gave me a verbal price range over the phone. The high end of his price was in line with my budget.

I asked him if he would get me something in writing.

We met at the job site later that week on Friday and physically looked at the project. It so happened that he had a crew that could start the following Monday and have the job done ahead of schedule. This was important because the bathroom that was getting remodeled was the only one they had. Again, I asked for something in writing. Again, he assured me that his price was still good.

He showed up on time and things progressed on schedule. They got the demo done quickly and got the customer a shower back within a few days. Things were going well.

There also was some moisture damage that was unknown when we started. This meant I needed to give the customer a change order for this additional work. I called the sub to get a price. He said the way things were going, it should still be close to the high-end price he had given me previously.

I prepared a change order for the customer based on the extra work and felt that should be sufficient to cover the subcontractor.

When it was all said and done the subcontractor’s bill was almost $4,000 more than he told me or what I had budgeted. On top of that he was unwilling to negotiate a settlement somewhere in the middle.

Surprise! I should have gotten something in writing.

Looking back, I should have pushed back more and gotten something in writing. But I was looking out for the customers and the subs availability. The speed with which they said they could do the work swayed me to move forward without anything written down.

I know that small and midsized contractors don’t like to spend the time and effort to do paperwork.

I understand, it takes time. The question we should ask is this…

Is it better to spend the time communicating before the project starts or wait until there’s a problem and everybody’s upset?

I understand that details and information take time, but I think it’s essential to good communication.

I knew better and can’t blame anyone but myself for being in this situation.

Even though I had the tools I needed to avoid this situation I didn’t use them. If you don’t open the toolbox and get the tools out, they can’t help you build your company.

Most construction contractors don’t have the tools they need for building a better business. That’s why we’re in the process of filling up a toolbox with tools to help you build the construction company of your dreams.

Whether it’s proposals, contracts, change orders, progress payments, or having money to pay your taxes, there’s a tool for it. We also plan to offer instructions, coaching, and consulting to help you learn to use these tools.

If you have questions and would like to find out if these tools would be a good fit for you, you can schedule a free consultation here.

Poor communication is the number one reason for disagreements. Avoid disagreements by taking the time to get the tools needed to avoid costly miscommunication.

The Final Step in Raising the Construction Contractor Accountability Bar

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This is How the Construction Contractor Evaluation Works in the Real World

It’s time to bring this process of evaluating construction contractors to a conclusion. Like most things needed to run a successful business, this process of evaluating and holding the construction industry to a level of excellence isn’t as simple as we’d like it to be.

This doesn’t mean it’s not worth the effort.

We started this series by pointing out the fact that there is a problem and that construction contractors have a worse reputation than used car salesmen. Second, we discussed why a system for rating company’s and individual’s performance would allow us to move average toward excellent. Next, we looked at what the process would include and what would be rated. Last week, we concluded with how a numerical rating would allow for accurately scoring the performance of those being evaluated.

This evaluation system will give us some clear and concrete information to help us make better decisions regarding construction projects.

  • The first thing it will do is give our production team a clear understanding of what is expected of them.
  • Second it will give each company and/or individual a report for each individual project.
  • Third it will give production teams a rating to see how they compare to the standard of excellence.
  • Fourth it will let us as the general contractor see how we rate in comparison to our standard of excellence.
  • Finally, it will give us a process for comparing companies and individuals when we are going through the process of determining who will be doing specific construction projects.

Here are some examples of the evaluation process in action.

This process will start by providing companies and individuals with the evaluation process so they will know what’s expected of them. It’s unfair to have something expected without knowing what those expectations are. The contents of what is included in these expectations can be found in Part 3 and Part 4 of posts.

Let’s start by rating Painting Company A on the project that they just finished.

These are the areas to be scored, with each specific sub-section scored independently and averaged will give the score for each area.

_____ Time management – 54

_____ Attention to detail – 67

_____ Communication – 51

_____ Quality of work – 75

_____ Respect for the budget – 76

Overall project average – 65 meets standards

You can see that this company scored lower in a couple of areas and higher in others, ultimately scoring in the mid-range of meeting standards. When this company receives this report…there needs to be some attention given to the areas with the low scores.

The next thing we’ll look at is how the accumulation of scores given to subcontractors can give us, as the general contractor, a way to see how we rate in comparison to our standard of excellence.

Let’s say we’ve done a small bathroom upgrade that included a plumber, an electrician, a painter, and a carpenter. Here is each subcontractor’s overall project average score.

Plumber’s project average – 77

Electrician’s project average – 71

Painter’s project average – 65

Carpenter’s project average – 76

General Contractor’s project average – 72

This score of 72, while it falls within the area of “meets standards”, it’s below where I expect us to be. If we’re doing our job right and meeting our expectations…we should be scoring closer to 85

It looks like we have some work to do.

Finally, this system will provide us with a way to make the best choice when deciding between multiple subcontractors. For example, if we are looking for a painter to do a job, we can compare scores from previous projects or overall averages.

Painting Company A’s project average – 65

Painting Company B’s project average – 69

Painting Company C’s project average – 76

As you can see looking at these averages, there is a clear front runner. What you can’t see is what specific section scores make up these averages. For example –

Company B scored high in the areas of Attention to detail and Quality of work but scored low in Time management and Communication. While Company C scored a constant average in all areas. With this information, we, as the general contractor, can determine which painting company would be the best fit for the upcoming project.

There is no question that the construction industry has our work cut out for us to get the bar raised to excellence. Rome wasn’t built in a day and getting the bar raised that high won’t be either.

Remember, Rome was built by laying one brick at a time.

I hope this series of posts about the construction contractor evaluation has been enlightening and helpful.

We hope to have the finishing touches on this Construction Contractor Evaluation system done before much longer. When it’s ready we plan to make it available at Solution Building. Once it’s ready, get your copy and…

Join me in raising the construction industry bar.

The Next Step in Raising the Bar of Construction Contractor Accountability, Part 3

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How Do We Get the Bar Raised to the Level of Excellence?

Over the past couple of weeks, I’ve talked about the need to raise the bar of what is expected of construction contractors and how at Timber Creek Construction we’re working on a process to accomplish that.

I used to believe the ultimate goal was achieving perfection. Then I was informed by my wife that striving for perfection was a bad thing because perfection is impossible. The fact that perfection is unattainable leads to disappointment. I struggled with this for a while before determining that…

EXCELLENCE is the goal, not perfection.

Growing up I was taught that there is a level of excellence to be achieved in everything we do. There was no need for a “system”, excellence was just the standard…not so much anymore.

As a general contractor it is my responsibility to provide customers with excellence.

In order to raise the industry standard of excellence, there needs to be an effective way to communicate these expectations with customers, sub-contractors, and individuals working on construction projects. There needs to be a system to evaluate how well these expectations are being met.

Last week I ended the discussion stating the need to rate each construction company and/or individual doing construction, based on their performance and actions for each project.

Here is what we will be included in the process. This is what will be expected from us and our production team in an effort to achieve excellence.

  • The purpose of this evaluation system is to share what the standards are for our construction company and what is expected of contractors and individuals. This evaluation system is designed to hold ourselves and others accountable for our decisions and actions as they relate to construction projects and the industry as a whole.
  • The use of an evaluation system is sometimes misunderstood by the person or company being evaluated. This procedure is designed to assist you and/or your company in making the best possible choices and decisions regarding construction projects.
  • This system is intended to be positive and constructive for each contractor, individual and company. Sometimes evaluations are perceived as negative; however, the intent is not to find fault, but rather to develop better contractors, individuals and companies.
  • Most contractors and individuals want to do good work, which is what our company and customers want. This does not mean only working harder, but also working smarter. The objective of this evaluation is to reinforce the appreciation of performing above and beyond industry standards. It is to assist in improving performance and quality.

Here are the areas of accountability that will be evaluated and what will be included in each area.

Time management – spend time wisely

  • Show up and start projects on or before the time and/or date determined and scheduled.
  • Be productive with the use of time while at the job site and/or working on the project. Make the amount of time spent working worth the travel time. Don’t spend more time traveling than working.
  • Work consistently on the project once it is started, unless there are extenuating circumstances such as waiting on materials, other contractors or weather.
  • Have the project completed on or before the deadline for completion.

Attention to detail –

  • Do the work as described and explained in the Scope of Work.
  • Keep the job site organized and clean throughout the duration of the project
  • Follow the “Construction Contractor’s Golden Rules”
  • If you open it, close it.
  • If you turn it on, turn it off.
  • If you unlock it, lock it up.
  • If you break it, admit it.
  • If you can’t fix it, call in someone who can.
  • If you borrow it, return it.
  • If you value it, take care of it.
  • If you make a mess clean it up.
  • If you move it, put it back.
  • If it belongs to someone else and you want to use it, get permission.
  • If you don’t know how to operate it, leave it alone.
  • If it’s none of your business, stay out of it.
  • If it will brighten someone’s day, do it.
  • If it will tarnish someone’s reputation, DON’T do it.

Communication –

  • Let everyone you are directly involved with or is connected to your portion of the project know what to expect.
  • Make or return calls in a timely manner.
  • Send and sign proposals, contracts, change orders, scopes of work, budgets, etc. in a timely manner.

Quality of work –

  • All work is expected to be done above current industry standards, striving for a level of excellence.
  • If work is unacceptable and needs to be redone, make this a priority as needed to help keep the project on schedule.

Respect for the budget –

  • Be aware of and stay within the budget, both labor and material. If situations arise where changes need to be made that are going to deviate from the budget, let all affected parties know before proceeding.
  • Manage materials to minimize waste. Return unused materials to supplier or general contractor to be used on future projects.
  • Honor payment agreements and don’t ask for draws ahead of schedule.

I know this seems like a lot of information to digest, but it’s really pretty simple. And although it’s basic, it might not be easy. Because if it was easy…everybody would already be doing it.

This is what it’s going to take to raise the bar to the level of excellence, which is our goal, after all.

Next week we’ll discuss the evaluation part of the process and how it will be shared with those being evaluated.

I know, you’re on the edge of your seat looking forward to next week’s post.

How Can We Raise the Bar of Construction Contractor Expectations?

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With An Eye-opening Process to Hold Contractors to a Higher Standard

I read a study years ago that ranked building contractors below used car salesmen. This might not be a bad thing if used car salesmen didn’t have a reputation of…shall we say…not putting the customer’s needs first.

For builders to have been ranked below used car salesmen was very confusing and more than a little disturbing.

Then realized that I viewed customers differently than a lot of builders. For me they aren’t just customers, a project or just a way to earn money. These people have put their trust in me to build them their dream.

Over the years as I have discussed building projects with a lot of people, the number of times that I have heard construction customers say, “It was the worst experience of my life” is unacceptable.

A construction project should be among the best experiences, not the worst.

Many people only get the opportunity to experience a construction project once, especially if it’s a large one like building a new home. This makes it even more critical that we as construction contractors serve every one of our customers in a professional manner.

In a previous post about construction contractor etiquette, I shared a story of a friend meeting with a plumber. While they were in the kitchen discussing the project, the plumber who was chewing tobacco spit tobacco juice in her sink. Not just once mind you, but 3-4 times! He at least had the courtesy to turn the water on and rinse out the sink.   

When the customer told me this story, she was still surprised about this and the plumber…he didn’t even realize he had done anything wrong.

This kind of behavior is a problem and it’s no wonder that contractors have a worse reputation than used car salesmen.

Considering some situations that I’ve seen or heard, it is apparent that this problem needs our attention.

Whether it’s –

  • Standing in a customer’s upholstered chair using it for a ladder
  • Leaving an electric circuit turned off over the weekend which had a customer’s freezer plugged in to it
  • Laying down after lunch and taking a nap on a customer’s couch
  • Throwing food trash in the void behind a wall and leaving it
  • Or…spitting tobacco juice in a customer’s sink

These kinds of things are unacceptable.

The level of expectations for construction contractors has gotten so low that these kinds of actions have become the norm. 

The problem is the unawareness that there is a problem.

If this is going to change, we need to raise the bar. We’ve got to hold ourselves and each other, to a higher standard.

We need construction contractor etiquette.

The word etiquette doesn’t sound like a construction term. However, I think the definition of etiquette speaks to this issue perfectly. Etiquette is a code of ethical behavior regarding professional practice or action among the members of a profession in their dealings with each other and customers.

What would this code of ethical behavior look like for construction contractors?

It would be things that a professional builder would be expected to do:

  • Communicate – Let the customer know what to expect. Return calls, send contracts in advance, sign papers in a timely manner. Remember that they don’t do construction everyday like you do.
  • Listen – This is the most important part of communicating. You need to hear what the customer is saying. This is more than just their words. It means really listening to their hopes and desires and understanding their dreams.
  • Be on time – Show up when you say you will. If you’re going to be late, call and let the customer know. Respect their time.
  • Be responsive – Return communications in a reasonable amount of time. They just want to know that you hear them and care.
  • Be accountable – If you or someone on your team make a mistake, own up to it. Don’t blame someone else. Keep the job site “clean”.  Pick up your lunch trash and water bottles. Dust will be expected, but use plastic tarps, if possible, to contain the dust and/or clean areas if it gets out of hand. Be aware of landscaping.  Don’t park in yards or walk on flowers or other plants. If it’s necessary to work in these areas, do it with respect.

Some of this content is from Construction Etiquette by Stefaney Rants.

We need to use the Golden Rule for contractors and treat construction customers the way they should be treated, not the way they normally are.

GOLDEN RULES FOR CONSTRUCTION CONTRACTORS

  1. If you open it, close it.
  2. If you turn it on, turn it off.
  3. If you unlock it, lock it up.
  4. If you break it, admit it.
  5. If you can’t fix it, call in someone who can.
  6. If you borrow it, return it.
  7. If you value it, take care of it.
  8. If you make a mess clean it up.
  9. If you move it, put it back.
  10.  If it belongs to someone else and you want to use it, get permission.
  11.  If you don’t know how to operate it, leave it alone.
  12.  If it’s none of your business, stay out of it.
  13.  If it will brighten someone’s day, say it.
  14.  If it will tarnish someone’s reputation, keep it to yourself.

As professionals it is up to us to do something about this.

So, what are we going to do?

The first thing is to be aware of the problem. If we ignore it, it won’t go away; it will continue to get worse. This means that we need to hold each other accountable for our actions. As professionals, if we see something unacceptable being done, we need to call each other out with respect and in private. This isn’t about public humiliation. It’s about raising the bar. It’s about the customer.

In the second part of this series of posts, we’ll begin to look at the process for holding ourselves and each other to a higher standard.

Contractors get ready…the BAR IS BEING RAISED.

What If You Want to Do a Construction Project but Don’t Know Where to Start?

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That’s Where the Right Qualified Virtual Consultant Can Help

We all have our areas of expertise. One of mine is construction processes and systems.

These are a couple of things missing from most DIY construction programs on TV as well as many of the “do it yourself” internet videos. They can be helpful, but typically they oversimplify things and normally only give you a small snippet of the big picture of a construction project.

As a construction professional that has been doing this for forty years, trust me, there’s a lot more to it than a sixty-minute TV program or a five-minute video.

When I meet with a customer, I instinctively know what questions need to be asked and answered.

It’s different if you’re not a contractor and this is where a lot of problems with construction projects begin. Either from a “do it yourself” construction customer or when hiring someone who isn’t qualified.

The overwhelm starts and it often leads to corner cutting, things being done in the wrong order or completely left out.

Here’s some of the information that I gather early in the process –

            Measurements and dimensions, existing and new

            Building materials, existing and new

            Pictures of existing construction and pertinent areas involved in the new

            Design ideas, products and finishes to be used

The information gathered early in the process is important to the project moving forward as smoothly and economically as possible.

Asking and answering the right questions early in the process is critical to a successful project. Once you’ve determined what your dream project is, it needs to be broken down into categories. Then these categories should be divided further into smaller tasks.

Imagine a construction project as a giant puzzle with hundreds of thousands of pieces. These pieces need to be put together in the right place and in the right order. It’s hard when you don’t know what that is.

A qualified virtual consultant can help you put the right pieces in the right place.

I developed a list of categories and tasks that I use when doing a construction proposal so that I don’t overlook things. This “Bid Sheet” is where I gather the information that pertains to each specific task.

Here’s a small excerpt from my bid sheet template –

These are just three of the 17 categories of the construction process.

The next issue for the “do it yourself” construction customer is…what do all these tasks mean? What is included in them?

These questions prompted me to begin developing just such a list.

Here is a matching excerpt from it –

Once I have this explanation page finished, I will make a link available at the Solution Building web site.

This explanation page will be a good tool for a “do it yourself” construction customer, someone hiring a professional or as a helpful referral when talking with a qualified virtual consultant.

What’s Needed for a Good Construction Contractor is Simple

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I Said It Was Simple…I Didn’t Say it Was Easy

Over the past couple of weeks, I’ve written about the difficulty in finding good, qualified construction contractors and how this problem is amplified after a disaster such as a hurricane, tornado, flooding, etc.

Finding a good construction contractor is a huge problem and has been around for a long time. I’ve thought about this off and on for years and recently has been one of those “on times”.

Why is this a problem and what do we do about it?

As I’ve been thinking about it, I’ve concluded, that even though it’s a big problem, the solution is simple…but hard.

The key to this solution is…

Treat others the way you would want to be treated.

Granted, different people have different ways they want to be treated, because each of us is different. Add to that, the long-term acceptance of “this is just the way it is” and it becomes more difficult than ever to solve the problem.

To clarify how we should treat others, we should use God as a measuring stick. Do your work with all your heart, as if you are working for God, not for men. Colossians 3:23

Working as if for God is the opposite of how the world operates.

As I was speaking with a customer just last night, they were telling me how they had been trying to find someone to do their project for years.

They had contacted several contractors who said they would come by and look at the project and never did.

They met with some who did show up only to never be heard from again.

With one contractor they got as far as getting a price but then they could never get him to come do the work.

Equally as bad is when a contractor does agree to do the work, but the customer never knows if or when they’re going to show up and then the  job drags out and out and out.

This is an unacceptable way to treat God or anyone else.

The first and most important thing a good construction contractor needs is…COMMUNICATION.

Communication is more than just talking. It includes:

  • Listening to find out what the customer wants.  
  • Clearly explaining the work to be done, what it’s going to cost and when it will be done.
  • Transparency and honesty. Letting the customer know what to expect and when.
  • Willingness to be vulnerable. If you can’t be there when you said you would…let them know.

I plan to unpack what’s needed from a good construction contractor more over the next few weeks.