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Why you don't lift loads over people on construction sites

30/3/2018

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Read: Woman dies after being hit by bricks

A tragic lesson for every contractor.

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What you can do about the silent killer in construction that no one talks about – Suicide.

29/3/2018

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Recently it was reported that in Western Australia an average of 33 people in the construction industry took their own lives every year. In one year alone there were over 600 suicide attempts with more than 100 leaving the person with a permanent disability. To put this in context the state only has a population of 2.5 million people. Now I couldn’t find similar statistics in the United States but did find that every year around 43,000 people kill themselves and that people in the construction and mining industries rank with the second highest suicide rate of 53 workers per 100,000 which means that in the United States;
for every 2,000 construction workers, 1 will kill themselves every year.

These are frightening statistics that very few talk about. Safety is usually taken seriously on our construction projects, yet suicides kill and permanently maim countless people every year.

Why are suicide rates so high in construction?

There are very few studies to the reasons for high rates of suicide that I’ve seen, but my theories are:

1. Construction is a cyclical industry with times of little work. Many are employed for a particular project, then when their portion of work is finished they have to move on and find other work. This creates enormous stress knowing that you’ll soon be out of work and looking for another job. Who is going to look after the family then? Often construction workers sit at home with no work feeling worthless for weeks and even months.

2. Construction is very much a hire and fire industry with little continuity and low loyalty. Again this creates stress.

3. Of course being cyclical puts enormous pressure on management and company owners who have to be continually looking for new projects, wondering how they’ll pay wages, equipment instalments and office rentals. Submitting prices for projects can be very stressful – have you got the right price, have you forgotten something? And then the disappointment of losing one project after another. Even though I worked for a very successful construction company our project win rate was only 1 for every 10 projects we priced!

4. Daily we hear of clients not paying contractors, contractors not paying suppliers and subcontractors. Company owners have committed suicide when they’ve been unable to pay their employees because a client hasn’t paid them.

5. Frequently contractors become bankrupt, sometimes because of poor management, other times because of greed and thieving. The end of the day who suffers – the poor workers and suppliers who don’t get paid. The stress of not being paid what’s due to you can lead to suicide.

6. Construction workers often work long hours and on weekends. They barely see their families, and when they do there are often arguments about the long work hours. A stressful home life often leads to divorce, despair and even suicide.

7. Construction workers often work away from home for long periods. Again this can lead to marriage problems. But these times away from home can lead to loneliness, time to think dark thoughts and often ends in drink and drugs.

8. Most jobs on a construction project demand good health and some degree of physical strength. An injury, or even a sore back, can quickly end a career in construction. Fighting illness or pain daily just to keep working can be an enormous burden that can cause suicide.

9. Construction is very much a man’s World. You have to be seen to be tough. Any weakness is often pounced on by fellow workers. There is little sympathy.

10. Bullying is sometimes rife on some projects.

What can we do to get rid of this killer in construction?

1. Awareness is important. Knowing about the problem means we are more likely to notice when someone’s mood changes. Awareness might also cause us to do things differently – maybe act in a more considerate way to our fellow workers.

2. It would be useful if governments and states helped make construction less cyclical – maybe scheduling their projects for the time when the construction industry is depressed. Doing this they’ll also get more for their Dollar since construction, material and equipment prices rise when there’s lots of work and falls when work is scarce.

3. Clients and contractors that don’t pay are killing the construction industry, but they are also literally responsible for the deaths of people in the industry. If someone’s delivered the project to the required quality pay them on time. Why should some benefit unfairly from others’ misery?

4. Try to minimise long hours and overtime on your projects. Workers deserve to spend time with their families. They deserve to be home on weekends. Everyone needs a rest.

5. Those that have to work far from home shouldn’t have to spend weeks away and then return only for infrequent rushed breaks.

6. Bullying should never be tolerated under any circumstances.

7. Project managers and supervisors must be aware of signs when things don’t seem right with a colleague or worker. Maybe they have mood swings, they are depressed. Take the time to talk to someone when they seem upset, quiet, moody or not their usual selves. Just being able to share problems with someone can often help.

8. Ensure counselling is available to workers. Contact details of councillors should be displayed on project notice boards.

9. Remember our employees aren’t machines – they need time off, they need time with their families.

10. Of course, equally important is to consider our own situations. Don’t take problems personally. Learn to reduce stress. Learn to talk about and share problems.

Work together to stop suicides in construction

Don’t let the scourge of suicides stalk your project. It is preventable.

Suicide is never a solution and invariably it results in untold problems and misery for those left behind. It is also important to consider the number of people whose suicide attempts don’t kill them but leave them with a permanent disability.

Ensure you take care of your health and the health of those working with you. Let’s look out for each other.

Have you been impacted by the suicide of a friend or co-worker?

This article was first published on the ClockShark website.
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To read more about the author’s books and find out where you can purchase them visit the pages on this website by clicking the links below:
'Successful Construction Project Management: The Practical Guide'
'Building a Successful Construction Company: The Practical Guide'
'Construction Claims: A Short Guide for Contractors'
'Construction Project Management: Tips and Insights'
'Construction Management: From Project Concept to Completion'
'Construction Book reviews'
To read more about the author visit the page 'Paul Netscher'
Want to contact Paul Netscher please enter your details on 'Contacts'
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How dangerous is a messy construction site?

25/3/2018

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An untidy project is invariably an unsafe project. You’ve probably heard this many times before, but it’s usually true. Materials, tools and equipment, stored and stacked untidily, results in dangerous situations and often accidents. An untidy project site can result in:

Items lying untidily on the site create trip hazards.
It forces workers to take alternative routes to bypass the obstructions, making these routes congested and dangerous.
Poor stacking can result in the materials becoming dislodged and toppling on to people or equipment.
Tools and equipment poorly stored or left lying on the ground may be damaged by being stood on, driven over, or water and dust entering them, which causes damage and may make them unsafe.
Materials and equipment badly stored on scaffolding and elevated structures can fall off, damaging the item, the equipment they fall on, and possibly injuring or killing people below, so they should be stacked neatly, where they cannot be accidentally bumped and dislodged from their positions (even an item, such as a bolt, dropped from height can cause serious injury).
Loose debris can become missiles in windy conditions causing damage and injury. Keep loose items contained and trash in a dumpster.
Emergency and evacuation routes can become obstructed.
Trash can create a fire risk.
Trash can attract vermin.
Trash can clog storm water drains resulting in flooding.
Trash can spill or blow onto neighboring properties resulting in unhappy neighbors.

Good housekeeping is not only essential for safety but often increases efficiency because materials and equipment are readily available, can be easily located, and leaves walkways and work areas accessible and easy to work on. It also creates a good impression with the client and their representatives, and gives the impression that the project is well organised and managed. I have also found when a safety inspector, or client, walks onto a neat site, they are less likely to take a critical look at the safety, yet, should they walk onto an untidy and disorganised site, it’s almost certain they will look at the operations with a critical eye, finding even the smallest safety violations!

Materials and tools left lying around the project get damaged, lost or stolen, which impacts productivity and costs money to repair or replace. Searching for misplaced tools wastes time.

#construction safety #construction productivity #constructionmanagement

"A tidy construction site gives the impression that the project is well organised and managed."

Is your construction project tidy?

Enforce good housekeeping from the start of the project because it’s difficult to change people’s poor habits part way through. It’s often just as easy to stack an item neatly, as it is to throw it randomly on the ground, and it doesn’t take any longer to put an item of equipment back into its storage container than leave it lying around.

Is your project site tidy? Does your team look after their equipment and materials?

This article was first published on the ClockShark website.
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© 2018 This article is not to be reproduced for commercial purposes without written permission from the author.
To read more about the author’s books and find out where you can purchase them visit the pages on this website by clicking the links below:
'Successful Construction Project Management: The Practical Guide'
'Building a Successful Construction Company: The Practical Guide'
'Construction Claims: A Short Guide for Contractors'
'Construction Project Management: Tips and Insights'
'Construction Management: From Project Concept to Completion'
'Construction Book reviews'
To read more about the author visit the page 'Paul Netscher'
Want to contact Paul Netscher please enter your details on 'Contacts'
Find out how Paul Netscher can help you

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12 Ways to improve construction company cash flow

22/3/2018

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Negative cash flow probably causes more construction companies to run into financial trouble, often leading to bankruptcy, than any other cause. Even a profitable project can cause contractor’s financial problems if the cash flow is negative.

Negative cash flow is when the contractor is paying money to suppliers, equipment hires companies and subcontractors, or in wages and salaries, before the client has paid for the work that has been completed.
Unfortunately, most construction projects are cash negative to some extent. Many clients hold 10% cash retention until the end of the project when this is reduced by half and the balance may be paid months later. Consequently, if the project is priced with a profit of less than 10% then the project will be cash negative until the end.

In addition, most clients only pay the contractor thirty days after the contractor submits an invoice. These invoices are normally submitted at the end of each month. Many contractors pay their workers fortnightly or in some cases weekly. This could mean the contractor has paid out up to seven weeks of wages before the client pays for the work that these employees have completed. Smaller contractors sometimes have to pay suppliers before they will release materials, yet the contractor’s client only pays for these materials after they have been fixed in place – and then only 30 days after the contractor invoiced for the work.

There are, however, a number of other factors that make the cash flow situation even worse. Many projects have payment terms longer than thirty days. In addition, some clients habitually pay progress claims late. Of course, the ultimate knockout blow for many contractors is when clients don’t pay at all. This could be a result of the client disputing the value of work, defaulting on the contract or going into liquidation.

Yet, even with the odds stacked against construction companies, they often make their cash flow situations worse by submitting their progress valuations late, accepting payments late or not claiming fully for completed work.

How can contractors improve their cash flow?

Submit monthly progress valuations before the due date. These must be in the correct format and include the required supporting documentation. Check that the client has received the claim.
Follow up to ensure invoices are paid on time.
If interim valuations are made when milestones are achieved then ensure that all work and documentation required to meet the milestone is completed as soon as possible. Frequently contractors are 99% there, but a missing certificate, or outstanding punch list items, hold up final completion. Literally, a few hundred dollars of outstanding work is holding back a payment of hundreds of thousands of dollars!
If the progress valuation is made according to the percentage of work completed as recorded on the progress schedule, then ensure that the schedule has been updated correctly. Why get paid less than you are entitled?
Submit and agree on variation claims as soon as possible. Clients don’t pay variation claims until they have been agreed. That argument over the last few hundred dollars in your variation claim may be delaying you receiving payment for it.
Always check that the client has issued the correct site instructions and order amendments. Again clients won’t pay for variations until a variation order has been issued.
Many clients hold retainage money which is only released when the project is completed. Ensure that all work required for project completion is done as soon as possible. Outstanding documents could prevent the project from being completed.
Ensure that there aren’t large amounts of materials lying on the project. Normally clients only pay for materials once they are built in, yet, the contractor has to pay the supplier when they are invoiced, which is usually when the material is delivered. Try and time materials to arrive just in time.
Avoid delivery of expensive items near the end of the month. Suppliers normally invoice at the end of the month during which the materials were delivered. An item delivered on, say, the 28th of the month will be invoiced at the end of the month (the 30th or the 31st). If the item is delivered 3 or 4 days later on the 1st of the following month then the supplier usually invoices at the end of that month. In effect, delaying the delivery by a couple of days will result in the supplier being paid a month later.
Try to get expensive items built in as soon as possible, and certainly before the progress valuation is prepared. Getting an item in a couple of days quicker may just mean it’s paid a month earlier. Let the team know why it’s important to build the item in.
....Continue Reading.....

This article was first published on the ClockShark website. To visit this website and continue reading the article click on the link above.
Please share this post
To read more about the author’s books and find out where you can purchase them visit the pages on this website by clicking the links below:
'Successful Construction Project Management: The Practical Guide'
'Building a Successful Construction Company: The Practical Guide'
'Construction Claims: A Short Guide for Contractors'
'Construction Project Management: Tips and Insights'
'Construction Management: From Project Concept to Completion'
'Construction Book reviews'
To read more about the author visit the page 'Paul Netscher'
Want to contact Paul Netscher please enter your details on 'Contacts'
Find out how Paul Netscher can help you

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Life & Death Planning Decisions Designers, Owners and Contractors Forget When In a Rush

18/3/2018

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Recently I watched the movie Deepwater Horizon. The movie was the tragic story of the oil rig Deepwater Horizon which exploded in 2010, killing 11, spilling oil into the ocean which cost billions of dollars in compensation and mopping-up costs. Now I realize that much of the movie was pseudo historical and maybe wasn’t entirely factual. But, what got me thinking was how often our decisions are made on the spur of the moment, some decisions are driven by cost and time concerns, while some are made without the correct knowledge or experience. We also make decisions based on information which we made fit (and suit) our beliefs and ideals while discarding information which doesn’t suit us. (Maybe that sounds similar to politics and politicians – but that’s how many operate!) Sometimes we are browbeaten into accepting another person’s decisions, maybe a more senior person, or someone that is more forceful than us. Then of course, on occasion, we are just too tired to make a rational decision, or so tired that we make errors. But, sometimes, even not making a decision can have devastating consequences.

Yet, these decisions can often impact lives and cost millions. But, we hardly give that a thought, often more preoccupied with other matters, sometimes placing schedule and profit ahead of everything else. After all, disaster won’t happen to us!

Construction is an inherently dangerous occupation. According to The Bureau of Labor Statistics in 2015 over 900 people died in the US in construction related accidents. Unfortunately, thousands more were seriously injured, some permanently disabled. But these figures don’t include those who were killed traveling to and from construction projects, and nor do they include occupants of the completed facility who are injured or killed by defective work, or unsafe workplaces. I wonder how many of those fatalities and injuries were a result of poor decisions?

But project safety isn’t just about what contractors do, it often starts with designers, and ends with owners. Often their decisions also have a profound impact on the project.

Designers
Designers have a responsibility to ensure they make the correct decisions, decisions which are based on the correct facts and not on wrong assumptions. Their decisions will impact the integrity of their designs which:

Must be error free so that the design won’t fail. Sometimes these defects only become apparent when an extreme event, such as an earthquake or tornado occurs.
Be able to take the maximum loading which could be expected. There have been many reports of balconies collapsing or handrails giving way when crowds gathered.
Shouldn’t incorporate hazardous materials, or flammable materials, or materials that will give off toxic vapors when burned.
Should be safe and shouldn’t result in trip hazards, unprotected edges, and slippery surfaces.
Must comply with all codes and safety regulations.
Shouldn’t be compromised by owners making changes, nor by contractors delivering poor quality work.

Owners
Owners are sometimes responsible for injuries and fatalities because their decisions also impact the project because::

They demand impossibly tight construction schedules, squeeze contractors so that they take risks to make a profit, and then select contractors purely based on price, not a contractor that has a reputation for producing a safe project of good quality.
They don’t insist on the implementation of proper quality control and good safety practices during construction.
They use the facility for purposes which it wasn’t intended for, such as converting warehouses to nightclubs.
They make unapproved alterations to the building, which may include demolishing parts of the structure that are integral to the building’s safety and stability.
They don’t maintain the facility correctly.
They allow waste to accumulate which can be a fire hazard, block fire exits and overload structures.

Contractors
Contractors’ poor decisions not only risk killing and injuring people during construction, but they could also endanger the lives of future occupants of the facility by constructing a project of poor quality, or one that contains hazardous materials.
....Continue Reading....

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Some emotions project managers experience on their construction projects

9/3/2018

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Image courtesy of kdshutterman at FreeDigitalPhotos.net

Construction project managers often go through a number of emotional phases as their project progresses.
See if some of these are familiar to you?

Optimism – this is often the stage soon after winning the project. “This is going to be a great project! Everything will go well. We are going to make millions!”
Excitement – often we can’t wait to get the project started, start excavating and pouring concrete. Some may also experience excitement during the project when they find reason for a variation claim.
Euphoria – when things are going well. Unfortunately some don’t experience this feeling as their projects hit trouble soon after starting. Although we may also experience euphoria when the client pays us, or when we settle a variation claim with the client.
Anxiety – when things start going wrong. Sleepless nights. Nerves before client progress meetings. Anxious looks at the weather forecast. Stress when management visits the project. Checking budgets.
Denial – "it’s not going to get worse." "The figures can’t be correct." Massaging construction schedules. “Everything will work out fine."" We’ll make up the lost time.""We will make up the lost money.”
Fear – it is getting worse. How bad is it going to get? “I don’t want to tell the client/boss the bad news.” Rechecking budgets and construction schedule for mistakes and possible opportunities to escape the inevitable.
Anger and panic – who can we blame for the problems. Everyone needs to work longer and harder. “Why does this always happen on my project?”
Desperation – let’s throw everything at the problem and hope to solve it. Searching for excuses/variation claims (no matter how improbable) to justify the delays and losses.
Capitulation – "nothing we do can improve the situation." We don’t care. The project will finish late and it’s going to lose money. It doesn’t matter what the client says or what management does. It was a bad project and the Construction Gods were stacked against us.
Depression – "I hate construction." “Everything is always against us – the weather, clients, subcontractors, suppliers, management, the team, even the gods!""Let’s just get this project finished.”
Relief – finally the project’s finished.
Hope – that the next project will go better. Contractors are the eternal optimists with short memories.

What stage is your project in?

Order these useful books from Amazon to make your construction project a success

Of course with proper planning, good project management, appropriate project controls and the correct project pricing there should only be 4 stages to your construction project – optimism and excitement before starting the project, contentment as the project reaches important milestones and KPI’s, and euphoria when the project is completed successfully. Of course a little fear sometimes helps ensure you don't become too confident and it sharpens your awareness.

Image courtesy of stockimages at FreeDigitalPhotos.net

This article is adapted from information in the author’s popular books: 'Successful Construction Project Management: The Practical Guide' and 'Building a Successful Construction Company: The Practical Guide' and 'Construction Project Management: Tips and Insights'
'Construction Claims: A Short Guide for Contractors' is another of Paul's useful books.
Paul has recently published 'Construction Management: From Project Concept to completion'.
These books are available on Amazon and other online book stores.
Paul publishes articles regularly on LinkedIn and his website.

Paul writes regular articles for other websites, gives lectures, mentors, and is available for podcasts and interviews.

© 2018 This article is not to be reproduced for commercial purposes without written permission from the author.

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If your Construction Project Goes Wrong, Make Sure you Do These 11 Things

7/3/2018

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Everything that can go wrong will go wrong – Murphey’s Law. Ever been on a project where this has happened. The project was tough to start with, a poor estimate with a seemingly impossible construction schedule, then a difficult client. But it all seemed to go downhill from there. The weather appeared to be against you, every time you got going it rained. The weather dried up and equipment broke. Productivity never seemed to reach where it should be. Then, of course, there were the mistakes, walls built in the wrong place, and substandard quality. Why does it all keep going wrong? Are the gods against us? Is the site cursed? We even get more irrational – maybe it’s the ghost of someone buried on the site? Have we offended someone’s ancestors? Call in the Ghostbusters!

Don’t get me wrong, fortunately, these projects don’t happen to most of us every day.

But when it does – morale dips on the project. Head Office is furious. In fact, everyone seems to be irate. The boss from Head Office stays away – strange but true. Ever want the Head Office honchos to not visit your project, then have a project where it all goes wrong. It’s like there’s a plague on the project! No one wants to visit a project in trouble. Why – lets rather go visit a project with a happy client, one that’s on schedule and making money! Who needs s..t in their life! Of course when someone from Head Office does occasionally visit it’s like a fire breathing dragon has arrived. Those on the project duck for cover. Those in the firing line are given dire ultimatums. Fix the project or you are out. Cut costs. Fire people. No excuses. It better be all sorted before my next visit. Sounding familiar. The dragon leaves. Morale drops even lower. The problems get worse.

Image by Michal Jarmoluk from Pixabay

If your construction project goes wrong implement these 11 steps

What can we do with the Gods appear to be against us on our construction project?

Morale – it doesn’t help to be the victim. It doesn’t help to be miserable. Poor morale is like cancer, except it’s worse because it’s infectious and gets passed from one person to the next. It eats into everyone, sapping their energy away. You cannot afford to be downbeat. But, it doesn’t mean you have to walk around laughing and giggling like there aren’t problems. It does mean lift the chin, walk with purpose, walk the project site like there will be life after tomorrow. Talk to the team. Maybe even have a few drinks together after work – even if there isn’t money for the beers find some. Leaders have to stay positive.
Forget the blame game. Don’t blame the estimator, the equipment suppliers, the weather, the bosses, the Gods. It’s not going to help to blame anyone – unless they are directly causing the project continuing problems and you can change them.
Drop the anger. Anger doesn’t help. Anger sends the morale down. Anger destroys people. Anger sucks energy. Anger takes time and effort that could better be spent solving problems.
Realize there are some problems that can’t be solved. But take action to minimize them. The weathers bad – you can’t change the weather, but maybe you can change the way the project is working – it might cost extra money, but it might just be better than losing more time.
Find solutions to the problems you can solve. Focus on the problems that can be solved. That also means uncovering the real causes of the problem. Maybe the estimate was poor and the project price is too low – but is this the only reason why the project is losing money? There are often multiple reasons for a project losing money or slipping on schedule. Make sure you uncover them all and get down to the real underlying causes. Then find solutions where possible for each problem.
Stop kidding yourself and others. It’s not going to get better. But, how bad will it get? Every project that I’ve had that’s lost money has always lost more money than we originally estimated. We often try and be optimistic, even hiding the truth from ourselves. Jobs whose losses worsen every month, or whose completion dates slip every month are demoralizing to the team and management. Let’s have one bad month – empty all the skeletons out of the cupboards. How bad is it really going to get? Tell your team you want to know how bad it’s really going to get. The chances are they have been too afraid to tell you. Get all the bad news on the table in one month. Let’s cut the torture of dripping bad news every month. Tell management and the client what the worst case scenario is. They won’t like it and will tell you it’s not possible or acceptable. But, knowing the worst allows management and the client to make alternate arrangements if required. Knowing the worst means that things can only improve from here!
Be honest with others – even if they don’t like it. Being honest can take the pressure off. Being honest might present other solutions. That means keeping the team informed – they probably know anyway, but being honest with them helps make them part of the problem and solution.
We all have difficult clients. It doesn’t help to fight them. You have to learn to live with them and manage them where possible. Fighting and resisting them is usually futile and a waste of energy and time.
Ask for help. We all need help sometimes. Clients can sometimes work around late completions if they know well ahead of time, and if they get the sections of the project most critical to them. Others may come up with solutions you hadn’t thought of. Even sharing a problem with someone can help lift the burden or bring new perspective to it.
Set realistic targets. Small wins boost morale.
Sometimes you have to spend money to save money. The first thing anyone does when a project is losing money is cut people. Cutting people often makes the problems worse. Having the right people may help prevent further losses, it just might stop further slippage on the schedule.

Construction problems require a team effort

Never underestimate the impact of poor morale on a construction project. It saps energy and reduces productivity. When your project is in trouble you need to get the best out of the team. Being proactive and tackling the problems where you can make a difference will often stop the project deteriorating further.

Never think the problems are over or that things will miraculously right themselves – they seldom do. Waiting on a miracle will only lead to more disappointment and a more distressed project. You have to make the difference with the help of your team.

How bad has your worst project been? What went wrong and why?

This article was first published on the ClockShark website.
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Do you want to learn how to manage construction projects successfully

"I highly recommend this book be read by all newly qualified construction project managers as well as those more experienced." Reader on Amazon

Paul Netscher has written several easy to read books for owners, contractors, construction managers, construction supervisors and foremen. They cover all aspects of construction management and are filled with tips and insights.
Visit to read more.
The books are available in paper and ebook from most online stores including Amazon.
To read more about the author’s books and find out where you can purchase them visit the pages on this website by clicking the links below:
'Successful Construction Project Management: The Practical Guide'
'Building a Successful Construction Company: The Practical Guide'
'Construction Claims: A Short Guide for Contractors'
'Construction Project Management: Tips and Insights'
'Construction Management: From Project Concept to Completion'
'Construction Book reviews'
To read more about the author visit the page 'Paul Netscher'
Want to contact Paul Netscher please enter your details on 'Contacts'
Find out how Paul Netscher can help you

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Why you don't lift loads over people on construction sites

What you can do about the silent killer in construction that no one talks about – Suicide.

Why are suicide rates so high in construction?

What can we do to get rid of this killer in construction?

Work together to stop suicides in construction

How dangerous is a messy construction site?

Is your construction project tidy?

12 Ways to improve construction company cash flow

Life & Death Planning Decisions Designers, Owners and Contractors Forget When In a Rush

Some emotions project managers experience on their construction projects

If your Construction Project Goes Wrong, Make Sure you Do These 11 Things

If your construction project goes wrong implement these 11 steps

Construction problems require a team effort

Do you want to learn how to manage construction projects successfully

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