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Not all subcontractors' prices are equal

In our previous articles we discussed Selecting subcontractors for your construction project and What to include in Subcontractor pricing documentation So now you've received prices from a number of subcontractors. Which subcontractor do you choose? The one with the cheapest price? Are you sure this will result in the cheapest cost for your construction project?

Checking subcontractor quotations

It's important to carefully check and compare the prices and quotations you receive from the different subcontractors.

It's important to check the following:

That the subcontractor has priced all items they were asked to price, and that they haven’t excluded anything.
Their construction schedule meets the milestone dates, and doesn’t have any unacceptable early requirements.
Their proposed construction methodology – what impact will that have on other construction and the finished product.
That their payment terms and conditions are acceptable.
That the specifications of the products they propose using meet the project requirements.
That the subcontractor has evaluated all the applicable drawings.
They haven’t got any contract conditions or exclusions which are unacceptable.
The subcontractor hasn’t included additional requirements which your company must supply, such as; cranes, scaffolding, accommodation or offices.
Where the subcontractor had to price a schedule of quantities you provided, that all their arithmetic calculations are correct and all items have been priced.
You won’t incur additional supervision costs, for example; managing after-hours work, or travelling to off-site manufacturing facilities.
That the equipment to be incorporated into the project comes with suitable warranties and that spare parts and servicing will be available locally.
That the subcontractor included all the required deliverables and met all the requirements in the pricing request.
There are no unacceptable provisional sums or prime cost items. - undefined items with ridiculously low costs.
The price includes all the taxes and duties.
The subcontractor understands the project requirements.
They’ve included for preparing designs and drawings where necessary
That there are no pricing anomalies – items which are priced high and others low – check for frontloading of prices. Frontloading is when tasks the subcontractor does at the beginning of their work has excessive profit, while work they do later has no profit or even negative profit. The extra profit the subcontractor makes with early work offsets the losses with later work, while their overall price is the same. – But what happens if the subcontractor goes bankrupt or deserts the project before they do the loss making work later in the project? – How will paying the subcontractor more for work at the beginning impact your cashflow?
Most importantly, something that’s often not done, is to ensure that the price is fair and achievable. – Prices which are too low or too cheap could cause the subcontractor to lose money leading to problems
Of course there is nothing wrong with awarding the work to the subcontractor with the lowest price (even if their price is much lower than other prices), providing that you’ve ensured that:

they are capable of doing the work,
there are no hidden extra costs which will be incurred later,
the subcontractor can deliver the project for their quoted price

Adjudicating subcontractor prices fairly

The adjudication of prices must be seen to be done in a fair manner.
A full record of the adjudication process should be kept, in case there are queries later.
Remember to add in your extra costs when evaluating the Subcontractor’s price against other prices so you’re comparing apples with apples.

Hopefully the last few articles have been useful and you will pick the right subcontractor for your project, using an appropriate contract document.

Other useful articles
Subcontractor construction contract documents
Don't save construction costs by doing this
What’s expected of your subcontractors? Do they know?

Click on picture to view books on Amazon

Do you want to learn how to manage construction projects successfully

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.
One reader said: "I felt impelled to message you as I purchased your book, and wanted to thank you for the content, it has been very helpful."
Visit to read more.
The books are available in paper and ebook from most online stores including Amazon.

1 Comment

Selecting subcontractors for your construction project

18/8/2021

4 Comments

Many projects go badly because the wrong subcontractor is selected.
Often the subcontractor that submitted the lowest price is selected.
But, it is not only about price.

In our previous article Subcontractor scope of works we discussed how important is was to define the scope that you require your subcontractor to price to ensure that work was not accidently omitted, and also so work was not duplicated.

In What to include in Subcontractor pricing documentation we looked at what documentation should be supplied to prospective subcontractors so they could accurately price the work.

Finally in Subcontractor construction contract documents and Subcontractor contract documents part 2 we considered what should be included in your subcontractor's contract document.

So now you have received prices for your project from a number of subcontractors. How do you decide who you will use? Will you take the subcontractor with the lowest price? Will you check that the subcontractor has the capabilities to do the work? Will you compare the prices from each subcontractor to check that the cheapest is really the cheapest, and that you won't incur extra costs by employing the subcontractor?

Well that's what we are going to consider in this article and the one that follows.

What to check when selecting a subcontractor

You don't want this workmanship!

It’s important to check the following:

Does the Subcontractor have the required experience?
Can they produce acceptable quality?
Have they worked on similar projects or for similar Clients?
Do they have the resources to carry out the work?
Do they have the financial means to carry out a project of this size?
How does the size of the project compare to the size of projects the Subcontractor has undertaken in the past?
What other work are they currently doing?
What is their safety record?
Do they have a good reputation? Are they reliable and complete their projects on time?
Have they got a previous record of being claims orientated and having legal disputes with their Clients?
Do they have the required registrations?
Do they use good reliable Subcontractors? Who will their main Subcontractors be?
Has there recently been a change in their management?

Past performance, however, is not always indicative of how a Subcontractor will perform on a project.

Registrations and licences

Once the prices, or quotations, have been received they must be carefully adjudicated, ensuring that ‘apples are being compared with apples’, like with like.

It’s important not to just look at the total price, but rather consider the whole price submission. Which is what we look at in our next article.

Other useful articles
some reasons why projects lose money
Managing subcontractors on your construction project. What you should consider.
What you need to know to close-out your construction project successfully

Do you want to learn how to manage construction projects successfully

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.
One reader said: "I felt impelled to message you as I purchased your book, and wanted to thank you for the content, it has been very helpful."
Visit to read more.
The books are available in paper and ebook from most online stores including Amazon.

4 Comments

Subcontractor contract documents part 2

10/8/2021

Contract documents should set out the rights and obligations of all the contracting parties.

A flawed construction contract document can lead to problems and disputes during construction.

In my last article Subcontractor construction contract documents we discussed that the contract document was a legally binding contract. Also that the subontract document does not have to be lengthy and that the contract document should be appropriate to the work.

So what should be included in your subcontract document?

Subcontract documents should include

The subcontract contract document must include or make provision for:

The scope of works. See Subcontractor scope of works
The price, and where required a break down of the price and unit rates.
Contract terms and conditions.
Project specifications.
Applicable drawings.
Specific project conditions.
Termination procedures.
The subcontract construction schedule, clearly showing commissioning and any discontinuities
The project safety requirements.
Applicable quality requirements, procedures, tests and documentation.
Commissioning requirements.
Spare parts to be supplied.
Warranties and guarantees required.
Clarification of what the Subcontractor must supply to carry out the works.
The Contractor’s obligations.

Much of the contract documentation should have formed part of the pricing documentation. Read What to include in Subcontractor pricing documentation
You cannot add things into the document extra to what the Subcontractor priced.

Other useful articles
Is the cheapest really the cheapest? - adjudicating quotations
How you can make your next construction project more successful.
Managing subcontractors on your construction project. What you should consider.

Do you want to learn how to manage construction projects successfully

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.
"I highly recommend this book be read by all newly qualified construction project managers as well as those more experienced." Reader review on Amazon
Visit to read more.
The books are available in paper and ebook from most online stores including Amazon.

0 Comments

Subcontractor construction contract documents

6/8/2021

What should be included in contract documents?

In our previous article we discussed What to include in Subcontractor pricing documentation. This followed a previous article Subcontractor scope of works where we looked at how important it was to get the scope of works right before asking subcontractors to price work.

Subcontractors are critical to the success of most construction projects. Regrettably many problems arise with subcontractors. Many of these problems occur even before the subcontractor starts work. Often the wrong subcontractor is selected, or the subcontractor isn't given all the correct information to price the work. Then there are problems with the contract document which makes it difficult to administer the subcontractor, and flaws in the documents which even give rise to claims from the subcontractor.

In this article we consider the actual contract document that you use with construction subcontractors.

Are long contract documents necessary?

The subcontract document is a legally binding contract between the subcontractor and contractor.
If this document is poorly worded, inconsistent or incomplete, it can lead to complications with the management of the Subcontractor.
The contract must be appropriate for the type of work
The contract doesn’t have to be dozens of pages long.
The contract should not be one-sided or place undue risks on the subcontractor
Contracts must avoid confusing and ambiguous language and there should be no contradictory clauses.
Contract documents should be drafted by those familiar with the industry and who understand the complexities of the project.
The contract must include the provisions, specifications and terms from the main contract which apply to the subcontractor.
It must exclude non-applicable items from the main contract – so avoid cut and paste.
The contract document in general should include documentation the subcontractor priced.
The contract document must include all changes that were negotiated and agreed during the pricing stage.
The document should stipulate the subcontractor’s obligations to be fulfilled before final payment is released

In our next article Subcontractor contract documents part 2 we consider what should be included in the subcontractor's contract document.

Other useful articles
Avoiding disputes on your construction project.
Understanding the real cost of delays on your construction project
Selecting The Right Contractors and Subcontractors for Your Construction Project

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.
One reader said: "I felt impelled to message you as I purchased your book, and wanted to thank you for the content, it has been very helpful."
Visit to read more.
The books are available in paper and ebook from most online stores including Amazon.

0 Comments

What to include in Subcontractor pricing documentation

27/7/2021

In our article Subcontractor scope of works we mentioned how important subcontractors were to the success of construction projects. We discussed how some construction projects failed because the wrong subcontractor was selected. Problems with subcontractors often begin during the pricing and selection process.

We discussed how critical it was that subcontractors had an accurate scope of works to price. This ensures that every subcontractor prices the same thing so that it's easy to adjudicate and compare the various subcontractor's prices.

An accurate scope of works also ensures that subcontractors price the work required, thus avoiding potential variation claims and change orders later. It means that the subcontractors doesn't price stuff that they aren't expected to do.

In this article we consider what to include in the pricing documentation, or instruction to price, to ensure that the subcontractor understands the terms and conditions of the subcontract document, and that they cannot claim for project conditions they were unaware of.

Subcontractor pricing documentation

Avoid cutting and pasting from previous projects, or directly from your contract document, without checking the information is relevant and correct.
Provide sufficient time for the Subcontractor to price the work properly.
Keep documentation simple.
Ensure all Subcontractors get the same information.
Check the documentation.
Confirm verbal discussions in writing.
There must be a clear scope of work.
Applicable drawings and specifications must be included.
Include the contract schedule or milestone dates.
Terms of the contract must be included, for example:

•payment terms,
•retainage money,
•surety requirements,
•warranties,
•insurances.

Special project conditions, for example:

•labour rates,
•working times,
•interaction with others.
•Particular rules, hazards, etc.

Safety requirements of the project.
A list of the documents making-up the pricing documentation.
Clearly state what the Contractor will supply and what the Subcontractor must supply.
Explain how the Subcontractor should breakdown their price – lump sum, schedule of rates, overheads, etc.
Detail what must be included with the price submission – construction schedule, insurances, details of staffing.
When you want the price and who it must go to.
The project location.
Quality requirements – including testing, documents, inspections and commissioning.

Conclusion

Remember anything you require the Subcontractor to do which is not in these documents could give rise to a variation claim or change order later. So check the documentation and scope of works you ask subcontractors to price to ensure you've included everything you expect your subcontractors to execute, and the project conditions they must comply with. Forgetting something could be very expensive later.

Other useful articles
choosing a subcontractor
An introduction to construction variation claims for construction project managers Video 5 - Types of claims
How can clients ensure their projects meet their expectations?

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.
One reader said: "I felt impelled to message you as I purchased your book, and wanted to thank you for the content, it has been very helpful."
Visit to read more.
The books are available in paper and ebook from most online stores including Amazon.

2 Comments

A Guide to Construction Equipment Attachments

5/7/2021

4 Comments

Take a look at any construction site, anywhere in the world, and the chances are that you’ll see something familiar. Massive single-use pieces of equipment are a mainstay in any construction fleet, but for smaller businesses, a lack of both space and funding means that you need to look into multi-use alternatives. Backhoes, skid steer loaders, and compact track loaders are capable of utilizing a myriad of attachments, depending on the needs of the job.

Here is a quick breakdown of construction equipment attachments and what you might use them for.

Augers
Augers are heavy-duty high-torque drill bits designed to dig holes in the soil or rocky surfaces. These are ideal for everything from creating post holes to digging transplant holes for trees and other landscaping.

Backhoes
If you’re working with a skid steer loader or a compact track loader, a backhoe attachment can give you all of the functionality of a backhoe without having to invest in an extra piece of equipment.

Buckets
Buckets for backhoes come in a variety of different sizes and applications, so you’re sure to find something that works for you. General-purpose buckets can work for most applications, but if you’re working on a specific task like lifting heavy rocks or excavating soil, there are variations of the standard bucket that works for those as well.

Image by Dimitris Vetsikas from Pixabay

Blades
Blades are a valuable tool for site clearing and cutting applications. They do require frequent sharpening when cutting through dense materials but they’re more efficient than doing the same tasks by hand or with handheld tools.

Brooms
Why sweep your job site by hand when you can attach a broom to your backhoe or skid steer loader and use it to keep your site clean and safe. It is also a valuable tool for shifting materials like sand that might be difficult to lift or manipulate with larger equipment.

Brush cutters
If you find yourself needing to clear-cut a new lot before construction begins, brush cutters are the perfect attachment for the job. They come in widths ranging from 60 to 78 inches, making it easy to clear even large lots quickly and easily.

Compactors
Heavy-duty compactors might be more efficient for large stretches of land, but for small projects or those that have limited space, smaller backhoe or skid steer attachments are the best option.

Image by Siggy Nowak from Pixabay

Hammers
While these aren’t as common on construction sites, hammer attachments are valuable tools if you need to break up large rocks or concrete. They’re more common on quarries and on demolition sites.

Pallet Forks
These might not always be necessary, but if you find yourself needing to move palletized materials, a pallet fork attachment can make the job infinitely easier. These attachments usually come with adjustable fork widths so you can lift different size pallets with ease.

Plows
Snow, sleet and mud can throw a wrench into the best-laid plans. Instead of letting them delay your project or investing in a single-use snowplow, consider a plow attachment for your backhoe or skid steer loader.

Rakes
Whether you’re trying to smooth uneven terrain or remove rocks and other debris, a rake attachment makes the job move a lot faster than trying to complete the same task by hand.

Rippers
There’s nothing more frustrating than trying to work when the ground is frozen. Ripper attachments can easily cut through the frozen ground. They can also tear through concrete and asphalt if necessary.

Saws
Sometimes a table saw just won’t cut it — literally. Saw attachments can complete challenging cutting tasks with ease, without ever needing to break out the hand tools.

Stump Grinders
When pulling an entire tree out by the root isn’t an option, stump grinders can help take unsightly stumps down to nothing. These are necessary for site clearing operations, but you don’t need to bring in an extra piece of equipment to complete the job when you can do exactly that with

Thumbs
Sometimes you need an extra set of hands — or in this case, an extra set of thumbs. These help to lift heavy and often awkwardly shaped items and transport them throughout the construction site.

Image by ingjuanrodz from Pixabay

Tillers
If landscaping is part of the plan, a tiller can make the job easier by breaking up the soil and providing straight and even lines ready for planting.

Trenchers
If you need rows deeper than a tiller can provide, the trencher attachment is the next logical step. These attachments can dig trenches three to five feet deep, which is usually plenty for installing infrastructure and plants or trees that may require a deeper starting point.

Comprehensive But Not Exhaustive
Despite the sheer number of items on this list, it is not exhaustive by any means. There are nearly as many attachments for construction equipment as there are applications for them. Before you invest in a new piece of equipment for your construction fleet, look into attachments for your existing equipment. You might be surprised by what you find.

Author Bio: Rose Morrison is a freelance writer who covers construction and building design topics. She is also the managing editor for Renovated.

Other Useful Articles
The impact of poor equipment productivity on construction projects
Preventive Maintenance Checklist for Construction Equipment
planning your construction project

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.

4 Comments

Use Construction Management Software And Experience The Difference

29/6/2021

7 Comments

With the development of computers and various software, more and more businesses manage their operations smoothly and efficiently. This software enables organizations to manage their workforce, keep track of the raw materials and production and follow a planned work schedule. All this eventually increases work productivity. It results in optimal utilization of resources and thus reduces the probability of error. Explicit software is available for various spheres of work, including construction. Today more and more construction companies are depending on construction management software to work efficiently and diligently. There are multiple benefits of using the software in the construction industry which we discuss below.

The Benefits Of Using Construction Management Software

Helps In Controlling Cost- The overall project cost can be easily ascertained with this software. Unless the overall project cost is calculated correctly, it becomes difficult to quote for your customers and be competitive. Also, the software helps to stay within the project costs while the project runs and warns the organization about any deviations.

Allows Having A More Systematic Approach - The construction management software makes it easy for the supervisors and managers to organize their work in real-time on the site. It also allows everybody to know the project's progress without asking every team involved in the project management.

Helps To Organize Documents - Any construction company needs to handle a large volume of documents. The plan, the site plan, the sectional plan, the permissions from various competent authorities, the testing reports, etc. The software allows uploading the documents so that anyone in the organization can easily view them whenever and wherever. It helps to liaise with the client, subcontractors, suppliers, authorities, managers, designers, and more.

Helps To Assess The Risk – Risk assessment is one of the significant issues in the construction business. It can be during quoting, project planning, or in the field. The integrated construction management software helps to ascertain the risk and warns the project managers accordingly.

Managing payments – The construction management software allows the accounting staff and the finance managers to have all the accounting information with a few clicks.

Better Control Of Inventory – Wastage of construction materials is a significant issue for construction companies. It becomes challenging to supervise every process of construction and reduce wastage. The software allows the workers to estimate the amount of materials required for a particular work, give requisition accordingly and minimize wastage. Thus, the cost of construction is kept within control.

Helps Complete The Project In Time – Using this software, it becomes easier to manage the work and keep a check on the flow of work, which eventually results in better control and less error. All this ensures faster completion of the project. The software helps the organization overcome the bottlenecks and complete the project with minimum delay.

Image courtesy of stockimages at FreeDigitalPhotos.net

Conclusion

The use of technology is inevitable, and it finds application across different construction works. The benefits are convincing, and technological intervention promises good results. Make sure that you understand your project requirements, and based on it, you choose the right software.

Author Bio: My name is Layla Flinn. I am a writer by profession and love to share my written blogs and thoughts about Home Improvement, business, and various topics. This time I have written about Use Construction Management Software And Experience The Difference

Other Useful Articles
The Good, the Bad, and the Ugly of Construction Project Schedules
5 Questions for GCs to Ask Before Buying Construction Technology
How to improve construction productivity

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.

7 Comments

Preventive Maintenance Checklist for Construction Equipment

23/6/2021

10 Comments

What started out with hand tools and long deadlines has evolved and changed over the centuries. A fleet of heavy equipment is the lifeblood of the construction industry, and without it, keeping up with the myriad projects that come across your desk every year would be nearly impossible.

We all know and understand that maintenance is part of owning and operating a fleet, but waiting for things to break down before you repair them isn’t smart or cost-effective. Preventive maintenance is the best option, allowing you to get ahead of problems before they take your equipment offline. So what should be on your preventive maintenance checklist?

Image by graphiclinegroup from Pixabay

Start with construction equipment paperwork

Before you start, the best place to begin is with paperwork and documentation. Each piece of equipment should have its own file of paperwork, detailing its usage and maintenance history. This should also tell you the last time this particular equipment got inspected and when it’s due for its next one.

In addition to helping you keep track of preventive maintenance inspections, this paper trail also serves as a maintenance history if you ever decide to sell your equipment in preparation for an upgrade. If you at any point decide to incorporate AI and machine learning into your maintenance program, this detailed information will provide a baseline for the programs to work from.

With a complete maintenance history, a machine learning program could even potentially predict when a piece of equipment needs to be taken offline for repairs or retired.

A basic maintenance checklist for construction equipment

The exact details of each vehicle’s maintenance schedule will vary depending on the make and model, how old it is, what type of equipment it is, and how often it gets used. However, this checklist can serve as a guide and foundation for nearly any item in your construction fleet.

Look for Any Visible Damage
You won’t always find it, but sometimes problem indicators can present in ways that are easy to spot. A leaky gasket might show as a crack or a puddle of fluid beneath the vehicle, for example.

Brakes
This should include both standard and emergency brakes. Ensure the brakes are operational and the brake fluid is topped off. Have someone stand behind the equipment while you press the brakes to ensure the indicator lights work - well of course not directly behind where they could be in the path of the machine should it suddenly go backwards.

Batteries
Batteries tend to die at the most inopportune times. Inspect the battery and be on the lookout for problems such as corrosion or battery swelling. Batteries should be load tested regularly and replaced when their health starts to fail.

Controls and Steering
Put all the controls and steering operations through their paces to ensure everything is operational. Note any places where the steering feels sluggish or unresponsive.

Fluids and Filters
Check the fluid levels before each workday. For filters, make sure you’re replacing them according to the manufacturer’s recommendations. Most filters are difficult to inspect for functionality, but a quick once-over is always good to ensure they’re not leaking.

Engines or Power Sources
A piece of construction equipment becomes an elaborate paperweight if the engine doesn’t start. Inspect the machine or batteries for electric vehicles, and ensure they are in good working order.

Lights
Check headlights and other lighting features at the beginning of each shift to ensure they’re all operational. Note any burned-out bulbs or lenses that look dull or cloudy, as all of these need to be addressed.

Safety Indicators
No one likes to see a safety indicator light glowing on their dash, but they’re there for a reason. Check for any new safety indicator lights when you start the vehicle for the first time. If any are present, follow the manufacturer’s recommendations for how to proceed.

Operator Safety Features
Seatbelts, mirrors, and other features designed to keep the operator safe come next. Ensure everything is working correctly, and don’t be afraid to take a vehicle out of rotation if something isn’t right.

Tires or Treads
The exact details of this checkpoint will vary depending on the equipment, but whether a vehicle has tires, treads, rollers, or some combination, they need to be inspected at the beginning of each shift. Any problems, from embedded nails to cracked treads, should be reported.

Pneumatic Systems
This won’t apply to every piece of equipment, but for anything that uses pneumatic or hydraulic systems to raise, lower, and manipulate arms and buckets, daily inspections are essential. These systems are kept under high pressure, and it won’t take much for a small leak or a bit of damage to cascade into something devastating.

Don’t skip inspecting your constuction equipment

Inspecting your construction fleet each day may seem like a waste of time, but preventive maintenance is worth the investment. Don’t skip an inspection day — you may find yourself missing something small that takes the entire machine offline for lengthy and costly repairs.

Author Bio: Rose Morrison is a freelance writer who covers construction and building design topics. She is also the managing editor for Renovated.

Other Useful Articles
The impact of poor equipment productivity on construction projects
What Size Equipment Is Right for Your Construction Project?
The Alarming Truth about Using Old Construction Equipment

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.

10 Comments

Subcontractor scope of works

18/6/2021

Subcontractors often play an important part on our projects.
When they fail Project Managers are quick to point the finger of blame at their Subcontractor.
But, perhaps the Subcontractor is not entirely to blame.
Often problems with Subcontractors start long before the Subcontractor begins work.

The wrong Subcontractor is selected. A Subcontractor who does not have:

The experience.
The resources.
The financial means.
Pride in their work.

Read choosing a subcontractor

The Subcontractor is not provided the correct project scope, or project conditions when they price the project.
The contract between the Contractor and the Subcontractor has omitted critical details, or has ambiguities and errors.
The Subcontractor made an error when they priced the work and they cannot complete the project for their price

In this article we look at preparing the scope of works that the Subcontractor must price.

Scope of works – what work must the Subcontractor perform

You need to decide what work is included in each Subcontractor work package.
Failure to describe the scope of works correctly could result in variation claims or change orders later.
Allocating work in a package which the Subcontractor does not have the skills for often results in problems.

Case study

On one project we appointed an Electrical Subcontractor to supply the lighting, which included external light masts.
When it came to installing the light towers the Subcontractor wanted to know where the concrete foundations were.
We assumed they were installing the foundations – but this was not in their contract.
We had to engage an Engineer to design the foundations, and then we had to construct the light tower foundations.
Extra costs we had not allowed for. And of course some delay.
The same thing happened when the Air-conditioning Subcontractor came to install the external air-conditioning units.
They wanted to know where the concrete footings were for their units.
Footings we had to get designed and then construct

Failure to allocate work correctly or properly describe the Subcontract scope

Failure to allocate work correctly could result in:

Work being missed that has to be later added to a Subcontractor’s work as a variation or change order.

This could cause delays.
It will result in extra costs which were not budgeted for.
The variation is often more expensive than if the item had been priced by the Subcontractor originally.

It could result in duplication with more than 1 Subcontractor allowing for the item.
Work packages which are too large may limit the number of Subcontractors available to take on the work.
Work packages which are too small could deter some Subcontractors, even increase the overall costs.
Work packages requiring a mixture of skills could deter Subcontractors.
Subcontractors may take on tasks they aren’t capable of doing

Preparing the Subcontractor scope of work

Understand what work will be done by Subcontractors.
Check the capability and availability of Subcontractors.
Group work by type and size to suit the capability of Subcontractors.
It may even be necessary to group similar work into time parcels so that a Subcontractor does not have an overly long gap between tasks.
Think about warranties – it’s not a good idea to split work where 2 or more Subcontractors could be responsible for something that fails. Work components should preferably be distinct and separable.
Ensure that the Scope is clear.
Be clear about who is supplying what.
Ensure work is not duplicated or omitted

Ensure your Subcontractor has everything they require to price the work

It's important to get the Subcontractor's scope of works right and articulate this brief in their pricing documentation and contract document. Failure to prepare the scope of works correctly could result in items being missed and extra costs during construction.
In our next article we consider what should be included in the Subcontractor pricing documentation so that they can price the works correctly. What to include in Subcontractor pricing documentation

Other useful articles
Is the cheapest really the cheapest? - adjudicating quotations
Selecting The Right Contractors and Subcontractors for Your Construction Project
What’s expected of your subcontractors? Do they know?

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.
One reader said: "I felt impelled to message you as I purchased your book, and wanted to thank you for the content, it has been very helpful."
Visit to read more.
The books are available in paper and ebook from most online stores including Amazon.

1 Comment

Don't save construction costs by doing this

8/6/2021

Image courtesy of TAW4 at FreeDigitalPhotos.net

Unfortunately contractors lose money on construction projects. Sometimes this happens more frequently than it should, and it can lead to contractors becoming bankrupt, and clients being left with an incomplete project.

Inevitably the contractor's management will be upset and blame the construction project manager for these losses. In previous articles What do you do when your construction project is LOSING money? and Is your construction project losing money? Do you want to find out why? we discussed how important it was for project managers to find the cause of the losses, and to take action to stop further losses and if possible recover the losses already incurred. We mentioned that there were often several reasons for losses and project managers needed to understand the underlying problem. Some reasons why projects lose money

Unfortunately some project managers take the wrong actions and try and cut costs where they shouldn't. This often leads to further problems.

How you shouldn’t save construction costs

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Although there will always be pressure to cut costs, especially on a construction project that’s losing money, you should never be tempted to cut costs by taking shortcuts, by falsifying test results, by using inferior products or materials that are the wrong specification, by ignoring good safety practices, by omitting materials, or using materials that are smaller or thinner than stipulated. This could lead to accidents, or structural defects that have to be rectified later. Inevitably they will impact reputation when the client finds out, as they almost certainly will. These ‘cost saving’ measures may help your construction project in the short-term, but they could tarnish your reputation, and the reputation of your company, for a very long time. So, even if these measures are encouraged or sanctioned by your senior management, never be part of these actions.

In addition, you should never try and make money from your subcontractors and suppliers by withholding money which is legitimately due to them. Nor should you impose back-charges on them for no valid reason. Your company will have other projects to construct, and subcontractors who have had to battle to be paid, or who feel they have been cheated of money, will be reluctant to work with your company again, or they will increase their prices to contend with these unfair practices. Ultimately your company will pay more. In fact when pricing new projects, if your company doesn’t get competitive quotes from subcontractors and suppliers then your company’s price will be uncompetitive, which will jeopardise your company’s chances of winning other projects.

Subcontractors who are paid on time and are dealt with fairly will usually try and help the contractor out when they’re in trouble (help you get the project finished), they will want to work for your company again, and they almost certainly will give your company their best price.

Conclusion

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No matter how bad the project losses, never sacrifice safety or reputation to save money. If you cannot find the reason for the losses, or cannot do anything to prevent the loss, you must just buckle down and get the project finished as quickly as possible, and at least deliver a quality project to a happy client, which could lead to further construction projects, which will hopefully be profitable. At least salvage something from the loss!

Of course knowing early that your project is losing money could help you take mitigating actions sooner to prevent the loss becoming worse. The CONSTRUCTION project MANAGER'S financial duties.

Other useful articles
Is the cheapest really the cheapest? - adjudicating quotations
12 Construction Project Cost Report Mistakes You Should Avoid
Are you working for free on your construction project?

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.

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Demolitions and cutting on construction projects

2/6/2021

5 Comments

Sometimes construction projects involve demolition of existing structures. On occasion clients change their minds after a structure has been built and they require the newly completed structure demolished, or a hole cut in it. Regrettably, on occasion contractors make mistakes, or work is of a poor quality, so a completed structure must be broken down. Demolition work is often dangerous and must be done with care.

Some examples of demolition accidents
https://www.abc.net.au/news/2019-09-04/sydney-booty-parlour-gym-destroyed-by-mistake/11476874
https://www.constructionenquirer.com/2020/01/15/worker-killed-as-excavator-falls-through-concrete-slab/
https://www.amny.com/editorial/two-workers-seriously-injured-when-wall-collapse-drags-down-scaffolding-during-harlem-demolition/

Cutting and demolishing safely on your construction project

Before demolitions starts, all hazardous materials must be identified and removed separately, where required demolition permits must be in place, electrical, gas and water supplies must be cut-off to the structures and the lines made safe, all salvageable material should be removed, safety steps must be in place to prevent injuries to workers and the public, exclusion zones must be clearly marked and enforced so that falling debris don’t injure people or damage property, steps must be implemented to minimise dust, areas to be demolished or removed must be clearly marked so that there’s no confusion or risk of the wrong structure being demolished, the right equipment must be used (equipment that’s too big may result in excessive vibrations or loads damaging other structures) and rubble should not be allowed to accumulate where it could block access or cause overloading to structures.

But, even on a normal construction site, often contractors have to cut or drill holes through walls and concrete slabs to make way for pipes and utilities. Cutting a wall brace could make the whole structure unstable, and it could collapse when there’s a strong wind or an external load is imposed on the structure. It’s hard to think that cutting one brace (sometimes only a few inches thick) could cause a whole steel structure to collapse, but unfortunately it has happened. Similarly, care must be taken when cutting holes in a concrete floor slab. Cutting through vital reinforcing could weaken the slab causing it to sag and crack. Some concrete slabs have tensioned cables and cutting one or more of these can lead to a serious failure. Therefore, always take care when cutting structures, in fact check with the design engineer that the hole can safely be cut there. Always check first before cutting.

Conclusion

Cutting and demolishing structures can be dangerous. Always thoroughly understand the risks and make sure the team takes the appropriate safety measures. Where necessary have an engineer check the structure before cutting or demolition works start. Always check that you are cutting in the right place - you wouldn't want to cut an opening in the wrong place, or demolish the wrong structure.

Other useful articles
Expect the unexpected in construction
Damaging existing services
Managing subcontractors on your construction project. What you should consider.

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.

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How Has Construction Industry Safety Improved Over the Years?

26/5/2021

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As long as we’ve had houses and other structures, we’ve had people who specialized in building them. Until the last 100 years or so, though, the idea of safety in the construction industry just didn’t exist.

How has construction industry safety improved over the years, and what advances are we still making to ensure workers are safe on the job?

A Brief History of Construction Safety

Nothing safe about this construction project. An accident waiting to happen!

One hundred years ago, construction safety looked a lot different than it does today. In the late 1800s and early 1900s, there were no safety measures to prevent people from getting injured or even killed on the job. While employees had the option to sue their employer for damages, their chances of winning were slim to none because employers weren’t liable for these incidents.

The U.S. government didn’t establish the National Safety Council until 1913, and it wasn’t until 1921 that a majority of the states had some sort of Workers’ Compensation laws on the books. OSHA, the Occupational Safety and Health Administration that we so often cite as the construction safety “bible,” didn’t make its appearance until 1971.

Even with all the advances made over the past century, there were still 3.5 fatalities for every 100,000 workers in the sector in 2019.

Safety on the Modern Construction Site

Safe work access

Construction site safety is something the industry is constantly trying to improve, with varying levels of success. Despite this, one out of every five workplace fatalities happens in the construction industry, the highest across every sector. What can companies do to improve safety on their work sites?

A safe work site starts with comprehensive and continual safety training. Everyone should receive the same training, and that shouldn’t stop once a new hire has completed their onboarding. Visitors and anyone who doesn’t work for your company should either be barred from entering the job site, or should be accompanied by a trained employee at all times to prevent incidents.

In addition to training, employees also need the tools and equipment to do their job safely. This should include, but not be limited to, personal protective equipment (PPE) like hard hats, safety goggles, ear protection, and gloves. All equipment and PPE needs to be maintained so it’s in good working order, and repaired or replaced as needed. Read 5 traits of the safest contractors.

Keep in mind that you will need different sizes of PPE for your various crew members. This is one part of life where one-size-fits-all just won’t cut it.

Looking Forward

Construction safety has come a long way in the last 100 years, from a time when we had no safety rules whatsoever, to now, when we’ve got plenty of rules to keep us safe. It’s not a perfect system, but it’s been a series of strong steps in the right direction.

Author Bio: Rose Morrison is a freelance writer who covers construction and building design topics. She is also the managing editor for Renovated.

Other Useful Articles
How poor safety costs your construction company money
Who is responsible for safety on your construction project?
Construction projects and high temperatures - do you know the risks?

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.

5 Comments

Collaboration in construction

18/5/2021

Frequently construction projects end over budget, are finished late, are of poor quality, cause injury or death to workers and even to those using the project after it's complete, contractors loose money on the project, or the project ends in protracted and expensive legal battles.

How can we improve construction project outcomes for all parties - client or owner, contractor, subcontractors, and suppliers?

Is it possible to have a project win-win for all parties?

How can we improve the success of our construction projects?

It is possible to improve the success of construction projects with better collaboration.

How to improve collaboration on construction projects

Some say that collaboration can be improved by using technology. How will this happen?

Can new forms of contract improve collaboration?

Who is responsible for improving collaboration on construction projects?

Join me with this presentation I gave as a CPD webinar as I share my thoughts and experience on how we can improve collaboration in the construction industry.

Successful construction projects are built by a team.
We should be striving for a win-win for all on our construction projects.
Our success should not depend on another’s failure.
Technology can aid collaboration on construction projects, but cannot on it’s own lead to collaboration.
We can work together.
Collaboration is in your hands.

Other useful articles:
Why construction projects go wrong before they even start – what should owners do?
Why owners sometimes employ the wrong contractor
Do You Have Good Communication On Your Construction Project?

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.

2 Comments

How to avoid construction disputes

6/5/2021

Frequently construction projects end in long and acrimonious disputes which can be costly, consume large amounts of time and energy, and which sometimes drag on long after the project construction work is complete. These disputes may end inconclusively with no winners - except perhaps the lawyers.

These disputes occur between clients/owners and contractors, between contractors and their subcontractors and suppliers.

In my last article Avoiding Construction Disputes I mentioned that I had resolved hundreds, probably more than a thousand, variation claims (change orders) with my clients amicably and without declaring a dispute.

Some recent examples of disputes
https://www.santafenewmexican.com/news/local_news/eldorado-hotel-sues-designers-builders-of-rooftop-swimming-pool/article_fe18b412-90b8-11eb-aafb-33f9dd971cfc.html
https://www.cincinnati.com/story/news/2020/09/02/forest-hills-says-subcontractor-has-grossly-exaggerated-money-due/5684289002/
https://therealdeal.com/miami/2020/09/09/miami-river-condo-association-alleges-10m-in-defects-lawsuit/

So how can we prevent disputes on our construction projects?

How contractors can avoid construction disputes

Contractors can avoid disputes if:

You have a good signed contract in place.
You take steps to mitigate and avoid changes and delays by warning the employer ahead of time when information or access is required, and by notifying the employer as soon as a variation or delay arises. The object should not be to trip the client/employer and their team up, it is more important to have a successful project.
You avoid some employers and some projects.
Your variation claims are clear, fair and right, with supporting documentation.
You keep accurate project documentation.
There is an approved construction schedule which is regularly updated, is in sufficient detail, and clearly shows milestones, links, and durations.
You regularly communicate with the employer and their team.
You are willing to engage and negotiate with the employer.
You try the cup of coffee approach. A meeting often solves an issue that 10 emails cannot!
You ask for expert help when necessary.
If the employer’s responsible person is unprepared to budge you may be able to meet with their manager or even talk to the employer directly.
It is possible to come up with other solutions to help the employer.
You do not fight the unwinnable.
You keep your emotions and ego out of your decisions.
You understand the other party’s argument and counter it with facts.
You admit when you are wrong.
You employ subcontractors and suppliers who are capable of delivering the project, not simply because they are the cheapest.
You ensure that you deliver a quality project on time.
You continually monitor the quality and progress of subcontractors and take prompt action to correct problems.

How clients and owners can avoid construction disputes

Employers can avoid disputes by:

Not selecting contractors on price alone. Select contractors who have the resources and capabilities to do the work. Contractors whose price is a fair reflection of what the project should cost. The cheapest price seldom works out to be cheap.
Ensuring there is a proper and fair contract in place.
Minimising changes and delays to the project.
Ensuring that the construction project and contractor are managed properly. This includes monitoring progress and quality as the project proceeds, and taking proactive steps with the contractor to rectify the problems.
Taking prompt action when problems occur on the project. Don't wait until the end of the project to find fault - it's usually too late by then.
Understanding the contract.
Promptly adjudicating the contractor’s variation claims (change orders) in a fair and impartial manner in accordance with the contract document. Ensuring you understand the claim before you reject it.
Communicating your decision on the merits of a claim to the contractor so it is clear what parts of the claim you reject and why.
Holding a meeting with the contractor to understand the basis of variation claims and the contractor’s calculations if these are not clear.
Not trying to profit unfairly from the contractor or take advantage of the contractor.
Keeping egos and personalities out of your decisions.
Making informed decisions in the best interests of the project.
Building trust and collaboration on the project.

Conclusion

Collaboration between contractors and the client or owner, collaboration between contractors and their subcontractors, a team effort can lead to a successful construction project for all. Good communication is essential to successful projects. Aiming for a project that is a win for everyone, rather than a winner take all approach.

It is possible to avoid construction disputes.

Other useful articles:
Why owners sometimes employ the wrong contractor
Are your subcontractors profitable? Should you care?
what makes a good client?

This article is from the webinar Avoiding Construction Disputes by the author and information included in author's book Construction Claims: A Short Guide for Contractors.
This easy to read book demystifies the claims (change order) processes ensuring entitlements are claimed. Learn when you can claim, how to make claims compelling, and the supporting documentation required to win. Your eyes will be opened to numerous events, costs and impacts. Knowing some of these tips could dramatically improve profits and avoid time consuming acrimonious disputes.
Also included is advice for contractors to avoid and defend claims from employers and subcontractors.

© 2021 This article is not to be reproduced for commercial purposes without written permission from the author.

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.

2 Comments

Avoiding Construction Disputes

27/4/2021

Image courtesy of franky242 at FreeDigitalPhotos.net

Regrettably, some construction projects end in long and acrimonious disputes between the employer and contractor, or between the main contractor and subcontractors.

These disputes appear to occur more often these days.

Frequently the only real winners from these disputes seem to be lawyers.

What are the costs of these disputes and are they worth it?
Why do disputes occur?
Is it possible to avoid disputes on our construction projects?

"Submitting a variation claim (change order request) is not a dispute. A dispute arises when the contractor and the employer cannot agree that the variation claim (change order) is legitimate, or they cannot agree the quantum of the claim."

Disputes also arise when one party does not fulfil their obligations in terms of the contract despite repeated requests from the other party to comply. For example; the employer does not pay the contractor, or the contractor fails to rectify faulty work which is due to their fault.

Although disputes are often characterized by a formal dispute resolution process, many disputes simply result in a breakdown in communication between the parties, threats, unhappiness, and a prolonged social media and mainstream media slanging match, which can lead to damaged reputations and be a distraction. Many disputes are left unresolved and fester on, while sometimes the slanging match leads to a further dispute, or legal action.

Examples of disputes gone wrong:
https://floridapolitics.com/archives/316849-downtown-st-petersburgs-bliss-condo-owners-sue-developers-over-shoddy-construction
https://therealdeal.com/miami/2020/08/03/codina-partners-affiliate-allegedly-owes-3-6m-for-downtown-doral-condo-construction-lawsuit/
https://www.chicagolawbulletin.com/nixon-peabody-get-3-6-million-attorney-fees-20200602

Is it possible to resolve variation claims amicably without declaring a dispute?

Image courtesy of Ambro at FreeDigitalPhotos.net

I have been involved with over 120 construction projects.
I submitted variation claims (change orders) on almost all these projects.
Some projects nearly doubled in value when we were granted the change orders.
Some projects increased in time by up to 80% when our delay claims were approved.
I settled all claims amicably with the employer, except two projects. One had a dispute adjudication board on the project, and this was used to resolve the issue. One project we employed a lawyer and declared a dispute because the employer did not respond to our claims – the employer eventually came to the table and agreed most claims without us going to formal dispute resolution.
I got most of the time and money I claimed in all these variation claims and change order requests.
Importantly we did further projects with most clients. In other words we did not damage our reputation despite the magnitude of these claims. There was little acrimony and no grudges held by either party.

So yes I believe it is possible to resolve variation claims and change order requests without reverting to legal actions and declaring a dispute.

Reasons for construction disputes

Image by Gerd Altmann from Pixabay

Contractors and employers seem to be becoming more litigious, literally suing for anything.
Construction now seems to be more about the winner takes all approach – can I get money for nothing, or can I get work done for free, rather than let’s make this project a success for everyone. Little teamwork and all about me.
Project managers have little understanding of contractual matters, and even less understanding of their current project contract.
Project managers are quick to abdicate responsibility for contractual matters to contract administrators and lawyers.
Projects are poorly managed by the client/employer’s side which results in numerous variations and delays.
Employers’ representatives cover their mistakes or protect themselves, denying responsibility for changes, delays and disruptions, expecting the contractor to make up the lost time and costs at their expense. This is dishonest!
Projects are poorly planned and managed by the contractor. This results in problems for the contractor and they try and recover lost time and money through variations.
The contractor does not control the employer’s team and allows variations to occur.
There is a lack of trust between the parties. This leads to a lack of cooperation.
Employers are focused only on price when selecting contractors. Can the contractor deliver the project? Does the contractor have a good reputation?
Contractors are focused on winning construction projects at any cost, with little thought for the project risks, the employer’s reputation, or the employer’s budget.
Contractor’s variation claims (change orders) are poorly prepared, badly presented, and often lack supporting documentation. Contractors believe that if there’s a change they must be granted what they ask. But the onus is on the contractor to prove the facts!
Arrogance and egos. I’m always right. Contractors/Employers are always wrong.

In the next article we will discuss why construction disputes are bad for the parties, and how to avoid construction disputes. How to avoid construction disputes

Other useful reading:
Don’t start construction projects without a proper contract
Is Your Construction Correspondence Losing You Variation Claims or Projects?
When Contractors Can’t Claim a Delay From Their Client on Construction Projects

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.

1 Comment

What to consider when formulating a construction delay claim

21/4/2021

6 Comments

From time to time construction projects are delayed by events outside the control of the contractor and due to no fault of the contractor. Also, on some projects there are scope increases which may require extra time to complete.

Contractors need to submit a delay claim (change order) requesting an extension to the milestone completion dates. This extension is necessary to avoid penalties or damages being imposed by the client. In addition the contractor can usually request to be reimbursed for the costs associated with the additional time.

Most contractors believe that using the approved Construction Schedule (Programme), with linked tasks and a Critical Path, they can simply input the delays and automatically get a new end date. Essentially this is true, but it doesn’t take into account some factors which could impact the new revised Construction Schedule.

What to consider when your construction project is delayed

1. The revised Construction Schedule may push certain activities into unsuitable weather seasons.
For example 1: the contractor may have planned to complete the excavations and earthworks in the dry season, but because of delays these activities are now pushed into the wet season. In some areas it can be impossible to carry out earthworks in the wet season, but at the very least the rains will cause additional delays which weren’t allowed in the original Construction Schedule.

Example 2: the original Schedule was prepared on the premise that the building being constructed would be weather tight by the time severe cold or rains arrived. Delays to construction could result in the building not being weather-tight before the onset of poor weather resulting in weather related delays which weren’t allowed in the Construction Schedule.

2. The revised Construction Schedule can cause underutilisation of construction resources and equipment, such as large cranes which may have to be re-established again on the project, or could be under-utilised for a period.

3. The revised Schedule may have resource peaks and troughs. This might result in resources (men and equipment) having to be removed and re-established on the construction project resulting in additional costs.

In fact will you be able to find the additional resources for these peak demands?

4. Pushing out the end date of the project may mean that specialist subcontractors and equipment might not be available as they are already committed to other projects.

Case study: On one earthworks project that was both delayed and increased in Scope, most of the equipment had been ordered for the original project duration and was committed by the supplier to another project at the end of this time. At the end of the original contract period the supplier removed all their equipment, even though we weren’t finished using it, and we had to source new equipment which caused us delays and additional costs.

5. Construction materials that have already been ordered may have to be delivered to the project site in accordance with the original Construction Schedule, even though they are no longer needed at that time. This could result in the site becoming congested. Also, the materials probably now have to be double handled, possibly necessitating additional transport and cranes to move them. The alternative is to store the materials and equipment off-site at an additional cost which would include security and unloading and reloading them. There’s also the additional risk of damage to these items with the extra handling and storage.

In addition the contractor usually has to pay for these items because they’re considered delivered by the supplier, but the employer may not pay the contractor for them until they are installed, which will be in accordance with the delayed Construction Schedule – with sometimes dramatic consequences for the contractor’s cash flow.

6. Moving the Construction Schedule out could also move the Schedule to coincide with statutory public holidays. These holidays cause further delays.

In some countries projects shut-down for an extended period over Christmas. Again this period further delays the project. But in addition if the original plan was to have finished the work before this holiday shut-down the contractor will now face additional costs of having to secure the project site and maintain their site facilities over this period.

7. In some cases the contractor may have planned their Schedule so that major concrete pours occurred before the holiday period. The concrete was planned to cure and gain strength over the break so no time was allowed in the Schedule for this activity. A delay may thwart this plan meaning that the concrete is only poured after the break and the curing time has to be added to the Schedule. A delay of a couple of days could impact the schedule by several weeks.

Other Useful reading:
Negative cash flow – the death for many construction companies
Will your next construction variation claim be successful?
Construction project variations – have you included all your costs?

Conclusion

Formulating a construction delay claim, extension of time claim (change order) is not always straight forward and there is much to consider. What are the knock on impacts of the delay, both in cost and time?

Having a detailed Construction Schedule (Programme) showing all the links, the critical path, and a Schedule that is fully resourced is an essential starting point. Of course it's also helpful if you included with your Schedule submission to the client certain key assumptions you made when formulating the Construction Schedule. This could include work that had to be completed before the start of the wet season, or concrete that needed to be poured before the holiday period.

Prepare your delay claims carefully to ensure you have not overlooked anything. Then make sure you detail in your claim all the impacts and costs. You normally have one shot to get it right.

This article is an extract from the book Construction Claims: A Short Guide for Contractors.
This easy to read book demystifies the claims (change order) processes ensuring entitlements are claimed. Learn when you can claim, how to make claims compelling, and the supporting documentation required to win. Your eyes will be opened to numerous events, costs and impacts. Knowing some of these tips could dramatically improve profits and avoid time consuming acrimonious disputes.
Also included is advice for contractors to avoid and defend claims from employers and subcontractors.

© 2021 This article is not to be reproduced for commercial purposes without written permission from the author.

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.

6 Comments

How to get value from your meetings without wasting time

15/4/2021

Image by Malachi Witt from Pixabay

Love them or hate them we all attend meetings and even call meetings. These days many meetings are held remotely via Zoom, Microsoft Teams, and similar, which at least saves travel time. Yet even so we still bemoan the fact that meetings waste time and often achieve little – even though sometimes we called the meeting.

In construction we seem to be always attending meetings. Meetings with the client, subcontractor meetings, staff meetings, and more. Some managers seem to love calling meetings. A meeting to discuss this, a meeting for that. Sometimes these meetings are a complete waste of time without any firm resolution or outcome. But, some meetings are important, and a properly managed meeting can yield satisfactory outcomes - yet even these meetings can waste more time than they should.

Can we cut down on wasted time and get value from our meetings.

Well let’s look at the top reasons meetings waste time.

Image by Jan Vašek from Pixabay

Avoid these 12 meeting time wasters

1. Meetings must start promptly.
Most meetings start 5 or more minutes late. If there are 6 people at the meeting then in total 30 minutes have been waste.

Why do meetings start late? Well it’s often due to someone being late. How selfish of them to keep everyone else waiting! Meetings should start on time, even if there is someone missing. Insist that everyone is on time – tardiness should not be tolerated.

Of course another reason for a late start is that some attendees are engaging in chitchat while others look on waiting patiently to get down to business.

2. People must arrive on time.
This sounds similar to point 1. But even when meetings start promptly time is wasted when the chairperson has to recap what has been discussed previously for the benefit of late arrivals, sometimes even giving them an opportunity to reopen some of the agenda items that have already been discussed and closed. When there are several late arrivals who trickle in at different times the recap can be repeated.

Sorry, the late arrival can read what they missed in the minutes. If the person who is late is required to give input into an item on the agenda then that item could be set aside for discussion when they arrive, and the meeting can move onto other items in the meantime. Why bore those who bothered to arrive on time with these recaps, wasting their time in the process.

3. Have an agenda.
An agenda must be sent out before the meeting so that people can prepare for the meeting. If necessary the agenda should have sufficient detail to ensure that particular items are discussed and that people come prepared. So for instance only to have ‘Quality’ on the agenda may not be sufficient. Under ‘Quality’ you may need to add subitems like, ‘Progress on Snag or punch-list items’, and ‘Closing out of non-conformance reports’, and ‘Status of quality documentation’, and ‘New quality problems’. Then people know what will be discussed and can hopefully be prepared with the information. The agenda also ensures items aren’t forgotten in the meeting.

4. Stick to the agenda.
Some people love hearing the sound of their own voice. It never ceases to amaze me what some talk about in meetings – items which have no relevance to the agenda, and even to the overall reason for the meeting. I think some people just want to show how important they are, or how busy they have been. If you’re not adding to the topic under discussion shut up. The chairperson should keep tight control on the meeting cutting short off-topic talk – or suggesting the conversation continues after the meeting.

Then you have people who bring up items which should have been discussed under a previous agenda item, or that is relevant to an upcoming agenda item. Again. Stick to the agenda and discuss items at the relevant time.

5. Representatives who attend the meeting must have the authority or knowledge to contribute to the meeting.
So we get comments like I don’t know, or I can’t commit to that until I’ve spoken to my manager. Or, worse, when their manager gets the meeting minutes they don’t like what their junior committed to, or said, and they dispute things agreed or said by their representative – thus wasting everyone’s time.

6. People attend attending the meeting should benefit from attending the meeting.
Often people are invited for fear of offending them if they aren’t included. Ensure only those relevant to the discussions attend. From time to time it may be necessary to explain to someone why you don’t think they required to attend – I’m sure they’ll be only too happy to be excused.

7. Everyone should be prepared for the meeting.
Read through the minutes before the meeting and ensure you have all the required info and questions ready for the meeting.

Image courtesy of suphakit73 at FreeDigitalPhotos.net

8. Don't argue over small points that are of little consequence.
Sometimes people argue points, or try and justify things, even when they know they are wrong. Learn to admit when you are wrong. Move on. Anyway, somethings are inconsequential in the big picture. After all it’s about getting the project done.

9. Meetings should have outcomes.
Frequently items are left unresolved, or a meeting is scheduled to discuss the item again.

Be clear in the meeting minutes or meeting record what was decided at the meeting.

If there’s an action for someone then the minutes or meeting record should name the person to action the item, and preferably a completion or due date to complete the task.

10. Meetings should not be side-tracked to discuss detail issues which only affect a couple of participants.
When the detail of an item comes up that does not affect the meeting and other attendees learn to ask those involved to discuss the detail after the meeting.

Image courtesy of franky242 at FreeDigitalPhotos.net

11. Keep emotions and egos out of meetings.
Stick to the facts. Meetings are not a place to air personal grievances, or make insults and derogatory comments about individuals. Sometimes it's best to ignore others who make personal comments, or when the discussion becomes personal and heated.

12. Meetings should not be rescheduled, or deferred, at short notice.
This inconveniences people who have planned for the meeting, and they often have to reschedule their time, even reschedule their other meetings. Keep to the schedule.

Ensuring meetings are beneficial

Often it’s good practice to have meetings. Properly organised and managed meetings can resolve issues more easily than a stream of emails. Putting all the people in the same room – physical or virtual – allows people to ask questions and come to an agreement.

It’s important that there is a record, or minutes, of the meeting.

The person leading or chairing the meeting needs to sometimes lay down the law, even perhaps be rude on occasion, to ensure that the meeting does not waste time and maximises outcomes. Of course this does not mean cutting people short so that alternate opinions or positions aren’t discussed, rather it’s about sticking to the purpose of the meeting and keeping the discussion on track, and where necessary reaching agreement and setting direction.

Are you guilty of wasting time at meetings?

What do you do to keep meetings as short as possible and ensure they achieve satisfactory outcomes?

Other useful articles:
Time management
Daily reports
How you can make your next construction project more successful.

Do you want to learn how to manage construction projects successfully

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Staffing Construction Projects

8/4/2021

I frequently get asked how many workers can a Supervisor or Foreman look after? Or, how many people do I need to supervise and manage my construction project?
Well the answer to these questions depends on a number of factors which we discuss in this article.

I’ve often been on construction projects which were understaffed. In fact I’ve probably been guilty of having too few staff on many of my construction projects. This creates stress for the Project Manager and other staff, often resulting in them working excessive hours, sometimes making inappropriate decisions because they’ve not had time to analyse the facts correctly. Safety and quality are compromised because staff spend inadequate time on the project site ensuring the work meets the required standards. Details get overlooked. Productivity of the workers is often poor since they are not supervised effectively and don’t have the materials and equipment to execute the tasks because their managers haven’t ordered them.

Of course the converse is also true and the construction project shouldn’t be over-staffed with too many managers and supervisors. Too many people not only leads to inefficiencies and additional costs, but can result in people becoming bored.

Image by Michal Jarmoluk from Pixabay

What impacts the staffing on construction projects

The number and type of staff required for a construction project depends on a number of factors including:

the client’s specified requirements of the type and number of staff the contractor must provide
the size of the project
the complexity of the project
the size of the client’s team
how good the client’s team is and whether they’ll be able to deliver quality information on time
the duration of the project
whether additional shifts or night work is required
the skill level of the contractor’s workers
the construction methodology
whether the contractor will self-perform or subcontract work
the distance between work areas or the size of the area that the project site covers
the type of work
the skills and experience of the contractor’s staff

Do you always require the best and most senior people for a project?

Sometimes the contractor doesn’t have to use their most senior or experienced staff on a construction project; in fact sometimes senior staff can be detrimental on small construction projects as they:

become bored and consequently unhappy
they are often expensive so aren’t cost effective
they may come with a big team
they are used to working in a big team, with the support of junior staff, so are unable to work on a project where they are expected to do all the work themselves

Some staff are more used to, or suited to, working on their own. When they’re placed on a large project working with others and sharing their resources they become unhappy and cause problems.

Important notes for staffing construction projects

Staff must:

be aware of their areas of responsibilities
know who reports to them and who they report to
understand what documentation and deliverables they are responsible for and when these must be completed (for example updating schedules, handing over safety documentation and submitting time sheets)
be aware of their limits of authority and the authorisation processes
understand the company’s systems, standards, policies and procedures
be competent, with the required knowledge and experience to fulfil the tasks they’re required to do
deal with clients, their representatives, subcontractors and suppliers in a professional manner
be able to work as a team with the rest of the contractor’s staff

The project should have an organisation chart which shows the staff, their positions, responsibilities and reporting structures.

Other Useful articles:
What does it take to manage a construction project?
Before starting your next construction project ask these questions
how to effectively manage construction projects with a large workforce

This article is an extract from the book 'Building a Successful Construction Company: The Practical Guide.'
© 2021 This article is not to be reproduced for commercial purposes without written permission from the author.

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.

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Top 5 Software for Construction Project Planning and Management

11/3/2021

3 Comments

Image Source: Biancoblue - Freepik.com

The construction industry like any other industry has evolved during the years bringing innovative projects that will mark the future. Striving for change and transformation, this industry has introduced numerous tech solutions that focus on successful project delivery, and better collaboration and communication among managers, planners, and overall team members. In the article that follows, we will explain how construction management software solutions become the leading power in the industry, plus we will touch base with the top five apps to manage construction projects.

What is Construction Management?

The practice of planning, analyzing, monitoring, and overall managing construction projects from start to finish is called construction management. The goal of construction management is to deliver construction projects successfully on time and on budget. Being a complex practice, the best way to manage construction is to use construction management software.

The Rise of Construction Management Software Solutions

At its most basic, construction management software helps project planning and control through various operations such as estimation, budgeting, scheduling, resource coordination, and the effective use of a project’s time, cost, and quality. In brief, construction management software has been created to simplify the communication between project participants, increase transparency, share documents in a timely manner and develop techniques for resolving conflicts.

Not long ago, construction project management consisted of documentation and methodology. Even though the focus of the construction industry has always been successful project delivery, there was limited use of project management software. This eventually produced a lot of documents and managing resources through them was hard and painstaking. However, as a result of technology expansion, planning and running construction projects became much more complex. Traditional methods and processes became unable to handle larger budgets, integrate multiple disciplines, manage the increased number of project participants, tighter schedules, stringent standards, etc. This was especially evident in the construction industry when companies started to waste millions of dollars every year due to a lack of project planning, organizing, and data transparency. Many managers faced cost-control boundaries, and inadequate communication, which lead to not having a common understanding of the project’s state at any given time.

Under such circumstances, the daily efforts were not aligned with the project goals and tasks. Furthermore, the construction project was unable to be observed as a system due to the absence of efficient real-time reporting infrastructure and task management software. Companies fail to forecast and calculate labor productivity for the next period, which causes the unavailability of resources for equipment and materials. This mindset led to poor productivity and systematic issues making it impossible to reach a deadline while staying and passing quality standards.

The need for implementing a managerial tool in construction management practices was inevitable. The main objective of this tool was to increase the efficiency and accountability of everyday tasks such as planning, designing, estimating, and developing effective communication between project participants.

Top 5 Construction Project Management Software

With the varying number of construction tools that exist, it can be confusing to decide which software best fits your needs. To help you find the best solution, we cover the top 5 construction management software:

1. Oracle Primavera P6 – The Standard for Planning and Scheduling

With over 30 years of existence, Primavera P6 has been considered as a standard for project-intensive industries. Developed to help companies optimize resources, this software provides solutions to plan, build, and manage projects of all size by using real-time data. Robust, and easy-to-use, it the software integrates project and portfolio planning and delivery teams for planning, resourcing, risk mitigation, scheduling, and program management.

Basic features:

Resource allocation and management
Reduced risk of schedule overruns
Project performance visualization
Integration with financial management and HCM systems
Resolve overallocation through leveling or changing resource assignments.

Providing standards for planners, schedulers, and project controls, Primavera P6 has opened the market for new third-party tools to enhance its working environment by introducing XER files. There are many solutions that can be used along with P6 such as viewers that allow you to open .xer project schedules without a P6 license. Also, some of these XER viewers provide possibility for analyzing project schedules and generating reports.

2. Procore – Connect everyone on your project with one platform.

Procore is one of the most popular cloud-based construction management platforms in the market that helps construction firms manage risks and build quality projects. This app has user-friendly interfaces. The platform includes features like bid management, daily logs, job site tracking, emails, meetings, project photos, punch lists, RFIs, scheduling, project specifications, submittals, timecards, and transmittals.

Basic features:

Construction project management
Bid management
Construction site safety management
Construction accounting
Jobsite tracking
Easy to use

Procore gives your team access to review, create, edit, and share project data with team members from various locations. Along with project management, Procore keeps team members together even if they are in different locations.

3. BIM 360 – Connect your workflows, teams, and data.

As a cloud-based construction management tool, BIM 360 is developed to suit engineers, architects, designers, contractors, and other construction professionals. It is designed to help project members to make informed decisions, to speed up the delivery of their projects adhering to industry standards and project specifications.

Basic features:

Revit-based work-sharing
BIM coordination
Bid management
Quality management
Jobsite safety management
Design review and change visualization
Track key performances indicators

BIM 360 enables managers to have absolute control over their project and resolve issues faster because of dashboard coordination, design visualization, and racking real-time data. This software is part of the Autodesk Construction Cloud.

4. Powerproject

Designed to support construction planners, Powerproject is one of the leading project management software solutions for construction. It is available as a standalone, enterprise, or cloud app that combines drag and drop functionalities with numerous features.

Basic features:

Bid management
Budget management
Job scheduling
Real-time scheduling
Resource scheduling
Reporting/analytics

Previously known as Asta Powerproject, this software holds an integrated BIM module for 4D planning by combining a 3D model and project plan.

5. Corecon – Cloud-Based Construction Software

Designed to optimize collaboration and workflows, Corecon integrates stored information into a singular database to maximize project profitability. The software suite helps contractors better track leads and projects, as well as manage bids, contracts, and documentation. Moreover, Corecon provides various modules for estimating, procurement, vendor bid management, documentation, time tracking, and more to ease the work of all team members.

Basic features:

Construction project scheduling and management
Bid management and construction estimating
Construction project accounting
Field staff management
Integration with third-party accounting programs

Corecon can be accessed via browser or mobile so your team can make quick and informed decisions regardless of the physical location.

Closing Thoughts

What is the best construction management software solution after all?

All software solutions have similar features, but the same goal: to help construction managers deliver projects successfully. In this article, we reviewed 5 solutions that will narrow down your choices when choosing a construction management app. Each platform is suitable for construction projects of different sizes and data complexity, you only need to find the one that best suits your needs.

About the Author
Vivien Goldstrong is a Consultant, Author and Planning Manager with 22 years of experience and expertise in implementation and consultancy related to Oracle Primavera P6. You can read her blog here: https://projectschedulepro.com

Other useful articles
10 reasons why a construction schedule/program is useful
project scheduling - the relationship between time and cost
requirements of a Project schedule

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.

3 Comments

Most Popular Commercial Roofs and Roofing Materials

2/3/2021

54 Comments

Every commercial building needs to have the latest upgrades to achieve exceptional functionality—one part of the building you need to keep an eye out for frequently is the roof. While you may think it’s merely a roof, you should remember that it protects the people inside your building. Moreover, modern roofs nowadays can do more than protect everyone inside from outside elements.

If you are working in the construction industry, you need to know the different commercial roofs you can install for your projects. Each roof can provide specific advantages that will suit your needs, but they have the same role: to protect your building’s interior. It would be best if you knew about them to know what roof type the contractors should use for the construction project.

1. Metal Roofing
The first roof type that you may have seen everywhere is metal roofing. Metal roofing is a popular choice for residential and commercial buildings because they are affordable and relatively easy to install by roofing contractors. However, metal roofing has variations because manufacturers mix other metals to create another type. Here are several examples of metal materials for roofing:

Aluminum
Copper
Tin
Stone-coated steel
Lead
Metal tile sheets
Aggregates

While using metal roofing is cheap, you should know that it’s susceptible to rust, especially when exposed to prolonged weather elements such as rain, snow, and heat. But what makes metal roofing the best option for some commercial building owners is its attractive, finished look. Another benefit of it is that it’s fire-resistant, so you won’t have to fret about your roof catching on fire anytime soon. If you want a durable roof than most traditional commercial roofing choices, you should choose metal roofing.

2. Membrane Roofing
Another commercial roofing type you might want to install is membrane roofing, also known as flat roofing. You can find that most commercial and industrial buildings have membrane roofing because of its many benefits. It comprises multiple layers of different roofing materials, but nowadays, you can find single-ply membranes.

The reason most buildings have membrane roofing is that it’s relatively easy to install, ensuring you get to enjoy your new roofing at a moment’s notice. Another great thing about it is the lost-cost maintenance. For other roofing options, you might need to spend extra dollars to get it fixed or maintained.

3. Modified Bitumen (MB) Roofing
The modified bitumen roofing is closely related to the Built-Up Roof (BUR), and it is asphalt-based roofing material. Roofing contractors would specifically install it for commercial buildings with a flat roof surface. In most cases, roofing contractors install MB roofing systems to rooftops as a two-ply system, stuck to the roofing deck for maximal protection and stability.

Like with the membrane roofing, you only need minimal maintenance for the MB roofing, and you can easily have maintenance personnel clean by washing. They provide maximum tensile strength than other flat roof types that sustain heavy foot traffic. If you have people visiting and walking on the roof most of the time, you should choose MB roofing as your roofing material.

During maintenance season, you should install a roof hatch on your building to provide easy access to the roof. Most facilities install it because roofing contractors and maintenance personnel don’t need to prop a ladder to the building’s side. All they need is to go to the top floor, climb up the ladder, and go through the roof hatch. If you want to learn more about it, visit Best Roof Hatches’ website today!

Author Bio: Best Roof Hatches is a trusted supplier for your roof hatches needs or for any commercial construction roofing project. For more inquiries or more help, visit our website.

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.

54 Comments

Repairing construction defects properly

18/2/2021

8 Comments

Have you had to go back to a project long after completion to fix something?

Was it easy?

Did it cost money?

Did you enjoy it?

Covering up defective construction

Often Contractors turn a blind eye to potential quality problems.

Mistakes get covered up by dirt, concrete, sheeting and paving. Hopefully never to be found by the Client, or anyone else in the future.

Some Construction Project Managers are adept at walking Architects, the Client and Quality Inspectors past poor quality. It’s sometimes easy to distract the person and get them to look elsewhere, or temporarily block the offending work from view.

Some Contractors even carry out clandestine operations after hours to quickly ‘patch’, or hide, defective construction work.

Unfortunately often these defects manifest themselves later – sometimes with devastating consequences with loss of life such as collapsed buildings.

The cost of ignoring building defects

Contractors are usually responsible for repairing visible construction defects for a period of 3 to 12 months after the construction project has been completed. But defects that have been hidden, will have to be repaired by the Contractor when these problems eventually become visible. Usually Contractors are liable for these defects up to 5 to 10 years after the construction project is completed, and in some jurisdictions they’re even liable for ever. Would you like to be called back to repair a defect 5 years after the construction project has been completed? Of course not!

But Contractors regularly hide defective construction work. Damaged pipes are covered over with ground. When the leak is eventually noticed the area could be covered by paving, or if it’s under the house then by concrete floor slabs, carpets and more. Repairing a simple cracked pipe could cost thousands when finished floors have to be ripped up inside someone’s house – compared to a few dollars if it’s fixed during construction. But sometimes the problem causes even more damage, think of a roof leak. Water from the roof could enter the house and damage ceilings, cupboards and even furniture. A simple construction defect can cost thousands to fix later. It also reflects poorly on the Contractor’s reputation.

It’s therefore imperative that construction defects are repaired properly when they are first noticed so that they don’t cause a bigger problem later. Don't wait for the Architect or Engineer to notice the problem. Defects should be repaired as soon as possible while they’re still easily accessible. Waiting until the end of the project may result in other completed work being damaged when the defect is repaired, and access may be more difficult. In addition, the skills and the materials required to fix the problem may no longer be available on the construction project and they’ll have to be brought back to the project at additional cost.

Quality problems must be fixed properly

It’s sometimes tempting just to patch over poor quality construction work and quickly cover it up. But will the problem actually be fixed, or will it manifest itself later, maybe even after the project is completed.

Next time you try and cover-up, patch, or hide poor-quality construction work and defects, consider the consequences of your action. The problem may very well come to bite you later, costing your company additional money and impacting your reputation.

Rather take the time to do the task properly. Be proud of your completed work.

Mistakes will happen, but make sure they are fixed properly so there aren’t problems in the future

Other Useful articles:
Does anyone give a …. anymore?
The true costs of poor quality construction
How we can improve quality in construction

Do you want to learn how to manage construction projects successfully

Click on picture to view books 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.

8 Comments

Protecting Completed Construction Work

11/2/2021