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BIM Visualizes the “How,” Unlocks the “Why” and Provides a Relationship Value-Add

May 11, 2010 in Construction Trends, Customer Relationships, Leadership, Management, Projects, Technology, Tips from the Field | No comments

Last week, I mentioned a partnership I’ve fostered with WP2DC, the company who designed and implemented a cloud-based application for Stewart Perry. We’ve managed to get all our internal information into an easily accessible virtual file cabinet. As a result we’ve cut out a lot of duplicated efforts.

Using a Building Information Modeling (BIM) is our next goal for being more efficient and a better resource. The American Institute of Architects defines it as a “model-based technology linked with a database of project information.”  Basically, BIM catalogues a structure throughout its lifecycle in real time 3D. All the details—from design, to functionality, to construction, to operation—are accessible from one file. We had a project T’d up using BIM and because of the Recession the project was delayed. We believe that BIM will be a huge value-add for our customer relationships. That’s because, for us, BIM will:

  • improve project visualization
  • improve productivity with easy retrieval of information
  • increase coordination of construction documents
  • isolate and define scope of work
  • increase delivery speed
  • reduce errors
  • reduce costs

BIM will allow us to harness technology to drive long-term improvement in project delivery. It’s a soup to nuts philosophy. If problems come up down the road, building owners can look at how a facility was designed, engineered and built. They can address problems with a holistic approach, often saving them tons of time and effort trying to track down the unknown.

BIM is a huge tool for establishing and continuing relationships. However, I won’t recommend BIM without a word of warning. Adaptation means you’ll have to change the way you look at building phases. There’s a lot less alpha and omega and a lot more ebb and flow. Architects, engineers, contractors and other stakeholders will be sharing more information than they’re used to. It’s more effort up front, but in the end, BIM bridges the information loss often associated with handing a project from design team to construction to owner/operator.

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Merrill Stewart is Founder and President of the Stewart Perry Company, a commercial building contractor based in Birmingham, Ala. Contact him via email.

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Increase Efficiency by Turning Vendors Into Resource Partners

May 7, 2010 in Customer Relationships, Leadership, Management, Projects, Technology | No comments

Around here, everyone knows that when we enter an agreement to purchase goods or services we look at it as a two-way street. We want to both give and get more from a project than just the transaction.

Last year we entered an agreement with WP2DC, a very capable technology firm in Los Angeles. They helped us launch a cloud-based data system for our new business leads. It’s been a huge asset for my team, allowing us to keep all our data in a centralized location. We now have one place to store everything and seamless Internet access to our information, even if we’re offsite. We’re up and running, but true to form, that’s not end of our relationship.

Over the past eight or nine months, the principals of WP2DC and I have regularly exchanged our thoughts on what we are seeing in the market. Our most recent conversations have been about the various tablet devices that are coming to the market, the iPad in particular. We discussed how these might specifically be integrated into a useful purpose for our company. I have learned that WP2DC is a great source for tech information and they look to us for applications. Through the leverage we are both stronger.

I think you’d be amazed at what building a relationship with vendors and subcontractors can do to improve your business model. In turn, you’ll ramp up their efficiency. Both companies win. A little communication is all it takes.

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Merrill Stewart is Founder and President of the Stewart Perry Company, a commercial building contractor based in Birmingham, Ala. Contact him via email.

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In Management, a Feast Can Be Just as Challenging as a Famine

April 15, 2010 in Customer Relationships, Leadership, Management, Projects | No comments

Being involved with the management of a construction company, I am constantly thinking about balance in our workload. Are we outrunning our infrastructure? I’ve discovered that having too much work is as challenging as having too little.

That’s because we walk a thin line as contractors. For that matter, most service businesses do. We are all about long-term customer relationships. Having too much work within a given set of resources leads to failed customer expectations—that’s certainly harmful over time. Toyota provides an example of what not to do.

When the Japanese automaker first arrived in the U.S. in 1957, it was obvious they still had much to learn about American culture. The first car they offered U.S. buyers was called the Toyopet Crown. It was underpowered, uncomfortable and unsuccessful. While they failed at the first attempt, Toyota learned how to provide quality automobiles and service to its customers. By 2007 it had passed General Motors and become the leader in U.S. sales.

However, rapid growth during the past 15 years created problems for Toyota. Somewhere along the way, Toyota outran its infrastructure, and to me that was one of the things that led to the automaker’s recent safety problems with gas pedals and brakes.

I encountered a similar situation during the early days of Stewart Perry when we worked with an overwhelmed customer relationship. I learned a valuable lesson from that experience and I have often thought about the steps that need to be taken to avoid having the same problem occur here. I’m sure the same is true for you. Whether you are a real estate firm, a design firm or a construction firm, how do you provide superior service that bonds you with customers?

While we all wish to be more successful and enjoy increased sales and profits, success also brings about a greater responsibility to your customers and to the team. It is one thing to tell people what you are going to do. It is quite another to actually go out, get it done, then do it again and again, always performing at a high level.

Here’s what we’ve done in attempt to keep from outrunning our infrastructure:

  • Whenever a new opportunity comes into the office, we post it on Quick Base, our cloud data central. The team is notified of a new opportunity and can comment on the resources it will require.
  • Every Friday I receive an updated management resource grid, which allocates our project superintendents and managers to specific jobs in progress and pending.
  • I periodically make personal contact with our customer relationships to make sure we are taking care of their needs. I call, email or both.
  • I listen at the coffee machine and around the office for signs of stress that need to be addressed. If needed, we apply team resources to get the problem solved for the customer.

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Merrill Stewart is Founder and President of the Stewart Perry Company, a commercial building contractor based in Birmingham, Ala. Contact him via email.

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Can Drywall Be Green?

April 14, 2010 in Construction Trends, Green Building, Projects, Technology, Tips from the Field | 1 comment

Drywall going up on one of our projects is always a welcome sight. It means that we are in the “final lap,” meaning the structural, mechanical and electrical components of our project are complete. As we’ve evolved into a greener construction company, choosing the right drywall has become a major conundrum. The harmful affects of Chinese Drywall and gypsum have been in the news a good bit lately and we’ve been researching alternatives.

Fortunately our company never used any Chinese-manufactured drywall in our projects, mostly because we try to buy local. As it turned out, Chinese Drywall had unusually high levels of hydrogen sulfide, which significantly increases corrosion of metals, specifically silver and copper. Claims are that it blackened metal in or near electrical fixtures, appliances, plumbing and air conditioner coils.

From my perspective, the Chinese Drywall situation occurred because of a shortage or created shortage of drywall supply in the U.S. Last week the Department of Housing and Urban Development released a report stating they recommend complete removal of all “Chinese Drywall.”

Beyond the Chinese drywall problem, paper wrapped gypsum drywall was one of the great postwar building material advances. It replaced lath and plaster, making the construction process faster and less expensive. The downside is that gypsum drywall is made of calcium, sulfur and water. The production is a major contributor of greenhouse gas.

The process starts with crushed gypsum “cooking,” which removes the water but also produces tremendous amounts of CO2 and water vapor. The dried gypsum is mixed into a water-based slurry and wrapped between thick sheets of paper. This “wet” drywall must then go into a gas fired drying process again, which produces even more CO2 and water vapor. The production of gypsum drywall combined with the production of cement creates nearly 12% of the manmade CO2 in our atmosphere.

So we’re back to the original question: Can drywall be green? The answer is for now, it can be green-er, but we’re looking for ways to make it entirely planet friendly. Here’s how:

RESEARCH. Several manufacturers are trying to find new approaches to reduce or eliminate the CO2 and water vapor results of gypsum drywall production.

ECO ROCK. Produced by Serious Materials, this drywall uses “slag” from steel and glass blast furnaces. Slag is a leftover that furnace operators used to throw away. Although there’s been CO2 in its making, the logic is we might as well use it as it’s already dehydrated, can be made into slurry and pressed between fiberglass sheets. It doesn’t need to be dried, so both CO2 producing processes are eliminated.

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Merrill Stewart is Founder and President of the Stewart Perry Company, a commercial building contractor based in Birmingham, Ala. Contact him via email.

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What Does the Customer Really Want?

April 1, 2010 in Customer Relationships, Leadership, Management, Projects | No comments

It’s a million dollar question that I ask myself daily. I think the answer lies in service, especially in these times. While I do believe that the economy is getting better, we have to remember that the downturn has made clients more mindful of the way we walk them through a build. Nearly 1 in 3 construction industry employees is out of work. If a customer’s experience isn’t top notch, someone else is eager to provide. Now more than ever, customers can and will go elsewhere.

The service experience, good or not so good, has an impact on the customer’s continued relationship with contractors. This, combined with downward pressure on pricing and margins, makes it tough for all of us. We are often dealing with subcontractors and vendors who are stretched—financially and resource-wise.

Last week, one of my customers said, “The initial bid is only the first step in a project.” How true. Quality and price are important, but it’s a long way to true customer satisfaction at the end of a project. That’s where the experience comes in. Customers need to feel they are in control. Brands can become commodities, and it’s important that we are constantly working toward superior experiences for our customers.

So what’s the value leveler? Or, in metaphoric terms, “How much do we wax the floors to make sure our customer is satisfied?” If you clean and wax them too much, you waste resources of time and money. If you don’t’ wax them enough, the customer may sense this and take their business elsewhere.

The service experience is the new differentiator, equal to price (almost) and quality.

Here are things that in my experience have proved solid for providing memorable service and a unique experience:

Do what you say you are going to. If an unavoidable situation causes something to get behind or fall through, communicate.

Show you care from day one. Be involved and empathetic, from the beginning to the end and beyond.

Listen with both ears. Tune yourself to see potential pitfalls before they become actual mistakes. Ensure project requirements are truly understood.

Admit mistakes. If you make a mistake, relay information quickly and honestly. Hopefully it is with a customer relationship who understands.

Seek your opportunity to go above and beyond. Provide that extra touch of care where you see the chance.

Follow-up. Check to ensure customers are satisfied, immediately after the project and again after the warranty period. If there’s a problem, correct it or be a part of the solution.

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Merrill Stewart is Founder and President of the Stewart Perry Company, a commercial building contractor based in Birmingham, Ala. Contact him via email.

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Are Good Manners the Next Trend in Construction?

March 23, 2010 in Community Service, Construction Trends, Customer Relationships, Management, Projects, Tips from the Field | 4 comments

As business leaders, I think it is always good to stay in the loop and try to identify current industry trends. We want to be on the front end of things that are moving in the right direction. I’ve written about economy-related pricing trends and green building, but what’s on the horizon now? I think we’re about to see a little more of the Golden Rule in action. Maybe this goes along with the reuse, recycle and sustainability aspect we are seeing on sites. Maybe it’s a trend toward job sites that are friendlier to consumers as well as the total environment. Here’s why.

I recently read an article in Architectural Record about the city of New York pressing contractors to present a more positive image on city construction sites. While the approaches vary, the theme is not so different from an initiative I stumbled upon in London last fall.

The UK Considerate Constructors Scheme is a national project founded in 1997. Sites and companies that register are monitored against a “Code of Considerate Practice” designed to encourage best practices beyond legal requirements. The Scheme covers any area of construction with direct or indirect impact on the image of the industry as a whole, and focuses on 3 categories: the general public, the workforce and the environment. More than 40,000 sites have participated so far.

So what does the Code of Considerate Practice include to protect builders from getting a bad rap and improve industry image? Here are the 8 basic premises for site evaluation and grading:

  1. Considerate: Does the site minimize inconveniences for all those who may be affected by the work?
  2. Environment: What is the site doing to minimize impact on the environment?
  3. Cleanliness: Is the site doing all it can to appear tidy and well presented at a standard the industry should be proud of?
  4. Good Neighbor: How well is the site communicating with those who may be interested/affected? What impression will contractor leave behind when finished?
  5. Respectful: Does every person on the site create a positive image of their company and the industry?
  6. Safe: Is there a proactive approach driving up safety standards?
  7. Responsible: Is the contractor playing a role in the recruitment and training of the industry’s future workforce?
  8. Accountable: Is the contractor accountable and accessible? What is being done to create a sense of pride in working in construction? Are there any measures taken on the site that could be classed as exceptional and unique?

How’s that for a report card? If you could improve your grades in those 8 areas, think about what you could do for your community and your business. It’s happening in London. It’s happening in New York City. Can you make it happen in your city?

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Merrill Stewart is Founder and President of the Stewart Perry Company, a commercial building contractor based in Birmingham, Ala. Contact him via email.

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True Character Shows When We’re Forced to Use Plan B

March 4, 2010 in Leadership, Management, Projects | No comments

When we prepare for projects, we have a plan A (or better said a construction schedule) but with backup plans B and C. Experience tells us to plan for success but leave room for contingencies.

I saw a similar scenario played out in the opening and closing ceremonies of the Winter Olympics. Recall the Vancouver Convention Centre opening ceremony when the center flame cauldron rose up from the floor. Wayne Gretzky, Steve Nash, Nancy Greene and Catriona LeMay Doan marched to center court with their torches. After arriving in position, the four athletes held steadfast, waiting on the word to light the Olympic flame. It seemed like they stood there forever. There was a problem. Only three of the smaller cauldrons had emerge, and there was supposed to be a fourth.

Ms. Doan stood there with nothing to light. Plan A had gone wrong.

At the closing ceremony, the mistake was transformed into a success. Instead of downplaying the problem from the opening ceremony, Ms. Doan marched in alone carrying her torch. The fourth cauldron emerged from the floor and she finished the job of lighting it. The crowd erupted with cheers and applause. I felt the same way watching from home.

To me, the closing ceremonies Sunday evening were the best ever. This ceremony was particularly good because they took plan A from the opening ceremonies and, with style, turned it into plan A+.

I think there’s a good lesson here for all of us to remember when plan A fails. You can turn lemons into lemonade. Take a deep breath and take your time figuring out how to adapt to the situation. Anyone can perform well when the sailing is smooth, but it’s navigating the rough waters that shows us what we’re really made of.

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Merrill Stewart is Founder and President of the Stewart Perry Company, a commercial building contractor based in Birmingham, Ala. Contact him via email.

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How a Side Trip Whet My Appetite for Good Cuisine

February 2, 2010 in Local Craftsmen, Projects, The Weekend | No comments

There’s no better way to bring friends, family or client relationships together than by savoring a good meal in each other’s company. That’s made my interest in the culinary world more personal.

An opportunity to explore the field presented itself last Friday afternoon. I was traveling back from one of our Pennsylvania projects and found myself within a short drive of The Culinary Institute of America in Hyde Park, NY. (Many call it the CIA, but I find that’s easy to confuse with the Washington agency.)

The Institute is truly amazing. Founded in 1946, it began as a small cooking school for returning WWII veterans. It has now grown to a beautiful main campus overlooking the Hudson River and two additional campuses in Austin, Texas and the Napa Valley. Approximately 2,800 students from every state in the union and several foreign countries are attending our most respected college for chefs.

This place has earned its respected status. The Institute is supported by the likes of Marriott and Hilton. An on campus hall of fame includes Julia Child, James Beard and many other noteworthy American leaders in the field. I’m convinced the CIA put our country on the map as a world leader in culinary arts. Here’s how:

There are five 100 percent student-run restaurants on campus. The chefs, waiters and staff at American Bounty, Apple Pie Bakery, Escoffer (serving unbelievable French food, I am told), Ristorane Caterina de’Medici and the St. Andrews Café are all enrolled in the school, making for well-rounded graduates. Outside of the restaurants the public sees, there are about 40 professional kitchens and bakeshops along with computer labs, extensive culinary libraries and dormitories on campus. The result is the optimal learning environment for our future culinary artists.

What’s more, the CIA offers extensive educational short courses (2-4 days) for those of us non-professional cooks. It sounds like a great weekend getaway—the best way to enjoy the beautiful scenery overlooking the Hudson. I can’t wait to get back.

Since I know many travel to New York City for business on a regular basis, I couldn’t resist sharing the treasure I found in the CIA. Hyde Park is an hour or so north of the city, so it’s an easy side trip that I highly recommend. You can support the next generation of American all-star chefs and walk away with food for thought.

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Merrill Stewart is Founder and President of the Stewart Perry Company, a commercial building contractor based in Birmingham, Ala. Contact him via email.

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How to Spend Wisely When Choosing an HVAC System

January 28, 2010 in Commodities Pricing, Conservation, Management, Projects, Remodeling | 2 comments

HVAC (Heating, Ventilating and Air Conditioning) systems have evolved and gotten better with technology.  Matching system requirements with the need and with quality will always trump the bells and whistles. Over the years I have worked with a number of HVAC subcontractors and a few thoughts come to mind that might be useful:

SYSTEM ENERGY EFFICIENCY
Depending on the application and occupancy, a higher SEER (Seasonal Energy Efficiency Rating) for equipment is preferable most of the time. A higher the SEER means more expensive equipment, but the lower operating cost is a win for energy and your occupants.

SYSTEM MAINTENANCE
When selecting the right HVAC system, keep in mind the occupancy type vs. the long-term cost of maintenance. Chilled water/boiler systems will require preventive maintenance for a chiller, cooling tower, boiler, heat exchanger, etc to a greater extent than a DX (direct expansion) unitary system. A DX split or packaged system will be a handful of components that are readily available and replaced at a minimal cost.

INSTALLATION COST
Most of the HVAC system cost is in the equipment and control system. Both are important to system sustainability. Duct systems normally require little maintenance if quality materials, closure systems, sealants and higher “R” value insulation are used. Providing the correct type of air distribution is just as vital as selecting the equipment and will maximize coverage, eliminate the draft effect on occupants as well as air noise transmitted from the device due to a high velocity (fpm) of air.

BUILDING AUTOMATION
There’s a big debate over whether to use programmable thermostats or fully automated systems. Most projects perform well with proper zoning and programmable thermostats as opposed to extensive control systems that require increased up front cost and service for the life of the system.

Each control system has a place in the “right choice column.” A commercial building operating from 8 a.m. to 5 p.m. will have different needs than an institutional building or medical facility. The challenge with a fully automated system is it’s almost always proprietary in nature and can only be serviced by the brand vender, leaving the building owner with no other option for value shopping. A stand-alone zoned system with programmable thermostats is fairly user-friendly and can be serviced by any commercial company. This dramatically reduces long-term replacement and/or maintenance cost for the end user.

To me, when it is all said and done, you need a cost-efficient system that will deliver the performance and can be maintained without having to go to the banker every time a failure happens.

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Merrill Stewart is Founder and President of the Stewart Perry Company, a commercial building contractor based in Birmingham, Ala. Contact him via email.

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Tips for a Successful Build: A Project Checklist

January 18, 2010 in Leadership, Management, Projects, Tips from the Field | No comments

Ideally, I could say that every project that we’ve built during the last 25 years has been perfect. Unfortunately, that’s not the case. As our company has matured beyond those early years, it’s become evident that starting out with a good game plan and a properly laid concrete foundation makes the rest of the job go much more smoothly. A few thoughts on getting it right:

Estimating and Preconstruction
Communicate clearly. Ensure all parties understand the scope, specifications and plans and quality of local suppliers. All are not created equal.

Gather the troops. Before construction starts, have a meeting with all involved to ensure everyone is on the same page and the same team. An honest forum and cooperation are paramount.

Make a reasonable schedule. Get buy-in from all with clear expectations on the duration of each step in the construction process.

Speak to your concrete suppliers. Discuss the ability to supply and deliver at an appropriate and acceptable rate. You’ll find this very important.

Get submittals completed. This way, after the project starts you only have to deal with the on-site challenges, not the paperwork. It’s an important detail not to be overlooked.

Create a safe workplace. Safety is king.  If you’ve ever been on a project where someone was severely hurt or worse it’s not a pretty sight. Do everything you can to prevent injury before it happens.

Construction
Double check the surveyor’s layout. Getting it right in the beginning has lasting effects for a long, long time.

Lay foundations properly. Quality work upfront will make the rest of the job go much more smoothly.

Achieve proper compaction for stone sub-grade. Remember the slab is only as good as the sub-grade. If you fine grade stone to π” tolerance or greater, this will help to reduce cracking in the slabs on grade.

Have a pre-pour meeting. You’ve had a pre-construction meeting, but get everyone back together before pouring concrete slabs to ensure they’re on grade.

Maintain edge forms with tight tolerances. Concrete needs to have consistent slump.  Use early entry saw method to motivate cracks where you wish them to be placed.

Specifics for Tilt Wall Projects
Proper layout is key. Check and re-check for accuracy before you begin work.

Have safety meetings prior to work beginning. Continue regular safety meetings for duration of panel placement.

Brief crew members. Each should know his particular task and placement and be looking out for others. This will help avoid confusion and accidents.

Get a properly-sized crane. Don’t skimp, it will cost you.

Be prepared. Have tilt panel books and embeds ready as soon as possible.

Clear expectations and open communication coupled with a good team of contractors will provide a quality project. Effort up front may save you money in total. At the least, the organization will give you peace of mind.

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Merrill Stewart is Founder and President of the Stewart Perry Company, a commercial building contractor based in Birmingham, Ala. Contact him via email.

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