How can scheduling and project management software help your construction business to succeed?

by mcain · Jul 05 2010, 10:18 AM
categories: On Being More Productive | On Construction Software

(Article reprinted with permission by Jim Beadman)

A construction project could turn into a giant headache without the proper organization. The project could run late, the work could be unsatisfactory, and money could potentially be lost. Computers have proven to be great tools for organizing work and the right software can have a striking effect on any business. Organization can make or break a construction business, and it often does. Therefore, it really pays to invest in project management software.

In order to see how such software can help a construction business thrive, it helps to start at the beginning. A business that uses a good software application will be able to keep track of previous estimates and have them handy at all times. No more fumbling through a messy cabinet full of old documents. At the same time, a potential customer is much more likely to trust the services of a construction business that is organized and has the appearance of being so. This is exactly what project management software can offer even before a project commences. When a potential customer is handed a fully computer-generated estimate, construction schedule or rich text construction document (well worded contract, for instance) in a timely fashion, they will be impressed, especially if other companies they're considering didn't go through the trouble of doing that.

Once a customer decides on a business that appears to be organized, it will be up to the business to actually be organized. Project management software is just the tool to meet that goal. Once all projects are entered into the system, there will be no more surprises. The business will know exactly which project are coming up and which need to be given priority. Knowing, in this case, is more than half the battle. It greatly benefits construction to be able to see the bigger picture at a glance.

Such software also connects the individual contractors involved in the job, most of the time through email, fax, or both. When a project is large enough, there may be a great many people to keep in touch with. It can be expensive to have staff whose sole purpose is to keep people notified of their duties. Not only that, it can be prone to human error. The appropriate project management software on the other hand can inform the individuals of their upcoming jobs automatically and reliably via email and fax. The contractors involved in the project may even be able to use the software themselves to contact  management and to see what jobs they have coming up.

As touched on earlier, such management software can also act as a central repository of important documents. It could be especially useful if it can be accessed through the internet. A contractor or client may need to peruse an important document to refresh their memory about certain important details. They could go through the trouble of heading over to the management's office or they can try asking the construction company to take time out of their busy schedule to fax it over. Time and money can be saved by letting the client have access to these important documents through the project management software and the internet.

Ultimately, a construction business is actually at a disadvantage if they don't use all of the available resources at their disposal. If a construction business wants to succeed, they'll make scheduling and project management software a part of their daily operations.

About the Author:

Jim Beadman is the Managing Director of Construction Chemicals UK Ltd, who are experts in their field – from basement conversions for the serious renovator to DIY timber treatment products for protecting your home from insects and mold. With depots around the UK and an in-house chemistry specialist, they are the ideal partners for anyone wishing to undertake a renovation project, amateur or professional. When Jim isn’t working full-time helping people to transform their homes, he uses his experience to create articles which can be found around the Internet and organizes charity events from his home in Leicestershire, UK.

BuildIT Software Update - version 4.9 update (April 2010)

by mcain · Apr 28 2010, 07:43 PM
categories: Kickass New Features | Technical Stuff

Construction Scheduling Just Got Easier!

This release is all about better scheduling: giving you better visibility into your projects.

Most folks come to BuildIT looking for a scheduling solution and we strive to deliver powerful (yet easy) tools for managing your projects. A good old fashioned calendar is still a common, understandable tool for seeing what happens when, and how tasks relate to each other - and now you can work with your schedule in a calendar view!

Here's how to view your schedule in a calendar format:

1. Click the "schedule" tab.
2. On the left menu, choose between "calendar:start date" or "calendar:due date" of "calendar:all dates".
3. Presto: you have all the controls you had with the Gantt and List views, but in a familiar Calendar format.

:: You can go to a specific month or go ahead or back in 1 or 4 week jumps.
:: You can set the default to the number of weeks you would like to see at a time in the task preferences.
:: Create a task for a specific date by click on the respective "new" button.

See your tasks in a familiar calendar view, along with the status of each task indicated by the appropriate color. This color status is now a new option in the "list" and "list and details" view of your tasks (you'll need to go to your task preferences to turn it on).

You can still view your tasks by clicking the "calendar" tab, and see how your tasks relate to your calendar appointments. More options. More power. Better visibility. All translates to better scheduling.

Since our last user update, here are some highlights of what we've added:

:: Favorites/Shortcuts: on the Files tab, you can create favorites that can appear as job files, task files, send as "sharing links", and more. Want your installer to see video on how to do the job "right"? - just add the favorite as a task file!

:: PDF letterhead, automatically generated from your company information in SETUP - to view, click the "docs" tab, then click "letterhead settings" in the lower left - then click the buttons to the right of "view generated letterhead". If you want a more customized letterhead, let us know.

:: On the Job List you now have the option to default your job list to Current And Future jobs - no point in seeing all your PAST and LOST jobs all the time - just display what's hot.

:: Easily send email to one contact who may have 2 or more email addresses - just edit their contact info and add additional email addresses separated by a semi-colon ";" This same method can be used to create "group contacts", allowing you to send one email to many, just by clicking one contact.

:: Recurring appointments: simply create a calendar appointment, and then click the appropriate "SAVE AND CLONE" button as many times as you need duplicate appointments.

A huge range of professional PDF documents are coming up: The existing text-based BuildIT document generator has served many of our customers well over the years, generating nearly 100,000 documents to date! These new "super docs" will merge contact, user and project information to customized PDF documents, along with your letterhead and logo, giving you a huge step-up in presentation.

We'll be releasing a host of standard PDF construction docs (change orders, contracts, invoices and far more). Plus, as a BuildIT customer, you can have your own construction documents converted over to "super doc" format. Save time, be more consistent and professional.

Need a schedule in PDF format? More and more first time BuildIT users are asking for PDF schedules - for their clients, design professionals, bankers, and so on. Just a reminder, BuildIT is here to help with this, and we can quickly convert your schedule in BuildIT to a PDF, in the smallest size paper that will suit that particular schedule. And, if need be, we can "tile" the schedule, and have it print to a number of standard sized sheets, that you can piece together like a puzzle.

Check it out a small sample PDF schedule at this link:

http://www.builditsystems.com/Features/SampleSchedule.pdf

BuildIT... at your service :-)
1 866 585 5050
http://www.builditsystems.com

BuildIT - Return on investment is a "no-brainer"

by scott · Jan 15 2010, 08:00 AM
categories: BuildIT Advantage | Contractor Wisdom | Convince me... | On Being More Productive

When was the last time you "wasted" money on something?

You took some hard earning money, bought a widget that ultimately gave you nothing in return, other than the initial feeling that you may get something out of it at some point.

  • the exercise machine that is collecting dust (and clothes)
  • that food mixer appliance that looked so easy on the infomercial but when you use it - not so easy, so you go back to the knife and cutting board
  • that stock you bought, thanks to a tip from your buddy - you're still waiting that puppy to climb back up to the purchase price
  • that box of software you bought a few years ago that promised the world, and now it's a bookend on your shelf

OK, now that I've re-opened a wound, let's cut to the chase.

Everyone comes to BuildIT looking for one thing - a solution to a problem. Finding the right solution will put money back into your jeans, or time back into your life, or will reduce the stresses of running your business... or if you're lucky, ALL 3 at the same time.

You part with your hard earned dollar to subscribe to BuildIT; mentally you are doing the math - the "what's in it for me" equation. You need to see a major return on investment, and you need to experience that return (make it yours) right out of the gate.

It's the story of many of our customers... and it can be your story too !!

Let's look at ways you can win with BuildIT.

1. Saving money - miscommunication

Every job you do requires a number of tasks, and responsibilities from other parties. The more tasks required, and the more people involved, the more mistakes will occur. Those mistakes generally are caused by miscommunication of some sort. Communication issues are the main cause of grief, and profit loss. This is an undeniable fact. Ask yourself, where do problems occur that cost you $$ or time, and chances are, you'll attribute that to a breakdown in communication.

BuildIT is the perfect solution for keeping you and others "on track". Any and all issues are documented in one place, tied to the job. There is no mistaking who is responsible for what, who said what, what was to be built and when - all that information IF YOU TAKE THE TIME TO ENTER IT, is in one place, and there to serve your interests down the road.

Scott Sedam of True North Consulting, an advisor to high volume homebuilders, claims from his organization's research that for every residential construction job, there are about 30 - 35 subcontractors and vendors. There is typically one mistake that takes place for every 5 outside people involved in the project, so you can expect 6 - 7 mistakes per job. These mistakes, thanks in large part to miscommunication (not getting the information in time, red lined drawings that are unclear, building off outdated specs or schedules, etc.) WILL COST YOU time, money and aggravation. And the dollar cost will be well in excess of what our typical customer would pay for subscribing to BuildIT for a year.

Use BuildIT properly (even minimally), and you will reduce errors, and have a back up that protects your interests should errors occur, and passes the onus of responsibility on to the other party.

2. Saving money - labor

Think about what it costs you for a part time or full time "warm body" to help with the "administrivia" of running your business. Now imagine a full time office assistant that never calls in sick, is available 24/7, does not give you "attitude", does not spend hours you pay this person each month checking Facebook, Twitter, playing Solitaire, checking CNN's latest headlines, etc., does not contribute to shrinkage, does not increase your risk of embezzlement - and you get this for a whole month, at a fraction of the cost of that "warm body" (perhaps, 1 to 2 hours' wages of that person's time and loading) !! Our customers make this claim that BuildIT saves them $1000's per month in wages. I calculated with one customer in Texas that his return on investment with BuildIT was 47 to 1 - think about it - for every $1 he spends on BuildIT, he saves $47. Do the math.

Having said this, we recognize that you do need adequate levels of staffing to run your business effectively, and office administrators do play a vital role in the operations of many small to mid sized contracting businesses. BuildIT can augment your business, assist your team with becoming more organized for success, and even give your office administrators a tool to help them accomplish their tasks quicker and with less error. Each person knows where to go for the information, where to post the information, and this will free up your staff to do more valuable functions that drive your business forward in terms of professionalism and profitability.

3. Making money - new revenue

We have customers who use BuildIT to their advantage - to get new business.

How?

Simple. You're competing with other companies offering a similar product. Your price may be in line with theirs. What distinguishes you from the other guy? If you use the worn out platitudes like "we're honest", "integrity in everything we do", "unsurpassed customer service", your customers will blow right by. You need something that truly sets you apart.

Professionalism - customers want to do business with someone that looks good, and gives them the "feeling" that they're dealing with the pros. You use the many construction document templates in BuildIT, which can be printed off, or emailed, showing your letterhead and all the details. AND, you let them know about a system that will keep them informed 24/7 about their project, where you are at any point in the schedule, and a place where they can view any files pertaining to the job.

You offer them the following:

"Mr. Future Customer, if you choose us, we have a web based service that will allow you to view your project schedule at any time of the day. Through this system, you can see how your job is progressing, and you can even communicate with us on any particular task on the schedule. I will also post files for you to review - contracts, specifications, progress reporting, pictures - anything that you need to see along the way will be available through this service. There is no website to remember, no username and password to maintain - just check your email and I'll send you a link."

All things being equal, by you offering this service, you are now set apart from 95% + of your competitors who haven't yet graduated to web based construction tools like BuildIT.

4. Saving Time

Have you ever calculated what your time is worth, per hour?

Have you ever calculated how much time you would save on each project if you carved off, say, 5% of the time?

Time is money - do the math. And start saving time today by using BuildIT. Take the time saved and invest it in new business. New business = new revenue = increased profits for the year.

Do this, and then call us with your answer so we can brag even more about how BuildIT contributes to our customers' bottom line.

----------------------------------

In short, you're not here to buy technology because it's cool (although, we admit, it is a cool tool). It HAS to either save you time, make you $$, help you avoid embarrassment or costly call backs, or help you get the next job and have a leg up on your competition.

Put it to the test today - we'll partner with you, and help you get some success under your belt.

Scott Hutchinson, ROI guy
scott@builditsystems.com
1 866 585 5050 ext 1

 

Technology Adoption Challenges for Construction Businesses

by scott · Jan 08 2010, 11:01 PM
categories: On Being More Productive | On Computers in Construction | On Construction Software

(This article reprinted with permission. Thanks to Josh Groves, President of jobtrio.com, the largest directory of construction contractors on the web. The goal of jobtrio.com is to efficiently connect contractors with consumers who truly value their services.)

Within any company, it is never easy to convince the workforce that a new, technological advancement has made an old way of doing things obsolete. For instance, no matter how my staff tried to explain to me the advantages of the new Windows 7 operating system over XP, I dragged my feet and resisted the change. From my observations, this aversion to technology adoption is far more present in the construction industry than any other major field.

For the most part, construction companies live and die by their continued presence and productivity on the jobsite. Typically, there is little thought given by management to company-wide initiatives or employee training because these acts would necessarily pull the workforce out of the field. Therefore, even if one day of training on a new technology might result in large future gains in employee efficiency, managers usually are not willing to take the risk.

I experienced this first hand as a construction industry Operations Manager for a medium-sized company. Every day I would watch at least thirty minutes get wasted by each employee as they struggled to determine which tasks were to be priorities for the work-day.  The fix seemed simple to me: adopt a basic, web-based system which could allow workers to login and view updated project management information. My estimate was that this system, taking into account training and maintenance, would pay for itself in a matter of a month.

Needless to say, I encountered tremendous resistance from my boss and from all of the workers in the field, and the initiative never got beyond my written proposal. 

This is just one example of what I experienced time and time again -- PDAs, driver GPS, field laptops -- I could never get my company to consider any of these technologies, and, from speaking with others whose businesses rely on their contractor's license, this sort of stone-walling is quite typical.  But, what is to be done? 

My first inclination is to say that until a younger, more tech-savvy generation of contractors who understand the value of technology investments steps into management positions, we aren't likely to see a change anytime soon.  However, if you are dedicated to your company's long-term success, it is wise to fight the good fight, and eventually your supervisors might adopt some of the new, money and time saving technologies which could be key to your company's survival.

BuildIT's Top 10

by scott · Nov 14 2009, 10:42 PM
categories: Technical Stuff

It struck me the other day...

BuildIT has been around for almost a decade - and I've been with BuildIT since the beginning.  Over the years, the questions I get asked by prospective customers (and new ones) are basically the same.

Here are the top 10 questions, in no particular order, with our carefully prepared responses.

1. Is my data safe and secure? And what happens to my information should you go out of business?

A: Absolutely, your data is safe much safer with us than on your own laptop. Our servers are located in a large professional hosting facility in Vancouver, British Columbia, Canada. Our customers' data is stored on servers with RAID (multiple redundant) hard drives, immediately backed up to other servers with RAID hard drives, and regularly copied offsite to increase redundancy of backup protection. For more information on the security of your data, click here.

We understand that anything is possible. We want to assure our customers that they own their data. So at any time, their data can be downloaded off our server, and copied over to their computer. We can also do a "data dump" of all customer data, burn that to a DVD, and send it to a customer.

2. What does "area" and "code" mean when you create a new scheduled task?

A: Area and Code fields are for customers that wish to further differentiate/sort their tasks.

Imagine you have 100 tasks, and you want to filter out just the 8 tasks that are related to "inspection". Type in "inspection" into the "Area" field. Now, this value "inspection" will be available in the picklist for future tasks.

When viewing your schedule, you can adjust the filters in the left margin. One of those filters is "Area" - you'll see the value "inspection" there. Select, and refresh your list, and the view of those tasks related to "inspection" will display.

Those fields are really user defined. "Area" could mean 1) area of the project, 2) geographic area (SW, NE, County), 3) area of responsibility (financial, preconstruction, warranty).

"Code" could mean 1) CSI master format division code, 2) accounting code, 3) PO number, etc.

3. What is the difference between a "to do", a "note" and a "task"?

A: "To do's" are like virtual Post-IT notes. They are related to a BuildIT user, and can be connected to a job. They allow you to deal with the slippery items that if not "written down", cost you time, money and aggravation in the end. One BuildIT user can create "to do's" for him/herself and for other users.

"Notes" are related to a BuildIT user, can be connected to a job, AND can be connected to ONE contact in your database. Use "Notes" to log conversations, verbal commitments, and any potential litigious situations. Remember that a short "digital" pencil is better than a long memory!

"Tasks" are the individual elements of a "schedule". Like "notes", "tasks" are related to a BuildIT user, can be connected to a job, AND can be connected to ONE OR MORE contacts in your database. Tasks can be displayed in LIST view, GANTT chart view, and CALENDAR view.

4. How many customers do you have?

A: For competitive reasons, we can't disclose any numbers. But we can tell you that we've been in business for many years, and have enjoyed building a customer base, and a valuable application that solves real problems for real construction professionals. Each of our customers has a contact database of their customers and business associates, and each of those has access to a free website from BuildIT that allows for collaboration between our customer, and our customer's contacts. And many of our customers have multiple users in their company that access the system. So when you add all those up, the number gets quite impressive!

Really, the question reflects the concern of the prospective customer - he doesn't want to be the first guy taking the plane up into the sky on it's maiden voyage. No worries there, we welcomed our first retail customer back in 2002 - I was there when they delivered the cheque... it was a great day at BuildIT!

When we hear this question, we realize the underlying question is "If I choose BuildIT, will I be in good company with other customers like me that are finding success with the program?".  The answer is a resounding YES.

5. Are you the only one who answers the phone?

A: Most of the calls get sent through to my line — I like to talk!  And it frees up the rest of the team to focus on development of the application, and other corporate stuff. But with a simple, easy to use application, online help system and online video tutorials, most folks get up and running with BuildIT wil very little input from our tech support line. Still, we encourage you to call !

6. How do you print out a schedule to send to a client/builder/subtrade?

A: You can print from your browser, or from the yellow "do this" control in the top right. If you want a PDF of the schedule, you'll need a PDF driver on your computer. If you don't know what that is, call, and we'll help you create a PDF at our end.

Alternatively, you can share the schedule in real time with anyone in your contact database. The big win here is that you're online schedule is "real time", whereas a printed schedule gets out of date quickly which can be a pain in the pocketbook when someone builds the wrong thing from the old printed schedule.

7. Do you have linked tasks / Critical Path?

A: Kind of. While our scheduling system is simple, and we haven't complicated the task editor with "linkages", we do have a simple way to create a Critical Path... so when you make a change to one task, that has a cascading effect on the rest of the schedule from that point forward, then yes, we have a way to do that. More on that at this link.

8. What happens when the Internet goes down (or I don't have access to the Internet)?

A: It's like asking what happens when you're car runs out of gas? We find another way to get to our desitination, or we don't go anywhere. The same could be said of BuildIT's "web-based" application. Being "web-based" means just that. Without access to the Internet, you can't access the application. However, the benefits of having 24-hour access – even while on vacation – easily make up for the other possible problems like being unable to get back to your office, fire, theft, broken computers, etc.

For most BuildIT customers, Internet access is ubiquitous - it's everywhere, available 99%+ of the time. So it's really a moot point for them - but they have asked the question too!

For you iPhone and Blackberry users, you can access your BuildIT email right from our server. And version 5.0, being worked on as I write this, will give you mobile access to optimized screens of the BuildIT application - expect this in early 2010. 

9. What is your pricing?

A. Low. Way less than most comparable construction software products – and reasonable.  With BuildIT you easily achieve a rapid return on investment, literally within weeks of getting up an running with the system. For current pricing, check out our pricing page. We'll help you determine the optimum number of user accounts to get started with, and the subscription plan that best suits your budget. 

10. How do I organize my contacts?

A: There are a number ways to organize contacts in BuildIT: by job, by contact group (client, contractor, subtrade, design professional, etc.), by user defined fields in the contact record, and alphabetically (by First Name, Last Name or Company Name). BuildIT's "contact picker" allows you to select contacts for assigning to jobs, tasks, notes - and for sending out email, web faxes and text messages. Each customer has unique contact organization needs - we'll help you with that as we configure your account to suit your unique business requirements.

Didn't get your question answered? Well, it may be in the Top 20 or Top 30 list. Or it may be an original. Give us a call. See if you can surpise us with a "never before asked" question, and put our customer service to the test!

Scott Hutchinson, Answer Guy
scott@builditsystems.com
1 866 585 5050 ext 1

 

Trends in Construction Scheduling Software

by scott · Oct 15 2009, 08:01 AM
categories: BuildIT Advantage | On Construction Software

10 years ago, you'd be hard pressed to find many residential construction professionals giving serious consideration to desktop construction software. Web-based construction software was in its infancy and contractors were generally reluctant to delve into these unproven digital power tools.

About the time the "dot-com bubble" peaked in early 2000, the founders of BuildIT saw a need for a "mobile office" approach to managing construction businesses. A laptop computer or tablet PC, connected wirelessly to the Internet via an "air card" would give contractors access to their critical business information, job schedules and communications from literally anywhere at any time.

Since then, there has been a convergence of trends that has made web based construction software a hot ticket item.

Convergence of Trends

  1. Wireless internet access has expanded to the point of being ubiquitous, and expected.
  2. Laptop computers have come way down in price, and up in speed and screen size, and have built in Wi-Fi.
  3. Handheld wireless devices such as Blackberries and iPhones are becoming standard issue for mobile construction professionals.
  4. Web based construction software tools like BuildIT have been in development for years, building on user feedback from a growing group of "first mover" construction professionals.
  5. As we end this decade, those that were still in school during the "dot-com bubble" of 1998 through 2001 are now in project management and supervisory positions; many of them now own their own construction business. And these folks were raised on technology, so web based construction software is a natural fit for them: short learning curves and high adoption.

As for construction scheduling software, it's important to have a rich feature set. However, there is always the risk of ratcheting up the complexity factor too much, to the point of losing those who just want a simple tool to get their job done. When it comes to residential scheduling, there are a host of options available.  Time and time again the feedback we get is that most construction scheduling software is too complex and way beyond what is needed.

Many potential users suffer from "feature shock" after checking out corporate websites, demo versions, and free online trials of construction software – an enormous number of features that literally bog down the user.

BuildIT Advantage

Our approach at BuildIT is simple - we focus on 3 main areas: organization, scheduling and communications.

Organization – Time and time again, searchers that connect with BuildIT say they are looking to get better organized. They understand that a organized and well run business is a profitable one. BuildIT has a logical place for every piece of information on the job.

Scheduling – Our system allows construction professionals to run multiple projects concurrently, and see the schedules for these projects in one view. This gives them the big picture.  And since the system is web based, they can share the schedules with other stakeholders (vendors, subcontractors, clients, design professionals) and realize the benefits of a real-time collaborative tool. Gone are the days when you'd rely solely on a printed schedule.  In residential construction, a printed schedule is generally out of date about an hour after it has been printed!

Communications – It is one thing to create a schedule, it's quite another to make sure the right people get the right scheduling information at the right time. Web based construction scheduling software allows the construction professional to disseminate time sensitive information to their key contacts, in their preferred method of communication – email, fax, text message, or a website "notice board" where assigned tasks, and related files are readily available 24/7.

Current Trends

Some trends we're seeing:

  1. Pricing - While "enterprise level" construction software packages (software + setup + training + maintenance + consultants + customization $$$) are priced well above the budgets of most small to midsized (SME) residential construction firms, the web based software companies are jockeying for position for the SME marketplace. Competition from agile players like BuildIT is likely having an impact on boardroom discussions – you're hard pressed these days as a construction software company to get away with charging $1,000's per year (some well over $10K), or hundreds of dollars per project per month when that same customer can get a similar feature set and all the main online scheduling benefits from BuildIT for $85 per month.
  2. Schedule creation – Many construction professionals that come to BuildIT are looking for a solution to their problem... today. Rather than mastering a particular software program, what they really want is their problem solved. It's the old adage about the guy who buys a drill bit, but what he really wants is a hole. And their problem is simply this: they need a schedule to satisfy someone – the owner, property manager, design professional, lender, investor, etc. Sometimes, they need this to submit with their bid, and in those instances, time is of the essence. So we offer a service to help them create a schedule, often right there on the spot when they call. They get their problem solved, and they get usage of the web based system, and our support, to help them along the path from "problem solved" to "loyal BuildIT customer".
  3. Handheld devices – Construction professionals are mobile. The days of being anchored to a desktop computer are over. With the advent of Blackberries, iPhones and other handheld wireless devices that can access the Internet, the construction professional literally can have his entire business at his fingertips. BuildIT has strategically invested in building a strong, robust application over the years. With the release of version 4.7 in October 2009, we have the underlying architecture and code ready for a new "mobile development" phase, currently underway and to be released first to our lead users in the next couple of months. Users with small handheld devices will be able to more easily access key information in their BuildIT account.
  4. Disruptive innovations – There is an emergence of free applications, like Google apps, that offer generic solutions.  Construction professionals who have the time to configure and master these solutions may find some of the benefits they need.  Presently, we’re not seeing anything on the market that fits the specific needs that our customers are demanding: like job-centric organization, related construction timelines, construction-specific terminology, etc. However, the challenge for all construction software companies will be to continually improve their apps, and deliver value which ultimately helps their customers become more efficient and generate greater profits.

BuildIT Systems is a great company (we’re biased) that builds even greater construction scheduling software (so say our customers). We started a lean company while the air was quickly escaping the dot-com bubble to provide SME construction companies with an online scheduling, information management and communications tool. Today, many of our first customers are still with us (thanks, we’re honored, really!), and are joined by construction professionals around the world who want better control of their information, and job scheduling. We get up each day eager to meet our next customer, while servicing the dickens out of our loyal user group.

BuildIT Systems sells BuildIT – a web based application, on a subscription basis. We also do custom software development for clients who use BuildIT… and others. Have an idea you think our team can help you with? Call us.

Scott Hutchinson, CTM (Chief Trend Monitor)
scott@builditsystems.com
1 866 585 5050 ext 1

 

BuildIT Lean and Mean

by scott · Sep 06 2009, 10:37 PM
categories: BuildIT Advantage | Contractor Wisdom

Scott Sedam, President and Founder of TrueNorth Development recently did a presentation on Becoming the Lean Builder.

He nailed it.

For years, as a technical consultant for Weyerhaeuser's engineered wood product line, I saw waste and inefficiences everywhere I looked. Contractors were making money by accident, and leaving a lot on the table, and a lot of waste ended up in landfills.

I saw a big opportunity with BuildIT to help these contractors take the "good" job they were doing, and do it even better by becoming more organized, more attentive to detail, and more in control of their scheduling. So I invested in the Company, and soon afterwards joined the team.

As Scott mentions, from 1991 to 2006, considered by many the "Golden Age" of building, 90% of the margin made by 90% of the builders were made in 3 ways:

  1. Land appreciation
  2. Sales price inflation
  3. Volume expansion

Stuff was built, and people were buying. Efficiency was a great concept, but not really necessary when profits were made by default.

Along comes 2008... and the party's over. It's time to get lean, or get out.

For years, BuildIT has offered a system of tools designed to make contractors more efficent, and keep them more organized. The economic realities today are such that system like BuildIT are necessary for contractors to stay in business, and achieve acceptable profit margins.

Let's talk about "Lean" for a bit.

What is "Lean"?

It's not dropping your price to get the job. No point in working for free, or losing money while someone else gains from your loss. It's not making unilateral cuts across the board (materials, labor). It's not necessarily about reducing your expenses either, the mistake many make when considering whether they can "afford" to keep systems like BuildIT going.

It is about "doing less", but making it "count more". Plug the income and profit leaks in your organization, your product and your processes. Become intolerant of waste.

Lean is identifying waste in all it's forms:

  • Product waste (materials)
  • Process waste (time & labor)
  • Design waste (get it right on paper before mistakes are made on site)

Product waste is fairly self explanatory.

Check out these pile of goodies left over after a job - who do you think pays for this? How much $$ does this represent? Whose pocket would you like that $$ to be in?

         

Less waste = less cost = improved margins for contractors and better products for their clients.

Start becoming lean in the "product" category by becoming obsessive about product waste. Don't let it happen. Design it out at the beginning. Hire consultants like Scott Sedam to find out where this waste occurs in your product offering, and how you can turn this waste into margin. Sometimes it takes someone from the outside to show you.

Now about process...

Scheduling accuracy, wasted trips, change orders, communication issues. These and other process issues are hard to nail down. Quite frankly, it's a lot easier to deal with product related waste. But spend some time on this one... there are gains to be made, and they'll translate to dollars in your pocket. 

Let's look at wasted trips to the building site:

Scott's research shows that the typical builder averages 50 wasted trips to the jobsite. Times that by an average of $200 per trip, and there's $10K savings right there. While this may seem steep to most at first, do your own math. Keep a log of how many trips you make... that you really didn't need to (if you were more organized, and your subs were better scheduled, and you hadn't miscommunicated on some matter earlier). Figure out what your time is worth, per hour (be truthful here, what could you trade your time for), don't forget wear and tear on your truck, fuel, and opportunity cost (you could have used that time to work on a bid, land another contract, see your son's baseball game). Wasted trips are an indisputable time and money waster.

Let's say conservatively that half of those trips could have been eliminated using a tool like BuildIT. You've literally paid for BuildIT for 5 years.

Then there's the "saved day" in a building schedule:

I'm surprised at how many contractors I've talked with that have a loose schedule. They build in 120 - 150 days what an "efficient" builder who schedules with specific intent can do in 100 days.

Consider "interim financing" or carrying costs. Let's say those costs are $50 per day for a project. The total impact of saving just 1 day in the build schedule can exceed 5X that amount (or $250) IF that day is used for production (taking into account fixed costs and overhead).

Now imagine if using BuildIT (not just subscribing to BuildIT and checking it occasionally, but working with the system regularly to update the schedule, notify subs, and keep scheduled tasks on track and production happening on EVERY working day from start to finish) allowed you to shave off a week or 2 on every project you do for the entire year? Save 5 days per project, on, say 8 projects, and there's another $10K saved.

The numbers get ridiculous... in your favor. And still, I get those that balk at subscribing to our service for $85 per month because, in their words, "they can't afford it".

Yeah right.

What you need to understand: those that think they can't afford BuildIT really haven't done the math yet.

But their competitors will.

We hope you will too, and choose to become lean and profitable.

To your success !

BuildIT: proud supporter of Rally4Life.org

by scott · May 22 2009, 10:12 PM
categories: Giving Back

Bowler Nemesis 500 HP Ethanol burning DAKAR winner

"One of the largest traveling carnivals in the world" is how some competitors describe the DAKAR Rally.

And in 2011, Mark Jennings-Bates and his team at Rally4Life plan on being the first Canadian 4WD entrant in this prestigious event – driving the Bowler Nemesis pictured here (we hope Mark will keep these wheels on the ground for the most part!)

To get there, they've assembled a talented team of volunteers who span across several geographic regions of the globe – codrivers, factory team technicians, publicity pros, events coordinators, marketing, sponsorship, legal, accounting, adminstrative... and the list goes on.

And it's no surprise that these folks need many of the benefits that BuildIT users enjoy – virtual access to information and communications, from anywhere at any time. That, and the ability for each team member to be kept in the loop on events, to have access to marketing collateral, and for everyone to know Mark's whereabouts on his journey to the DAKAR.

"We listened to their plan, their dream, and caught a glimpse of their vision," says Scott Hutchinson, Sales Director of BuildIT Systems. "Not only does this event win the WOW factor for motor sports enthusiasts, but Rally4Life can use the exposure to raise awareness and much needed funds for the charities they support." When asked where BuildIT could assist, it only seemed natural to offer BuildIT to get the team together... virtually.

And this is far more than a cool motorsport activity watched by millions around the world.

Mark and Jackie Jennings-Bates have made it their goal to raise upwards of $4 million for 2 worthy charities along the way, and bring to the forefront the desperate circumstances endured by millions of children and adults in countries such as Nicaragua, Sudan and Equador. As they build momentum, through events, social networking, and good old fashioned "word-of-mouth," they will be asking upwards of 200,000 supporters to take $20 out of their coffee budget and participate in the R4L goal.

Around 20 volunteers have been given access to BuildIT. Branded rally4life.org email, access to videos, press releases, sponsorship packages, shared calendar for upcoming events – these are just a few of the ways that BuildIT will keep the team together — on the same page — as they journey towards 2011.

For more information on Rally4Life, and how you can get involved, check them out online:

Web:  http://www.rally4life.org/

Twitter: http://twitter.com/pbrteam

Facebook: http://apps.facebook.com/causes/273439?m=618c3fb4

Facebook Fan Page: http://www.facebook.com/#/pages/Rally4Life/277046695451?ref=ts

BuildIT gives you everything you need to succeed and is simple to use.
“It's the most impressive collection of tools assembled for construction management success.”
Start your free test drive now.

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