How are your company’s relations with subcontractors and suppliers?
Dan Johnson, President
It can be hard sometimes for businesses to adapt to rapid economic change, but, by and large, we have witnessed more discipline in the subcontractor and supplier market to acquire the right amount of work.
Steven F. Roznowski, CEO
The Christman Co.
Subcontractors are being more selective on the jobs they pursue—therefore, achieving coverage by multiple bidders can be a challenge. It’s not unusual to receive increased pushback on traditional subcontract terms and conditions.
John Cannito, COO
The PENTA Building Group
We focus on good communication and setting up the job to run efficiently. When subcontractors can get a good flow and be efficient, they can perform well, make schedule, cut costs and make a fair profit.
Richard Cavallaro, CEO
New York City
We are seeing some subs under pressure. Programs like our Construction Management Building Blocks and BOOST are designed to provide small businesses with training on how to be successful in partnerships.
Stephen Gray, CEO
We have not historically required performance and payment bonds from our subs. However, with the current financial fragility being seen in the marketplace, customers are willing to pay a premium for additional default protection.
What are your company’s strategies for succeeding in a growing but uncertain market?
Shaun Yancey, President
PCL Construction Enterprises
There is pressure to build more efficiently and a need by owners to see increased efficiency. PCL is continuously looking for ways to increase productivity while reducing our costs through lean construction processes.
Kevin McCarthy, CEO
PC Construction Co.
South Burlington, Vt.
It is critical for contractors to focus on projects that fit with their qualifications. When you see a building contractor going after industrial or water-treatment work and they get the job, it doesn’t usually end well for anyone.
Jim Karambelas, CEO
Being disciplined about the amount of work we commit to and realistic about the number of quality people we can hire is the key to success. Competition in this market means finding the best fit—it’s a good place to be.
Pat A. Di Filippo, Exec. VP
Turner Construction Co.
New York City
The industry generally does think of Turner as an industrial contractor, but we are growing in that market. For example, we are building the 355,000-sq-ft TKS-Honda of America Marysville L2 Paint Shop in Marysville, Ohio.
James L.O’Leary, COO
The acquisition of Leidos Constructors … adds scale to our business, strengthens our industrial business, expands our design capabilities, grows our public practice and lets us enter the oil, gas and chemical production space.