How Superintendents Impact Construction Project Profitability

A successful construction project relies on skilled superintendents to manage a build from breaking ground to site clean-up. They are the point people whose management talents influence outcomes and overall profitability. A superintendent’s ability to successfully administer daily site activities, manage numerous craft professionals and oversee multiple job functions can be the difference between profit or shortfall. 

In recent years contractors and clients have witnessed rising costs and inflated budgets in the construction industry. As many as 9 out of 10 projects experience cost overrun. The effective training of a superintendent can help mitigate those rising expenses to attain an on-budget project.  

By examining the essential skills a superintendent needs to be an effective field leader, we can better understand why robust training for this critical role is vital to a profitable project outcome.  

Minimizing Rework and Ensuring Quality 

During construction on a project, challenges can arise that impact work quality and require correction through rework. Rework can add significant cost to a project. It’s been estimated that $65 billion is lost annually in the United States construction industry due to rework. 

Research shows that one of the leading causes of issues in quality and project execution is ineffective communication. The Project Management Institute estimates that companies risk $135 million for every $1 billion spent, and that more than half those potential costs were due to issues with communication. Oversights like a lack of data sharing, a revision order being overlooked or a superintendent failing to convey important project details are all examples of poor communication that can lead to rework. 

A well-trained superintendent can identify issues and find solutions to help avoid the risk of lost income and valuable time. Accurate analysis and timely problem-solving are key for superintendents to keep the project on track and within scope and budget.  

Meeting Deadlines 

Project idleness can be one of the most expensive challenges for a superintendent. Delays can result in numerous problems that directly impact project profitability, such as penalties for breached contracts and having to pay for labor and equipment for an extended period of time.  

Top-performing field leaders understand that construction timelines need to be carefully followed, and crews need to remain on schedule in order to meet key benchmarks and deadlines. Superintendents focus daily on contracts, schedules, delivery status and budgets so job sites are consistently ready for the next skilled trade to complete their work and time and cost overruns are diminished. 

Risk Management and Safety 

It is key for superintendents to be able to recognize the variety of administrative risks and safety issues that might arise on a project. Within NCCER’s Construction Superintendent Certification Program, the Risk Management course addresses administrative and safety issues site managers may face.  

Risk issues can involve contract disputes, zoning laws, proper handling of permits, environmental impact codes and in some cases a sensitivity to local culture and customs. Safety issues include potential hazards like elevated heights, heavy machinery encounters and exposure to electrical wiring. 

Ensuring accurate contracts and record keeping can assist a superintendent with potential contract issues. According to a report by Arcadis, “poorly drafted or incomplete and unsubstantiated claims” was the leading cause of construction disputes in North America in 2021. 

Through closer adherence to safety measures, like making sure personal protection equipment is worn, considerable costs could also be saved—both emotional and monetary. In 2021, roughly 24.2 million hours of full-time construction work was missed due to injury or illness in 2022.  

A properly trained superintendent can mitigate financial, contractual and safety risks and contribute to cost savings. Both online and in-person instruction are options to consider for a complete training solution for risk management and safety. 

NCCER – Leading the Way in Superintendent Training 

NCCER’s Construction Superintendent Certification Program consists of 16 courses designed for experienced craft professionals looking to advance their careers and current project leaders wanting to sharpen their skills. Connect with us to learn more about how this program can help contractors develop and certify qualified field leaders.