Addressing Commercial Construction Supply Chain and Labor Issues

It’s summertime, and the commercial construction season is “heating up.” The Englewood management team senses real momentum in the market: Our clients are active and back in the field addressing the backlog of projects that have been on hold. And we are making good things happen for our restaurant, hospitality, automotive, warehouse, senior living, and retail construction clients.

With that said, our entire team is still hyper-focused on responding to some lingering supply-side and labor issues to ensure we can meet the pent-up demand and deliver the goods.

1. Mitigating Construction Materials Supply Chain Issues
It looks like there may be light at the end of the tunnel, but the material and component supply chain will take some time to sort itself out, especially regarding HVAC equipment, steel structures, and roofing materials. But our approach to working with material suppliers in the pre-construction phase to help mitigate the backlog or scarcity of materials (or the long and intermittent delays that make it challenging to price, plan, and build accordingly) is paying off. By staying ahead of the curve on delivery or pricing changes, we are well-prepared to keep our clients informed and manage their expectations for more positive outcomes.

2. Partnering with our Subcontractors
The same goes for labor. One of Englewood’s strengths is our national network of 20,000+ subcontractors. Rather than treating subcontractors like a commodity, we’ve built loyal relationships over the past 20+ years based on respect and partnership. We are big advocates of creating a proven and dedicated team earlier in the “design-assist” process. This allows us to proactively solve cost, price, and timeline issues instead of being value-engineered after the fact. This collaborative approach has paid dividends by building productive relationships between the project’s architects, engineers, suppliers, and construction teams to find alternative solutions sooner and deliver better results for our clients.

3. Working the Timeline
We believe the best approach to timelines is being both realistic and working the schedule backward. This process helps mitigate expectations by developing realistic schedules for the scopes and materials that we are responsible for as a commercial general contractor and owner-furnished items and vendors. By creating an accurate timeline, developing an actual turnover date, and only spending the general conditions necessary for the project, we can help our clients establish their proforma and control costs.

The bottom line is that it’s not business as usual, and it may never be again. That is why Englewood is committed to this proactive approach of working with all project stakeholders to navigate the current economic climate and conditions together. Not just for the next few months, but the long haul.

Want to talk about your project, reach out to me here.