As anyone who works in the commercial construction business knows, timing is everything. Inefficient sequencing of materials and equipment can have a significant impact on both time and money.

Business as usual, is out the door as the supply chain has continued to provide challenges.  For example, Roofing HVAC used to be 12-`14 weeks out but is now 12-14 months. If we don’t plan for that and have to continually stop and start a project because of the unavailability of materials or owner-furnished equipment, it will cause delays that will lead to cost overruns, such as subcontractors asking for remobilization fees to get them back online if a project is halted.

At Englewood, we now believe lead times need to be the primary driver of the project schedule. They should dictate every decision from budget through construction completion. It is important to secure this information right from the outset because materials should drive design decisions in the market, especially where schedule and cost are very important or critical to success.

That’s why it’s important for a client/contractor team to manage expectations from the beginning so everyone has a realistic understanding of scheduling.  The delivery of critical path items is important to the success of any project, and not just the items we or our subcontractors provide but owner-furnished equipment as well.

Bottom line: The days of starting a project immediately upon awarding of the job are few and far between. We need a more thoughtful and practical approach.

Here are just a few ways we work to mitigate delays and cost overruns:

1. Confirm delivery dates for all items from both subcontractors and clients before finalizing the project budget and mobilizing the project site.
2. Identify and investigate alternatives, including performance specifications and costs, where long lead time items can significantly impact the schedule, so we have Plan B in our pocket even before commencement.
3. Monitor the delivery dates from the subcontractors, manufacturers, and distributors on a weekly basis to ensure proper timing and insist that each furnishes us with up-to-date information on all possible delay issues. This enables us to stay ahead of the curve with regard to lead times and plan accordingly.
4. Review every active contract to consider what actions need to be taken and identify provisions that may assist in the current situation. This enables us to make quick decisions before the situation worsens and leads to collateral damage.
5. Maintain detailed records regarding our workforce and subcontractors to the fullest extent possible. This enables us to keep track of labor market dynamics and mitigate the consequences of delays or disruptions.
6. Communicate – if there are delays, we have to “rip off the band-aid” right away and communicate with all the key stakeholders, including our clients, so everyone understands their options and can plan accordingly

Based on what we are seeing in the marketplace, below is a guideline for current material lead times: