It all starts with a great idea.
Using ideas for best practices lets a contractor take advantage of the latest technology, ideas, and techniques to bring a project to a successful conclusion. It is also a good idea to review overhead costs to see where improvements can be made. Best practice ideas change over the years, and keeping up with the latest information and ways to improve is important to success. Contractor classes provide required continuing education to stay up with current laws and regulations in order to renew your license. However, looking at best practices for the future of your contractor business may be beneficial.
Getting Paid for Changed Orders
One problem faced by contractors occurs when changes are made to the original plan, and it becomes difficult to collect the additional money owed. While performing additional work on a handshake or promise to pay may be customary with some contractors because of time considerations while waiting for a change order, there is another way to make the agreement formal in a faster amount of time. The owner’s representative can sign work orders in the field. These orders should include a description, equipment hours, labor and materials. Add additional costs into the cost codes to track the extra expense.
Use of 4D Modeling
Technology, such as 4D modeling, is a good way to demonstrate construction sequences of a building project virtually. The viewers can not only see the ongoing building construction, but it can be used to demonstrate delays and how quickly those delays are handled. This CAD program lets contractors demonstrate schedules and arrive at estimates for the job and includes invoice reconciliation.
Overhead Considerations
Many contractors keep track of overhead and look for ways to cut costs. If a contractor has not done so, this is a good time to start. Reviewing equipment is an important way to reduce costs. Selling excess equipment that is unnecessary can increase available cash to use for something else. Unnecessary equipment still carries additional expenses such as maintenance and insurance. If an unneeded piece of equipment is financed, it carries unnecessary finance charges.
Making improvements can save money and improve efficiency.
Updating Your Cost Reporting System
Using an up-to-date cost reporting system is important for accuracy and timely information on productivity and costs. In addition, training of staff to accurately record information is imperative. Checking into new PDA devices that may upgrade what you are currently using might be a good idea.
Switching to Electronic Data
As construction trailers are being used less, it might be practical to look into storing construction data and other project information using a laptop or tablet and take advantage of cloud-based storage. A computer is all that is needed, along with wifi service, to access any information that is project related. Not only is the cost less but the BIM model can be accessed by field personnel to check on details, zoom into a certain area for a closer look or check that construction is proceeding as planned.
Health and Safety
The Occupational Safety and Health Administration has guidelines and recommendations to keep workers safe and detail required protective gear. As a part of the best practices guidelines, it is important to review safety procedures and safeguards, including protective gear and equipment, to avoid accidents and unsafe conditions.
Contractor Exam School
Continuing education is a part of being a contractor, so it can be a good idea to plan ahead to complete your continuing education requirements. PDH Contractors Academy lets you take your contractor classes in the convenience of your own home, and download your certificate when you complete the course successfully. In addition, we report the results to the appropriate department in your state to make your license renewal fast and easy. Browse courses by state to learn more.