{"id":11707,"date":"2015-02-06T05:00:23","date_gmt":"2015-02-06T13:00:23","guid":{"rendered":"http:\/\/www.yardi.com\/blog\/?p=11707"},"modified":"2020-12-24T03:01:14","modified_gmt":"2020-12-24T11:01:14","slug":"builde-smarter","status":"publish","type":"post","link":"https:\/\/www.yardi.com\/blog\/builde-smarter\/","title":{"rendered":"Build Smarter"},"content":{"rendered":"

Building a house is nothing like ordering a pizza over the phone. But \"shutterstock_127966451\"maybe it should be.<\/p>\n

With few exceptions, restaurants order ingredients and supplies in advance. They create a menu of offerings and then take orders over the phone based on the menu listings. Substitutions are made when the order is placed. Once the staff ensures that they have what\u2019s needed, the order is filled. What if contractors took the same approach?<\/p>\n

It has happened before with a high success rate. Rosie Romero offered \u201cthe impossible promise\u201d that projects would come in on time and on budget, or they would be free. Jeb Breithaupt of JEB Design\/Build in Shreveport, La. reports to Builder Online<\/a> that he\u2019s making a similar offer to his clients. \u00a0Both offer the promise by mimicking the pizza process.<\/p>\n

The design\/build firms spec out the project, like creating a menu and pricing. Clients then make selections and customizations as needed. Once the availability of materials is verified, the orders are placed. Homeowners view and approve the orders and then<\/i> ground breaks on the project. Clients can\u2019t go back and make changes to the order. The contractors aren\u2019t surprised by changes in price or the availability of materials after the fact. It\u2019s all arranged before the first shovel juts into the ground.<\/p>\n

This process makes so much sense. \u201cThat\u2019s what my company tries to do on custom home projects. I\u2019ve also tried it on a couple of design\/build jobs, and believe it or not, it\u2019s making our process smoother and our clients happier,\u201d says Breithaupt.<\/p>\n

The pizza process has notable benefits.<\/p>\n

It saves time:<\/b> No more waiting for materials to arrive or delaying progress because of scheduling problems with subcontractors. Everything is available when and where you need it because it has been ordered and stored in advance. And if an order is wrong, it can be returned and corrected before construction begins.<\/p>\n

It saves money:<\/b> You won\u2019t have to bite the bullet and pay for corrections out of pocket or swallow rises in material costs.<\/p>\n

\u00a0It leads to higher customer ratings:<\/b> By approving plans and materials before breaking ground, clients get what they want, how they want or they\u2019re accountable for their own oversights. Your hands stay cleaner and so does your reputation.<\/p>\n

There are a few disadvantages. The most obvious is storage. Builders are responsible for safely storing ordered items until they are needed. This requires space and sometimes security measures, which is where the pizza analogy fails big time. It doesn\u2019t require much space to store pepperonis and mushrooms. Such ingredients are hard to damage, easily replaced, and rarely stolen. Unfortunately, we\u2019re in an age where copper wires and pallets of tile go missing from building sites every day. Securely storing pre-approved supplies may be a notable feat.<\/p>\n

Secondly, this method requires established crews to rethink their approach to building. They must be more mindful of inventory even when they\u2019re in a rush. \u201cThey have to be extra-careful about protecting what\u2019s in those open boxes so nothing gets damaged or lost. They admit they would rather wait to order the materials and open the boxes until they need each item, even if that means they won\u2019t discover that something\u2019s wrong with a product until the day they were supposed to install it\u2014so they have to reorder it and wait weeks and weeks for a replacement,\u201d says Breithaupt.<\/p>\n

The end result has been worth it, though. Romero never had to work for free and Breithaupt is enjoying the benefits of greater customer satisfaction. \u201cIt\u2019s different from the way we\u2019ve always done things. But it\u2019s a mandate to get the job done when you said you would. And that\u2019s gold if referrals from satisfied customers are important to you. They are to me,\u201d Breithaupt says.<\/p>\n","protected":false},"excerpt":{"rendered":"

Building a house is nothing like ordering a pizza over the phone. But maybe it should be. With few exceptions, restaurants order ingredients and supplies in advance. They create a menu of offerings and then take orders over the phone based on the menu listings. Substitutions are made when the order is placed. 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