How To Save Money On Construction Projects
Source: http://www.hueandcry.com/blog/contractor-resources/how-to-save-money-on-construction-projects/
If you’re like most contractors, you’re looking for ways to squeeze every cent out of every dollar on your next construction project.
If you want to save loads of cash on your next job, you need to follow the tips below. You’ll get some great ideas on how to effectively save money.
Tip 1: You’re going to have to plan ahead
If you don’t plan ahead, your budget is in for a world of hurt. The more time that you spend planning out a project, the more you’ll save in cost overruns.
We’re not talking about analyzing every penny and every second in a workday. We’re talking about doing some research on identifying potential areas where you can save time and money.
Remember, the cheapest solution may not always be the best. Many times, using cheap building materials or cheap construction equipment will cost you more in time and of course … money.
Tip 2: Be realistic
There’s nothing worse than setting goals and expectations that are higher than a New York City skyscraper.
Be realistic about how long it will take you to complete a project. Yes, we all want to get jobs done as soon as possible. But don’t set expectations that you can’t live up to. This just causes lots of problems, some of which can end up in a courtroom.
Have up-front conversations that will help set realistic goals and expectations. This will help prevent heated arguments and save you money.
Tip 3: Improve Employee Productivity
If you want to save money on your next construction project, you need to improve construction worker productivity.
Obviously, it starts with hiring dependable people. You’ll also want to provide incentives and other rewards for hard work. Other ways of improving productivity include allowing workers to take breaks and limiting overtime.
More breaks and no overtime may not make sense at first glance, but studies show that it saves time and money. By improving the productivity of your workforce, you’ll help to save money on your next construction project.
Tip 4: Improve Construction Equipment Productivity
So many contractors forget about construction equipment productivity. Construction equipment can be a big money drain.
That’s why it’s important to make sure that you’re organized. You’ll want to keep maintenance records on all equipment. You’ll also want to do a cost analysis on renting vs. buying construction equipment.
Finally, you’ll want to make sure that you’re getting the most out of your equipment. Idle equipment on a job site is a big waste of money.
Tip 5: Use technology to your advantage
Scheduling software, CAD programs and other software can help you save lots of time and money.
Scheduling software can help to ensure that you have enough people to get the job done. CAD software can help make sure every thing is up to spec. With CAD software, you can see three-dimensional renderings of buildings.
This can help to give you a better idea of the construction site as well as any potential problems that can occur with equipment on the site.
Tip 6: Avoid Changes
Changing the plans to a construction project could cause costly delays.
Try to avoid changes at all costs unless they are totally necessary. This will help to prevent delays. There’s nothing worse than having a project that is over budget because there have been hundreds of tiny changes along the way.
Tip 7: Stay Positive
Being a jerk and negative isn’t going to get the job done any faster. If you want things to run smoothly, you need to learn how to stay positive.
This all starts by learning how to communicate with people. Most problems on construction sites start because there was a lack of communication.
This does not mean you should be soft on your workers, we’re just saying don’t go out of your way to put people off.
Tip 8: Keep Thing Secure
Theft and vandalism are major causes of delays on construction projects. Before you start your next project, be sure to look at the various construction security options available.
Besides fencing, you may want to consider remove security cameras. All of this will help to keep your construction site safe and secure.
Summary
Following these eight tips will help you save money on your next construction project.
