How important is it for contractors to keep their projects on schedule in 2022? Our clients in the construction business realize that it can be a make-or-break scenario.
But just how many projects will be finished on time in 2022? We checked with the construction payment software experts at Levelset and uncovered some startling statistics:
- In reality, fewer than 1 in 3 contractors (30%) finish projects on time and within budget.
- 70% say poor jobsite coordination almost always causes projects to run over budget or past deadlines.
- 80% of companies say they spend a significant portion of their workweek chasing down payments.
- Only half of construction businesses say they receive payment within 30 days of invoicing (15% regularly wait for 60 days or longer to get paid).
Here are three simple tips to help construction companies keep their projects on schedule and on budget:
Meet Regularly With Your Project Managers
Hiring exceptional construction project managers is an absolute necessity for construction companies. These professionals will ensure that you’re aware of all project timelines, material delivery schedules, supplier invoices, labor costs, etc.
Maintaining tight control over these timelines enables contractors to submit timely invoices for payment. So make sure you empower your PMs with the technology they need to track and report on all phases of your projects. Numerous affordable, cloud-based project management apps are available, so make sure you’re taking advantage of technology.
Submit Invoices In a Timely, Accurate Fashion
When you have a handle on your projects, you’ll be able to keep your suppliers and your skilled trades workforce paid on time and your operations running smoothly. With the right PMs and technology in place, you can automate the invoicing, supplier payment, and payroll processes.
Timely, detailed, and accurate invoices will result in timely payments. This is especially relevant to the current supply chain issues in the construction industry.
Communication Is Key
Don’t get caught up in another subcontractor’s supplier or workforce problems. Open, trusted lines of communication with your general contractor are critical. Let them know immediately if you’re hitting delays due to subcontractor issues beyond your control.
Discussing delays early on will allow you to come up with solutions together. It will also help you keep your projects on track and optimally allocate your workforce and financial resources efficiently.
Most importantly, make sure you have the skilled trades workforce power to keep your projects coming in on time and on budget. Our team is here to help!
Contact Skilled Trades Partners Today
It’s as easy as 1-2-3. Get in touch using the link below, ask for one of our skilled recruiting and staffing professionals, and start hiring tradespeople for your projects.
Get the skilled construction workers you need for the busy season from the expert recruitment team at Skilled Trades Partners. Whether you need temporary, specialized talent for a project or want to add skilled tradespeople to your permanent workforce, we can provide employees who are qualified, vetted, and ready to work. Contact us today at one of our four New England office locations.