Everyone Needs a Vacation

Q: I have a question about time and material approval sheets. We are a steel subcontractor. When we write a t & m sheet to a general contractor and the general contractor writes “verify time” next to their signature, what do they mean?

Thank You,

James Fall, Estimator

ADD Steel Inc.

A:

Why don’t you ask the contractor what they mean? My best guess is that it’s their way of not totally approving the work until they verify the extra time spent is completed and the actual time billed is correct. A better way to present your request for extra work is to have the contractor sign that they agree to pay for all of the work listed at the agreed upon rates and markup for the agreed upon time and materials required. If you don’t know how long the work will take, put an estimate of the time anticipated. Then, when you complete the work, get them to approve the final time and materials used. Also, make sure the signer is authorized by your subcontract to approve extra work. Many subcontracts don’t allow field superintendents to authorize work.

 
Q:

I really enjoy your articles in Construction Business Owner. I have been in business long enough to know you are on-target with your advice. I am trying to discover how you know when you and your employees need a vacation. I have had several good superintendents who just melted under the stress, and sometimes family problems carry over into the workplace. I actually brought in a PhD management consultant to assess our people and determine who should and shouldn’t be in management. She quickly informed me that I was on the edge of burnout and that I needed to take six weeks off. Our crew members carry similar loads. That consultant has since retired, and I have not found another person to take her place. Are there any publications or organizations that address this issue without charging so much? How do I know when I should take a break?

Larry Billings

Billings Contractors LLC

A:

It sounds like you have a terminal case of impatience, micro-management and control. You push everyone too hard, and then your good employees feel pressured until you finally explode. This is not a good way to build your business! During my first ten years in business, I was a control freak and made everyone’s life miserable. It doesn’t work. I finally realized the more I pushed and controlled, the more they resisted, and the less they performed. When I finally started to let go, delegate responsibility and trust my people to become the best they could, they grew and became excellent team leaders and accountable players. People are like fires. They need to be stoked on a regular basis or they burn out.

Like you, your people also need to be allowed to only work a maximum of forty to forty-five hours a week, not required to work weekends or evenings and are compensated with plenty of paid vacation time (minimum two weeks per year) on regular intervals. Quit winning a war on every little detail that doesn’t really matter. Give your people some authority to make decisions, spend money, sign contracts and get their projects built. Nothing in your business is as important as you, your health, your family and your people.

I suggest you make a list of the things you can delegate to key managers. Then hold a meeting and tell them you are only going to work thirty hours a week and need them to step up and take on more responsibility. Turn over employee management to your key managers, and let them decide the hours and benefits everyone gets, who to fire and who to hire. You job will change to customer relations, sales and leadership. I guarantee you’ll make significantly more money and have fun.

Response from Larry Billings:

My God, why don’t you tell me what you think? Ha-ha! You have just won me over. Man do I like people who aren’t afraid to tell me the truth. Thank You!

Construction Business Owner, January 2009