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Wolgast Blog - Construction Trends, Tips and Information

Get commercial construction questions answered by a professional contractor sharing building trends, tips and information

Posts about Good for Business (6)

Why Winter Is the Best Time to Plan Your Construction Project

Other than taking time to prepare a plan when the weather is poor for construction (so you can be ready when the weather is conducive for construction) there are additional benefits to contact your design/builder or general contractor in the winter.  Let me clarify that the following explanation works best when applied in Michigan and other cold winter states.  

Why Design Build Works Well for Healthcare Practices

 
In this blog, I’ll explore how the Design-Build method of construction is well suited to medical doctors, more so than general construction.  To start, the D-B method was really created to suit the needs of busy business owners, which includes doctors, because it requires less attention from an owner and that owner can set their involvement as much or little as they see fit.  Some customers like to be more engaged in the process than others and we are happy to accommodate each client’s unique desires.

 

The basic difference of D/B over general construction, is the relationship between the architect and builder.  In this project delivery, they are on the same team.  A doctor only needs to work with one entity to design and then build his or her office.  Also in this scenario, the doctor is protected from any discrepancies from the architect’s drawings to contractor’s application.  With D/B, the contractor and architect are consulting on budget, application and material quality throughout design, so when construction starts there are very little interruptions or change orders.  Should there be a discrepancy, the design-builder will work it out without involving the owner unnecessarily.  This protection is valued by doctors who oftentimes aren’t as familiar with construction, nor have the time to deal with these issues on site.  All of these reasons are exactly why Design-Build was created as an alternative to general construction.

Design Build Services Add a Construction Department to Your Team

When you choose to work with a design-builder, you’re adding a whole construction department to your team that’s dedicated to completing a turn-key project as if it were their own.  Turn-key in this instance includes initial concept through design, construction, and a 1-year warranty program.   

Popularity Increasing for Design Build Construction

As an update to this blog originally posted a few years ago, we have new information to add  from the June 2018 Design-Build Utilization Report funded by Design-Build Institute of America. Findings in this report determined that popularity continues to grow for this delivery method. The results showed, "Design-Build Construction spending in the assessed segments is anticipated to increase 18% from 2018 - 2021", and will likely represent 44% of construction spending by 2021. Researchers determined that the education of building owners on Design-Build benefits is gaining traction, and more owners are experiencing enjoying the benefits first hand.  Additionally, FMI Corporation, a management consulting and investment company, had released a report in March 2019 titled 2019 AGC/FMI Risk Management Survey, whereby they found that "38% of contractors were <planning> to increase their in-house design capabilities last year and 43% this year".  So there will be more collaboration, less risk, and more competition among design and construction moving forward.

Original blog article:

According to the May 2013, “Design-Build Project Delivery Market Share and Market Size Report” by Reed Construction Data and RS Means Intelligence, Design-Build construction delivery method has taken an additional 9% of the construction market since 2005 and General Construction has lost 10% of the market share in that same time.

What is the Design Build Method of Construction?

We've been providing Design-Build services for almost 40 years and we're curious if it's a well known term among those who haven’t previously been involved with the construction of a commercial building.  Have you heard the term before?  In a nutshell, it’s a method of construction delivery in which the building owner executes a single contract with one entity to provide architectural/engineering and construction services.

Three Common Misconceptions about Design Build Construction

Companies that regularly open new locations probably have a lot of experience with construction.  They benefit from having established drawings to help design the next store and a familiarity with contractors, and, therefore, are a good fit for General Construction services to complete their buildings.  On the other hand, business owners who are unfamiliar with construction and don’t have relationships with professional contractors would benefit more from having a Design-Builder on their team.  This is because Design-Build perks include faster completion, a single-source to contact for all project needs, and the ability to judge which subcontractors offer the best value for their project.

Ample Estimating Time Can Lower Price of Construction

Obviously, planning a construction project doesn’t happen overnight.  In most cases, the client has a set occupancy date when construction has to be completed either to satisfy a contract they have acquired or to meet their seasonal market (to name two).  During that construction project time frame, planning through completed project, there are five main activities that need to take place, which include design, cost estimating, obtaining regulatory approval, acquiring materials and construction. 

The Good and the Bad of How Contractors Lower Their Bids

 

In a competitive bid situation, contractors can go to the extremes to lower their bids, especially when work opportunities are scarce.  In the end, a business owner may like the price, but may not like the final results.

To Use or Not to Use a Pre-Engineered Metal Building

We have had all kinds of business owners from varying professions ask us about using a pre-engineered metal building when they’re fact finding about new construction for their business.  We tell them a general rule of thumb to consider is that metal buildings are best for businesses that want an industrial look, or have a big enough budget to dress up a pre-engineered building with brick or EIFS (for example) to mask the industrial façade.

Using Your Building as a Marketing Tool

 

In your marketing plan you’ve probably included a budget for advertising, special events, direct mail, tradeshows, logoed goods, internet and social media to name a few, all in order to drive traffic to your business.  One thing you may not have considered is the role of your building and how it can drive traffic to (or away from) your business.

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