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How Your Commercial General Contractor Can Help Reduce Costs

Published by
Rami Tawasha

When you have taken your time to find the right commercial general contractor for your commercial construction, you will be able to make considerable cost savings due to their innovative ways of conducting the project.

This is the one capability that the customers of commercial general contractors will like. Hence, they will try to demonstrate their ability to bring down the project costs as a way of getting more projects.

With their strong Experience and long Industry standing they will be able to Complete the Project at Lower Costs.

Though the cost of a construction project mainly depends on the time and the resources needed to complete the project, by prudently planning ahead and by systematically approaching the project, your commercial general contractor will help you achieve a higher level of cost savings in a construction project.

Your commercial general contractor will find ways to reduce the costs of construction as there are many ways of doing this. Most importantly, they will be using good construction management software. Using it, they will be able to optimize the use of the resources, materials, and equipment in such a way that you can complete the project at a reduced cost.

Some of the easy ways of reducing the cost in a commercial construction project include the following:

Put the Right Employees for the Right Jobs

It’s a skill that a Commercial General Contractor specializes in:

commercial general contractor reduces cost by choosing the right employees for the right job

In a large construction project, you will involve many types of workers. By engaging the right type of employees for more complex and more demanding works, your contractor will be able to complete them with minimum stress and minimum resources within a short time. This will avoid the necessity to redo wrongly done items incurring heavy time, material, and cost overruns.

To avoid this contractor will select the right workforce and keep it ready for particular types of works.  They engage in regular enhancing of their personnel’s skill sets and keep them abreast of all emerging things in your industry. This will make them work with confidence, and they can give you more cost savings.  They always allow more experienced workers to lead the team and the others to assist them.

Avoid Long Downtimes of Critical Equipment

Downtimes of equipment is an unnecessary cost:

the commercial general contractor reduces cost by making sure all the equipment are available on time.

As your contractor is responsible for everything that is happening on the worksite, they use many types of equipment for the easy and swift completion of the project work. Hence, they see to it that there is an uninterrupted availability of these during the execution of the project. There are many types of equipment, and some are more critical for the project while some others are only accessories to this critical equipment.  They carry out a periodical assessment of the equipment and take proactive actions to keep them in good condition.

This will help your construction work proceed smoothly without any critical equipment failing at the wrong time. This downtime and the time is taken to bring it back to normal operation will add more labor costs and material costs. So, maintaining the equipment, they s one of the real ways of reducing costs in a construction project that the project proceeds without any hitch ad, hence bringing down the project’s cost.

Planning The Project Work As Per The Weather Conditions

Cause weather can’t be ignored during the commercial construction:

Commercial General contractor reduces cost by considering the weather conditions of the project

As an experienced commercial general contractor who knows the effect of weather conditions on the project execution, he will be planning the project work as per the prevailing weather conditions on the construction site. For this, he will be having arrangements to have a forecast regularly and plan the project accordingly. This will help him in the optimal use of the equipment, materials, and workers, reducing wastage as much as possible.

By doing this, he will be able to consider reducing the cost of the project by reducing wastage of material and labor caused by unfavorable weather conditions during the conduct of the project.

By avoiding natural phenomena like rain, thunderstorm hail, and snowfall, your contractor will be able to put the men and materials to the best use and prevent cost overruns.

Good Communication

Because miscommunication is expensive:

As a commercial construction project is always large and involves hundreds of persons working towards the common goal of completing the project, communication is the common strand that connects them all. Many teams working on the different parts of the project at the same time need the highest possible coordination, and for this, an effective line of communication is vital.

Your commercial general contractor will have an open line of communication and will be using all types of modern communication channels to allot work, monitor the progress and give timely instructions and make sure that each team has their equipment and materials with them at all times so that the project can progress without any impediments.

This will help your contractor complete the project on time and bring down the project’s overall costs.

Set the Right Timing for The Project

Because timing is everything:

The timing of starting and proceeding with the project has a huge impact on the cost of the project as everything has its season, and the construction is not an exception. When you are starting a large commercial construction, your contractor, with his experience and long-standing in the construction industry, knows the impact of the project cost’s timing and will start the project at the right part of the year when the labor and the material cost less.

Usually, there will be very few projects during fall and winter, and hence these periods of the year are considered to be the off-season for the construction industry. To cut costs and bring in more savings, your commercial general contractor will know when to start the project based on the local conditions prevailing in the local construction industry. By doing this, he will be able to complete the project at a lesser cost helping you to save more money.

Good planning

Because prevention is better than cure:

the commercial general contractor reduces cost by careful and good planning

Most of the time, more money is wasted due to redoing the project work and making alterations in the middle of the project. To avoid these bad elements from your commercial construction, it is necessary to have good planning before starting the project. Your commercial general contractor, with his experience, will be well aware of the necessity of thorough planning of the project and will take steps to educate the project requirements to the team heads and will make them clear of the project specifications.

He will take care that each of those working on the project knows the complete details of the project regarding their part of the project and will be able to work with clarity. If at all deviations are noted during the project work, they will be able to take corrective actions immediately without wasting labor and materials. This type of prior planning will help you get more cost savings in the construction of your commercial property.

Ability to Control Everything

Cause control on time & materials means control on money:

As the contractor is in charge of the entire project and knows every aspect of the project even before starting the project work, he will have a clear understanding of the project’s methods of execution. With his full authority, he can alter the work routines or change the work schedules for optimum results, and He will be able to get the best results without wasting time or materials. Due to the strict monitoring and ability to take corrective steps immediately, considerable cost savings can be achieved by him.

Open To All The Possibilities:

Cause spot decision making is key to cost-reduction:

the commercial general contractor reduces cost by being open to all possibilities

An experienced contractor undertaking a large commercial construction will be open to all the possibilities to complete the project as planned. For this, he will be keeping himself open to all the possibilities as necessitated by the field conditions. He will never hesitate to make necessary changes to his project schedule and the ways of doing the project. This will add more efficiency and the ability to get more from less in many respects, helping you achieve more cost reductions.

Effective and Good Sourcing:

Cause the Contractor is good at cracking good deals:

Sourcing is an important function of your contractor and will have excellent experience in dealing with many projects earlier. He will be sourcing material, labor, and equipment for the project and will know how to do this at their best terms. As a major part of the project, the cost goes to sourcing men and materials for the project.   When your contractor can enter into the best deals, you will be able to get significant cost savings while doing your project by getting the materials and the labor at much lower prices.

Thus, when you have chosen your commercial general contractor carefully, you can feel confident that he will be able to bring down the overall cost of the project in many ways. Thus you can take advantage of his experience and expertise of having handled large commercial contracts.

Efficient Reusing

Cause efficient reusing leads to efficient cost-reducing:

If your project involves more renovation work wherein you already have existing materials & appliances employed, the contractor would reuse most of the possible materials, which will continue to meet your requirements and productivity. The contractor at the time of deciding the budget would consider the state of the existing materials & appliances already present to work out potential reductions in the project costs keeping in mind the most desirable level of output at the end of the project. 

I hope this article has given you some idea about how a commercial general contractor plays a key role in reducing the project cost. If you want to know about our commercial general contractor services, please feel free to contact us today.

Relevant Resources:

Tips on How to Control Office Tenant Improvement Project Costs

4 Common Mistakes To Avoid When Hiring a Commercial Contractor

What Does A Commercial General Contractor Do?

This post was last modified on March 3, 2021 10:58 am

Rami Tawasha

An experienced civil engineer with more than 15 years of experience, Rami Tawasha serves as a senior project manager for Constructive Solutions, Inc., a commercial general contractor based in San Mateo and San Francisco. Under his leadership, the firm performs services ranging from design build to tenant improvement and renovation for corporate offices, medical facilities, building renovation, seismic retrofit, industrial and retail spaces across the San Francisco Bay Area.

Published by
Rami Tawasha

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