Continuing Construction Projects for Business Stability
The spread of COVID-19 has pushed the construction industry towards a change of business practices within a restricted environment. From the very beginning of the pandemic in the United States, construction projects have been seriously impacted due to the restricted executive orders, even though it was deemed as an essential activity in most states.
Whether it is the stipulation to align with social distancing guidelines at the job site or the shelter in place orders, the limited supply of resources and labor shortage have made it difficult for most contractors to proceed with their projects either existing or new.
Need help learning the present status of construction in your state, go for a quick check with our 50 State COVID-19 Construction Guide.
Since every state has its own guidelines on the regulatory actions related to construction, it has become necessary for all construction firms to strategize and plan moving forward to ensure business continuity. Let us now quickly move to the essential steps that must be followed by the construction firms who need to take their business towards sustainability through the pandemic.
Field and Office Coordination
Since COVID-19 has created a situation which has given no far sight to its end, the primary concern of the contractors should be improving coordination. All teams in the field and office should be connected through an integrated system that makes it easier to share real-time data with each other. Moreover, such an arrangement will provide transparency and help to overcome any chances of distrust that project owners or stakeholders may develop.
Checks & Inspections
The next step that contractors should do is track on current operations. Since keeping a manual check or inspections at all work locations is not always a feasible option, using a construction accounting and project management software could help meet your goals. This will help the contractors in keeping a check on business activities while avoiding any scope of delays.
COVID-19 has barred travel and transport freedom which has affected the free trade between countries. Therefore, it is necessary for the contractors to understand the impact areas and find alternatives to them using innovative construction accounting and ERP software technology. Also, to avoid disruption to the supply chain, the project managers may reschedule the activities to avoid any shortage of material until normal trade resumes, even within their own country. Some other factors which are required to ensure project continuity and business progress include tracking shipping delays, inter-state transport restrictions, closing of suppliers and searching for backup vendors.
Now, another important factor that can decide the performance of your business through the pandemic is smart scheduling. Considering the present environment, it is essential that project managers should make the right use of Construction Scheduling Software to maintain the pace of progress. This needs to track the available labor resources so that any effect made to the scope of the project can be adjusted. Moreover, it will also help the contractors to avoid any funding issues that they might face due to supply or labor shortages.
Dig deeper into the contract provisions that could help you avoid unwanted loss in your construction business due to contract based liabilities.
The next step for effective construction management practices is to measure your finances. Developing a construction project demands finances to meet all needs related to project progress. Thus, it needs project managers to identify all the areas of interest that might lead to a financial burden or over-expenses. Pairing the practice of labor adjustments, rescheduling, and material planning using accounting software for construction could help with effective budget management.
Stay Aligned with the Law
With the expected delay or termination of contracts during COVID-19, most of the contractors are likely to witness lawsuits or penalties. However, it is necessary that contractors should have a detailed knowledge of the contract terms and conditions to avoid any chance of clashes. Such a situation could be subjected to Force Majeure provisions as well as other termination clauses that contractors need to understand. Moreover, this may require establishing a communication with the client to avoid any repercussions on project shutdowns.
Define Site Protocols
Since there is no confirmed date for the pandemic to end, it needs contractors and project managers to define protocols for the workers onsite. These must include work and safety rules for all including regular temperature checks, rotational breaks, restrictions on equipment sharing, maintaining distance at the site, sanitation, the use of masks and gloves, and identifying any areas that may cause significant chance of infection. Such practices will help project managers to safely proceed with the project activities while taking the business forward.
The outbreak of COVID-19 has paved the way for new normal which has made the construction companies shift toward innovative business approaches with a massive shift towards integrated project management technology. Such transformations could be considered as a paradigm shift that has made the construction firms and contractors to reform their business processes. However, these steps have proven to be of value for the construction industry by improving the standards of client service and reinventing the idea of advanced construction.
Wondering how you can use integrated construction technology such as Project Management and ERP software to navigate your construction business through the pandemic. Schedule a call with our experts at ProjectPro for a quick consultation.