SELF PERFORMING
“We’ve shown over and over that self performing can have a direct and positive project impact. It’s a big part of what makes us a little different.”
—Mike Bolen, CEO/Chairman, McCarthy Building Companies, Inc.
What is self-perform?
Unlike a traditional broker of construction services, a self-performing general contractor is a builder.
Self-performing general contractors use their own labor force to accomplish a portion of a construction project, particularly critical path components such as steel erection, concrete work, and carpentry. A self-performing contractor brings qualified labor, specialized equipment, and building expertise to a project. These enable the contractor to identify and solve construction challenges, offer scheduling flexibility and demand a level of quality and safety a typical contractor can’t. Only about 25 percent of general contractors self perform.
How does self-perform work?
A builder may contract with a client to self-perform work based on the cost of the work plus mark-up. Or, a builder can submit a bid to self-perform a portion of the work and also solicit competitive bids from the subcontractor community. Contractors who build projects away from their home base can offer self performance by partnering with a local firm that has this capability.
A builder mentality can save money.
Self-performing contractors are true builders. Because of this they have a hands-on understanding of what it takes to get a project built. If hired early in the design process, they can add valuable input to preliminary drawings while it is still economical to make changes. They can provide counsel about availability and cost of building materials and provide efficient alternatives. While a project is under construction, a self performer helps a project stay on budget, because they are active in the market and know the real costs for relevant work.
Self performance keeps you on schedule.
Using their own crews, a self-performing contractor can set safety standards and drive the schedule more effectively. This is especially critical if a project is fast track. Time typically required to procure and orient new subcontractors is minimized. As a builder, a self performer brings a clear understanding of the pace of superstructure construction, which translates directly into the accuracy of scheduling relevant work, establishing goals and keeping the entire team focused. Self performing critical path components can eliminate subcontractor delays, which are often difficult to make up later. In addition, with fewer layers of bureaucracy, self performance enables a contractor to execute change orders promptly and proactively drive the schedule.
Self performance drives quality.
By employing its own forces, a self-performing contractor can set the standard of craftsmanship put in place on a project. Contractors who self perform regularly spend years developing and training a strong crew of professional craftsmen and project managers whose approach to their work is in line with their own. By contrast, in a busy construction market a subcontractor may be too stretched to put their best people on all of their projects, and a broker will not be able to control these personnel choices.
