Elevate Construction

Ep.462 - What I Had Said Wuz....


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Things said in construction mean different things than they appear. Fixed fee GMP incentivizes more people there longer and cost transfers out of self-perform. Adding manpower slows productivity and wastes trade partner profit. Systems thinking reveals real consequences behind innocent phrases. Assume positive intent but watch for negative consequences.

What you'll learn in this episode:

  • Fixed fee GMP: incentivizes longer schedules, larger teams, and cost transfers from self-perform to project budget
  • Shared float: means owner and designer will absorb your float and push delays onto contractor
  • Competitively bid: drives race to bottom, eliminates partnerships, creates adversarial culture from day one
  • Add more manpower: actually slows productivity, creates blame loop, wastes trade partner profit until pushed beyond capacity
  • Thinking in systems: every phrase has a feedback loop, identify destructive consequences and remove them

Everything has a true meaning and we need to understand these, identify the destructive ones, and remove them if we are ever going to get better.

If you like the Elevate Construction podcast, please subscribe for free and you'll never miss an episode. And if you really like the Elevate Construction podcast, I'd appreciate you telling a friend (Maybe even two 😊).

Also, here are links to our YouTube Channels:

· Jason Schroeder YouTube Channel: https://www.youtube.com/channel/UC4xpRYvrW5Op5Ckxs4vDGDg

· LeanTakt YouTube Channel: https://www.youtube.com/c/leanTakt

· LeanSuper YouTube Channel: https://www.youtube.com/channel/UCzQDevqQP19L4LePuqma3Fg/featured

· LeanSurvey YouTube Channel: https://www.youtube.com/channel/UC-Ztn3okFhyB_3p5nmMKnsw

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Elevate ConstructionBy Jason Schroeder

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