VOICE - CURTmail.curt.org/pdf/Voice-fall07.pdf · 2007. 12. 4. · The Construction Users Roundtable 7 TABLE OF CONTENTS CURT LEADERS: 9 Ricardo Aparicio, Esq., CURT President 11

VOICETheThe official magazine of The Construction Users Roundtable

Pre-Assembly Perks:Pre-Assembly Perks:

PRSRT STDU.S. Postage

PAIDPembina, NDPermit No. 14

Fall 2007

Discover Why Modular Makes SenseDiscover Why Modularization Works

INSIDE:

ConsensusDOCS: From Fragmentation to Collaboration

National Conference Agenda GREAT Completes Over

7,500 Trainings Look Up (North) For Labor Answers

The Construction Users Roundtable 7

TAB

LEO

FC

ON

TEN

TS

CURT LEADERS:9 Ricardo Aparicio, Esq., CURT President

11 Douglas Graham, CURT NationalConference Chairperson

13 Gregory Sizemore, Esq., CURT ExecutiveVice President

GET TO KNOW CURT:15 Membership Information17 Publication Order Form18 CURT Comments

COVER STORY:28 Pre-Assembly Perks: Discover Why

Modularization Works

FEATURE:33 LEEDing the Way to a Greener Future39 Where Are All the Women?45 What's Trust Got to do With it?

Published by Matrix Group Publishing, Please return all undeliverable addresses to: 16516 El Camino Real, Suite 413, Houston, TX, 77062 Toll Free Tel (866) 999-1299 Toll Free Fax (866) 244-2544 President & CEO Jack Andress Senior Publisher Maurice P. LaBorde Publisher & Director of Sales Joe Strazzullo([email protected]) Editor-in-Chief Shannon Lutter ([email protected]) Editor Jon Waldman Finance/Accounting & Administration ShoshanaWeinberg, Pat Andress, Nathan Redekop ([email protected]) Director of Marketing & Circulation Jim Hamilton Sales Manager Neil Gottfred Sales TeamLeader Rick Kuzie Matrix Group Publishing Account Executives Travis Bevan, Lewis Daigle, David Giesbrecht, Miles Meagher, Marlene Moshenko, Declan O’Donovan, KenPercival, Brian Saiko, Peter Schulz, Vicki Sutton Advertising Design James Robinson Layout & Design J. Peters ©2007 Matrix Group Publishing. All rights reserved. Contentsmay not be reproduced by any means, in whole or in part, without the prior written permission of the publisher. The opinions expressed in this publication are not necessarily thoseof Matrix Group Publishing.

LEGAL BRIEF:49 ConsensusDOCS: From Fragmentation to

Collaboration

PROFILE: 55 Toyota Motor Manufacturing, North

America

CURT INITIATIVES:56 2007 National Conference Agenda61 The CURT Tripartite Initiative65 ABC/CURT Partnership Thrives68 Building Relationships to Help

Businesses Grow71 GREAT Completes Over 7,500 Trainings

BACK AT YOU:73 A Firm Foundation of Education75 Look Up (North) For Labor Answers

77 BUYER’S GUIDE

Published For: The Construction Users Roundtable 4100 Executive Park Drive Cincinnati, Ohio 45241 Tel: 513-563-4131 Fax: 513-733-9551 E-mail: [email protected] Web: www.curt.org

On the Cover:A severe shortage of skilled workers in theconstruction industry has forced companies toexplore other options to get their projects done. Onechoice that’s gaining popularity ispreassembly/modularization. Photos courtesy ofPCS Purified Phosphates and Jacobs EngineeringGroup Inc. (first row); Fluor Corporation (secondrow); and The Shaw Group Inc. (third row).

Message from the CURT PresidentC

UR

T LEA

DER

S


My 82-year old father called me from Florida theother day. “How is it,” he asked rhetorically,“that bridges can fall?”

The oldest son of a land surveyor and anaccomplished professional draftsman in his own right,my father belongs to that old school that elevated thetedious task of putting a set of architectural andengineering drawings together, one line at a time, to anart form. Whether it is a one hundred year-old pen-on-linen drawing or the subsequent pencil-on-vellumversions that replaced them, if you have ever seen theexquisite work produced by one of these masterfulartisans, you would agree that they stand as livingtestimony of what carefully prepared, well coordinatedworking drawings should look like. Producing them wastime consuming, no doubt, but so was the process ofchecking and rechecking them before they were issuedfor construction.

It was not surprising then, to hear my father’s angryvoice of disbelief at the news of the I-35W bridgecollapse in Minneapolis, earlier that day. “Bridges,” myfather insisted, “are simply not supposed to fall.”

I couldn’t agree with him more, but the fact remainsthat this type of event has become too common-place inour industry to the point we hardly take collective noticeanymore.

Sure, for a few days, as the rescue effort turned torecovery and the body count continued to rise, we allshared in a sense of outrage. But by now, for most of usfar removed from the immediate aftermath of thecatastrophe, it is all fading from memory. Of course, wewill be briefly reminded of it once again, months fromnow, when the neatly bound report by the blue-ribbonpanel of distinguished professional and communityleaders assembled to undertake the required lengthyinvestigations is published. It will be a well writtenreport, with an extensive list of things and people thatwent wrong, and the all too familiar set ofrecommendations.

As such, the report will be a new opportunity forsome to point fingers as they proudly proclaim, “I toldyou so!” Thus, the collapse of a bridge that once unitedopposite banks of the Great Mississippi will only serveto drive an already highly insular industry further apart.

But for others, the report will be a painful reminderthat as long as we continue to look at “projects” assingle unique events and their failures as isolatedinstances without a common thread, the systemicproblems that today engulf us all will continue to prevail.Nothing will change, unless and until, we reformourselves collectively.

Whether it is under-funded or unrealistic projectbudgets, critical shortages in skilled labor, lack ofproperly trained and experienced design professionals,incompetent contractors, inadequate coordinationamong disciplines, or poor quality control, owners,design professionals and builders must work together ina fully integrated and highly collaborative environmentto ensure that the end product not only accomplishes itsintended purpose, but that it withstands the test of time.

That is one of the primary reasons why I continue tobe invested in CURT. From 3XPT to the CURT TripartiteInitiative, to our safety awards, to benchmarking, or toany of the other various initiatives in which we areinvolved, CURT is committed to bringing the key industryleaders to the table, in order to work together toredefine old models as well as create new ones that willdrive the industry forward.

Doing so does not require a nostalgic return to theold days of pen-on-linen drawings. Instead, it requiresthe assimilation of evolving technologies into newmodels that will better respond to the demands of anever faster global business environment. It requires moreand better training. It requires full horizontal and verticalintegration at all levels of the project team. It requiresreal time access and information sharing among allparticipants.

Certainly it is a daunting task that will demand fromeach of us the same high level of dedication andinvestment as that of the skilled draftsmen of yesteryear.But, the way I see it, we have no other choice.Because, as a wise man reminded me the other day,bridges, simply, are not supposed to fall.

Ricardo Aparicio, AIA, Esq.General Electric CompanyCURT President

Bridges That Unite Us

Message from the CURT National Conference ChairpersonC

UR

T LEA

DER

S


Are you searching for an opportunity that will provide you withinnovative ideas that could transform the way you manageprojects?

The 2007 CURT National Conference, held in Naples,FL, November 5-7, at the beautiful and newly enhanced NaplesGrande Resort, will be able to satisfy that requirement.

In the ever changing landscape that is the construction industry,the CURT National Conference provides one of the most valuablenetworking and educational settings possible. It brings togetherleading owners, designers, contractors and labor leadersto tackle problems and explore solutions that are onthe leading edge of our industry.

The construction industry continues to bechallenged across a broad range ofissues. The development, execution, andcloseout of large and complexconstruction projects will always befraught with risk and opportunity. Ourindustry partners, shareholders,business partners and end users expectus to continually improve, year-to-year,providing cost effective solutions thatincrease the economic profit of thecorporation.

Owners, contractors and labor leaderswill be in attendance as conference participantsand presenters. These construction and corporateleaders, along with industry experts, will drill-down intovarious data processes, experiences and technology, and providea vision that will stimulate our thoughts and actions to improveperformance.

The National Conference strives to inform and educateattendees from all segments of the construction industry to addresskey areas of concern in project management by offering innovativesolutions to mitigate risk while communicating advancements intools, technology, and methodologies.

The National Conference Planning Committee is extremelyexcited to be able to consolidate these many outstanding topicsand premier speakers into a two and half day conference, and stillprovide time to network with peers, sponsors and exhibitors.

The agenda, distributed in early September, details a stimulatingcross section of experience and leadership in each area of

expertise. The conference registrations went fast, and if you foundyou were unable to attend let me touch on some highlights.

The opening speaker for the conference is Ed Merrow, Founderand President of Independent Project Analysis, Inc., the pre-eminentglobal consulting organization for capital investment projects. CURTmember executive speakers include Maggi Walker, Vice President,Dow Chemical Company; Peter Davoren, President and CEO,Turner Construction Company; and Ricardo Aparicio, CURTPresident from General Electric Company.

Other noted presenters include John Mitchell, SeniorEconomist from U.S. Bank; Major General Charles E.

Williams, Director OBO, U.S. State Department;Ed Hill, IBEW General President; and the

newly elected BCTD President, Mark Ayers.With 18 concurrent educational

breakout sessions, attendees will beprovided specific details and be able toask questions in the areas of safetyperformance, creative contractingagreements, integrated project delivery,BIM, workforce performance, the 3XPT

strategy initiative, construction crafttraining, and LEAN project delivery.

Lastly, there will be an exciting wrap-up tothe conference by none other than Sam

Donaldson, Veteran Chief Washingtoncorrespondent for ABC News.

The annual National Conference continues to demonstratethe commitment of CURT and its members to improving the industryand leading changes crucial for our collective success. Whether inthe area of safety, quality, workforce development, technology,education, or project management, CURT has a vision to be on thebow wave of improvement and to communicate that information toour members and industry. The National Conference continues toemphasize present and future direction that can be used to supportindustry success, as we all resolve to get out of our comfort zonesand advance innovative, out-of-the-box solutions to transform theconstruction industry.

Doug GrahamThe Boeing CompanyCURT National Conference Chairperson

From Collaboration to Transformation: Solutions For Today’s Construction Industry

The CURT National

Conference provides one

of the most valuable networking

and educational settings that brings

together leading owners,designers,

constructors,and labor to tackle

problems and explore solutions

that are on the leading edge

of our industry.

Message from the CURT Executive Vice PresidentC

UR

T LEA

DER

S


Ilove the vibrancy and excitement of the collegecampus! Often when Cindy and I are on a trip, andhave the time, we will detour to drive aroundcampuses large and small. So for years now, instead

of golf or other hobbies, I have chosen to teach aclass—one night a week for one semester—to some ofthe best and brightest college students in Cincinnati.

Recently, I’ve thought about why I find that activity soappealing and have concluded that aside from keepingup on my own game, construction law, the classroomgives me a chance to provide input and guidance toyoung adults at the most critical part of their lives. Someof the most dramatic and permanent changes in lifeusually occur during those years. A person istransformed from a kid living at homeand eating at their parent’s table, toa full-fledged adult who should beearning a living and takingcomplete charge of his or herlife. Most of the decisions thatwill shape their next fifty yearswill be made during this time,including the choice ofoccupation, perhaps thedecision to marry and theestablishment of values andprinciples by which their life willbe governed.

What makes this time period evenmore critical is the impact of early mistakesand errors in judgment. They can undermine allthat follows. A bricklayer knows he must be very carefulto get his foundation straight; any wobble in the line ofbricks at the bottom will create even greater tilts as thewall goes up. So it is in life and in our careers.

I’ve related that reality many times to organizationaldevelopment—CURT for example. Our early years arecertainly exciting, fun and creative. Our ValueGeneration Surveys indicate we continue to provide agreat value to our members and associates. Our leadersare focused and creative. Our staff is hard working anddedicated. But, as we move forward into our next phaseof growth and development, it is absolutely essential that

Learning From Our Past, Shaping Our Future

we are confident in a strong, solid organizationalfoundation. Just like those college students, if we are tocontinue to carry out our mission with quality, integrityand a sense of challenge, then what we are doing nowwill matter most in the future.

Accordingly, each year the Board of Trusteesreassesses our foundation building efforts. Is CURTaccomplishing its mission? Do CURT members and theindustry in general, have a clear understanding of ourpurpose? Do we have the correct identity in the market?How well has CURT articulated its mission? Is our visionof the future clear and bright? Do we believe thatchange for the better can be achieved? Are we doing

the right things to get us there? Do we have theright collaborative processes in place? Do

we have a comprehensive and ultrachallenging Strategic Plan? Do we

have metrics in place to assureprogress toward goals? All thesequestions properly answered willbe the underpinnings for afantastic future.

Not only does ourorganization need periodicevaluating to operate at an

optimal level, but our leadershipteam and scores of volunteers need

to be assisted, empowered andrecognized for their part in building the

foundation. So, as we answer the toughquestions, we also want to express our gratitude

for the outstanding “construction crew” involved insetting and building CURT’s foundation for a brightfuture. Once again, a bricklayer knows he must be verycareful to get his foundation straight; any wobble in theline of bricks at the bottom will create even greater tiltsas the wall goes up. As it is in life; so it is in the life ofCURT. Thanks to each of you who have helped build thisstrong foundation.

Gregory Sizemore, Esq.CURT Executive Vice President

Not only does

our organization need periodic

evaluating to operate at an optimal

level,but our leadership team and

scores of volunteers need to be

assisted,empowered and

recognized for their part in

building the foundation.


●●●GET

TO

KN

OW

CU

RT

REGULAR MEMBERSHIPConstruction Owner: Any industrialor major commercial user ofconstruction or maintenanceservices who spends at least $75million annually as a corporation.The company must be representedby at least one high rankingcorporate policy maker usually thevice-president or corporatemanager of construction orengineering.

ASSOCIATE MEMBERSHIPContractor, Subcontractor, SpecialtyContractor, Supplier, ServiceProvider: From time to time theBoard may create a number ofAssociate Members positions.Provided space is available,Associate Members may berecommended by anOwner/Member and therecommendation must beaccompanied by two letters ofrecommendation and be approvedby a 2/3 majority vote of theBoard.

ASSOCIATION ASSOCIATEMEMBERSHIPAny not-for-profit national tradeassociation, research organization,or educational organization thatprovides services to the industrial orcommercial construction industrymay be eligible for membership inCURT and submit an application tojoin, provided they meet theAssociation Associate Membershiprequirements established by theBoard of Trustees and an openingin this category of membershipbecomes available.

OWNER MEMBERSABBOTTAIR PRODUCTS & CHEMICALS, INC.ALSTOM POWER INC.AMERENAMERICAN ELECTRIC POWERAMERISTAR CASINOS, INC.AMGEN INC.BAXTER HEALTHCARE CORP.THE BOEING COMPANYBP PLCCATERPILLAR INC.CHEVRONCHRYSLER, LLCCISCO SYSTEMSCITIGROUPCONOCOPHILLIPSCONSTELLATION GENERATION GROUPDTE ENERGYTHE DOW CHEMICAL COMPANYDUKE ENERGY CORPORATIONDUPONTDYNEGY GENERATIONEASTMAN KODAK COMPANYERNST & YOUNGEXELON CORPORATIONEXXONMOBIL CHEMICAL CO.FIRSTENERGY CORPORATIONFLORIDA POWER & LIGHT - NUCLEARGENERAL ELECTRIC COMPANYGENERAL MILLS, INC.GENERAL MOTORS CORPORATIONHCA HEALTHCARE CORP.HERCULES, INC.HONDA OF AMERICA MFG., INC.INTEL CORPORATIONJOHNSON & JOHNSONKANSAS CITY POWER & LIGHT CO.THE McGRAW-HILL COMPANIESMEADWESTVACO CORPORATIONMERCK & COMPANY, INC.NEVADA POWER CO.ONTARIO POWER GENERATIONPFIZER, INC.PRAXAIR, INC.THE PROCTER & GAMBLE CO.PSEG POWER, LLCROHM AND HAASSALT RIVER PROJECTSHELL GLOBAL SOLUTIONS (U.S.), INC.SOUTHERN COMPANYSUNOCO, INC.TAMPA ELECTRIC COMPANY

TENNESSEE VALLEY AUTHORITYTOYOTA MOTOR MFG. NORTH AMERICATYCO INTERNATIONALU.S. ARCHITECT OF THE CAPITOLU.S. ARMY CORPS OF ENGINEERSU.S. GENERAL SERVICES ADMINISTRATIONUNIVERSITY OF CINCINNATIWALT DISNEY IMAGINEERINGWEYERHAEUSER

CONTRACTOR ASSOCIATEMEMBERSALBERICI GROUP, INC.BE&KBECHTELEGIZII ELECTRIC, INC.FLUOR CORPORATIONGILBANE BUILDING COMPANYJACOBS ENGINEERING GROUP, INC.RUDOLPH/LIBBE COMPANIESTHE SHAW GROUP, INC.TETRA TECH EC INC.TURNER CONSTRUCTIONWASHINGTON GROUP INTERNATIONAL

ASSOCIATION MEMBERSABC (ASSOCIATED BUILDERS & CONTRACTORS)

AGC (ASSOCIATED GENERALCONTRACTORS)AIA (AMERICAN INSTITUTE OF ARCHITECTS)

FCA (FINISHING CONTRACTORS ASSOCIATION)

MCAA (MECHANICAL CONTRACTORS ASSOC. OF AMERICA)

NACA (NORTH AMERICAN CONTRACTORS ASSOCIATION)

NAWIC (NATIONAL ASSOCIATION OF WOMEN IN CONSTRUCTION)

NECA (NATIONAL ELECTRICAL CONTRACTORS ASSOCIATION)

NCCER (NATIONAL CENTER FOR CONSTRUCTION EDUCATION & RESEARCH)

SMACNA (SHEET METAL/AIR CONDITIONING CONTRACTORS NATIONAL ASSOCIATION)

TAUC (THE ASSOCIATION OF UNION CONSTRUCTORS)

Membership InformationCURT Members 2007Membership

Categories Representatives from these companies are primarily Corporate Directors of Construction,Engineering or commensurate positions with decision-making authority.

Publication Name Price Quantity Total

UP-101 Construction Measures: Key Performance Indicators $ 11.95 ________ _________

UP-201 Construction Project Controls: Cost, Schedule, & Change Management $ 11.95 ________ _________

WP-401 Confronting The Skilled Workforce Shortage $ 11.95 ________ _________

R-402 CURT Tripartite Initiative Executive Summary $ 11.95 ________ _________

R-402A CURT Tripartite Study On Extended Overtime On Construction Projects $ 11.95 ________ _________

R-402B CURT Tripartite Study On Absenteeism In Construction $ 11.95 ________ _________

R-402C CTI Report: Eliminating Work Disruptions & Jurisdictional Disputes $ 11.95 ________ _________

UP-403 Construction Labor: Managing The Construction Workforce $ 11.95 ________ _________

T-404 Construction Labor: Craft Employee Training Evaluation Tool $ 11.95 ________ _________

R-405 CURT Tripartite Initiative Report: Project Stakeholder Responsibilities $ 11.95 ________ _________

SS-406 CURT Tripartite Initiative: Workplace Attitudes Survey, Summary of Results $ 16.95 ________ _________

SS-407CURT Owner Survey: Impact of Gulf Coast Hurricanes on Owner Projects, Survey Results $ 16.95 ________ _________

UP-601 Construction Purchasing: Capital Purchasing & Contracting $ 11.95 ________ _________

UP-701 Construction Quality: Achieving Quality On Capital Projects $ 11.95 ________ _________

UP-801Construction Safety: Contractor & Craft Worker Prequalification $ 11.95 ________ _________

UP-802 Construction Safety: The Owner’s Role $ 11.95 ________ _________

UP-803 Construction Safety: Prebid & Bid Clarification $ 11.95 ________ _________

UP-804 Construction Safety: Contract Terms & Conditions $ 11.95 ________ _________

UP-805 Construction Safety: Monitoring Contractor Performance $ 11.95 ________ _________

UP-806 Improving Safety Programs $ 11.95 ________ _________

R-807 CURT Owner Safety Blueprint $ 11.95 ________ _________

T-808 Construction Safety: Owners’ Safety Blueprint, Assessment Tool $ 11.95 ________ _________

TM-809A Construction Safety: Owners’ Safety Blueprint, Training Module (Instructor Pack) *$ 199.95 ________ _________* Includes one copy of TM-809B

TM-809B Construction Safety: Owners’ Safety Blueprint, Training Module (Student Workbook) $ 19.95 ________ _________

UP-1001 Construction Strategy: Selecting Contracting Strategies $ 11.95 ________ _________

UP-1002Construction Strategy: Selecting The Right Contractor $ 11.95 ________ _________

WP-1003 Construction Strategy: Optimizing The Construction Process $ 11.95 ________ _________

WP-1201 Guidelines On The Use Of Reverse Auction Technology $ 11.95 ________ _________

WP-1202 Collaboration, Integrated Information And The Project Life Cycle $ 11.95 ________ _________

Price includes shipping and handling. Please allow 7-10 days for delivery TOTAL: $ ___________


●●●GET

TO

KN

OW

CU

RT

The Construction Users Roundtable Publication Order Form4100 Executive Park Drive, Suite 210 ~ Cincinnati, OH 45241-4023 ~ 513-563-4131 ~ 513-733-9551 (Fax)

[email protected] ~ www.CURT.org

PAY

ME

NT (Check and complete all appropriate boxes and lines)

[ ] Visa [ ] MasterCard [ ] American Express [ ] Discover # ___________________________________________ Exp: _______________________

Signature: _____________________________________________________

[ ] Payment by check #___________ to “The Construction Users Roundtable” is enclosed.

___________________________________________________________________________________________________________________________________Name Title___________________________________________________________________________________________________________________________________Company___________________________________________________________________________________________________________________________________Address___________________________________________________________________________________________________________________________________City, State, Zip___________________________________________________________________________________________________________________________________Phone Fax___________________________________________________________________________________________________________________________________E-MailP

ER

SON

AL

IN

FOR

MA

TIO

N

Larry WargoCURT TreasurerFIRSTENERGYConsultant, Contractor ServicesAkron, OH

“As the labor shortage continues, the need for alternative solutionsis of paramount importance. Modularization is mitigating some ofthat pressure because anything we can do away from the job sitelessens the craft labor that is needed. FirstEnergy has been usingmodularization for awhile now but as the workforce shortage con-tinues, we’re taking a deeper look at it and how it can be even

more successful for us. There is great potential for its increased use.We can and must use modularization more.”

Larry Wargo has been with Ohio Edison and FirstEnergy Corp.for over 30 years. Over the years, he has held a number ofmanagement positions in fossil generation and, most recently, is aconsultant for contractor services. In addition to his duties withFirstEnergy Corp., Wargo serves in a variety of capacities with anumber of different associations. These include CURT’s IndustrialRelations Committee, National Tripartite Committee, Overtime Sub-Committee; the Northwest Ohio Great Lakes Construction Alliance;the Boilermaker National Conference Planning Committee; the OhioConstruction Coalition Absenteeism Committee; and judge for theNMAPC Zero Injury Safety Awards Program.

Ricardo Aparicio, AIA, Esq.CURT PresidentGENERAL ELECTRIC COMPANYContracts Manager Project ServicesBirmingham, AL

“My first direct involvement with CURT was working withthe 2002 National Conference Committee under theleadership of Dick Troell. I know from personal experiencehow much hard work and dedication goes into making sureit continues to be CURT's flagship event of the year. The Boardis indebted to the entire CURT staff and the 2007 Committeemembers for once again putting together what promises to bea highly informative and provocative agenda.”

Aparicio is in-house Counsel and Contracts Manager forGeneral Electric’s Corporate Properties and ServicesOperation. Aparicio holds a Bachelor of Architecture and JurisDoctor degrees from the University of Miami, FL and is acertified specialist in Construction Law in the State of Florida,where he holds concurrent professional licenses to practicearchitecture, interior design, construction and law.

Egon J. LarsenCURT Vice PresidentAIR PRODUCTS AND CHEMICALS, INC.Global Construction ManagerAllentown, PA

“Construction, like all other business ventures, is a changing and competitivemarket. As such, we need to continue to improve and advance the technologyand methods for projects. Moving the work to a more construction friendlyenvironment in a shop or other off site location is a good opportunity to makeimprovements in schedule, cost, productivity and quality. Modular constructionrequires earlier planning for the project components and forces the project teamto organize and perform the detailed planning earlier in the execution. Betterand earlier planning has always improved the project performance and outcome.It allows more time and resources to deal with unexpected problems that occuron every construction project to minimize the impact to the overall outcome.”

Larsen is responsible for Air Products and Chemicals, Inc.’s constructionactivities totaling approximately $700M annually. This includes locations in theAmerica’s, Europe, Asia and the Middle East. With over 25 years of experiencein managing projects and construction, he has been instrumental in numerouscapital project initiatives and development programs.

18 The VOICE ● FALL 2007

GET

TO

KN

OW

CU

RT

Each issue The VOICE asks CURT leaders their thoughts on the major

issues affecting the construction industry. Here CURT Officers, Board of

Trustee Members and Committee Chairs voice their opinions on pre-

assembly/modularization, LEED/environmentally friendly construction,

and the importance of the CURT National Conference.

CURT Comments

CURT Officers

Tom WeiseCURT Past PresidentINTEL CORP.Director of Facilities, Materials & ServicesChandler, AZ

“First and foremost environmental change is sorely needed; we must clean upour global inefficiencies in industrial and commercial related waste. While it isthe correct thing to do and an issue my company fully supports, I am worriedthat political platforms will be formed and may potentially mismanage thisworthy cause. The construction industry has an opportunity to get activelyinvolved in the reduction and management of our industrial environmental wastevia design, efficient construction methods, etc. This is an emerging issue that theconstruction industry must get involved with and take a lead on in the areas thatwe can impact. We must do a lot more.”

Tom Weise is currently responsible for the acquisition and suppliermanagement of Intel’s global construction business. He has received numerousIntel recognitions such as; “Contribution to Materials Training and CareerDevelopment,” “Development of Intel’s Supplier Continuous Quality ImprovementProcess,” and “Development of the Intel Advanced Total Cost Method.”


●●●GET

TO

KN

OW

CU

RT

Board of Trustees

William P. TibbittJOHNSON & JOHNSONExecutive Director, Worldwide Engineering Ser-vicesNew Brunswick, NJ

“Over the years I have attended many CURTNational Conferences and I am proud to say thateach has been a success. Last year’s conference wasone of the best, in my opinion, and I am confidentthat the 2007 event will be even better. I have seenthis organization grow and flourish over its lifetime.The success of the Conference each year illustrates thesuccess of the association as a whole.”

In his present position, Bill Tibbitt and the group heleads are responsible for the project management of allof Johnson & Johnson’s major capital projectsworldwide. Tibbitt has served CURT in severalcapacities including President and most recently, asCo-Chair of the 3XPT Strategy Group and BoardMember.

●●●

Steven B. SatromCURT President EmeritusAIR PRODUCTS AND CHEMICALS, INC.Vice President of Engineering, Energy BusinessesAllentown, PA

“The CURT National Conference is the premierforum in the industry for large construction owners toraise issues, discuss solutions and best practices,celebrate successes, and debate appropriate actionsto positively influence the creation of capital assets. Itbrings together leaders from the owner, serviceprovider and labor communities in a forum directedand sponsored by the ultimate consumer of constructionservices. Experience has shown that without strongowner leadership, very little of lasting significance hasoccurred to improve the industry. Continuousimprovement is a necessary way of life if we are toprosper in the coming decades.”

Satrom was the first President of CURT and one ofthe eight founding members. He was instrumental inestablishing the initial focus for the organization,creating a viable entity and gaining the industryacceptance and recognition necessary for it tobecome the “Voice of the Owner”.

Michael G. ConleyCURT SecretaryDUPONT ENGINEERINGManager, DuPont Project Engineering CenterWilmington, DE

“Our National Conference adds value to participants and industry in anumber of ways. Some prime examples include our safety and workforcedevelopment awards that highlight excellence in these fields, which others canlearn from, and in addition, communicates to the industry the value the ownercommunity places in these areas. In the end, this will improve performance in theindustry, and that we all will gain from. The conference is also used as means tobroadly communicate new tools, methods and key findings. This year, theconference will cover topics such as the use of LEAN technologies in projects,the business value of craft training, and 3XPT, to name a few. All of these canhelp companies improve their capital process.”

Michael G. Conley has over 25 years of construction and engineeringmanagement experience. His career has spanned the United States and Europe,and includes construction, design, project controls, project management andbusiness engineering management. He currently manages the DuPont ProjectEngineering Center, a unique organization whose goal is project executionexcellence and the renewal of engineering skills within DuPont.

In 2002, he became DuPont representative to the Construction UsersRoundtable (CURT). He has served as co-chair of the CURT open shopsubcommittee of the workforce development committee. Conley has also servedon the Board of Trustees for the National Center for Construction Education andResearch (NCCER).

Allen BunnerTYCO INTERNATIONALDirector Engineered SystemsBath, OH

“The construction industry is faced with inherent challenges ofconstructability, resources, productivity, safety and legal issues. Asan owner we must accept these challenges, and, at the same timebalance our costs and scheduling requirements dictated by ouremployers. This can be daunting for an individual owner withoutthe support of construction focused organizations. The CURTNational Conference provides a structure where our commonconstruction challenges can be shared across the industry. It is afocused three day event that enables our divergent industries andresponsibilities as owners, labor, design, and the supply chain tocommunicate and share our insights and expectations that aremutually beneficial to all parties.”

Bunner has had more than 30 years of mechanical andelectrical contracting background, specializing in fixed fireprotection systems, including more than 20 years focused inSpecial Hazards systems, and 15 years experience withInternational contracting and exportation of fire protectiontechnologies.

●●●

Curtis Ashley Baker, P.E.SOUTHERN COMPANY GENERATIONVice President, Construction Birmingham, AL

“The use of modularization and pre-assembly techniques hasbecome a standard in our project planning process. Some of thebenefits we have realized are: higher quality through fabrication ina controlled environment; it takes standardization to the next level; itminimizes job site lay-down area; it allows for work to be done onthe ground instead of in the air; it enhances job site safety; it utilizesadditional labor markets; and it facilitates schedule compliance.We have realized these benefits in ductwork fabrication, skidmounted equipment assemblies, control panels and electricalequipment buildings.”

Baker is currently responsible for the implementation of SouthernCompany Generation’s environmental projects in Alabama, Floridaand Mississippi, with project estimates totaling approximately $3billion. He has twenty-eight years experience in ProjectManagement and Construction in the Utility industry. Bakerparticipates on the CURT Tripartite Initiative and the CURT KatrinaResponse Committee.

Gregory L. Sizemore, Esq.Executive Vice PresidentTHE CONSTRUCTION USERS ROUNDTABLECincinnati, OH

“Each year CURT conducts a Value Generation Survey to assessthe ‘return on investment’ to our member organizations. Each year weimprove and continue to raise expectations for next year. With all ourinitiatives, there could not be a better time to be involved. If you are anowner and have not yet considered joining CURT, now is the time.Please visit us at www.CURT.org.”

Sizemore has over 25 years of construction industry andassociation management experience. For eighteen years Sizemore hasbeen the Executive Director of the Construction Owners Association ofthe Tri-State (COATS) in Cincinnati, Ohio, and, in 1989 Sizemorestarted Sizemore & Company, a construction industry associationmanagement and consulting firm.

He was instrumental in the start-up of CURT and has served as theExecutive Director since its inception. Sizemore serves on various industryand civic boards including the University of Cincinnati’s IndustrialAdvisory Council, the Advisory Committee to the Albany TechnicalCollege, the West Virginia Construction Coalition Conference and theACE Mentor Board.

●●●

Steve MongiardoMERCK & CO., INC.Senior Director, Infrastructure, Environmental and Office ProjectsLebanon, NJ

“The industry is starting to pay some attention to sustainability and theenvironment. Real change is up to the owners, though. They have torecognize the benefit to continue to push sustainability, however, there isstill a general perception that it costs more for an environmentallyconscious building, which needs to be overcome. It is very important thatthis happens, though. It sends the right message to consumers. It alsoprovides the owner with a lower overall operating cost for the facility.”

Steve Mongiardo has been with Merck & Co., Inc. for 21 years andcurrently manages projects at domestic Merck sites including West Point,PA, Danville, PA and Albany, GA, Elkton, VA. In his position he isresponsible for all major capital utilities/infrastructure projects whichsupport new research and manufacturing facilities. These projects includenew power generation facilities, high voltage distribution systems, watertreatment facilities, office complexes, site development, parking garages,and chilled water distribution facilities. Steve Mongiardo was elected tothe CURT Board in June 2007. He is also Co-Chairman of theWorkforce Development and Industrial Relations Committee.


●●●GET

TO

KN

OW

CU

RT

Education and Implementation CommitteePatrick DuffyChairmanTAMPA ELECTRIC COMPANYManager, Project ManagementTampa, FL

“The construction industry is faced with a number ofdaunting issues which CURT and other industry associations areaddressing. These associations are made up of companiesand individuals committed to developing solutions toconstruction’s problems. However, progress will be slow withoutsupport from a wider representation of our industry. The CURTNational Conference is an excellent opportunity to gain thissupport as industry leaders gather to learn about and discussthe issues, proposed solutions, roles and responsibilities. It is anideal venue to help build the critical mass of opinion andaction needed to accelerate the pace of industry change.”

Patrick Duffy has been managing projects at Tampa Electricfor seven years and is currently responsible for transmission anddistribution projects. Before that, he spent 10 years with a largeengineering and construction firm working primarily for theprocess industries. Duffy has been active with CURT since 2002and is the Past President of the Florida Construction UsersRoundtable (FCURT).

●●●

Education and Implementation CommitteeMike Criscitiello Co-ChairmanPRAXAIR, INC.Director Global Capital ProcurementTonawanda, NY

“With the construction industry overheating in many areas, itis very important for both owners and contractors to collaborateto find the best solutions to the problems we face. The CURTNational Conference provides an opportunity to put the relevantissues on the table. Construction is a major industry, not only inthe United States, but globally. The CURT National Conferenceprovides a forum for construction owners to take a leadershiprole in shaping the future of the industry.”

Michael Criscitiello has over 30 years of engineering,project management, construction and procurement experienceat Praxair. His career spans the United States and Asia,including expatriate assignments in Korea and China. Prior tohis current role, Criscitiello was responsible for equipment andconstruction sourcing for global projects. He has been activewith CURT since its inception in 2001.

LEAN Construction CommitteeJoe P. GionfriddoCo-ChairmanPROCTER & GAMBLE COMPANYCorporate Engineering-Global Construction Management Process OwnerWest Chester, OH

“Benchmarking is a must in today’s global work environment. Industryconditions are changing continuously and keep impacting daily life inthe business of construction. Learning from each other at events such asthe National Conference helps expedite and set the direction of theindustry in a more proactive and planned fashion, versus a totallyreactive and ‘starting from ground zero’ mentality. Being proactive as anindustry leader is a compelling business advantage and also gives acompetitive edge.”

For the past 25 years, Gionfriddo has worked across six of theseven global business units within Procter & Gamble, holding variousmanufacturing and capital management roles. He is viewed as acapital management master in project/construction management,receiving one of their highest technical recognitions, the Procter &Gamble Capital Management Leadership & Mastery Award in 2002.

●●●

LEAN Construction CommitteeAlbert SchwarzkopfCo-ChairmanMERCK AND CO., INCProject Engineer Global Engineering Services Durham, NC

“Construction options such as pre-assembly and modularizationallow contractors to take the work to the labor versus taking the labor tothe work. This allows use of better tool techniques and methods in thefabrication. Additionally, it allows the use of more consistent practicesand procedures which can be developed and streamlined to be moreeffective and efficient. This also allows the construction industry to applymore LEAN principles during fabrication. Use of LEAN principles willhelp improve cost schedule safety and quality simultaneously by cuttingwaste from the construction process, and modularization and pre-assembly both allow for the use of LEAN principles.”

Al Schwarzkopf has been with Merck & Co for 12 years andcurrently manages projects within the SE Region and Latin America forMerck. In his position he is responsible for all capital projects under $5million at the new Vaccine Manufacturing Facility in Durham, NC, andsome additional projects throughout the Southeast region and PuertoRico.


GET

TO

KN

OW

CU

RT

CURT Committee Chairs

Process Transformation CommitteeCharles G. HardyCo-ChairmanGENERAL SERVICES ADMINISTRATION, CCMDirector of ConstructionChicago, IL

“The construction industry has embraced the sustainability agenda and itis moving into the mainstream of an owner's expected project outcomes: on-budget, on-schedule, quality, safe and sustainable. In today’s environmentallyconscious consumer market, building new buildings (or renovating existingones) in a sustainable way is extremely important. Buildings built in anenvironmentally responsible manner are not only environmentally friendly butare bottom-line friendly as well; supporting your business case while addingvalue. Sustainability doesn't have to cost more but we do have to think moreabout how to do it correctly.

Charles G. Hardy is a registered architect, a certified constructionmanager and a nominee for the Miles Romney Innovation in Real PropertyManagement. Before joining GSA in 1991, Hardy was an architect witharchitectural firms in Florida and Illinois practicing in the areas of real estatedevelopment and office design. Additionally, Hardy is an officer in the U.S.Air Force Reserve.

Process Transformation CommitteeStephen D. LaneCo-ChairmanCITIGROUP, INC.Vice PresidentChicago, IL

“At the National Conference we will once again highlight the 3XPTworking group, which is focused on creating an efficient developmentprocess that maximizes efficiency and minimizes risk to all participantsinvolved. Building Information Modeling (BIM) will be the tool that will enableall parties to collaborate and make critical design decisions early in theproject development cycle where all benefit the most. We have a uniqueopportunity as owners to work with our designers to make sure that weembed sustainable materials in the models and with our builders to identifyways to minimize construction waste and recycle construction materials. Thereis no reason why we can't be good environmental stewards and save timeand money in the process. It will take the knowledge, cooperation and will ofall participants but I think that we are up to the challenge.”

Stephen Lane is currently the Global Director of Capital Projects for CITIRealty Services, which involves the review and approval of the capitalrequirements for projects that have budgets of $10 million and greater. He isan active participant in the Business Roundtable’s (BRT) “Climate Resolve”program, the World Resource Institute’s “Climate Northeast” work group, andis also a member of Business Roundtable’s steering committee on the “S.E.EChange” initiative. Lane has held several operations and managementpositions during his 30-year career, many that focused on construction,building operations and/or energy efficiency.

Safety CommitteeBob KrzywickiChairmanE. I. DUPONTContractor Safety Practice ManagerWilmington, DE

“Not only does the CURT National Conference bring together allof the critical stakeholders in the construction industry, but it alsoattracts key leaders and decision makers. This critical mass ofstakeholders and leaders has the ability to change the industry if theyhave the collective will. The National Conference provides the forumand stage for the conversation, interaction and will building, which isnecessary for beneficial change. The conference features ‘hot topics’,which represent the areas where the industry likely needs to change.However, not everyone agrees necessarily on the direction of thatchange. Bringing this diverse group together allows for the airing ofdifferent perspectives and the building of trust necessary for effectiveand sustainable change.”

Bob Krzywicki has 25 years of experience at the DuPontCompany specializing in construction and contractor safety issues.As the Manager for this practice for DuPont Safety Resources,Krzywicki leads a specialized consulting practice team and isresponsible for marketing, sales, product development and deliveryof services to clients worldwide.

Workforce Development and IndustrialRelations Committee

Gerry SprentallCo-ChairmanINTEL CORPORATIONCSC Operations Construction ManagerChandler, AZ

“Pre-fabrication/modular construction provides the owner amitigating strategy to the ever-increasing skilled constructionworkforce shortage which is currently contributing to higher projectcosts and longer project schedules in certain regions of the country.The use of pre-fabrication/modular construction methodologies orstrategies enable benefits of labor safety, productivity, and qualityimprovements, offsetting cost escalation while providing scheduleopportunities otherwise missed when implementing traditional on-sitetechniques.”

Gerald (Gerry) Sprentall is a Construction Manager for IntelCorporation. He has over twenty six years of industrial constructionexperience, and began his career in 1981, working in nuclearpower, petro/chemical, pharmaceutical, food and beverage, andfor the past 12 years, the microelectronic industry. Active in a varietyof professional organizations, Sprentall also serves on the NCCERBoard of Trustees. He holds a Bachelors Degree in IndustrialConstruction Management from Colorado State University.


GET

TO

KN

OW

CU

RT

National Conference Planning CommitteeDoug S. GrahamChairmanTHE BOEING COMPANYSenior Manager Contract Design & ConstructionSt. Louis, MO

“The National Conference brings together leaders in theindustry to address current and emerging issues andsolutions. It also facilitates the peer to peer relationships thatare so important when trying to implement best practices inyour own organization. There is no better way to discuss the‘hot topics’ of the day, than a face-to-face forum such as thisone.”

Doug Graham is a Senior Manager with the BoeingCompany and has been employed with them for over 20years. He currently manages a union and salaried staff, isresponsible for approximately 30 buildings that cover 2.5million square feet, and also oversees plant engineering,contracted design and construction, fire protectionengineering, and utilities management activities for allBoeing’s St. Louis facilities. Graham holds a bachelorsdegree in Civil Engineering from Washington University inSt. Louis and an MBA from Fontbonne University.

National Conference Planning CommitteeJocelyn ScottVice Chairman DUPONT Director of DuPont Capital Asset ProductivityWilmington, DE

“I attend the CURT National Conference to look for that new perspectiveor insight that I can take back and apply to make my organization moreeffective. The mix of perspectives of labor, contractors and owners at theconference gives it a balance that reflects the interrelationships that areneeded to have a successful project delivery operation. The conferenceformat is designed to encourage the sharing of information, which is the keyto CURT—learn some, share some. I hope you will find the conference tobe a continually improving event.”

Jocelyn Scott joined DuPont in 1984 where she has held numerouspositions in engineering, operations and R&D. Prior to her current positionshe served as Director of DuPont Engineering Research and Technology.She has also held the roles of Executive Assistant to the Chairman & CEO,Business Engineering Manager for DuPont Teijin Films joint venture andPlanning Manager for DuPont Engineering.

Scott is active in industry organizations including the Construction UsersRoundtable. She has served on engineering education advisory boards forthe University of Delaware, M.I.T., Penn State, the University of Michiganand local boards in support of minority engineering education. ●


GET

TO

KN

OW

CU

RT

WWhat happens if you need to build a

factory in Louisiana but skilled labor is inshort supply? Wait, that’s not an “if”…that’sa reality.

So, what can you do? Using pre-assembly building practices is

one answer to the skilled workforceshortage. And, as Wayne A. Crew,Executive Director of the ConstructionIndustry Institute (CII) explains, it’s ananswer that is becoming more well-knownacross the country. “Modular has alwaysbeen used in the oil and gas industries inthe U.S.,” says Crew. “However, nowmore than ever there are certain benefitsand drivers in place that are increasing itsuse in other industrial sectors, too. Theseinclude a lack of skilled labor, schedulingpressure, safety concerns,environmental/regulatory constraints,unique site attributes and cost savingopportunities.”

Crew says that the use of pre-assemblyhas definitely increased in the past 10 to15 years, especially with new technologiessuch as building information modeling(BIM), and Internet design capabilities. Infact, CII has developed their own onlinedesign tool which allows owners to assesshow beneficial the use of pre-assemblywould be on their own projects. Ownersare asked to input information such asequipment size and weights, layoutdrawings, and logistics/transportationplanning costs, which can help them tounderstand potential issues, as well asestimate timelines.

“The tool makes it easier for projectcoordinators to understand all the issueswhen using pre-assembly, ahead of time,”says Crew. “The program looks at all thedifferent factors for each individual projectand can give some guidance as to whatdirection a project should go. It doesn’t

have all the answers but it does help usersmake a rational, well-informed decision.”

This is especially helpful because, asCrew puts it, “The world lives in a stick-builtparadigm where decisions can be madeand changed well into the project.” Hecautions though that when using pre-assembly, up-front planning and soliddecision-making is essential for its success.“If owners are delaying decisions until lastminute or changing their minds, pre-assembly won’t be successful. There isdefinitely an increased requirement forfront-end decision making and decreasedflexibility for design changes later in theproject.”

Sean Rooney, Global Director ofConstruction Services for Fluor Corporationsays there are many reasons why pre-assembly is a good choice for owners. ForFluor in particular, a company which hasdesigned, fabricated and installed


Discover Why Modularization WorksPre-Assembly Perks:

Photos courtesy of Fluor Corporation, PCS PurifiedPhosphates, and Jacobs Engineering Group Inc.

hundreds of modularized projects since the 1970s, Rooney says, “The decisionto modularize has been influenced by resource availability, climate, site access,quality control, local labor costs, scheduling and other execution factors. Manyprojects today are impacted by scarce labor resources and escalating labor andmaterial costs, so the modular approach option is frequently considered as analternative to traditional stick-built approaches.”

In the past five years alone, Fluor has executed over 30 projects using amodular construction approach. “And we are seeing an increasing demand formodular construction for many of our projects that are now in the early planningphases,” says Rooney.

He explains that the decision regarding modular feasibility and the extent to


CO

VER

STO

RY

Modular makes sense forcommercial projects, too

While pre-assembly has been used in theindustrial sector for decades, it is relativelynew to the commercial construction industry.Laurie Robert, Vice President of Sales andMarketing for Modular Building Specialists, acompany which offers modular solutions toclients through the United States and Canada,says, “The modular building industry hasgained substantial ground during the pastdecade or so, with the continued developmentof more sophisticated designs andapplications. The continued growth of ourindustry and its capabilities, the diversity inbuilders and locations, and the overalladvancement in design and constructiontechnology gives owners, architects andcontractors the ability to explore aconstruction option that can help themexecute a better project.”

Steve Sickman, Director of Marketing forRamtech Building Systems—a modular builderthat has been providing solutions toeducational institutions, healthcare providers,Fortune 500 companies and governmentagencies for 25 years, says it’s time to look atthe facts. He explains, “Modular constructionis faster, often cutting timelines in half becausethe manufacturing of the building and the sitepreparation takes place concurrently, it is oftenless expensive because a shorter overallconstruction timeframe substantially reduceson-site costs, and many metropolitan areashave high prevailing wage rates, resulting inhigher costs when all of the work is done on-site.”

Even with so many positive attributes, therestill remains some myths about modularconstruction. Paul Lewandowski, Director ofSales for Modular Building Specialists says thatwhile some still think modules are nothingmore than big boxes, that is simply not true.“The industry has come a long way and mostany type of application in commercialconstruction, from a 2,000 square footconvenience store to a 60,000 square foot orlarger school, hospital or office building, ispossible. Obviously large voluminous spaceswith wide-open floor plans can be moredifficult to design structurally, but you wouldbe surprised what is possible. Modular doesn’tjust mean boxes anymore.”

Pre-assembly approach

Dependent on engineering completingentire modules and preassemblies.

Modular operations only dependent on:• Fabrication yard and preassembly

area mobilization• Material availability

Modularization execution means:• Working with building blocks• Working in vertical commodity slices

within the building block

Requires early (partial) material releasesand deliveries. Late materials can shutdown the assembly line.

Inflexible fabrication yard schedulesand sequencing can slow downoperations.

Conventional stick-built

Engineering driven by completing entireproject; it doesn’t need to obey the rulesof gravity.

Constrained by the normal sequence ofsite preparations, underground andfoundation works, equipment installation,and so on.

Stick-built execution allows:• Larger work areas/fronts• Working horizontally

Allows for “working around” byscheduling trades people to areas withmaterial availability.

There is some schedule flexibility whichallows for the ability to move work frontsto accommodate late materials.

Information courtesy of Sean Rooney’s presentation at the CURT Pre-assembly andModularization workshop in Boston, September 2007.

continued on page 31

which it is used should be made veryearly in the project concept/strategyphase. “Executing a modular project(versus a conventional stick-built project)tangibly effects all of the major aspects ofproject delivery including, cash flow,preliminary and detailed design,procurement, construction and start-up.For example, decisions will need to bemade much earlier in the project lifecycle,and project leadership at the shop isreally vital in order to ensure that all theproject objectives are met.”

Pre-assembly case filePaul Hochi, Manager of Project

Development for Jacobs EngineeringGroup Inc.—one of the world’s largestand most diverse providers ofprofessional technical services—agreesthat pre-assembly is an option that ownersshould explore. Hochi should know. Hehas been involved in numerous pre-assembly driven projects, with positiveresults.

He points to benefits such as,“Schedule acceleration from doing morework in parallel (shop and field),mitigation of craft labor shortages, andaddressing site construction challenges(such as long permitting times, hazardousenvironments or construction nearoperating units).”

Advantages such as these, notesHochi, have increased the profile of pre-assembly. He explains that, “Severalyears ago, we used to see pockets oflabor shortages in the U.S. Today,however, labor shortages are much morewidespread because older craft workersare retiring and are not being replacedwith a similar number of younger people,and the ‘hurricane effect’ from Rita andKatrina is taking labor away fromconstructing industrial projects to focus onhurricane rebuilding efforts. Mostindustries use modularization or pre-assembly in some form. But now, if theyhaven’t been using modular, they’restarting to look at it.”

One project Jacobs was involved withis the construction of two purifiedphosphoric acid plants in Aurora, NC.

Both were built with significant modularcontent in Jacobs’ modular fabricationshop in Charleston, SC. Hochi says thatmarket opportunity required the plant forPCS Purified Phosphates be operationalin 18-months and a conventional stick-built schedule would have taken 24.Additionally, the site was remote withlimited craft availability and a largeamount of the construction was going tobe done at high-elevations (up to 140feet high).

The solution that made sense to bothPCS and Jacobs was pre-assembly. Therewere 32 modular units (15 by 15 by 60feet, on average) barge-transported to thesite in 3 separate shipments.Modularization supplemented the localcraft labor force by executing 175,000hours in a shop environment. Shaving sixmonths off any construction schedule is noeasy feat. This one however, was finishedon-time with four months saved as a resultof modularization, and two months savedas a result of integrated delivery.

These savings are impressive, as therewas minimized disruption to the adjacentmanufacturing.

As PCS Project Manager DennisGrieve explains, “The turnkey approach,utilizing the three facets of engineering,modular construction, and fieldconstruction was probably the only waythat we could have a plant that wasoperational on time, of very high quality,and one that we could start up withminimal difficulties.”

Hochi cautions that, “To be optimallyeffective, modularization needs to belooked at upfront, preferably during thepre-conceptual or early conceptualdesign phase. Also, the sequence ofengineering, procurement andconstruction is different on a modularproject. A higher number of activitiesoccur in the front-end of the projectbecause equipment and othercomponents are procured earlier thanthey would be in traditionalconstruction.”

As the workforce shortage continuesto bring modularization to the forefront, itis easy to see why companies are

jumping on the bandwagon. Pre-assembly perks such as reducedconstruction time, decreased costs andincreased safety have all contributed tothis method’s popularity, and while manycompanies have used this constructionmethod for decades, others are quicklyrealizing the full spectrum of benefits. ●


CO

VER

STO

RY

Deciphering the lingoWayne A. Crew, Executive Director

of the Construction IndustryInstitute (CII), says that whilemodular has been around for a longtime in the oil and gas industries, itnow seems to be gaining more andmore recognition in other sectors. Inorder to make sense of the differentterminology, CII developed PPMOF:Prefabrication, Pre-assembly,Modularization, and Off-SiteFabrication.

Pre-fabrication: This is amanufacturing process, generallytaking place at a specialized facility,in which various materials are joinedto form a component part of a finalinstallation. Pre-fabrication is acommon practice on most industrialprojects today.

Pre-assembly: This is a processby which various materials,prefabricated components, and/orequipment, are joined together bydifferent crafts at a remote locationfor subsequent installation as a sub-unit. It is generally focused on asystem. Pre-assembly also is acommon practice on most industrialprojects today.

Modularization: A module is amajor section of a plant resultingfrom a series of remote assemblyoperations and may include portionsof many systems. It is usually thelargest transportable unit orcomponent of a facility.

Off-Site fabrication: The practiceof preassembly or fabrication ofcomponents both off the site and onsite at a location other than the finalpoint of installation.

continued from page 29

NNo longer the way of the hippy, to be

green is now to be hip. Politicians worldwide are jumping on

the bandwagon (painted green of course).This past spring leaders from the eightleading industrialized countries in the worldtrekked to Germany to figure out how tolessen their nation’s environmental footprint.Along with discussions on missile defenseand poverty, the G8 countries committedto cutting global CO2 emissions by 2050.

Leading the cause closer to home, AlGore, former Vice-President, has propelledthe issue into the media spotlight—andtherefore the world’s spotlight—with hisdocumentary An Inconvenient Truth. EvenHollywood is getting involved. Stars aretrading in their Hummers, opting instead tozip around in fuel-saving hybrids. And, onthe infamous night of glitz and glam, the

Oscars went green too. Supplies,transportation, even the traditional red-carpet, all had a green flair.

While Hollywood is well-known for itsfickle nature—tossing aside the latest crazeas soon as it becomes even the slightest bitpassé—concern for the environment seemsto be gaining momentum in Tinsel Townand beyond. In the construction industry,that momentum has led to the adoption ofsustainable practices by companies largeand small. Everyone seems to be jumpingon board; designers, architects, suppliers,contractors and owners.

“It is impossible to not be more aware ofsociety’s concern for the environment,” saysAshley Katz, Communications Coordinatorfor the U.S. Green Building Council. “Butbeyond just looking good to their clients,companies are realizing that building with

environmentally friendly practices makesgood sense economically too.”

The U.S. Green Building Council(USGBC) is a non-profit organization witha very clear mission: to transform the waybuildings and communities are designed,built and operated, enabling anenvironmentally and socially responsible,


FEATU

RE

LEEDing the Way to a Greener FutureGo green. It’s the catch-phrase of 2007 andchances are, it’ll stick around for 2008 too.

LEED Gold certified, Toyota Motor Sales South Campus Headquarters in Torrance,CA, is expected to use 94 percent less potable water that a conventional building,saving 11 million gallons of potable water/$12,000 annually.

Did you know?To earn LEED certification, a building

project must meet certain prerequisitesand performance benchmarks (credits)within each category. Projects areawarded Silver, Gold or Platinumcertification depending on the number ofcredits they achieve. For moreinformation:

The U.S. Green Building Council:www.usgbc.org

healthy, and prosperous environment thatimproves the quality of life. This lofty goalis being achieved through the promotionand use of the Leadership in Energy andEnvironmental Design (LEED) GreenBuilding Rating System™. This benchmarkfor the design, construction and operationof high performance green buildings givesbuilding owners and operators the toolsthey need to have an immediate andmeasurable impact on their buildings’performance.

“As interest in sustainability and energyefficiency grow, so too does the interest inLEED,” points out Katz. “In 2002 we hadjust over 30 LEED certified projects. Nowthat number is up past 900, with over8,000 projects waiting to be recognized.”

Contributing to these numbers aredevelopments completed or underdevelopment by Turner Construction, a

national leader in planning, building anddelivering projects. They have certifiedover 40 LEED projects and have 70 otherscurrently on the go. In total, they havefinished or have under contract over 210green buildings (buildings built withsustainable aspects but are not necessarilyLEED certified), to the tune of $13.2Billion. Billion!

Rod Wille, Senior Vice President,Manager of Sustainable Construction,Turner Construction, has seen first-handhow building green is now turning into thekind of green that can be taken all the wayto the bank. For example, the first LEEDGold certified high rise residential project,which Turner completed in New York, wasso successful that the owners have nowasked Turner to build two additional greenprojects on adjacent sites.

The original project, called Solaire, is a27-storey, 357,000 square foot tower.Completed in 2003, its 293 units weredesigned to consume 35 percent lessenergy, reduce peak demand for electricityby 65 percent and require 50 percent lesspotable water than a conventional,residential high-rise building. Not tomention, more than 93 percent of theconstruction waste for the project wasrecycled.

“Clients are becoming more aware ofthe benefits they can achieve by buildinggreen and so they’re asking for it moreand more,” Wille says. And it’s not just inone segment of the industry either. “Ourmarket sectors include commercial officebuildings, educational facilities, healthcare,sports venues, aviation buildings andmore. We are seeing interest in greenbuildings from all these markets and thatinterest just keeps growing.” In 2006 over20 percent of Turner’s overall sales volumewas “green”, up from 17 percent the yearbefore.

For Turner, it’s more than the moneythough. The company was interested inbeing environmentally responsible longbefore society deemed it necessary. Willesays, “After some research and the first ofour national green building surveys in2004, it became apparent to us thatgreen building design was the clear future

of architecture in the U.S., not a fad, but along-term movement.”

Why less is moreFor General Motor’s Lansing Delta

Township Assembly Plant, located inLansing MI, outputting less waste is allabout doing more for the environment. Theplant, which received LEED Goldcertification in August 2006, is the onlyautomotive manufacturing plant in theworld—as well as one of the largest andmost complex manufacturing sites—to becertified.


●●● LEEDing the Way to a Better Future Continued

Turner Construction’s Solaire projectachieved LEED Gold in 2003. It featuredhigh-performance casement windows,programmable digital thermostats in eachsuite, Energy Star fixtures, occupancysensors and daylight sensors to furtheroptimize energy use. Photo courtesy ofTurner Construction.

An owner’s obligation According to Lois Grobert,

Sustainable Real Estate OperationsManager for Citi, owners areincreasingly committed to what shecalls the triple bottom line: people,planet and profit. She says, “Byintegrating social and environmentalstrategies, companies can lessen theirnegative impact on the environment,reduce their utility costs, createhealthier workplaces, and attract thebest talent.”

That’s exactly what this CURTmember is doing. With 95 millionsquare feet of real estate worldwide,Citi views building green as asignificant opportunity to reduce itscarbon footprint and influence othersto do the same.

Grobert says that not only aretheir significant cost savings—shepoints to case studies that have foundthat integrating environmental designsolutions can help companies achievebetween $0.50 to $1.00/squarefoot/year operating cost reductions—but it is, more importantly, beneficialto employees.

Over the next 10 years Citi willcommit $8.7 Billion to achieve LEEDratings at all their U.S. offices. Alreadythis year, they’ve earned LEEDcertification for their new Dallas, TXcampus, “And a 15-story skyscraperin New York City is targeted toachieve a LEED Gold rating as well,”says Grobert.

“This was the first automotivemanufacturing plant to achieve a LEEDcertification at any level,” points outLawrence Bliss, AIA, LEED AP, GMWorldwide Facilities. “Many of therequirements that must be met to achieveLEED certification are practices andprocedures that we do on a daily basis aspart of our common systems. Certificationwas just a new step on the path towardsustainability.”

Sustainability and savings. The numbersdon’t lie.• Water use has been reduced by 45

percent, saving over 4.1 million gallonsof water annually.

• Rainwater is collected from the roof,based on a cutting-edge roof drainsystem. It is then stored in cisterns above

rest rooms and used instead of potablewater to flush toilets.

• Energy efficiency was designed intoevery system, resulting in energy coststhat are 45 percent lower than industrystandards, with a projected savings of$1 million per year.

• The 1.5 million square foot highlyreflective white roof reduces heatabsorption, resulting in reduced costs tocool the building. Bliss says that savings like this, in terms of

both cost and “savings” for the environment,make LEED certification a very worthwhileendeavor. “Good environmental decisions inthe design and construction of our facilitiesare also good business decisions. If you cancreate a facility that costs less to operate,provides a better environment for the

employees and reduces negative impact onour environment, few would argue that this isthe right approach to take.”

And, while this project was a first forGM, it will most certainly not be the last.“We consider LEED as we approach eachindividual project. Yet, regardless of whetheror not a project is going for LEEDcertification, we are constantly taking actionsto reduce the impact of our facilities andprocesses on the environment. We may notalways seek LEED certification, but we willalways construct our facilities to beenvironmentally sound, for the benefit of ouremployees, our customers and theenvironment as a whole.”

“Along with all these benefits comes thesatisfaction of being a good environmentalsteward within the community,” says Bliss. ●


●●● LEEDing the Way to a Better Future Continued

Q Why has it beenimportant for CaterpillarInc. to become a leader

in this area?

A For Caterpillar,sustainable developmentis the business of solving

the world’s problems with more valueand less impact. We believe that afocus on sustainability—energyefficiency, fewer emissions and morerenewable resources—can yieldparallel economic benefits. At Cat,sustainability begins in our ownoperations. Our sustainable buildingpolicy is one way we focus on ouroverall operational efficiencyimprovements.

Q Caterpillar is also veryfocused on developingproducts and practices

that use less fuel, lower emissionsand lessen the effect on theenvironment. Why is there anemphasis on this?

A Caterpillar leaders haveincluded sustainabledevelopment as a core

component of our strategy for thefuture. Jim Owens, CaterpillarChairman and CEO, has said,“Enabling development is at theheart of our business and we areexcited by the businessopportunities supportingsustainable development presents.We are implementing acomprehensive, coherent strategy toleverage core strengths,technologies, capabilities andexperiences to pursue sustainabledevelopment as a driver of profitablegrowth.”

Q Has Caterpillarachieved LEEDcertification on any

projects?

A We became intimatelyfamiliar with LEED whenwe targeted the new

Caterpillar Visitor Center in Illinoisto be LEED Platinum. This projectis currently at the juncture of thedesign development andconstruction documents phase.

Q What benefits doesbeing green have onthe company?

A For us, sustainabilitygoes hand in handwith leadership—in

our industry, with our productsand our operations and with ourcustomers. It is a growth driverfor our business and by leveragingour core strengths, we can enablesolutions that improve the qualityof life while protecting people andthe environment. We take our roleof environmental steward veryseriously and have longincorporated a dedication to aclean and safe environment aspart of our Worldwide Code ofConduct.

Caterpillar’s commitmentCaterpillar Inc. is the world’s leading manufacturer of construction and mining equipment, diesel and natural gas

engines, industrial gas turbines, and much more. Did you also know that Caterpillar is heavily committed to sustainablebuilding practices? Handy Truitt, CAT’s CURT Representative, explains why:

A

What’s the problem?A systemic labor shortage occurs when

the overall number of new job openingsexceeds the number of qualified newentrants in a national economy for asustained period of time. Complete laborshortages like this spread across a widerange of occupations and skill groups.Historically, this kind of shortage istriggered by a defining change in the stateof the nation, such as transitioning fromwartime to peacetime or widespreadhealth problems or, as in the current case,mass retirements.

If the U.S. economy continues to growat three percent per year—the economy’sconsistent average since 1948—theworkforce will have to increase by 58million employees over the next threedecades. Yet, if the current populationtrend continues, the number of workers willonly increase by 23 million. This trend willcreate an overall U.S. labor shortage of35 million workers. Most of theseprojected shortages are expected toinvolve workers with specific skills.

Not all economists agree with thetheory of a systemic labor shortage for thenation. However, the shortage of skilledworkers for the construction industry is areality. According to the Bureau of LaborStatistics, one million skilled workers will beneeded to fill construction jobs by 2012.Specifically, construction contractors havenoticed a shortage of craft workers,particularly carpenters, electricians, pipefitters, welders and laborers. TheConstruction Labor Research Council(CLRC) suggests the shortage mainlyconsists of a lack of training for workers. Inother words, the emphasis is on theshortage of workers with the skillsnecessary to perform the job well, nothead counts. There are not enoughqualified workers to satisfy the demand. Inaddition, employment projections dataindicate construction employment willincrease 15.1 percent over the 2002 to2012 period.

For years, we’ve been hearing aboutthe shortage of skilled workers in the


FEATU

RE

As the gap between baby boomers and entrants of college-educatedworkers widens due to the boomers’ mass retirements, some predict that asystemic labor shortage will transform the workplace over the next 25 to 30years. Whether the entire workforce will face a shortage remains to be seenbut the skilled labor shortage that already exists in the construction industry willdefinitely continue to grow. Organizations like the National Association ofWomen in Construction (NAWIC) know there’s a problem. That’s why they areworking toward a solution.

By Christie S. Wigginton, CIT,and Dede Hughes, IOM


For more information: National Association of Women in Construction: www.nawic.org � U.S. Department of Labor Women’s Bureau: www.dol.gov/wb

Where Are Allthe Women?

construction industry. In 1997, a programcalled Workforce 2000 brought attentionto the issue, and ten years later, we are stilltalking about it! The question remains:What are we doing about it?

Building the futureAs the workforce slowly reaches the

age of retirement, it is important to increaseawareness of the industry and present itsviable career opportunities. Because of thelooming labor shortage, constructionindustry associations like NAWIC areencouraging women to enter theprofession. Nationwide, companies havetaken the lead in supporting their femaleemployees by sponsoring them to be apart of groups like NAWIC.

When it comes to educating youngpeople about the industry, the key is to firstfocus on educating guidance counselors,teachers and parents. Many skilled tradesare providing programs at all education

levels to help in the recruiting process. TheDepartment of Transportation’s ConstructionCareer Days is a wonderful example ofhow the industry is being brought to theforefront and presented to those seekingalternatives to traditional employment.

New programs are in place to assiststudents in learning. The “If I had aHammer” program, created by PerryWilson, was designed to help increasemath skills in fifth-grade students by givingthem hands-on experience. Working withschools and local organizations, studentsbuild an 8’ x 11’ house. Projects like thisbuild a strong foundation for the studentsand debunk the myth, “I won’t need mathin the real world.”

NAWIC has several programs to helpcombat the problem as well. NAWIC’sEducation Foundation (NEF) sponsors aBlock-Kids competition at the grade-schoollevel. Not only does the competitionstimulate an awareness of the construction

industry, but it also stimulates young mindswithout utilizing computers or television.The program allows children to be satisfiedby using their own skills to envision a futureworld.

NEF also utilizes itsCAD/Design/Drafting competition andBuilding-Design program to convey theconstruction industry in a positive light,which allows NAWIC to address its goalof introducing the industry to young peoplebefore they graduate from high school.

Several of NAWIC’s partners are alsointroducing construction to young people,and chapters are very involved with thesenational programs. Several years ago,Construction Career Days, sponsored bythe Federal Highway Administration, wasunveiled to NAWIC chapters. Since then,it has really taken off. In many states,programs wouldn’t exist if it weren’t forNAWIC chapters. NAWIC members andchapters are either implementing orhelping with the majority of these successfulprograms.

Another NAWIC partner, the ACEMentoring Program, uses skilled people inthe industry to mentor and teach youngpeople about the industry. This highlysuccessful program allows chaptermembers to help introduce construction toyoung people who are making decisionsabout their career paths. What arewarding way to give back to theindustry! Many NAWIC chapters areconducting programs with local Girl ScoutCouncils. The Sacramento, CA, chapterhas had great success and would love forits program to take off around the country.

Paxton/Patterson is another partner ofNAWIC whose successful buildingprogram is actually taught in high schoolas a vocational program. Unfortunately,over the last decade, many high schoolshave entirely eliminated vocationalprograms. They are discovering this is ahuge disadvantage to students who are notcollege bound. The Paxton/PattersonBuilding Skills program provides hands-onsituations to help students learn skills thatwill lead to great careers in the industry.Many NAWIC chapters are also involvedwith these programs.


●●● Where Are All the Women? Continued

The statsWhile the number of women in construction has grown, it still lags far

behind that of men. As of December 31, 2005, an average of 882,000 womenwere employed in the industry, compared with 6,395,000 men. Here is anoverview of women in the U.S. workforce:• Women comprised 46 percent of the total U.S. labor force and are projected

to account for 47 percent of the labor force in 2014. • Women are projected to account for 51 percent of the increase in total labor

force growth between 2004 and 2014.• In 2006, a record 67 million women were employed in the U.S.—75 percent of

employed women worked on full-time jobs, while 25 percent worked on apart-time basis.

• The largest percentage of employed women (38 percent) worked inmanagement, professional, and related occupations; 34 percent worked insales and office occupations; 20 percent in service occupations; 6 percent inproduction, transportation, and material moving occupations; and 1 percentin natural resources, construction, and maintenance occupations.

• Women accounted for 51 percent of all workers in the high-payingmanagement, professional, and related occupations. They outnumbered menin such occupations as financial managers; human resource managers;education administrators; medical and health services managers;accountants and auditors; budget analysts; property, real estate, and socialand community association managers; preschool, kindergarten, elementary,middle, and secondary school teachers; physical therapists; and registerednurses.Source: U.S. Department of Labor, Bureau of Labor Statistics, Employment and

Earnings, 2006 Annual Averages and the Monthly Labor Review, November 2005.

MAGIC Camp—Mentoring a Girl inConstruction—is a new program thatstarted this year. Two women in theNAWIC Sugar Loaf, GA., Chapter,Diane Quimby and Renee Connor, withthe help of other Atlanta, GA and SugarLoaf Chapter members, conducted thevery first MAGIC Camp in June 2007.The young ladies in the class wereinstructed in electrical, carpentry,welding and many other hands-onapplications. They welded their nameson plates, made table lamps, and built atoolbox— all in one week! At thegraduation ceremony, each campershared how the experience hadbenefited her personally. The camp tookplace at a local technical school, andmany of the school’s teachers and staffparticipated in the event. This programreceived funding from local businessesand construction companies. It is ourhope that this “camp” becomes asuccess throughout the country. What aphenomenal idea!

Partnering for successWomen are instrumental in solving the

shortage problem, and the industry needswomen to step up and replace thoseretiring or leaving the industry. Currently,women make up only 12 percent of theconstruction industry. With so many greatprograms all over the United States, it’sapparent NAWIC members and itspartners are doing everything in theirpower to help with the workforce shortage.NAWIC is not equipped to offer training ata higher level, but it is certainly capable ofteaching young people that construction isa career-worthy, viable industry.

Volunteering in such programs hasbecome a priority to many companies inthe industry. Presently, the looming shortageis obvious nation-wide, and companiesknow they must participate in programslike these to ensure a strong futureworkforce. Construction professionals mustwork together because the world dependson the building industry, and we must allbe a part of the process to educate our


●●● Where Are All the Women? Continued

youth. What’s more, a career inconstruction offers employees a vast rangeof opportunities while working to shape thearchitecture of our communities. Whatcould be better than that? ●

Christie S. Wigginton, CIT, is abusiness analyst at Oldcastle ArchitecturalInc. in Veradale, WA. She has beenemployed in the construction industry foralmost 25 years. Wigginton has been amember of NAWIC since 1994 andserved as its 2006-2007 NationalPresident.

Dede Hughes, IOM, is NAWIC’sExecutive Vice President, where she hasworked for 12 years. Founded in FortWorth, TX, in 1955, the NationalAssociation of Women in Construction(NAWIC) serves more than 5,500members in nearly 180 chapters acrossthe United States. NAWIC’s Core Purposeis, “To enhance the success of women inthe construction industry.”

IIn her hit song “What’s love got to do

with it? Tina Turner compared love to “Asecond hand emotion” and “A sweet oldfashioned notion”. She was, of course,speaking about love as her emotionalreaction to an important interpersonalrelationship.

In this article, with apologies to Tina, Iwill explore the importance of trust within aconstruction project contractual relationship.This perspective will enable me to introduceseveral relationship-based project deliverystrategies that have evolved to counteractthe adversarial and often litigious disruptionsthat the construction industry continues toface. These strategies provide managementwith the necessary tools to instill andmaintain trust and commitment throughoutthe project process, and thereby avoidcostly and disruptive disputes. Successfulexamples have already deliveredbreakthrough results in cost saving and earlyproject completion.

Short on trust, long on litigationThose of us working in today’s

construction industry know that, in general,the industry to its detriment is short on trustand long on litigation. We often reflectnostalgically on the past when ahandshake or pledge was a bond andcommitment to honor an agreement. Theprincipal of trust is today too quicklydismissed as an old fashioned notion.However even the old-timers mustrecognize that new times redefine thecontext in which we make and honoragreements.

In my opinion one symptom of theproblem is that there are people in theindustry that remain convinced that thebusiness relationship can be fully definedby the contract. And presumably if thecontract language is ironclad, lawyers andmanagers should easily resolve anydisputes by referring to the words in thecontract. Unfortunately the high incidenceof intractable contractual disputes flies inthe face of this wisdom.

My experience tells me that the contractdoes not fully define the dynamic projectteam relationship, which is constantly

changing and encompasses criticalhuman factors including trust andcommitment. Conflict in a complexrelationship is similar to the grit and dirtthat surrounds us in our daily lives.Without the constant application of aflushing or cleansing agent this dirt willquickly accumulate and ultimately requirea scraper or chisel to remove it. The mosteffective cleansing agent for a relationshipis communication and trust. This is true forany relationship, and no less important fora complex contractual relationship duringthe execution of a lengthy constructionproject.

Business conflict risk surveyThe notion of trust in any relationship is

complex. It has many layers of meaningand it is often difficult to understand itsrelevance to the construction project,which is essentially a businessrelationship. To help me in my work as adispute avoidance consultant, I use adiagnostic questionnaire as a tool to elicitanswers from company decision-makers.This helps me to better understand thequality of the business relationship they are


FEATU

RE

Do you trust the people you work with? Doingso can save time, money and risky business.

What’s

By Joseph Grynbaum, P.E.,Mediation ResolutionInternational, LLC

Trust Got to doWith it?

What’sTrust Got to doWith it?

●●● What’s Trust Got to do With it? Continued

engaged in. My Business Conflict RiskSurvey © is designed to highlight potentialproblem areas where a company mayencounter disputes on a constructionproject.

Because I consider trust to be animportant criterion of the health of abusiness relationship, I include it in thesurvey. Typical questions on the ‘trustquotient’ part of the survey include:• What is your company’s policy

regarding the relevance of trust in thebusiness relationship?

• How trust is developed andmaintained during selling of the job,contractual negotiations, projectrelease, work execution, work close-out, etc?

• Who in your organization isresponsible to monitor trust levels?

• Has initial trust been established atCEO level, operations manager level,etc?By applying a 0 to 10 ranking to each

answer given I arrive at an overallempirical dispute risk quotient; where 10represents the highest likelihood that thecompany or project will encounter acontractual dispute. With this prediction in-hand, and a clearer understanding ofwhere the communication and structuralweaknesses apply, it becomes mucheasier for management to prioritize itscorrective strategies to get both its teamand the project back on track.

Trust is a humanphenomenon

Trust is an intensely emotional andhuman phenomenon. It is bound up withpast experience both directly with theperson(s) concerned and indirectly throughprojected or anticipated experiences. Allour important relationships involve us ininteractions and communications that areinitially prefaced by the question ‘can wetrust’ this person (or organization ormanager or boss or spouse), based onour individual experiences and beliefs.This human need presents us with adilemma, which we all bring to ourbusiness relationships.

In the construction project example, if

we as participants “do the right thing” andplace our trust in other team players weexpect that they will respond in kind andprotect our investment in the project.Similarly if we are dealing with somebodywe perceive as “shifty” we expect or trustthat they will take advantage. This mayresult in preemptive action or precautionsbeing taken. Either way our reactions maybe inappropriate or our communicationsflawed.

The building and maintaining of trust ismost important to an ongoing relationshipbecause it is at the core of how each partyperceives the other. One often hears thestatement “trust must be earned” whenquestions of trust are raised. Our societyhas a tendency to begin a relationship witha healthy dose of skepticism, and somemeasure of cynicism, depending on pastexperience and cultural characteristics. Weview those that enter a business situationand express trust and commitment as naïveand immature. Our legal contracts areusually created from the premise of distrust.

Don Moore, in a viewpoint article inENR Magazine (May 15, 2000),expressed it best when he compared atypical contract to a prenuptial agreementwhich essentially states, “We hereby enterinto an arrangement, which neither of usbelieves will work very long, necessitatingthe exhaustive terms and conditionspresented herewith.”

It is easy to see how we might oftensow the seeds of our own destruction byadopting this attitude, because themanagers are subsequently handicappedin their efforts toward building andmaintaining trust among the projectparticipants. When the written contractitself establishes a pattern of distrust, therelationship between the parties must sufferand communications are flawed from theoutset. This will occur despite all the goodintentions by management to establish acommon mission and productiveatmosphere among the front-lineparticipants.

Commitment to a commongoal

In order for project teams to establish

strong cooperation bonds amongthemselves, they must first agree on ameasure of trust to generate commitmentand constructive dialogue. Commitment toa common goal is the proof of this trust.

Commitment also means that eachparticipant takes the trust unto themselvesand, “lives up to” the spirit of the projectteam relationship and the project goal.They must ultimately commit their personalpride to, “do the right thing”, according tothe pre-defined project parametersincluding manpower, schedule and profitobjectives.

Management must therefore accept asits primary responsibility the task ofestablishing and maintaining loyalty andcommitment within its organization andwithin the project team. This necessitatestrust between the project team members. Iftrust is broken, or not firmly established tobegin with, as in the contract agreementfrom which everything flows, confidencewanes and this often leads to excessiverequests for information, scope extras,ongoing disputes and counterclaims. Thisphenomenon is well known to thosepeople involved in claims and disputeresolution because it is a recurring themein mediations and facilitated problemsolving sessions.

Construction industry entersnew millennium

As the construction industry enters anew critical labor shortage phase it istaking steps to recognize the importanceof positive relationships as essential to thesuccess of a project. Partnering and theproject alliance approach to creating anon-adversarial contractual relationshipacknowledges how critical trust is toestablishing the cross-team relationship. Analliance is an organizational structure thatencourages constructive dialogue to occurby empowering team members to feelunimpeded to dispute issues and resolvedifferences when they surface. Thebuilding and maintenance of trust betweenindividuals is critical to enable this activecommunication to continue throughout theduration of the alliance relationship.

My impression is that the construction


FEATU

RE

industry has for some time recognized theneed to adopt an intelligent approach toremedy the litigious knee-jerk reactions thathave plagued it for so long. The industryhas in recent years moved toward anumber of relationship-based proactiveapproaches, including the use ofpartnering techniques. In the privateconstruction sector the initial experiencewith partnering has been mixed, althougha definite step in the right direction.

Criticism of partneringapproach

The major criticism is that the initial 1-2day facilitated partnering session does nothave a lasting effect. Within a relativelyshort time one or more of the teammembers do not live up to theircommitment pledges and the groupresolve diminishes. Another criticism is thatbecause the team has been broughttogether under a low price competitiveselection process, each of the members ispredisposed to protect its hard wonposition, despite the good intentions of the

collaborative partnering concept.It is my prediction that the next major

evolutionary step for the construction industrywill be project alliancing. Although bothmethods offer much that is attractive to theowner, the service provider and theequipment/material providers too, it is thealliance approach that embraces a wholecross-team relationship built on trust,commitment and constant reinforcementthroughout the duration of the project. It alsoencompasses a well defined monetary riskreward process that encourages all partiesto benefit from a better than satisfactoryproject completion.

Project alliance is a flexibletool

Alliances when entered into with anopen-mind provide a flexible tool forcreating agility in response to the diversity inskills, work culture and business practicesthat characterize cross-team relationships.By applying a shared risk and rewardstructure from the outset of the projectrelationship, the project can be managed to

achieve extraordinary results,unencumbered by costly and sometimescrippling disputes.

The more typical adversarial andlowest cost provider mentality is eliminatedbecause the team is created based onlyon member qualifications and commitmentto the project delivery process. A workinggroup then proceeds to work together,utilizing the best resources from each of theparticipants, to establish the scope of thework, a target price for the project and itsbest delivery schedule. The team buildingand alliance relationship is sustainedthroughout the project with the help of anindependent facilitator.

The use of partnering and projectalliances as proactive relationship buildingprocesses are grounded in lessons learnedfrom solving disputes using non-legalalternative dispute resolution techniques.Business leaders will agree that earlyintervention is the most effective way todiffuse or ‘cool’ conflicts in order to avoidout-and-out disputes.

Trust and goodcommunication areinterchangeable

By establishing and maintaining trustbetween contracted parties we effectivelyintervene not only at the earliestopportunity, but also throughout the periodof the relationship to diffuse conflicts bymaintaining open communication.Therefore trust has everything to do withachieving a successful project when itinvolves a multi-disciplined teamundertaking a complex construction job intoday’s and tomorrow’s constructionindustry. ●

Joseph Grynbaum has 30 years ofexperience in international engineeringdesign, project management, projectdevelopment and fast-track construction inthe utility and private power generationindustry. He is the founder and principal ofMediation Resolution International, LLC, afirm providing value added disputeresolution and engineering managementconsulting services for owners, developers,lenders and contractors.


●●● What’s Trust Got to do With it? Continued

CConstruction has long been a fragmented process separated

into disciplines of design, fabrication, construction and operation.This fragmentation has been both a strength and a weakness of theindustry. The modern construction project would not be possiblewithout the specialization and expertise required for each stage inthe design and construction process. And this specialization andexpertise would not be possible without an alphabet soup ofindustry associations, representing owners, designers, contractors,subcontractors and other parties critical to process, developinghigher standards of performance and professionalism among theirmembers.

Unfortunately, the fragmentation of the design and constructionprocess has too long been coupled with an often adversarial ethos;a zero-sum approach that focused on lowest cost and riskshedding. Add to this the transactional nature of most construction,with project participants working together once and rarely again.Finally, binding all of this together are contractual models thatreinforce this fragmented, self-protective approach to the business ofconstruction.


LEGA

L BR

IEF

By Bill Ernstrom, The Walsh Group andKevin F. Peartree, Ernstrom & Dreste, LLP

CURT’s contributionThe Construction Users Roundtable (CURT) was

heavily involved with the creation of ConsensusDOCS.One of CURT’s representatives during negotiations,Teresa Magnus, worked alongside CURT PresidentRicardo Aparicio to give the perspectives, concernsand positions of CURTs owner members. Here is whatshe has to say about the new initiative:

“The problem with many of the standard documentsin the market today is that a single organizationdrafted the documents without the participation andrepresentation of the many different perspectives inthe industry. The ConsensusDOCS initiative invited allsectors of the industry to the table to fairly negotiatethe contents of each of the contracts.

Representing such a wide sweep of the industry,many more perspectives were heard and taken intoconsideration when drafting the documents. Unlike atypical unilateral or bilateral contract negotiation, theprocess of developing the ConsensusDOCS involved allconcerned parties at once. The multi-partyparticipation reflects more accurately the make-up ofour projects.

With today’s market conditions, most owners aresearching for new, more creative contractingstrategies. The ConsensusDOCS initiative, havinginvolved such a wide range of industry participants,has produced contract documents that contain someof these emerging ideas such as the multi-party,collaborative agreement. In addition, the documentshave considered the greatest concerns of thecontracting parties and included language andconcepts to address those concerns while maintainingprotections for all parties.”

The documents were released on September 28,2007 and were available for purchase that same day.Members of CURT can use the promotional codeCURT100 to receive savings on purchases madethrough the website bookstore.

ConsensusDOCS:ConsensusDOCS:From Fragmentation

to Collaboration

For more information:ConsensusDOCS: www.ConsensusDOCS.org


The alphabet soup ofstandard forms

Standard form contract documentshave long been the vehicle by whichcompeting industry associationsadvocate for their members and seek tostrike a better balance among theinterests that compete on a constructionproject. The market place of competingstandard forms has bettered theconstruction process by educatingconstruction consumers about criticalissues of risk and promoting a discussionof best practices. As some associationsand their documents have evolved, theyhave attempted to strike a better balanceof all industry interests, with someassociations realizing that goal betterthan others.

Still, the taint of bias, rightly orwrongly, follows many standard formsgenerated by a particular industryassociation. The competing forms haveleft too many who participate in theconstruction industry confused anduncertain of what documents best expressthe best practices and risk allocation.

The ConsensusDOCS processRather than trying to select a contract

form from the alphabet soup ofassociation forms, owners now have anew choice: ConsensusDOCS. The veryname seeks to promote consensus amongdesigners, owners, contractors andsubcontractors/sureties. The Summer2007 issue of The VOICE announcedthe ConsensusDOCS initiative andidentified the 20 associations nowinvolved, including CURT. WhatConsensusDOCS represents is anunprecedented coming together of 20major construction-related associations tocreate standard forms that—throughconsensus—balance and promote bestpractices among all parties to theconstruction project. At a time whentechnological advances are drivinggreater collaboration among parties whoown, design and construct a project,leading associations representing most ofthose same constituencies havecollaborated to create a comprehensive

catalogue of over 70 constructioncontracts and forms for a variety of projectdelivery methods and contractualapproaches. Released in September ofthis year, these industry consensusdocuments signal what could be atransformational moment for the industryas a whole.

The ConsensusDOCS drafting processbrought together representatives of all ofthe participants who tackled each of themyriad of issues with the mindset of bestpractices, fair risk allocation and the bestinterest of the project, and moving theoverall industry toward that goal. Eachstandard form document created hasbeen presented to each participatingorganization for a vote of endorsement.Only contract documents which achievemultiple endorsements byConsensusDOCS members will bepublished as a ConsensusDOCSdocument, bearing the logo of eachendorsing association. A participatingassociation that does not affirmativelyendorse a contract document will nothave its logo appear on that contractdocument.

While all have had an equal seat atthe drafting table, there are three differentlevels of participation among theConsensusDOCS associations,depending upon commitment to salespromotion and the contribution ofintellectual property from an existingcontract documents program. Anassociation can participate inConsensusDOCS as an endorser withoutrevenue sharing, an endorser withrevenue sharing, or as a sponsor. Allparticipating associations will participatein educational and marketing efforts. Asponsoring association, in addition to thepromotional and marketing effortsrequired of endorsing associations,contributes intellectual capital in the formof existing standard forms that provide thebaseline from which the ConsensusDOCShave been developed. Sponsoringassociations have voluntarily agreed notto publish, sell or distribute constructioncontract documents contributed to theConsensusDOCS effort. Sponsoring

associations participate in revenuesbased not only on marketing efforts but onthe intellectual capital contributed.

Those participating associations whohave their own contract documentsprograms are not required to discontinuethose programs. They may continue todevelop, produce, and promotecompeting and/or non-consensuscontracts and supplements within thebounds of copyright law. But, sponsorsmust discontinue publishing their contractsdocuments which are exclusivelycontributed to and accepted by theConsensusDOCS effort. For example, theAssociated General Contractors ofAmerica (AGC), for their part, will notpublish and sell equivalent AGC contractsfor those documents that are endorsed,published and sold by ConsensusDOCS.

The ConsensusDOCS catalogue willinclude more than 70 contracts andstandard forms. The contract forms includeboth long and short-form documents for avariety of project delivery methods andcompensation approaches. Theadministrative forms, for instance, includepay applications, change orders,submittal form and bond forms. Theprincipal contracts include:• Consensus 200 Standard Agreement

and General Conditions BetweenOwner and Contractor (Where theContract Price is Lump Sum);

• Consensus 200.2 ElectronicCommunications Protocol Addendum;

• Consensus 240 Standard AgreementBetween Owner and Architect/Engineer;

• Consensus 300 Standard Form of Tri-Party Agreement for CollaborativeProject Delivery, an agreement signedby an owner, designer and constructorpromoting integration of efforts andlean construction principles;

• Consensus 410 Standard Design-BuildAgreement and General ConditionsBetween Owner and Design-Builder(Where the Basis of Payment is theCost of the Work Plus a Fee With aGuaranteed Maximum Price);

• Consensus 500 Standard Agreementand General Conditions BetweenOwner and Construction Manager


LEGA

L BR

IEF

(Where the Basis of Payment is aGuaranteed Maximum Price); and

• Consensus 750 Standard AgreementBetween Contractor andSubcontractor.The ConsensusDOCS are being

published using the DocuBuilder contractdocument software previously developedand used by the AGC and will beavailable through an electronic commerceinternet site where the documents can bepurchased individually or in packagedsubscriptions. In addition, participatingassociations will provide promotional linksto the ConsensusDOCS site.

In achieving consensus on the fullportfolio of ConsensusDOCS, theparticipating associations had to tackle anumber of contentious and divisive issues.One thing that made consensus possibleon these issues was the commitment of thegroup to publish a guidebook thatprovides commentary on criticalprovisions from the perspective of differentparticipants. This guidebook will also beavailable from the ConsensusDOCSwebsite.

What ConsensusDOCS meansfor owners

ConsensusDOCS gives owners achoice not available before; standardform documents that represent theperspective of not one group, but thecollaboration and consensus of diverseconstruction industry associations. Forowners, construction is a necessity, butnot their true business. A contract formthat has been drafted and vetted byrepresentatives of diverse industry groups,including owners, provides owners withan assurance that their interests arereflected in the document and balancedalong with those of the other projectparticipants. Owners should enjoysavings in time and transactional costsassociated with negotiating agreements.Agreements that reflect the concerns ofowners, and balance the interest of all theparties by looking to the best interest ofthe project as a whole, should also createfewer claims, timely completion and betterpricing for construction services.

The ConsensusDOCS contracts areintegrated, meaning the generalconditions and agreement are allcontained in one document, with thegeneral conditions tailored to the projectdelivery and compensation methods.Also, the documents contained in eachseries are coordinated to ensure theircompatibility. Subcontract documentswere drafted to ensure compatibility withthe prime agreements and a consistentlyfair allocation of risk.

The standard forms created by theConsensusDOCS process address all ofthe typical issues of concern for projectparticipants—time, delays, payment,differing site conditions, warranty,correction of work, indemnification,insurance, termination and disputeresolution. The ConsensusDOCS informeach party of both its rights andobligations, identify critical andsometimes contentious issues andpromote discussion among the parties asto how best address them, and allocaterisk and responsibilities fairly. Several issues may be particularlynoteworthy to owners:• Dispute mitigation: The

ConsensusDOCS seek to eliminatedisputes before they can becomeclaims be encouraging disputemitigation and resolution throughmediation, project neutrals anddispute review boards.

• Limited mutual waiver ofconsequential damages: TheConsensusDOCS provide for a waiverof consequential damages, but alsoprompt the parties to discussappropriate limitations on this waiverby identifying specific items ofpotential damages that can beexcluded from the waiver.

• Ownership of designdocuments: The ConsensusDOCScontain a thorough treatment of thisoften contentious issue, including amechanism for the owner to secureownership of the copyright in thedocuments through additionalcompensation to the designer. Alsoaddressed are the conditions for the

use of documents in the event of atermination and on subsequentprojects.

• Additional insured status: Oneof the biggest challenges tackled bythe drafters of the ConsensusDOCSwas trying to balance the competinginterests of project participants on theheated issue of additional insuredcoverage. The balancing of interestsachieved by the drafters begins byidentifying the issue head-on and thenproviding the parties with optionalapproaches to discuss and select,including for example whether anowner will require additional liabilitycoverage at all and if so whether itwill be satisfied through additionalinsured status under a contractor’sCGL policy for either ongoing orcompleted operations, or through anOwner’s and Contractor’s Protective(OCP) Liability policy.ConsensusDOCS has also addressed

the issue of electronic communications ina written protocol through which theparties address the methods, mechanismsand expectations for the exchange ofinformation and documentationelectronically.

ConsensusDOCS represents awatershed event in the constructionindustry. Not only will more standard formdocuments follow, but theConsensusDOCS group will hopefullygrow to include more industry groups,particularly designer associations thatwere invited but declined to participate inthe ConsensusDOCS process. The goalof ConsensusDOCS will continue to be topursue a more proactive andcollaborative path toward improving theindustry as a whole in areas in additionto balanced, best practices contractdocuments. ●

J. William Ernstrom, Esq., is VicePresident, Strategic Major Project Advisor forThe Walsh Group. Kevin F. Peartree, Esq., isa partner with Ernstrom & Dreste, LLP. Both arelong-time participants in the AGC’s contractdocuments programs and were involved inthe ConsensusDOCS drafting process.


●●● ConsensusDOCS Continued

T

Toyota Motor ManufacturingTHE COMPANY: Toyota Motor Manufacturing,North America

THE HISTORY:Toyoda, as the company was first

named, was established in 1937 whenToyoda Automatic Loom created a newdivision devoted to the production ofautomobiles under the direction of thefounder’s son, Kiichiro Toyoda.

According to a much-quoted article inWikipedia, the spelling change was madeto make it easier to pronounce, symbolizea separation from the founder’s home life,and, possibly most importantly, becauseToyota, which takes eight strokes to write inJapanese, is considered to be luckier thanToyoda.

THE RIGHT-NOW:In April 2007 Toyota received top

honors, claiming the crown as the world’stop automaker. The company announcedthat their worldwide sales reached 2.35million cars and trucks in the first quarter ofthe year. In order to meet demand, ToyotaMotor Manufacturing North America, Inc.

and Toyota Technical Center consolidatedin 2006 to form Toyota Motor Engineering& Manufacturing North America, Inc.(TEMA).

TEMA is responsible for Toyota’s NorthAmerican engineering design anddevelopment, research and development,and growing manufacturing activities in theUnited States, Canada and Mexico.The company currently operates 13vehicle, engine and parts plants in NorthAmerica and will open a second plant atToyota Motor Manufacturing Canada inWoodstock, Ontario in 2008. By 2010,Toyota will begin production of theHighlander at its new vehicle assemblyplant in Blue Springs, Mississippi, nearTupelo by 2010.

Annual purchasing of parts, materials,goods and services from North Americansuppliers totaled more than $29 billion.

THE FUTURE:With steady demand for Toyota’s

product—the company produced morethan 1.55 million vehicles and 1.4 millionengines at its North Americanmanufacturing facilities in 2006—growthis the only option. After all, projectionsindicate that the company will have tobuild nearly 2.2 million cars and trucks inNorth America in 2008 to meet demand.

THE SOCIAL COMMITMENT:

In January 2007 Toyota Motor Sales(TMS) U.S.A., Inc. announced its ThinkGreen! program, which achieves a highrecycling rate and zero waste to landfill atTMS headquarters.

“Think Green! reduces the impact TMSheadquarters has on our environment bycreating resources from waste,” said BobPitts, TMS Group Vice President ofAdministrative Services. “Toyota MotorSales is committed to its Global EarthCharter and will continue to expandinitiatives to protect our environment.”

With more than 5,000 employees,business partners and visitors in 15buildings on the TMS headquarters each

day, it has become important to find newways to reduce and recycle waste. ThinkGreen! enables TMS to divert waste fromlandfills and avoid the emission ofapproximately 1,000 tons of green housegases each year.

In the first three quarters of 2006, TMSdiverted 615 tons of materials fromlandfill—equivalent to the weight of 420Toyota Prius hybrids. By January 2007,TMS reached a new milestone of zerowaste to landfill.

THE AWARDS:• In March 2007 the U.S. Environmental

Protection Agency awarded TEMA witha 2007 ENERGY STAR Sustained Ex-cellence Award in recognition of itscontinued leadership in protecting theenvironment through energy efficiency.

• In July 6, Toyota’s North American Pro-duction Support Center (NAPSC) inGeorgetown, KY, was awarded a Sil-ver Level Certification from the U.S.Green Building Council’s (USGBC)Leadership in Energy & EnvironmentalDesign (LEED) Green Building ratingsystem.

THE FACTS:• Direct North American Employ-

ment: 38,340• Direct North American Invest-

ment: $16,854,600• Cumulative North American

Production: 14,872,312• North American Vehicle Sales:

2,513,708• Cumulative North American

Vehicle Sales: 39,258,162• North American Purchasing*:

$26,100,000,000• North American Toyota, Scion

and Lexus Dealers: 1,745• Total U.S. Philanthropy (since

1991): $301,000,000All data as of December 2005, except

where noted. All figures are reported inU.S. dollars. *Parts, Materials andComponents (FY ending 3/05) Goodsand Services (CY 2004) ●


PR

OFILE

Toyota’s headquarters in Torrence, CA,diverts over 600 tons of materials from thelandfill, thanks to their innovative ThinkGreen! program.


MONDAY, NOVEMBER 52:00 pm – 5:00 pm Opening Session—Doug Graham, The Boeing Company,

Conference ChairpersonA Global Industry in Crisis: A Perspective From IPA—Ed Merrow, President, Independent Project AnalysisTechnology, Innovation and the People Who Make itWork: A New View on Solutions for the ConstructionIndustry—Maggi Walker, Vice President, Dow ChemicalCompanyCURT: How Owners are Transforming the IndustryThrough Effective Leadership & Collaboration—Ricardo Aparicio, General Electric Company, CURT President

6:30 pm Welcome Reception/Dinner (Casual Attire)

TUESDAY, NOVEMBER 6 7:30 am – 12:30 pm Opening Session—Doug Graham, The Boeing Company,

Conference ChairpersonInto 2008: What’s Next For the Economy?—John Mitchell, Principle, M&H Economic ConsultantsWhat The Organized Trades Are Doing To Staff OurProjects: An Example From The IBEW—Newly ElectedMark Ayers BCTD President; Ed Hill, IBEW General President3XPT Strategy Group: Different Teams, DifferentJerseys, One Game—Bill Tibbitt, Executive Director WorldwideEngineering Services, Johnson & Johnson; Doug Pruitt, Chairman &CEO, Sundt Construction; Barbara Price, Principal, Jacobs

2007 NATIONAL CONFERENCEAGENDA

2007 NATIONAL CONFERENCEAGENDAFrom Collaboration to Transformation: Solutions for Today's Construction Industry


CU

RT

INIT

IATIV

ESConcurrent Educational Sessions (Presented twicebefore lunch)- Realities & Remedies For the Construction

Workforce Crisis- Keys to Improving Safety Performance: The Best in

Class From Award Winning Owners- Creative Contracting: Highlights of the

ConsensusDOCS Collaborative Agreements- Moving Toward Integrated Project Delivery: BIM

Usage Assessment & Case Study- FMI 2007 Owners Comprehensive Survey: The

Envelope Please . . .

12:30 pm Lunch

1:30 pm – 4:30 pm From Collaboration to Transformation: A Contractor’sPerspective—Peter Davoren, President & CEO, TurnerConstruction Co.Leading Change in Construction: The U.S. StateDepartment’s Strategy—Major General Charles E. Williams,Director OBO, U.S. State DepartmentConcurrent Educational Sessions

- Continuing The Conversation . . . More WorkforceRemedies For a Changing Industry

- Recent Legal Developments Affecting ProjectDelivery

- Improving Productivity Through Effective ResourceManagement

- Keys to Improving Safety Performance: Best inClass From Award Winning Contractors

- Successful Collaborative Agreements and theProjects That Worked

6:00 pm Awards Gala Reception

7:00 pm Awards Gala Dinner & Ceremony (Business Attire)

2007 NATIONAL CONFERENCEEXHIBITORSTHE CONSTRUCTION USERSROUNDTABLE WOULD LIKE TOTHANK THE FOLLOWING FIRMSAND ORGANIZATIONS FOR THEIRSUPPORT OF CURT AND THE 2007NATIONAL CONFERENCE OF CONSTRUCTION OWNERS:ABC NATIONALAGC OF AMERICAAIA CONTRACT DOCUMENTSAISCAUTODESKBAC/INT'L MASONRY INSTITUTEBCTDBENTLEY SYSTEMSBIGGE CRANE & RIGGING CO.BRANDENBURG INDUSTRIALCERTIFIED OCCUPATIONAL SAFETY

SPECIALISTSDBO2, INC.DISAE-BUILDERHILL INTERNATIONALIMPACTINDUSTIRALINFO RESOURCESMAMMOETMARVEL OFFICE FURNITUREMOSTNAVIGANT CONSULTINGNAWICNCCCONCCERNECA-IBEW NLMCCNOOTER CONSTRUCTIONNORTHSTAR CONSULTINGPAINTERS & ALLIED TRADES LMCISATELLIERSKIRE, INC.STORM EXCHANGE, INC.SURETY INFORMATION OFFICETEXTURATURNER CONSTRUCTION CO.TYCO THERMAL CONTROLSUNITED ASSOCIATIONVELA SYSTEMS, INC.

The Construction Users Roundtable reserves the right to make changes in Con-ference sessions and/or speakers when conditions prevail beyond its control.Information distributed or contained in presentations is the sole responsibility ofeach presenter and does not necessarily represent the opinions of The Construc-tion Users Roundtable or its membership..

Phot

os c

ourt

esy

of N

aple

s M

arco

Isla

nd E

verg

lade

s C

VB

.



CU

RT

INIT

IATIV

ESWEDNESDAY, NOVEMBER 78:00 am – 2:30 pm Opening Session—Doug Graham, The Boeing Company,

Conference ChairpersonConstruction Craft Training: Generating Big CostSavings For Owners—Ric Carter, President Fluor; PaulGoodrum, Associate Professor, University of Kentucky; JobyFrame, Construction Logistics Manager, Southern Company;Randy Tomlinson, Senior Piping Engineering Technologist, DowLEAN Projects From an Owner Prospective: LessonsLearned—Jerry Theis, Group Manager, WFG Capital Projects,General Motors; Harold Helland, Manager of ProjectManagement, Abbott; Egon Larsen, Global ConstructionManager, Air ProductsConcurrent Educational Sessions- Legal Issues in a Collaborative Environment:

What You Don’t Know May Hurt You!- Technology That Results in Better Projects- Integrated Form of Agreement: A Relational

Contracting Style That WorksSam Donaldson Looks at Leadership—Sam Donaldson,Veteran Chief Washington Correspondent, ABC NewsClosing Remarks—Doug Graham, The Boeing Company,Conference ChairpersonFarewell Luncheon

2:30 pm – 4:30 pm CURT Committee Meetings (Members & Invited Guests Only)

2007 NATIONAL CONFERENCE SPONSORSTHE 2007 NATIONAL CONFERENCE IS MADEPOSSIBLE IN PART BY THE GENEROSITY OF:AGC OF AMERICAAIA CONTRACT DOCUMENTSAKER KVAERNER SONGERALBERICI CONSTRUCTORSAMEREN CORPORATIONASSOCIATED BUILDERS & CONTRACTORSBAKER CONCRETE CONSTRUCTIONBE&KBECHTEL CONSTRUCTIONBRADLEY ARANT ROSE & WHITE LLPCASEY INDUSTRIAL, INC.CH2M HILLCHERNE CONTRACTING CORPORATIONCROWELL & MORING LLPEGIZII ELECTRIC, INC.ENERFABFCURTFLUOR CORPORATIONGRAYCORHOLDER CONSTRUCTION COMPANYIMPACTMC INDUSTRIALNAWIC EDUCATION FOUNDATIONNECA-IBEW NLMCCPRIMAVERA SYSTEMS, INC.RUDOLPH/LIBBE COMPANIESSKANSKA USA CONSTRUCTIONTETON INDUSTRIAL CONSTRUCTION, INC.THE BOEING COMPANYTHE SAXON GROUP, INCTURNER CONSTRUCTIONTYCO THERMAL CONTROLS

More than four years ago a groupof forward-thinking individualsand their respective organizationscame together to form what is

now know as the Construction UsersRoundtable Tripartite Initiative (CTI); anendeavor that strived to join owners,unions and contractors who sought,“Attainable, measurable, and meaningful”ways to improve the North American con-struction industry.

Represented were the ConstructionUsers Roundtable (CURT), nationalcontractors’ associations, and thepresidents of unions affiliated with theBuilding and Construction TradesDepartment, AFL-CIO, a coalition ofconstruction unions.

Then President of CURT, Bill Tibbitt,said at the time, “There are tremendousuntapped opportunities for owners,contractors and labor to collaborate. I amvery encouraged at this first step to doso.”

Now, several years later, thededicated CTI team is still working toimprove the construction industry. Onemember of this team, Michael Gossman,Executive Vice President of P1 Group,Inc., has been involved since thebeginning…almost. Six months after CTIformed, he was elected President of theMechanical Contractors Association of

America (MCAA) and at the time felt theCTI effort, “Provided a unique opportunityto work both with the owners and labortoward the advancement of the industry.”

That belief hasn’t changed. He’s proudof the work CTI has accomplished, notingthat it is the only national tripartite effortthat brings together a large owner’sgroup, all of the building trades unionsand the contractor trade associations.“The CTI has raised the level ofcommunications between the groups,” hesays. “This, in of itself, is animprovement.”

Gossman credits all the groupsinvolved for making the initiative work,noting that having CURT spearhead theformation of CTI helped get it off theground. From there they were able to setthe stage, adopting the mission, “Toimprove the construction industry throughmeaningful dialogue, collaboration andmutual commitment to positive changewith owners, contractors and building andconstruction trades unions.”

Edward Sullivan, Past President of theBuilding Construction Trades Department(Sullivan retired October 1, 2007) wasalso instrumental in getting CTI off theground. He recalls meeting withindividuals such as Greg Sizemore andRobert Volkman, who both representedCURT, to establish a mutually beneficial

relationship. “Everyone talking to eachother in a collaborative manner was afirst for the industry,” says Sullivan.

Recalling the first meeting, Sullivanjokes that they’ve, “Come a long way. Itwas definitely interesting in the beginningbut I am so proud of where we’ve comefrom and what we’ve done. We grewtrust in an environment where trust wasn’talways readily found and as such, weare now able to work as a team toaddress the really important issues ourindustry faces.”

The first three initiatives CTI tackledwere workplace disruptions, absenteeismand excessive overtime. White papershave been written and published byCURT for these three efforts. Since then,the group has engaged in improvingworkplace attitudes with a new trainingmodule, launched a national drug testingprogram, developed productivitydemonstration projects and published areport on Project StakeholdersResponsibilities.

“If we work as a team we, simply put,work better,” says Sullivan. “If we haveeveryone sitting at the table together,more ideas flow—what worked forothers, what didn’t work—theconstruction industry belongs to all of us.As such it’s up to all of us to worktogether to make it successful.” ●


CU

RT

INIT

IATIV

ES

Communication and commitment are key outcomes

BCTD President Sullivan retiresEdward Sullivan began his career in 1964 in the elevator

trade as a probationary helper in IUEC Local Union #4 inBoston, MA. He worked as a construction mechanic and anadjuster in maintenance for 17 years. In 1981, he waselected Business Manager of Local #4, and he served inthat capacity until he was elected Assistant to the GeneralPresident of the IUEC in 1996. He was elected GeneralPresident of the union in 1998. He also chaired the Board of

CURT Tripartite InitiativeThe

Elevator Regulators in Massachusetts for 10 years. In 1997he received the Gompers-Murray-Meany Award, the tophonor awarded each year by the Massachusetts AFL-CIO.

Of his successful career, Sullivan says, “I started in thisbusiness over 40 years ago. At each stage of mycareer….as a working member and as an elected leader atmany levels….everything I’ve ever undertaken was donethrough the eyes of being a local member. That’s where


The VOICEis the perfect forum foryou to address thebiggest decision makers

in the construction industry!We are looking for articles that are indus-

try specific (not company promotional) toinclude in future issues of this magazine. Ifyou’d like to lend your expertise on the indus-try’s hot button issues, we’d like to have you.The VOICE is currently looking for:• Legal Briefs (must be written by a mem-

ber of a reputable legal firm)• Opinion pieces for the BACK AT YOU

section• Expert articles that will appeal to CURT

owner membersIf you’re interested, send your ideas or fin-

ished articles to The VOICE’s Editor ShannonLutter, at [email protected]. All articlesare subject to approval and editing by the Con-struction Users Roundtable and the editorialteam.


CU

RT

INIT

IATIV

ESmy roots are, and that’s where they will always be.”

CURT would like to thank Edward Sullivan for hisdedication to initiatives such as CTI, as well as his effort toimprove the construction industry as a whole.

BCTD Elects New PresidentMark Ayers, Director of the Construction and

Maintenance Department of the International Brotherhoodof Electrical Workers (IBEW) was elected as the newPresident of the Building & Construction TradesDepartment, AFL-CIO (BCTD). Ayers, who will succeedretiring BCTD President Edward C. Sullivan on October 1,was confirmed during a September 6 meeting of the BCTDGoverning Board of Presidents.

"I look forward to addressing the challenges andseizing the opportunities that present themselves to theunion construction industry," said Ayers. "I want to thankthe Governing Board of Presidents for bestowing their

confidence in me and, with the assistance of Secretary-Treasurer Sean McGarvey, I will do all that I can toenhance our stature as the world's number one choice forquality, skilled labor in the construction industry."

Prior to his tenure as the Director of the IBEWConstruction and Maintenance Division, Ayers was theBusiness Manager and Financial Secretary for IBEW Local34 in Peoria, Illinois. Ayers served as co-founder andchairman of the Central Illinois Chapter of NECA-IBEWLocal 34 Quality Connection, and was the Secretary-Treasurer of the West Central Illinois Building &Construction Trades Council.

Ayers attended the George Meany Institute for LaborStudies (now known as the National Labor College), theUniversity of Wisconsin, the University of Illinois Instituteof Labor and Industrial Relations, and the InternationalFoundation for Employee Benefits. Mark has also servedhis country in the United States Navy. ●

Do YOU HaveDo YOU HaveSomething to Say?

Q When the ICC wasfirst formed in thelate 1980s, what

were its original goals?

A Associated Builders andContractor’s (ABC)Industrial Contractors

Council (ICC) was first formed,primarily due to ABC’s closerelationship with the ConstructionCommittee of the Business Roundtable(BRT). Because of the nature ofindustrial construction projects,refineries and power plants, forexample, industrial owners typically aredemanding in areas such as safety,quality and productivity, and the ICCwas a step to ensure that ABCcontractor members were addressingand meeting those needs.

Q Decades later, howhas your mandatechanged as the

construction industry haschanged?

A Now in 2007, we findourselves concernedabout the workforce

shortage and workforce development.One of the main differences is that theconstruction industry, along with manyof our owner clients, are now feelingthe impact of the shrinking labor forcethat was predicted years ago.Workforce development is a primaryshared concern of CURT and the ICC,and it is apparent that those contractorswho can produce a qualifiedworkforce will do the work for CURTowner members.

The construction labor force is notkeeping pace with the current demandfor a number of reasons. Some of theseare an aging workforce, attractiveness

of high tech and similar occupations tomany young people, a negativeperception of construction, a lack ofknowledge about constructionopportunities on the part of highschool counselors, a lack ofknowledge about income potential inconstruction, etc.

Realizing that the ICC cannot solve,or even address, all of these issues thatimpact the construction labor force, weare concentrating our efforts in theareas where we can be most effective,and supporting organizations that areworking in other areas. For instance,the National Center for ConstructionEducation and Research (NCCER) hasa developing initiative to address theimage of construction as a career. TheICC is looking for ways to buildsupport for this initiative.

Q ICC has a closerelationship withNCCER. Why is it

important to work alongside atraining program?

A In the early 1990s ABCraised funds, primarilyfrom its industrial

contractor members, for revision andstandardization of the ABC Wheels ofLearning curricula. Those samecontractors also contributed thecopyrights to their craft trainingcurricula to ABC in five key areas;electrical, instrumentation, millwright,welding and plumbing. Members ofthe ICC facilitated the revisions andstandardization of the training, anddeveloped a centralized program andcurriculum. To facilitate the training ofthousands of new craft workers thatwould be needed each year, ABCestablished the NCCER as a separate


CU

RT

INIT

IATIV

ES

Gary Bennett, CorporateRelations Director for TICHoldings, Inc., ICC (Indus-trial Contractors Council)Chairman and ABCNational Representative toCURT gives insight intothe council’s activities,goals and purpose

For more information:Kirk Pickerel, President and CEO,ABC: [email protected]

Jen Huber, Director, NationalCouncils, ABC: [email protected]

Gary Bennett, ICC Chairman andABC National Representative toCURT: [email protected]

ABC/CURTPartnership Thrives

nonprofit organization in 1996.Although the NCCER was formed as anorganization independent of ABC, ourmembers remain as strong supporterstoday.

We recognize that the craftemployees of one company today willbe part of the workforce of anothercompany in the future. As participants inthe NCCER training program, thoseemployees can continue their trainingand get credit no matter where they areemployed, so long as their employers,or the training center at which theyreceive instruction, are users of theNCCER curriculum and employ NCCER-certified trainers.

Q Why is it importantto work alongsideCURT on major issues

such as workforcedevelopment?

A CURT encompasses manyof the primary users of theindustrial construction

sector of our industry, so its membersunderstand the issues and interests ofindustrial contractors.

When it comes to industrialconstruction and maintenance, we don’tbelieve that either the owners or thecontractors can have much impact inareas such as workforce developmentwithout the cooperation and support ofthe other. However, through apartnership between industrial ownersand contractors, challenges such asworkforce development, safety, processimprovements and others can be tackledand accomplished.

We view CURT as a key to oursuccess going forward.

Q What are some ofICC’s goals for theupcoming years?

A At present, we have oneoverriding goal: thedevelopment and

implementation of an action plan torecruit, train, place and retain newpeople to the construction industry. ●


What began as a noble experi-ment has evolved into anunqualified success.

That is the consensus amongConnecticut’s construction leaders on theConstruction Institute, a non-profit, non-par-tisan professional association that is a divi-sion of the University of Hartford. The Insti-tute was born in, and in response to leantimes for the construction industry in thestate during the mid-1970s.

By its nature, the building andconstruction community is a looselystructured coalition of varied professionsand services that lacks the coordination toact in a unified effort on critical issues. Outof frustration at this lack of unity andconsensus, industry leaders in Connecticutmet to discuss what could be done toaddress this problem. They saw a need fora vibrant and pro-active organization thatwould represent all the different elementsof the building and construction community.

With that idea in mind, a groupapproached the University of Hartford.They saw their participation and support ofthis organization as a way to serve thegreater Connecticut community—andespecially contribute to the strengthening ofone of the state’s major industries (indeed,in a study completed several years later, itwas found that three of every ten people inthe state were directly or indirectlyimpacted by construction).

Still growing strongSome 32 years later, the Construction

Institute has fulfilled its original vision andmore. With close to 350 memberorganizations throughout Connecticut, aswell as in Massachusetts, Rhode Island

and New York, the Institute serves as acatalyst and neutral forum for those in thebusiness of the “built environment”. It isindependent, non-political and non-competitive with other construction industry-related organizations. It is a network, acommunicator, a teacher, a forum and acatalyst. And it is part of a university.

Institute members encompass all theprofessions and diversified services thatserve and supply the construction industry.These include owners, users anddevelopers on the purchasing side anddesign professionals, contractors andsubcontractors, consultants, manufacturersand suppliers, financial, legal andinsurance services on the supply side.Members also include towns andmunicipalities, state agencies and tradeorganizations.

“Different sectors of the industry have alot in common. They just need a means totalk to one another. The Institute was anexperiment that always had at its core thebringing together of people,” says Dr.William H. Cianci, Executive Director ofthe Construction Institute.

“We want everyone involved inconstruction and the planning,management and maintenance of facilitiesto be part of the Institute and to encouragethem to interact, exchange ideas andshare information so through theircombined efforts they can work towardsolutions to the industry’s critical problemsas well as help the industry reach itsmaximum potential.”

“The Institute has two overriding goals,”Cianci continues. “We offer educationalprograms that provide information andeducation on the most timely and


Construction Institute emphasizes education, sharing of knowledge and access to industry leaders

Building Relationships toHelp Businesses GrowBuilding Relationships toHelp Businesses Grow

Focus on ownersFrom its beginning, the Institute

recognized the paramount need to recruitand retain owner/user members if it wasto accomplish its mission of bringingtogether all elements of the buildingindustry. More than 10 years ago itestablished its Facilities ManagementCouncil, an advisory group within theInstitute comprising professionals whohave responsibility for the planning,management, engineering, construction,operations and maintenance of acompany’s or institution’s capital assets.Council members represent all industrysectors such as corporate,manufacturing, hospital/healthcare,pharmaceutical, institutional, retail,municipalities and state agencies. Itsmain purpose is to improve the qualityand cost effectiveness of constructionand the many tasks associated withfacilities management.

The Council serves as vehicle to bringtogether and promote greatercommunication between the purchasingside of the industry with its numerousservice providers. In addition, theCouncil is a forum and network forconstruction and facilities professionalsto interact with their peers, and to shareinformation, ideas, concerns andinterests through roundtable discussions,conferences and subcommittees.

For further information on theConstruction Institute please visit theirweb site at www.construction.org oryou can contact Dr. William Cianci at(860) 768-4459.

significant issues facing the industry. This inturn serves as an effective mechanism andfocal point for achieving our main goal ofbringing together the many professionalsand segments that constitute the industry.”He adds that through this network ofprofessionals, the Institute providesunequalled access to industry leaders andthe opportunity for its members to staycurrent on the latest trends anddevelopments.

“From the time an environmentalengineer takes a core sample from the siteof a new project, to the time when theowner is handed the keys, a multitude ofdifferent, professionals and industrysegments are involved,” Cianci says. “Allare dependent and interdependent oneach other as a project evolves and allneed to work together toward the samegoal—the successful completion of aproject.”

To make this happen and for theindustry and its members to grow, thereneeds to be a constant coming together,and sharing of information and experiencesamong the many participants. Cianci addsthat the Construction Institute plays that allimportant role as a catalyst and conduit.“Construction has always been a veryfragmented, fractured industry” he says.“As one architect noted, ‘It’s a wonderanything gets built’.”

Having higher educationinvolved

The Construction Institute is uniquebecause it is not associated with a nationaltrade organization but is part of aninstitution of higher education. Mostimportant is the fact that the Institute iscompletely neutral—it cannot lobby and isseen as not having a partisan agenda.

The Institute’s location within theUniversity of Hartford has allowed it to takeadvantage of its many resources. Ciancisays the university has committed itself tothe Institute over the years and they shouldbe commended for this. The Institute, inturn, provides the university with greatexposure and visibility throughout the stateand region through its many programs andevents.

He says, “I believe the institute isviewed as an organization with a verystrong purpose, and an excellentreputation and image. Institute membersand their representatives are people at thevery highest levels of their professions andour programs, forums and conferences arerespected for their high quality content andpanel participants.”

At the very core of the ConstructionInstitute’s mission is education, notsurprising for a division of a university.Every year, the Institute begins its programyear with its annual State-of-the-Stateprogram, where the various departmentheads of the major state agencies involvedwith construction share their forecasts,building and implementation plans andopportunities for public constructionprojects that will take place. The governorof Connecticut is often invited to be thekeynote speaker.

Other programs include:• An annual Owners Forum: an

interactive forum which brings togetherowners, design professionals,contractors and other industrysegments to discuss and offer solutionsto many of the key issues facingconstruction, with special emphasis onthe problems each of theseparticipants encounter in the buildingprocess and how they can beimproved.

• Several Regional ConstructionForecasts that provide in-depthdiscussions of major private and publicprojects throughout the central, westernand eastern regions of the state andpoints out the particular conditions ofthese regions that may impact growth.

• Several Construction Issues forums thatfocus on very timely topics.

• A Young Professionals Council that nowdevelops it own annual program—theYoung Professionals Forum—thatfocuses on the needs, interests and

problems of young professionals whoare defined as people with ten yearsor less of industry experience.The Construction Institute is also the

largest provider of continuing professionaleducation in the region—averagingbetween 45 and 50 educationalworkshops a year. Workshops aredirected to design professionals,contractors and professionals in facilitiesengineering and management, and offersCEU’s and AIA/CES Learning Units. TheInstitute also offers two certificateprograms—in Construction Managementand Facilities Management.

The Institute, through its FacilitiesManagement Council, was a member ofthe Business Round Table when it includeda construction division. When thatdivision was no longer retained by theRound Table, the Institute became amember of CURT and is very pleased tobe part of this organization—its arearepresentative in the Northeast - - thatstays at the forefront of the constructionindustry.

Cianci says the importance of theConstruction Institute and its value to theconstruction industry has grown over theyears. “We had steady growth until thelate 1980’s to mid 1990’s when asevere recession hit the country andespecially Connecticut. Around 1995,with the industry was in a severe slump,people realized we were the place toturn to in order to find where the workwas, who was doing what, what wasnew or not new and what were the trendsand developments they should be awareof. That’s the true value of anorganization, when it can function wellnot just in the good times but also duringthe bad.”

“People say how unique we were andwhat a value we could be to the industry.That was when we really started to growas an association.” ●


CU

RT

INIT

IATIV

ESMission possible

The Institute’s mission is to advance the quality and efficiency ofplanning, design, construction, use, operations and management of facilitiesand systems through promoting the sharing of knowledge and experience,strengthening professional relationships and developing future leaders.

“The key to success has beenbroad based public-privatesupport for the initiative,”explains Tim Horst, Program

Manager of the Business Roundtable’sGulf Coast Workforce Development Ini-tiative (GCWDI). “The hurricanesprompted a unified call to action whichhas enabled the formation of a uniquecoalition of organizations to provide asingle solution to the labor shortageissue.”

This call to action has succeeded—with record results. In late August,months ahead of schedule, the GCWDIannounced that just over one year intothe ambitious program, over 7,500students have completed the trainingand another 2,000 are currentlyenrolled in class. The initial goal was torecruit and train up to 20,000 newconstruction workers in the Gulf Coastregion by the end of 2009, to providecritically needed new constructionworkers in the Gulf Coast.

As Charles O. Holliday, Jr.,Chairman and CEO of DuPont, and Co-chairman of the Gulf Coast WorkforceDevelopment Initiative, notes, “Residentsof Louisiana, Mississippi and Texas haveembraced our free classes,

demonstrating the vitality of the regionand the residents’ fierce desire torebuild. We’re so encouraged by thesuccess thus far that we hope to step uprecruiting efforts and expand intoAlabama as well.”

The GCWDI recruits students throughthe “I’m GREAT” campaign. GREAT,which stands for Get Rewarded forEducation and Advancement Training,has helped bolster residents’ sense ofself-worth through participation in theconstruction industry, drawingwidespread praise from political leadersin the region. Originally conceived in2005 in response to that yearsdevastating hurricanes, the initiative wasdeveloped by the Business Roundtable,with support from organizations andindividuals nation-wide, who havecommitted millions in funding tocoordinate the recruiting and training ofparticipants.

One such organization is theConstruction Users Roundtable (CURT).As Horst explains, “The initiative wouldnot have been possible without theendorsement and support of industryleaders and the CURT organizations.CURT member organizations havecontributed over two thirds of the funds

and in-kind labor for the Initiative andare the largest and most influentialconstruction users in the nation. Beingable to list these companies assupporters provides the initiativesignificant credibility.”

Participants in the initiative enroll infree training that gives them thenecessary skills for entry-level jobs in theconstruction industry. Training isprovided through partnerships with localcommunity and technical colleges andwith critical funding on both the federaland state levels. Upon completion of thecoursework, graduates have theopportunity to participate in job fairshosted at their training center. These jobfairs provide trainees with an opportunityto be introduced to local contractorswho are looking to hire additionalconstruction workers.

The impact of the 7,500 newworkers to the Gulf Coast region ishuge, comments Horst. However, thereis still more work to be done. “Thepeople trained thus far under the gulfcoast initiative will not in themselvesrebuild the gulf coast,” he says.“However, while it is not the finalsolution, it is a step in the rightdirection.” ●


CU

RT

INIT

IATIV

ES

Effort to retrain, rebuild and renew the Gulf Coast workforce ahead of schedule

GREAT Completes Over 7,500 Trainings


As everyone in the constructionindustry knows, a well-trainedemployee is a safer and moreproductive employee.

Tragically, in the United States weaverage three construction employeefatalities each day of the year. Thesefatalities can be prevented. OSHAbelieves training and education play acritical role in eliminating construction-related fatalities, which is why the agencyis working diligently to enhance its trainingand education capabilities.

OSHA’s Outreach Training Program isits primary way to teach employees aboutthe fundamentals of safety and health. Thisyear, certified trainers will teach more thanhalf a million employers in our 10 and 30hour outreach courses. This is an all-timehigh, and 80 percent of the people whoare trained will come from the constructionindustry. In the past five years,participation in OSHA’s Outreach TrainingProgram has doubled as a result of thesupport from a broad range of groups,including unions, contractors, employerassociations and individual companies. In

fact, recent state laws enacted inMassachusetts, Rhode Island andConnecticut now require 10 hourconstruction training for employees onpublic projects.

Through OSHA’s Electronic Transmissionand Distribution National Partnership, wedeveloped a specialized 10-hourconstruction outreach program foremployees in the electrical transmissionand distribution industry. Recently, wecollaborated again to develop a 20 hourSupervisor Leadership outreach trainingprogram for managers and supervisors.

The construction safety training isprovided in multiple languages and is evenavailable beyond our nation’s borders.OSHA supports Hispanic outreach trainingwith a wide range of initiatives, includinga list of Spanish-language trainers,reference lists, and presentation materialsthat were recently added to our website,www.osha.gov. We believe the OutreachTraining Program instills the value of safetyand health to employees from differentbackgrounds and industries. OSHAencourages the continued use of this

outreach material in an effort to save lives.As an active member of the National

Incident Management System, OSHA alsooffers hurricane response and recoverytraining courses that are of particular interestto the construction industry. Additionalcourses include training in asbestosabatement, tree removal safety, forkliftoperator training, waterway debris generalsafety awareness, an 8 hour HazmatRefresher course, a 16 hour Disaster SiteWorker course, and a 4 day Disaster SiteWorker Train-the-Trainer course.

OSHA and its partners offer severaleducation programs of interest to theconstruction industry, including the OSHATrenching Initiative Outreach Program,Hispanic Outreach Program, OSHAChallenge for Construction, OSHAPartnerships, Construction Alliances, andthe prestigious Voluntary Protection Programfor Construction.

The Trenching Initiative Outreachprogram initiated a study of trench-relatedfatalities, reviewed fatality data (2003-2006), identified causal factors, anddeveloped guidance tools for English andSpanish-speaking employees. As part ofOSHA’s outreach effort, we distributed tothe construction industry stakeholdersthroughout the United States, Europe andAsia over 450,000 trench safetyQuickCards, 40,000 English/Spanishtrench safety posters, and 4,000 NIOSHCD-ROMs on trench safety. This outreacheffort helped to reduce trenching fatalitiesby 50 percent.

In 2005, there were 316 Hispanicfatalities on construction sites. Our HispanicOutreach Program aims to reduce injuriesand fatalities among Spanish-speakingemployees by providing occupationalsafety and health resources in theirlanguage. Our efforts focus attention on thetop hazards which caused 77 percent ofthe total Hispanic employees fatalities,including head injuries, crushing andelectrocutions. OSHA Hispanic Outreachincludes toll-free access to our Spanishlanguage option to the OSHA Helpline;


BA

CK

AT Y

OU

By Edwin G. Foulke, Jr., Assistant Secretary of Labor,Occupational Safety and Health Administration (OSHA)

A Firm Foundation of Education

A Firm Foundation of EducationSafety training a must inconstruction industry

The opinions and ideas expressed in the BACK AT YOU SECTION are not necessarily those of CURT. If you would like to contribute toour BACK AT YOU SECTION please send topic ideas/completed articles to [email protected] for review.

providing on-line information andcompliance assistance tools, posters, andvideos in Spanish; offering safety andhealth training workshops and courses inSpanish; partnering with industry andorganizations to communicate withSpanish-speaking employees throughOSHA’s cooperative programs; andworking through organizations andagencies such as Mexican consulates inkey U.S. cities to find additionalopportunities to educate employees.

The OSHA Challenge for ConstructionProgram is a three-phase process whereparticipants are mentored by an independentnon-OSHA Challenge Administrator to strivefor the highest standards of workplace safetyand health. Each of the three phaseseffectively addresses employee training.Upon successful completion of the program,an applicant is prepared to apply for theprestigious VPP status.

While VPP was originally designed forgeneral industry worksites, VPP for

Construction (VPP-C) uniquely applies to themobile and temporary nature of much of theconstruction industry. Like VPP, VPP-C offersparticipants an opportunity to achieve Starand Merit recognition levels forimplementing exemplary safety and healthmanagement systems. Employers who areapproved with VPP Star status quicklybecome role models and mentors ofexcellence in the industry, for protectingemployees. An effective training andeducation component is one of the keys toobtaining VPP status.

OSHA partnerships achieve a positiveand measurable impact on workplacesafety and health by developing employeetraining focused on individual worksites.There are now 95 OSHA ConstructionPartnerships in effect across the nation.

We also have 13 active ConstructionAlliances. In one example, the goals for theRoadway Work Zone Alliance includeachieving general work zone safety andhealth, developing innovative solutions forreducing injuries and fatalities, pursuingvalue-added results, developing hazardawareness training and educationprograms, and conducting Hispanicoutreach.

Education and training are thefoundation of an effective occupationalsafety and health management system inevery workplace—a foundation on whichemployers and employees everywhereshould build. In this way, we may ensurethat at the end of every day everyonereturns home to family and friends safe andhealthy. ●


BA

CK

AT

YO

U

For more information:Occupational Safety and HealthAdministration: www.osha.gov

The Construction Safety Council:www.buildsafe.org

The Center to Protect Workers’ Rights:www.cpwr.com

The National Institute for OccupationalSafety and Health:www.cdc.gov/niosh/homepage.html

National Safety Education Center:www.earnyourcard.com

Can you answer this question?Well Canada now can, thanksto a robust constructionforecasting tool that was

developed by the Construction SectorCouncil (CSC). A few months ago, I spokeat the McGraw-Hill Construction/Construction Users Roundtable HelpWanted Forum in New Orleans. Iintroduced listeners to our forecasting toolthat looks nine years into the future andprovides information on the economicoutlook, construction investment,employment demand and rankings of theavailability of labor for 31 trades, byprovince and region.

And now, the forecast data is not onlyavailable annually in a written report, it isalso accessible online at the touch of amouse at www.constructionforecasts.ca.This means consistent detailed informationon construction activity, employmentdemand, replacement demand, and muchmore is available to industry, government,training providers, and others.

Why is this important and what doesthis offer the Canadian constructionindustry? Well, for starters it provides alook into the future that enables theindustry, government and training providersto target their initiatives and ensure that theindustry has the skilled workforce it requiresnow and into the future.

That’s why we must ask ourselveswhether our neighbors to the south needthis capability too, and if they do, howcan they get it? I believe this anopportunity for us all to work together. After

all, we work in a global economy andperhaps this calls for global solutions.

Canada is forecasting a loss of close to20 per cent of its skilled workers over thenext nine years due to retirements. Thisdoesn’t include the additional workersrequired just to meet new demand. We’rebeginning to develop strategies needed toaddress this issue. We’ve identified wherethe construction “hot spots” are going tobe, when the market will tighten and whichtrades will be impacted. The U.S. willneed to do the same.

The CSC works closely with itsstakeholders (owners, contractors, laborgroups, government and training providers)to develop forecasts that reflect regionalrealities. The industry takes ownership ofthe forecast and works with the CSC toensure it meets their needs. That is the keyto the success of the forecast tool.Developing it from the ground up withpractical hands on involvement through anetwork of national and regional industrycommittees ensures the information isdeveloped in a consistent manner andbrings life to the numbers.

The foundation of the forecast is anunderstanding of the major constructionprojects planned, the timing of thoseprojects, and the trades that will berequired and when they will be needed.Industry is the source of this detail. Gettingthis detail is a challenge but the CSC isworking with its owner community to raiseawareness of the importance of sharing

this information and the value this brings tothe accuracy of the forecast. And it isworking.

The value of this type of information issignificant. It could enable the UnitedStates to:• More accurately assess risk when

planning new construction projects;• Target training programs in sufficient

time to create the skilled workersrequired;

• Influence government policy byproviding data on workforce issues;and

• Turn up and turn down our recruitmentefforts to match need.

We would be happy to share our workwith organizations in the United States.This is a global issue and we can learnfrom each other. We’ve been talking to theAustralia Construction Industry Forum (ACIF)and they are working on the same issues.We now have an agreement to share ourwork and are considering the possibility ofjoint labor market information initiatives.

Canada’s construction industry knowswhat the future is going to bring. OurAmerican counterparts can learn a lotfrom our experiences. ●


BA

CK

AT Y

OU

What do our constructionlabor requirements look like

over the next decade?

What do our constructionlabor requirements look like

over the next decade?

For more information:Construction Forecasts: www.constructionforecasts.ca

Construction Sector Council:www.csc-ca.org

Look Up (North) For Labor Answers

Look Up (North) For Labor Answers

By George Gritziotis,Executive Director,Construction Sector Council

Buyer’s G

uide


ASSOCIATIONS/INSTITUTESAmerican Institute of Architects (AIA). . . . . . . . . . . . . . . 8

American Institute of Steel Construction (AISC) . . . . . . . . . . . 14

Associated Builders & Contractors (ABC). . . . . . . . . . . . . 5

Association for the Advancement of Cost Engineering (AACE) International. . . . . . . . . . . . . . . . 44

National Association of Women in Construction (NAWIC). . . . . . . . . 77

The Association of Union Constructors (TAUC) . . . . . . . . . . 48

The Mechanical Allied Crafts Council (MAC). . . . . . . . . . . 40, 41

CONSTRUCTION CONTRACTINGSERVICESAker Kvaerner Songer Inc. . . . . . . . 30Alberici Group Inc. . . . . . . . . . . . . 59Barton Malow . . . . . . . . . . . . . . . 64Black & Veatch. . . . . . . . . . . . . . . 76Cajun Industries LLC . . . . . . . . . . . 38EGIZIL Electric . . . . . . . . . . . . . . . 74Skanska USA. . . . . . . . . . . . . . . . 72Turner Construction Co. . . . . . . . . . . 6

CONCRETE FORMING PRODUCTSMaxam Industries . . . . . . . . . . . . . 58

CONSTRUCTION CONTRACTDOCUMENTSAmerican Institute of Architects (AIA) . . . 8

CONSTRUCTION MANAGEMENT& CLAIMS CONSULTINGBurns & McDonnell . . . . . . . . . . . . 35Hill International . . . . . . . . . . . . . . 16Navigant Consulting . . . . . . . . . . . 50

CONSTRUCTION PAYMENTMANAGEMENT SERVICESTextura LLC. . . . . . . . inside back cover

CONSTRUCTION SERVICESBE&K . . . . . . . . . . . . . . . . . . . . . 66

CONSTRUCTION WEBSITENMAPC International . . . . . . . . . . 46

CONTRACTORS & LABORERSRESOURCES GUIDENW Laborers & Employers Co-Op Fund . . . . . . inside front cover

CRAFT/CONSTRUCTION SKILLSTRAININGNCCER . . . . . . . . . . . . . . . . . . . 27

FALL PROTECTION PRODUCTSMiller Fall Protection . . . . . . . . . . . 25

FIELD TECHNICAL SERVICESGranite Services International . . . . . 23

INDUSTRIAL CONTRACTORSEngineered Companies, Inc.. . . . . . 74The Saxon Group Inc. . . . . . . . . . . 60

INDUSTRIAL MARKET DATABASES& PROMOTIONSIndustrialinfo.com . . . . . . . . . . . . . 72

LABOR MANAGEMENTORGANIZATIONCA Lecet. . . . . . . . . . . . . . . . . . . 43

LABOR MANAGEMENT TRUSTImpact . . . . . . . . . . . . . . . . . . . . . 3

LAW FIRMErnstrom & Dreste LLP. . . . . . . . . . . 78

PORTABLE STORAGE FACILITIES/ASSOCIATIONNational Portable Storage Association . . . . . . . . . . . . . . . . 66

PUBLICATIONSMcGraw Hill . . . . . . . . . . . . . . . . 54

RISK MANAGEMENT &INSURANCEACE Casualty Risk . . . . . . . . . . . . 20AON Construction Services Group . . . . . . . . . . . . . . . . . . . 12

SAFETY PRODUCTSMSA Safety. . . . . . . . . . . . . . . . . 70

SURETY BONDS INCONSTRUCTIONSurety Information Office . . . . . . . . 78

TECHNICAL EVALUATIONSERVICESInternational Code Council. . . . . . . 26

UNIONSBuilding & Construction Trades Department . . . . . . . . . . . . . . . . 32

International Masonry Institute . . . . 37International Union of Painters & Allied Trades (IUP&AT) . . . . . . . . . 62

Liuna / Lecet Trust . . . . . . . . . . . . . 53National Construction Alliance . . . . 10National Electrical Contractors Association (NECA/ IBEW) . . . . . . . . . outside back cover

WEB BASED PROGRAMMANAGEMENT SOFTWAREe-Builder . . . . . . . . . . . . . . . . . . . 67

WOMEN’S CONSTRUCTIONEDUCATION COURSESNAWIC Education Fund/NEF . . . . 77

WORK FORCE CONSULTING/DEVELOPMENTHumaneering International Inc. . . . . 72International Brotherhood of Boilermakers . . . . . . . . . . . . . . 4


Buy

er’s

Gui

de

VOICE - CURTmail.curt.org/pdf/Voice-fall07.pdf · 2007. 12. 4. · The Construction Users Roundtable 7 TABLE OF CONTENTS CURT LEADERS: 9 Ricardo Aparicio, Esq., CURT President 11

Documents