PM.15 Staffing Problems On Large Construction Projects: Frank F. Moynihan, CCC

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2004 AACE International Transactions

PM.15

Staffing Problems on Large Construction Projects

Frank F. Moynihan, CCC

magine a factory that produces 35 million dollars’ worth been studied to measure productivity, union vs. non-union, skilled

I of a product each year. This factory hires hundreds of


people for production and uses millions of dollars’ worth
of raw material to produce their product. Now imagine
that this factory is in Miami, Florida and runs a successful opera-
tion for three years and at that end of three years, the whole fac-
labor shortages, etc. Research has shown that little has been writ-
ten about the on-site construction administrative staff. “Who are
these people and what do they do?” On a 100 million dollar con-
struction project there may be thirty people who are attached to
the project, who are actually located on the construction site and
tory picks up and moves to Omaha, Nebraska, where it operates do not physically work in the construction of the building. The
successfully for two and a half years and then moves to Allentown, job classifications of these people vary by the type of project they
Pennsylvania. As curious as this sounds, this is exactly what large are on, but they are the people who deal with the tons of paper-
construction sites are like. A product is produced and then the work that is associated with the project. On top of this there might
whole factory moves on. be another 30 people in the field acting as construction supervi-
Construction for the year 2001 is estimated at an adjusted sors. These supervisors are similar to supervisors on the factory
annual rate of $830.5 billion dollars. This is up from $818 billion floor: they are the front line leaders. Their job is to guarantee pro-
for the year 2000. In their book, Staffing Organizations [2] pre- ductivity and the quality of the finished product. They are also in
dict that by the year 2005 the construction industry will employ the field to schedule certain operations and to coordinate between
5.6 million people. Construction projects can be as small as a trades.
home remodeling; they can also be very large. Projects like a com- While the construction and factory positions are similar in
plete new mall or a theme high-rise hotel can run in the hundreds many ways, one very important way they are very different. While
of millions of dollars and can last between 3 and 5 years. Nuclear the factory worker assumes that if he or she does their job well it
power plants can cost over a billion dollars and last over 10 years, will always be there for them, the construction professional knows
and a high-rise hotel like those in Las Vegas can cost between 600 that, much like military life, they will have to make a decision at
million and one billion dollars. Projects such as these might have the end of each project. “Do I pick up and travel to a new con-
an average a cost of 33 million dollars a year can be likened to a struction project somewhere around the world or do I stay in my
company that produces 33 million dollars’ worth of product(s) current location and find a new job?” Many times the construc-
each year. tion project can be in a remote area of the world where finding
A construction project of this size can be compared to a free- another job will not be easy. Often the construction personnel,
standing company in other ways too. There are certain products because they have been willing to move around, actually make
that require manufacturing plants that bring the resources to a more than the local economy can offer. Often the skills that are
particular place to be assembled, for instance ship building. The important to the construction industry aren’t so important in the
product does not go down an assembly line like most factories, but world outside of large construction projects. Many times leaving a
instead the materials, subassemblies and workers are scheduled to position with a large construction outfit means leaving a higher
arrive at a particular spot in the assembly area. salary, health benefits, certain “perks” for traveling, and an envi-
In an orderly fashion their specific tasks are completed, and ronment that the employee is familiar with.
the workers move on. You can, therefore, consider building a large
construction project much like producing a product but once the
assembly is complete the product stays and the factory moves on. JOB CONDITIONS
Not only is the construction site the factory, it is also home/office,
the warehouse and the factory showroom. The following is a list of some physical conditions that apply
Much of what has been written about staffing construction to jobs. This list has been compiled by Heneman, Judge and
projects has been written about what we call field personnel. Heneman in their book Staffing Organizations. Many of these
These are the people who physically build the building, the car- conditions are found on construction projects and both the
penters, electricians and plumbers. These “trades” people have employer and the employee should consider these conditions.

PM.15.1
2004 AACE International Transactions
WORK SETTING computers. Quite often electrical power is hit and miss, when
power lines are cut or turned off to accommodate some construc-
Does the job require the worker to work inside of outside, tion problems.
(and how well is the environment controlled)? If all this isn’t enough, add to the mix long working hours,
Does the employee have any kind of privacy? high stress deadlines, and layoffs between projects. Since money
has to be spent up-front before a building can be built, the soon-
er a project is complete and making money the sooner the loans
WORK ATTIRE can be paid off and the lower the overall cost. This means that
basically a building or project can never be done soon enough. At
How often does the employee wear business clothes, special the beginning and the end of a project all the administrative peo-
uniforms, work clothing, protective or safety clothing? ple are expected to work long hours. Many times long hours are
worked throughout the project. These hours are often stressful
due to cost overruns or schedule slippage. Many things can cause
BODY POSITIONING this, not the least of which is bad weather. Many times the
employee is working himself out of a job at breakneck speed. That
How much time in a usual work period does the worker is, working long tedious hours right up to the project’s completion
spend sitting, standing, climbing, walking, running, and making and then wondering where he will be working tomorrow.
repetitive motions?

STAFFING CONSTRUCTION PROJECTS


ENVIRONMENTAL CONDITIONS
The following is a list of positions in construction administra-
How often during a usual work period is the worker exposed tion that might be found on any large construction project.
to the following conditions? Senior project managers, project managers, and assistant
project managers–these people oversee operations on the con-
• Uncomfortable sounds and noise levels struction site. Much of their work entails coordination between
• Very hot or very cold temperatures sub-contractors and the scheduling of tasks in an order that
• Contaminants ensures the timely completion of the project.
• Poor lighting conditions Field superintendents–most often deal with the smaller
details like day to day problems and the actual layout of work for
the “trades” people. These are the people who keep attendance
JOB HAZARDS records, give safety lectures and settle disputes between sub-con-
tractors.
How often does the job require the worker to be exposed to Administrative managers–manage the functions not directly
the following hazards? related to the fieldwork. These people work in the onsite trailers
and manage the flow of paper. They oversee pay requests from
• radiation sub-contractors, and payroll for company employees. Typically
• diseases they get the building permits, meet with the local officials and act
• infections as a go-between between the field personnel and the local gov-
• high places ernments.
• safety hazards Construction estimators–are concerned with the construc-
tion costs associated with the project. They also handle changes in
Previously, we touched on how sometimes a construction site the work that are either caused by field conditions or changes that
is in a remote area. Sometimes it’s an island in the Caribbean, and the owner initiates.
sometimes it’s in the middle of the cornfields of Nebraska. A place Bookkeepers, accountants–involved with record keeping for
that might seem like a paradise if one were to spend a week there all aspects of the project. These people produce reports that go
becomes just the opposite if you have to spend 2 or 3 years there. back to the home office; they document weather conditions and
Besides the physical location of the project, there is also the tem- manpower in order to assess costs to date.
porary nature of the accommodations to contend with. Quite Schedulers–schedulers use sophisticated software to track job
often the work place can be a poorly lit trailer with dark paneling progress for several reasons. One reason is to make sure the proj-
on the wall, inadequate heating and air conditioning and holes in ect will finish as planned and where more resources need to be
the walls. Workspaces are always cramped. Sometimes the plumb- added if necessary. Just as important is to track where resources
ing is limited to temporary toilets, “Port-A-Johns,” while other (money) have been expended and to compare the actual
times it is indoors but offers a minimum of privacy. resources used to those resources that were estimated. This allows
Construction sites are always dusty during the dry season and for corrections on this job and better insight on the next job.
muddy during the rainy season. The dirt from the field is impos- Material procurement, warehouseman, inventory
sible to keep out of the offices and delicate equipment often fails clerks–their responsibility is the purchasing, receiving, storing,
because of infiltration of dust and dirt. This includes copiers and and distribution of construction materials.
PM.15.2
2004 AACE International Transactions
Document control–the number of “blueprints” necessary to • Become more involved at the community level (visible citi-
build even a relatively simple project is staggering. The document zenship).
control department copies each drawing as it is produced or • Participate in career days in schools.
revised and is responsible for making sure that every trade has ade- • Improve labor/management relationships.
quate copies to do their portion of the work. • Educate guidance counselors about the construction indus-
Payroll clerks–these people are responsible for paying the try.
contractor’s employees and in some cases making sure that the • Provide clean, safe work sites.
subcontractor’s applications for payment are accurate and fair • Increase national advertising on construction career opportu-
before paying them. nities.
Clerical and receptionist–like any other large business there
are many clerical positions that need to be filled. Always have another project coming on line–construction is
Besides these positions there are other positions that will be notorious for being “boom and bust.” People who like the compa-
needed either by the type of work or the client’s requirements. As ny and like what they are doing will still look for another job if
an example, if you should build a building for the federal govern- they sense that they are going to be laid off. Although this is very
ment, you might need a quality control officer, a threshold inspec- difficult, try and schedule work so that there is smooth flow of peo-
tor or a safety officer. ple from one project to another.
Having listed the majority of jobs that may be necessary in Money–people who pull up stakes every few years should be
most construction situations it is now necessary to stress the compensated for their loyalty. Money and benefits are typically
importance of job descriptions. Job descriptions serve many pur- means to keep employees.
poses in the planning and staffing of construction projects. Job Moving and travel arrangements–an employer can make an
descriptions not only tell an employee what tasks they are expect- employee’s transitions from one job to another as smooth as pos-
ed to accomplish, they are also the building blocks of the com- sible. This can include moving expenses, time off as necessary,
plete human resources procedure [1]. arranging for housing, information about schools, etc.
Creating good job descriptions is a time consuming task, but Supply your personnel with the necessary equipment to do
the job descriptions can be used companywide and will help in their jobs. Historically the construction industry has been slow to
many other ways. Good job descriptions are the result of proper adopt new technology. Employees should be furnished with com-
job analysis and are an outgrowth of experience, formal training puters, cell phones, etc., so that they can be the most productive.
and job requirement matrices. Along the same lines job reward Sometimes it may be necessary to review a job site’s equipment to
matrices are an important tool for use in finding and keeping good ensure that it is up to date. It may be a good idea to survey employ-
people. Job rewards include extrinsic and intrinsic rewards. Many ees and find out what they feel would make them more produc-
people in construction administration work for more reasons than tive in their jobs.
pay and benefits. Some items that might appear on a rewards Sometimes, it becomes necessary to hire people for a project.
matrix might include: Starting Salary–Pay raises–Bonuses. This occurs when there is a shortage of in-house personnel, or
where the cost to move in-house personnel is prohibitive.
Remember, in-house personnel require salary as well as housing
The Nature of the Work–Pride in Seeing the Finished Product allowances, per diem, travel and moving expenses, etc. If avail-
–The Travel able, skilled local people can quite possibly be less expensive than
From an employer’s standpoint, getting and keeping good long term employees.
administrative help and field supervision to work on construction Some sources for finding new employees are as follows.
projects is a difficult task, especially during times of low unem- Present employees–many times present employees are a
ployment. Years ago the construction trades were thought of as a valuable source for finding new hires. Satisfied employees can
good honest way to make a living. Today they are not “high-tech” spread the news that they have good jobs and are well treated.
enough to be glamorous, and they also require hard work outside Many times current employees will recruit their friends and fam-
in the elements. During previous decades the construction indus- ily in order to make the workplace more congenial. Beware that
try attracted a large portion or its workers by being a dynamic, only hiring people recommended by current employees tends to
mobile industry that provided its employees with an opportunity make your workforces less diverse.
to move around the country and in some cases the world. Today Advertisements–one of the oldest and best ways to find new
new entrants into the workforce are looking more for stability and talent. Advertising reaches the whole community at one time.
security than mobility [3]. An employer must ask, “How can I get Keep in mind that print advertising should be divided among a
and maintain good people with all the conditions I have put on few sources to ensure diversity:
their employment?”
The following are keys to keeping good people. • Private employment agencies.
Improve the overall image of construction work–this will help • Educational institutions
existing employees decide to stay in the industry and encourage • Government agencies.
new talented people to join the industry. Some ways to improve • The Internet.
the image of the construction industry include:
Problems arise with hiring people for a project that will only
last for a limited time. New hires might not be loyal if they know
PM.15.3
2004 AACE International Transactions
that they will be terminated at the end of the project. Quite often Basically, the obvious conclusion is that the construction
they look for and find new jobs the final month of the construc- industry operates differently that most other industries. This being
tion project. Often this is when they are needed the most. said, many if not all of the same rules, procedures, etc., apply
Often new hires will not have the constructions skills that are because you are still dealing with people and regardless of the type
needed and will have to be trained in construction practices, of job a person does, he/she has certain wants and needs that must
(work training) and be made aware of company policies, (orienta- be filled.
tion), etc. This training is an expense to the employer and often
there is little time allotted for training. A practical training pro-
gram answers the following questions: REFERENCES

• Who determines the project’s training needs? 1. Grant. P.C. (Dec. 1997). Job Descriptions: What’s Missing.
• Who initiates the training? Industrial Management. Online.
• Who does the training? http://web2.infortrac.gale.../purl+rcl_GBFM_0_A20390230
• What tools are needed for training? &dyn=17!ar_fmt?sw_aep=troy_mai.
2. Heneman, G.H., Judge, T.A., and Heneman, R.L. (2000).
Some solutions to hiring temporary employees might be hir- Staffing Organizations. Middletown, WI: Irwin-McGraw
ing temporary help, or “temps” from “temp” agencies. Agencies Hill.
can supply people with all kinds of skills, not just clerical. In fact 3. Yates, J.K. (July 93). Construction Workforce in the Year 2000.
a quick search on the Internet under “construction staffing” will Cost Engineering. AACE International.
show you just how many companies out here want to supply you
with construction help, (See typical website under exhibits).
There are companies that will furnish trades people and compa- Frank F. Moynihan, CCC
nies that will furnish administrative people too. Project Controls/Management
Another method that has many benefits is hiring local college 886 South Dillard Street
students to intern. Many colleges have construction technology Winter Garden, FL 34787
programs and will set you up with third and fourth year students E-mail: fmoynihan@pcmconsultants.com
who are anxious to receive some field experience.

s stated previously, the problems associated with

A administrative staffing on large construction projects


will never be an “earth shaking” crisis in the world of
human resources management. There just aren’t
enough administrative people on enough large construction proj-
ects to make “front-page news.”
That being said, many solutions devised for one specific loca-
tion, industry or situation can carry over to construction and many
means and methods used in the construction industry can be
applied elsewhere.
By examining typical construction problems and making sug-
gestions for remedies, we haven’t really covered any new ground
today. The following steps, which we have applied, can be and
have been applied to staffing problems for many years:
Pre-plan: expect problems to arise and have contingency
plans.
Procedures: look to the past and to the future and do your best
to ascertain what things might go wrong. First, write down what
might be necessary to avert the problem. Second, write down a
procedure to correct it.
Pay attention to recruiting, hiring, and selection of personnel.
The right people in the right jobs keep employees happy and pro-
ductive.
Schedule: it is very common to load a construction project
with regard to tradesmen, but it is possible to try and determine
what administrative staffing will be needed for a given period of
time. People what to know that they will be working in the future.
Communicate: being open with the staff about job duration,
etc. is very important.
PM.15.4

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