I’ve heard it all before: “Coach, why is everything such an issue with you?” Or, “Why make such a big deal over it?” Of course, Coach has a short answer: It’s developing in your company a winning mindset. In other words, we expect to win. Successful teams practice this belief, whether in an athletic contest or as gladiators in the arena of business.
So, it’s time to review our strategy, as it has been taught for the preceding chapters. Let’s nail this down, because we don’t want to let this one get away from us.
It’s not that we don’t want to be seen by our clients as good guys. Not at all. We want our clients to know that we are professional and fair, that we are good at what we do, and that what we have contracted for will be provided on time and according to industry standards or better. But we also want our clients to remember that our bid only includes the items clearly spelled out in our contract documents. And we want our clients to learn this early in the project. That way, they will be less inclined to ask us for free stuff. Oh, they may ask the other contractors on the job for free stuff, but they won’t be asking us, because they wouldn’t dream of asking a professional to do things for free.
“I let my racket do the talking. That’s what I am all about, really. I just go out and win tennis matches.” Pete Sampras
They might ask for a favor once in a while, and we might grant some requests, but the granting of requests is on our terms, because we are professionals, and we deal from a position of strength and knowledge. This is the position we strive for, and it is effective.
This is also why, the first time an issue comes up, that we jump all over it with an RFI. We establish, early on, our credibility, and demonstrate our knowledge of the project. The client soon realizes that we will not normally volunteer to do things for free.
Coach’s Tip. Clearly spell out, as often as you can in your proposals and contracts, exactly what is/is not included in your scope of work. And when your bid is for doing all of your work according to “plans and specs”, then your approach needs to be something like, “If it’s not clearly shown or called out in the bid docs, then it is clearly not in our scope of work.” Write your RFI. This mindset will move the issue your way more often than you think!
Part and parcel of this winning mindset is our ability to follow up and press for answers on out-of-scope work. That’s why our RFIs are generated almost instantly. At the very least, we strive to send out an RFI the same day that a possible out-of-scope issue is raised.
“All right Mister, let me tell you what winning means…you’re willing to go longer, work harder, give more than anyone else.” Vince Lombardi
Pop quiz
Quick–what’s the procedure for identifying, tracking and being paid for changes? Uncertain? Then be sure and bookmark this page, because it represents solid gold to you and your company. To help make sure that you capture this, here’s your very own “playbook” for doing exactly that:
1. Our default position is that “it’s not included!”
2. When any possible out-of-scope work arises, our foremen call the PM-before they do anything else.
3. PM writes and sends an RFI, asking the question, “How do you want us to proceed?”
4. Remember–RFIs are preferable to letters, because they indicate when an answer is required; the clock is running.
5. Each issue demands a separate RFI, even if the issues are somewhat related.
6. PM waits until receiving written direction from client. PM never, ever, ever proceeds without this!
7. Client’s response to an RFI will either confirm that there is extra work for us to do, or there is not.
8. Once PM receives written direction, PM will create an issue number and advise foreman to proceed.
9. Every issue stands alone; each issue has a unique number.
10. Work being performed on issue numbers is carefully monitored by foreman, because foreman is either going to be adding money to his project budget, or foreman will be managing a phase of work for which he has a “negative” budget, and will do his best to minimize it.
11. By using issues, foreman will not have to adulterate his job costs to code items not included in estimate. He will even ask PM for issue number to track “bid miss” items-work not picked up on the original estimate.
12. Foreman will track every issue separately.
13. Don’t foreget–it takes less total time to set up the issue properly when it first arises; don’t just do part of it quickly this moment, and hope to add to it later-you’ll pay for it!
14. Once PM has received an RFI response from client, directing PM to proceed with the work, PM will begin asking client for a change order. Normally, PMs are not able to bill for extra work until they have already received a change order, so this is critical. Get it and bill it!
“If you don’t try to win, you might as well hold the Olympics in somebody’s back yard. The thrill of competing carries with it the thrill of a gold medal. One wants to win to prove himself the best.” Jesse Owens
This Session summarizes issues in a nuts-and-bolts manner. It’s a good reminder-it is a playbook. But let’s finish up now with an in-depth, advanced, strategy session on why this system is so important to you, your company, and your career.