The History of Job Order Contracting – BEST VALUE CONSTRUCTION

The History of Job Order Contracting

BEST VALUE CONSTRUCTION

Early 1980’s – U.S. Military Academy, West Point, facility engineers realized the disadvantages of the design-bid-build construction delivery system, and implemented an a new indefinite delivery- indefinite quantity (IDIQ) facility maintenance contract which was first used by the Supreme Headquarters Allied Powers Europe (SHAPE) in Belgium.

West Point managed to accomplish the following:

  1. Minimized the response time for facility construction.
  2. Reduced the workload on in-house design staff.
  3. Enhanced quality control.
  4. Lowered the contract administration costs.
  5. Reduced construction costs.
  6. Reduced the backlog of maintenance and repair.

[1999, Journal of Construction Education, Development of the Job Order Contracting (JOC) Process for the 21st Century, Dean T. Kashiwagi and Ziad Al Sharmani, Arizona State University, Tempe, Arizona]

Timeline (please comment and suggest additions and/or modifications)

1981  -“ Existing in federal procurement since 1981, and only recently making its way down to state and municipal levels, Indefinite Delivery (ID) contracting is a procurement mechanism designed to streamline the competitive bidding process for governmental owners. Invented by the Department of Defense for use by the North Atlantic Treaty Organization, ID contracts have been used routinely and effectively by the DOD for installation maintenance, minor repair, and construction projects since its inception in 1981.” “Whether classified as an ID, JOC, or TOC contract, each shares certain similarities.” (2006, IDIQ Contracts, Denise Farris | March 30, 2006 | Construction)

1985 – West Point Academy

1986 – Air Force bases – SABER

1987 – Navy JOC

1988 – JOC  Implemented Army-wide (1997 – Improving the Army’s Job Order Contracting ProgramCE704R1, September 1997, Jordan W. Cassell, Linda T. Gilday)

1988 – When job order contracting was first developed in 1988, MCACES was the only estimating system available to JOC users. Since that time, the JOC concept has changed somewhat; contracting officers now have a choice of estimating systems. Current Army policy requires that all Army installations use the MCACES UPB as the estimating system under JOC. The Air Force uses the R.S. Means estimating system. The Navy uses both the R.S. Means and the MCACES UPB estimating systems.  (Improving the Army’s Job Order Contracting Program CE704R1 September 1997)

1990 – U.S. Navy publishes Job Order Contracting P068B, September 1990

1992 – Assistant Secretary of the Army for Installations, Logistics, and Environment, and the Assistant Secretary of the Army for Research, Development, and Acquisition establish a Job Order Contracting Steering Committee to develop recommendations for policies, guidance, procedures, and training for the U.S . Army JOC Program

1995 – Army’s JOC policy manual, Job Order Contracting Guide, is published.

1996 – U.S. Army’s Center for Public Works (USACPW) Humphreys Engineer Center published the Job Order Contracting Directory (October 1996), and  supports a telephone hotline for JOC installations through a private contractor, U.S. Cost, Inc., and publishes a newsletter called “JOCkey”.

Four BT Awarded JOC Consulting/Training Contract by ESC19 / Allied States Cooperative

ESC Region 19 Allied States Cooperative Awards Four BT Job Order Contract Consulting

Nationwide innovative cooperative selects Four BT, LLC to provide Job Order Contracting Services to its membership.
Job Order Contracting, The LEAN Contruction Delivery Process
Job Order Contracting, The LEAN Contruction Delivery Process
DALLASSept. 23, 2016PRLogFour BT, LLC awarded nationwide contract for Job Order Contracting Consulting by ESC Region 19 Allied States Cooperative


The ESC19/Allied States award, one of several anticipated, validates that there is an industry need for lower cost, best value, solutions for developing/managing high performance Job Order Contracts.
— Mark Powell, President, Four BT, LLC

Four BT, LLC today (4BT) announces winning an  nationwide contract award for Job Order Contract Consulting Services.  from Education Service Center Region 19 – Allied States Cooperative (ESC19/Allied States).

Total estimated award value to awarded vendors is approximately $3,000,000.  The date of the award was July 14, 2016 it extends through July 31, 2017, with the option to extend in one year increments annually for an additional four (4) years if agreed to by ESC19/ASC and Four BT, LLC.Services to be provided by Four BT, LLC include
• Staff Development
•  Job Order Contracting Program Set Up & Support
•  JOC (https://www.4BT.us/) Program Audits
•  JOC Estimating Services• Independent Government Estimating (IGE)
•  3rd Party Independent Estimating Auditing Services• Budget Collaboration Reviews
•  Training for JOC
•  JOC Estimating Software (https://www.4BT.us/joc-software) for contract compliance and transparency
Four BT, LLC a veteran-owned small business – recently formed by industry thought leaders in the production of cost data, LEAN collaborative construction delivery methods, and cloud-based software – announced today the first of several pending awards.
Four BT, LCC combines its exclusive and uniquely powerful localized construction cost data, knowledge of Job Order Contracting and Building in Cloud technology platform to enable Owners, Contractors, Subcontractors, and Cooperatives to more efficiently deploy, execute, and manage the numerous renovation, repair, and maintenance projects that make up the bulk of global construction spending.

We are pleased to partner with an innovative leader such as the ESC19/Allied States Cooperative, and to have the opportunity jointly drive enhanced productivity and cost reduction for its real property owners and contractors” – Mark Powell, President of Four BT, LLC.

About Four BT, LLC
Four BT, LLC (www.4BT.US) is a veteran-owned small business exclusively focused upon Job Order Contracting and current, independent, and verifiable construction data, software and services.
From initial concept, through procurement to construction and ongoing maintenance and operations, Four BT’s dynamic and open approach to providing efficient and effective best management practices, training, products and services drive efficiency, cost savings and increased quality.
The principles formerly demonstrated their knowledge, capabilities, and innovation at companies such as The RSMeans Company, LLC, 4Clicks Solutions, LLC, VFA, Inc., and The JOC Group, and consider professional service and long lasting collaboration a priority.
The abilities of the Four BT team helps Owners and Contractors to better manage information and costs for renovation, repair construction projects.
About ESC-Region 19 Purchasing (Allied States Cooperative)The ESC-Region 19 Purchasing (Allied States Cooperative) is a national governmental purchasing cooperative which competitively bids and awards contracts to local, regional, and national vendors in compliance with local, state, and federal procurement laws and regulations.
The ESC-Region 19 Purchasing (Allied States Cooperative) contracts are available to public schools, charter schools, private schools, community colleges, universities, cities, counties, other governmental agencies, and non-profits.Members deal directly with awarded vendors who can provide goods and/or services. The savings for members are realized through dealing with vendors who have been evaluated and verified to provide a quality product or service at a competitively bid price in compliance with bidding requirements.
http://www.alliedstatescooperative.com
Contact
Peter Cholakis
972.663.9476
www.4BT.US
info@4BT.US

A Fresh Approach to Efficient Construction Delivery

A Fresh Approach to Efficient Construction Delivery

The capture of integrated knowledge in an organized way should drive planning. 

-Alvin Toffler, Author

 

 

  1. Focus upon Outcomes
  2. Revamp talent recruitment and development with a focus upon building collaboration, leadership, and overall life-cycle management competencies.
  3. Engage in ongoing education and training
  4. Mandate collaborative LEAN construction management processes and methods.
  5. Use hard and soft key performance indicators (KPIs) and alternative metrics.  Management is only possible with measurement.
  6. Adopt technology that supports efficient and dynamic collaborative processes.
  7. Leverage common terms, definitions, and data architectures.
  8. Require full financial transparency.
  9. Develop long term relationships.
  10. As an Owner, engage in LEADERSHIP, however, not in excessive management and control, and encourage critical thinking.

ASSET LIFE-CYCLE MODEL – Total Cost of Ownership Management

JOB ORDER CONTRACTING – Overview & Best Management Practices – Job Order Contracting White Paper 2016801

COLLABORATION IN CONSTRUCTION – IPD, JOC – Collaboration In Construction-White Paper

INTEGRATED PROJECT DELIVERY – for Public and Private Owners – Integrated_Project_Delivery_for_Owners_

THE HISTORY OF JOB ORDER CONTRACTING – The LEAN Construction Delivery Method

Job Order Contracting – A Procurement Success Story, 1998

Why BIM Will Not SucceedLack of Competency in LEAN Integrated Construction Project Delivery

Job Order Contracting – Lean Construction History

The History of Job Order Contracting

The  LEAN Integrated Construction Project Delivery Method

 Job Order contracting

The United States Department of the Army is attributed with initially developing and deploying Job Order Contracting during the early 1980s.  It did so in response to a growing need for increasing and unsupportable demands for construction throughout Europe.  Traditional design-bid-build (DBB) construction delivery was too inefficient for the large numbers of renovation, repair, and sustainment/maintenance projects.  Associated delays were negatively impacting the Army’s mission.

An initial process framework was put in place that would subsequently be improved to become what we now know as Job Order Contracting, JOC.  It was designed to shorten procurement and overall project delivery times while also maintaining quality.

Since the initial European implementations, JOC was further developed and validated by the U.S. Department of Defense: West Point Academy  in 1985, and United States Air Force bases in 1986.  The United States Air Force (USAF) has since gone to become one of the largest, and perhaps most refined, user of Job Order Contracting to this day.  Job Order Contracting goes under the name of  SABER in the USAF.

JOC use significantly expanded during the 1990’s, and companies like 4Clicks Solutions, LLC filled the need for dedicated JOC software solutions and JOC training programs to support lower cost and more consistent deployment of Job Order Contracting.  Cost data from the RSMeans Company, LLC was used primarily in support of Federal Government JOC / SABER programs.

Non-DOD Federal Government entities also began to adopt Job Order Contracting, and continue to do so to this day.  Examples include the Department of Interior, General Services Administration / Public Building Services, Federal Aviation Administration, National Institute of Health, National Parks Service, United States Post Office, and the Veterans Administration.

Subsequently State, County, and Local Governments, Transportation, Education, and Healthcare entities began to use Job Order Contracting.   The later are relatively new to JOC and are learning to improve their implementation and deployment of this LEAN construction delivery method.

job order contractingjob order contracting airforce-150x150 army-150x150

Research, surveys, and case studies validate the benefits of Job Order Contracts and/or Job Order Contracts versus traditional construction delivery methods.   Though they highlight that JOC Programs must be implemented properly: in an objective, transparent manner, and based upon LEAN best management practices and managed by competent Owners.

Annual performance research studies have been performed by various groups, including Arizona State University and the Center for Job Order Contracting Excellence – CJE, between 1994 and 1998, and most recently in 2015.    The 2015 survey noted that 95% of Real Property Owners were satisfied with Job Order Contracting and 85% clearly indicated its benefits versus other methods.

In addition, multiple independent Audits of Job Order Contracts have been performed by Federal and State Governments.

Lessons Learned

  • As an Owner
  • JOC Requires Culture Change and Culture Change Takes WORK
  • Collaboration Can Be Learned
  • Owners MUST demonstrate LEADERSHIP and COMPETENCY
  • Have a Clear Chain of Command, however LEAD without Excessive Management and Control
  • Be Clear on Your Objective(s)
  • Have A Joint Owner / Consultant /Contractor Advisory Team
  • Get Stakeholders to Your Partnering Workshops
  • Make Partnering a Top Performance Objective for Senior,Middle Management, and Staff
  • Make Leadership and Change Management a PRIORITY
  • Integrate Partnering Into a Dispute Resolution System
  • Making Partnering Mandatory
  • Develop a Clear Framework for Your Partnering Program
  • Incorporate the Partnering Program into the Contract, Operation/Execution Manuals, Marketing, etc.
  • Offer Initial and Ongoing Training in How to Implement the JOC Program and Partnering Skills
  • Continuous Work to Align Internal and External Organizational Units
  • Develop and Understand that JOC is LONG TERM RELATIONSHIP
  • Identify Policies and Practices that Don’t Support Collaboration and Eliminate Accordingly
    Use Your Facilitators to Help Implement Your JOC Program
  • Capture Lessons Learned and Use Them to Take Your Next JOC Program to the Next Level
  • Understand That You Can’t Just Hold a Partnering Workshop
  • Develop and Monitor Key Performance Metrics, KPIs, What Gets Measured Improves

job order contracting history

  • Share Rewards and Risk
  • Base Reward Upon Performance
  • Drive Decision Making Down to the Project Level and Encourage Comments/Suggestions
  • Don’t Let Project Issues Sit Remain Idle, Use The Dispute Resolution Processes
  • Weekly Meetings and Site Visits  Are an Important Part of Your Partnering Effort
  • Hold a Lessons Learned Workshop at Close Out
  • JOC Programs and JOC Projects Succeed When The TEAM Commits to Success

More About Job Order Contracting / JOC

Job Order Contracting (JOC), a competitively bid, firm-fixed price, Indefinite Delivery Indefinite Quantity (IDIQ) delivery system, is a LEAN construction method and a form of Integrated Project Delivery (IPD).

A real property owner (building or other forms of physical infrastructure) establishes a contractor to multi-year contract and relationship with a contractor partnership.  (Note: In recent history JOC has also been provided as a service by a third party administrator.  In this relationship, the service party should NOT be involved in approving JOC construction projects if they are receiving a fee based upon total JOC construction volume.  This practice has been viewed as a conflict of interest and one which can lead to fraud.)

The specific Job Order Contract determines a unit price book (UPB) that has a number of unit price line items complete with descriptions and labor, material and equipment costs.  The number of unit price line item varies, however, generally includes approximately 40,000 line items.   Most JOCs actually use significantly fewer line items in actual practice.  The important factor is that the UPB contain at least 90% of the items common used for the associated JOC.

The cost of a JOC project, also referred to as a Job Order (JO) or Task Order (TO) be determined by creating a detailed line item unit price estimate for the associated Statement of Work (SOW) provided by the Owner.   The total of the estimate is then multiplied by a coefficient.  The coefficient is a factor that generally ranges from 0.80 to 1.20 is intended to include contractor overhead, profit and any items that reflect the contractor and/or site and/or requirements.   A UPB is typically updated annually, and may also be updated quarterly via an economic index/factor.

An example of a work flow involved in a Job Order or Task Order is shown below.

history of Job Order Contracting

Job Order Contracts should include a minimum and total estimated maximum volume for each year and for the term.  The duration is for one year, plus up to four option years.  Contractors are generally awarded a JOC bases upon their coefficient and historical track record of performance.  In it’s truest form, JOC procurement should be best upon BEST VALUE.  Design work for most JOC projects is minimal, however, if required it is the responsibility of the awarded JOC contractor.

Competency and leadership a REQUIREMENTS on the part of the Owner in order to have a successful JOC.   Thus education and ongoing training are key components to JOC program success. Contractors also must participate in initial and ongoing training.

BIM Life-cycle Management Competency, Common Terms, and Change Management

When properly designed and executed, Job Order Contracting delivers a significantly higher percentage of construction project on-time, on-budget, and to the satisfaction of all stakeholders and participants versus “traditional” project delivery methods including design-bid-build, design-build, CM@R, etc.  Overall procurement and project delivery times are also significantly expedited using JOC.

References:

JOB ORDER CONTRACTING: A PROCUREMENT SUCCESS STORY, Report AR713R1  February 1988

White Papers:

JOB ORDER CONTRACTING – Overview & Best Management Practices – Job Order Contracting White Paper 2016801

COLLABORATION IN CONSTRUCTION – IPD, JOC – Collaboration In Construction-White Paper

INTEGRATED PROJECT DELIVERY – for Public and Private Owners – Integrated_Project_Delivery_for_Owners_

via Four BT, LLC – WWW.4BT.US

 

BIM Life-cycle Management Competency, Common Terms, and Change Management

BIM Life-cycle Management Competency, Common Terms, and Change Management

Forget 3D visualization, Life-cycle Management Competency and Common Terms are the most critical aspects to achieving efficient renovation, repair, maintenance, sustainability, and new construction of the built environment.

 

Life-cycle Management of the Built Environment  & LEAN Construction Delivery

Total Cost of Ownership Asset Management

LEAN Collaborative Construction Delivery

 

Common Glossary – Terms – Data Architecture

IFC Learn more…

OMNICLASS  Learn More…

Classification Criticality – Architecture, Engineering, Construction, & Life-cycle Facility Management – A Draft White Paper

 

BIM Life-cycle Management Competency, Common Terms, and Change Management

Reducing the Major Risks Associated with Public Sector Construction

Reducing the Major Risks Associated with Public Sector Construction

 

Public sector construction faces inherently more major concerns and sources of potential litigation than in the private sector.  Even within the public sector, the more “political” the building use, the higher the likelihood for issues.   K-12 seems to be the most problematic “battleground”, though the following concerns are likely shared by all public institutions:

  • Lack of public support
  • Lack of confidence
  • Lack of transparency
  • Lack of trust.
  • Non-compliance with regulations, statues, policies and/or procedures.
  • Lack of the ability to obtain timely and cost effective, BEST VALUE construction services

These concerns plague construction all all stages, but are particularly pronounced during budgeting, procurement, and construction.

Public outcry, litigation, and poor reviews from independent audits, while far from uncommon can be mitigated through higher levels of demonstrated competency, communication, and collaboration on the part of public sector real property owners, administrators, and real property owners.

Job Order Contracting, if designed, implemented, and managed properly by competent public sector real property owners and facility managers provides the highest chances for providing BEST VALUE, TRANSPARENCY, and COMPLIANCE.

public sector construction risk reduction

LEADERSHIP with respect to CHANGE MANAGEMENT, and overall physical asset total-cost-of-ownership management competency are the most important requirements to achieving efficient life-cycle management of the built environment.

More specifically LEAN Collaborative Construction Delivery …
•Shared Risk/Reward
•Mutual Trust/Respect
•Long Term Perspective (Costs and Relationships)
•Global Oversight while Leveraging Local Expertise
•Leadership with Excessive Management and Control
•Auditable Processes
•Continuous Improvement
•Reliable Localized Cost Information
•Compliance
•Ongoing Training, Education, & Certification

Learn more…

Enabling Job Order Contracting Through Training and LEAN Methods

Enabling Job Order Contracting Through Training and LEAN Methods

While Job Order Contracting has been used for decades and can drive significantly improved construction delivery productivity and higher quality, it must be deployed by skilled Owners and Contractors to achieved maximum benefit.

In order  reduce costs and add long-term value Job Order Contracts must be developed and implemented objectively and transparently.

Job Order Contracting was designed to provide collaboration and benefit to both Owners and Contractors, unfortunately many implementations of JOC have changed the rules of engagement to specifically benefit Owners or Third Party JOC Administrators / JOC Consultants.   The net results is that Contractors face excessive fees and Owners achievements are questionable.

Job Order Contracts should focus upon process, ongoing training, and assuring that collaboration, transparency, and objectivity are maintained.

Furthermore, construction cost data used for the JOC Unit Price Book should accurately reflects local conditions and practices.  While cost data from the RSMeans Company, LLC traditionally has been used for the majority of Job Order Contracts and has been seen as an independent, objective resource for construction cost data, the later has changed due its recent acquisition.

If you are an Owner considering a new Job Order Contract it is critical to understand the current state of the market and the dynamics of change with respect to culture, fairness, competition, a and shifts in the industry.

  • Assure your JOC uses your current/required construction specifications, not those from an alternative source.  Technical specifications for your JOC should NOT be different from your current requirements.
  • Research how your JOC affects legal liability and assure it is, and remains in compliance
  • JOC contractual provisions must support the JOC process.  A JOC Operations Manual or JOC execution Manual should be a part of the final contract.
  • The JOC must clearly state all obligations, expectations, timelines, deliverables, and workflows from project concept through execution and warranty period.
  • Software and construction cost data should support the JOC process.  Accurate, current, and easily accessible information is fundamental to the ability of JOC project team members to meet their contractual obligations in a collaborative manner.  Contract, project, estimate, and document management represent basic areas of functionality.
  • The role of the JOC Program Manager must be independent and authority must exclusively project approval authority must exclusively reside with the Owner.
  • Direct Owner involvement in scope of work development, initial site visits, and progress inspections is required.
  • Owners must review ALL JOC estimates, and furthermore create their own internal estimates for projects of a certain size or higher.  In general, the responsibility for JOC program oversight, review, and compliance resides exclusively with the Owner.

Any JOC should maintain an mutually beneficial relationship between Owners and Contractors. Construction cost data must reflect local conditions and practices.   JOC management must be via competent Owners.  Under no circumstances should a consultant or third party approve JOC construction projects an associated fee based upon construction volume.

Ongoing training, monitoring, and professional development must be mandatory for all JOC participants, including engineering, procurement/purchasing on owner side, as well as all contractors and subs. Technology should used to support robust, proven LEAN JOC practices, enable quantitative metrics, and lower the cost of program deployment.

It’s time to get Job Order Contracts and Job Order Contracting back to its original goals…. delivering more projects on-time, on-budget, and to the satisfaction of ALL participants and stakeholders.

 

 

joc program management services

www.4BT.US

Davis Bacon versus Prevailing Wage Rates & Construction

Davis Bacon and Prevailing Wages & Construction

Federal Davis Bacon law mandates payment of locally prevailing wages on projects funded by the federal government.  While some argue that Davis-Bacon wage rates cause higher total costs, this is false. Properly administered renovation, repair, maintenance, sustainability, and new construction projects that pays reasonable prevailing wage rates produce a higher percentage (greater then 90%) of project on-time and on-budget, and with higher overall satisfaction levels for project participants and benefactors (building users).

“Properly administered” construction projects are those that practice LEAN Collaborative Construction Delivery Methods such as Integrated Project Delivery, IPD (for major new construction), and Job Order Contracting, JOC (for renovation, repair, maintenance, sustainability, and minor new construction).

Many states also have prevailing wage mandates.

 

 

Repealing such laws hurts taxpayers and workers. After Kansas’ prevailing wage law was repealed, wages fell 11 percent, training programs declined 38 percent, job site injuries rose 19 percent and employer contributions to pensions fell 17 percent. – Study prepared for the State of Kansas.

Highway construction costs are actually higher when workers are paid less.  The cost to build a mile of highway in high-wage states compared with low wage states was, less per mile less due to higher productivity. – Federal Highway Administration data by the Construction Labor Research Council

Potential savings from wage cuts are outweighed by the loss of income to communities. The annual cost of repealing a prevailing wage law resulted in an estimated at $123 million in lost income and a net tax revenue loss of $6.8 million and a state of low of income of $318 million to $384 million. – Wisconsin & Missouri Studies

Cost overruns are more likely without prevailing wage laws. A repeal of a state prevailing wage law was followed by a tripling of cost overruns, which was attributed to lower productivity and a less skilled workforce – State of Utah

Davis Bacon Prevailing Wage Surveys

The U.S. Department of Labor (DOL) conducts wage surveys and determines the local prevailing wages.  DOL collects project wage data and then determines the prevailing rates for each construction classification in each county and publishes the rates at www.wdol.gov.

U.S. Congress and Davis Bacon

Despite the above  “anti-worker” groups and/or lobbyists continue to remove Congress to remove federal Davis Bacon protections and block the use of project labor agreements (PLAs) on federal construction projects.

via www.4BT.US – Efficient construction project delivery, unit prices books, training, services, and technology.

LOD – Level of Development – buildingSmart – BimFORUM

LOD – Level of Development buildingSmart International

The Level of Development (LOD) Specification is supposed to provide clarity and reliability with respect t0 Building Information Models (BIM/BIMs).
On the good side, CSI UNIFORMAT II is used as a means of organization.  LOD is intended to define characteristics for building systems relative to BIM elements. In theory, the goal of the LOD specification is to clarify what BIM “models”  can be used for and their associated limitations, for both current and future users.
The issue, once again, is the lack of focus upon business processes and efficient collaborative construction delivery and required asset life-cycle modeling competencies.  There is little use for
“standards” if they sit in isolation.
Any discussion, use, or development of LOD must be within the context of a BIM execution plan and/or BIM Operating Manual.
Most importantly, the initial and excessive focus upon 3D visualization (QTO, 3D coordination, and 3D control and planning, is once again “off the mark”.  LOD should have a sound foundation in asset life-cycle modeling and LEAN construction delivery, as well as all associated competencies.
Perhaps, when Architects, Engineers, Contractors, Owners, and Business Product Manufactures actually collaborate BIM will actually gain measurable traction towards its true purpose.

job order contractingAsset Competency ModelJOC Resources

 

 

 

UniFormatTM published by CSI and Construction Specifications Canada (CSC), and are used with permission from CSI.   The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

Job Order Contracting – K12: The Center for Job Order Contracting -SW Chapter & ASBO 2016

 

Apparently some schools districts were in an “uproar” about a JOC presentation – “Do the Procurement Numbers Help your
Super Powers? By Rebekah Morris, AZBEX at the ASBO Summer Conference 2016.    It would appear that there is some very useful information, your thoughts?

Job Order Contract – Frequently Asked Questions

1. What is a typical JOC scope of work.

Job Order Contracts are used for a wide variety of multi-trade or single trade (roofing, paving, etc.) facility or infrastructure (road, bridges, airports, mass transit, utility…) renovation, repair, sustainability, maintenance, and minor new construction projects.  They may be regulated by Federal/State/Local statue.

2. Is JOC Software required?

Yes.  Required software, Unit Price Book, other “tools”, and training etc. are stipulated in the Job Order Contract.  While smaller JOCs can be managed in spreadsheets, a JOC-specific software package helps to assure the requisite levels of collaboration, transparency, productivity, and oversight.

3. What is a Unit Price Book?

Job Order Contracts require a unit price book, UPB.  It is a listing of construction tasks, organized using MasterFormat, including a detailed line item description and unit pricing for labor, material, and equipment.

4. What are the characteristics of a “good” unit price book?

A unit price book should include at least 90% of the tasks expected to be commonly encountered during the term of the Job Order Contract.  While some UPBs have hundreds of thousands of line items, this can, and has, caused confusion.   Most JOCs use 10,000 line items or less for the majority of tasks performed.   For many/most JOCs a unit price book incorporating 50,000 line items or less is more than sufficient.  It is critical, however, that the tasks and the prices reflect labor, material, and equipment specific to the area in which the JOC is located.   For example, if the average hourly rate for an electrician in the JOC area is $27.90, the associated UPB labor rate should not be $67.89.   Such variance is extreme, but not uncommon even from traditional sources.  Furthermore, crews associated with a task should reflect current practices.   For example, for drywall installation should not include a crew of one.  Drywall installers work in teams for commercial projects.

5. Do JOCs require specific name-brand materials?

Any name-brand components required should be specified in the JOC and the UPB.  Should the Owner wish to select a specific brand component, he/she should be reasonable when negotiating the task order in that specific situation.

6. As a contractor am I guaranteed work?

While there may be an annual or contract duration minimum, it is generally a very small value. Construction work is “earned” during a JOC through demonstrated performance. JOC is an indefinite quantity/indefinite delivery of construction services.

7. What is a co-efficient and does it vary?

A co-efficient is a factor, typically ranging from 0.80 to 1.20 that a contractor bids and adheres to during the Job Order Contract period.   It is multiplied times the the total of a task order estimate, as built from the UPB.   There may be one or several co-efficients (normal hours, after hours, secure locations, remote locations, etc.).  Additional “adjustment factors” may be allowed, such as a factor to localize costs for particular cities or areas.  A co-efficient should incorporate the contractor’s profit and any other costs/contingencies as stipulated for the particular JOC.

8. If the JOC is through a cooperative, should the administrative fee be calculated into the coefficient.

Yes.

9. What are “line item modifiers”.

Modifiers are line items associated with one or more “parent” line items.  They may add or deduct to the cost of a parent line item to account for additional or less labor, material, or equipment cost.  For example, when renovating an office, the cost per square yard of carpet is higher than if a full roll is being purchased for a number of offices.  This increase in cost should is accounted for via a modifier.

10. Should a UPB include overhead and profit?

No.  A UPB should reflect costs for a specific task without applying full overhead and profit. An allocation in the UPB for overhead and profit is generally acceptable in certain situations, if it is clearly noted.  As noted previously, profit and contingencies should be included within the co-efficient.

11. Is contractor and owner training required?

Yes.  A JOC following best management practices should requires a higher level of competency versus traditional construction methods.  Initial and ongoing training is key to JOC Program success and continuous improvement.  Fees for training should be noted in the contract solicitation and final agreement paperwork.

12. Are subcontractors allowed on a JOC?

The use of subcontractors is dependent upon the individual JOC program.  In some instances subcontracting in not allowed, in others there may be established limits.  When allowed, there are generally notification, approval, and other associated requirements.

13. Should a JOC consultant involved in approving actual JOC projects/task orders be receiving a percentage of the total JOC construction volume as payment?

No.  This can be viewed as a conflict of interest, and has been noted as a potential factor to increase risk of fraud.

14. During the project/task or pricing phase, what type of information is given to the contractor for pricing?

Owners should provide sufficient information, in terms of a scope of work, to enable the contractor to develop a detailed line item estimate. This should include participation in a joint site visit, sketches, drawings, etc.  The level and type of information given may vary from job to job.

15. How often is the UPB updated?

A JOC UPB  should be updated annually, and may also provide for quarterly economic updates.

 job order contract do's don'ts

Via www.4BT.US

About Us. Our JOC Team helps Owners, Contractors, Subcontractors, Architectural&Engineering and Contract Management firms develop, deploy, and execute best practice Job Order Contracts.
  • Education, Training, and Support for LEAN construction delivery method.
  • Structured, Reliable, Best Value, Construction Cost Data & Unit Price Books.
  • Technology supporting low cost, consistent deployment and monitoring.

On Call Renovation, Repair Construction – Job Order Contracting

On Call Renovation, Repair Construction – Job Order Contracting

The Good, The Bad, and the Ugly

 

On-call renovation, repair, sustainability and maintenance contracts, especially JOB ORDER CONTRACTS can significantly improve construction project efficiency and financial transparency… IF they are developed managed, and monitored properly.
Unfortunately, a high percentage of JOB ORDER CONTRACTS, JOC percentage administered at the County, State, and Local Government levels man NOT be following following basic best management practices, and therefore not providing anticipated results.

Defining a Job Order Contract – On-Call Construction Contract 

Job Order Contracts are bid and awarded without a specific public works project or scope of work.  The do specify general types of work, such as general facilities renovation and repair, or even more specifically, fencing, roofing, etc.  Most JOCs have a one year term with additional two to four year options, totaling anywhere between one and five years.   The annual and total (approximate) construction volume and minimum guaranteed dollar levels are specified as well as the maximum project (work order) size.  Pricing is based upon a detailed UNIT PRICE BOOK (UPB), generally organized via MASTERFORMAT with associated descriptions and labor, material, equipment, and labor costs.   The latter a localized for the areas in which the work is to be performed.  A “co-efficient” or multiple coefficients are also bid by the Contractor and accepted by the Owner as part of the Job Order Contract.  A coefficient is a value, typically  in the range of 0.80 to 1.20, that is multiplied times the total of the construction costs estimate as developed using the UPB.
Technical construction specifications are also sometimes associated with the UPB, however, JOC-specific specifications, are generally neither required nor recommended.  Most Owners already have a set of Technical Specifications that have been developed over time.  Theses will generally best reflect Owner needs/requirements.   The can, and should be noted, and associated with the awarded Job Order Contract. The number of line items for a UPB generally averages approximately 60,000, however, most Owners only use 10,000 or fewer in there JOC program.  Lastly a JOB ORDER CONTRACT OPERATIONS MANUAL and/or JOC ORDER CONTRACT EXECUTION PLAN should also be part of the awarded JOB ORDER CONTRACT.  This document should contain all roles, responsibility, deliverables, reporting requriements, training levels,  timelines, etc., associated with the Job Order Contract.

THE GOOD – Procedures Associated with Job Order Contract – On-Call Construction Contracts 

Job Order Contracts can be deployed  and managed directly by an Owner, (Owner-managed JOC) deployed and managed in association with a JOC Consultant (outsourced-JOC), or JOC service may be procured through a Cooperative.   Of these three options, an Owner-developed and Owner-managed JOC ultimately delivers the highest levels of competency, value, performance, and transparency.   If there are not enough construction dollars associated with the JOC (typically a minimum of $2M), to justify and Owner-managed JOC, then using a Cooperative is an alternative.   If the Owner doesn’t have the in-house competency to manage a JOC, a JOC Consultant and/or Outsourced-JOC is also an option. The latter,however, should be viewed as at temporary solution, due to associated lower levels of value in terms of collaboration, etc.,  and higher associated costs.
job order contract on call construction
Once a Job Order Contract is in place, a specific need is identified by the Owner, the Owner generates a scope of work, and the Owner requests a proposal from the awarded JOC Contractor.
job order contracting best management practices
Each individual project/work order is authorized based upon a lump sum cost that is not to be exceeded, using the estimate based upon the UPB.  Note, that projects/task orders over a specified dollar threshold should trigger a Owner internal estimate to assure fiscal stewardship, however, Owners should perform a detailed review of ALL contractor estimates.  This is to assure financial accountability, proper scope of work, and compliance with associated regulations/statues.
Regular progress meeting are held, and a final inspection the results in payment to the contractor, or a punch list of items to be completed/corrected.

THE BAD – Using JOC to Improperly Approve Construction Projects

Over the past several years, many public agencies have begun to use Job Order Contracts as a way to either approve construction projects that otherwise would NOT have been approved if due diligence and traditional procurement practices were followed… or simply as a means to speed project delivery by bypassing procurement and/or purchasing.

While properly implement JOC does speed total project delivery time, this can ONLY be diligently accomplished if established Job Order Contract best management practices, processes, and procedures are followed.

THE UGLY – Implementing JOC without Proper Oversight, Competency, and Ethics

JOC is an excellent tool for productively executing the numerous common and repetitive public works projects encountered across facility and physical infrastructure portfolios.  It provides a means to have a local contractor, one that is experienced with an Owner’s portfolio and associated nuances,  perform work at reasonable prices as work needs develop, without the months or even years of delay and poor quality resulting from traditional design-bid-build and lowest bidder processes.

 

However, JOB ORDER CONTRACT AUDITS over the past several years have noted what can happen if JOCs are not implemented per best management and best value practices.

Here are examples of the “UGLY” that have recently be noted…

“detailed the systemic pressures and lack of control that led to city job contracts for the Department of Public Works were being overinflated, inappropriately priced and were vulnerable to fraud. The nearly two-year review of the city’s Job Order Contracting program (JOC) showed that the city has paid over $1.9 million more than it was contractually obligated.”

“(The audit report) shows that the JOC program within the Department of Public Works had created an environment “highly vulnerable to fraud,” partially because it placed an emphasis on getting jobs done quickly instead of ensuring that they were competitively priced and properly defined.”

“The “Triangle of Fraud” as defined in Doud’s report, was created by contractor’s pressure to inflate costs because the city was accepting bids that were unrealistically low. The three points of the triangle were listed as the pressure to inflate costs, opportunity without detection and justification for quick completion.”

“…adjustments were able to fly under the radar because of a lack of structure and oversight in the JOC program, the report said. This ranged from the initial scope of work (SOW) that made it difficult to assess whether the submitted price was appropriate. The lack of clarity led to order changes and cost overruns to occur in 91 percent of the projects surveyed in the report that spanned 17 months.”

“Adding non-catalog charges requires three independent quotes that are reviewed by the city prior to approval. The audit found that 67 percent of the the non-catalog items documented had no independent quotes, but also had no documentation of justification explaining why the quotes were forgone.”

“Furthermore, Long Beach’s program, unlike other JOC’s, does not have a cap on how many “non-catalog” items can be added once an bid is awarded. This resulted in over 40 percent of contractor jobs having these items added, resulting in an overall expenditure increase of almost $2 million.”

“Doud’s report noted that despite a former city project manager issuing a letter to a JOC contractor addressing the overinflation of a proposal, one that was circulated to JOC management staff, the city continued to grant over $3.8 million of work to that contractor who had allegedly “padded proposals” to inflate pricing.”

“The report acknowledge the obvious advantages of using the JOC program—speed—but…During the audit period seven projects amounting to $3.3 million took more than 90 days to initiate. The industry standard is 25 days (for JOC) with an existing design and 55 days without.”

-Long Beach Post, 2016

The above highlights the need for assuring that robust LEAN best management practices be applied to JOC and any construction delivery method, as well as the need for  independent, objective, and best value job order contracting industry resources.

www.4BT.US

job order contract do's don'tsAsset Competency Model

Construction Trades Labor Rates

Construction Trades Labor Rates

National Average

via Four BT, LLC – www.4BT.US  – Job Order Contracting and Facility Management Solutions

Source: United States Department of Labor

OCC_CODE OCC_TITLE OCC_GROUP TOT_EMP EMP_PRSE H_MEAN A_MEAN MEAN_PRSE H_PCT10 H_PCT25 H_MEDIAN H_PCT75 H_PCT90 A_PCT10 A_PCT25 A_MEDIAN A_PCT75 A_PCT90 ANNUAL HOURLY
47-2000 Construction Trades Workers minor 4,076,800 0.3 22.25 46,290 0.2 12.00 15.06 19.72 27.68 36.91 24,970 31,310 41,020 57,580 76,770
47-2010 Boilermakers broad 16,350 5.0 29.16 60,660 1.2 17.70 22.98 28.90 35.70 41.49 36,810 47,800 60,120 74,250 86,290
47-2011 Boilermakers detailed 16,350 5.0 29.16 60,660 1.2 17.70 22.98 28.90 35.70 41.49 36,810 47,800 60,120 74,250 86,290
47-2020 Brickmasons, Blockmasons, and Stonemasons broad 74,570 2.4 24.13 50,200 1.0 13.39 16.98 22.32 29.39 38.26 27,850 35,320 46,420 61,130 79,580
47-2021 Brickmasons and Blockmasons detailed 61,360 2.5 24.88 51,750 1.0 14.33 17.72 23.05 30.07 38.85 29,800 36,860 47,950 62,540 80,800
47-2022 Stonemasons detailed 13,210 8.1 20.66 42,970 2.6 10.74 13.85 18.57 25.03 33.16 22,350 28,800 38,630 52,060 68,970
47-2030 Carpenters broad 639,190 0.8 22.49 46,780 0.4 12.61 15.78 20.24 27.39 36.90 26,220 32,810 42,090 56,970 76,750
47-2031 Carpenters detailed 639,190 0.8 22.49 46,780 0.4 12.61 15.78 20.24 27.39 36.90 26,220 32,810 42,090 56,970 76,750
47-2040 Carpet, Floor, and Tile Installers and Finishers broad 75,280 2.5 20.76 43,180 1.3 10.73 13.94 18.38 25.42 34.87 22,310 28,990 38,230 52,870 72,530
47-2041 Carpet Installers detailed 25,810 5.1 20.77 43,210 2.5 10.11 12.91 17.89 25.96 37.36 21,020 26,850 37,220 54,010 77,700
47-2042 Floor Layers, Except Carpet, Wood, and Hard Tiles detailed 9,830 7.0 20.44 42,520 2.7 11.15 14.06 17.80 24.45 34.68 23,190 29,240 37,030 50,860 72,130
47-2043 Floor Sanders and Finishers detailed 4,700 9.8 18.35 38,160 3.0 10.30 13.34 17.76 22.85 27.75 21,420 27,750 36,930 47,530 57,730
47-2044 Tile and Marble Setters detailed 34,940 3.6 21.16 44,010 1.8 11.49 14.85 18.94 25.77 34.59 23,890 30,880 39,400 53,600 71,950
47-2050 Cement Masons, Concrete Finishers, and Terrazzo Workers broad 166,610 1.6 20.27 42,150 0.6 12.29 14.75 18.16 23.97 31.48 25,570 30,670 37,780 49,860 65,480
47-2051 Cement Masons and Concrete Finishers detailed 163,360 1.6 20.23 42,080 0.6 12.28 14.74 18.14 23.93 31.33 25,550 30,660 37,740 49,770 65,160
47-2053 Terrazzo Workers and Finishers detailed 3,250 11.7 22.14 46,050 4.2 12.72 14.95 19.57 27.27 35.96 26,460 31,090 40,710 56,730 74,800
47-2060 Construction Laborers broad 887,580 0.8 17.57 36,550 0.3 9.92 12.20 15.34 20.80 29.36 20,640 25,380 31,910 43,260 61,070
47-2061 Construction Laborers detailed 887,580 0.8 17.57 36,550 0.3 9.92 12.20 15.34 20.80 29.36 20,640 25,380 31,910 43,260 61,070
47-2070 Construction Equipment Operators broad 411,920 0.8 23.26 48,380 0.3 13.61 16.52 21.06 28.31 37.04 28,310 34,360 43,810 58,890 77,030
47-2071 Paving, Surfacing, and Tamping Equipment Operators detailed 53,110 3.0 20.68 43,020 1.2 12.28 14.88 18.40 24.42 33.10 25,540 30,940 38,270 50,790 68,860
47-2072 Pile-Driver Operators detailed 3,670 7.2 26.51 55,150 2.6 13.66 17.33 23.77 36.24 44.58 28,400 36,050 49,430 75,370 92,720
47-2073 Operating Engineers and Other Construction Equipment Operators detailed 355,140 0.8 23.61 49,110 0.3 13.93 16.80 21.44 28.73 37.25 28,980 34,950 44,600 59,760 77,490
47-2080 Drywall Installers, Ceiling Tile Installers, and Tapers broad 106,000 2.3 22.48 46,760 1.1 12.77 15.76 19.46 26.88 38.84 26,560 32,790 40,470 55,900 80,790
47-2081 Drywall and Ceiling Tile Installers detailed 88,490 2.5 21.88 45,510 1.2 12.62 15.54 18.85 25.37 37.51 26,250 32,320 39,220 52,770 78,030
47-2082 Tapers detailed 17,500 3.7 25.52 53,080 1.5 14.01 17.56 23.06 33.40 42.66 29,140 36,520 47,970 69,470 88,720
47-2110 Electricians broad 592,230 0.8 26.73 55,590 0.5 15.10 18.74 24.94 32.95 42.37 31,410 38,990 51,880 68,540 88,130
47-2111 Electricians detailed 592,230 0.8 26.73 55,590 0.5 15.10 18.74 24.94 32.95 42.37 31,410 38,990 51,880 68,540 88,130
47-2120 Glaziers broad 44,230 3.6 21.84 45,420 1.2 12.28 15.41 18.96 26.17 38.01 25,550 32,060 39,440 54,440 79,050
47-2121 Glaziers detailed 44,230 3.6 21.84 45,420 1.2 12.28 15.41 18.96 26.17 38.01 25,550 32,060 39,440 54,440 79,050
47-2130 Insulation Workers broad 55,180 3.5 21.51 44,740 1.7 12.17 14.83 18.57 25.42 36.07 25,310 30,840 38,630 52,880 75,020
47-2131 Insulation Workers, Floor, Ceiling, and Wall detailed 25,850 4.6 18.66 38,810 1.6 11.13 13.49 16.85 21.70 29.80 23,140 28,060 35,040 45,140 61,980
47-2132 Insulation Workers, Mechanical detailed 29,330 5.4 24.02 49,970 2.4 13.29 16.33 20.97 29.05 40.24 27,640 33,970 43,610 60,420 83,710
47-2140 Painters and Paperhangers broad 216,340 1.2 19.47 40,490 0.8 11.47 14.07 17.57 23.18 30.33 23,850 29,270 36,550 48,220 63,090
47-2141 Painters, Construction and Maintenance detailed 213,330 1.3 19.49 40,540 0.8 11.49 14.10 17.59 23.21 30.37 23,900 29,320 36,580 48,280 63,170
47-2142 Paperhangers detailed 3,020 13.1 17.60 36,610 4.2 10.21 12.86 16.15 20.79 27.99 21,230 26,740 33,590 43,240 58,220
47-2150 Pipelayers, Plumbers, Pipefitters, and Steamfitters broad 432,380 1.1 25.89 53,860 0.5 13.86 17.66 23.72 32.01 42.12 28,820 36,720 49,340 66,570 87,610
47-2151 Pipelayers detailed 40,710 2.6 20.15 41,910 0.9 12.33 14.48 18.16 24.60 32.01 25,640 30,120 37,780 51,180 66,580
47-2152 Plumbers, Pipefitters, and Steamfitters detailed 391,680 1.2 26.49 55,100 0.5 14.27 18.20 24.34 32.82 43.13 29,680 37,860 50,620 68,270 89,720
47-2160 Plasterers and Stucco Masons broad 22,420 4.8 20.22 42,070 1.7 12.33 15.06 17.94 23.64 31.60 25,640 31,310 37,320 49,170 65,730
47-2161 Plasterers and Stucco Masons detailed 22,420 4.8 20.22 42,070 1.7 12.33 15.06 17.94 23.64 31.60 25,640 31,310 37,320 49,170 65,730
47-2170 Reinforcing Iron and Rebar Workers broad 20,060 5.3 25.98 54,030 2.3 13.35 16.50 23.08 34.15 43.87 27,760 34,320 48,010 71,030 91,240
47-2171 Reinforcing Iron and Rebar Workers detailed 20,060 5.3 25.98 54,030 2.3 13.35 16.50 23.08 34.15 43.87 27,760 34,320 48,010 71,030 91,240
47-2180 Roofers broad 109,720 1.7 19.54 40,630 1.3 11.81 14.12 17.65 23.51 29.90 24,560 29,380 36,720 48,900 62,180
47-2181 Roofers detailed 109,720 1.7 19.54 40,630 1.3 11.81 14.12 17.65 23.51 29.90 24,560 29,380 36,720 48,900 62,180
47-2210 Sheet Metal Workers broad 135,570 2.2 23.95 49,810 0.9 12.39 16.02 21.99 29.55 40.01 25,760 33,310 45,750 61,460 83,230
47-2211 Sheet Metal Workers detailed 135,570 2.2 23.95 49,810 0.9 12.39 16.02 21.99 29.55 40.01 25,760 33,310 45,750 61,460 83,230
47-2220 Structural Iron and Steel Workers broad 64,280 2.7 26.32 54,750 1.1 14.31 17.55 24.28 33.43 43.50 29,770 36,500 50,490 69,530 90,490
47-2221 Structural Iron and Steel Workers detailed 64,280 2.7 26.32 54,750 1.1 14.31 17.55 24.28 33.43 43.50 29,770 36,500 50,490 69,530 90,490
47-2230 Solar Photovoltaic Installers broad 6,870 12.0 19.26 40,070 1.9 13.24 15.49 18.19 22.46 27.24 27,540 32,210 37,830 46,720 56,670
47-2231 Solar Photovoltaic Installers detailed 6,870 12.0 19.26 40,070 1.9 13.24 15.49 18.19 22.46 27.24 27,540 32,210 37,830 46,720 56,670
47-3000 Helpers, Construction Trades minor 228,710 1.4 14.37 29,890 0.4 9.49 11.17 13.64 16.80 20.21 19,740 23,230 28,380 34,940 42,030
47-3010 Helpers, Construction Trades broad 228,710 1.4 14.37 29,890 0.4 9.49 11.17 13.64 16.80 20.21 19,740 23,230 28,380 34,940 42,030
47-3011 Helpers–Brickmasons, Blockmasons, Stonemasons, and Tile and Marble Setters detailed 22,970 3.6 15.43 32,090 1.2 9.99 11.73 14.09 17.69 23.19 20,770 24,390 29,320 36,790 48,240
47-3012 Helpers–Carpenters detailed 37,820 3.2 14.04 29,200 0.8 9.27 10.85 13.41 16.50 19.64 19,280 22,560 27,890 34,310 40,840
47-3013 Helpers–Electricians detailed 71,610 2.5 14.42 30,000 0.8 9.46 11.29 13.81 16.97 20.16 19,680 23,480 28,730 35,300 41,940
47-3014 Helpers–Painters, Paperhangers, Plasterers, and Stucco Masons detailed 11,030 7.4 13.31 27,690 1.5 9.24 10.49 12.73 14.84 18.19 19,220 21,830 26,480 30,870 37,830
47-3015 Helpers–Pipelayers, Plumbers, Pipefitters, and Steamfitters detailed 55,530 3.1 14.40 29,950 0.9 9.64 11.28 13.70 16.82 20.02 20,050 23,470 28,500 34,980 41,640
47-3016 Helpers–Roofers detailed 10,810 5.6 13.38 27,820 1.1 9.46 10.82 13.04 15.58 18.17 19,680 22,500 27,110 32,400 37,800
47-3019 Helpers, Construction Trades, All Other detailed 18,930 4.2 14.66 30,500 1.1 9.47 11.12 13.71 17.19 21.54 19,690 23,120 28,510 35,750 44,800
47-4000 Other Construction and Related Workers minor 393,710 0.9 22.29 46,370 0.4 12.14 15.31 20.16 27.34 36.50 25,240 31,850 41,930 56,870 75,910
47-4010 Construction and Building Inspectors broad 91,480 1.2 28.86 60,030 0.5 16.73 21.39 27.57 35.36 44.04 34,800 44,490 57,340 73,560 91,600
47-4011 Construction and Building Inspectors detailed 91,480 1.2 28.86 60,030 0.5 16.73 21.39 27.57 35.36 44.04 34,800 44,490 57,340 73,560 91,600
47-4020 Elevator Installers and Repairers broad 21,000 4.5 37.19 77,350 1.1 19.30 28.72 38.88 45.66 53.55 40,140 59,750 80,870 94,980 111,370
47-4021 Elevator Installers and Repairers detailed 21,000 4.5 37.19 77,350 1.1 19.30 28.72 38.88 45.66 53.55 40,140 59,750 80,870 94,980 111,370
47-4030 Fence Erectors broad 21,160 5.9 16.75 34,840 1.5 10.21 12.56 15.60 19.11 24.91 21,230 26,120 32,450 39,740 51,800
47-4031 Fence Erectors detailed 21,160 5.9 16.75 34,840 1.5 10.21 12.56 15.60 19.11 24.91 21,230 26,120 32,450 39,740 51,800
47-4040 Hazardous Materials Removal Workers broad 42,560 3.6 21.22 44,150 1.2 12.58 15.06 19.08 26.45 33.77 26,170 31,330 39,690 55,020 70,230
47-4041 Hazardous Materials Removal Workers detailed 42,560 3.6 21.22 44,150 1.2 12.58 15.06 19.08 26.45 33.77 26,170 31,330 39,690 55,020 70,230
47-4050 Highway Maintenance Workers broad 142,300 1.2 18.36 38,200 0.3 11.35 14.15 17.75 22.21 26.38 23,600 29,430 36,930 46,200 54,870
47-4051 Highway Maintenance Workers detailed 142,300 1.2 18.36 38,200 0.3 11.35 14.15 17.75 22.21 26.38 23,600 29,430 36,930 46,200 54,870
47-4060 Rail-Track Laying and Maintenance Equipment Operators broad 14,470 4.6 24.68 51,340 2.3 14.95 19.68 25.40 28.93 33.54 31,100 40,940 52,830 60,170 69,770
47-4061 Rail-Track Laying and Maintenance Equipment Operators detailed 14,470 4.6 24.68 51,340 2.3 14.95 19.68 25.40 28.93 33.54 31,100 40,940 52,830 60,170 69,770
47-4070 Septic Tank Servicers and Sewer Pipe Cleaners broad 27,080 3.6 18.21 37,880 1.0 10.59 13.26 17.00 22.15 28.20 22,020 27,570 35,370 46,080 58,660
47-4071 Septic Tank Servicers and Sewer Pipe Cleaners detailed 27,080 3.6 18.21 37,880 1.0 10.59 13.26 17.00 22.15 28.20 22,020 27,570 35,370 46,080 58,660
47-4090 Miscellaneous Construction and Related Workers broad 33,660 3.7 18.86 39,220 1.3 11.08 13.61 17.31 22.40 28.64 23,050 28,300 36,000 46,590 59,560
47-4091 Segmental Pavers detailed 1,240 22.7 15.30 31,820 3.4 10.22 12.15 14.77 17.41 20.55 21,260 25,270 30,730 36,220 42,740
47-4099 Construction and Related Workers, All Other detailed 32,420 3.7 18.99 39,500 1.3 11.16 13.68 17.45 22.55 28.80 23,200 28,460 36,300 46,900 59,900
47-5000 Extraction Workers minor 261,040 1.5 22.58 46,970 0.7 13.05 16.09 20.52 26.79 34.16 27,150 33,470 42,680 55,720 71,060
47-5010 Derrick, Rotary Drill, and Service Unit Operators, Oil, Gas, and Mining broad 105,120 2.4 25.33 52,680 1.0 14.83 17.71 22.71 29.25 38.14 30,840 36,850 47,240 60,830 79,340
47-5011 Derrick Operators, Oil and Gas detailed 19,330 6.4 24.38 50,710 1.1 16.00 18.62 23.03 28.27 35.28 33,280 38,730 47,910 58,800 73,390
47-5012 Rotary Drill Operators, Oil and Gas detailed 24,960 4.7 29.03 60,380 2.2 14.59 18.91 26.11 34.51 44.65 30,360 39,340 54,310 71,790 92,870
47-5013 Service Unit Operators, Oil, Gas, and Mining detailed 60,830 3.4 24.11 50,150 1.3 14.32 17.15 21.63 28.03 36.33 29,790 35,670 45,000 58,310 75,560
47-5020 Earth Drillers, Except Oil and Gas broad 19,490 3.6 24.92 51,840 3.3 13.64 16.68 21.27 27.93 36.62 28,370 34,700 44,240 58,100 76,160
47-5021 Earth Drillers, Except Oil and Gas detailed 19,490 3.6 24.92 51,840 3.3 13.64 16.68 21.27 27.93 36.62 28,370 34,700 44,240 58,100 76,160
47-5030 Explosives Workers, Ordnance Handling Experts, and Blasters broad 7,540 6.8 25.28 52,580 2.3 15.89 19.16 24.14 31.36 36.60 33,050 39,840 50,210 65,220 76,120
47-5031 Explosives Workers, Ordnance Handling Experts, and Blasters detailed 7,540 6.8 25.28 52,580 2.3 15.89 19.16 24.14 31.36 36.60 33,050 39,840 50,210 65,220 76,120
47-5040 Mining Machine Operators broad 19,880 4.0 24.29 50,530 1.6 15.29 18.93 23.83 29.41 35.03 31,810 39,370 49,560 61,170 72,850
47-5041 Continuous Mining Machine Operators detailed 11,130 5.0 24.35 50,660 2.1 15.62 18.94 23.37 29.31 35.52 32,480 39,400 48,620 60,960 73,880
47-5042 Mine Cutting and Channeling Machine Operators detailed 6,630 9.1 24.39 50,720 2.3 14.62 18.97 24.91 29.77 34.63 30,400 39,460 51,810 61,920 72,020
47-5049 Mining Machine Operators, All Other detailed 2,120 11.0 23.69 49,270 2.2 14.85 18.79 23.34 28.61 33.83 30,880 39,080 48,550 59,510 70,360
47-5050 Rock Splitters, Quarry broad 3,790 7.3 16.77 34,870 2.0 10.42 13.00 16.26 20.09 23.71 21,670 27,050 33,820 41,790 49,320
47-5051 Rock Splitters, Quarry detailed 3,790 7.3 16.77 34,870 2.0 10.42 13.00 16.26 20.09 23.71 21,670 27,050 33,820 41,790 49,320
47-5060 Roof Bolters, Mining broad 5,220 14.5 26.68 55,500 1.1 20.63 23.43 26.42 29.25 33.49 42,920 48,720 54,950 60,840 69,670
47-5061 Roof Bolters, Mining detailed 5,220 14.5 26.68 55,500 1.1 20.63 23.43 26.42 29.25 33.49 42,920 48,720 54,950 60,840 69,670
47-5070 Roustabouts, Oil and Gas broad 71,790 3.3 18.61 38,700 0.9 12.09 14.30 17.56 22.08 27.52 25,160 29,750 36,510 45,930 57,240
47-5071 Roustabouts, Oil and Gas detailed 71,790 3.3 18.61 38,700 0.9 12.09 14.30 17.56 22.08 27.52 25,160 29,750 36,510 45,930 57,240
47-5080 Helpers–Extraction Workers broad 22,820 4.6 17.83 37,080 1.1 11.88 13.82 17.19 21.36 24.63 24,700 28,740 35,760 44,430 51,230
47-5081 Helpers–Extraction Workers detailed 22,820 4.6 17.83 37,080 1.1 11.88 13.82 17.19 21.36 24.63 24,700 28,740 35,760 44,430 51,230
47-5090 Miscellaneous Extraction Workers broad 5,400 9.7 23.62 49,140 3.7 12.50 15.36 21.33 27.48 36.44 26,000 31,940 44,370 57,170 75,790
47-5099 Extraction Workers, All Other detailed 5,400 9.7 23.62 49,140 3.7 12.50 15.36 21.33 27.48 36.44 26,000 31,940 44,370 57,170 75,790

Global Construction Forecast / Outlook

Global Construction Forecast / Outlook

global construction forecast

China, the Unite States, and India , are projected to lead construction growth, accounting for approximately 60% of increases.  Within this group, the United States is expected to shortly outpace China and growth in India will outpace China due to explosive population growth.

Average global construction growth is pegged at 4.0% over the next decade.

The UK is anticipated to rival Germany on the European front

 

Source:GCP Global Construction 2030 report

Job Order Contract Standard Operating Procedures – SOP

Documented procedures, workflows, internal and external control procedures and other requirements associated with a JOB ORDER CONTRACT (JOC) are critical to assuring compliance and a successful program.

job order contracting services

Multiple JOC audits performance by public agencies are available on the Internet.  In virtually all cases, any reported issues could have been averted with well-developed internal controls procedures in place.

A written JOC Operations Manual, Execution Plan, or Standard Operations Procedure should ALWAYS be a component of any Job Order Contract.

This practice helps to clarify all roles, responsibilities, procedures, and reporting requirements.

While the potential for fraud, waste or abuse exists, it can be significantly mitigated if reasonable measures are taken and JOC best management practices are implemented:

  1. Personnel to be assigned to work with JOC will be carefully screened to ensure only competent individuals with a high degree of integrity are assigned.
  2. Managers at all appropriate levels will:
    1. Ensure JOC personnel are properly trained to do their jobs.
    2. Ensure JOC personnel are familiar with and understand the terms of the contract they are executing.
    3. Ensure that the procedures established are followed for processing JOC actions from start of job to finish of contract administration.
    4. Ensure all JOC personnel read and adhere to established standards of ethical conduct for Owner employees (public and/or private sector guidelines)
    5. Ensure JOC personnel seek assistance and guidance before proceeding on unclear or borderline issues.
  3. Meaningful quarterly reviews of JOC operations will be made jointly by Technical/Engineering/DPW management staff and contracting/purchasing staff.
  4. All personnel concerned will ensure work scopes, owner estimates, contractor’s proposals, awarded task orders, and contractor invoices are logically progressive, consistent and clear.
  5. Project scoping and project quality control/acceptance activities will be kept separate. Individuals involved with project scoping and development as well as proposal negotiations with the contractor will not be the same individual responsible for monitoring quality assurance. Although project engineers may be required during the construction phase to clarify scope of work or recommend modifications for changes or unforeseen conditions, the responsibility for recommending acceptance of completed work will remain with separate quality assurance personnel. This principle of separation should also allow for effective coordination between project engineers and quality assurance persons so that problems occurring during the construction phase do not cause contractor delays and potential claims to the owner.
  6. The senior authority for the location with responsibility for JOC will:
    1. Ensure contract administration documentation activities are kept current, complete and correct.
    2. Ensure periodic sessions are held regularly among JOC personnel to discuss their work activities, procedures and problems.
    3. Complete at least annually, the JOC internal control checklist (sample below)
    4. The appropriate authority will complete any of the items on the internal control checklist that pertain to his area of responsibility.

STANDING OPERATING PROCEDURE

SAMPLE OUTLINE

The following is example is for generic educational purposes.  A job order contracting SOP should be tailored for each individual situation.

SOP OUTLINE

  • Introduction
    • Purpose
    • Glossary of Terms
      • Job Order Contracting Task Order
      • Location Factor
      • Priced / Nonprepriced Items
      • Unit Price Book
      • Coefficient
        • Normal Hours
        • Other Hours
  • Contract Award & Execution Authority
    • Appointment of JOC Purchasing Authority
      • How
      • When
      • Limits
      • Training
    • Task Order Authority
      • Prepriced limits
      • NPP limits
  • Execution Procedures
    • Work Coordination
      • In House
      • Contract
    • Request for Task Order
      • Task Order Modification
        • Differing Site Conditions
        • Change Clause
  • Reporting Requirements
    • Contractors
    • Purchasing
    • Technical
  • Payments
  •  Attachments
    • Sample Appointment Letters
    • Task Order Checklist
    • Request for Proposal
    • Internal Control Procedures
    • Contractor Proposal-Sample
    • QA Plan
    • Workflow Diagrams
    • Required Forms

 

Via…www.4BT.US

Improving Renovation, Repair, and Maintenance Project Delivery

The way to deliver 96%+ of renovation, repair, and maintenance projects on-time, on-budget, and at the appropriate level of quality is to enable collaboration with contractors and other expert service providers

Robust collaborative construction delivery methods provide a proven path for Owners to significantly improve construction productivity and levels of satisfaction among a participants and building users.

The major challenge to delivering construction services on-time and on-budget , however, is the required level of Owner capability and competence.

As a result of 1800+ tests, researchers have concluded that a primary cause in low project performance (time, cost and customer satisfaction) is the traditional owner-vendor relationship in which the owner uses a design, bid and build (DBB) approach. – 2016, Arizona State University – Job Order Contracting Performance Survey-2015

This obstacle can only be overcome by changing current formal education and professional training programs.   Educational and training programs must focus upon asset life-cycle management and modeling.   An improved understanding is required among real property owners, facility managers, architects, engineers, and construction contractors relative to the various COMPETENCIES, PROCESSES, COMMON TERMS, and TECHNOLOGIES associated with efficient life-cycle management of the built environment.

job order contracting

Overall focus must shift from first-cost mentality to life-cycle/total-cost-of-ownership.   Business aspects must shift from lowest-bidder and adversarial, inefficient design-bid-build delivery models to BEST VALUE, INTEGRATED COLLABORATIVE CONSTRUCTION DELIVERY.

job order contract do's don'ts

The most widely used and known collaborative construction delivery methods are INTEGRATED PROJECT DELIVERY, IPD (for major new construction), and JOB ORDER CONTRACTING, JOC (for renovation, repair, sustainability, maintenance, and minor new construction).

Properly designed and implemented Job Order Contracts can deliver 96% of  projects with satisfactory results, a level unmatched or even approached by traditional construction delivery methods.  Faster project delivery, financial transparency, and less required project management are additional benefits provided by JOC.

JOC Do’s and Don’ts

From a generic perspective, an effective measurement system for a job order contract will incorporate the following:

  1. Clearly defined, actionable, and measurable goals.
  2. Goals that include consideration of global oversight and local actions of all JOC program participants.
  3. Key performance indicators that monitor the overall administration of the JOC program, as well as individual projects / task orders, and all associated workflows, deliverables, and outcomes.
  4. Established baselines that enable measurement of historical and current progress.
  5. Timely, accurate, repeatable, and verifiable information based upon standardized terms, definitions, and data architectures
  6. Applicable reporting and feedback systems to support continuous improvement of processes, practices, and outcomes.

The importance of Job Order Contract performance measurement cannot be understated.   As JOC is a LEAN best-management practice, it is dependent upon foundational elements that enable collaboration, transparency, and continuous improvement.   Furthermore since many Job Order Contracts are use across building portfolios and locations, the diversity of participants, requirements, and activities demands specified levels of capabilities, performance, and responsibility.

THE DO’s & DON’Ts of JOB ORDER CONTRACTING

A JOC performance measurement system should be capable of answering questions such as the following:

  1. How many requests for quotations have been issued?
  2. How many contractor estimates have been issued?
  3. What is the average time from RFQ to contractor estimate?
  4. How many owner estimates were created?
  5. What is average time to create an owner estimate?
  6. What is average variance between owner estimates and contractor estimate?
  7. How many cycles were required for owner/contractor negotiations per task order?
  8. How many task orders were completed on-time, on-budget?
  9. What percentage of task orders required change orders?
  10. What is the total value of change orders?
  11. What is the average project delivery time?
  12. What is the level of quality of work performed?
  13. What is the level of responsiveness of the contractor? The owner?
  14. What is the average dollar value of the task order
  15.  What problems or issues need to be addressed?
  16.  How do associated JOC metrics compare to alternative construction delivery methods?
  17.  Overall trend of KPIs versus time?
  18.  Is the JOC slowing the overall deterioration rate of the buildings or infrastructure?
  19.  Is the JOC improving the service levels supported by the built infrastructure?
  20.  Is the JOC contractor technically capable of all JOC tasks?
  21.  Are Job Order Contract funding levels sufficient?
  22.  How are Job Order Contract activities dispersed throughout the year?

Associated key performance indicators should enable management to determine if the Job Order Contract is meeting established organization goals.  The key characteristic of KPIs are as follows (Aveson, P. 1998):

  • Leading Indicators: forecast future trends inside and outside the organization
  • Objective and Unbiased: fact based, not subject to manipulation and can be repeated
  • Normalized: can be benchmarked against other organizations
  • Statistically Reliable: small margin of error
  • Unobtrusive: not disruptive of work or trust
  • Inexpensive to Collect: small sample sizes adequate
  • Balanced: qualitative/quantitative, multiple perspectives
  • Appropriate: measures the right things
  • Quantifiable: for ease of aggregation, calculation, and comparison
  • Efficient: can draw multiple conclusions out of dataset
  • Comprehensive: show all significant features of an organization’s status
  • Discriminating: small changes are meaningful
  • Action Oriented: suggest next analysis or action step; motivate and direct action
  • Understandable to Decision Makers: understanding of performance indicators not dependent upon specialized facilities management knowledge; highly intuitive
  • Verifiable: auditable.

Job Order Contracts may be implemented for a variety of reasons, however, anticipated benefits or outcomes generally includes all, or a subset of the following:

  1. More responsive / on-demand services
  2. Higher quality work product
  3. Shorter procurement times
  4. Shorter overall project delivery time
  5. Lower total cost
  6. Higher overall levels of satisfaction from all program participants
  7. Greater financial visibility
  8. Higher overall transparency
  9. Shared and acceptable levels of risk/reward
  10. A collaborative working relationship between program participants
  11. Long / longer term relationships
  12.  Improved resource utilization / reduced waste
  13.  …

www.4BT.US

 

Construction Productivity Solution

Construction Productivity Solution

 

MEDIA RELEASE

For Immediate Release – August 16, 2016

Construction Productivity Solution

 

August 16, 2016 – Four BT, LLC today announces a new industry resource to enable measurable gains in construction productivity.

Historically, the renovation, repair, maintenance, sustainability, and construction of physical infrastructure (buildings, roadways, dams, bridges, mass transit, utilities…) have faced major problems such as low productivity, waste, and negative environmental impacts.   Real property owners and their service providers (architects, engineers, contractors, and construction management firms) have not been able to reverse a 30 years+ cycle of declining productivity.

There is a solution, the implementation of LEAN collaborative construction delivery methods and asset life-cycle management strategies.   A combination of education, change management, robust business processes, and detailed construction cost information, and supporting technology can drive significant improvement.

Four BT, LLC announces a new industry resource that enables Facility Management Professionals and Real Property/Building Owners and their service providers to deliver over 90% of renovation, repair, and maintenance project on-time, on-budget, at the anticipated level of quality, and to the satisfaction of all stakeholders

Four BT, LLC provides services, technology, and construction cost data to enable consistent, open, transparent, and objective deployment of LEAN JOB ORDER CONTRACTING, a proven LEAN collaborative construction delivery method.

###

MEDIA CONTACT

Peter Cholakis

pcholakis@4BT.US

508.435.3096

www.4BT.US

Attachments/Links:

Collaboration in Construction White Paper

4BT Team

16August2016 – 4BT Press Release – Construction Productivity Solution

Job Order Contract / Job Order Contracting – JOC: Do’s – Don’ts

THE DO’S AND DON’TS OF JOB ORDER CONTRACTS / CONTRACTING – JOC

Job Order Contracting is a proven LEAN collaborative construction delivery method that is capable of delivering over 90% of construction projects on-time, on-budget, at the required quality level, and to the satisfaction of all parties involved.
 
Design-bid-build, design-build, CM@R can’t match this level of productivity or success. The only other method that is comparable, Integrated Project Delivery. IPD, targets major new construction.  Job Order Contracting is designed specifically for renovation, repair, maintenance, sustainability, and minor new construction.
That said, Job Order Contracting must be implemented and managed appropriately. Here’s a short list of Do’s and Don’ts:
 

DO:

Focus upon OUTCOMES.

As an Owner / Owner’s representative… UNDERSTAND and become COMPETENT in JOC, continue to LEARN, and have direct involvement in JOC PROJECTS & JOC PROCESSES.

Allow adequate time for the JOC process to become a key part of the organization, it’s a culture change.

Remember that JOC is NOT FOR EVERYONE.

As an Owner, know that Contractors invest a lot of front end effort. Respect them.

Adhere to the JOC Contract and its dollar limits.

As an Owner, assure there is a written JOC Execution plan or JOC Operations Manual as a part of the signed contract.

Know all aspects of the JOC Execution Plan / JOC Operations Manual.

Build your knowledge of line item estimating with the JOC Unit Price Book.

Use the same specifications for your projects as your organization would otherwise, a JOC-specific set of specifications in NOT required. You aren’t changing your construction requirements, just improving efficiency/productivity.

Check the accuracy of each Job Order / Task Order proposal and throughout the project.

Verify line items, quantities, and coefficient(s) of internal Owner estimates and Contractor estimates.

Maintain a limit of nonpre-priced line items. NPP (line items not in the UPB) to less than or equal to 10% total project value.

Apply the appropriate coefficient to the total of the unit line item prices.

Update the UPB annually and apply a quarterly economic adjustment factor.

Localize the UPB via a location factor, localized pricing as needed, and local labor costs.

Follow Job Order Contract requirements with respect to bonding and overhead related costs.

As an Owner, compare internal Owner estimates to Contractor Estimates for all estimates, or estimates over an established dollar threshold (i.e. $150,000). At a minimum, review all Contractor estimates in detail.

As an Owner, negotiate openly and fairly with the Contractor on individual JOC projects / task orders.

Expect excellent and timely execution of JOC work.

Enable Contractor to earn a reasonable profit.

Remember JOC is a long term relationships between Owners and Contractors.

Participate in regular training (at least annually, including introductory and advance levels).

Establish and monitor Key Performance Indicators, KPI’s.

 

DON’T:

As an Owner, JOC as a method to “bypass procurement”, or approve projects that others wise would not be approved.

As an Owner, pay a fee to a third party administrator or JOC management firm to manage your JOC program that is tied to construction value. This represents a clear conflict of interest and presents a potential for fraud.

As an Owner, Bid approved JOC Contractors against each other (i.e. don’t engage in “bid shopping”.)

Use”open book”, or “street pricing”. (If non-prepriced line items are required, limit them to values per the JOC contract, and obtain a minimum of three quotes for the items/work.)

Allow misuse of the JOC process, Unit Price Guide, or established JOC process.

Allow non-normal co-efficients for can be completed during normal working hours.

Use JOC unit price books that are not transparent, and/or developed by a consultant or third party that has management responsibility for the JOC program.

Assume a JOC is for everyone. JOC requires competency, leadership, collaboration, mutual trust/respect, and shared risk/reward.

There are no “secrets” to Job Order Contracts or Job Order Contracting… just competency, transparency, common definitions/terms/data, mutual trust & respect, and shared risk/reward.

 

The above is based the experiences of  hundreds of owners and thousands of contractors who have worked with JOC, existing JOC research, and information shared by JOC professionals with decades of experience.

 
 
www.4BT.US

job order contract do's don'ts

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Job Order Contracting – Education & Training Note #201 – What is a unit price

Job Order Contracting – Education & Training Note #201 – What is a unit price?

Question?What is a unit price?

Answer: A unit price is a detailed description and associated material, labor, and equipment line item within a Job Order Contract Unit Price Book, UPB. It represents a single unit of an item of work, a task, describing typical/common work in terms that are universally understood and applicable to a variety of individual renovation, repair, maintenance, and/or sustainability construction projects.
When used in Job Order Contracts, a unit price historically does not include contractor profit and overhead as this is account within the JOC co-efficient.

Construction Classification Criticality – A Draft White Paper

Construction Classification Criticality

– Architecture, Engineering, Construction, Facilities Management, & Life-cycle Management of the Built Environment

Construction Classification

Building classification systems are critical if any measurable productivity gains are to be achieved across the Architecture, Engineering, Construction, Operations, and Owner (AECOO) domains and associated life-cycle management of the built environment.

It is virtually impossible to engage in collaborative and productive processes among AECOO participants and stakeholders from initial conceptualization through deconstruction/structure reuse, without a common understanding of terms, definitions, and relationships.

The myriad of requirements, specifications, documents, data types, inter-relationships, and dependencies encountered throughout the life-cycle of built structures demands would be better understood and managed if based upon common terms, definitions, and data structures.  The combination of information related to all aspects of physical assets life-cycle is best called a physical asset model.

Physical asset models should NOT be confused with 3-dimensional (3D) visualization, which is merely one of several methods of representing and working with information

Physical asset models include and require multiple competencies, industries, business processes, data formats, classification structures and layers, and technologies.

Standardized classification, is needed in order to organize and share physical asset information, processes and requirements (physical, functional, economic, environment…) across multiple competencies, team members, asset users, and oversight groups.

Classification enables information to be used for multiple purposes, individually and generically, such as determining initial and final scopes of work (SOW), cost estimating, capital planning and deferred maintenance management, space utilization, life-safety/security, levels of compliance, and mission dependencies.

Examples AECOO classificationsystemsand data architectures include Omniclass, Uniformat, Masterformat, COBie, and Uniclass.

With properly designed flexible, yet comprehensive architectures, classification systems should enable the location, representation, manipulation, and use of the same object/process for differing criteria/purposes.

Key Words: Classification systems, Taxonomy, asset model, asset modeling, collaboration, lean construction, integrated project delivery, IPD, job order contracting, JOC, BIM, OmniClass, MasterFormat, UniFormat, Uniclass, building information management, building information models, building information modeling.

Classification Criticality – Architecture, Engineering, Construction, & Life-cycle Facility Management

Construction Processes, Innovation, Productivity Improvement

  • Job Order contracting

    Traditional construction procurement methods and daily operations are unreliable.

    Best Value Procurement and LEAN collaborative construction delivery methods are proven to delivery significant improvements.
    Construction delivery processes must be structured to assure teamwork and continuous monitoring and improvement.

    Participants must not only be competent, but share common goals as well as share risk and reward.

    Focus must be upon outcomes, mission, and clients/customers.

    Examples of proven LEAN collaborative construction delivery include Integrated Project Delivery, IPD, for major new construction, and Job Order Contracting, JOC, for renovation, repair, maintenance, sustainability, and minor new construction.

    Owner must demonstrate LEADERSHIP and require COLLABORATION and engage in innovation, agility, and performance improvement.

    Owners must EMPOWER teams without excessive management and control.

    Owners must assure essential capabilities and competencies are present throughout the TEAM.

     

    Lean collaborative construction delivery Job Order Contracting

 

UK BIM has same issue as US BIM

The UK BIM Level 2 requirement went into effect 4th April 2016 and little has changed.

While the UK has come up with nice name like the  “BIM/Soft Landings” initiative, the design/construction/operational process has not improved.   Like the US, the UK remains mired in ‘ad hoc’ silo-based construction and facilities management processes.

Until Owners provide the leadership, insight, and motivation required to build collaborative teams engaging in LEAN construction delivery methods such as Integrated Project Delivery, IPD and Job Order Contracting, JOC …  inefficient construction and life-cycle management of the built environment will remain the norm.

LEAN CONSTRUCTION DELIVERY PROCESS

 

Best Value Construction Procurement

Life-cycle reduction of environmental and economic costs associated with the built environment is not “rocket science”.   Proven methodologies and tools have existed for decades.
Best value procurement, when combined with collaborative construction delivery methods, easily yields significantly improved construction productivity, higher levels of quality, and lower total costs of ownership.
The problem, however,  is that best value acquisition of construction services and implementation of collaborative construction delivery methods (such as Integrated Project Delivery and Job Order Contracting) require major changes from a cultural perspective as well as business process reform.   This presents a significant barrier for many, if not most, Real Property Owners, Contractors, Architects, and Engineers.
It is the responsibility of real property owners and facility management professionals to collectively stimulate innovative thinking and demonstrate leadership by building and maintaining teams that share mutual respect as well as high levels of competency.   Teams that share information, risks and rewards. Teams that are interested in building term relationships and long term value.

LEAN CONSTRUCTION DELIVERY PROCESS

 

 

Job Order Contracting Software Technology

Job Order Contracting Software Technology

Job order contracting cost estimating software and training is an important aspect in assuring JOC Program performance and compliance.

Owners and their awarded JOC construction Contractors throughout the Country, use software technology to achieve higher levels of transparency, collaboration, consistency, and productivity, while at the same time reducing JOC Program deployment costs.

Real Property Owners and awarded/bidding Contractors  can tracks multiple multiple JOC Programs, coefficients, projects, estimates, subs, unit price books (UPBs) and documents within JOC software technology.   Automatic comparison of estimates and updating estimates is also a common feature found in JOC software.

job order contracting software technology

Spreadsheets, or basic online representations of line item cost  data, and generic, general purpose cost estimating software make the above very difficult, if not impossible.   Thus, if you are having trouble working in spreadsheets, or online cost calculators provided by some JOC vendors, and/or wish to set up or improve a JOC contract, it may be time to look at JOC software technology.

When your are researching JOC software technology , use the following checklist…

  • Integrated Contract, Contractor, Subcontractor, Project, Estimate Coefficient, and Document Management
  • Ability to share estimates and projects with internal and external team members.
  • Cloud-based deployment
  • Fast access to Unit Price Book information
  • Integrated granular Davis-Bacon Labor rates
  • Full support as well as regional, on-site, and virtual training

www.4BT.US

Construction Labor Cost Data by State

Construction Labor Data by State

Construction Managers
Architectural and Engineering Managers
Compliance Officers
Cost Estimators
Architecture and Engineering Occupations
Architects, Except Landscape and Naval
Landscape Architects
Cartographers and Photogrammetrists
Civil Engineers
Electrical Engineers
Environmental Engineers
Industrial Engineers
Architectural and Civil Drafters
Drafters, All Other
Electrical and Electronics Engineering Technicians
Environmental Engineering Technicians
Industrial Engineering Technicians
Instructional Coordinators
Occupational Health and Safety Specialists
Security Guards
Building and Grounds Cleaning and Maintenance Occupations
Janitors and Cleaners, Except Maids and Housekeeping Cleaners
Pest Control Workers
Landscaping and Groundskeeping Workers
Pesticide Handlers, Sprayers, and Applicators, Vegetation
Grounds Maintenance Workers, All Other
Office and Administrative Support Occupations
Insurance Claims and Policy Processing Clerks
Construction and Extraction Occupations
First-Line Supervisors of Construction Trades and Extraction Workers
Boilermakers
Brickmasons and Blockmasons
Stonemasons
Carpenters
Carpet Installers
Floor Sanders and Finishers
Tile and Marble Setters
Construction Laborers
Drywall and Ceiling Tile Installers
Electricians
Glaziers
Insulation Workers, Floor, Ceiling, and Wall
Insulation Workers, Mechanical
Painters, Construction and Maintenance
Pipelayers
Plasterers and Stucco Masons
Helpers–Brickmasons, Blockmasons, Stonemasons, and Tile and Marble Setters
Helpers–Carpenters
Helpers–Electricians
Helpers–Painters, Paperhangers, Plasterers, and Stucco Masons
Helpers–Pipelayers, Plumbers, Pipefitters, and Steamfitters
Helpers–Roofers
Helpers, Construction Trades, All Other
Construction and Building Inspectors
Fence Erectors
Highway Maintenance Workers
Construction and Related Workers, All Other
Earth Drillers, Except Oil and Gas
Helpers–Extraction Workers
Extraction Workers, All Other
Installation, Maintenance, and Repair Occupations
Electrical and Electronics Installers and Repairers, Transportation Equipment
Electrical and Electronics Repairers, Commercial and Industrial Equipment
Electrical and Electronics Repairers, Powerhouse, Substation, and Relay
Security and Fire Alarm Systems Installers
Mechanical Door Repairers
Control and Valve Installers and Repairers, Except Mechanical Door
Heating, Air Conditioning, and Refrigeration Mechanics and Installers
Maintenance Workers, Machinery
Electrical Power-Line Installers and Repairers
Maintenance and Repair Workers, General
Helpers–Installation, Maintenance, and Repair Workers
Installation, Maintenance, and Repair Workers, All Other
Sewers, Hand
Cabinetmakers and Bench Carpenters
Cutters and Trimmers, Hand
Painters, Transportation Equipment
Painting, Coating, and Decorating Workers
Etchers and Engravers
Heavy and Tractor-Trailer Truck Drivers
Light Truck or Delivery Services Drivers
Conveyor Operators and Tenders
Excavating and Loading Machine and Dragline Operators
Hoist and Winch Operators
Industrial Truck and Tractor Operators

Q2 Construction Labor Costs $28.13/Hour

Construction Labor Costs

Construction compensation increased 0.8% in Q2 (vs. 0.5% in Q1) and 2.5% over the past 12 months.  These represents the largest increases since 2008. (Bureau of Labor and Statistics)

The construction sector comprises establishments primarily engaged in the construction of buildings or engineering projects (e.g., highways and utility systems). Establishments primarily engaged in the preparation of sites for new construction and establishments primarily engaged in subdividing land for sale as building sites also are included in this sector.

Construction work done may include new work, additions, alterations, or maintenance and repairs. Activities of these establishments generally are managed at a fixed place of business, but they usually perform construction activities at multiple project sites. Production responsibilities for establishments in this sector are usually specified in (1) contracts with the owners of construction projects (prime contracts) or (2) contracts with other construction establishments (subcontracts).

Workforce Statistics

This section provides information relating to employment and unemployment in construction. While most data are obtained from employer or establishment surveys, information on industry unemployment comes from a national survey of households. The following tables present an overview of the industry including the number of jobs, the unemployment rate of those previously employed in the industry, job openings and labor turnover, union membership and representation, gross job gains and losses, data for occupations common to the industry, and projections of occupational employment change.

Employment, Unemployment, and Openings, Hires, and Separations

   
Data series Back
data
Mar.
2016
Apr.
2016
May
2016
Jun.
2016

Employment (in thousands)

Employment, all employees (seasonally adjusted)

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6,665 6,659 (P) 6,643 (P) 6,643

Employment, production and nonsupervisory employees (seasonally adjusted)

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5,019 5,025 (P) 5,015 (P) 5,004

Unemployment

Unemployment rate

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8.7% 6.0% 5.2% 4.6%

Job openings, hires, and separations (in thousands)

Job openings

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215 193 (P) 188

Hires

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350 460 (P) 380

Separations

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280 317 (P) 289

Footnotes
(P) Preliminary

(Source: Current Employment Statistics, Current Population Survey, Job Openings and Labor Turnover Survey)

Union Membership and Representation

   
Data series Back
data
2012 2013 2014 2015

Union membership and representation

Members of unions (percent of wage and salary workers)

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13.2% 14.1% 13.9% 13.2%

Represented by unions (percent of wage and salary workers)

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13.7% 14.9% 14.7% 14.0%

(Source: Current Population Survey)

Dynamic Changes in Employment

   
Data series Back
data
1st quarter
2015
2nd quarter
2015
3rd quarter
2015
4th quarter
2015

Dynamic changes in employment (in thousands)

Gross job gains

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652 693 643 696

Gross job losses

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616 599 603 587

(Source: Business Employment Dynamics)

Employment by Occupation

   
Data series Employment,
2015

Carpenters

538,350

Construction laborers

731,490

Construction managers

192,690

Electricians

449,040

Operating engineers and other construction equipment operators

226,210

(Source: Occupational Employment Statistics)

Projections

For projected (future) employment estimates, see the National Employment Matrix, which includes employment estimates by industry and occupation for construction.

(Source: Office of Occupational Statistics and Employment Projections)

Earnings and Hours

This section presents data on employee earnings and weekly hours. The latest industry averages of hourly earnings and weekly hours, as well as weekly earnings by union membership status, are shown. In addition, recent hourly and annual earnings are shown for occupations commonly found in construction. This section also contains information on the average cost of benefits paid by employers, as well as recent rates of change in wages and total compensation.

Earnings and Hours of All Employees

   
Data series Back
data
Mar.
2016
Apr.
2016
May
2016
Jun.
2016

Average hourly earnings

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$27.85 $27.95 (P) $28.05 (P) $28.13

Average weekly hours

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38.7 39.1 (P) 39.1 (P) 39.2

Footnotes
(P) Preliminary

(Source: Current Employment Statistics)

Earnings and Hours of Production and Nonsupervisory Employees

   
Data series Back
data
Mar.
2016
Apr.
2016
May
2016
Jun.
2016

Average hourly earnings

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$25.68 $25.71 (P) $25.83 (P) $25.97

Average weekly hours

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39.2 39.7 (P) 39.6 (P) 39.7

Footnotes
(P) Preliminary

(Source: Current Employment Statistics)

Union Membership and Representation

   
Data series Back
data
Median weekly earnings
2012 2013 2014 2015

Union membership and representation

Full-time workers

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$768 $762 $775 $784

Members of unions

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$1,086 $1,096 $1,123 $1,099

Represented by unions

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$1,069 $1,081 $1,108 $1,093

Nonunion

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$722 $713 $724 $743

(Source: Current Population Survey)

Earnings by Occupation

   
Data series Wages, 2015
Hourly Annual
Median Mean Median Mean

Carpenters

$20.25 $22.55 $42,120 $46,910

Construction laborers

$15.57 $17.84 $32,380 $37,100

Construction managers

$41.13 $46.29 $85,550 $96,290

Electricians

$24.12 $26.35 $50,160 $54,800

Operating engineers and other construction equipment operators

$22.26 $24.70 $46,310 $51,380

(Source: Occupational Employment Statistics)

Employer Compensation Costs

   
Data series Back
data
3rd quarter
2015
4th quarter
2015
1st quarter
2016
2nd quarter
2016

12-month percent change

Total compensation

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2.1% 2.2% 2.3% 2.5%

Wages and salaries

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2.4% 2.6% 2.6% 2.7%

(Source: Compensation Cost Trends)

 

   
Data series Back
data
1st quarter 2016
Compensation component
($ per hour worked)
Percent of total compensation

Compensation costs

Total compensation

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36.98 100.0

Wages and salaries

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25.83 69.8

Total benefits

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11.15 30.2

Insurance

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2.84 7.7

Retirement

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1.90 5.1

(Source: Compensation Cost Trends)

Labor Costs

OCC_CODE OCC_TITLE OCC_GROUP TOT_EMP EMP_PRSE H_MEAN A_MEAN MEAN_PRSE H_PCT10 H_PCT25 H_MEDIAN H_PCT75 H_PCT90 A_PCT10 A_PCT25 A_MEDIAN A_PCT75 A_PCT90 ANNUAL HOURLY
11-9020 Construction Managers broad 239,640 1.0 46.88 97,510 0.5 25.17 32.06 42.02 56.45 74.61 52,350 66,680 87,400 117,420 155,200
11-9021 Construction Managers detailed 239,640 1.0 46.88 97,510 0.5 25.17 32.06 42.02 56.45 74.61 52,350 66,680 87,400 117,420 155,200
11-9040 Architectural and Engineering Managers broad 179,770 0.9 68.10 141,650 0.5 40.73 51.11 63.85 79.39 # 84,710 106,320 132,800 165,130 #
11-9041 Architectural and Engineering Managers detailed 179,770 0.9 68.10 141,650 0.5 40.73 51.11 63.85 79.39 # 84,710 106,320 132,800 165,130 #
17-0000 Architecture and Engineering Occupations major 2,475,390 0.5 39.89 82,980 0.3 20.18 27.26 36.96 49.38 63.16 41,970 56,700 76,870 102,710 131,360
17-1000 Architects, Surveyors, and Cartographers minor 168,660 1.1 35.85 74,580 0.6 19.42 25.17 33.23 43.66 55.30 40,390 52,350 69,130 90,810 115,030
17-1010 Architects, Except Naval broad 113,550 1.4 38.64 80,370 0.7 21.36 27.35 35.60 46.07 58.84 44,440 56,900 74,040 95,830 122,380
17-1011 Architects, Except Landscape and Naval detailed 93,720 1.6 39.83 82,850 0.8 22.15 28.30 36.59 47.00 60.34 46,080 58,870 76,100 97,760 125,520
17-1012 Landscape Architects detailed 19,820 4.9 32.98 68,600 1.4 19.34 23.93 30.68 39.83 50.34 40,230 49,780 63,810 82,850 104,710
17-1020 Surveyors, Cartographers, and Photogrammetrists broad 55,110 1.5 30.12 62,650 0.6 16.32 21.44 28.33 37.33 46.32 33,940 44,580 58,920 77,660 96,340
17-1022 Surveyors detailed 43,140 1.8 29.75 61,880 0.7 15.79 20.86 27.89 37.13 46.06 32,850 43,380 58,020 77,230 95,800
17-2080 Environmental Engineers broad 52,600 1.9 42.33 88,040 0.6 24.15 31.06 40.65 51.26 61.75 50,230 64,610 84,560 106,610 128,440
17-2081 Environmental Engineers detailed 52,600 1.9 42.33 88,040 0.6 24.15 31.06 40.65 51.26 61.75 50,230 64,610 84,560 106,610 128,440
17-3010 Drafters broad 205,190 1.2 26.84 55,820 0.4 16.15 20.05 25.35 31.85 40.07 33,590 41,700 52,720 66,240 83,350
17-3011 Architectural and Civil Drafters detailed 95,280 1.7 25.71 53,470 0.5 15.99 19.62 24.38 29.95 37.24 33,260 40,810 50,710 62,290 77,450
17-3025 Environmental Engineering Technicians detailed 17,360 3.0 24.60 51,170 1.0 14.07 17.71 23.39 29.71 37.30 29,270 36,830 48,650 61,790 77,590
17-3030 Surveying and Mapping Technicians broad 53,620 2.9 21.54 44,800 0.6 12.53 15.66 20.20 26.20 32.77 26,060 32,580 42,010 54,500 68,160
17-3031 Surveying and Mapping Technicians detailed 53,620 2.9 21.54 44,800 0.6 12.53 15.66 20.20 26.20 32.77 26,060 32,580 42,010 54,500 68,160
33-9032 Security Guards detailed 1,097,660 0.9 13.68 28,460 0.5 8.82 9.80 11.84 15.87 21.64 18,350 20,370 24,630 33,000 45,010
37-1010 First-Line Supervisors of Building and Grounds Cleaning and Maintenance Workers broad 270,360 0.9 20.52 42,680 0.4 11.63 14.53 18.96 24.96 31.88 24,180 30,220 39,440 51,930 66,300
37-2011 Janitors and Cleaners, Except Maids and Housekeeping Cleaners detailed 2,146,880 0.5 12.59 26,180 0.3 8.44 9.26 11.27 14.72 18.91 17,550 19,270 23,440 30,610 39,320
37-3000 Grounds Maintenance Workers minor 976,840 0.5 13.50 28,090 0.3 8.93 10.11 12.31 15.64 19.96 18,570 21,040 25,610 32,540 41,510
37-3010 Grounds Maintenance Workers broad 976,840 0.5 13.50 28,090 0.3 8.93 10.11 12.31 15.64 19.96 18,570 21,040 25,610 32,540 41,510
37-3011 Landscaping and Groundskeeping Workers detailed 895,600 0.6 13.20 27,460 0.3 8.87 10.01 12.03 15.08 19.00 18,460 20,820 25,030 31,370 39,520
37-3019 Grounds Maintenance Workers, All Other detailed 16,890 5.9 16.03 33,340 2.1 9.11 10.46 14.05 20.20 27.16 18,950 21,750 29,220 42,010 56,480
47-0000 Construction and Extraction Occupations major 5,477,820 0.3 22.88 47,580 0.2 12.05 15.22 20.33 28.48 37.87 25,050 31,650 42,280 59,240 78,770
47-1010 First-Line Supervisors of Construction Trades and Extraction Workers broad 517,560 0.6 32.13 66,820 0.2 18.75 23.52 29.84 38.50 48.58 39,000 48,920 62,070 80,080 101,040
47-1011 First-Line Supervisors of Construction Trades and Extraction Workers detailed 517,560 0.6 32.13 66,820 0.2 18.75 23.52 29.84 38.50 48.58 39,000 48,920 62,070 80,080 101,040
47-2000 Construction Trades Workers minor 4,076,800 0.3 22.25 46,290 0.2 12.00 15.06 19.72 27.68 36.91 24,970 31,310 41,020 57,580 76,770
47-2020 Brickmasons, Blockmasons, and Stonemasons broad 74,570 2.4 24.13 50,200 1.0 13.39 16.98 22.32 29.39 38.26 27,850 35,320 46,420 61,130 79,580
47-2021 Brickmasons and Blockmasons detailed 61,360 2.5 24.88 51,750 1.0 14.33 17.72 23.05 30.07 38.85 29,800 36,860 47,950 62,540 80,800
47-2022 Stonemasons detailed 13,210 8.1 20.66 42,970 2.6 10.74 13.85 18.57 25.03 33.16 22,350 28,800 38,630 52,060 68,970
47-2030 Carpenters broad 639,190 0.8 22.49 46,780 0.4 12.61 15.78 20.24 27.39 36.90 26,220 32,810 42,090 56,970 76,750
47-2031 Carpenters detailed 639,190 0.8 22.49 46,780 0.4 12.61 15.78 20.24 27.39 36.90 26,220 32,810 42,090 56,970 76,750
47-2040 Carpet, Floor, and Tile Installers and Finishers broad 75,280 2.5 20.76 43,180 1.3 10.73 13.94 18.38 25.42 34.87 22,310 28,990 38,230 52,870 72,530
47-2041 Carpet Installers detailed 25,810 5.1 20.77 43,210 2.5 10.11 12.91 17.89 25.96 37.36 21,020 26,850 37,220 54,010 77,700
47-2042 Floor Layers, Except Carpet, Wood, and Hard Tiles detailed 9,830 7.0 20.44 42,520 2.7 11.15 14.06 17.80 24.45 34.68 23,190 29,240 37,030 50,860 72,130
47-2043 Floor Sanders and Finishers detailed 4,700 9.8 18.35 38,160 3.0 10.30 13.34 17.76 22.85 27.75 21,420 27,750 36,930 47,530 57,730
47-2050 Cement Masons, Concrete Finishers, and Terrazzo Workers broad 166,610 1.6 20.27 42,150 0.6 12.29 14.75 18.16 23.97 31.48 25,570 30,670 37,780 49,860 65,480
47-2051 Cement Masons and Concrete Finishers detailed 163,360 1.6 20.23 42,080 0.6 12.28 14.74 18.14 23.93 31.33 25,550 30,660 37,740 49,770 65,160
47-2060 Construction Laborers broad 887,580 0.8 17.57 36,550 0.3 9.92 12.20 15.34 20.80 29.36 20,640 25,380 31,910 43,260 61,070
47-2061 Construction Laborers detailed 887,580 0.8 17.57 36,550 0.3 9.92 12.20 15.34 20.80 29.36 20,640 25,380 31,910 43,260 61,070
47-2070 Construction Equipment Operators broad 411,920 0.8 23.26 48,380 0.3 13.61 16.52 21.06 28.31 37.04 28,310 34,360 43,810 58,890 77,030
47-2080 Drywall Installers, Ceiling Tile Installers, and Tapers broad 106,000 2.3 22.48 46,760 1.1 12.77 15.76 19.46 26.88 38.84 26,560 32,790 40,470 55,900 80,790
47-2081 Drywall and Ceiling Tile Installers detailed 88,490 2.5 21.88 45,510 1.2 12.62 15.54 18.85 25.37 37.51 26,250 32,320 39,220 52,770 78,030
47-2110 Electricians broad 592,230 0.8 26.73 55,590 0.5 15.10 18.74 24.94 32.95 42.37 31,410 38,990 51,880 68,540 88,130
47-2111 Electricians detailed 592,230 0.8 26.73 55,590 0.5 15.10 18.74 24.94 32.95 42.37 31,410 38,990 51,880 68,540 88,130
47-2120 Glaziers broad 44,230 3.6 21.84 45,420 1.2 12.28 15.41 18.96 26.17 38.01 25,550 32,060 39,440 54,440 79,050
47-2121 Glaziers detailed 44,230 3.6 21.84 45,420 1.2 12.28 15.41 18.96 26.17 38.01 25,550 32,060 39,440 54,440 79,050
47-2140 Painters and Paperhangers broad 216,340 1.2 19.47 40,490 0.8 11.47 14.07 17.57 23.18 30.33 23,850 29,270 36,550 48,220 63,090
47-2141 Painters, Construction and Maintenance detailed 213,330 1.3 19.49 40,540 0.8 11.49 14.10 17.59 23.21 30.37 23,900 29,320 36,580 48,280 63,170
47-2142 Paperhangers detailed 3,020 13.1 17.60 36,610 4.2 10.21 12.86 16.15 20.79 27.99 21,230 26,740 33,590 43,240 58,220
47-2150 Pipelayers, Plumbers, Pipefitters, and Steamfitters broad 432,380 1.1 25.89 53,860 0.5 13.86 17.66 23.72 32.01 42.12 28,820 36,720 49,340 66,570 87,610
47-2151 Pipelayers detailed 40,710 2.6 20.15 41,910 0.9 12.33 14.48 18.16 24.60 32.01 25,640 30,120 37,780 51,180 66,580
47-2152 Plumbers, Pipefitters, and Steamfitters detailed 391,680 1.2 26.49 55,100 0.5 14.27 18.20 24.34 32.82 43.13 29,680 37,860 50,620 68,270 89,720
47-2160 Plasterers and Stucco Masons broad 22,420 4.8 20.22 42,070 1.7 12.33 15.06 17.94 23.64 31.60 25,640 31,310 37,320 49,170 65,730
47-2161 Plasterers and Stucco Masons detailed 22,420 4.8 20.22 42,070 1.7 12.33 15.06 17.94 23.64 31.60 25,640 31,310 37,320 49,170 65,730
47-2180 Roofers broad 109,720 1.7 19.54 40,630 1.3 11.81 14.12 17.65 23.51 29.90 24,560 29,380 36,720 48,900 62,180
47-2181 Roofers detailed 109,720 1.7 19.54 40,630 1.3 11.81 14.12 17.65 23.51 29.90 24,560 29,380 36,720 48,900 62,180
47-2210 Sheet Metal Workers broad 135,570 2.2 23.95 49,810 0.9 12.39 16.02 21.99 29.55 40.01 25,760 33,310 45,750 61,460 83,230
47-2211 Sheet Metal Workers detailed 135,570 2.2 23.95 49,810 0.9 12.39 16.02 21.99 29.55 40.01 25,760 33,310 45,750 61,460 83,230
47-2220 Structural Iron and Steel Workers broad 64,280 2.7 26.32 54,750 1.1 14.31 17.55 24.28 33.43 43.50 29,770 36,500 50,490 69,530 90,490
47-2221 Structural Iron and Steel Workers detailed 64,280 2.7 26.32 54,750 1.1 14.31 17.55 24.28 33.43 43.50 29,770 36,500 50,490 69,530 90,490
47-3000 Helpers, Construction Trades minor 228,710 1.4 14.37 29,890 0.4 9.49 11.17 13.64 16.80 20.21 19,740 23,230 28,380 34,940 42,030
47-3010 Helpers, Construction Trades broad 228,710 1.4 14.37 29,890 0.4 9.49 11.17 13.64 16.80 20.21 19,740 23,230 28,380 34,940 42,030
47-3011 Helpers–Brickmasons, Blockmasons, Stonemasons, and Tile and Marble Setters detailed 22,970 3.6 15.43 32,090 1.2 9.99 11.73 14.09 17.69 23.19 20,770 24,390 29,320 36,790 48,240
47-3012 Helpers–Carpenters detailed 37,820 3.2 14.04 29,200 0.8 9.27 10.85 13.41 16.50 19.64 19,280 22,560 27,890 34,310 40,840
47-3013 Helpers–Electricians detailed 71,610 2.5 14.42 30,000 0.8 9.46 11.29 13.81 16.97 20.16 19,680 23,480 28,730 35,300 41,940
47-3014 Helpers–Painters, Paperhangers, Plasterers, and Stucco Masons detailed 11,030 7.4 13.31 27,690 1.5 9.24 10.49 12.73 14.84 18.19 19,220 21,830 26,480 30,870 37,830
47-3015 Helpers–Pipelayers, Plumbers, Pipefitters, and Steamfitters detailed 55,530 3.1 14.40 29,950 0.9 9.64 11.28 13.70 16.82 20.02 20,050 23,470 28,500 34,980 41,640
47-3016 Helpers–Roofers detailed 10,810 5.6 13.38 27,820 1.1 9.46 10.82 13.04 15.58 18.17 19,680 22,500 27,110 32,400 37,800
47-3019 Helpers, Construction Trades, All Other detailed 18,930 4.2 14.66 30,500 1.1 9.47 11.12 13.71 17.19 21.54 19,690 23,120 28,510 35,750 44,800
47-4010 Construction and Building Inspectors broad 91,480 1.2 28.86 60,030 0.5 16.73 21.39 27.57 35.36 44.04 34,800 44,490 57,340 73,560 91,600
47-4011 Construction and Building Inspectors detailed 91,480 1.2 28.86 60,030 0.5 16.73 21.39 27.57 35.36 44.04 34,800 44,490 57,340 73,560 91,600
47-4050 Highway Maintenance Workers broad 142,300 1.2 18.36 38,200 0.3 11.35 14.15 17.75 22.21 26.38 23,600 29,430 36,930 46,200 54,870
47-4051 Highway Maintenance Workers detailed 142,300 1.2 18.36 38,200 0.3 11.35 14.15 17.75 22.21 26.38 23,600 29,430 36,930 46,200 54,870
47-4099 Construction and Related Workers, All Other detailed 32,420 3.7 18.99 39,500 1.3 11.16 13.68 17.45 22.55 28.80 23,200 28,460 36,300 46,900 59,900
47-5020 Earth Drillers, Except Oil and Gas broad 19,490 3.6 24.92 51,840 3.3 13.64 16.68 21.27 27.93 36.62 28,370 34,700 44,240 58,100 76,160
47-5021 Earth Drillers, Except Oil and Gas detailed 19,490 3.6 24.92 51,840 3.3 13.64 16.68 21.27 27.93 36.62 28,370 34,700 44,240 58,100 76,160
47-5080 Helpers–Extraction Workers broad 22,820 4.6 17.83 37,080 1.1 11.88 13.82 17.19 21.36 24.63 24,700 28,740 35,760 44,430 51,230
47-5081 Helpers–Extraction Workers detailed 22,820 4.6 17.83 37,080 1.1 11.88 13.82 17.19 21.36 24.63 24,700 28,740 35,760 44,430 51,230
49-2093 Electrical and Electronics Installers and Repairers, Transportation Equipment detailed 14,210 4.8 28.41 59,080 1.2 17.72 23.57 28.36 33.92 38.92 36,860 49,020 58,990 70,560 80,950
49-2094 Electrical and Electronics Repairers, Commercial and Industrial Equipment detailed 69,290 1.7 27.25 56,670 0.7 16.62 21.35 26.77 32.20 38.00 34,570 44,400 55,690 66,970 79,030
49-2095 Electrical and Electronics Repairers, Powerhouse, Substation, and Relay detailed 23,070 3.0 34.83 72,450 0.7 23.94 30.62 35.49 40.59 46.10 49,800 63,680 73,810 84,420 95,890
49-3040 Heavy Vehicle and Mobile Equipment Service Technicians and Mechanics broad 180,400 1.1 23.17 48,180 0.4 14.11 17.60 22.65 28.02 33.58 29,360 36,600 47,120 58,290 69,840
49-9010 Control and Valve Installers and Repairers broad 60,440 2.4 24.55 51,060 0.9 13.54 17.12 22.79 31.08 38.67 28,150 35,610 47,400 64,640 80,440
49-9012 Control and Valve Installers and Repairers, Except Mechanical Door detailed 42,510 2.4 26.81 55,760 0.9 14.77 18.82 26.01 34.23 41.41 30,720 39,150 54,100 71,200 86,140
49-9043 Maintenance Workers, Machinery detailed 92,520 1.5 21.41 44,540 0.4 12.81 16.33 20.80 25.92 30.39 26,650 33,970 43,260 53,920 63,200
49-9051 Electrical Power-Line Installers and Repairers detailed 115,380 1.8 31.57 65,650 0.7 17.31 24.12 31.95 38.63 46.15 36,000 50,160 66,450 80,360 95,990
49-9070 Maintenance and Repair Workers, General broad 1,314,560 0.4 18.73 38,950 0.2 10.44 13.41 17.61 23.05 28.88 21,700 27,890 36,630 47,950 60,060
49-9071 Maintenance and Repair Workers, General detailed 1,314,560 0.4 18.73 38,950 0.2 10.44 13.41 17.61 23.05 28.88 21,700 27,890 36,630 47,950 60,060
49-9096 Riggers detailed 22,790 4.2 22.97 47,770 3.0 12.92 15.72 20.78 27.59 35.52 26,880 32,700 43,220 57,390 73,880
49-9098 Helpers–Installation, Maintenance, and Repair Workers detailed 124,220 1.5 13.71 28,530 0.5 8.81 10.06 12.69 16.29 20.49 18,320 20,920 26,400 33,890 42,620
51-2040 Structural Metal Fabricators and Fitters broad 79,620 2.3 18.77 39,040 0.7 11.84 14.38 17.81 22.30 27.56 24,620 29,910 37,050 46,390 57,330
51-2041 Structural Metal Fabricators and Fitters detailed 79,620 2.3 18.77 39,040 0.7 11.84 14.38 17.81 22.30 27.56 24,620 29,910 37,050 46,390 57,330
51-4193 Plating and Coating Machine Setters, Operators, and Tenders, Metal and Plastic detailed 35,640 2.8 15.83 32,930 0.8 9.97 11.89 14.69 18.60 23.68 20,730 24,720 30,550 38,680 49,250
51-7010 Cabinetmakers and Bench Carpenters broad 93,650 1.9 16.34 33,980 0.6 9.88 12.20 15.52 19.24 24.01 20,550 25,380 32,270 40,020 49,940
51-7011 Cabinetmakers and Bench Carpenters detailed 93,650 1.9 16.34 33,980 0.6 9.88 12.20 15.52 19.24 24.01 20,550 25,380 32,270 40,020 49,940
51-9120 Painting Workers broad 156,550 1.4 17.84 37,110 0.5 10.52 12.92 16.51 21.29 27.36 21,890 26,880 34,340 44,290 56,910
51-9123 Painting, Coating, and Decorating Workers detailed 16,020 4.2 15.01 31,210 1.1 9.32 11.08 14.07 17.65 22.33 19,390 23,050 29,270 36,720 46,440
51-9198 Helpers–Production Workers detailed 439,000 1.6 12.50 26,010 0.4 8.62 9.55 11.52 14.53 18.15 17,930 19,860 23,960 30,230 37,760
53-7020 Crane and Tower Operators broad 46,490 2.9 26.23 54,560 1.2 15.10 18.90 24.83 31.76 39.79 31,410 39,310 51,650 66,050 82,760
53-7021 Crane and Tower Operators detailed 46,490 2.9 26.23 54,560 1.2 15.10 18.90 24.83 31.76 39.79 31,410 39,310 51,650 66,050 82,760
53-7030 Dredge, Excavating, and Loading Machine Operators broad 54,930 2.8 21.54 44,810 1.3 12.86 15.80 19.54 26.01 33.54 26,740 32,860 40,650 54,090 69,770
53-7031 Dredge Operators detailed 1,850 8.8 21.18 44,040 2.6 12.38 15.82 19.26 25.51 32.54 25,760 32,910 40,060 53,070 67,690
53-7040 Hoist and Winch Operators broad 2,880 7.0 24.37 50,680 4.8 12.85 16.00 20.30 30.34 43.84 26,720 33,280 42,220 63,110 91,190
53-7041 Hoist and Winch Operators detailed 2,880 7.0 24.37 50,680 4.8 12.85 16.00 20.30 30.34 43.84 26,720 33,280 42,220 63,110 91,190
53-7120 Tank Car, Truck, and Ship Loaders broad 11,960 9.4 19.72 41,010 2.6 10.76 13.61 17.63 23.62 33.57 22,370 28,320 36,660 49,120 69,820
53-7121 Tank Car, Truck, and Ship Loaders detailed 11,960 9.4 19.72 41,010 2.6 10.76 13.61 17.63 23.62 33.57 22,370 28,320 36,660 49,120 69,820

More Problems with City of Long Beach Job Order Contract

City Auditor shares findings of an audit which found that
” that found LB’s (City of Long Beach) Public Works Department had let some contractors receive roughly $1.9 million more than they should have under the Job Order Contracting program. The actions involved projects costing an average of $100,000 each, meaning LB taxpayers didn’t receive as many as 19 infrastructure projects that they might have. ”  (Source: LBReport.com)

“In April (entering the campaign cycle for the sales tax increase portrayed as for infrastructure), Mayor Garcia agendized an item seeking changes in the Public Works Dept. program without disclosing Audit findings of which the Auditor had made him aware. On May 24, the Council approved City Attorney office-drafted changes to the Job Order Contracting program without disclosing the Audit-based underlying reasons for them. On May 25 (after vote by mail ballots had been circulating since roughly May 9), the Auditor’s office released its findings. The Auditor’s office has told LBREPORT.com that its timeline for releasing its Audit findings was coincidental.” – LBReport.com

Learn more

Proper oversight, education, and training are required for developing and implementing a Job Order Contract.

 

Job Order Contracting Best Management Practices

Download the Job Order Contracting – JOC to being to understand Job Order Contracting Best Management Practices.

Seven elements of a to Job Order Contracting Best Management Practices.

1. Early and ongoing involvement of ALL program/project participants.
2. Value and qualification based selection and procurement.
3. Cost and accounting transparency via standardized cost data architectures, terms, and definitions.
4. Shared risk/reward.
5. Appropriate use of supporting technology and enabling technology.
6.Centralized reporting and oversight with local empowerment, application, and management, monitoring, metrics, as well as continuous improvement.
7.Mutual respect.
job order contracting best management practices

Owners Strategies to Promote Construction Productivity

Real property owners must be held accountable in their roles as stewards of the built environment.    For example, to this day, despite decades  of notices, regulations, reports, and mandates to resolve the problem, the nation’s largest property owner, the GSA PBS, does not have a standardized LEAN process to efficiently manage the renovation, repair, and maintenance of its facility portfolio and infrastructure.

All real property Owners need to improve their awareness and implementation of LEAN construction and facility management processes.

Application of the following fundamental principles and best management practice application of collaborative construction delivery methods such as  Integrated Project Delivery – IPD, and Job Order Contracting, would reduce waste and begin to better address critical life-safety and security issues.

1. Early and ongoing involvement of ALL participants.
2. Value and qualification based selection / procurement/
3. Transparency in cost and accounting via standardized cost data architectures, terms, and definitions.
4. Shared risk/reward.
5. Appropriate used of supporting technology
6. Centralized reporting and oversight with local application and management – monitoring, metrics, and continuous improvement.

Job order contracting research

JOC Performance – Industry Study 2016

Job Order Contracting Research

2016_JOC_Report

The JOC Performance – Industry Study outlines how Job Order Contracting delivers more projects on-time & on-budget, higher quality, and greater overall satisfaction than design-bid-build, design-build, and other construction delivery methods.

job order contracting research