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By Timothy E. Hull, CR
Service contractors are notoriously bad with communication. Finding support for this statement is not very difficult; just ask a handful of neighbors what they would want from a good home improvement contractor. You will get responses like answer the phone, return phone calls and emails, show up on time, provide realistic expectations or simply finish the job. The baseline expectations of the average consumer are actually pretty low. Yet, many contractors still can’t meet them when it comes to communication.
Multiple studies conducted by the Project Management Institute (PMI), Forbes and the Society for Human Resource Management (SHRM) reveal that hundreds of millions of dollars each year are lost by companies due to poor project communication. The PMI claims this represents as much as 7.5% of a project’s budget. For restoration contractors, this can be the difference between a positive or negative bottom line at the end of the year. Furthermore, project communication failures reveal themselves in the most vulnerable area of the business — accounts receivable and cash flow.
So, in a time when production schedules are full, lead times are long, and resources thin, what exactly are contractors to do to appease their customers? The answer can be found in improving project communication. While this might seem to be a daunting task for some, a simple tool that can be used to guide the efforts is a project communication plan.
This straightforward and effective instrument is so powerful that a previous graduate of Violand’s Restoration Project Management program once referred to it as “the $800K document.” It helped him secure an $800K commercial mold remediation project when, during the bid process, the property manager asked how they planned to keep all parties on the same page throughout the project.
The purpose of the communication plan is to improve communication by identifying the five elements of information that are necessary to achieve effective communication during a project: audience, output, frequency, delivery method and lead. Let’s look at each of them in more detail to gain a greater understanding of just how simple this concept is.
You don’t need to be performing $800K mold remediation projects to take advantage of proper planning to improve communication in your company’s projects. While you can certainly see the benefits of using a communication plan on all large projects, it can be equally as effective as a standardization tool for smaller, more repetitive projects as well. And once the communication process is standardized, it can then be improved by measuring the results and effectiveness and adjusting as necessary.
Timothy E. Hull, CR, is the director of operations and a business development advisor for Violand Management Associates (VMA), a highly respected consulting company in the restoration and cleaning industries. Hull is a leading expert in operational systems, policies and procedures, as well as restoration project management training, with almost 20 years of experience in the restoration industry. Through Violand, Hull works with companies to develop their people and their profits. To reach him, visit Violand.com or call 800-360-3513.