fundamentals of contractor qualification
DESCRIPTION
Successful contractor qualification is a key objective in facilities maintenance. In this brief presentation given by Cherry Logistics at the Professional Retail Store Maintenance Association (PRSM), Michael D’Aversa addresses strategy, qualification, and more.TRANSCRIPT
![Page 1: Fundamentals of Contractor Qualification](https://reader033.vdocuments.us/reader033/viewer/2022061300/54d1499c4a795988238b45ce/html5/thumbnails/1.jpg)
Fundamentals of Contractor QualificationMichael D’Aversa Manager | Cost Analysis Cherry Logistics Corporation
![Page 2: Fundamentals of Contractor Qualification](https://reader033.vdocuments.us/reader033/viewer/2022061300/54d1499c4a795988238b45ce/html5/thumbnails/2.jpg)
In the next 20 minutes…
• The Objective of Contractor Qualification• Strategic Considerations• Identification Scenarios• Qualitative and Quantitative Validation• Results
![Page 3: Fundamentals of Contractor Qualification](https://reader033.vdocuments.us/reader033/viewer/2022061300/54d1499c4a795988238b45ce/html5/thumbnails/3.jpg)
• Identify and validate a viable pool of qualified Facilities Maintenance contractors
• Aligned with your company’s specific needs• by trade specialty
• by geographic location
• Essentially available prior to having a specific need
• Having the potential for developing a sustained, long-term business relationship
The Objective of Contractor Qualification
![Page 4: Fundamentals of Contractor Qualification](https://reader033.vdocuments.us/reader033/viewer/2022061300/54d1499c4a795988238b45ce/html5/thumbnails/4.jpg)
Strategic Considerations
• Best time to evaluate a potential contractor
• Pre-relationship • Research
• RFI
• Dialogue
• Throughout relationship
• Direct providers vs. management companies
![Page 5: Fundamentals of Contractor Qualification](https://reader033.vdocuments.us/reader033/viewer/2022061300/54d1499c4a795988238b45ce/html5/thumbnails/5.jpg)
Identification
• Scenario: They find you• Lead generation vs. diligent, interested party
• Initial evaluation, RFI form, etc.
• Scenario: You have to find them • Internal reference
• Trade organizations
• Local chambers of commerce
• Non-competing local reference
• Internet research
![Page 6: Fundamentals of Contractor Qualification](https://reader033.vdocuments.us/reader033/viewer/2022061300/54d1499c4a795988238b45ce/html5/thumbnails/6.jpg)
Validation
• Quantitative• Establishment
• Competency
• Capacity
• Pricing/rate structure
• Risk management factors
• Qualitative• Dialog
• Visual evaluation
• That which is important though not easily counted or measured
![Page 7: Fundamentals of Contractor Qualification](https://reader033.vdocuments.us/reader033/viewer/2022061300/54d1499c4a795988238b45ce/html5/thumbnails/7.jpg)
Quantitative — Establishment
• Business structure
• Number of years in business• Current iteration
• Previous iteration(s)
• Number of years at location(s)
• Proximity• Potential time sensitivity
• Physical distance from provider start point(s) to site(s)
• Verifiable history of growth
![Page 8: Fundamentals of Contractor Qualification](https://reader033.vdocuments.us/reader033/viewer/2022061300/54d1499c4a795988238b45ce/html5/thumbnails/8.jpg)
Quantitative — Competency
• Licensing
• Degrees, certificates, etc.
• Verifiable training
• Past performance• Internal (vendor score, documented issues)
• External (BBB or other published rating data)
![Page 9: Fundamentals of Contractor Qualification](https://reader033.vdocuments.us/reader033/viewer/2022061300/54d1499c4a795988238b45ce/html5/thumbnails/9.jpg)
Quantitative — Capacity
• Concerns may vary by trade type
• Number and types of equipment• Trade-related
• Business-related
• Ownership of trade-related equipment
• Human Resources
![Page 10: Fundamentals of Contractor Qualification](https://reader033.vdocuments.us/reader033/viewer/2022061300/54d1499c4a795988238b45ce/html5/thumbnails/10.jpg)
Quantitative — Pricing/Rate Structure
• Buyer Perspective
• Seller Perspective
• Hourly rate information
• Quote on sample project
![Page 11: Fundamentals of Contractor Qualification](https://reader033.vdocuments.us/reader033/viewer/2022061300/54d1499c4a795988238b45ce/html5/thumbnails/11.jpg)
Quantitative — Risk Management Factors
• Insurance• Levels and types
• Endorsements
• Safety• Policies and procedures
• Record
• Litigation
![Page 12: Fundamentals of Contractor Qualification](https://reader033.vdocuments.us/reader033/viewer/2022061300/54d1499c4a795988238b45ce/html5/thumbnails/12.jpg)
Qualitative — Dialog
• Indicators of suitability• Experience matched to your business
• Clients/References
• Competitors
• Communicative ability• Likelihood of compliance
• Barriers to communication
• Intentional phone conversations and e-mail threads
![Page 13: Fundamentals of Contractor Qualification](https://reader033.vdocuments.us/reader033/viewer/2022061300/54d1499c4a795988238b45ce/html5/thumbnails/13.jpg)
Qualitative — Visual Evaluation
• Contractor facility visits• Verify equipment
• Observe conditions
• Observe staff
• Face-to-face meetings• Deeper dialog
• Clearer understanding
• Long-term suitability
![Page 14: Fundamentals of Contractor Qualification](https://reader033.vdocuments.us/reader033/viewer/2022061300/54d1499c4a795988238b45ce/html5/thumbnails/14.jpg)
Effective Contractor Qualification
• Strategic methodology• Pre-relationship and ongoing• Quantitative and qualitative validation• Our results
• Contractor pools in markets not yet served• Contractor relationships that span our 10 years in
business• Contractor turnover/termination rate < 4%
![Page 15: Fundamentals of Contractor Qualification](https://reader033.vdocuments.us/reader033/viewer/2022061300/54d1499c4a795988238b45ce/html5/thumbnails/15.jpg)
Additional Resources
• Search trade associations at www.asaecenter.org
(American Society of Association Executives)• Search complaints at www.bbb.org • Search litigation at law.justia.com and
www.leagle.com• White papers available on
www.cherrylogistics.com: – Emergency Response Case Study– Risk Management– The 8.5 Best Practices For Facilities Maintenance
![Page 17: Fundamentals of Contractor Qualification](https://reader033.vdocuments.us/reader033/viewer/2022061300/54d1499c4a795988238b45ce/html5/thumbnails/17.jpg)
PRSM Resources
White Papers: •Keys to Successful Request for Proposals•Vendor Relations Management
Best Practices Books•2012 Best Practices Book (Vendor Management and Communications)•2010 Best Practice Book (Vendor Management)