Construction Equipment Owner

I returned this afternoon from visiting the Terex AWP “Ramp Up To Terex” Roadshow stop at Hertz Equipment Rental in Elmhurst, IL. The touring exhibition features the Terex HFT 70RS rental trailer and the newly redesigned Genie Industries S-80 telescopic boom.

Those in attendance were given a demonstration of the new features of the S-80 that include fixed width axles; virtual pivot boom assembly; faster elevation time; improved software design for smoother, more comfortable operation; and intuitive operator and serviceability features.

Of these features the two that stood out where elevation time and smoother operation. The telescopic boom is able to reach 80 feet in 68 seconds and I can tell you first-hand the ride to the top is extremely smooth.Even when it had reached its max length there was no hard stop causing the unit to shake. The operations were also impressive in that you can maneuver with great accuracy and at infinite speeds for complete operator control.

Click to read the full release.

At the risk of entering treacherous waters here, it’s important to note that starting today there is probably a slight warming taking place among those banks and companies who lend us money. That’s because, setting aside the politics of it (because even though politics is involved it’s really an economic issue), the package the House approved today was something that had to happen.

Like it or not, the U.S. economy (and the world economy for that matter) operates on credit — on loans and interest and payments. Many (most? all?) contractors couldn’t survive without credit, and most homeowners couldn’t either. But the series of foul ups — you can blame whomever you like, there’s plenty to go around — had created a credit freeze, where lenders were not only picky (as they always should have been) about who they lend money to, they refused to lend money, even to each other. Ask any contractor who recently tried to get a loan how difficult that was going to be. And there’s a “trickle-up” problem with a credit freeze, too: If contractors can’t get loans to buy equipment, manufacturers can’t sell (to say nothing of the fact that manufactures then can’t get loans to buy raw materials). That’s just an example in the construction industry but it’s repeated throughout the economy. It’s a whirlpool effect that could suck a whole lot of folks down.

In the very short term a credit freeze is uncomfortable; in the long term a credit freeze untenable. Time will tell if this was the best package to pass or the best route to take, but clearly something had to be done and this plan is, if nothing else, a start.

Caterpillar recently unveiled three new additions to its line of rubber-track loaders - 279C, 289C and 299C. These loaders feature a newly engineered suspension-type undercarriage, designed and built by Caterpillar, with the chassis of their multi terrain loader counterparts, the 277C, 287C and 297C. Joining the construction equipment podcast to discuss the new rubber-track loaders and where they fit into the product line are Pierre Verdon Industry Manager North America - skid steer loaders, multi-trerrian loaders and compact track loaders and Todd Lynnes, Product Marketing Manger - skid steer loaders, multi-train loaders and compact track loaders. Listen to the podcast at the bottom of this post.

Basic Specifications for 279C, 289C and 299C Compact Track Loaders

 Caterpillar's New Compact Track Loaders [12:07m]: Play Now | Play in Popup | Download (25)

From my discussions with various construction project management providers, there has been a large number who know offer web-based systems. This creates a variety of benefits in that the provider is responsible for maintaining all the hardware and staffing an IT department. Essentially all the owner does is log in to the program, via the web, and controls all of the features offered from the system. In addition, all documents and other materials associated with the project are housed by the provider, eliminating the need of the contractor to secure storage space for these documents.

SoftwareAdvice.com recently published an article entitled “Tailwinds for Web-Based Construction Management Systems” that talks more about web-based programs and how contractors may benefit from them.

Barry LePatner - coauthor of Structural & Foundation Failures and author of Broken Buildings, Busted Budgets: How to Fix America’s Trillion-Dollar Construction Industry is the latest guest on the Construction Business Podcast. Barry shares his views on the current status of the nation’s infrastructure and offers his solutions on how will our nation can change its irresponsible ways in regard to its infrastructure needs.

 Three Actions Our Leaders Must Take in Order to Save America's Crumbling Infrastructure [11:36m]: Play Now | Play in Popup | Download (32)

According to FMI’s Construction Outlook:

The outlook for 2008 has been revised downward for residential and upward for nonresidential construction. Nonresidential starts from 2007 will prop up put in place construction in 2008. The pain from decreasing starts in 2008 will not be felt until 2009. The outlook for 2009 has been revised downward for both residential and nonresidential construction.

Heather Jones, construction economist for FMI’s Research Services returns as a guest on the Construction Business Podcast to dig into the findings of the recent report and explain some of the indicators behind the outlooks.

 Construction Outlook 3Q 2008 [4:53m]: Play Now | Play in Popup | Download (83)

I’m behind in my magazine reading again (or maybe still) so just ran across “Tapped Out,” an article in June National Geographic about world oil supply and demand. The article updates a 2004 report by a Saudi oil geologist named Sadad I. Al Husseini who in the 1990s was skeptical of upbeat oil industry projections for future production. So Husseini began studying data from about 250 of the world’s major oil fields, and he found that the upbeat projections were way off the mark.

Of course his interpretation of his results was derided at the time, with many oil analysts saying his claim of peak world production leveling off at 85 million barrels a day and slowly declining from there was too pessimistic.

Fast-forward to this year, where oil prices jumped so significantly (even though they now see the underside of $100 a barrel), and it turns out that Husseini and his analysis was right on the money, at least so far. Since 2004 oil production has basically leveled off at around 85 million barrels a day — despite increased demand and price increases (a one-two combo that usually results in more product being produced).

Check it out. The charts are as interesting as the article.

Construction employers who fail to be in compliance with wage payment practices open themselves up to expensive litigation and fines. As this type of litigation appears to on the rise in the construction industry, it is important business owners are aware of wage and hour regulations. Martin Gringer, Partner with Franklin, Gringer & Cohen, P.C., discusses common wage and hour violations and how ways to help ensure compliance in this construction business podcast.

 Wage and Hour Issues [5:55m]: Play Now | Play in Popup | Download (130)

The 2008 Inc. 5000 list was recently published online. A subsection of this list is the Top 100 Construction Companies.

There is a great snapshot of each company with short descriptions of why the company is growing and what is noteworthy. There are different reasons for why the company has experienced such large growth from exploring new markets to its overall vision and structure:

This is a good list to see how other construction businesses are succeeding. You might also want to make special note of anyone in your area. There may be a market you are overlooking or other element that is making you less competitive.

Did your company make the list? What are you doing to continue to grow you company?

Veteran commercial construction manager Joe McCarthy joins the construction business podcast to discuss common problems of commercial and industrial construction projects. McCarthy, who’s new book is “Choosing Project Success: A Guide for Building Professionals” also addresses the biggest challenges facing today’s contractors.

 Finding Success in the Construction Industry [10:40m]: Play Now | Play in Popup | Download (146)