If you could change one thing, what would it be: Change the volume of work that Bertco can perform. Bertco is a very young company and so they do not want to outpays a study growth, so they purposely keep their revenue under a certain amount per quarter and per year. And when they ready, they will be going ahead increasing the revenue they attend to perform. Customers would want it to increase because they would like to be able to hire the company from multiple different projects. Including outside of CA. Bertco Inc already been ask by one of their customer if they would do the project for them and with them in Texas and another one in Florida. Currently, Bertco Inc is not ready to expend to outside of CA yet. So the customer would like to change is Bertco Inc revenue being large enough to they can expand to more than just one state. It is hard to find specialty contractors with quality of work and with the timely schedule consonance in the construction industry.
Strict Safety Procedures
Compared to our competitor, is our product better or worse? How come?
Safety procedures strict don’t cause accidents or incidents on job sites
Accidents can delay the project or even stop the project
Bertco Inc. is very strong on schedule
Bertco’s product is better because the strict safety procedures strict. They don’t cause accidents or incidents on job sites. Accidents can delay the project or even stop the project. When delay a project, every contractor will be losing money for each day. It’s not good to cause any sort of incident big or large because one, the company care the safety of all the employees and two, because it just costs money for everyone on that project. Another reason that the product would be considered better is that Bertco Inc. is very strong on schedule when meet the schedule or beat the schedule. Everybody will be experiencing a profit gain because they are now able to complete their work faster.
What did you like with your customer experience?
The paperwork is done in professional, timely manner, and submit on time
Must have a safety meeting every week
Thoroughly document all events (fuel, staff hours, safety, expenses)
The customer experience that clients like is that all paperwork is done in a professional and timely manner. The construction industry isn’t just about bringing a bunch of people and machines to work, it’s also a lot of intensive paperwork. These paperworks must record all events, such as how much fuel the machines use each day, the number of hours that people work each day, documents that need to be reported to the government, and expenses. In addition, Bertco will also hold at least weekly security meetings and record them to ensure machine and personnel safety. It’s very important to submit these paper works because if we don’t submit it to the government or the developer then they won’t pay the general contractor until the subcontractor completes the paperwork. Therefore, it is a very good experience when you find a contractor like Bertco who does all of the paperwork on a timely manner, get it submitted on time, and does not hold a payment for everybody.
How likely are you to do business again with us?
Good impression leads to hand selected contrats
This eliminates competing for public bids
Customer answer: Very likely. The reason why is already happen and is already happening. When you leave a very good impression on your first project for major contractors, they will want to use you more. There are only a handful of contractors in this country who do large volume of work and the reason for is because they have the capacity to do so, financially. All of these big projects cost one billion dollars or more like the Salesforce Tower or the Chase Center. However, this doesn’t mean one company can build that entire thing. That means you need company to do painting, you need company to put up walls, you need company like Bertco to do mass excavation, drilling, foundation work. So what big companies do, they will get entire package under them and then they will hire all different companies and manage all different companies. So if they find the company in a specific trade that they like and has impress them, they are very likely to use the same company to other similar large scale projects for those same scope of work .Because in this country there’s only 5 major companies that get a lot of big scale projects, and then they operate internationally or at least nationally. This big 5 when world gets around not only do they want to continue to use you, other of those major companies will continue want to use you and you start getting invites to price work and get contract for the work. So now, instead of having to go to a public bid were you are competing against the competitor to win the project, you are getting those projects given to you by the contractor who have hands select you and your company
.In 2022 a lot of Bertco’s project are actually project that they are had select it for that means they didn’t need to compete with their competitors to get this project. The contractor they have already work with from previous 4 years, have told Berto that they would like to give them the project they have, can you please tell us how much it will cost, send it over to us and if we like it we will sign the project to you.
WHAT CAN THEY IMPROVE ON?
X asis: In the construction industry, when the company have a job, the company must have a timeframe for completion. When the government hires a business to build a building, for example, they will also tell you how many days you have to finish the job. If you go over the timeframe, the company must pay out of pocket for the labor and equipment. If the job is completed sooner, the firm will still get paid the full contract. This means that if Bertco Inc completes the project sooner, the profit will grow. Also, the rental equipment can be returned to the location where it was rented. Furthermore, the owned equipment may be used on other projects that currently exist. Y asis: There are several types of equipment. Some of them are more expensive and need more time and money to train the employees how to use it.
Bertco Inc uses pricey equipment that can be programed how deep need to dig, and if go too deep, it will immediately stop. This prevents over excavation. Also, it will inform the operator of the weight of the soil you have placed right now. Company A, the operator is using less expensive equipment, they will have to estimate how much dirt visually. There are laws in California that prohibit you from running trucks that are loaded too heavy with dirt. If there are too many, the corporation will receive the ticket and lose money and the job can be shut down thus causing delays in schedule. On the contrary, if you load trucks too light, they will have to make more round trips to haul all the soil, thus taking more time and more money. Having a scale on the excavator eliminates those problems by allowing for maximum loading efficiency.
(Due to the company’s privacy, Bertco Inc doesn’t want us to provide the competitive company’s name, so we use Company A to represent on the graph & note.)
SO BERTCO IS FASTER.
|Strengths: •Perform more than one scope ( for example: demolition, drilling, shoring, and soil stabilization) •The government entity or a private entity is easier to manage their project||Weaknesses: •Weak financial data cause Bertco Inc hard to get a line of credit with banks and hard to give the bonds to the developers and the government agencies|
|Opportunities: •Have more high tec equipment for the construction industry •The equipment will increase the profits because it minimizes the mistake by the machine operator||Threats: •The external environment can endanger profit for the business •The construction industry is very affected by how the government decides to budget the money. •The private company don’t want to spend money building new offices because of the pandemic|
The strength of the company is that they perform more than one scope. They do demolition, drilling, shoring, and soil stabilization. The reason why that is a strength is that, when a government entity or a private entity is looking for a company to hire, it’s cheaper for them to allow for one company to do multiple things. The other reason is that, even if Bertco Inc were the hired company to do the job, they still have to be managed by either the government entity that is hiring them or the private entity. It is easier to manage one company than 2 or 3 companies.
The weakness for Bertco Inc, is they are a young company. The company itself only has some financial data from 2018 to now. In the construction industry, they need to provide a bond to do the job. A bond is an amount of money to ensure the company has enough money to do the project. So when financial data is weak, it’s hard to get a line of credit with banks and hard to give these bonds to the developers and the government agencies.
The opportunities right now from an external environment. This would be equipment. Such as Google makes high-tech equipment and systems for construction. If Bertco Inc. can get a machine that can break all the concrete for the company, they only need someone to program in the computer and then it will do it for the company. The equipment will increase profits because it minimizes the mistake by the machine operator.
The external environment can endanger profit for the business. The construction industry is very affected by how the government decides to budget the money. If the government stops spending money on building freeways or renovating airports that means there’s less government jobs. The private side, the economy also will affect them. For example, if the pandemic forces everybody to work from home then the private company doesn’t want to spend money building new offices because they don’t know if everybody’s going to be working from home or the company building.
5 forces of competition
1. Threat of new entrants
Not many new entrant because of high barrier – high cost industry