When a Preferred Contractor List Falls Short
Property and facility managers generally like to work with contractors on their “preferred vendor list”. Many managers go a step further and use an in-house maintenance team or an in-house contractor team, which in time can generate problems of efficiency, liability, lack of warranty, and higher costs for the property owners as well as for the managers. Here, we’ll be talking about some red flags that managers should consider when using contractors from their preferred list of vendors.
A list of preferred contractors is generally created by managers because they launch off the notion that this industry is all about building relationships. And having strong relationships also means obtaining sound service, at the best prices, whenever it is needed. But it is not always this simple, and here are reasons why:
Lack of Contractor Competition.
It is best to keep contractors in a competitive mindset by constantly bidding out projects and rotating through a large group of contractors. Preferred contractors can get comfortable knowing they don’t have competition which leads to exaggerated estimates or bids.
A list is always limited and you cannot expect contractors to drop what they are doing to take on your project. The only options are to wait, which would extend the vacancy of
the property, or go out and spend time and money to find another contractor—and put them through proper vetting.
Quality of Work.
Constantly bidding projects and rotating contractors will not only get you the best expert on the job but also better quality work. This again goes hand in hand with the competitive mentality, in that, a “fresh” contractor will work hard and do great work to get a positive rating, and for the opportunity to be hired again in the future.
While we can expand further on this list, I wanted to just focus on the general issues. Issues that my team and I focused on when we developed Skillhop (www.skillhop.com). Having managed capital investment and worked with property and facility managers for years, we thought that this industry needs a simple tool like Skillhop to lend a helping hand. Skillhop is the type of tool that will supplement the preferred vendor list property and facility managers have when contractors are not available, the contractor with the right skillset is missing, or bids seem a bit too high.
If you’re a property or facility manager, give Skillhop (www.skillhop.com) a try. And if you have any questions or want to setup an in-person meeting to talk more about Skillhop, you can reach out to me directly – email@example.com.
Bidding out projects will keep contractors true and project bids competitive. Having access to a large network of trusted contractors, availability can increase greatly. And we have built Skillhop (www.skillhop.com) to lend a helping hand and supplement the contractor list for when contractors are not available, don’t have the right skillset for the job, or are just—not so preferred.