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The predictions have arrived! Analysts expect the first quarter of 2015 to show a rapid rise in commercial construction. Obviously, this is good news on almost all fronts. This report means contractors will have more work, and, on the life safety side of construction, contractors will install more integrated systems to protect people and the built environment.
So, my first question for you: Have you prepared for the predicted rapid rise in available work? In other words, did you take the time in the last quarter of 2014 to plan for the workforce you will need to actually complete the new work? And, did you ensure that you have technically prepared yourself and your technicians to address the systems needs for the new construction you will bid?
Because the same analysts predicting a rapid rise in construction in the first quarter of 2015 have also predicted that a shortage of skilled workers will affect the ability of contractors to take full advantage of the increase in business opportunities.
In Jason Jennings’ book, “The Reinventors: How Extraordinary Companies Pursue Radical Continuous Change,” he quotes Dan DiMicco, CEO of Nucor Corp., America’s largest steel producer: “People aren’t your most important resource—the right people are your only resource.”
This statement applies beyond the steel industry to all markets and professions, including systems contracting. The importance of your people in the success of your operation means you should invest in their training and growth.
When did you last buy a copy of the current NFPA 72, National Fire Alarm and Signaling Code? When did you conduct in-house reviews of each chapter and the effect those chapters might have on your fire alarm systems installations? Invest whatever time and money seems necessary to invigorate your training program now, not later. Similarly, you should investigate new technology, choose which of the offerings make the most sense to meet your customers’ needs, and provide training for your technicians so they can properly install and program these new products.
At the same time, revamp your sales approach and train your sales staff on how to best recommend appropriate new technology when they discover customer needs that the new products can solve. By showing customers that you stay on top of changes in the fire alarm industry that might positively affect their operations, you increase your value.
While we examine possible changes, keep in mind that the codes in your primary market areas may also change. As I am sure you know, when the code organizations change their codes, the jurisdictions using those codes do not always automatically adopt the most recent version.
For example, even though the 2015 edition of the International Building Code (IBC) recently became available, your jurisdiction may use the 2006 edition or the 2009 edition. However, when they finally make the decision to adopt a newer edition, you should expect them to make the new codes effective on January 1 of the next year. So it becomes imperative to monitor the scheduled code changes in your market areas to ensure you bid systems that meet the requirements of the referenced code and that required system changes will not surprise you and affect your bottom line. Of course, you also should have already purchased copies of the newly adopted codes in effect locally and invest time to review them and determine new system offerings and designs.
Understanding new requirements in the codes will also help you determine how best to market your services. Like new technology, new code changes will often affect your customer’s operations.
For example, any change in NFPA 72, Chapter 18, Inspection, Testing and Maintenance, has the potential to affect existing fire alarm systems for which you may provide testing and maintenance because Chapter 18 represents the only chapter in NFPA 72 that applies to all existing systems.
In addition to checking for the adoption of a new version of NFPA 72, you need to check whenever your primary jurisdictions adopt a new version of the IBC or any of the codes in the International Code Council family. New editions of International Code Council documents make reference to specific versions of related NFPA documents, including NFPA 72.
Thus, the adoption of a newer version of the IBC or International Fire Code (IFC) may result in the simultaneous adoption of a newer version of NFPA 72. To further confuse the issue, some states routinely update the standards and codes referenced within the IBC and IFC to ensure their particular jurisdiction always uses the most up-to-date version of NFPA codes and standards.
This happened in California; the state has already adopted NFPA 72 2013, but Massachusetts has adopted NFPA 72 2010.
When these changes occur, they create an opportunity to speak with existing customers to determine where you might help them in their plans for new projects. As I am sure you understand, when jurisdictions adopt new codes, they only affect new construction, unless the code they adopt specifically applies to existing buildings. But owners of existing properties who have a greater awareness of safety concerns may express an interest in knowing about changes to codes and standards. They will appreciate the fact that you took the time to inform them of these changes.
Regardless, you have a responsibility to review the codes to determine their effect on your customers and to use the code changes as an opportunity to reach out to your existing customer base.
Use this customer-contact opportunity to address the fact that codes do not address the costs your customers may incur due to operational downtime. Explain why changes to the existing system that make it more reliable and robust may, in fact, better serve the customer’s interests. Also remind customers that codes still only address the minimum requirements for construction and systems.
To offer a more code-compliant inspection, testing and maintenance contract that will increase the operational reliability of your customers’ installed fire alarm systems, learn the new requirements in the most recent adopted edition of NFPA.
Finally, with the predicted growth of new construction in 2015, you should change how you sell your systems. Avoid being treated as a mere purveyor of a commodity. Learn what seems most important to an owner, and provide solutions to meet those important needs.
For example, don’t simply think of yourself as someone in the fire alarm and mass notification systems business. Rather, think of yourself as being in the business of protecting people and ensuring your customers’ operations will continue unaffected by fires, false alarms or other risks about which they may express concerns.
In “The Reinventors,” Jennings interviews Mike Long regarding the lesson he learned in his contracting business. Long said, “Find something that people and companies find complex and painful, come up with a solution to make the pain go away for them.”
Arguably, fire alarm systems only have two of these points. The first: without a complete code-compliant fire alarm system that passes its acceptance test, the building does not open on time. This alone can prove painful for both owner and contractor. The second issue: after the authority having jurisdiction has accepted the installation and the building opens, false alarms may begin to disrupt the customer’s operations.
Both of these issues cause pain. You, as a contractor, can address both issues through more competent technicians installing code-compliant fire alarm systems and through understanding what constitutes the typical causes of acceptance-test failures and false alarm initiations. You can help prepare to answer these pain points by training your technicians and encouraging and empowering them in such a way that they will have the mental attitude necessary to work with customers to solve customer problems and meet customer needs.
All of the opportunities provided by a growth economy come with challenges. You can best respond to those challenges by taking the time now to think through what the expected construction growth in 2015 means for you and your company and to build your future actions on a carefully thought-out plan to take full advantage of that construction growth.
About The Author
MOORE, a licensed fire protection engineer, was a principal member and chair of NFPA 72, Chapter 24, NFPA 909 and NFPA 914. He is president of the Fire Protection Alliance in Jamestown, R.I. Reach him at [email protected].