The supply chain shortage and price increases are something we’ve experienced in our local retail stores and on our job sites. The pandemic flipped our world upside down and created a ripple effect still felt today, with no end in sight. Dealing with long lead times and costs that seem to rise by the hour have become daily challenges for our crews across all divisions.
For example, our Building and Custom divisions have encountered long lead times and shortages on everything from lumber to finishes. To tackle this, they’ve begun treating every material as a long-lead item, procuring what they need earlier in the process to ensure that all materials will arrive in time to keep their project on track. When it comes to shortages, they’ve worked closely with clients to provide alternate materials.
For our Rebar division and Kinsley Steel, Inc., the rising cost of steel has drastically changed how they approach procuring materials. With wide flange steel prices rising 82% and hollow structural section members 201% since October 2020, we’ve begun to purchase steel as early as possible, knowing today’s price will be lower than tomorrow’s. This helps our clients stay within their budget and keep their projects on schedule knowing their steel is in hand.
While these are only a few examples, this drastic shift in the cost and availability of materials has impacted our company as a whole. Despite these new challenges, our teams have continued to exhibit an ability to quickly adapt by providing solutions that keep projects on schedule and within budget, delivering projects our clients are proud of.Categories: Corporate News, Projects in Construction