5 Issues Facing Steel Construction

As an association we monitor the demographics of our membership, including company size, geographic location, and shifts in the core business makeup. This helps us to evaluate the programs and services that will best meet the needs of the variety of companies who are members of SEAA. As we start a new year, we asked several members of SEAA’s Executive Committee to weigh in on the industry-specific issues that they are following in 2023, which also helps to inform future program development.

Make Hiring a Process not a Game of Darts

Jack Nix, COO, Shelby Erectors, Inc., Florida Labor shortages have been an issue for so long now that we sound like a broken record. Over the years contractors have responded in predictable ways— with increasing pay, incentives to keep retirement-age workers longer, and being hesitant to lay off workers regardless of the project activity, to name a few.

The real change that needs to happen is to take a hard look at recruiting and hiring processes. For small contractors, this is critical to putting you in a competitive position with larger companies. There is both an art and a science to it. The art part is knowing what your company’s core values are and effectively communicating that in your advertising. The science part is using automated tools like applicant tracking systems to build an efficient hiring process. When you start hiring for quality, not just quantity, the labor shortage issue becomes less acute. Check out great resources on this topic at careerplug.com.

Be Intentional with Developing Field Leaders and Managers

David Deem, President, Deem Structural Services, Texas

Strong craft skills training is foundational to construction operations, but equally important is leadership training for field and company managers. Developing leadership skills is critical to employee retention and to building a pipeline of experienced people in your company. This means knowing how to identify people who are a fit with your company culture and then assessing what specific skill sets they need to work on. The person might need to work on communication, planning and project management, using technology, dealing with stress or conflict. Some resources to explore include new Fundamentals of Crew leadership curriculum from NCCER or programs from FMI for Emerging Leaders, Field Leaders, or Project Managers.

Have a Plan for Adopting New Technology

Chris Legnon, Vice President, Technology, Cooper Steel, Tennessee

Changing processes, whether that is internal business systems or construction techniques, requires first selecting the right technology for your business. That means thinking outside the box about your current processes and actively researching new products coming to market. Attending tradeshows and subscribing to tech-focused newsletters or podcasts are good ways to stay in the know.

One of the biggest challenges with process improvement is the cultural resistance that comes with change. Successful implementation requires top-down buy-in, communicating to those impacted what the big picture is, and providing training on how to use the new technology. Sometimes a new method might take one person longer to do their job but has huge benefits or time savings for someone further down the line. In addition, improvements may not be realized immediately. Being open about that with the team improves adoption. Finally, inviting feedback from the people familiar with the process along the way is also valuable.

As one project is implemented successfully, the next becomes easier as teams begin to realize that change is not necessarily bad.

The Big 3 in Safety are Fall Prevention, Head Protection, and Mental Health

Bryan McClure, Partner, Trivent Safety Consulting, Colorado

Three things that are top of mind for ironworker safety in 2023 are fall prevention, head protection, and mental health. Fall prevention is nothing new for ironworkers but we never stop thinking about it, evaluating the market for the newest products

October 12, 2023

Board Meeting, Peer Group, and Meet & Greet

Raleigh, NC

October 13, 2023

Golf Tournament

Lonnie Poole Golf Course

North Carolina State University

Registration Opens May 1, 2023 at SEAA.net and looking for better ways to integrate systems and methods on the job. The one piece of news we are watching is the updated ANSI Z359.14 standard for self-retracting devices, which goes into effect August 1.

The debate in safety circles around new hard hats is that OSHA regulations lag newer industry standards, and those standards lag behind the newest technology that provides better protection against rotational forces and falling objects. The problem is also that GCs are starting to require newer safety helmets with chin straps but there is a supply issue limiting availability.

And finally, the elephant in the room is mental health and suicide in construction. It’s a complex problem that does not have a straightforward fix. Tough-Guy culture, the frequency of Opioid prescriptions for injuries, lack of training for how to identify warning signs and how to respond in a work environment, and disconnect between HR, Safety, and Operations in the corporate structure all play parts in improving the situation.

The Effects of Inflation and Supply Chain Woes on Insurance Premiums

Carrie Gulajan, President, Construction Insurance Agency, Virginia

Inflation has a trickle-down impact on everything, including insurance, which makes risk management to control claims ever more critical. Regardless of your safety record, contractors are facing rising premiums. Insurance carriers are seeing increases in claims handling along with direct costs of materials and labor to repair or replace damaged goods, along with longer wait times for such goods. For larger claims, even sending an adjuster onsite increases the claim expense as a result of increased travel costs.

Likewise, contractors need to be prepared for the rising costs associated with doing business after a claim. Finding a replacement for the crane that turned over is harder. Rental companies are strapped because manufacturers’ supply is limited. That might mean you have to get a replacement from further away, increasing logistics expenses. Not to mention the price of fuel.

Cyber security breaches are another example. In addition to the financial loss, the steps associated with breach notification compliance can be lengthy and expensive, so it is best to review the policy. Your best option is to discuss with your insurance agent what policies may be available and obtain risk management assistance and safety consultation. •

EVENTS & ACTIVITIES

CONEXPO-CON/AGG

Las Vegas, Nev.

March 14-18, 2023

2023 Convention & Trade Show

St. Augustine, Fla.

March 28-31, 2023

NASCC: The Steel Conference

Charlotte, N.C.

April 12-14, 2023

Summer Board Meeting Meet & Greet

Irving, Texas

July 20, 2023