US
Developers Journal
WInter 2010
www.usdevelopersjournal.com
Cundiff Steel Fabricators and Erectors
One Woman’s Success
THE MAGAZINE FOR CONSTRUCTION EXECUTIVES
One Woman’s Success Produced by Kelly Hubbard & Written by Molly Cohen As the founder of one of the largest women-owned businesses in Louisville, Ky., Pat Cundiff has a unique perspective on the steel industry. Growing up with brothers in residential construction inspired Cundiff’s interest, and by 1994 Cundiff chose an early retirement from the local Board of Education to start her own construction company with her daughters-in-law. “At that particular time, my husband and two sons were ironworkers, and if you were an ironworker and owned your own company then you wouldn’t be allowed to work on a project,” Cundiff explains. To get around the stipulation and maintain a low budget,
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US Developers Journal
Winter Edition 2010
Cundiff made other arrangements. “It was best to have my husband and sons work on the projects, so we had their wives become owners instead.” Sixteen years later, Cundiff Steel Fabricators and Erectors has around 25 employees and an annual revenue of approximately $9 million. Cundiff Steel “has shipped to Iowa, Virginia, Wisconsin, Michigan, Ohio and Georgia,” Cundiff lists. Keys to Success According to Cundiff, the company’s success relies on the quality of its products and services. Cundiff
Steel’s specialty tools include an automated beam line, an automated angle line and a paint booth. “We have a beam line, [and] very few people have them in Louisville; they’re very accurate and run by computer,” says Cundiff. The beam line is so efficient that it simplifies the work of four employees. “Other big fabricators have asked us to run it for them when they’re busy; it saves a lot of time and money,” Cundiff adds. Additionally, Cundiff Steel’s staff is very experienced in the field. “Everyone’s been here for quite some time, except for one estimator, and he’s been here for a couple of years,” says Cundiff. This contributes to an impeccable safety record. When it’s necessary to hire new employees, however, there is a process. Cundiff only hires union ironworkers. “As far as the fabricators, they come in, fill out applications and get welding tests,” she explains. It’s not uncommon to get a wealth of applicants, as the company has an excellent reputation. “Most [applicants] have been familiar with Cundiff Steel.” The economy has changed the distribution of labor for Cundiff Steel, however. “Until around less than a year ago we erected everything we have; now we are subbing most of that out and are mainly a fabricator,” says Cundiff. Helping Cundiff Steel further network for laborers and further employee education is membership with the National Women in Construction, the National Association of Women Business Owners, and the American Institute of Steel Construction (AISC) for certification. “Most of your projects are going to require that you are AISC certified, so that really is to our benefit,” says Cundiff. In 2002 Cundiff Steel was the first company in Kentucky to get its AISC certification. |3
The AISC also improves Cundiff Steel’s efficiency. “We have to go by the guidelines; that’s what our shop foreman is working on right now, a corrective action that we have,” says Cundiff. “We just had an audit and it went very well.” Northern Competition One detrimental effect of the economy for Cundiff Steel is an influx of unexpected competitors. “There’s no work in the Northern states, so they’re coming down and really underbidding in the Kentuckiana area,” admits Cundiff, who adds, “It’s really hurting the locals.” Cundiff Steel bids under a general for each project. Occasionally word-of-mouth offers come through, but Cundiff Steel usually focuses on open invite bids. However, “there used to be 10 competitors per bid, but now there are 25 generals making bids on each invite,” Cundiff says.
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Winter Edition 2010
Regardless of challenges, Cundiff Steel recently completed several major projects. In addition to numerous public and private elementary and middle schools, Cundiff Steel also assists numerous Louisville Collegiate Schools with their expansion projects, including a current project at Western Kentucky University. Cundiff Steel also completed work on St. Michaels, a large Greek Orthodox church in Leconte, Fla., as well as the Jewish Hospital in Brooks, Ky. However, Cundiff says the UPS Worldport H2K, a $1.1 billion expansion in Louisville, Ky., was her most interesting project to work on. “At that time we were under two different generals, DeMag out of Germany and Vanderlande out of the Netherlands,” Cundiff says, noting that neither company spoke English very well, “but it was a nice working relationship; both companies were unbelievable.” Steeled for the Future Cundiff has big plans for her company in the near future. “We haven’t worked on it at this time, but pretty soon we plan to get into the green industry,” she says. Cundiff will most likely get just that opportunity soon enough; her part on a bid for a General Electric expansion project was just accepted. However, Cundiff does not plan to stick around for too much longer, she says. She “hopes that her sons will take over within the next five years.”
COMPANY AT A GLANCE Established : 1994 Founder : Pat Cundiff Annual Revenue : $9 Million Employees : 25
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No matter when transition is approached, Cundiff does forecast her company to continue to exhibit smart growth once the economy settles. “We certainly don’t want to be too big ... it’s nice that everyone knows what we can do, that we can give the attention to put out steel very accurate, that detail goes in everywhere we ship and it fits perfect,” she says. The economy has definitely taken its toll on the Kentuckiana area where Cundiff Steel does most of its work, and Cundiff sees “things getting worse before getting better.” However, if anyone can weather the economic storm, it will be Pat Cundiff, a woman who helped pioneer female roles in construction and change the face of the steel industry.• |5
Cundiff Steel Fabricators and Erectors Winter 2009
4558 Knopp Avenue Louisville, KY 40213 United States
www.cundiffsteel.com
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