| Dig Construction Services: Building Bridges |
| Construction | |
| Written by Eric Slack | |
| Monday, 31 December 2007 | |
 David Burnley and Robert Washington detail one construction company’s efforts to become an industry leader.  David Burnley, President Getting started Dig earned most of its experience in the automotive construction industry. Dig is short for Devon Industrial Group, an entity formed out of cooperation between Devon Contracting and Walbridge Aldinger. Devon Contracting, a minority-owned and managed company, was one of Ford Motor Company’s smaller contractors. Devon entered into a mentoring relationship with Walbridge Aldinger at Ford’s behest. As part of the Ford 2000 program, Ford began a significant reduction in its contractor base. Under Ford’s direction and guidelines, Devon teamed up with Walbridge Aldinger as part of this mentor/protégé program, since the companies had worked together in the past. The result for Dig is a relationship that gave it the ability to put together a growth strategy and raise its profile. “Devon Contracting was a key supplier for Ford, even as a minority supplier. Ford wanted a majority company to take a minority equity position with Devon Contracting,” Burnley said, noting Ford’s desire to help minority businesses compete nationally and internationally. As part of this relationship, Dig began to create the relationships it needs for long-term success. Walbridge Aldinger opened doors for Dig, connecting it with Walbridge’s supply base, banking and union contacts, and more. Dig also returned value to its mentor. Devon Contracting had a good base of smaller suppliers and subcontractors and helped Walbridge to get involved in smaller, non-traditional projects it couldn’t compete for on its own. This allowed Dig to diversify its operations, managing commercial, healthcare, and education projects. There also was a benefit for Dig’s staff. In the event of a slowdown in the automotive industry, which still accounts for more than 50% of Dig’s business, key personnel could be shuffled back and forth between Dig and Walbridge. This allowed the company to hold on to good people during slow periods. “In this industry, one month a company is up and running, and the next month it is no longer there. Over the last few years, as far as bidding and proposing is concerned, the margins have been cut in half. So the relationship allowed us to be effective and stay in the market,” said Robert Washington, Dig’s director of business development. “There is a whole lean philosophy behind that and it deals with the way we do business every day, and the way we conduct business on the job site.” The next steps In many ways, Dig acts almost as a mentor itself. Its employees are required to take 30 hours of training per year. Many of the subcontractors it uses are also minority-owned, and Dig offers a Partner Continuing Education Program (PCEP). As part of the PCEP, about 150 subcontractors from the area have learned how to bring lean principles to bear in their own efforts. These classes provide opportunities for additional networking for everyone in attendance. “We run the class every two months, and it covers the gamut of business knowledge and techniques in the industry,” said Washington. “We use our customers and partners to bring in industry professionals to talk about the subject of the day.” Dig established its brand through recognition and safety. According to the Association of General Contractors, Dig has had an excellent safety record over the past few years with several awards for incident rates well below the national average. One of the ways Dig monitors its own practices is through an ambitious program called Lessons Learned. The program documents every aspect of a project in a database that allows the company to learn from its past mistakes and successes. The company also gets feedback directly from its customers through regular top-level meetings, as well as questionnaires sent out to project owners at least twice a year. The company also earned awards for its efforts as a minority business. Dig has relationships with the Michigan Minority Business Development Council (MMBDC) and the National Minority Supplier Development Council (NMSDC). Dig earned awards from both. In 2007, Dig was named the NSMDC’s top regional supplier and in 2006 earned the MMBDC’s Supplier of the Year award for businesses with between $10 million and $50 million in revenue. Through these various relationships, Dig is positioning itself to be more than a minority leader in the industry. As it continues to branch out and earn new experiences and new contacts, Dig is moving toward its goal of becoming one of the leaders in the industry, period. The company is equipped to go where its customers go; it now has licenses in Mississippi, Tennessee, West Virginia, and Arizona. It also develops its services based on its customers needs. Dig is currently involved in a major demolition project with Ford. The project is environmentally sensitive, and success could mean similar opportunities down the road. “We are measuring our growth because it could be crippling to grow too fast. This is a people- oriented business,” said Burnley. “Our people have to know the company inside and out. They have to know our core values. The growth of our individuals and our processes is the key to our success.” |
|
| < Previous Story |
|---|
© 2008 American Executive - RedCoat Publishing. All rights reserved.
American Executive is a RedCoat Publishing publication.
American Executive is a RedCoat Publishing publication.
