Kohl Construction Group: First and Foremost
Construction
Wednesday, 01 August 2007
rp - Kohl Construction Group - Operations Executive - American Executive - RedCoat Publishing
Better communication with project managers and clients has helped this construction company thrive.

In an industry where projects are highly complex and having a good reputation is virtually the only way to gain new customers, communication must be at the forefront of any strategic plan. That’s certainly the case at Teaneck, NJ-based Kohl Construction Group, where CEO Jonathan Litt practices hands-on management and constantly looks for new ways to improve communication.

The company was formed in 1995 as J.H. Mack, changing its name in 2006 to match sister companies Kohl Asset Management and Kohl Partners (a development company). Today, the construction company formed by Litt, his brother Alan, Leonard Kohl, and Drew Barile employs 75 and generates annual revenues of around $100 million. Building in the New York Metro area, Litt and his team work with retail, commercial and residential developers, community groups, religious institutions, and others on projects ranging from $1 million to $50 million.

Jonathan Litt - Kohl Construction Group
Jonathan Litt

Whether the conversation is with clients, senior executives, or project managers, Litt said developing a culture of communication has been key to the company’s success. “We spend a lot of time on internal team development and culture development,” he said. “We have a corporate coach on retainer, and we spend time nurturing the mission of the company through him to help our employees grow.”

Indeed, Litt said the corporate coach, Jonathan Flaks, joins the company on a weekly basis. Project teams consist of two to eight members, and Flaks conducts team-building exercises as well as meeting with individual team members.

“Jonathan has been a huge asset,” said Litt. “His unbiased opinion allows him to look at a situation from a new perspective and show us how we can get from where we are to where we want to be.” Litt said the result has been a greater sense of pride and ownership in the company. To further encourage this, Litt recently changed the company’s town hall meetings from quarterly to monthly. He added that Flaks has also been instrumental in facilitating communication between clients and Kohl’s project teams on challenging projects.

Those projects are not something Litt and his team shy away from, including sites requiring environmental remediation such as soil and asbestos. “We approach challenges by bringing together the project directors to toss around ideas and make sure we’re covering all the bases,” Litt said. “We use the expertise of as many as possible of the 75 people who work for us to come up with the best solution for our customer.”

Nor do the partners shy away from digging into a project when needed. “Partner involvement is a critical part of our success,” said Litt. “Today, for example, we were having an issue with a local building inspector, and I went to the inspection to facilitate the situation for the client.”

Increasing accountability
Technology is also being used to improve communication at Kohl, in the form of Prolog project management software. Over the last six months, the company has completed the first phase (field administration) and is beginning the second (budgeting). Litt is extremely pleased with the results thus far, saying the system saves a tremendous amount of time and has increased accountability.

For example, all requests for information (RFIs) are written and sent using Prolog, which automatically tracks their status. Before a meeting with, say, the architects on a project, the project director can quickly run a report showing all open RFIs and when they were generated. “We can say, ‘You’ve had this RFI open for 30 days, and we need an answer,’” explained Litt.

Having detailed daily reports available in the system is also a enormous help, Litt said. The reports include all the people who worked at or visited a site, the materials that were delivered, the weather, any problems that arose, and what work was completed.

Litt is looking forward to the next phase of the rollout, which will allow him and his staff to easily keep budgets up to date, something that’s now done manually in Microsoft Excel. Interestingly, just having a uniform format for reports saves a great deal of time, he said. “When I see a report, I know where to look for the information I need—I don’t have to hunt for it.”

Feeling the pinch
As with most construction companies in the Northeast, Kohl struggles with the industry’s current high employment rate. “Bringing in good, qualified people as we grow is one of our biggest challenges,” said Litt.

Not only is it difficult to find project managers and other permanent employees, but Kohl feels the pinch when subcontractors do not have enough qualified staff. To ease this pain, Litt and his team are creative when awarding work to subcontractors, often dividing a building into sections and giving each section to a different subcontractor. “That way, you create a little bit of a competition, and you get a pool of workers from two or more sources,” Litt said.

Fortunately for the company, its strong team focus also helps in recruiting. Because Kohl’s emphasis on communication and growth means that employees are highly satisfied in their jobs: “We find the best way to recruit is through our current employees,” said Litt.

 
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