Asphalt Contractor June/July 2022

JUNE/JULY 2022

THE TECHNOLOGY ISSUE: ➜ 3D PAVING ➜ eTICKETING ➜ PLUS+ TIPS FOR CREW ADOPTION

HOW TO CREATE A CULTURE OF EXCELLENCE IN

ASPHALT PAVING

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TABLE OF CONTENTS |

JUNE/JULY 2022

COVER STORY How to Create a Culture of Excellence in Asphalt Paving People, process and pavers contribute to the success of three award-winning projects in Oklahoma, including the US-183/US-270 full-depth paving project. | 34 SPECIAL REPORT: TECHNOLOGY

10 Your Competitors Are Adopting 3D Asphalt Paving and So Should You Economic, regulatory and labor conditions favor automation, and progressive contractors need to go the extra mile to compete.

20 Fostering Employee BuyIn for New Construction Technology Finding the right fit and strategies for thoughtful implementation.

24 Tech Product Spotlight The latest tech trends for the asphalt industry that help contractors improve production and productivity.

PRODUCTION NOTES

PRESERVATION UPDATE

30 Simplifying eTicketing Solutions for Paving Contractors

42 Why One Illinois Contractor Specializes in Soil Stabilization Mt. Carmel turns relatively unknown service into their main business operation, making them the leading midwest provider of stabilization solutions for over 70 years

State DOTs pave the way for improved construction material deliveries through eTicketing and contractors have easy options to comply.

IN EVERY ISSUE 8

Editor’s Perspective

50 The Last Exit

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ASPHALT CONTRACTOR JUNE/JULY 2022

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DIGITAL CONNECTION www.ForConstructionPros.com/Asphalt

[PODCAST] How To Future-Proof Your Paving Operations with New Equipment & Technologies With the list of struggles for paving contractors growing by the day, manufacturers are working hard to develop equipment and technologies to help. Learn more on this episode of Digging Deeper.

Read more at: http://asphalt.com/vbbtph

What Goes Into Building an EV Charging Station?

As states begin to build a nationwide network of electric vehicle charging stations as part of Biden’s infrastructure law, one expert says steel conduit must be part of the conversation.

Read more at: http://asphalt. com/qx7vkp

Meet the Astec Ranger Line of Compact Crushing Equipment The Ranger line of compact track equipment includes a variety of jaw crushers, impact crushers, cone crushers, incline screens and trommels. Hear why this size equipment is necessary for crushing contractors to invest in for growth.

Can You Expand Your Asphalt Business with Concrete Production?

Blackjack Paving added a volumetric concrete mixer to their fleet, allowing them to rely less on subcontractors and diversify their business.

Read more at: http://asphalt. com/r4utg3

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Read more at: http://asphalt. com/y35jzw

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Get social with us! Share pictures of what you’re working with over 29,000 other asphalt contractors on our Facebook page: Facebook.com/ Asphalt.Contractor/

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JUNE/JULY 2022 Vol. 36, No. 5

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BUILT TO CONNECT

Founded on innovation and a passion to help you succeed With decades of proven experience as a premier asphalt plant manufacturer with a reputation for building high-quality equipment, supported by world-class service, Astec is the ideal partner to our asphalt plant customers. We provide single source accountability by delivering a full range of services, including planning, manufacturing, setup, startup, and service. Astec maintains large parts inventories and has capabilities to manufacture custom parts when needed.

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EDITOR’S PERSPECTIVE

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JUNE/JULY 2022 • Vol. 36, No. 5

ASPHALT

Jessica Lombardo, Editor-In-Chief

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Stay Safe This Season

T

he dog days of summer, when your crew is working to their max potential and efficiency, is no time for an accident. However, construction work is hard and dangerous so it's important to always keep safety top of mind. It's everyone's responsibility to keep themselves and their crew members safe. Here are some easy tips.

WORK ZONE SAFETY Work zone safety is an industry priority and it's everyone’s responsibility. It takes contractors, engineers and traffic control plan supervisors to properly plan and design the work zones; flaggers to guide the public through the work zones; drivers, cyclists and pedestrians to remain alert and pay attention; and local and state government, area police and emergency responders to help ensure that everyone goes home safe at the end of the day.

Proper PPE is a must. Safety meetings are essential when starting a new job, as are daily safety reminders for longer projects. And remind workers that complacency can lead to injury: Oftentimes crew members become so comfortable working in a “protected” area that they “forget” about the potential dangers.

A properly set-up work zone can also help drivers make, safe decisions. And by making your workers aware, you help them protect themselves from the drivers who take their group chat more seriously than their driving.

HEAT SAFETY Summer is a great time for construction work but a brutal time for workers. Excessive heat and sun exposure pose significant dangers, such as sunburn, dehydration, heat cramps, heat exhaustion and heat stroke. Every year, construction workers become ill on the job and some even lose their lives due to heat exposure. It's important for your company to know the signs of heat illness and have a plan

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in place to protect them. Essential elements of a heat illness prevention program include: • Providing workers with water, rest and shade • Allowing new or returning workers to gradually increase workloads and take more frequent breaks as they acclimatize and build a tolerance for working in the heat • Planning for emergencies and training workers on prevention • Monitoring workers for signs of illness MENTAL SAFETY In 2020, the CDC found that men working in construction have one of the highest suicide rates compared to other industries. With lack of access to care, the added pressures of the pandemic and the existing stigma of mental healthcare, this population is struggling. The psychological risk factors for suicide can be affected by the workplace, especially in construction where job strain and long hours may contribute to risk factors for suicidal thoughts.

Creating and maintaining a healthy work organization is an important strategy for preventing worker suicides. Increasing worker job control and ensuring an optimal level of work demands, including 40 hours or less of work per week, may be an important strategy for the prevention of suicide. However, during your busy season, maintaining work hours of 40 or less can be challenging.

The industry is working to address the suicide crises affecting construction workers. The Center for Construction Research and Training created a website with several new printable resources to help organizations and individuals understand the issue of suicide, start a conversation, and play a role in supporting friends, co-workers and family members.

Stay alert. Stay diligent. Stay safe out there.

ASPHALT CONTRACTOR JUNE/JULY 2022

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TECHNOLOGY MATTERS |

CHARLES RATHMANN, TECHNOLOGY EDITOR

Your Competitors Are Adopting

3D ASPHALT PAVING and So Should You

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ASPHALT CONTRACTOR JUNE/JULY 2022

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Economic, regulatory and labor conditions favor automation, and progressive contractors need to go the extra mile to compete

C

onditions are pushing asphalt paving contractors to adopt automation widely in order to meet federal mandates, cope with a labor shortage and just complete the volume of work that will come as a result of the Infrastructure Investment and Jobs Act (IIJA).

The IIJA increases the national investment by 55% over and above the 2015 Fixing America’s Surface Transportation Act baseline, and the National Asphalt Pavement Association projects that each state will receive more than $1 billion total in Federal Highway Administration (FHWA) funding to repair and improve roads and bridges. Within the IIJA is the Surface Transportation Reauthorization Act of 2021, that allocates a record amount of highway and bridge funding.

These dollars will be heavily loaded towards repair of existing assets, making blacktopping and resurfacing core disciplines that will be in demand.

The IIJA also includes verbiage that makes clear work performed under the bill should use advanced construction technologies: “The Secretary shall establish and implement a program under the technology and innovation deployment program established under paragraph (1) to promote, implement, deploy, demonstrate, showcase, support, and document the application of advanced digital construction management systems, practices, performance, and benefits … The goals of the accelerated implementation and deployment of advanced digital construction management

Topcon Positioning Systems

systems program established under subparagraph (A) shall include-(i) accelerated State adoption of advanced digital construction management systems applied throughout the construction lifecycle (including through the design and engineering, construction, and operations phases) that-(I) maximize interoperability with other systems, products, tools, or applications; (II) boost productivity; (III) manage complexity; (IV) reduce project delays and cost overruns; and (V) enhance safety and quality;” Even before passage of the IIJA though, longstanding guidance from the FHWA advocated for the use of automated screed control whenever possible on thin hot-mix asphalt overlay. Recent requests for proposals for highway projects at all levels of government are increasingly also mandating use of pavers with automatic screed controls and sensors on both sides of the paver. The controls, according to some of these mandates, should sense the grade from an outside reference line, sensing the transverse slope of the screen and provide automatic signals that operate the screed to maintain the desired grade and transverse slope within plus or minus 0.1%.

What this means is that 2D automated screed control is almost a no-brainer as each time you adjust the screed manually, it takes several paver lengths to get to the new level. And the operator may not get it right at first, and some titration up and down causes waves in the pavement, which in turn results in expensive grinding and rework.

2D screed control on asphalt pavers has become commoditized, and in order to differentiate themselves, paving contractors may need to adopt even more advanced technology that limits

JUNE/JULY 2022 ASPHALT CONTRACTOR

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TECHNOLOGY MATTERS waste and reduces labor requirements as inputs are constrained and rising in cost. Asphalt binder costs have increased 100% between 2020 and 2021, even before the current embargo of Russian oil sent crude prices well over $100 per barrel. A 2021 U.S. Chamber of Commerce study found that 88% of contractors are facing a labor shortage, forcing them to pull back from projects they otherwise would accept.

3D PAVING AUTOMATION IS THE ANSWER 3D stringless paving is one way asphalt contractors are going one better than their field of competitors while cutting costs and shaving days off the project timeline. 3D paving is now reliable and mainstream, with the technology having been proven in earthworks and then seeing early adoption on high-value paving projects in the early 2000s.

In a 3D paving environment, an array of total stations typically lock onto receivers on 3D paving-equipped machines—pavers, rollers and milling machines—through a prism mounted on each machine. 3D paving controls on each machine contain a

digital model of the job, enabling the equipment to deliver on the model automatically including slope, crossfall and even compaction density.

The trailing gate of the paver is also typically sensored, automating as-built inspection and reporting.

“2D grade control is now relatively common,” Trimble general manager of civil and specialty solutions Kevin Garcia said. “Asphalt paving contractors come to us now to learn about 3D … there is a big differentiator between 3D and things past. With 3D we are talking about variable depth paving, and it can very quickly change the depth of the pavement and conceivably the cross slope if needed, if you are going into a superelevated curve. It does not require paint markings on the ground and is taking the human error of that process out.”

3D paving will become the standard on large or high-value paving projects, according to Flores Automation and Machine Control vice president Jason Hogue.

“We see it now on big and small projects, just depending on the application,” Hogue said. “Some airports

have asphalt 6 inches deep—so in that setting, square footage may not be that great, but accuracy is everything in the world. We are also seeing 3D paving mentioned in RFIs. I have taken calls from a number of DOTs about specifications of our accuracy—some states are thinking about stating these in their state standard provisions. We have already seen this done in a couple projects in Minnesota, but they are only the first. There will be more.”

3D PAVER OPTIONS Paving contractors have a few options when it comes time to outfit their paving, compaction and milling equipment for 3D paving.

Topcon Positioning Systems offers an integrated line of 3D automation tools that can be moved from one machine to the other. Their Millimeter GPS GNSS technology, combined with a land-based laser and the PZS MC compact sensor on the paver toe arm provide vertical accuracy within a few millimeters. The Topcon 3D-MC machine control unit attaches to pavers, compactors and other equipment and the 3D-MC Milling system to millers

Leica Geosystems

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for grinding or cold planing. Topcon’s C53 System intelligent compaction system capture stiffness, temperature and pass count. When using multiple pavers, millers and compactors on a site, the units connect to the Sitelink 3D product, which captures and cumulative pass count data on all rollers on the project to streamline the workflow and ensure multiple operators do not inadvertently over-compact.

The Trimble Roadworks 3D Paving Platform meanwhile combines automated 3D screen control accessed through the Trimble TD520 Display and PCS900 3D with the Trimble SPS930 Total Station. Trimble Roadworks allows the transfer of 3D designs from the office to the machine via the cloud so that the operator is always using the latest design. Trimble Hot Spot automatically transfers control

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ASPHALT CONTRACTOR JUNE/JULY 2022

from one Total Station to another, preventing stops as a paving line moves along the linear project. Productivity data collected from the machine is automatically synced back to the office.

Paving and compaction machine performance data can be seamlessly transferred to front office applications with the SNM941 Connected Site Gateway, passing on design updates, GNSS corrections, production reporting and enabling in-field technical support.

Leica Geosystems originated 3D mobile control for paving in 1999, and goes to market in North America through Flores Automation & Machine Control, (FAMC), which maintains a sales and technician network nationwide.

The Leica MCP80 machine control panel pairs with a Leica MDS docking station which stays with the

machine and retains all machinespecific performance data. So even if the MCP80 is moved from one machine to another, the data for the specific machine remains segregated for later analysis, reporting and decision support. All 3D machine control software solutions are compatible with the MCP80 panel, which serves as the universal interface across all 3D machine control applications, making it interchangeable between any heavy construction machinery. Machinespecific data such as calibration values and hydraulic parameters are stored in the docking station. In this way, the panel can be used on any other machine without the risk of losing machine data even as the MCP80 is moved from one machine to the other. This also means operators need to be trained only on one interface.

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TECHNOLOGY MATTERS Availability of the hardware for 3D paving seems to be fairly good, despite current supply chain challenges.

“I make sure we are ordering a quarter to a quarter-and-a-half ahead to make sure we are ready to meet demand,” Hogue said. “If someone calls right now and wants 200 units, which might be a challenge for most orders, we can fulfill them and schedule installation for one or two weeks out.”

"Prior to the problems we are seeing now, lead time to delivery was 5-10 days," Garcia said. “Now it is in weeks or longer. Fortunately, most components are ready, so install could be 80% complete and then just wait for final hard to find components. And our biggest challenge has not been chips, radios or displays, but connector ends-the simple connector at the end of a cable."

LOWER COST AND HIGHER QUALITY What 3D paving does, and why it is appealing to both contractors and project owners like federal and state governments, is enable a paving contractor to increase quality, increase margin, lower cost and shorten the timeline simultaneously.

“Most of the time, the hourly rate of an asphalt paving crew is a shockingly high number,” Garcia said. “Every little hiccup is costing you a lot of money— and it takes a lot of coordination to get the paving train moving at the right pace. That includes the plant loading out the mix at the right rate, the trucks coming at the right intervals and not having to stop and park so the mix cools off or getting segregation.”

The goal is to keep the paver moving at a consistent rate as part of a smooth and stable process. “You want to avoid stops as much as possible and changing speeds is nearly always better than stopping,” Garcia said. “The screed floats but a stop lets it sink, driving out the air voids with the weight of the screed. Every time you stop there is a discernable bump in the road.

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ASPHALT CONTRACTOR JUNE/JULY 2022

Oftentimes, you will have to come back and grind that bump—bring out the diamond grinder and grind a high spot, particularly if it is next to a low spot.

These are incurred costs that you may not have budgeted for and may cause you to exceed your buffer.”

The compactor’s job would seem simpler, but also benefits from 3D technology to monitor the number of passes, degree of compaction and temperature of the asphalt. Too little compaction and the asphalt will contain air pockets, which lead to premature erosion. Too much compaction, as can happen when an operator loses track of the number of passes they have completed and completes more than is necessary in order to be thorough, and they can crush and break down the aggregate in the asphalt.

Overcompaction also, according to Garcia, can have a knock-on effect where the paver pulls further and further ahead of the compactor, which must do its job when asphalt is at the correct temperature.

This causes the paver to stop, which again results in uneven spots that must be milled out.

DIFFERENT 3D PAVING STROKES FOR DIFFERENT FOLKS While 3D paving gives the contractor a great deal of control over quality, it also puts them in the driver’s seat when it comes to how they go about bidding and planning the job. And exactly how this control is leveraged depends on a number of things, including how a contractor is incentivized.

“It differs depending on whether a contractor is responsible for their own mix,” Hogue said. “If you are the sub purchasing the asphalt, you can use 3D paving to keep the general contractor honest. You have the capability to shoot elevations and grade before you pave— killing any argument on the volume of the job.”

“Is this a pay-by-the-ton job or is there a different incentive on this job?”

Garcia adds. “What sort of technologies do your crews already deploy? And what is the most important thing for your paving crew to achieve when you are on the job site? Do you need to meet the specs of the project, maximize margins on the bid—people tend to act like those things are mutually exclusive, but they don’t have to be. You can still do a really good job and put money back in your pocket if you are deploying things in the right way.”

But Garcia stresses that the contractor should consider their own needs, as well as those of the project owner.

“Is this a pay by the ton job, and if so, what is the max allowable overrun?”

Garcia said. “You want to design for the exact tonnage. You want to maximize pay and not place tonnage you will not get paid for If you produce your own asphalt, maybe want to maximize tonnage.”

Often, exceeding smoothness criteria can bring financial incentives that by themselves can make the technology attractive—over and above other incentives for maintaining the timeline.

“On the job site you have huge savings in timeline, which is important because you cannot go over without paying huge penalty,” Hogue said. The biggest no brainer is in smoothness.

If you are getting your ride numbers, you are saving time and dollars for not having to grind after the fact. The second no-brainer is yield—keeping that yield below or under budget.”

NOW IS THE TIME 3D asphalt paving will become just as mainstream as 2D paving is today.

And the good news is that the 2D asphalt paving systems you have already installed are a prerequisite for achieving 3D control. Automation is advancing, and doing so in a way that rewards earl adopters, extending that early investment for even greater benefit.

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TECHNOLOGY MATTERS

Fostering Employee Buy-In for New Construction

TECHNOLOGY

Finding the right fit and strategies for thoughtful implementation

C

onstruction companies know that the industry’s future is digital, but there is a widespread struggle to create employee buy-in around technology solutions.

Effective technology adoption begins well before purchase and is sustained by comprehensive support solutions and thoughtful implementation. There are specific strategies that can make buy-in easier, including: • Identify what problems the tech needs to solve by asking internal stakeholders for feedback on specific challenges they are experiencing.

• Choosing a tech partner and solution that understands and aligns with your organization’s specific needs. It’s also essential to have ongoing support and training available.

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ASPHALT CONTRACTOR JUNE/JULY 2022

• Introducing the tech to a small group of cross-functional employees to become advocates for the larger team.

Here’s more about what each of these best practices for driving tech buy-in among the employee base looks like: GO TO THE SOURCE: WHAT ARE EMPLOYEE PAIN POINTS? Before looking into technology solutions, construction companies need to first understand the problem they are trying to solve. What are the challenges, and what do the stakeholders in the construction landscape really need? Not want, but need?

To answer these questions, it’s best to go to the source. Ask employees for their feedback. Send out a company-wide survey or select a small team to work with throughout the decision-making process. Be sure to talk to people in various positions to get different perspectives of the company’s challenges and to identify any underlying causes. Only once

Technology can help you efficiently schedule the best crew and equipment to each task, but you need employee buy-in first.

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problems have been clearly identified should a technology choice be made.

Here’s an example of what this looks like: Many contractors and subcontractors are asked to submit daily job reports and equipment maintenance requests based on what occurred in the field.

However, they often find that reports cannot be completed accurately because they can’t remember everything that is typically collected on the forms.

Companies experiencing this should look to adopt a technology solution that supports real-time data collection and reporting from a tablet or smartphone in the field. This helps save time and improves communication with clients as teams are able to access readily available data immediately.

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TECHNOLOGY MATTERS THE PROBLEM WITH SILOED SOLUTIONS - AND WHAT TO DO ABOUT THEM Construction technology is a booming industry that continues to see significant growth. Because of this, it’s easy to get overwhelmed by the hundreds of software options currently available.

A best practice is for businesses to hone in on finding a solution that addresses their identified problems.

There are plenty of point solutions that do one thing only. However, companies really need an end-to-end solution to manage their workforce, assets, safety and compliance, and workflows.

Staying organized is critical in construction and there are new resources available to help.

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Functionality also needs to be a consideration. In addition to solving your identified problems, solutions need to be convenient, easy to use and play well with existing software. Cloudbased systems allow users to access the platform through any wi-fi-capable device. Programs with a mobile app make field-data capture convenient for on-site workers by using equipment they already have on hand. Be sure to look at what existing programs your company already uses, such as HR software and payroll, and look for platforms that integrate with them.

Software is just one part of a tech solution; the other part is support. After purchase, you will need services like setup, training and customer support to implement effectively. That’s why selecting the right tech company is just

ASPHALT CONTRACTOR JUNE/JULY 2022

as important as choosing the right tech product. You want a company with robust support services and whom you can establish an ongoing relationship with to make the most of your technology experience.

Look for companies that start product education during the sales process. They should illustrate why their product is a good fit for your company through live demonstrations and Q&A sessions that address your company’s specific needs.

Be sure to browse through their educational library as well. While live support is a great option, many users prefer to troubleshoot problems themselves first. Look for materials that address common questions and obstacles and that those materials come in various formats through videos and print documentation.

Companies looking for extra support may search for solutions that offer dedicated account managers or success managers. This service provides clients with a dedicated point-of-contact for support. Often these managers will do in-person or virtual training, inform you of platform updates and new features, and act as a general knowledge base for the software.

Support services vary from company to company; some charge an additional fee for additional support. Others require clients to be a certain size to qualify for specific services, such as dedicated account managers. Do your research and look at the options available to you as you go through the sales process.

CREATE TRUST WITH INTERNAL TECH ADVOCATES When introducing technology on the ground, it is wise to start small. Pick a small group of people to be early adopters of technology. Force-feeding technology to a large group of people at once can be problematic and de-motivating.

Starting small ensures that glitches are ironed out faster, and the small group of people feel privileged to be chosen to participate in new technology adoption.

Make sure you include employees from

each department that will use the technology on a consistent basis.

Another tactic is to include employees who are resistant to new technologies. Successfully converting nay-sayers will boost the confidence of your decision in other workers.

Once they’ve successfully adopted the technology, they will be the biggest advocates for the rest of the team on the ground. In addition, they can act as additional trainers and resources for the rest of their departments.

Be clear in your communication throughout a technology’s implementation process. Explain how your employees will benefit from it and be specific to their needs. For instance, a common complaint in the construction industry for field workers is delayed payment; faster payment processing is an excellent feature to highlight.

Avoid using vague, overarching language like improved revenue or increased productivity. Be specific about what this technology will do for your employees.

Does it make certain tasks faster? Does it simplify a process? Does it provide additional information that will make it easier to perform tasks? Not only will specific language demonstrate that you listened to your workers’ needs, but it also gives them clearer expectations.

Technology adoption does not have to be an uphill battle for construction companies looking to modernize their workforce. Companies should work with their employees to identify their biggest challenges and conduct thorough research into possible providers. This will help organizations find the best platform to meet their specific needs and ensure they are supported by a tech company that acts as a strategic partner.

These best practices are a surefire way to get significant employee buy-in when implementing a new technology.

Marko Tomic is CTO at Assignar

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TECHNOLOGY PRODUCT SPOTLIGHT Caterpillar Inc. eRoutes App for Asphalt Paving This application for smartphones and the web allows paving contractors to track the location and productivity of haul trucks as they travel between the asphalt plant and jobsite.

• Paving contractors can open up the app and quickly see where their trucks are and when they will arrive to a jobsite • Provides location tracking by placing devices at the plant and on the paver or material transfer vehicle that create a geofence at these locations • Trucks also outfitted with a small device that is constantly pinging its GPS location • Geofence devices enable you to instantly see when a truck enters or leaves the jobsite or asphalt plant • Geofencing functionality also eliminates the hassle of a paper ticket by logging them electronically instead ForConstructionPros. com/21003439

Tenna Construction Technology Platform The Tenna construction technology platform provides reliable tracking and a unified platform for mixed fleets, built on over 100 years of construction experience.

• Uninterrupted visibility from the machinelevel to the project office and throughout your whole company • Supports your mixed asset classes on one system • single source of truth for managing • Heavy and mid-sized equipment to fleet vehicles, downto small tools and inventory for total visibility • Simple interface ForConstructionPros. com/21092144

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ASPHALT CONTRACTOR JUNE/JULY 2022

MINDS, Inc. PlantManager Dashboard The PlantManager gives plant owners a 30,000 ft bird’s eye view of your company's plants all in one powerful dashboard to help them spot issues at a glance and drill down into production and job data.

• Multi-plant dashboard with all key numbers per location • Individual plant production details allow you to see real-time and historical of all production data like flow rate, tonnage, RAP, liquid asphalt & aggregate percentage and moisture, temperatures, deviations, etc.

• Individual plant energy details measure current and historical energy consumption in KWh/T, BTUs/T, or Therms/T so plant owners can compare actual energy use with theoretical need based on mix and ambient temperatures, moisture and type of fuel ForConstructionPros.com/21117844

BOMAG Bomap Compaction Assistant

TRUX Contactless Ticketing Solution Trux Contactless Ticketing is a robust e-Ticketing solution that integrates sales orders and scale tickets directly into technology solutions for all participants in the material supply chain.

• Allows contractors, dump truck drivers and material producers to safely and digitally record and track data from construction projects • Leverages unified digital dispatching, hauling and site contact load tracking and resolution software • Meets established requirements from the leading state DOTs across the country for digital ticketing

Bomap from BOMAG is the solution for the digital earthworks and asphalt construction site; it can be used to document work results on site in real time.

• The app can be installed on standard Android tablets and smartphones and documents passes via GPS for every roller, regardless of make • The result can be exported as a PDF and shows the customer the compaction performance achieved on the construction site in a transparent and comprehensible way • For BOMAG rollers, the app can record additional readings and thus create documentation for continuous compaction control (CCC)

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Topcon Thermal Mapping System for Asphalt Paving The Thermal Mapper for asphalt paving is designed to monitor temperature segregation and easily provide accurate compliance reporting, all with real-time kinematic (RTK) positioning accuracy.

• Provides a visualization to operators in real time of whether the mix falls within a pre-defined temperature range • Quickly tells operators if mix is stable or if moderate or severe temperature variation is occurring • Creates data reporting files to download for applications such as DOT compliance ForConstructionPros.com/21121074

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TECHNOLOGY PRODUCT SPOTLIGHT HAMM WITOS HCQ Software HCQ Navigator from HAMM uses a panel PC in the roller cabin to provide a live indication to roller drivers of the points that were already sufficiently compacted or where further compaction is necessary. This prevents over- and under-compaction while helping to optimize the number of passes.

• HCQ makes it possible monitor the compaction progress – in real time • HAMM is allowing more sustainable compaction in asphalt construction and earth work since supervisors can stay informed about the detailed construction progress at all times – without ever traveling to the site ForConstructionPros.com/21122245

ALmix Insignia Control System The ALmix Insignia Control System (ICS) is where powerful tools meet a simple user-experience.

ICS features the very latest in asphalt plant automation technology within the framework of an easy-to-navigate, point-and-click design. A comprehensive main screen is paired with a series of information-infused, operatorfocused screens available at the click of a mouse. The optional ALmix mobile application allows management realtime remote viewing of plant data and critical plant information.

• Automatic plant start-up and shutdown with sequence interlock • Multi-point capability for all calibrations • Burner ignition sequence and fault display ForConstructionPros. com/21259498

HeadLight PhotoBased Inspection Technology Designed for infrastructure construction professionals, HeadLight is a photo-based inspection technology that allows construction teams to capture, share and act on data from the jobsite in real time.

• Provides a total and accurate picture of progress • Monitor what’s happening as it occurs to ensure the highest quality of work, even when working remotely • Easy to use user interface and proven deployment process • Virtual and in the field training programs available

Dynapac MatTracker

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ASPHALT CONTRACTOR JUNE/JULY 2022

The Compact Assist entry-level intelligent compaction package includes pass mapping and temperature mapping functionalities to provide real-time data about how the job is progressing.

• Powered by the Volvo Co-Pilot, a 10-in. in-cab tablet • Pass mapping gives a clear on-screen view of the roller’s coverage of the asphalt, highlighting stop points and overlaps • Temperature mapping offers a colorcoded map of surface temperatures plus ability to set a maximum/ minimum range • Available on DD110C, DD120C, DD128C and DD140C asphalt rollers ForConstructionPros. com/21415701

Libra Drum Controls Libra Drum captures real-time visibility and control for blending and total plant automation. With Libra Drum, a fully graphic operator interface eases monitoring complex drum control operations to increase production and accuracy and seamlessly integrate with overhead loadout.

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MatTracker is an edge-follower system, which automatically regulates the screed working width. It follows a finished asphalt edge, curb or milling edge and thus ensures a consistent overlap and a consistent quality of an edge or joint at all times.

• Ensures a consistent high joint quality • Automates the screed width adjustment • Takes the screed operator out of the danger area • Supports the operator during manual reworking • Easy operation via the control panel integrated in the side shields • Easy installation and activation ForConstructionPros.com/21427622

Volvo Compact Assist Start

• Highly customizable design allows the user to design custom software switches, create reports and adapt to the current and future plant control requirements • Each bin can hold multiple materials at multiple calibration points, increasing productivity and efficiency • Dynamic, color-coded graphics ForConstructionPros. com/21521355

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TECHNOLOGY PRODUCT SPOTLIGHT Command Alkon TicketPro Digital Ticketing Solution

HCSS Aerial for Heavy Civil Contractors

The TicketPro solution digitizes 100% of material and haul tickets that enter a production facility or a jobsite.

• Ticket signer selects a project, chooses material being hauled and snaps a picture of the paper ticket • Can utilize scanner integration or capture tickets directly from a printer • Allows for job cost reporting, accruals reporting, invoice reconciliation, tracking quantities delivered and more • Takes all data on the invoice and matches it against actual ticketing data • Reconciliation tool allows user to easily verify work completed • Integrates with multiple accounting software solutions ForConstructionPros. com/21562995

The latest version of the HCSS Aerial, drone-based data analytics platform contains design visualization and digital inspection enhancements.

• Displays designs on the model as 2D clamped to the ground • Image Duplication Detection and Validations ensures uploaded image set doesn’t contain duplicates, analyzes location data and time of capture and warns if images do not have complete GPS information • Ground Control Points cannot be set as a checkpoint if it is not marked on at least two different images ForConstructionPros.com/21563106

Trimble Roadworks Paving Control Platform for Asphalt Compactors The Roadworks Paving Control Platform for Asphalt Compactors enables operators to accurately control the compaction process, while reducing unnecessary passes that can result in over compaction.

• Intuitive Android-based software maximizes ease of use • Asphalt temperature mapping provides color-coded data to allow operators to compact at the correct temperature • Productivity data collected from the machine is automatically synced back to the office ForConstructionPros.com/22031112

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Earthwave FleetWatcher Executive Scoreboard Feature The FleetWatcher Real-Time Executive Scoreboard feature serves as a scorecard for the Materials Management System (MMS), allowing users to see key performance indicators (KPIs) in an easy to understand format on their phone, tablet or computer.

• Provides realtime view of tons per hour by crew or truck, feet per minute, cycle time, trucking cost per ton and more • Color coding shows at a glance which metrics need corrective action ForConstructionPros. com/22043359

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PaveScan Mix Design Module PaveScan MDM is sensitive to subtle changes in aggregate, mix and moisture, comparing daily samples against approved mix designs makes any deviations apparent and helps to fix any problems before the mix is deployed in the field.

• With one five-minute lab test, users can accurately reveal problems before any need for silo dumps or other costly remediation • PaveScan MDM also turns our PaveScan RDM system into a powerful new Quality Control (QC) tool for asphalt density assessment ForConstructionPros.com/22106006

WEM Silo Loadout Mix Temperature Reader The WEM Silo Loadout Mix Temperature Reader automatically takes an asphalt temperature reading for each asphalt drop at the time of loadout.

• The temperature is time-stamped and recorded with the loadout transaction and stored in the WEM SQL database • The data for each drop can be printed on a loadout ticket or e-ticket • The Silo Loadout Mix Temperature Reader helps to improve placement temperature and compaction quality ForConstructionPros.com/22131724

For more information on technology, visit http://asphalt.com/mjw7dn

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PRODUCTION NOTES

Simplifying eTicketing Solutions for Paving Contractors

State DOTs pave the way for improved construction material deliveries through eTicketing and contractors have easy options to comply

I

t is estimated that the IIJA (Infrastructure Investment and Jobs Act) will create 2 million jobs over the course of a decade. The “Everyday Counts: Innovation Initiative” issued by the U.S. Department of Transportation in 2017, combined eConstruction with

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so-called Construction Partnering (aka E-C&P), is an effort to accelerate the adoption of electronic processes.

E-C&P calls for training and aid for decision-makers and other key stakeholders, such as State DOTs, contractors and consultants. Electronic material ticket management systems automate manual practices across the industry, eliminating tangible paper tickets and addressing the challenges created by outdated methods for tracking materials and truck assets.

Many successful pilots of eTicketing have occurred nationwide since the implementation of the “Everyday Counts” initiative, and the exchange of electronic ticket data has bridged the eConstruction gap that exists between public agencies and building materials suppliers.

These regulatory changes require the construction industry to change and adapt. Companies are notified of the standard operating procedure for transactions before the ground even breaks. During the bid letting process, one of the requirements spelled out is to submit a line item that specifies that that the company can adhere to eTicketing requirements if they win the bid.

From the time that the bid is awarded to the time that the project starts is usually plenty of time to get prepared and implement eTicketing capabilities. So, a company that is not currently set up for eTicketing might

make the choice to bid and work on getting the processes put in place at that time. However, most companies are actively investing in and implementing solutions that enable them to exchange electronic tickets because the IIJA includes money for advanced digital construction management systems and related technologies. The program is funded at $20 million per year, for a total of $100 million, over five years.

This funding is a clear indication of the critical role that technology will play in designing and building better, costeffective infrastructure.

LOOKING TO THE FUTURE: A POSITIVE OUTLOOK FOR CONSTRUCTION PRODUCTIVITY eTicketing requirements, once seen as a regulatory necessity, have now shown to improve the visibility of trucking operations leading to more efficient hauler management and improved profitability. Stagnant productivity, low levels of digitization, and low profitability plagued the industry.

Now, with the combination of new sustainability requirements, rising cost pressure, skilled labor shortage, and new process approaches and digital tools, companies are realizing that in order to maintain business continuity and stay competitive, digital backbones must be implemented into their operations.

According to McKinsey & Company, R&D spending among the top 2,500 construction companies has risen globally by approximately 77% since 2013.

Additionally, more than 50% of respondents’ companies have increased their overall technology investments.

There’s been a productivity lag in the construction industry for decades – one

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If this looks familiar, we’d like to talk.

“Overall, we have cut our downtime due to control issues to zero hours across three plants!”

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The MindsTronicTM family of automation systems optimizes production, collects key performance indicators, standardizes workflows, simplifies maintenance, allows the standardization of operator training, and improves workplace collaboration.  Drums, Batches, Combos, Emulsion, and Liquid terminals  Loadout, (e)Ticketing, Cloud-based Desktop, and Mobile Apps  Proven industrial PC, Fieldbus, and sub-concepts technology  Professional hotline and remote support

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PRODUCTION NOTES fleet operations, monitoring the unloading and loading of trucks and wasteful idling while in traffic or at the jobsite.

Once management understands the cause of nonproductive hours in their operations, they can revamp processes for greater efficiencies, including using route planning and mapping solutions to avoid traffic delays.

that costs the global economy $1.6 trillion annually. Lack of technological advancements, lack of communication, coordination issues, and an inefficient use of time are all issues that serve as the gordian knot in construction productivity. Technology can cut through the complexities.

Within supply chain processes, communication is key to success. If materials show up to the jobsite and construction personnel are not ready to receive or use the materials, work can be delayed or come to a halt. If materials arrive on time but do not meet the project specifications, additional deliveries have to be dispatched and construction teams will be idled as they wait on replacement materials. With improved communication through eTicketing, materials are easily located and on track for use at the right place for the right operation; and clear visibility into traceability of material properties and orders ensures that products arrive in the best possible quality, reducing delays and productivity lags.

Businesses can ensure complete delivery and materials traceability and uncover smart insights for decisionmaking with connected logistics solutions. Drivers have the information they need at their fingertips, including their next ticket, so they can be back on the road to their next job as soon as their current delivery is made. To create more efficient fleet operations, companies are using tracking solutions to map the location of trucks in real time, as well as telematics devices to monitor truck performance parameters, such as engine speed and coolant temperature.

These devices provide visibility into

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COMBATING INEFFICIENT DATA EXCHANGE AND MISMANAGEMENT Paper tickets end up in a place where data goes to die, so construction companies are approaching solutions providers to enable digital workflows for better management and real-time access to project data.

A range of solutions are available for contractors with flexibility in terms of the eTicketing options that they have to meet requirements, depending on the state and the way that the construction business is set up. For example, if a company owns all of their own trucks, uses third-party trucks, or a mix of both, eTicketing solutions exist that would work well in all of these scenarios. Solutions will vary depending on whether the contractors have control over the paving equipment or not. If they do, some companies provide a set of solutions that could make sense for them as well in that situation.

Depending on the solution the construction company signs up for, they can be up and running in a day

or two. Other solutions might require a couple of weeks, depending on the requirements for that project by the state and which approach they want to take in meeting those requirements. Some of these solutions require hardware inside of the truck or on the paver, while other solutions are just an application that can be downloaded to the driver’s smartphone. Procuring hardware might take a little more time upfront, but it can deliver more convenience on an ongoing basis. The applicationonly solutions can be up and running right away, but it may lead to some additional manual work depending on the scenario.

A good technology partner will offer support throughout the onboarding process, but then also on an ongoing basis as projects progress and evolve.

Some solutions require more extensive training for the drivers or the paving crew, so these companies will aim to serve as an extension to the team to ensure that each constituent is properly trained and is capable of fully utilizing the technologies at use.

Tarun Nimmagadda is the VP of Product Strategy at Command Alkon. Before being acquired by Command Alkon, Tarun served as the CEO and Co-Founder of Ruckit.

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Three hardworking crews will receive: Lunch delivered to location of choice (up to 25 people) Wirtgen swag Shareworthy recognition on our social media pages Entering is easy: ✔ Snap a jobsite picture of your Wirtgen milling machine in action ✔ Go to MillingSnapshot.com ✔ Upload your photo and submit your information for a chance to win lunch

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JOBSITE INNOVATIONS |

JESSICA LOMBARDO, EDITOR-IN-CHIEF

How to Create a Culture of Excellence in

ASPHALT PAVING

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ASPHALT CONTRACTOR JUNE/JULY 2022

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People, process and pavers contribute to the success of three award-winning projects in Oklahoma, including the US-183/US-270 fulldepth paving project

C

ontractors work on impactful projects everyday and seldom get the recognition they should for their hard work. However, state and national asphalt pavement associations

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have award programs to help celebrate these projects and give contractors the credit they deserve.

This year, the Oklahoma Asphalt Pavement Association (OAPA) announced their 2021 award recipients and Cummins Construction Company was awarded as winner in three of the six categories. In the Full Depth category, Cummins won for their work on US-183/US-270, a five-mile stretch of roadway in Woodward County.

US-183 is known as the Western corridor for truck travel coming from Kansas down through Oklahoma to I-40. Current traffic estimates on these highway segments is 4,900 vehicles per day with a 2038 projected traffic of 7,200 vehicles per day, with 33 percent being trucks.

The project scope of improving the corridor to a four lane divided highway with a median, was originally proposed in 1998 but was re-opened in 2016.

The two-lane highway has been in the

JUNE/JULY 2022 ASPHALT CONTRACTOR

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JOBSITE INNOVATIONS process of widening to four lanes since then and this stretch is one of the last segments to be upgraded to four lanes.

Cummins bid the project and began construction in late 2019.

The two-lane highway has been in the process of widening to four lanes since 2019 and this stretch is one of the last segments to be upgraded to four lanes.

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IN WITH THE NEW The existing highway had several segments with two 12-foot paved lanes with 10-foot paved shoulders and has other segments with three and four 12-foot paved lanes with narrower paved shoulders.

Cummins broke the work into three phases. Phase 1 included completing drainage structures, adding new lanes and detouring traffic. Phase 2 featured construction of the two new lanes and Phase 3 featured reconstruction of the old lanes and additional drainage work. Construction included removing 316,000 cu. yds. of earthwork. During Phase 2, Cummins completed the two new lanes first. They used cement soil stabilization on the new lanes and paved everything but the surface. They then opened those lanes up and began the work on transforming the existing lanes.

“By completing the new lanes first, we were able to keep traffic moving in both directions,” Jack Marshall, paving operations manager at Cummins says.

“This significantly helped reduce delays and kept our crews out of moving traffic.”

In Phase 2, a 4% cement soil stabilization was used to set the base before paving. The subcontractor for this phase placed 165,000 sq. yds. of soil stabilization subgrade for the two new lanes.

Paving on the new lanes then began. Cummins used two BOMAG CedarRapids pavers on the project.

Their main paver, a CR462, was outfitted with a custom drag ski made by the Cummins team.

“We run a 60-ft. drag ski on all our machines with a Topcon sonic averaging system (SAS) on top of that,” Gary Sharp, equipment manager at Cummins says. “All the crews are pretty much pulling the 60 foot skis wherever they can to get the ride out of it. By doing that with the SAS, it stretches any kind of deviations in the road out over 60 feet

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JOBSITE INNOVATIONS

What Does It Mean to Be EmployeeOwned?

In 2002, Cummins Construction made the move to be an employee-owned company, giving their workers a larger role in the success of the business.

“This really gives us an edge over other companies,” Mike Beier, area manager at Cummins says. “Our employees have a stake in the company and therefore they are invested in everything they do and take pride in that.”

Cummins also has an opendoor policy as well that allows all levels of employees the opportunity to suggest changes and the company can readily implement them. And Beier says that being employeeowned is also a huge factor in employee retention.

“We have been able to secure operators on our staff for years,” he says. “When employees know their opinions are valued and their work truly matters to the future of the company, they will stay. We haven’t seen nearly the amount of turnover that other companies are seeing and we credit that to our business model.” instead of 24 feet. This obviously makes the road ride a lot better.”

Cummins worked with their central lab to create the mix design for this project, placing four lifts for each side of the project.

• Lift One: S364 - 65,200 tons • Lift Two: S376 - 18,087 tons • Lift Three: S476 (Surface) - 14,370 tons • Shoulder: 7,000 tons OUT WITH THE OLD Next, Phase 3 began and Cummins got to work cold milling the top 2-in. of the old pavement off on the existing lanes.

Cummins also needed to remove two 10-ft shoulders.

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“The road had two 10-foot shoulders on it when it was a two lanes,” Marshall says. “We took the inside shoulder from 10-ft. to 4-ft. using a Wirtgen mill and took all 6-ft. of the road and came back to make it a 4-ft. inside shoulders, so there was quite a bit of removal there.”

Cummins removed 75,000 square yards of asphalt just to get the shoulder changed. Full-depth repairs were also needed along the existing roadway in several places as well and the crews worked to ready the roadway for paving.

Cummins used material transfer vehicles (MTV) on this project for several reasons; to keep the trucks from

impacting the pavers, for remixing of the material, and for production reasons.

“We don’t have to run an MTV except for the top two lifts, but we always do,” Sharp says. “We can get as much as 100 more tons per hour put down using an MTV versus without using one.”

In all, over 98,000 tons of asphalt was placed to widen and repair this stretch of roadway. The company used a combination of BOMAG and Dynapac rollers to achieve compaction, a breakdown, pneumatic and finish roller. The Cummins team was also in charge of quality control using Troxler gauges.

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JOBSITE INNOVATIONS

Jack Marshall, paving supervisor for Cummins Construction, is pictured on the cover of Asphalt Contractor Magazine in 1998.

Today, his crew is back on the cover nearly 25 years later.

PEOPLE, PRODUCTION & PAVING = SUCCESS None of this work would have been possible without the dedicated crew members at Cummins.

“We are employee-owned and the people that are out there paving have been here so long and knowing that they're part owners of the company, they take so much pride in every job,” Mike Beier, area manager at Cummins says.

“They will always go that extra mile to get a good ride.”

And Cummins keeps their employees and equipment operators top of mind, investing in the equipment the crews are comfortable with. In fact, Cummins has 11 BOMAG pavers based on the request of their teams.

“We’ve been using BOMAG (CedarRapids) pavers for years,” Sharp says. “The crews are comfortable with the machines, they understand every part of them and feel they are more operator-friendly than any of the other pavers out there. If anything were to break on these machines, they know exactly what needs to be done to get it back up and running.”

“We take into consideration the value of the equipment, but we listen to our operators as much as anything,” Dennis Taylor, superintendent at Cummins adds. “These pavers have consistently shown their value for us.”

Not only did they win the 2021 OAPA Full-Depth award, they also won for Rural Overlay for US-412 in Woodward County and Urban Overlay for SH-3 in Blaine County. They were chosen as Runners-Up in two other categories as well.

“The BOMAG screeds lay down a great mat and our crews are very conscientious about making sure every job is done to the best of their abilities,” Sharp concludes. “We are always trying to stay current with the trends in the industry and the BOMAG machines keep up. We upgrade our operations to stay ahead of our competition and to keep our crews operating at peak performance.”

For more information visit http://asphalt. com/4kdf7g Using an MTV, Cummins says their crews can get as much as 100 more tons per hour put down versus without using one. They use the MTV on all lifts, instead of just the surface.

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PRESERVATION UPDATE |

JESSICA LOMBARDO, EDITOR-IN-CHIEF

Why One Illinois Contractor Specializes in

SOIL STABILIZATION Mt. Carmel Soil Stabilization operates 20 crews across the United States with 300 employees and over 300 pieces of specialized equipment for their jobs.

Mt. Carmel turns relatively unknown service into their main business operation, making them the leading midwest provider of stabilization solutions for over 70 years

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elebrating over 70 years of stabilization does not happen by accident. Mt. Carmel Soil Stabilization, based in Illinois, consciously chose to be the contractor of choice in this niche business and their 300-person team works hard to educate their customers about their projects and the need for their services.

"We started out over a century ago, with sand and gravel works along the Wabash River, not far from our home town of Mt. Carmel, Il. Thirty years

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later, we began doing full depth reclamation on county roads. After another thirty years, we began expanding into lime and cement stabilization. And that’s where we have stayed until today – doing what we do best," Neil Ryan, president of Mt. Carmel Soil Stabilization says. "Nevertheless, our goal is to be even better in everything we do – and this is driven by our constant commitment to innovation and quality."

Today, Mt Carmel operates 20 crews across the country with more than 300 pieces of specialized equipment, all while touting the benefits of their services to their customers.

EDUCATION COMES FIRST Many contractors know what is best for their customers and the projects they are hired to complete but it takes education to make customers understand that the right fix might not even be one they have heard of before. Soil stabilization is the method of choice when it comes to assuring the load-bearing capacity

and quality of soil in preparation for road construction and civil engineering projects, but many project owners don't know of the benefits this service provides.

The majority of Mt. Carmel's projects involve soil stabilization for roads and highways of all kinds and the preparation of sites for industrial developments, but it takes the dedication of their team to educate their customers and keep soil stabilization top of mind on these projects.

"We work to convince customers that soil stabilization is the best choice based on the many benefits it provides," Kelly Crowder, vice president of equipment & facilities at Mt. Carmel Soil Stabilization says. "The method makes the replacement of soils with poor load bearing capacities more or less superfluous. Moving earth with excavators, loading it onto trucks, taking it away for disposal, and then trucking load bearing soil to the site and spreading it is a much more costly alternative. On most of our

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PRESERVATION UPDATE

construction sites, we actually manage to make transportation distances even shorter. We stockpile materials like lime and cement at our ten decentralized depots strategically located across the Midwest of the United States."

And Mt. Carmel prides themselves on that. They routinely schedule and deliver over 6,000 tons of material per day to projects across the country just in time from their locations.

The company also prides itself on being a true partner with their customers, engaging them during the bidding process about the benefits their company provides.

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"We engage in dialog with our customers as early as in the bidding phase and offer them our support," Crowder says. "This is because precise project planning based on laboratory analysis is a very important factor in soil stabilization measures. Our consulting services identify areas where costs can be reduced without compromising on quality – like in the choice of suitable construction materials in the ideal proportions and right quantities for the job.

We offer lab analysis to help our customers understand what they are trying to accomplish with their projects."

This is mainly because soil

stabilization can be seen as complicated service with many different goals.

Stabilization can remove moisture from a soil, increase the shear strength of a soil and/or control the shrink-swell properties of a soil, thus improving the load bearing capacity of a subgrade to support pavements and foundations. To make sure everything is done correctly, Mt. Carmel uses an in-house testing service for their customers.

"It's important to complete testing on a site so we can determine the right chemicals needed to accomplish the goals of the project," Dane Redinger, director of engineering at Mt. Carmel

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says. "We partner with labs across the country to compete the testing, but we're analyzing the results and determining what chemicals to apply in what area on the site and in what amount. This is a huge value add for our customers because it not only ensures the project will be successful, but is also the most cost-effective approach as no materials are wasted."

The staff at Mt. Carmel can also help troubleshoot projects during the design and construction phases to ensure projects go smoothly.

ASPHALT PLANTS AND

COMPONENTS

TRUSTED PARTNERSHIPS When it comes to the equipment contractors use, repeat purchases depend highly on machine performance and support. Mt. Carmel operates an extensive fleet of about 30 Wirtgen WR series cold recyclers, soil stabilizers and Streumaster binding agent spreaders for the 500+ projects they complete each year. Mt. Carmel Stabilization works primarily with high-powered Wirtgen WR 240i machines

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The company utilizes a fleet of Wirtgen WR series cold recyclers to help complete the 500+ projects they work on each year.

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because they know they can rely on their dependability and versatility for their broad range of needs.

"Our projects are extremely varied," Crowder says. "Some involve only a couple of meters and can be done in a day, while others can take months and need thousands of tons of lime and cement. All these contracts have had one thing in common over the past 14 years – Wirtgen soil stabilizers.

"As the guy responsible for our equipment, what interests me most about a construction machine is, of course, its availability for the job it’s supposed to do," Crowder continues.

"Our WR 240i machines are rugged and reliable and do a fine job on every project. In the past, before we upgraded to WRs, we often took a pair of the machines we had along to the project site, because we never knew whether one alone would make it through a whole

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Soil stabilization at an industrial site with two Wirtgen WR 240i machines:

day. Today, we’re happy to have left that way behind us."

“These machines are absolutely unbeatable when it comes to versatility and durability,” Ryan adds. “One day, a team can be out on a soil stabilization project and, a day later, they can be granulating the asphalt of a road that

needs repairing somewhere else – all with the same machine. And the productivity of the WR is high on both jobs.”

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THE LAST EXIT |

GARRY BARTECKI

Job Pricing in Today’s Construction Market ©mrmohock – stock.adobe.com

Contractors may not be accustomed to this economic climate, especially when bidding and completing work that produces positive cash flow

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here is little doubt that the economic trends of inflation, stagflation and deflation will be with us for some time. Every expert source I read supports that conclusion. Many contractors may not be accustomed to this economic climate, especially to when it comes to bidding and completing work that produces positive cash flow.

I constantly harp on two principles, both of which are applicable to any business. And they are: 1. Cash is king.

2. Every dollar of sales requires additional capital.

When I mention “cash is king,” I mean keeping a positive cash balance to cover your cash needs throughout the year, regardless of seasonal peaks and dips. This is more important than ever if you consider current risks associated with incoming costs. To remain successful, you should be producing a daily cash report with a recap of what you deposited and what you spent.

This means producing reports to cover account receivables due, as well as a payable report noting when bills are owed and a daily process to follow up with these variables, so you can be certain where you stand from a cash position.

Capital requirements in this environment are as important as ever.

The normal timing of business revenues

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ASPHALT CONTRACTOR JUNE/JULY 2022

and business expenses is one where bills are due and paid before receivables are collected, thus creating a gap, which in turn eats up your cash, which in turn creates demand for additional capital in the form of bank debt or a personal capital infusion. There are examples out there where a company acquires a significant increase in new profitable business, only to go bankrupt because they could not fund the additional capital to run the business.

So, at the end of each week when you review your current cash position and your projected cash position for next week, you will find that your changes in cash result from current work being completed according to plan, or not being completed according to plan. On the other hand, the level of work may be producing demands for cash you currently cannot cover. In other words, generating a profit does not guarantee positive cash flow.

That brings us to pricing our products and services when most financial metrics are up in the air. Pricing a job today is tough. And with input prices being what they are, you can: • Option 1. Bid a job knowing you are going to eat some inflated costs, hoping conditions change sooner rather than later.

• Option 2. Bid a job using current costs, as well as any further price increases that may come about.

Neither choice is good for you or your business. With Option 1, you lose money and could weaken your cash position. Option 2 may cost you a lot of work, since there is always someone out there who will produce a bid without being fully aware of the marketplace.

Option 3 is somewhere in the middle, where you reduce overhead and fixed costs, while at the same time

compress your billing process to speed up collections. Improving worksite efficiency would also be part of this process. You may wish to review what work you are performing to ensure you are doing what you do best and give the other work to those more able to get the work done more effectively.

It is no secret that the construction world is taking steps to reduce the cost and time it takes complete a contract.

Just review the new systems available to you to achieve this result. Finding a way to achieve this goal would allow you to use Option 1, because reduced costs can offset most cost increases you are experiencing.

One area to review is equipment cost, which is now in the 30% range of total job costs. This cost was once in the 17% range, so it’s important to make sure your owned equipment is adding to your bottom line.

The game plan for the balance of this year is as follows: • Know your cash position.

• Do not over invest in inventory unless you are 100% sure you can afford it.

• Know what your field personnel are doing.

• Speed up the billing process and make sure it is 100% correct.

• Invest in the systems to help streamline the process.

• Do more with less; find a way to do it.

• Manage based on your cash position.

• Do what you can do and nothing more.

• Do what you do best.

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