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Guam Contractors’ Association

NEWS BULLETIN

Vol.55 Issue 06 JUNE 2014

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TABLE OF CONTENTS

14

Guam’s Future

2 | JUNE2014

6

S.A.M.E.

10

INSIDER NEWS

14

GUAM’S FUTURE

16

FEATURE STORY

20

PHOTO HIGHLIGHTS

24

GARRISON REPORT

28

AROUND THE BENCH

30

NEW MEMBERS

32

ON GUARD

CONSTRUCTION NEWS BULLETIN

16

Feature Story

www.guamcontractors.org


THEDIRECTORS

THEEDITORIALS Guam Contractor’s Association (GCA) in conjunction with AdzTech and Public Relations, Inc. publishes the Construction News Bulletin (CNB) monthly. Reproduction of materials appearing in this publication is strictly forbidden without written permission by GCA. While we always strive for accuracy, we will from time to time overlook mistakes. In order to help us improve the quality and accuracy of this publication, we ask that you take the time to look at the information provided and notify GCA of any corrections as needed. Opinions and editorial content of this publication may not necessarily be those of the publisher, staff, GCA members, GCA Board of Directors and advertisers. For more information about advertising in the GCA Construction News Bulletin contact the advertising department at (671) 477-1239/2239 or email at adztech@teleguam.net. Distributed to GCA members or can be obtained by stopping by the Guam Contractors’ Association office located at 718 N. Marine Corps Drive, Suite 203, East West Business Center, Upper Tumon, Guam.

PRESIDENT James A. Martinez, GCA PAST CHAIRMAN Tom Anderson, Black Construction Corporation CHAIRMAN - ELECT Art Chan, Hawaiian Rock Products VICE CHAIRMAN - ELECT John Sage, WATTS Constructors SECRETARY/TREASURER William Beery, Tutujan Hill Group CONTRACTORS DIRECTORS: Narci Dimaoala, Amazon Construction Carlo Leon Guerrero, M80 Office Systems Conchita Bathan, Core Tech International Tom San Nicolas, dck pacific guam LLC Miguel Rangel, Maeda Pacific Corporation ASSOCIATE DIRECTORS: Jeffrey Larson, TakeCare Insurance

To find out more about how you can become a GCA member contact Guam Contractors’ Association at Tel: (671)647-4840/41 Fax: (671) 647-4866 or Email: gca@teleguam.net. www.guamcontractors.org

Ray Yanger, Fastenal Patty Lizama, Pacific Isla Life Michael Kikuta, Matson Navigation

Postmaster. Send address changes to Guam Contractors’ Association, located at 718 N. Marine Drive Corps Suite 203, East West Business Center, Upper Tumon, Guam.

GCA

TRADES ACADEMY B u i l d i n g

S k i l l s

F o r

A

L i f e t i m e

Guam Contractors Association

THETEAM PUBLISHER: James Martinez SALES & MARKETING DIRECTOR: Geri Leon Guerrero AD SALES: Tom Mendiola Jaceth Duenas PRODUCTION: Geri Leon Guerrero Christopher “Taco” Rowland PHOTOGRAPHERS: Christopher “Taco” Rowland EDITOR: Adztech CONTRIBUTING WRITERS: John Robertson David F. Macaluso Ted Garrison Shawn Gumataotao Maj. Josephine Blas Catherine Cruz Norton Nick Cruz GCA STAFF: Francine Arceo Desiree Lizama COVER: Orlene O. Arriola, CPCU, CRIS, AINS Photo Credit

United Latte Construction Corp.

Talo Verde Townhome Project


S.A.M.E. UPDATE

Membership Meeting May 15, 2014

SAME Guam Post recently awarded nine scholarships ranging in value from $2,000 to $4,000. This is the highest number of scholarships awarded to date. The presentation for the first installment of the scholarship payments took place at the General Membership Meeting held at the Outrigger Guam Resort on May 15, 2014. The recipients and their respective guests were invited to attend the presentation. This year’s recipients, universities and award amounts are included below: Jessy Marie Hardy

Seattle University

$4,000

Joseph Claveria

University of Portland

$3,500

Domclancy Tiliwebug

Yap Catholic High School

$3,500

Camille Ann Gozum

John F. Kennedy High School

$3,500

Austin Folbuw

Yap Catholic High School

$3,000

Tomas Bonsembiante

Virginia-Tech University

$2,500

Connie Maluwelmeng

Iowa State University

$2,500

Gerome Sangalang

Guam Community College

$2,000

Jason Liu

Notre Dame High School

$2,000

SAME Guam Post helps to promote engineering education by sponsoring an annual golf tournament in order to fund the scholarship program. This year’s tournament, the 36th Annual Charlie Corn Scholarship Golf Tournament, took place at the STARTS Guam Golf Resort on May 10th. The event raised approximately $35,000 for college students looking to pursue an engineering or architecture career.

The tournament takes its name from the late Charles (“Charlie”) Lumen Corn, a well-known and successful businessman on Guam who generously contributed to many community activities. One of Corn’s numerous interests included engineering, which is why he provided the initial seed money for this scholarship fund. After his death in 1973, SAME continued this tradition in Charlie’s honor. SAME also offers workshops, training, and different activities for its members throughout the year. They also maintain strong connections with active-duty service members, civil service employees, contractors, engineers, and other organizations.

6 | JUNE2014

CONSTRUCTION NEWS BULLETIN

www.guamcontractors.org


S.A.M.E. UPDATE

Joseph Claveria

Camille Ann Gozum

Laura, mother of Connie Maluwelmeng

Tomas Bonsembiante

Jason Liu

Gerome Sangalang

www.guamcontractors.org

CONSTRUCTION NEWS BULLETIN

JUNE2014 | 7


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INSIDER NEWS

Introducing the

CONSTRUCTION INDUSTRY PAC

By John M. Robertson

The election season is now upon us and it is important for the Guam Contractors Association to demonstrate a united front by endorsing those candidates whose views support the businesses represented by the GCA. Our strong support can make the difference as to who wins the upcoming elections, and whether the winners support the views of our member businesses. We have the possibility of influencing the election outcome by fair, honest and open means. Thus, the idea of a GCA Political Action Committee, or PAC. This is a new idea for the GCA, but is standard practice across the nation with many corporate PACs, association PACs and others. At the national level, the Associated Builders and Contractors (ABC) has a PAC for its member companies, which includes many members of the Guam Contractors Association. However, the Construction Industry PAC is established as an entity separate from the Guam Contractors Association and is intended to represent the interests of our industry including architects, engineers, contractors, subcontractors, material suppliers, equipment and tool suppliers, insurance and bond providers, financial institutions and other organizations that support the building and construction industry in Guam. Why do we need a PAC? The number one concern of the past few years and extending into the future for another dozen years is the possibility of a military buildup on Guam, 10 | JUNE2014

including the relocation of the 31st Marine Expeditionary Unit (MEU) from Okinawa to Guam. While this move represents major business opportunities for our industry, we know that, number one, this is needed for the forward defense of our nation in the Western Pacific and our island home. We are Americans and at the same time Guamanians. The investment by the federal government is important for the further development of our local economy and that of the neighboring islands. We remember well the attack on Pearl Harbor and parallel attack on Guam in December 1941 when our military was unprepared. The lack of preparedness in Guam cost the lives of many island residents and misery until July 1945 for those that survived. Yet, there are detractors among us today. At the Open House and Public Hearings on the Draft SEIS in May of this year, there were far more hecklers and complainers than there were individuals asking reasonable questions, providing helpful suggestions and making favorable comments. During the final session, a group of disaffected individuals placed the below message on the windshield of cars parked outside: Build-up Survey Guam’s original slogan, “Guam, where America’s day begins” is so outdated. We need to replace it with one that truly reflects America’s place in the Marianas. Please choose one of the following: o “Guam, where America’s day begins with the sound of GUNFIRE!” o “Guam, where helicopters fly over our school and homes: o “Guam, where America refuses to recognize those who suffered during WWII!” o “Guam, where those who support the militarization of the Marianas have been blinded by greed!” o “Guam, where America bribes the CONSTRUCTION NEWS BULLETIN

youth to join the military!” o “Guam, where 5,000 marines just landed!” Wake-up! These are not the slogans we want to represent the Marianas. We do not want to hear the gunfire! We do not want more fences! Wake-up! While the above is a sample of what only a small number of residents on Guam are thinking, it does have an impact on some of our local officials. What is disturbing is the anticonstruction industry positions taken by some in the leadership of our Legislature, and this came out in testimony at the same draft EIS hearings. Such opinions and actions by elected leaders encourages the actions by those opposed to economic progress. While the Mayors and their Mayors Council have made clear their support of the Military Buildup, the Legislature has not. Although they have not taken an official position against the buildup, the actions and words of some of their leaders make it clear that they are opposed. Remember the Fab-Five? Four of the five are still there, even though they were reelected by thin margins two years ago. Guam needs legislative leadership that is supportive of the Construction Industry as well as local businesses, in general. The 32nd Guam Legislature has not been proactive with the business community or the military, the mainstays of the local economy. They have been busy countering nearly every move of the current Administration. They have been uncooperative with our only representative in the nations’ capital, even though they are from the same political party. Their manner of treating congressional delegations does not bode well for Guam in Washington where goodwill is so important. The recent CODEL was ushered into the legislature’s public hearing room instead of the Speakers chambers for a brief courtesy call. www.guamcontractors.org


The Construction Industry PAC is not focused solely on the Legislature. There will be a contest to elect the next Governor and Lieutenant Governor. The Democrats have fielded a team recently and they will put up an interesting and perhaps successful fight against the incumbents. The Republicans have not yet put forward a candidate for Guam’s Delegate to the House of Representatives, but this is expected to be done by the deadline. These positions are very important to the local community as well as Guam’s relations with the federal government and our neighboring nations in the Western Pacific. The offices of Attorney General and Public Accountability will be open for election as will some members of the Consolidated Commission on Utilities. Village Mayors are all up for reelection this year. What can the GCA PAC do to Elect Officials who support the Construction Industry?

• There is strength in numbers. The

PAC will make known to those running for public office that it represents a substantial block of voters.

• In due time, a roster of supported

candidates will be decided based on promises of support for the Construction Industry during the coming two years. It will be non-political in the sense that it will include candidates from both parties and independents, but only candidates who express support for the issues that beneficially impact the construction industry.

• Those selected for support will be

introduced to the industry by tours of the GCA Trades Academy and selected project sites. They will be introduced to Architects, Engineers

www.guamcontractors.org

and Contractors.

• The final list of selected candidates

will be endorsed publically in the newspaper and television. They will be invited to speak briefly at a GCA function.

• Financial support will be provided to

candidates based on the amount collected from members of our industry and the closeness of the competition in key races.

• The PAC will conduct a get-out-thevote campaign in the final days leading up to the election. Employees of member firms will be encouraged to attend rallies and on Election Day to vote for the PAC endorsed candidates, irrespective of party affiliation. Fund Raising to Commence in July A personalized letter will be sent by the PAC to GCA members with a follow up phone call to solicit participation. Records will be maintained of amounts pledged and collected. Mixers will be organized for the purpose of collecting needed funds and the introduction of selected candidates to members of our industry. Why Make Contributions through a PAC It is prudent for businesses and individuals to provide financial support to candidates running for political office. It is what makes democracy work. Candidates are supposed to be elected based on what they offer to the electorate in the way of ideas and leadership ability. To get out their message, they must campaign and political campaigning costs money. How they organize and spend money in their campaign provides a measure of how they would spend public funds if elected. Corporate contributions to candidates are intended to influence the outcome of the election, recognizing that the official when in office must make decisions based on the common good

and not necessarily what is in the best interest of any one industry. The single amount, or the larger amount, if multiple awards are made, is contributed to the candidate that is known to favor positions that are of interest to us in order for them to run a successful campaign. A single larger amount from an industry PAC goes further in that direction than a smaller amount from an individual or single corporate entity. Organization of the Construction Industry Political Action Committee The Political Action Committee organizing activity commenced in June of 2014, and included a study of local and federal laws pertaining to the formation of Political Action Committees. It required setting up an independent bank account unrelated to the GCA or any other organization. Initial officers are: John M. Robertson PE, Chairman T: 472-3301 John.Robertson@amorient.com Thomas S.M. San Nicolas, Treasurer T: 647-5600 tsmSannicolas@dckww.com Arthur D. Chan, Deputy Treasurer T: 734-2971 aChan@hawaiianrock.com Political advisor for the PAC is Jay Forsyth. Opinions expressed above are those of the author and not necessarily those of the Guam Contractors Association.

John M Robertson

CONSTRUCTION NEWS BULLETIN

JUNE2014 | 11

INSIDER NEWS

There, protesters with placards in opposition to the buildup were allowed into the room rather than being kept outside. Remember who went to the United Nations a few years ago to seek support for the decolonization of Guam?


MEMBER BENEFITS

Keeping You Safe in the Workplace by: Nick Cruz

Staying safe at work or a jobsite is the number one concern for foreman, supervisors, and human resources managers alike. It is also essential for workers to know how to stay safe at work regardless if they’re a seasoned worker, high in rank at work or a young new worker on his/her first day. So this raises the question, how does one stay safe in the workplace? The answer is that there are many ways one stays safe at the workplace. Here are some ways you can stay safe at work.

1. Pay attention to any training you receive. The smallest details of your training can not only help you be efficient at your job but it can also keep you safe. Improper handling of equipment or cutting corners with safety measures on the jobsite can result in injury or worse. It is important to follow your training down to the exact details of how to do your job, which includes wearing the proper safety equipment on the job. 2. Speak up to your supervisor or manager if you believe a job may be too difficult or dangerous. It’s important to be vocal in the workplace. Sometimes some employees forget that they have a voice in the workplace, regardless of how much experience or what their position may be. It’s important that you let your voice be heard. It may save you and your fellow coworkers from serious injury. 3. Report any injuries you or a coworker may have (major or minor). Don’t try to keep your pride whether you can or cannot work with a injury. In this day and age jobsites need employees who are in peak condition to work. If you or a coworker has an injury it could result in low quality output of work and could result in further injury. Do not under any circumstances work with a pre-existing injury. 4. Keep an eye out for coworkers. Some coworkers especially new ones may be doing their jobs inefficiently or may be cutting corners with their work. One thing to understand is that in the workplace you and your coworkers are a team. So helping out coworkers that are struggling is crucial to helping the company, the team and even leaves you with the feeling that you are a crucial member on the job. 5. Lastly, get a good night’s sleep. Sleep is restorative for not only physical ailments but also helps with healthy brain function. A healthy brain means that you’ll be attentive, refreshed and assist you to do your job properly. Lack of sleep could result in poor performance.

With all of this being said, this could assist you in to being a proficient worker. In regards to supervisors I would encourage you to take these bits of information and share it with your teams and help create a better and most of all safer work environment. 12 | JUNE2014

CONSTRUCTION NEWS BULLETIN

www.guamcontractors.org


GUAMS FUTURE

By Catherine Cruz Norton Naval Facilities Engineering Command Marianas Public Affairs Office

Draft SEIS Public Comment Period Extended by 15 Days

On June 5, 2014 the Department of the Navy extended the public comment period for the Draft Supplemental Environmental Impact Statement (SEIS) by 15 days to 2 July, 2014 (ChST). The Draft SEIS was published by the Department of the Navy (DON) on 18 April, 2014 and assesses the environmental impacts of the construction and operation of a cantonment, including family housing, and a live-fire training range complex (LFTRC) on Guam to support the relocation of approximately 5,000 U.S. Marines and approximately 1,300 family members to Guam. Comments for consideration should be submitted via mail to the Joint Guam Program Office Forward at P.O. 153246,

14 | JUNE2014

Santa Rita, Guam 96915, or via the SEIS website at http://guambuildupeis.us/. The public meetings for the Draft SEIS were conducted on 17, 19, and 20 May. “We received valuable feedback from the citizens of Guam during the public meetings. Although there is some risk to the program schedule, we recognize the importance of public input and have decided it necessary to extend the comment period by 15 days. We encourage the public to continue to provide feedback via mail or on our website. Your input will help us to better understand the effects of the proposed actions,� stated Mr. Joe Ludovici, Deputy Assistant Secretary of the Navy (Infrastructure Strategy & Analysis) and Director of the Joint Guam Program Office.

CONSTRUCTION NEWS BULLETIN

For additional information about the proposed military relocation and the associated SEIS process please visit our official website at http://guambuildupeis.us/. Members of the community may also sign up at the website to receive electronic notifications when new information is posted.

www.guamcontractors.org


Arriola

- the first Woman CPCU from Guam by: David Macaluso


According to Arriola, she graduated with a Major in Economics at the University of California San Diego so she felt that the insurance industry is not a far reach from her educational background. "Due to my background with information systems and data management, I was hired as the Property & Casualty (P&C) Supervisor to help manage underwriting data integrity and work flow processes at a local agency," said Arriola. "With the desire to master industry knowledge and through the mentorship of my employer, I was challenged to achieve what is considered the premier designation in the insurance industry, the CPCU.” Less than three percent (3%) of insurance professionals nationwide achieve the CPCU designation so it is a rigorous self-study program that requires a minimum industry experience of two years. Arriola needed to pass a series of eight graduate level national exams, which were on topics such as insurance law, accounting, risk management and ethics. After passing these exams, CPCUs need to continue to update their knowledge pertaining to the insurance industry by going to workshops and seminars. In addition, CPCU's need to abide to a code of professional ethics and must have a proven track record in regards to insurance expertise and knowledge.

Arriola adds, "Candidates have the option of self-study, online courses, or taking in person classes offered only on the mainland. With a busy career and family, it was practical for me to choose the self-study stay on Guam option. What I find most impressive and unique about this certification is that an ethics course is a critical requirement for completion. Perhaps the most valuable quality of a CPCU is the adherence to a code of professional ethics, in which a CPCU promises to place the needs of their client’s before there own. In this new era of strict regulatory compliance and financial scrutiny this type of professional commitment is a welcome benefit." While working full-time, it took Arriola a little over 3 years to achieve the coveted designation of a CPCU, she also picked up other designations along the way such as the Associate in Insurance (AINS), and the Construction Risk Insurance Specialist (CRIS), which is conferred by the International Risk Management Institute (IRMI). Arriola is also the only construction risk insurance specialist on Guam. Having come from an Agency exclusive to a domestic insurer, Arriola wanted a new challenge and decided to venture off on her own as an independent broker. Since

October 2013, she expanded her horizons and became an owner and independent broker at AXS Insurance. She continues to practice as a licensed sub-agent, broker, and surplus lines broker employing her 10 years of regional experience. To date there are only 3 residents on Guam, which includes Arriola, who are CPCUs, in addition to a few foreign nationals that work on Guam. The CPCU Society has confirmed that she is the first Woman from Guam who has achieved the designation. From Arriola's experience when it comes to insurance, she said the common assumption is that the consumer is strictly a lowest price-driven decision maker. But on the contrary, although consumers on Guam have been accustomed to excluding service in their decision matrix, her experience has shown that consumers are savvy and frequently recognize value and service when they see it, rather than just a low price. "Guam businesses and consumers want insurance that is meaningful protection for their risk tolerance and are willing to pay a reasonable premium for that piece of mind. They want to understand what

A CPCU can be any professional from the insurance industry performing various disciplines from accounting, management, underwriting, and claims adjusting to name a few. A majority of CPCUs are insurance company professionals, generally at the senior executive level or independent agents and executive managers at major brokerage firms. With Arriola's particular background in property and casualty underwriting along with experience in managing general agency operations, she is familiar with the entire policy life cycle and front line service operations. The CPCU education enhanced her real life experience practicum by providing a technical subject matter expertise to the day-today business of insurance.

www.guamcontractors.org

CONSTRUCTION NEWS BULLETIN

JUNE2014 | 17

FEATURE STORY

With over ten years of experience in the insurance market on Guam and within the region, and while working as a property and casualty manager at a local insurance agency, Orlene O. Arriola decided it was time to become a Charter Property Casualty Underwriter (CPCU).


FEATURE STORY

product and level of service they will be getting for their hard earned premiums. The cookie cutter, fast food service mentality is no longer acceptable (in the insurance industry)", said Arriola. So what does the CPCU mean for the Construction Industry on Guam? Knowledge and expertise in ďŹ nancial disciplines is a necessary component to economic growth across all sectors including the Construction industry. In the next decade, Guam will experience a renaissance of construction as many, if not all Post World War II military structures and civilian infrastructure will be replaced with state of the art facilities employing innovative designs, materials, construction methodologies, and entirely new technologies such as photovoltaics and renewable energy. With these new technologies and structures come unique risk exposures that will test our abilities as an industry to manage the associated risks at a competitive level. Large prime contractors bring their risk management expertise to the project, but to the average sub-contractor, risk management is generally an ancillary function of their accounting department if one exists.

18 | JUNE2014

CONSTRUCTION NEWS BULLETIN

Managing risk competently and competitively can be the game changer when it comes to the success and viability of a construction entity. By making this insurance expertise and training available to construction entities of all sizes and disciplines, Arriola intends to be the conduit for the contractors and businesses on Guam to operate and compete at a world class level with respect to risk management, enabling our construction industry professionals to focus on what they do best, Build Guam! With the gradual inux of world class prime contractors and introduction of new technologies, materials, innovative designs, and construction methodologies, Guam's construction industry will be challenged to update how they deploy risk management strategies to remain viable and competitive.

www.guamcontractors.org


PHOTO HIGHLIGHTS

GCA Luncheon May 21, 2014 Westin Resort Guam

20 | JUNE2014

CONSTRUCTION NEWS BULLETIN

www.guamcontractors.org


PHOTO HIGHLIGHTS

Draft SEIS Public Meetings May 19, 2014 Father Duenas Phoenix Center

www.guamcontractors.org

CONSTRUCTION NEWS BULLETIN

JUNE2014 | 21


PHOTO HIGHLIGHTS

Construction Rodeo Awards Presentation

May 20, 2014 Tamuning Elementary School

GCA Safety Conference on Fall Prevention June 2-5, 2014 Pacific Star Guam

22 | JUNE2014

CONSTRUCTION NEWS BULLETIN

www.guamcontractors.org


GARRISON REPORT

The Customer Focused Contractor

For a long time, I have argued the contractors should define the term client as "someone under the protection of." At the heart of that definition is the idea that contractors must focus on the client. But how does one do that? In other words, what are skills and attitudes required to achieve to be a customer focused contractor? I recent read an article by a colleague of mine; Shep Hyken titled "Six Differences Between Customer-Focused Companies and Operations-Focused Companies" that answers those questions. Since the typical contractor is operations focused, Shep's article offers some sound advice, there with Shep's permission his article follows.

by Shep Hyken Some companies really understand customer service. They know how to hire for it, train for it and deliver it. Other companies claim to give customer service, but in reality, they are grounded in an operations mentality with rules and policies that allow for little flexibility, preventing them from being anything more than just average or satisfactory. Here are a few observations of the differences between customer-focused companies versus operations-focused companies: Empowerment: A customer-focused company empowers employees to make decisions that are for the benefit of the customer. They have guidelines versus rules and take the approach that if it isn’t illegal, immoral, won’t cost the company money (although sometimes that’s still okay), and won’t harm the company’s reputation, then consider doing it to take care of the customer. The operationsfocused company requires a manager’s approval for anything that is outside of their policies or typical way of doing business. Hiring: A customer-focused company hires people who fit the culture, which means they have the personalities and core-values that align with the company’s vision and mission. Certain jobs may 24 | JUNE2014

Better Customer Experience require skill, but skill alone won’t get the applicant hired. An operations-focused company will hire for skill, filling a position with technical strengths. The applicant’s personality may or may not fit with the corporate culture. Training: A customer-focused company spends time and money training for soft skills such as relationship building and customer service. The company recognizes that it takes both, technical and soft skills, to break away from being average. The operations-focused company spends most of their training dollars and time on technical skills and product knowledge. Leadership: The leaders of a customerfocused company set the vision and mission of the culture, and then they lead by example. The leaders of an operations-focused company sets the vision and mission of the culture, but sometimes will have the “Do as I say, not as I do” approach. Sometimes their behavior is incongruent with what they want to achieve, often leaving the employees confused and less than motivated. People First: The customer-focused company knows the importance of putting people first – specifically employees. They develop a culture of happy,

CONSTRUCTION NEWS BULLETIN

engaged and fulfilled employees that deliver a better customer experience. Customers like this and continue to come back. An operations-focused company develops a culture focused on systems, procedures and the bottom line. While this is important to any company’s success, they miss the culture part of the equation. Customer Service: The customer-focused company looks at customer service as a philosophy to be embraced by every employee of the company, recognizing that there are both external and internal customers. The operations-focused company sees customer service as a department. If you would like to learn more about being a customer focused contractor, feel free to contact Shep Hyken at 314-6922200 or by email at shep@hyken.com. His website is www.hyken.com. Shep Hyken, CSP, CPAE is a speaker and New York Times and Wall Street Journal best selling author who works with companies and organizations who want to build loyal relationships with their customers and employees. His articles have been read in hundreds of publications

www.guamcontractors.org


GARRISON REPORT

Marketing Your Construction Services In today's hyper competitive marketplace within the construction industry, marketing can make the difference between success and failure. In an interview with marketing expert Rick Crandall he said that: The biggest mistake contractors make is not doing marketing, they don't pay attention to the details. The second biggest mistake is they don't focus enough on repeat business, which is a killer because that is the most valuable and easiest type of marketing. Having read Crandall's book Marketing Your Services - For People Who Hate to Sell, I said to him, it's clear from your book that you believe the key to effective marketing is building relationships. Why is that so important to contractors? His response was, "I'll quote Mark McCormick, who built a $100 million plus business in sports marketing around Arnold Palmer and then many other sports. He said something like, 'Other things being equal people do business with people they like, other things being not equal, they still do business with people they like.'"

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TG Comment: The type of relationship we are talking about here is not a social relationship built around playing golf, giving away tickets to the big football game. Business relationships are built upon performance - doing what you say you will do, being transparent, and maintaining good communication even when things are not going as planned. If you do those things, clients will enjoy doing business with you and want to do more business with you. Crandall explained, focus on your existing customers by doing a great job. This will help build a sound relationship that will generate repeat business. A challenge in construction is often clients only build one building, so Crandall's second best marketing approach is referrals. It's an inexpensive way to market because you have other people vouching for you. Of course, all clients are not created equal some, in fact, are like a nightmare. Crandall points out that as your business grows from repeat clients and referrals you are able to be more selective in choosing your clients. This is a great value because usually the nightmare clients pay the least, are the most demanding, and create a ton of stress.

CONSTRUCTION NEWS BULLETIN

As I pointed out to Crandall, this sounds great, but what about the contractors that argue I get all my work by bidding, it is just a matter of price. So why are relationships important to them? Crandall responded," First, because Ted Garrison says that you shouldn't be doing as much bid work, you should go for negotiated work. Second, you have to get accepted on the bid list." When you are doing a new kind of work, the customer does not always have to take the low bidder. Typically, they take the low qualified bidder. Unfortunately, if they do not know who the heck you are they are probably not going to take you, if they don't have to. He further explained; you at least have to have enough of a relationship to be known. Second, even in non negotiated work, the people you work with if they like you will give you tips on other possible work that may even include negotiated work. Further, if you build a good working relationship with the client, when problems occur it is easier to resolve them. Often claims and litigation are a result of poor communication causing both parties to dislike each other.

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TG Comment: Crandall's above scenario is illustrated by the following example. A road builder bid on a project and won the hard way - he was the low bidder. After receiving the contract they learned why they were the low bidder - they left stuff out of the bid. The president of the company told his guys, you need to go down to city hall and work with them in order to finish the project ahead of schedule so we can qualify for the early completion bonus and save our butts. They did just that. They worked with the city employees and established a great working relationship. The result was they finished the project ahead of schedule. But the shock was they made money despite leaving stuff out of the bid, because they job ran so smoothly. They then received the early completion bonus turning the project into a great financial success. The president then told me; the best was yet to come. He explained that other cities around the state began calling

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them and asking if they would designbuild their next road so that they could take advantage of his fast schedule? The power of building strong working relationships with your clients based on performance can pay huge dividends. I then mentioned to Crandall a problem that I often hear subcontractors complain about, namely that many GCs build barriers to prevent them from talking to the client. So I asked, how does a subcontractor build a relationship when he is not even allowed to talk to the client? Crandall responded, "That could be a tough situation. He advised; it is important to remember that as a sub it is not just your job to do the work, but you need to make the general look good." If you make the general look good, especially in areas where the client makes favorable comments to the general, you will be able to enlist the general's help. In essence, building a relationship with the general as your prime customer will create an atmosphere where they want to help you. Crandall also recommended that you establish an email newsletter to help build relationships and to keep your relationships going with the general and eventu-

ally the clients. In essence, if you are dependent on the general, then you make the general your friend, and they are going to let you through to the client, at least to some degree. Next month's Garrison Report will continue this interview with Rick Crandall, so look for it. TG Comment: If you liked the comments by Crandall and would like to learn more about his ideas, we are offering a special on his two books: Marketing Your Services - For People Who Hate to Sell and 1001 Ways to Market Your Services Even If You Hate to Sell. To learn more got to: http://ow.ly/xhoCe Ted Garrison; president of Garrison Associates, is a catalyst for change. As a consultant, author and speaker; delivers his Construction 3.0 Strategies that offer breakthrough solutions for the construction industry by focusing on critical issues in leadership, project management, strategic thinking, strategic alliances and marketing. Contact Ted at 800-861-0874 or Ted@TedGarrison.com. Further information can be found at www.TedGarrison.com."

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JUNE2014 | 27

GARRISON REPORT

So instead of you making the money you deserve, the lawyers make all the money on the project. Often if there is a good relationship between the parties, problems get resolved with a minimum of conflict because of the earlier efforts in establishing a sound relationship.


AROUND THE BENCH

Your Choice of Lighting for Safety and Efficiency Outdoors-Light Emitting Diode Lighting

By: Shawn Gumataotao

We spend much of our time learning about how we should advise our customers and potential customers about the use of specific lighting products for their respective facilities. For GET,LLC, outdoor lighting has been one area we get plenty of inquiries on and we work hard to find the right solutions that are safe and above all efficient-a growing trend we're finding with property owners and facilities managers across Guam and Micronesia. Recently, we were asked about outdoor lighting and what is best for this part of the world. There is no doubt that outdoor lighting is key in guaranteeing the safety of your facility. Not only does a well-lit outdoor area ensure that employees and guests are able to come and go during the night hours without concern, it also acts as a deterrent to would-be thieves and criminals. It’s hard to sneak into a building, if that building offers no shadows in which to vanish — dark areas are perfect places for break-ins and other criminal activities.

28 | JUNE2014

The problem with outdoor lighting, of course, is that it represents an enormous energy cost. Running outdoor lights all night, every night can quickly raise your power bill into the stratosphere. And performing maintenance on lights every few months certainly comes with costs of its own. That’s why outdoor light-emitting diode (LED) lighting has become such an in-demand alternative for organizations that still want beautiful outdoor lights but also want more efficiency and lower energy costs.

Replacing your existing outdoor lights with outdoor LED lighting will result in a dramatic reduction in energy used, lower maintenance costs (LEDs last longer than traditional lighting solutions), and more control over how you light the area. The light created is also purer and cleaner; say goodbye to harsh yellow tones fired off by aging lighting systems-common across the islands. You’ll find outdoor LED lighting solutions to fit all purposes, from lighting a small garden to keeping a loading dock secure.

LED lighting solutions have been shown to provide higher quality light with a dramatic reduction in energy burned. While traditional lights burn into heat a great deal of the energy they pull, LED lights use almost all of the energy they pull for light generation. LED lighting also have a longer lifespan than traditional lights and can be installed in much more interesting ways due to not being so reliant on decades-old fixture shapes and designs.

Simply, there are two big benefits to LED lighting in general: It’s more efficient and flexible. Outdoor LED lighting solutions are no different in this regard from their indoor counterparts.

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For more information on bringing an LED lighting solution to your facility, please contact us at GET, LLC at 671483-0789 or see our website at www.get-guam.com for details of the technologies that can be of significant value to all building owners-All Made

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2014, the construction industry FACT*

By the year

will need more than

MILLION 1.5 CRAFT PROFESSIONALS

*2010 FMI Report

?

ARE YOU

READY Find out more at nccer.org

We can help.


NEW MEMBERS

JANUARY 2014

MARCH 2014

APRIL 2014

Contractor:

Contractor:

Contractor:

C.H. Equipment Rental & Const. P.O.Box 10449 Tamuning, GU 96931 GCA Contact: Philip Hwang Ph: 671-688-9330 Fax: 671-646-5923 Email: chconst@teleguam.net Description: Engineering/Construction

Guam T&Y Corporation P.O.Box 11432 Tamuning, GU 96931 GCA Contact: Yong Chin Yi Ph: 671-649-2017 Fax: 671-649-2018 Email: tny@teleguam.net Description: General Contractor

Hardwire Electrical P.O.Box 915 Hagatna, GU 96931 GCA Contact: Paul Perez Ph: 671-777-2877 Email: paul2877@gmail.com Description: Construction

L&K Communications 131 N. Piao Ct. Dededo, GU 96929 GCA Contact: Anita Limtiaco Ph: 671-888-8219 Email: anital@teleguam.net Description: ContractorTelecommunication/Fire & Burglar Alarm

Inland Builders Corporation P.O.Box 2767 Hagatna, GU 96932 GCA Contact: Robelin Ramos Ph: 671-646-5606 Fax: 671-646-5929 Email: hrd@teleguam.net Description: General Contractor

Pacific Rim Land Development P.O.Box 11049 Tamuning, GU 96931 GCA Contact: Keith Stewart Ph: 671-988-9960 Email: kstewart@pacificrimlanddevelopment.com Description: Contractor/Real Estate Developer

Associate:

Venzen Construction P.O. Box 26452 Barrigada, GU 96921 GCA Contact: Venchito Vergara Ph: 671-488-5936 Fax: 671-637-5637 Email: venzen@hotmail.com Description: General Contractor Associate: Manila Auto Repair, Inc. P.O.Box 21973, GMF, GU 96921 GCA Contact: Donald Cabuhat Ph: 671-646-6252 Fax: 671-646-9522 Email: donald.cabuhat@gmail.com Description: Auto Repair Service

FEBRUARY 2014 Associate:

A Kris BBQ Inc. PMB #239 111 Chalan Balako Dededo, GU 96929 GCA Contact: Albert Sanga Ph: 671-727-8827 Email: sangacherry@yahoo.com Description: Sale of Food & Beverage Black Bird Inc. DBA Guam Nayon Turo Turo Restaurant P.O.Box 9968, Tamuning, GU 96931 GCA Contact: Jesus Montellano, Chairman Ph: 671-653-0119 Fax: 671-649-8763 Email: darknightsr08@gmail.com Description: Retail (Fast Food) Sale of Food and Beverages EST Companies LLC 2166 E. Cedar Tempe, AZ 85281 GCA Contact: Eric Murch Ph: 623-535-3060 Fax: 623-535-0207 Email: eric.murch@estcos.com Description: Sales/Service of Industrial Wash Nacks and Related Equipment Products

Noble Supply & Logistics 302 Weymouth St. Rockland, MA 02370 GCA Contact: Steve Mclane Ph: 671-653-5013 Email: steve.mclane@noblesl.com Description: Defense & Space

Associate: 1st Green Solutions Guam, LLC 193 Tumon Lane #1113 Tamuning, GU 96913 GCA Contact: Rachel Nack Ph: 671-979-1474 Email: rachaelle@1stgreensolutions.com Description: Power Conditioning & Surge & Spike Protection Bike Fix 425 Chalan San Antonio, PMB 377 Tamuining, GU 96913 GCA Contact: Derek Horton Ph: 671-969-2349 Email: bikefixguam@gmail.com Description: Bicycle Service- Sale of bicycle related products Harry Speicher 979 Army Dr. PMB #323 Barrigada, GU 96913 GCA Contact: Harry Speicher Ph: 671-685-4707 Email: stuckinchuuk@yahoo.com Description: Utility Power Line Trainer/Consultant NBK Trading Corporation P.O.Box 22167 Barrigada, GU 96921 GCA Contact: Ron Benoit Ph: 671-734-3777 Fax: 671-734-3702 Email: ron.benoit@nbkcorp.com Description: Wholesale Personal Finance Center #126 Chalan San Antonio, Tamuning, GU 96913 GCA Contact: Melanie Palomo Ph: 671-300-7740 Fax: 671-649-4847 Email: melaniepalomo@pfcguam.com Description: Finance

Penn Construction Group, Incorporated 692 North Marine Corp. Drive- 3rd Floor Tamuning, GU 96913 GCA Contact: B.J. Penn, President Ph: 671-646-4200 Email: bpenn4@verzon.net Description: Consulting Program Management 30 | JUNE2014

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GUAM’S LEADER

William “Bill” Beery, P.E. General Manager, Tutujan Hills Group Ltd. Immediate Past Chairman, GCA

OCCUPATIONAL ENVIRONMENTAL SAFETY EQUIPMENT & SUPPLIES

Retirement solutions for your small business. “For some time our group had been asking for a 401(k) benefit. My first impression was that providing this type of program for a group as small as ours might be on the expensive side. Not only did ASC Trust Corporation break this

misconception, they surpassed my expectations. We were able to start a plan that was both fairly priced and made sense with what we were looking for. In the end, the tailored-solution was exactly what our team needed.” - Bill Beery

Finding a tailor-made solution is just the beginning. ASC offers a level of service that sets us apart from other retirement plan providers in the region. Let us help you save for a successful retirement, one paycheck at a time. Schedule to meet with our team today e: info@asctrust.com w: asctrust.com p: (671)-477-2724

242 W. Harmon Industrial Park RD, Guam 96913 Tel: (671) 646-9524/40 Fax: (671) 649-3888 jvisec@gmail.com


ON GUARD

FOR IMMEDIATE RELEASE 03 June 2014

GUNG 1224TH ESC TO CONDUCT ANNUAL TRAINING OFF-ISLAND The 1224th ESC of the Guam National Guard will be conducting their annual training off-island from June 8th to 29th. Soldiers of the 1224th Engineer Support Company (ESC) began departing Guam today in preparation for their Annual Training. “Annual Training at the National Training Center for our Engineer unit will serve as a valuable experience for all our Soldiers. This opportunity provides focused individual skill training as well as experience that otherwise would not have been attainable here on island,” according to Lt. Col. Robert Crisostomo, Commander, 105th Troop Command. The 1224th ESC was activated in October 2008, but traces its beginnings to the 1224th Engineer Detachment (Utilities), one of the Guam National Guard’s first units. It is a subordinate unit of the 105th Troop Command. The unit currently has over 110 Soldiers who are constantly preparing themselves to respond to the needs of the Island and Nation. The 1224th ESC is comprised of a company

headquarters, three heavy equipment engineer platoons and a maintenance section. Its inventory includes scrapers, dozers, loaders, graders, rollers, 10-ton dump trucks and tractor trailers. Approximately 100 Soldiers from the Guam Army National Guard will be heading to the National Training Center (NTC) at Fort Irwin, California, to participate in rotation 14-08 in support of the 2-2 Stryker Brigade Combat Team out of Joint Base Lewis-McChord, Fort Lewis, Washington, currently preparing to deploy in support of Combatant Command missions. Capt. Melvin Pilarca, Commander, 1224 ESC, who will lead the mission agrees that "this is another great opportunity for the Engineers of the 1224th ESC and the Guam National Guard. The NTC rotation marks one of the largest in history with almost 6000 Soldiers participating. I am extremely proud of our Soldiers who have trained extra hard in preparation for this rotation. I have no doubt that the unit will represent the Guam National Guard and

the Island of Guam with great distinction and professionalism,” he said. Soldiers from the 1224th ESC have performed other missions for the Guam National Guard, having deployed to Afghanistan and supporting Balikatan exercises in the Philippines for the past three years and to Germany in support of US Army Europe. Its members have also participated in Annual Training exercises during Operation Jump Start in Arizona on the U.S. border with Mexico and in the Honduras. 1224th ESC members have also executed their mission as Army engineers during post-typhoon recovery including after Paka, Chata’an and Pongsona. The 1224th ESC has also contributed to the community by performing work on football and baseball fields, as well as at the Veterans Cemetery. The 1224th ESC will be providing horizontal engineering support to their mission, while receiving training collectively on various engineer tasks. FOR MORE INFORMATION CONTACT MAJ JOSEPHINE BLAS W: 735-0409/C: 483-0324 josephine.blas@ang.af.mil joblas67@gmail.com

Continued

MAY 2014

JUNE 2014

Contractor:

Associate:

Associate:

BMA Services P.O.Box 27348 Barrigada, GU 96921 GCA Contact: Bartolome Abuan Ph: 671-482-9296 Fax: 671-989-2626 Email: barta67@hotmail.com Description: General Contractor

1Island Tropicals P.O.Box 11151 Tamunig, GU 96931 GCA Contact: Steven Martinez Ph: 671-777-7797 Fax: 671-646-1034 Email: islandtrop@gmail.com Description: Wholesaler of Landscape Plants

Isla Energy, Inc. 275-G Farenholt Ave #111 Tamuning, GU 96913 GCA Contact: Tom Teehan Phone: 671-489-1989 Email: tom@islaenergy.co Description: Solar Energy Developer

WILCO 275-G farenhold Ave. Suite # 147 Tamuning, GU 96913 GCA Contact: Matthew Murphy Ph: 671-487-7781 Email: mattmurphy59@hotmail.com Description: General Contractor

32 | JUNE2014

Orlene O. Arriola CPCU, CRIS, AINS dba: Axs Insurance 770 E. Sunset Blvd. Suite 227 Tamuning, GU 96913 GCA Contact: Orlene Arriola Ph: 671-483-0089 Fax: 671-642-0793 Email: oarriola@axsins.com Description: Insurance Broker

CONSTRUCTION NEWS BULLETIN

Tacticor, Inc. 1270 N. Marine Dr. PMB 725 Ste. 101 Tamuning, GU 96913 GCA Contact: Millie Cruz Phone: 671-989-4224 Email: mcruz@tacticor.com Description: Investigative Services

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GCA Construction News Bulletin June 2014  

Guam Contractors' Assn. Monthly Construction News Bulletin is Guam's official construction news publication.

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