10 t h E D I TI O N
CORPORATE SOCIAL RESPONSIBILITY
Break The Mold Revolutionize the Experience Build What MatTers
DOWNTOWN DENVER SUITE
86 Inverness Place North Englewood, CO 80112 p 303.699.9000 w saundersinc.com
1660 17th St., Suite LL1 Denver, CO 80202 p 303.699.9000 w saundersinc.com
1212 Riverside Avenue, Suite 130 Fort Collins, CO 80524 p 970.221.4195 w saundersheath.com
Saunders Construction is an employee-owned corporation headquartered in Englewood, Colorado, primarily performing construction management/general contracting work in the Rocky Mountain region. Founded in 1972, Saunders provides integrated construction management/general contracting, design-build, public-private partnership (P3) and commercial real estate development services to a variety of market segments. In addition, Saunders is dedicated to corporate social responsibility (CSR). CSR at Saunders recognizes that investing in our people, focusing on safety, improving business processes and reducing environmental impact adds value in our industry. SELECT MEMBERSHIPS Urban Land Institute
AGC - Construction Careers Now
Associated General Contractors
Lean Construction Institute
United States Green Building Council
Hispanic Contactors of Colorado
A LETTER FROM THE CHIEF EXECUTIVE OFFICER For Saunders, 2019 marks the 10-year anniversary of the company’s corporate social responsibility (CSR) program. More than that, however, it marks a decade of continuous improvement and commitment to a cause that has become ingrained in our company’s culture. Embarking on CSR was much more an extension of our core values than it was an initiative to start from the ground up. In simpler terms, the impetus was already in place — with employees already leading the charge — to implement a formal CSR program. As one of the first in the construction industry to formalize a CSR program, Saunders had the opportunity to really prioritize the aspects that resonated with our culture, while making the most meaningful impact on our social community, environment and economy. We’ve moved the needle, for the good, in many of these areas — and the accountability which has been created serves as motivation for us to maintain and strive for greater outcomes every year. Not only am I pleased with the staying power that CSR has established, but I’m proud of the fact that we’ve been able to take a virtual unknown in our industry 10 years ago and really institutionalize it into the very fabric of our company. As for 2019 specifically, it was a culmination of years of planning, seeing the fruits of our labor, both in succession and intentional market expansion.
We saw the retirement of several senior leaders at the company. A thoughtful, forward-thinking succession approach ensured that, while the retired individuals closed chapters on rewarding careers, they didn’t leave without setting up the current and future leaders for success. This year also brought us the first start-to-finish joint effort between two Saunders subsidiaries. With Confluence, a high-end mixed-use condominium project in Fort Collins, Colo., Saunders Development Company and Saunders Heath were able to see a project from drawing board to completion. These two companies represent a significant effort we’ve taken to expand and refine industry offerings — providing clients and our community with unique and tailored market services. As we look to the future, we’ll again strive to connect our business to the greater good — whether that’s social, economic or environmental. We’re extremely proud of the progress we’ve made in these areas and commit to another decade of meaningful contributions.
Gregory Schmidt, CEO
CSR Initiatives ECONOMIC
Maintain, grow and diversify our work program.
Require all project sites to recycle construction waste.
Encourage participation in company-sponsored wellness events.
Cultivate high-quality relationships with industry partners.
Reduce our use of water through efficient fixtures and smart watering systems.
Create opportunities for employees and their families to participate in volunteering.
Measure our greenhouse gas footprint and evaluate best practices for emissions reduction.
Provide continual opportunities for training and development to employees.
Implement efficient and effective business processes.
The Milo Luxury Residences
The B Impact Assessment covers the impact our business has across the board — including employees, clients, community and environment. The score also reflects best practices in relation to Saunders’ mission, measurement and governance.
SAUNDERS’ B CORP IMPACT ASSESSMENT SCORE
Martin/Martin Office TI
2019 CONSTRUCTION WORK PROGRAM SNAPSHOT 108 projects started 126 projects completed 1,084,000 field hours worked 483,530 staff hours worked 14% small/diverse business participation
Denver Art Museum Martin Building Renovation
$ 5 6 7, 0 4 5 , 8 7 3 Revenues are reported on a consolidated basis for all subsidiaries.
MEASURING OUR E C O N O M I C I M PA C T Market Sectors AVIATION
DATA CENTER HIGHER EDUCATION
7.9% 9.3% 0.8% 1.3%
HEALTHCARE HOSPITALITY INDUSTRIAL OFFICE
9.3% 1.3% 1.9%
MULTI-FAMILY RESIDENTIAL RETAIL SITE INFRASTRUCTURE
SPORTS & RECREATION
estimated market share of commercial construction in colorado
2 0 1 9
2 0 1 8
2 0 1 7
A Saunders First: Confluence of Efforts
The Confluence project was chock-full of firsts, not the least of which was a lesson in how two subsidiaries of Saunders, which work in totally different businesses, can work together. Confluence Fort Collins is the first project the Saunders Commercial Development and Saunders Heath teams have built together. Confluence is like no other building in Fort Collins, Colo. â&#x20AC;&#x201D; the architectural elements were thoughtfully considered to blend both the River District and Old Town components. Three separate buildings take up the entire one-acre project site, providing easy access for residents and high visibility for retail tenants. During the project, it was important for the development and construction teams to work together â&#x20AC;&#x201D; but also separately at the same time.
From working with the city, consultants and subcontractors, attending OAC meetings and regularly visiting the site, both Saunders teams sought to provide the very best of services for the project. â&#x20AC;&#x153;The whole process required quite a bit of massaging in order to get something that would actually work. It was a very collaborative process with all parties,â&#x20AC;? Saunders Commercial Development manager Brett Parmelee said. Confluence offers 26 condos, as well as office, garden level and ground floor retail spaces all linked together by common areas, which are adjacent to a new public plaza and located within walking distance of Old Town and the new whitewater park. With units ranging in price from mid $500,000 to over $1 million, the project is a true testament to the growth Fort Collins has been experiencing over the past few years and projected future expansion.
REDUCING PAPER CONSUMPTION Reducing paper consumption became a Saunders environmental initiative 11 years ago. Since then, weâ&#x20AC;&#x2122;ve fully implemented a paperless program on all projects â&#x20AC;&#x201D; first using feasible alternatives where applicable, with the ultimate goal of eliminating paper consumption completely.
STORMWATER POLLUTION PREVENTION Pollutants such as oil, fuel and sediment are prevalent in construction operations and can have a significant negative impact on the local environment. Saunders implements stormwater management practices on all of our projects to reduce impact and is proud to report no violations.
CONSTRUCTION WASTE DIVERSION PROGRAM For waste data in 2019, approximately 64 percent was diverted from landfills. Saunders continues to divert waste from landfills by functionally and creatively re-purposing materials, and/or simply recycling, when applicable at all project sites. Projects inventory all materials and clearly communicate diversion expectations within subcontracts and vendor agreements, as well as daily onsite communications to all construction professionals.
A DECADE OF COMMITMENT TO
2010 Corporate Social Responsibility Report
Corporate Social Responsibility Report
embracing new challenges
2014 Corporate Social Responsibility
CORPORATE SOCIAL RESPONSIBILITY
CORPORATE SOCIAL RESPONSIBILITY
n the fall of 2009, an eager group of Saunders employees started the Green Committee and published Saunders’ first annual corporate social responsibility (CSR) Report in 2010. Aligned with our corporate trajectory priority of holding ourselves to a higher standard through economic, environmental and social accountability, this committee was charged with researching and implementing a comprehensive CSR program. Saunders hired a third-party consultant, Envirobrand’s founder and CEO Richard Franklin, to guide the company on initiatives that were impactful and achievable, while always looking to innovate. Early on, environmental initiatives included requiring construction waste recycling on every project, installing energy and water efficient systems in offices and jobsite trailers, and launching paperless systems across the organization. All of which have become the normal course of business today at Saunders. In addition, we committed to analyzing and calculating our greenhouse gas emissions, which proved to be challenging for a commercial construction company — but was ultimately achieved in 2011. With Community being a core value of Saunders, we sought to continuously improve our social impact programs by evolving our employee benefits programs, expanding training and development opportunities, hiring and mentoring disadvantaged businesses, and maintaining a purposeful charitable giving program led by employees. These efforts have been recognized by many professional associations, news media and economic development organizations. Some of these accolades include: • Best for Colorado award by The Alliance Center • Best Places to Work by The Denver Post • Top Healthiest Workplaces by the Denver Business Journal
CORPORATE SOCIAL RESPONSIBILITY
Corporate Social Responsibility
• Contractor of the Year by Hispanic Contractors of Colorado and the Black Chamber of Commerce • BEST Award from the Association of Talent Development • Contractor of the Year by the American Subcontractors Association of Colorado • Corporate Partner of the Year, Volunteers of America Denver Chapter
Commitment to maintaining consistent and sustainable economic growth was also a fundamental aspect of our CSR program and trajectory priorities. We sought to achieve this by diversifying the number of markets we serve, developing new service offerings to include real estate development and publicprivate partnerships, and delivering an exceptional customer experience — all while adhering to the highest ethical standards. We also learned several important lessons and are committed to applying these going forward, what we are calling CSR 2.0. Saunders remains steadfast in our work to be a business for good. This work will require streamlining the organization’s CSR function and developing additional accountability measures, as well as researching and deploying new technologies and approaches. We look forward to further reduce our impact on the environment, address diversity and inclusion within our workforce, and enrich our charitable giving and participation programs. Additionally, we will seek to develop alliances addressing CSR with a topdown approach from our clients to our trade partners and suppliers – where there is the greatest opportunity for positive impact. Saunders is proud of what we accomplished in the past 10 years. All of this impact could not be done without the dedication of and collaboration with our employees, trade partners, clients, and our CSR consultants Group 14 and Envirobrand.
SAUNDERS’ 10-YEAR IMPACT
TOTAL TONS OF WASTE DIVERTED
CERTIFIED PROJECTS BUILT
ECONOMIC IMPACT TO SMALL AND DIVERSE BUSINESSES
TOTAL HOURS VOLUNTEERED FOR BUILDING CONFIDENCE IN KIDS
TOTAL HOURS OF TRAINING TO EMPLOYEES
100% PAID PARENTAL LEAVE, PAID TIME OFF FOR LABORERS, 4-WEEK SABBATICAL AFTER 10 YEARS OF SERVICE
REDUCING OUR GREENHOUSE GAS FOOTPRINT
Saundersâ&#x20AC;&#x2122; commitment to continuous improvement in how we reduce our greenhouse gas (GHG) emissions in daily operations includes: Reduce and divert waste on all of our projects. Encourage alternate modes of transportation. Limit the total time trucks and construction equipment idle. Install or use efficient heating and cooling systems in offices and project sites. Educate employees on methods to reduce their impact at work and home.
2019 2018 2017 607
tonnes per $1 mil revenue
tonnes per $1 mil revenue
tonnes per $1 mil revenue
A significant increase in 2019 recycled material (i.e., concrete) attributed to the major decrease in greenhouse gas emissions in 2019. Primarily, this drastic change is a result of a large amount of recycled concrete on a number of Saundersâ&#x20AC;&#x2122; demolition projects.
MANAGING OUR WATER USAGE In 2018, Saunders began tracking water usage on the projects for which we pay the water bill, in addition to our offices and warehouse. This differs from past years, where water usage was only tracked at Saundersâ&#x20AC;&#x2122; office and warehouse. Our refined approach expands the scope of what is reported and provides a higher level of clarity on water consumption.
2019 WATER CONSUMPTION
The City Park Golf Course Redesign project contributed to the significant water consumption increase. The project required extensive watering to re-establish the grass turf on the 135-acre course.
2018 WATER CONSUMPTION
an initiative for the long run I
t’s not new, just a little better. That’s what Saunders was going for when it decided to start its lean journey in the summer of 2018. Since then, a formalized internal committee led the way to engage, encourage and promote adoption of lean principles and practices across the organization. Initially prompted by an industry that is laced with inefficiencies — waste in both the literal and figurative sense — lean at Saunders aims to create a culture of continuous improvement. More often than not, it’s the incremental actions by individuals or teams over time that change organizations. These small actions are at the center of Saunders’ lean journey — be it at home or on the project site. By committing to find ways of optimizing resources and promoting team work for the betterment of the individual and the industry, Saunders employees have found it second nature to lean in to the lean thought-process for the betterment of work and personal life. “Lean works at Saunders because we are driven to help people, foster relationships, learn and improve consistently,” Jesse Steinert, Saunders preconstruction manager and Lean Think Tank member. “This mindset encourages people to support one another and our clients to deliver uncommon experiences through genuine care for each person and organization we work with.”
12 projects on-boarded with lean practices
100 hours completed of lean training
25 employees involved with the Lean Think Tank
Inverness Garden Planterpalooza 4 PLANTERS BUILT 11 CUBIC YARDS OF SOIL 3 HOURS OF BUILDING 2 HOURS OF SOIL FILLING 1 HOUR OF PLANTING
sungold tomatoes | zebra tomatoes | green beans | peppers | eggplant | strawberries | broccoli | zucchini | watermelon | lettuce | swiss chard | mustard greens | basil | parsley | green onion
LOST WORK DAYS (LWD) INCIDENT RATE
DART DAYS (DART RATE)
TOTAL CASE RECORDABLE INCIDENT RATE (TCIR)
0.18 Lower than the national average of 1.2
0.5 Lower than the Bureau of Labor Statistics average of 0.6
1.65% Lower than the national average of 3.0
Building a Foundation for Growth and Development Without a solid foundation, a building is no stronger than its time and material. The same can be said for employee development — it starts with a foundation of planning, deliberate thought and base knowledge to excel into something greater. Embracing employee needs for career performance and development, Saunders sought to design new resources and tools supporting just that. In May of 2019, Saunders implemented a company-wide learning management system (LMS) — the Saunders Toolbox — giving all employees a more user-friendly, easily accessible and bilingual platform for training and development resources, well-being events and Building Confidence in Kids™ volunteer opportunities. The Toolbox helps in the effort to retain an engaged workforce by offering specific content to every level and role within the organization. From online training courses and development resources to company-sponsored philanthropic events, this modernized tool plays a critical role in cultivating a culture of satisfaction and high-quality output. Additionally, in 2019, and as a direct result of employee engagement survey feedback, Saunders worked to develop and implement an interactive tool for career flow within the operations business function at the company. Employees and their supervisors are encouraged to discuss development at least once a year during performance check-ins, using this career flow tool to facilitate discussions on short-term and long-term career goals. The career flow tool was designed to give employees the knowledge and expectations to invest in their development and position them for career progression at Saunders. “At Saunders, we set a strong expectation that learning is a part of our culture and an essential requirement of each employee’s role — and the employee response has been positive,” said Brad Marsh, Saunders vice president of Safety and Human Resources. “As a result, we have seen direct business impacts to our operational readiness, risk management and process alignment. As an indirect result, our company culture has been significantly strengthened by our developing employees.”
4,592 total hours
2,556 total hours
17 hours per employee
10 hours per employee
7,148 COMBINED TOTAL HOURS
training courses & meetings Asta 1:1 Training
Mandatory Safety Meeting
Public Speaking Skills
Miller Safety Consulting
Safety Walks & Toolbox Talks
CPR & First Aid
Monthly Jobsite Tours
New Employee Onboarding
Superintendent Development Program
Project Engineer Mentor Onboarding
Superintendent Training & Meetings
Project Manager Training & Meetings
Two-week Safety Orientation
Intern Orientation Week
Wombat IT Security Awareness Classes
INTERNS BY THE NUMBERS SCHOOLS REPRESENTED Colorado State University Colorado Mesa University Iowa State University Northern Arizona University Oklahoma State University Trinidad State Junior College University of Denver
A MILESTONE WORTH CELEBRATING In 2019, Saundersâ&#x20AC;&#x2122; Building Confidence in Kids (BCiK) celebrated its 10-year anniversary. BCiK began in 2009 as a philanthropic initiative focused on the support, wellbeing and development of children. Designed to complement Saundersâ&#x20AC;&#x2122; traditional philanthropic giving, the program creates an employee outlet for volunteerism and community impact. Every two years, BCiK forms a partnership with one nonprofit organization, while actively maintaining past philanthropic relationships, to provide financial and in-kind donations, as well as volunteer contributions.
BUILDING 2019 STATS CONFIDENCE IN KIDS 87
CORPORATE GIVING LIST ACE Scholarship Program
Denver Art Museum
Mount St. Vincent Home
Association of General Contractors
Denver Health Foundation
National Western Center
American Heart Association
Denver Metro Chamber of Commerce
National Sports Center for the Disabled
American Red Cross
Denver Public Schools Foundation
American Transplant Fund
Downtown Denver Partnership
Project One Foundation Children’s Classic
Aurora Economic Development Council
Douglas County Schools Foundation
Executives Partnering to Invest in Children
Big Brothers Big Sisters of Colorado, Inc.
Rally for the Cure Ralston House St. Anthony Hospital Foundation St. Joseph Hospital Foundation St. Vincent Hospital Foundation
Boy Scouts of America
Food for Hope
Boys Hope Girls Hope
Girl Scouts of Colorado
SCL Good Samaritan Hospital Foundation
Heart and Hand Center
Swallow Hill Music Association
27J School District
Save Our Youth
The Cherry Arts
Teach Men to Fish
Cherry Creek Schools Foundation
Jeffco Schools Foundation
Tom McMahon Scholarship
Cherry Creek Area Business Alliance
University of Colorado Foundation
University of Colorado Real Estate Foundation
Children’s Diabetes Foundation Children’s Hospital Foundation
Junior Achievement Rocky Mountain, Inc.
Leukemia & Lymphoma Society
Civic Center Conservancy
Limb Preservation Foundation
Littleton Public Schools Foundation
Colorado I Have a Dream
University of Denver Foundation University of Denver Bridge Project Urban Youth Ministries Volunteers of America
Colorado Sporting Clays Association
Mental Health America
Mental Health Center of Denver
Minds Matter Mizel Museum
The Women’s Foundation of Colorado
2 0 1 9 A W A R D S
Best Project Winner – Office Retail/Mixed-use Engineering News-Record Mountain States
BPX Denver Headquarters
City Park Golf Course Redesign
Environmental Excellence Award American Society of Golf Course Architects
Riverview at 1700 Platte
Transformational Project Award Downtown Denver Partnership Denver Mayor’s Design Awards – Distinctive Denver City and County of Denver Community Planning and Development
The Grand Residences Best Project Winner – Interior/Tenant Improvement Engineering News-Record Mountain States
Building Division Over 1 Million Hours
3rd Place – Construction Safety Excellence Awards Associated General Contractors
City of Thornton Fossil Ridge Public Safety Center
Merit Award – Government/ Public Building Engineering News-Record Mountain States
Marketing Excellence Awards – Brochure SMPS Colorado
Transformational Project Award Downtown Denver Partnership
Denver Mayor’s Design Awards – Distinctive Denver City and County of Denver Community Planning and Development
University of Colorado Denver Lola and Rob Salazar Wellness Center
Porter Adventist Hospital Phase 1
Merit Award – Renovation/ Restoration Engineering News-Record Mountain States
Merit Award – Sports/ Entertainment Engineering News-Record Mountain States
All financial and project data is based on information available on March 31, 2020. Saunders’ logo, “Building Confidence” and “Building Confidence in Kids,” along with the vision statement are registered trademarks of Saunders Construction, Inc.