Client Profile
140-Year-Old Contracting Company Tackles Some of the Nation’s Most Unique Electricity Challenges
Founded in 1884, Hatzel & Buehler is the longest-running electrical contractor in the United States, offering expertise in electrical design, construction, engineering, integration, and maintenance. The company has handled complex, multi-phased projects as varied as JFK Airport, the Chrysler Building, and Epcot Center. The operation has two subsidiaries: Bluestone Communications, which handles the company’s low-voltage and technology projects, and Blue Sky Controls, which collaborates with integrators on building automation systems.
Challenges
Paper- and Email-Based EHS Management for 800 Subcontractors Fails to Fit the Bill
Hatzel & Buehler has grown significantly in the last three to five years, and its safety department has expanded right along with it. Corporate Safety Director, Sean Naughton now oversees 30 safety managers, and the team is still growing.
All of the company’s projects result in about 800 subcontractors on Hatzel & Buehler’s books at any given time. And when Naughton took over as the Corporate Safety Director a year and a half ago, the entire process was managed by paper, email, and phone. It left the company exposed when working with subcontractors, with issues including:
- Insufficient tracking of insurance and safety documents
- Lack of process visibility to branch offices
- Long approval times for assigning jobs
- Liability for on-the-job injuries or accidents
“We were trying to gather all the documentation,” Naughton said. “It was very tedious.”
Given the clunky process, some just chose to circumvent the problem.
“If a branch location needed to get a subcontractor quickly, they’d set them up as a vendor because that could happen right away,” Naughton said. “If those companies never got switched to being a subcontractor in the system, we wouldn’t have their Certificate of Insurance (COI) or their safety policy. Especially if it’s a crane company, a rigging company, excavation, directional boring…for us, that’s a big liability.”
“If a subcontractors’ documents expired, but then they had an incident on site, they may not have renewed their insurance—or they got cancelled,” he continued. “Then we’re on the hook for the liability because they’re our subcontractors.”
Solutions
Contractor Management Improves Processes and Data Visibility across 26 Locations
As an existing KPA Flex customer, it was a logical choice for Hatzel & Buehler to try the software’s Contractor Management system. The benefits to the company were immediately apparent, including:
- Visibility of data across the organization
- Quick subcontractor approvals
- Automated alerts to subcontractors
- Convenience of mobile access
- Better experience for the contractors
“Construction moves quickly, and previously, our branches had no visibility into the subcontractor approval process,” Naughton said. “Now they can just log in and see the status. We’re currently in eight states with 26 branch locations, so the visibility from all levels in the organization has been a big piece that’s helped us out.”
“The renewal process is one of the biggest time-saving efforts. We have a lot more flexibility.”
“The renewal process is one of the biggest time-saving efforts,” Naughton continued. “We have a lot more flexibility, and we don’t have to send emails out to 800 contractors. We get things turned around a lot quicker.”
“Automated alerts from KPA maintain compliance on documents, so we can ensure our subcontractors have the proper coverage,” he said. “We’re not bringing in someone who let their coverage lapse or had a change in their policy.”
He also noted the convenience. “With my travel schedule, I can sit in an airport and manage things from my phone. I don’t have to open my laptop,” he said. “When I’m heading into a meeting and need to make something happen, I can just click and be done in five minutes.”
While previously “battling to get information,” Naughton shared the relief of managing processes through Contractor Management. “It’s been amazing for bringing everything into one centralized spot,” he shared.
Results
100 Hours of Monthly Labor Saved, Plus Peace of Mind around Liability
With the previous challenges out of the way, Hatzel & Buehler is charging ahead and enjoying the daily benefit of KPA and its Contractor Management system:
- Significant labor savings across departments
- Re-allocation of existing time to more impactful tasks
- More convenience for subcontractors
- Creation and availability of site-specific training
“We don’t see the old issues anymore; the process is a lot smoother than it was.”
“Something that could have taken weeks, now…as soon as they upload the docs, we can get them approved. We do it the same day.”
Naughton says a reasonable estimate for the ultimate time saved could be up to 100 hours per month.
“We had so many different people involved in the process,” he said. “We freed about three people from (subcontractor administration) to do other tasks.”
Naughton notes that KPA software benefits both Hatzel & Buehler and the companies that contract with them. “If a sub’s documents are expired in the system, it locks them out from getting paid,” he said. “Now that they get the automated alerts 30 days before something’s expiring, they get documents in on time—which means being paid on time.”
KPA has another upside. “We’re building training required for specific client sites for our subcontractors,” Naughton said. “They don’t have to find a vendor set it up. We push it right out for them. A platform that allows crew training before they go on site is a huge advantage.”
And, again, he nods to a personal benefit: “My phone rings a lot less.”
“I used to get daily calls about subcontractor approvals and issues,” Naughton recalled. “The issues we’ve seen since adopting the platform have significantly dropped off. It’s been great.”
Internally, Hatzel & Buehler staff members are more enthusiastically on board with safety. “Now that the people managing the processes aren’t dealing with the frustrations, they’re more boughtin,” Naughton said.
“We’ve already seen this much improvement in our process; we’ve seen this increase in productivity,” he enthused.
“I can’t recommend it enough. It makes my job 10 times easier.”
