📨 Contractor’s Digest – Daily Rundown
📅 Friday, March 14, 2025
🛠 Helping Residential Contractors & Subs Build Smarter, Work Safer, and Grow Faster
🚧 Today’s Rundown
🔹 How to Handle Employees Who Struggle with Consistency
🔹 How to Handle Clients Who Want to Supply Their Own Materials
🔹 Tool Spotlight: The Best Cordless Nail Gun for 2025
🏗️ Feature Story: Are Material Prices Finally Stabilizing? Here’s What to Expect in Q2
📉 What’s Happening?
After years of volatile material costs, prices for lumber, concrete, and key construction supplies are starting to level off. Reports from suppliers indicate moderate price declines in certain materials, but others—such as electrical components and HVAC units—remain elevated due to supply chain issues.
📌 What’s Trending:
✅ Lumber prices have dropped by 7% this quarter as supply stabilizes.
✅ Steel and aluminum costs remain steady, with only slight fluctuations.
✅ HVAC equipment and electrical components continue to be impacted by global supply chain delays.
📌 Why It Matters for Contractors:
Bidding & estimating is easier with more predictable pricing.
Bulk purchasing strategies may save money as some material costs fall.
Clients who delayed projects due to cost concerns may be ready to move forward now.
💡 Take Action:
✅ Lock in pricing with suppliers before the next potential fluctuation.
✅ Educate clients on current trends—some may be waiting for lower prices that won’t come.
✅ Re-evaluate bid structures and ensure profit margins reflect more stable costs.
🚀 Pro Tip: Don’t assume all materials are dropping—some categories are still volatile, so track pricing weekly.
🏗️ Feature Story: How to Handle Employees Who Struggle with Consistency
📉 What’s Happening?
Every contractor knows that consistency on the job site is key—but what do you do when an employee shows up late, misses deadlines, or delivers inconsistent work? In an industry where reliability is everything, a team member who can’t keep pace can drag down productivity, morale, and even your reputation with clients.
Instead of immediately cutting ties, it’s worth exploring why they’re struggling and how to correct the problem before it impacts your business further.
🚧 Why Employees Struggle with Consistency
🔹 Lack of Clear Expectations – If a worker isn’t meeting your standards, are those standards clearly defined? Many issues stem from unclear expectations about performance, deadlines, or job responsibilities.
🔹 Poor Training or Skill Gaps – A struggling employee may not fully understand the job requirements or lack the necessary skills to perform at a high level.
🔹 Personal or External Issues – Life happens. Health concerns, family problems, or burnout can all impact performance.
🔹 Lack of Accountability – If no one is tracking productivity or enforcing company policies, bad habits go unchecked and inconsistency spreads across your team.
💡 How to Fix It: 5 Steps to Get Employees Back on Track
✅ 1. Set Clear Performance Expectations
Review your job descriptions, expectations, and standards with the employee.
Give specific examples of where their work is falling short.
Outline measurable goals they need to meet moving forward.
🚀 Pro Tip: Use weekly check-ins to reinforce expectations and course-correct before small issues turn into big problems.
✅ 2. Provide Additional Training & Mentorship
If skill gaps are the problem, offer on-the-job training or pair them with a senior crew member.
Set up a structured improvement plan with milestones to gauge progress.
🚀 Pro Tip: Some employees struggle because they lack confidence—mentorship and hands-on training can build their skills and work ethic.
✅ 3. Hold Them Accountable
Set clear consequences for missed deadlines, sloppy work, or excessive tardiness.
Use written performance reviews to document improvement—or lack of it.
If patterns persist, issue formal warnings before resorting to termination.
🚀 Pro Tip: Good employees respect accountability—when they see others being held to standards, team morale improves.
✅ 4. Identify External Issues & Offer Solutions
If personal problems are affecting work, have a private conversation to see if temporary accommodations can help.
Offer flexible scheduling options if feasible to help with outside stressors.
🚀 Pro Tip: If an employee is honest about outside struggles, you can assess whether they need short-term flexibility or if it’s an ongoing issue that may require letting them go.
✅ 5. Know When to Cut Ties
If performance doesn’t improve after coaching, training, and accountability measures, it may be time to move on.
Document all conversations, warnings, and action plans to protect yourself legally in case of disputes.
🚀 Pro Tip: A weak link affects the whole team—if an employee refuses to improve, parting ways is often the best decision for your business and crew.
📌 Take Action This Week
✔️ Review employee performance—is inconsistency coming from a lack of clarity, training, or accountability?
✔️ Meet with struggling employees and set a written improvement plan with deadlines.
✔️ Enforce accountability—consistent policies lead to a stronger team culture.
✔️ If necessary, replace underperforming employees to protect your business and team morale.
By identifying the root cause, setting expectations, and enforcing accountability, you can turn struggling employees into reliable team members—or know when to let go.
Would you like a performance improvement plan template to help structure these conversations? 📑💼
🚩 Why Client-Supplied Materials Can Be a Bad Idea
❌ Project Delays & Incorrect Materials
Homeowners often miscalculate material quantities, leading to shortages or excess.
Many don’t buy contractor-grade materials, opting for cheap alternatives that may fail or require additional labor.
When materials run out mid-project, you’re stuck waiting on deliveries and juggling schedules.
❌ Liability & Warranty Issues
If a client’s materials fail, who’s responsible for the replacement?
Some manufacturers void warranties when products aren’t installed by authorized pros.
You could get stuck redoing work—without compensation—if the materials they purchased aren’t up to standard.
❌ Lost Revenue on Markups & Supplier Discounts
Contractors earn money through material markups, and losing that revenue can hurt your bottom line.
You may have preferred supplier pricing that makes your materials as affordable—if not cheaper—than what a client can buy at retail.
If you allow one client to bring their own materials, it sets a precedent for others to expect the same.
✔️ How to Handle It: Protect Your Business
✅ Have a Written Policy on Client-Supplied Materials
Clearly state in your contract whether or not you allow it and the conditions that apply.
Add a disclaimer that voids workmanship warranties if the client insists on using their own materials.
Require all materials to be delivered before work starts to avoid supply chain delays.
✅ Charge a Handling Fee
If a client insists on supplying materials, charge a handling and verification fee to cover:
✔️ Inspecting materials before installation
✔️ Storing and managing materials on-site
✔️ Reordering or replacing incorrect or damaged itemsMake it clear that any delays caused by missing or incorrect materials will result in extra charges.
✅ Educate Clients on Pro vs. Consumer-Grade Materials
Many homeowners don’t understand the difference between the materials they see at big-box stores and the higher-quality, contractor-grade materials you use.
Explain that cheaper materials = more repairs, more maintenance, and more long-term costs.
If they want to buy their own materials, ask them why—often, it’s because they don’t realize you can get better pricing through suppliers.
🚀 Pro Tip: Offer Preferred Supplier Discounts
Instead of letting clients shop at big-box stores, offer them a discounted rate through your supplier. This makes them feel like they’re getting a deal while keeping control in your hands.
Example:
"We get contractor pricing through our supplier, and we can pass a portion of that savings on to you. This way, you get better materials at a lower cost, and we ensure everything is ordered correctly."
💡 Take Action This Week
✔️ Update your contract to include a clause about client-supplied materials.
✔️ Create a pricing structure for handling fees if clients insist on using their own supplies.
✔️ Talk to your suppliers about offering client-friendly discounts to keep purchases in-house.
By setting clear policies, educating your clients, and offering smart alternatives, you can protect your profits, reduce liability, and keep your projects running smoothly.
Would you like a client contract clause to help enforce your materials policy? 📑💰
⚡ Tool Spotlight: Best Cordless Nail Gun for 2025
🔹 DeWalt DCN692B 20V MAX – Reliable, fast, and no need for an air hose—perfect for framing & finish work.
😂 Contractor Humor: "Why did the contractor break up with his drill? Too many attachments!"
📣 Call to Action
🔥 Want more insider tips & trends? Subscribe & share Contractor’s Digest with your crew.
🔗
Got a topic you want us to cover? Reply & let us know!
👷♂️ Stay safe, keep building smarter!
— Benjamin Patton