Specialty Contractor Warehouse Optimization: Materials, Tools, and Prefab
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Download nowEffective warehouse operations are crucial for positive project outcomes and profitability. Since 2020, several significant shifts in the construction materials world have had profound impact on daily operations and future growth prospects: rising material costs, transit delays, and increased carrying costs. Learn modern best practice for each warehouse discipline and how it impacts your bottom line.
Effective warehouse operations are crucial for positive project outcomes and profitability. Since 2020, several significant shifts in the construction materials world have had profound impact on daily operations and future growth prospects:
- Rising material costs: Nonresidential construction input costs have surged by nearly 40%, and remain elevated.
- Transit delays: Contractors are now experiencing transit delays on a regular basis, and are waiting an average of 12-16 weeks for materials that used to take 2-4 weeks.
- Increased carrying costs: The current range is from 20% to 30% of annual inventory value. Overordering contributes to these costs by tying up capital in excess inventory.
Learn modern best practice for each warehouse discipline and how it impacts your bottom line.
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Modern Best Practices for Specialty Contractor CFOs
Specialty trade contractors face tight cash flows due to supply chain issues and inflation but have a significant growth opportunity with increased commercial construction activity and funding from the Infrastructure Investment and Jobs Act. Success depends on strong cash positions. Additionally, firms must adapt to digital workflows preferred by younger workers, creating process disruptions. CFOs play a crucial role in adopting new best practices to navigate these challenges and remain competitive. This report outlines these practices based on insights from Kojo's 500+ specialty contractor customers.
