Managing Supply of Services

On today’s show we’re talking about another constraint in the world of real estate development and construction.

The labor shortage that is making headlines is being experienced across the entire construction industry.

That is particularly being felt in many of the support services that assist builders. Any construction site will require some basic services including safety fencing and portable toilets.

Something as simple and commodity as portable toilets has become incredibly difficult to source. As a developer, you would never even pay attention to that, or imagine that toilets would be a constraint. Well it turns out that on one of our projects, we had three companies in the past week decline to provide the service to our projects because they were not taking on any additional business from now until well into the new year. They were completely short staffed and could not handle any additional business. It took no less than 6 phone calls to find a single company that would provide a portable toilet to a construction site. This is shocking. A portable toilet is a requirement for a construction site. The building inspector will shut you down if you don’t have one.

We had several other suppliers of construction equipment decline our business. They simply didn’t have the staff to take on additional work.

How do you solve it? Listen and find out.

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Host: Victor Menasce

email: podcast@victorjm.com