Royal Constructors Company  

Royal Constructors Company  

Operations

Space and Equipment

Royal Constructor Company is located in London, which is one of the cities in Ontario, Canada, where equipment is sourced. There are several types of equipment that are needed for a start, and others are hired.

Equipment

• Cement brick making machine- $2680
• Block making machine- $4500
• Mobile reverse mixer- $5000
• Semi-automatic concrete mixer machine- $700
• Handheld cement concrete cutter- $350
• Transport truck- $12,000

The heavy machinery, including excavators, bulldozers, crawler carriers, backhoes, and loaders, are hired each at the cost of $200 per day. The heavy machinery is costly, and Royal Constructors cannot afford to source them in its initial stages.

Facility Layout

Logistics

Royal Constructors Company will develop an effective logistics management that ensures that all the supplies and materials are delivered on-site early to avoid delays. Royal constructors will establish a strong relationship with the potential suppliers where the raw materials to ensure efficiency in ordering and supplying the requirements. The five lorries that will be purchased focus on ensuring that the equipment and materials are efficiently transported to the construction site. The five vehicles might not be enough for efficient transportation, but some of the suppliers are willing to offer free transport making it suitable and appropriate. Royal Constructors have a yard that is enough to store some of the construction materials and supplies that makes it easier to deliver them to the construction site when necessary. The location of the company will make transportation of supplies easier due to minimal traffic. The Royal Constructors will develop a good planning strategy, especially for the hiring and coordination of the heavy construction equipment, including crane and bulldozer.

The company will develop a plan that comprises of project steps and the inventory of materials, equipment, and tools needed for each project step. The materials and machines are then delivered to the site earlier before the start of each project stage (Dekker, 2017). Planning will ensure materials are on site every day where the construction crew will work without interruption. Royal Constructors will implement the Kissflow purchase order software that works by the company giving the suppliers the inventory of materials that are expected to be delivered on a specified period. The software also is capable of seeking the rental services of the heavy machines making it efficient for planning. The cost of the Kissflow software is approximately $9 per month for each user, and the minimum number of users is 10 (see appendices). The company has a yard that is enough for storing suppliers and is incorporated in the monthly rent. Skype software is the best application software that will stimulate the communication and coordination of the company. The software cost is approximately $3 per month for a single that has an annual commitment. The software is appropriate for the business processes because it enables an online meeting with employees, especially when on the site.

Procedures and Systems

Royal Constructors will conduct its operation from the offices where a client is expected to visit the organization to seek for the services. The client will present the details of the house that needs to be constructed. The company architecture then draws the house structure and forwards it to the surveyor that is responsible for quantifying, giving the cost of construction. The client is then provided with the required expenses and period of implementation. Royal Constructors will source the Zendesk software system that handles customer complaints and management. The cost of using the software is $49 per month. The system is appropriate for the company because it establishes the communication between the company and the customers through email, chats, phone calls, social media, and other channels.

The software will help the organization to understand its customer needs and improve the service experience. The company will handle complaints by reviewing the responses and suggestions provided in the software and engage the team to address the challenges to ensure the best services are offered. The organization will outsource an inventory management system that ensures that the records of all materials are kept and monitored. The inventory management system software will provide the operation of the organization, including work progress, which is maintained throughout a construction process. Royal constructors will source an incorporated billing system because of its importance in the construction sector, especially in administration control, and also creates transparency between organizations and customers. Royal Constructors will market its services on the website to attract website visitors and ensure it offers quality service to develop a positive reputation.

Organization

Royal Constructors will delegate duties to different staff in the organization. The Chief Executive Officer (owner) of the organization is the overall management position of the construction company with only one position. Since the organization is in its initial stages, then the next person in the chain is the project manager that controls all other teams in the construction site. Engineers and architectures, as from the chart above, takes the third position in the chain though they are in different departments but contribute to designing a quality building structure. The junior team includes estimator, crew, and superintendent that are described as the project team. The project team is responsible for interpreting and implementing the design made by engineers and architects. I will train the employees on the importance of quality service and what it means to business success and later reasonable compensation. The training will involve working with passion and perform delegated duties accordingly to get a quality outcome. Teamwork will also be a factor of discussion in the training where the employee should have a common company goal in all the operations to ensure that the company’s reputation is developed based on the quality service delivered. The quality service offered to a single client develops an impression on the client and also his/her friends making them seek the company services.

The salary of employees is paid at a fixed rate, and salary increment is only discussed when an issue is raised, especially when the income generation increases. The organization employees are paid every month, and they are not paid in commission because of the organization targets on developing quality services and consistency. The purpose of choosing a constant pay structure is to ensure that the employees will access their daily needs without straining to guarantee their full commitment to service delivery since their basic needs are addressed.

Regulation

The federal government of Canada regulates contractors through licensing. The company is vetted to have met several qualifications and certifications that include a certificate of apprenticeship. The employees are expected to write the certificate of qualification exam that ensures that the employees are skilled in conducting construction services in the country. The permit fees demanded in London, Canada is $1200 (See appendices). The license fee the company will be charged is $400. Royal Constructors also is required to register the company in London at the cost of approximately $250. Royal Constructors also will pay $100 for the trademark of the organization name to protect the organization’s identity and brand from competitors or fraudsters. The Chief Executive Officer will take the responsibility of filing the annual tax returns because the operations will be minimal in its first year. It is also evident that the company might not seek the services of legal professionals, especially on matters of decision making, since the company operates as a sole proprietor, and a single person will make decisions.

Appendices:

References

Alibaba(2020).MachinePrices.Retrievedfrom:https://www.alibaba.com/trade/search?fsb=y&IndexArea=product_en&CatId=&SearchText=all+house+building+machines&viewtype=&tab=

Dekker K, (2017). Importance of Logistics in the Construction site. Retrieved from: https://www.assignar.com/au/construction/importance-logistics-construction-sites/.

Finances online (2020). Retrieved from:  https://financesonline.com/much-zendesk-cost-get-free-trial/

Home Advisor. https://www.homeadvisor.com/cost/architects-and-engineers/get-a-building-permit/

Software Connect (2019). Retrieved from: https://softwareconnect.com/workflow/kissflow/

U.S News (2020). Retrieved from: https://money.usnews.com/careers/best-jobs/construction-manager

Voip supply, (2019). Retrieved from: https://www.voipsupply.com/how-much-does-skype-cost