Consulting Services That Helped Oakmont Contracting, LLC.

William Tose, Jr.’s Experience Working With American Management Services:

I would like to commend the work and efforts of your organization on behalf of Oakmont Contracting LLC over the course of the last five months, particularly the efforts of Chuck Riney, Senior Consultant and Dave Almstead, Group Manager. With the help of American Management Services, Inc., we have put in place key tools and processes that have increased our team performance, throughput, cash flow and profitability goals.

Some of the key items we have implemented:

• Established a Fully Burdened Labor Rate for the operation to ensure all overheads are allocated to project costs. The FBLR ensures accurate cost estimating and protects our 13.8% predetermined profit goals in the construction phase.
• Developed Standard Operating Procedures for: Estimating at PDP margin rates, Change Orders to protect profit margins, Two-Week Look Ahead for On-Site Management, Project Schedule Updates to support timely invoicing, Superintendent Daily Reports to document progress, and Variance Analysis to target unfavorable results. These SOPs ensure uniform practices across our dispersed project management teams.
• Mapped the monthly invoicing process setting deadlines for submitting pencil invoices, with a final approval deadline by the 10th business day each month. This ensures cash flow to support operations and matches costs with billings.
• Weekly Management Meeting with our Project Teams to focus on: Communications, Monthly Invoice Targets, Actual Percent Completion, Schedule, Quality and Safety.
• An Operating Budget that incorporates our process improvements and actions for profit, allowing us to put management focus on project costs, profit margin and controls.
• A pay-for-performance plan rewarding the organization for winning and delivering projects in excess of the budgeted 13.8% predetermined profit.
• Recruited and hired a bookkeeper; established a functional organization around Sales, Operations and Finance, with supporting Job Descriptions and Performance Metrics to ensure we have the skilled staff to achieve our Budget Plan.

We expect the work described above to produce an incremental operating profit to our company of more than $2,573,448 over the next three years, an amount that far exceeds the cost of the program. Our expectations have been met in an efficient and professional manner, and we will be happy to recommend the services of your firm and your consulting team to any prospective client.

Sincerely,