MGP has based their operational model on what is considered to be out of the box thinking in the precast industry. Many have looked at the principles of the concept and indicated that it would not work or is not needed in the industry. This type of thinking is an attribute to why MGP is needed for the precast industry to keep paces with other structural delivery systems.
MGP has examined the operational models of CIP delivery systems in an effort to better understand how to compete.
Let us first look at the rural regions that are rarely served by the precast industry because of geographic constraints. When a project is identified the design team selects its structural delivery system. Most teams in these areas will choose CIP based on the lack of service provided by precast in the past. In most cases in these communities, the CIP contractor will have to be imported. Local or smaller contractors will not have the experience or requirements to perform.
Once a CIP contractor is awarded the project, they follow this path to completion
1. Determine where they will set up their operation
2. Negotiate pricing for raw materials needed for this project.
3. Negotiate concrete pricing for the project.
4. Ship in the form work to complete the project.
5. Determine source for qualified labor pool.
6. Establish arrangements for housing of transient skill labor required.
7. Truck in all required materials not found locally.
8. Start lengthy process of forming and casting.
9. Disturbing the site and surrounding area for a lengthy tie period.
10. After casting is complete, start the demobilization of materials, waste, temporary facilities off the construction site.
The process I just described is literally the same process which our precast model is based a pond. Not intentically, but out of necessity. For the success of the projects both models have evolved to best supply the required components.
Our operational model has many advantages over the CIP model. Using the same process, I will show you how MGP has improved the model.
Once a CIP contractor is awarded the project, they follow this path to completion :
1. Determine where they will set up their operation- MGP, The determination of casting site will provide better controls of concrete due to its close proxsimitry to redi-mix batching facilities.
2. Negotiate pricing for raw materials needed for this project. – MGP, has national buying power based on their ability to cover the nation.
3. Negotiate concrete pricing for the project. – MGP, by establishing a casting facility on the producer’s yard, we require concrete when the producer would normally be completed with his daily delivery schedule. Also the producer will not have to ship the normal great distances to the project, we will be on his yard. This allows us to negotiate better pricing.
4. Ship in the form work to complete the project.-MGP, Also ships forms, but the forms are of a higher quality, made of steel. And the forms will not require site lay down areas which can be a logistical nightmare to a construction project.
5. Determine source for qualified labor pool.-MGP, Labor for casting steel forms in the precast industry is highly skilled due to the repetitive nature of casting similar shapes. MGP brings the skill labor to the rural area and hires locally the general labor.
6. Establish arrangements for housing of transient skill labor required. – MGP, Lower quantities of skilled labor means less expense and quantities of housing requirements.
7. Truck in all required materials not found locally.-MGP, Probably the only similarity to the CIP contractor.
8. Start lengthy process of forming and casting.-MGP, Precast production starts prior to the project breaking ground at the construction site and is delivered to the site for a quick erection and a reduced overall construction schedule.
9. Disturbing the site and surrounding area for a lengthy and labor intensive forming period.-MGP, Again, casting is preformed off site with no disturbance to the construction site.
10. After casting is complete, start the demobilization of materials, waste, temporary facilities off the construction site.-MGP, We never disturb the construction site, and so we have no site demobilization.
MGP has one more clear advantage over CIP which is often overlooked. All of the castings of components that MGP produces are made in compliance with a certifilied quality control program. All MGPcasting sites are certified, CIP has “NO” certification for its production.
