[Video] Cash Flow Management Strategies with Rob Glazier
There are a number of topics being widely discussed in the construction industry today, with some of the most prevalent relating to complications regarding cash flow management. To better serve and educate our market, Ellis Talton, Chief of Staff at Briq, sat down for a webinar with industry expert and Director of Finance of Choate Construction, Rob Glazier. They discussed everything from cash management strategies to using analytics to improve the overall financial health of Choate’s business.
There’s a lot of valuable information in here, so we’ve summarized the interview with timestamps to help you find what interests you most.
Let’s dig in!
Get to the point with the below timestamps:
Ellis introduces today’s topic- cash flow management strategies and analytics. Rob gives a brief background on himself as well as an overview of Choate’s history and their journey to billions of dollars in revenue.They also discuss how Choate began using Briq:
“What we liked about Briq was not just the ability to take the data and look at it, but we want to take that data and do a predictive thing going forward. Also, the flexibility of it. With Briq, we’ve gone to a cloud-based solution where we update our numbers daily. You want to have that real-time view of all your projects.” - Rob Glazier, Director of Finance, Choate
The Problem to Solve (~8:45)
Ellis and Rob talk about what makes a successful construction company even more successful. Rob goes over financial and operational challenges Choate has faced.
“Some of the challenges you have are identifying the metrics you want to use. Cash flow is king, but there are a lot of other metrics. One of the reasons we really like Briq is because we have data that resides in other systems, the ability of Briq as an agnostic provider allows us to rapidly integrate data.” - Rob Glazier, Director of Finance, Choate
Running Your Business with Construction-Specific Analytics (13:40)
Our hosts discuss the advantages of running your business on a construction-specific analytics platform.
"The earlier you discover problems the more time you have to fix those problems. The worst thing that can happen is you get to 100% complete of a project and you're only 80% complete on cost. That should be a flag earlier and it's usually caught, but not always. By looking at trends and identifying outliers you can understand areas that you should be focusing on that you may not otherwise detect. Intuitively, we may have our own prejudices as to what we believe is true, but data doesn’t lie.” Rob Glazier, Director of Finance, Choate
Choate is now able to “slice and dice data”. They look at trends to understand what has happened and what could happen. The bottom line: Briq flags discrepancies easier and faster than any human or team of humans can.
How to Be Successful with Analytics
Rob shares insight into how Choate is utilizing Briq to give meaning to their data and ultimately improve the financial health of their business. He shares examples of how they use Briq on single projects and across multiple projects, and even to evaluate project managers.
“It doesn’t take much to set up, and you can modify it however you want. It’s pulling all the data and providing a central data repository. A dashboard is only as good as the data it provides to the people that want to use it. What we want is something that’s going to provide better business performance, that people want to use. And if it's identifying problems quicker than before, that's a win-win for everyone.” - Rob Glazier, Director of Finance, Choate
The Road Ahead (~29:00)
Ellis and Rob talk about the challenges Choate wants to tackle next with Briq.
“It’s an opportunity. We have 30 years of data that we can look at. We’ve never thought about what trends we can pull from that. We’ve never really looked at it that way. Can we look at a cost code across ten years of projects? Can we look at what caused projects to fail? Briq has the ability to run those types of algorithms. We’re trying to be proactive with our data.” - Rob Glazier, Director of Finance, Choate
Audience Q&A (~35:10)
Rob answers questions from the audience including:
- What are some of the calculations you're using and what metrics do you focus on the most to know whether the company is trending in the right direction or not?
- In 90 seconds, why ESOP? (Choate is an ESOP company)
- Are labor projections just as important as financial metrics given the labor shortage facing the industry?
- What is your market confidence 1-5 in the construction industry for 2021?
- Does your team at Choate employ data analysts?
The Briq team would like to thank Rob Glazier for chatting with us, and Choate for their ongoing partnership.
Briq is the first data analytics platform built specifically for construction. We help contractors use their data to drive better outcomes for all phases of construction.
Using modern technology such as automation, machine learning, and predictive analytics, Briq helps to stop fee erosion, freeze overhead costs and provide better financial outcomes for your business. Contact us for a free consultation to find out how we can serve you.