Large Plowing Bid

[Aspen Snow]

We have been asked to give a bid on a large complex. This is the first time this complex has gone out outside for contractor (use to be inhouse). But the problem is that the other contractor that was asked to bid, told the Facility Manager that he would do it by the hour. I think that it is crazy to do the work by the hour. Do anybody have any idea on how I can convince the Manager to do it by the Push or Season? I would like to bring in Loader w/pusher boxes, but the per hour guy will only bring in pickup truck. Any suggestions?

 

[plowking35]

Per season benifits are easy, they know up front what their outlay for snow removal will be for the season, and can budget appropiatly.
What type of complex is this? I suppose it really doesnt matter, what does matter is what is the manager looking for.
Is it price or service? If it is purely price then that will reflect in the lower quality of service that he will recieve. Plowing by the hour just wont justify more expensive equipment that will be needed to complete the contract, hence pick ups will plowing where pushers should be.
If he needs top level service, 24hr accesability, and parking areas and drives open all the time, them he should be able to realize that someone who is willing to spend, what is needed to get the job done, on equipment is better suited to the job.
Also, with your bid pack, write how you will respond to a snow or ice event,that shows that you are serious about this site, and have thought through how you will approach the facility.
In fact I must thank John Allin for his article last year about snow response plans, since that article we have been offering this service to our customers,and it has added a nice little sum to our bottom line, as well as secure in the customers mind who should be plowing their site. No one will plow a site better than the person who writes the response plan. Most plans are pretty simple, but if it gets complicated just think it through, and be very detailed.
Dino


[Edited by plowking35 on 09-24-2000 at 04:24 AM]

 

[iowastorm]

Dino: Is it possible to get a copy of that article from you?

 

[plowking35]

I will look for it, perhaps John Allin may have a copy in word that e can email you.
Dino

 

[Aspen Snow]

Dino,

Thank for the answers. I had a answer to most of my own question, but the porblem I for see is that when the bid are looked at the per hour price will be such a difference compared to our I think the Manager will go into sticker shock. May be not but that it my fear.

 

[plowking35]

That may be so, but the per hour guy can not guaruntee, or estimate how many hours any snow fall will take to remove, since he has never done it before.
I suppose they could use the in house time records for last season.
But of course the in house guys could have been dogging the clock, and the new guy could do the same.
With the seasonal they know up front for the season what the costs will be, and with a per push, they know what it will cost for any one event.
So I suppose that is how I present myself to them.
Dino

 

[Doug406]

Do not be ashamed to charge higher prices for quality service. Let the manager know, in writing like dino was saying and in person, that you are going to provide a quality, timely, correct job for him. That is why your system for charging and per hour rates are quite substantially higher.
We locked on to a 8 acre property this year that was being done per truck hour in the past. Well when it breaks down we are charging more than double what they were paying. BUT, they want reliability, not a $600 savings.

 

[Aspen Snow]

Well we went to the bid meeting the other day, it went well. We have been asked to go back and meet with the upper executives of the complex in a week. I think we might just have a chance to convince them that per hour pricing is not the way to go and that service is number 1 priority. Wish us some luck.

[Edited by Aspen Snow on 10-15-2000 at 01:15 AM]

 

[Lazer]

We were challanged by this scenario on a 16 acre (of pavement) site that was always done hourly.

Of course we have never and will never charge by the hour.

What we did was AVERAGE the last 5 years billing and we're going to plow if for that my BY CONTRACT, fixed price all year.

We win, of course, because with Pro-Tech's and our own patented plows we have 5x the productivity per unit compared to the previous contractor.

(Actually the previous contractor sold the account to us because he couldn't commit all the truck needed the way he was doing it.)

 

[Chuck Smith]

Lazer,

You use your own "patented" plows? Are they really patented? You got me curious now!

~Chuck