6 page paper-Issue 3 (Due in 12 hours)

Group Research Paper: Rector Property Management

Issue 2: Forecasting and Analysis Tool (Collin)

Rector Property Management (RPM) has developed a technique for acquiring and

renovating properties that is profitable and generates long-term wealth. The business has the

financial capacity to expand, but it lacks a tool to conduct a thorough analysis (J. Rector,

personal communication, March 2018). This issue has slowed the process in several renovations,

but the workload has been kept low to avoid any serious repercussions (J. Rector, personal

communication, March 2018).

This will not work, however, in the future operations of Rector Property Management.

Jason Rector, the CEO, has the bold goal of increasing annual renovations from 12 to 30 by 2020

(J. Rector, personal communication, March 2018). He needs a product to rapidly document the

resource and labor requirements to complete the renovation. This product will be the input for a

system that allows him to give guidance to the project manager to then complete the renovation.

This system will minimize his time on the renovation and allow him to generate more leads for

future projects.

Data Collection Plan

The first step in the data collection plan is to understand the situation and to thoroughly

define the problem. Interviews were conducted with Jason Rector, the CEO, and Brian Rector,

the Chief Financial Officer (CFO). They both provided great visibility and were transparent

about their operations. Jason continually described operations as a small business and as a hobby

(J. Rector, personal communication, March 2018). He uses past experience and uses scrap pieces

of paper to document labor requirements and shopping lists (J. Rector, personal communication,

March 2018). He then personally walks the floors of the appropriate supply store and calls each

subcontractor individually. This system is described as lengthy, inaccurate, and unsustainable (J.

Rector, personal communication, March 2018.

Brian has also complained of the issues with the system in place (B. Rector, personal

communication, March 2018. Jason makes multiple trips a week, and it is hard for Brian to track

all the expenses accurately (B. Rector, personal communication, March 2018). It also makes it

very challenging to create an accurate report on the overall cost of a project. Brian also asks for

budgets from Jason but has yet to see one created (B. Rector, personal communication, March

2018). Jason is able to make the project fit the bill, and he has yet to be under the appraised value

in 12 years (B. Rector, personal communication, March 2018). This exceptional performance has

lessened the need for such a tool until this point in operations.

The second phase of the data collection plan was to conduct secondary research from

trade journals and to conduct interviews with various professionals that work in this industry. I

interviewed two of Jason’s subcontractors as well to see what the issues were from their

perspective. The quality of information was excellent which allowed for a detailed analysis in the

following steps.

Data Research and Analysis

The first step for research and analysis was to look at industry best practices and to

discover what companies like RPM were doing in the field. I spoke with two operations

managers over the phone to discuss operations. Both work in central Illinois and conduct 20-40

renovations annually. They both spoke of project management or construction management

information systems as the basis for their projects (C. Ramshaw, personal communication,

March 2018.

The research was also conducted to find companies nationwide and to utilize any

research that has already been conducted for the utilization in this consultation. One such

company was located in New Zealand, and it praised the use of project management software for

their success (SyndiGate Media, 2015). This company conducted over 70 renovations in their

first year, and they gave much credit to their project management software and its corresponding

phone application (SyndiGate Media, 2015). This research was pertinent for RPM since both key

employees operate almost exclusively from their phones.

This focused the research to look at information systems with impressive phone

applications. They would need to provide all features from the phone and it would need to meet

all criteria in the table below.

Software Requirements for RPM Renovations

Labor Resource Accounting

 Forecast requirements per project

 Ability to capture all resource requirements

quickly

 Link appropriate costs directly to the house

 Track and schedule labor per contractor

 Generate shopping lists from forecast and

sync to Home Depot

 Ability to link hours and jobs from

software to

QuickBooks

 Maintain visibility of contractors on

multiple projects in

one calendar

 Ability to establish a template for shopping

list on the project

 Ability to synchronize budgets and forecasts

into QuickBooks

These features are what Jason and Brian have indicated will have the biggest impact on

their time, and it will allow them to focus on growing the business (J. Rector, personal

communication, March 2018).

The next step of the research was to identify the different types of software that would

work for RPM. The most stringent requirement from the table above was selected to screen the

hundreds of options. This requirement was the synchronization ability with QuickBooks. Brian

has mentioned that QuickBooks publishes all suites that they allow to link with their system (B.

Rector, personal communication, March 2018). Upon additional screening of the different

options, it was brought down to the following contenders.

These two contenders were the only two that met all requirements for RPM. The next

step was to evaluate the two applications to figure out which would work best and be the most

affordable to RPM. Virtual demonstrations were scheduled with each company. These

demonstrations allowed a sales representative to share his computer screen remotely and show

me the functions of the software. It also allowed me to give him tasks to perform on the spot to

ensure our situations could work with the software. A decision matrix was created to evaluate the

software during the presentations.

Decision Matrix

Option Weight BuilderTrend Mavenlink (1=Yes, 0=No)

Forecast Requirements 0.1 1 1

Track and Schedule Labor 0.1 1 1

Maintain all jobs on one calendar 0.1 1 1

Capture all resources 0.1 1 1

Generate Shopping List 0.1 1 0

Sync to Home Depot 0.1 1 1

Establish Template for Future Projects 0.1 1 1

Link to QuickBooks 0.1 1 1

Link hours to QuickBooks 0.1 1 1

Synchronize Budgets to Quickbooks 0.1 1 1

The decision matrix was helpful during the meetings, but after compilation, it appeared

that both were almost even. Further analysis was conducted on the systems to see which had a

more convenient use and more applicability to RPM’s mission.

Recommendations based on Research

After conducting the research and having multiple meetings with the two companies, it

was determined that BuilderTrend would be a more appropriate fit for the company. This system

offers RPM everything they need and more. An initial meeting was held to discuss the

recommendation, and Jason was pleased with the software and the review (J. Rector, personal

communication, April 2018).

A further recommendation was made for Jason to consider in the future. Appfolio is an

excellent service that was found during the research that would be an excellent service to RPM.

This service would streamline leasing, information management, and marketing. The

consultation team recommends that Jason structure his business in the future into two cells:

Operations and Project Management. Operations will execute all day to day activities and utilize

Appfolio. Project Management cell will manage renovations and any new projects. Both systems

link to QuickBooks to allow maximum transparency and reporting.

Implementation Plan

Thorough research was conducted with all options available for RPM. The following are

the recommendations and implementation guidance moving forward if accepted. I recommend

that Jason adopt BuilderTrend as his project management and logistics forecasting tool. I have

conducted virtual training and two live demonstrations with a representative and believe this will

accomplish all significant tasks for the company. Some of the highlights listed below.

First, the software has an incredible phone app which allows access to all the features of

the website. I have shown in the previously displayed pictures the incredible capabilities of

BuilderTrend. Second, the app links directly to QuickBooks. This allows budgets to transfer, but

more importantly, it allows workers timesheets to transfer to payroll. It will even specifically

state the different property they are working on for performance reviews, exact cost vision, and

LLC payment.

Next, Jason currently manages 7-11 subcontractors, and this can become tedious when

plans change early in a project. The effect can have him rescheduling multiple parties and

wasting time. This system allows Jason to change one schedule, and all parties are notified of the

changes via text, email, and on the app. This allows everyone to understand their role and stay on

track. Finally, lists can be generated on the app which allow a budget to be created and for the

shopping list to be generated. This can then be transferred to the 3PL or Operations Manager for

action. The slide listed below displays the phased approach to reach these benefits.

References

Clayton, R. (2017). Quality Key for Award Winners. The Southland, 13. Retrieved from

https://search-proquest-

com.portal.lib.fit.edu/saveasdownloadprogress/B7FEAFED9C4944F9PQ/false?accountid

=27313

McCarty, A., & Skibniewski, M. (2016). The Impact of PMIS Training: Patterns of Benefit

Realization in Project Management Information Systems Training. Journal of

Engineering, Project, and Production Management, 2-13. Retrieved from

http://www.ppml.url.tw/EPPM_Journal/volumns/07_01_January_2017/ID_139_7_1_2_1

3.pdf

SyndiGate Media. (2015). BuilderTrend makes a more efficient construction. Real Estate

Monitor Worldwide, 1-5. Retrieved from

http://go.galegroup.com.portal.lib.fit.edu/ps/i.do?p=ITOF&u=melb26933&id=GALE