LOW VOLTAGE AND AV · ELECTRICAL AND TECHNOLOGY · FIXED BY STEP 06

Commissioning Waits on the Owner's IT Department

Your commissioning crew is mobilized, on site, and idle, waiting on a help desk ticket. No one on the GC's schedule owns that date.

WHY IT'S A LOW VOLTAGE AND AV PROBLEM

Other trades get gated by predecessors who work off the same schedule and answer to the same superintendent. Your predecessor is a corporate IT department with its own change control window, its own security review, and zero contractual duty to the construction schedule. The GC has no leverage there, so the schedule pressure rolls downhill onto you.

WHAT IT COSTS

The size of it

Mobilized commissioning labor costs full rate with no recoverable cause of delay, because the owner's IT being slow has no change order path written into your subcontract.

OVERHEAD AT $1M to $5M
16%
CFOS target 15% for low voltage and AV.
GROSS MARGIN AT $1M to $5M
24%
CFOS target 26.5% for low voltage and AV.
NET PROFIT AT $1M to $5M
8%
CFOS target 11.5% for low voltage and AV.

Two gates come between you and a commissioned system. The first is the AV submittal package, rack elevations, signal flow one-lines, and cut sheets to the consultant, and at least that one lives on a schedule. The second gate is the one that never gets scheduled, and it consists of VLANs, static IPs, switch ports, certificates, firewall rules, and domain accounts from the owner's IT and security group. Until those exist, not one networked DSP, Teams room, or IP camera can be commissioned, and that group answers to the owner rather than to the general contractor.

WHAT TO DO

Three moves, in order

STEP 01
Attach a network readiness checklist to the subcontract listing every item you need from IT, with a required-by date tied to your commissioning start.
STEP 02
Get a specific IT contact and a recurring fifteen minute call at kickoff, before you ever load a truck.
STEP 03
The day the gate stops you, document it with a daily report, photos of an idle crew, and written notice inside the contract's notice window. A delay you logged is a delay you can price.
QUESTIONS

What low voltage and AV owners ask

Charging for commissioning delays when client IT hasn't opened ports?

Your commissioning crew is mobilized, on site, and idle, waiting on a help desk ticket. No one on the GC's schedule owns that date.

What does it cost?

Mobilized commissioning labor costs full rate with no recoverable cause of delay, because the owner's IT being slow has no change order path written into your subcontract.

What do I do first?

Attach a network readiness checklist to the subcontract listing every item you need from IT, with a required-by date tied to your commissioning start.

What are low voltage and AV contractors supposed to be making?

Low voltage and AV has 24% gross margin, 16% overhead and 8% net profit after taxes at $1M to $5M. The all-trade average is 7%, so this trade is 1 point above it. The CFOS target is 11.5%.

Which part of the system fixes it?

The step is number 06, project management. Billing dates, change orders, and notices, written as standards that work without anyone following up on them. It comes from chapter 6 of CONTROL: C.F.O.S. Construction Financial Operating System.

OR HAVE IT HANDLED

Everything on this page is something you can install yourself, and CONTROL is the order to do it in. If you would rather buy the finished result, SPM The Construction CFO does this work for low voltage and AV contractors as a service. It is a separate firm, Sulphur Prairie Management, LLC, led by the same author.

What a fractional CFO does for low voltage and AV contractors

AUTHOR
Josh Luebker
JOSH LUEBKER
MASTER ELECTRICIAN · 150+ PROJECTS · $2.1B+ MANAGED

Wrote CONTROL, the 8 step system behind these figures. More about the author.

Updated

8 Steps 60 Days

CONTROL is the full system, written for commercial subcontractors from under $1M to $100M. It's out now. 8 steps, 6 working templates, and the order they install in. $9.99 ebook, $24.99 paperback.