Data Center Journal

VOLUME 38 | JUNE 2015

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4 | THE DATA CENTER JOURNAL www.datacenterjournal.com Choose a ContraCtor With the right exPertise Simply choosing a good contractor is insufficient if that contractor's expertise doesn't align with your project goals. Matt Tyndall, VP of Site Development for QTS Realty Trust, said about evaluating data center contractors, "We look for experi- ence not only in the company but in the individuals—most specifically, for the types of data centers that fit your business." For example, "A company or individuals that have built nothing but enterprise data centers may not understand the business model of a multitenant data center." All other things being equal, then, the contractor with the most experi- ence building projects that are similar to yours is probably the best option. Tyndall emphasizes that "you really want to look for those who are experienced in building what you're planning to build. You wouldn't necessarily want to hire an interior-type data center builder to build greenfield data center." Project factors that might affect the range of suitable contractors include the type of facility: for instance, the aforemen- tioned enterprise data center versus a mul- titenant or colocation data center, as well as a dedicated building versus a portion of a larger structure. If you're looking to build a mission-critical (high uptime) facility, some contractors may fit the bill more than others. On the other hand, hiring an expert in mission-critical design may be overkill for a data center whose uptime is less critical to the business. Geographical considerations also play a role: the farther the contractor is located from your site, the more logistical problems that can arise. But allowing for a bit more distance in your search may yield some otherwise excellent candidates. getting a seConD oPinion Deciding among contractors can be difficult enough when judging solely by what each one claims about itself. Even if the claims are honest as far as they go, some outside perspective is always helpful. In particular, consider talking with previ- ous customers about their experiences with the contractor you're evaluating. Of course, bad references can help you quick- ly shorten your list, but excellent referenc- es may make your decision much easier. According to Tyndall, speaking with those who have worked with the contractors on your list is a necessity. "e preconstruc- tion leader, executive in charge, day-to-day project manager and any subject-matter experts should be vetted," he said. In addition, another source of "inside" information on your candidate contractors is local regulators. Building in- spectors and other authorities may be able to give you a better sense on a given con- tractor. Of course, particular individuals may be reluctant to speak to such matters, but it generally doesn't hurt to try. Even just a hint of approval (or lack thereof ) can be meaningful: local regulators can put a serious crimp on your plans, so if the regulator and contractor have a rapport, the process may go more smoothly. On the other hand, tension between the two could indicate trouble down the road. finanCes Budget is foremost on the mind of any company starting a new data center project or a retrofit, but your finances shouldn't be the only monetary consider- ation. Once you've started working with a particular contractor, switching to another one in the middle of the process can be devastating to your project. us, it's important to find out what you can about the contractor's current financial state. Not only can an unexpected bankruptcy on the part of the contractor, for instance, seriously compromise your schedule, it can also mean considerable lost capital, potentially scuttling your new data center and leaving you worse off than when you started. Investigating the contractor's finances is "absolutely a must," according to Tyndall, "as is the EMR for insurance purposes." e EMR, or worker's com- pensation experience modification rate, affects insurance premiums on the basis of worker's compensation claims and how much the contractor pays out for those claims. is rating is a critical part of con- tractor bids on projects. rePeat Clientele Chances are you wouldn't return to a sub-par service provider, given the op- portunity. e same goes for contractors: customer loyalty can be a sign of profes- sionalism, experience and solid service on the part of the contractor. "Research your contractor's experiences," said Tyndall. "How much of the work that it does annu- ally comes from repeat clients? e answer could give you an indication of whether they are a service provider in lieu of just another 'contractor.'" Here again, talking to past customers can be invaluable. Contact your candidates for references and con- sider how similar those references are to your own company. Numerous completed projects (with happy customers) can give a candidate contractor a boost to the top of your list; a lack of similar projects or an unwillingness to be forthcoming about past customers should raise concerns. Tyndall added, "We are looking for partners to help us grow as opposed to someone that is just going to build whatever someone else puts on paper." Part of your evaluation process for a data center contractor should take your later plans into consideration. For instance, if multiple facilities or subsequent expan- sions are possibilities, you should consider whether a given contractor has served other customers over time and whether it has experience that fits your plan. Finding a "go-to" contractor now can save the has- sle of going through the selection process each time a new project is in the offing. Dealing With suBContraCtors A contractor will normally hire out certain portions of the project to subcon- tractors with expertise in particular areas. Nevertheless, you should still plan to be involved at that point. "We like to be a part of the subcontractor bidding process. We use contractors that have strong lever- age on a local market, such that the most qualified subcontractors want to work for the contractor," said Tyndall. "We ask that our contractor provide a bidders list by trade of recommendation for bidders and allow us to weigh in before the bidding process. We like the construction-man-

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