Safety Week 2006 Integrating Skanska USA Civil
Transcription
Safety Week 2006 Integrating Skanska USA Civil
coast tocoast An employee magazine from Skanska USA Safety Week 2006 Get the who, what, when and where Pages 4 –7 Integrating Skanska USA Civil As nine companies start to operate under the Skanska name, we look at what it means – and how similar integrations have played out elsewhere. Pages 8 –12 “Construction on this site is about not being defeated. It’s about putting back something even grander than what was there before.” Gary Winsper, Project Director, WTC Hub, Skanska in New York City Work at Ground Zero proceeds carefully amidst sensitive excavation and under the close eye of multiple interest groups. But Gary Winsper and his team are braced for the long haul by a dedication to their customer and to the memory of friends and loved ones. As a primary player in a joint venture called Phoenix, Skanska is responsible for erecting the new Transportation Hub, which has been designed by world-renowned architect Santiago Calatrava. For the company and for Winsper there are strong reasons to be involved in the project. In the 1960s, Skanska (formerly Slattery) was involved in building the World Trade Center. After the bombing in 1993, Winsper was one of two project managers who worked around the clock to get the towers back in operation. This time, he says, “It’s about seeing it through. It’s about being victorious.” Read more about the Hub and the team that’s building it at: www.skanska.com coast to coast #2 2007 Welcome to COAST TO COAST. Gearing up to be One Skanska On that note, I have heard that many of you are curious about the new possibilities brought about by Skanska ID. I will end on a note of suspense by saying: stay tuned. In the next issues of Coast to Coast you will be hearing more about ID and what their work means for all of us. I WAS SO IMPRESSED BY THIS YEAR’S SAFETY WEEK. As you can see from our coverage at sites and offices across the nation, everyone put extra effort into trying to achieve our goal of zero accidents. We can be proud of our results. I also want to draw special attention to this issue’s articles on integration within Skanska USA Civil. As Rich Cavallaro pointed out in his speech at the Christmas Ball for Slattery Skanska, this is not about consolidation. It’s about integration. Each company contributes a unique skill and background to the mix. By exchanging this information, Skanska USA Civil will become stronger and more efficient. And by having one name we will increase the awareness of our brand among both potential employees and the buyers of Public-Private Partnerships projects. Until then, keep up the good work. Let’s make 2007 Skanska USA’s safest year yet. Johan Karlström Executive Vice President, Skanska USA THE RECAP: SAFETY WEEK 2006 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 4 CONTENT 14 ONE SKANSKA USA CIVIL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 8 SINGLE-BRANDING IN THE WEST BECOMING SKANSKA NORWAY 12 Page 11 ............................................... Page 12 ................................................... ALL ABOUT CPP . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 13 4 15 JENNIFER AHERN FROM THE BRIDGE OF LIONS . . . . . . . . . . . . . . . . . . . . . . . . . .Page 14 BETH HEIDER SPEAKS FOR THE SWEDES 17 BILL DUVALL OF SKANSKA ID Page 15 .................................... Page 16 .................................................. ACCOLADES IN GEORGIA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 17 coast to coast PUBLISHER: JOHAN KARLSTRÖM EDITOR: COLE RUTH CONTRIBUTING EDITORS: ANNELI ANDERSSON, TOM CRANE, CAROLINE BUCQUET, KAREN DIEMER, ALLYSON ORFAN. ADDRESS: SKANSKA USA, 16-16 WHITESTONE EXPRESSWAY, WHITESTONE, NY 11357, U.S.A. PHONE: +1-718-767-2600. LAYOUT AND DESIGN: DESIGN SOURCE EAST PRINTER: DOLAN WOHLERS COAST TO COAST IS THE QUARTERLY EMPLOYEE MAGAZINE FROM SKANSKA USA. SUBSCRIBE FREE OF CHARGE BY SENDING AN EMAIL TO: [email protected] COAST TO COAST IS PRINTED ON ENVIRONMENTALLY FRIENDLY PAPER. FEEL FREE TO COPY FROM THE MAGAZINE OR TO QUOTE US, BUT PLEASE NAME THE SOURCE. NO RESPONSIBILITY IS TAKEN FOR UNSOLICITED MATERIAL, THOUGH YOU ARE WELCOME TO SEND YOUR IDEAS AND SUGGESTIONS TO THE EDITOR AT [email protected] coast to coast PAGE 3 SAFETY WEEK 2006 Safety and imagination reign SKANSKA’S SECOND ANNUAL SAFETY WEEK WAS A GREAT SUCCESS WITH ONLY SIX ACCIDENTS WORLDWIDE – and only one accident in the entire U.S. Here, in all three business units, from coast to coast, employees embraced the week as an occasion to shine the spotlight on safety and emphasize education. This year Safety Week had two themes, working at heights and visible leadership, but it was up to the creativity of each site and home office to bring across the message of awareness to colleagues and subcontractors. Events included pizza lunches and barbecues for jobsite and office staff, demos on how to use a fire extinguisher, talks about fire safety on the job and at home, presentations on the concept of an Injury-Free Environment (IFE), fall protection demos, training on the use of Automatic External Defibrillators (AEDs), coffee, cider and doughnuts at morning breaks, forklift training, onsite blood pressure checks and flu shots, and much more. Here’s a sampling of what went on across the nation. Our advice? Start planning for next year and steal with pride. PAGE 4 coast to coast SAFETY WEEK 2006 during SAFETY WEEK 2006 COLORADO Skanska USA Civil Almost 2.2 million. That is the number of consecutive hours, as of November 15, 2006, that the company formerly known as Nielsons Skanska worked without a lost-time accident. Safety Week was an opportunity to continue extending their streak of safe hours. “Employees were enthusiastic, but it is second nature for them at this point,” says Risk Manager Mark Hanson of his employees during Safety Week. Everyone received free T-shirts during the week and management went over different topics that were relevant to each job. Fire extinguishers are available almost anywhere for immediate use, but how many people have actually used one? Realizing this, managers took office personnel out to the equipment yard and had them put out fires with fire extinguishers. They also analyzed the five incidents that occurred during the preceding year and found that four of them were hand-related. Management created multiple toolbox meetings to address all hazards, but they focused on hand safety. “The visibility of management and the message of zero accidents is important," states Hanson. "Having management go out and reiterate the importance of safety on a regular basis is more helpful than anything else.” FLORIDA Skanska ID The Fort Lauderdale office made a site visit to Fort Lauderdale International Airport where Skanska USA Building had a Fall Protection demonstration. Skanska USA Building At the Homestead Replacement Hospital in Homestead, the team’s seven-day agenda included demos and training for safety equipment and personal protective equipment (PPE), a blood drive, raffles that rewarded those who worked safely, and a children’s safety poster contest, open to children of the hospital and site project team. A “success” email was sent out each weekday by jobsite staff with information about the day’s victory — no recordable incidents — and photos of staff working safely. GEORGIA Skanska USA Civil In Atlanta, celebration was in order – at an office that boasts the best safety record in Skanska USA Civil, with only one recordable incident since April 2005. During Safety Week, T-shirts and hats were passed out and lunch was provided to all employees. Environmental, Health and Safety Director, Jeff Vinkovich, personally provided safety information at many of the job sites during safety week. As on every day of the year, Vinkovich required a simple worksheet to be filled out by the foreman on each job site. These “pre-task planning worksheets” offer a different, but effective, approach to communicating safety. The sheet allows the foremen to go over tasks for the following day and address potential hazards. During Safety Week Vinkovich read a letter from Stu Graham that highlighted Skanska’s goals and the unacceptability of fatal accidents. While toolbox talks and meetings take place regularly, Vinkovich says workers talked about creating safety in their workplace and were more attuned to discussion during the week. MARYLAND Skanska USA Building The Safety Leadership Team at the Rockville office hosted a Health Fair for all office and jobsite personnel, with blood pressure and cholesterol screenings as well as flu shots. A dietician, massage therapist and representatives from Delta Dental, VSP and other benefit plans were in attendance. Other events included CPR/First Aid training and a special emphasis on safety for a regularly scheduled quarterly Town Hall meeting. coast to coast PAGE 5 SAFETY WEEK 2006 MICHIGAN Skanska USA Building In the spirit of community, the project team for AT&T in Lansing planned a coat drive to help keep the Lansing area homeless safe and warm during the winter months. Spearheaded by Mary Ann Sprow, Administrative Assistant, and John Veresh, Project Superintendent, the drive collected 45 winter coats that were delivered to the Lansing City Rescue Mission in early November. NEW JERSEY Skanska USA Building At the main office in Parsippany and the Schering Plough jobsite in Summit, many employees turned out for a blood drive in response to severe shortages in the U.S., says David Korman, Environmental Health and Safety Director. During the week, employees in Parsippany also received a gift that emphasized safety in the home, like a fire extinguisher, smoke detector or First Aid kit. NEW YORK Skanska USA Building Environmental Health and Safety Director Marty Bruno and his staff developed a sevenday, event-filled schedule. Efforts included involvement in a local hospital’s walk to fight brain tumors, with Skanska matching $12,700 in employee donations and an Executive Site Visit Day which covered 20 project sites, and saw New York executives talking about safety to PAGE 6 coast to coast workers and project teams. An onsite blood pressure check during the week found one worker with an abnormally high reading, an admission that he had forgotten to take his medication and a swift trip to the hospital. Skanska USA Civil Safety Week was promoted throughout Skanska USA Civil’s New York job sites. But at the Triborough Bridge Reconstruction project, there are two Skanska USA Civil operating units (Skanska Koch and Skanska USA Civil’s Northeast Division) working to ensure zero accidents. To prepare for the week, the project management team held meetings with laborers, ironworkers and teamsters to promote it and bought everyone on the project a kick-off day breakfast. Skanska Koch Safety Director John Pouso walked the projects and randomly handed out $25 Home Depot gift cards to employees who were working safely. (The project also has a monthly drawing for a special incentive. But, if there’s an incident, the incentive is withheld a month.) “Working safely doesn’t slow a job down, accidents slow down the job,” says Pouso. He also adds that “Today, workers are much savvier about safety than in previous years. If we want to attract and retain stars, we must prove that Skanska is a sound, safe place to work.” The team also held its regular weekly safety meeting. Each week, the night before the meeting, Project Manager Dan Payea talks to the superintendents to share information and get their input. “We keep every stakeholder on the project informed as much as possible,” says Payea. “That way, they don’t have to waste time getting information.” The team also keeps the client informed. Not only does the client join in these meetings, they also participate in a monthly job walk. At the end of Safety Week, the team held a barbeque to thank everyone for remaining injury free. NORTH CAROLINA Skanska USA Building Says Larry Watkins, Project Engineer at the French Science Center in Durham, N.C., local Emergency Medical Technicians checking blood pressure at his job found that, “most people were in the safe range, but one subcontractor discovered that his blood pressure was so high he needed to address it promptly with a doctor.” Adds Watkins, “It was information he appreciated.” In Raleigh, N.C., the joint-venture team of Skanska and Barnhill at the Raleigh Convention Center, was applauded for its safety record on the project thus far: 500,000 man hours without a lost-time injury. OREGON Skanska USA Building After Safety Week 2005, Superintendent Ben Radabaugh was committed to keeping the spirit of the event alive all year long. He SAFETY WEEK 2006 collected as many safety T-shirts as he could from the 2005 event, wearing one to work every day for the year. He plans to do the same in 2007, with a solid supply of Safety Week 2006 shirts. “Safety Week is not about being safe for just one week, it is about emphasizing health and safety 365 days a year, on the job and at home,” says Radabaugh. takes constant commitment and effort to protect yourself,” says Teague. In suburban Houston, the Skanska team at the Richey Elementary School worked with the school’s assistant principal to create a contest highlighting safety for the facility’s 785 students. Younger children created poster boards about what safety in the home meant to them while older children wrote essays on safety. WASHINGTON, D.C. Skanska ID The office made a site visit to Skanska’s Route 1 project in Virginia where they listened to a presentation and toured the project with two safety foremen. They also got to see on-site fall protection and safety harness practice. ■ TEXAS Skanska ID The Dallas office held a Safety Review to ensure that all employees were aware of the emergency exit procedures, the location of the first aid kit, and the location and use of fire extinguishers. Skanska USA Building Alex Teague, Senior Project Manager at the Blanton Museum at the University of Texas at Austin, says his team pulled together to brainstorm creative ways to promote Skanska Safety Week. They invited workers, families and the owner’s reps to join them on Friday, October 27th, to mark Safety Week and the topping out of the building, with activities that included a children’s Stretch and Flex (performed to the lively 1980s tune, “The Safety Dance”), a barbecue and live music, compliments of Project Superintendent Fred Santo and his band. When a subcontractor injured his thumb earlier that week the incident was used as a learning opportunity. “The team focused on using that injury to discuss how each person is responsible for his or her own safety and how it A GLOBAL EFFORT T here was a tremendous amount of feedback during Safety Week from all of Skanska’s markets. Hendrik van Brenk, Director of Safety for Skanska worldwide, says that dozens of emails poured in from employees and the public, with comments about the event and ideas for the future. “Health and safety is a core value for Skanska,” says van Brenk. “Our commitment brings the entire organization together to recognize a common vision. And Safety Week allows us to celebrate the hard work our employees put in toward improving health and safety at their jobs. It is also a recognition and commitment that we are all dedicated to achieving the vision of zero injuries.” With one injury in the U.S. during Safety Week 2006, van Brenk notes, “Accidents just don’t happen. They can be avoided. Our goal is zero. Our mantra for Safety Week and all year long is, ‘Zero accidents begin with you.’ ” coast to coast PAGE 7 CIVIL INTEGRATION One Skanska USA Civil Brand CREATES OPPORTUNITIES FOR YEARS, THE COMPANIES THAT SKANSKA ACQUIRED THROUGHOUT THE U.S. HAVE BEEN DOUBLE-BRANDED under their former company names. As such, they were able to take part in the global enterprise while maintaining their connection to the previous companies’ local reputation. On January 1, 2007, Skanska USA Civil began the process of integration, meaning that these companies now operate as a single entity under the Skanska name. The reasons for the integration are: to maximize the potential in existing markets; take advantage of opportunities in emerging markets; and become the nation’s No.1 construction company. This will be accomplished, in part, by leveraging the reputation and strength of the parent company. Skanska USA Civil’s companies include Slattery Skanska, Gottlieb Skanska, Koch Skanska and Underpinning and Foundation Skanska in the northeast; Atlantic Skanska, Tidewater Skanska, and Bayshore Concrete Products in the southeast; Yeager Skanska and Nielsons Skanska in the west. As a result of the integration, the business unit now has five divisions: the Northeast, Southeast and West regions, the Large Projects Group and Skanska Koch. In terms of the reporting structure, each of these divisions reports directly to Sal Mancini, President of Skanska USA Civil. PAGE 8 coast to coast CIVIL INTEGRATION Even before the formal integration, combined Skanska teams have pulled together to give our clients the best-possible result. Here, at the Corona Yard Maintenance Facility, Underpinning and Foundation Skanska performed the pile driving, while Slattery Skanska and Gottlieb Skanska performed the civil work. Clockwise from top left: Charles Brabham, Rob O'Neil, Mike Kelly, Nick Vitucci, Karen Carbonell, Emily Chen, Eric Ackerman, Mike Viggiano and John Zubala. IN THE NORTHEAST ichard Cavallaro is Executive Vice President of the Northeast Region, headquartered in Whitestone, N.Y. He is responsible for the companies that had operated as Slattery Skanska, Gottlieb Skanska and Underpinning and Foundation Skanska. Although the latter will keep their name, they will take part in the Skanska brand identity just like the other companies. “We will be recognized as one company,” Cavallaro notes. “The integration of Skanska USA Civil will emphasize Skanska’s strength as a national contractor, its vast civil capabilities and the bonding capacity to finance large infrastructure projects.” Cavallaro adds that the former companies complement each other. While Slattery has gained reknown as a heavy civil contractor specializing in deep foundations and concrete, Gottlieb’s expertise has been in mechanical, structural and architectural iron, and train station finish work. R In spite of the benefits, Cavallaro admits that the integration presents challenges. “There’s an emotional attachment to the company names. We are trying to help everyone understand why the double-brand names are being eliminated and emphasize that Skanska’s balance sheet enables us to compete for mega-projects such as AirTrain ($1.5 billion), Newtown Creek ($500 million) and the WTC Transit Hub.” To help explain the integration, Cavallaro and the other Vice Presidents have been speaking to the different companies since midOctober. Then, in December, they began introducing the change to their clients, first through a personalized letter and then in one-on-one visits. “The integration under the Skanska name is about the future – it’s about building market share in the world’s largest construction market and creating an organization and opportunities for our people.” – Rich Cavallaro coast to coast PAGE 9 CIVIL INTEGRATION IN THE WEST rowth is also on the horizon in the west. Skanska USA Civil’s new West Region consists of two districts: the California District (formerly Yeager Skanska) and the Rocky Mountain District (formerly Nielsons Skanska). Eric Taylor and Curtis Broughton are senior vice presidents for the West Region. Taylor is General Manager of the California District and Broughton is General Manager for the Rocky Mountain District. In the Rocky Mountain District, much of the work is for major industrial clients like mining companies who have high expectations when it comes to safety and sustainability programs. Broughton anticipates that a greater sharing of internal resources and expertise will make such programs even stronger in the future. “Although Skanska is the third largest civil contractor in the US, sometimes the marketplace sees us as a group of individual companies,” says Broughton. “By uniting under the Skanska brand it will be clear to our clients, employees, and stakeholders that we are one strong, national company.” The California District is a strong and prominent player with a good reputation in Southern California. The integration, according to him, began when Yeager was acquired in 2002. “Our clients have already accepted that our company is Skanska USA Civil. Employees accept the idea of a single Skanska identity.” G “Here, clients and employees know the Skanska brand and the strength and reputation it brings to the table. Skanska brings global recognition to a regional marketplace. The Skanska brand allows managers to develop strategic, long-term plans for the region.” –Eric Taylor In 2006, California voters approved a number of large transportation and infrastructure projects. Taylor says Skanska’s financial strength enables his team to take on these projects that are part of this coming construction boom. “The integration has been easier with the assistance of young management that has embraced the opportunity,” Taylor concludes. “If you want to develop, Skanska provides quality benefits, a career path and greater opportunities.” PAGE 10 coast to coast IN THE SOUTHEAST he Southeast Region is based in Virginia Beach, Va., and includes the three former companies called Atlantic Skanska, based in Atlanta and specializing in water treatment projects; Tidewater Skanska, a major heavy, highway and marine construction company focused on the Hampton Roads area, which also pursues projects from Florida to California; and Bayshore Concrete Products, which evolved out of a precasting facility that Tidewater and Kiewit/Raymond International set up during a joint venture to build the Chesapeake Bay Bridge and Tunnel complex in 1960. Peter MacKenna is Executive Vice President of the Southeast Region. He says one of the biggest challenges to integrating these companies is their own proud histories and sense of belonging to those companies. But he also points toward the solution: to demonstrate the benefits of being one large, flat organization. “We are a decentralized, integrated business with a lot of autonomy,” he explains. “Since we run projects all the way down to Florida, we depend on multi-line reporting. This empowers people to make decisions in the field so they can remain nimble and respond to needs and opportunities as they arise.” T “Empowering employees in the field allows them to excel. Other new opportunities for employees include a management development program and dual career paths. This rewards employees for doing the work they prefer to do, whether it’s being a project manager or a superintendent.” – Peter MacKenna MacKenna says people are beginning to understand the integration. Like Cavallaro, MacKenna has spoken at a series of town hall meetings to explain the integration and the opportunities for a unified, national player. He also explains the marketplace, the way Skanska USA Civil will participate in new public-private partnerships, and where the money will come from. MacKenna says that it’s key is to deliver the reality on the dream of Skanska. “This dream is to be the No. 1 construction company in the U.S. and to make Skanska the construction company of choice, and the employer of choice,” and he explains that the goal is not just to be No. 1 in revenue, “It’s giving back the maximum return to stakeholders.” He also says it’s important to provide the right environment to employees. “A company is its people and that’s the reason to be both the employer of choice and the reason to be Skanska.” For MacKenna, the Skanska name symbolizes a commitment to quality and integrity. “I’m excited about the change. It’s the beginning of something extraordinary, because the growth of Skanska lies in the U.S. and there are especially great opportunities for growth in all our regions.” ■ CIVIL INTEGRATION Building Baugh INTO SKANSKA In the Pacific Northwest, becoming Skanska meant blending the best of the past with a new realm of possibilities O ver the past three years, Skanska USA Building has transitioned At the heart of a brand from eight independent companies to one organization. All of Seattle’s Vice President of Business Development Tony Stewart says that, these companies had rich traditions of success and strong local cultures. although initially challenging, the Pacific Northwest got ‘on the bus’ One of those was Baugh Construction, who had been operating in headed in the same direction as the rest of the company. According Seattle, Washington and Portland, Oregon for 54 years. And one of the to him, the reason for the successful transition is strong and stable challenges they faced was convincing clients and employees that the leadership. “Almost everyone in Baugh’s senior leadership was a change would not replicate two previous unsuccessful acquisitions of stockholder in the company – people who lived the brand. Most of other local contractors. them are still in leadership positions today and each one has embraced Seattle Area General Manager, Bob Babitsky says, “We personally being part of Skanska.” called our clients. They immediately embraced the idea of integration, The western region is distinctive within Skanska USA Building, but they wanted to make sure they could continue to work with their since it self-performs some of its work. “We enjoy managing labor in project teams, with whom they had developed solid the field – and we do it well,” says Stewart. “Being a builder relationships.” Babitsky adds, “We explained is a part of our office’s identity and heritage, as well as a that local management would remain in place differentiator within our business unit. It’s one way in which and continue making decisions. The upside is we add to the brand.” In fact, the western region does more that we now have more to offer clients, from self-perform work today than when they were Baugh. depth of resources to unified delivery processes As Skanska USA Building became unified, a and operations.” nationwide system of Best Practices was established. Oregon’s Area General Manager, Ross Vroman Several contributions came from the Pacific Northwest, says, “It was a sensitive time economically and, at including a national training program, now known as Skanska, assimilation was happening swiftly and Skanska University. The safety and multi-level Injury-Free broadly. We communicated to employees and clients Environment (IFE) program also has its roots here. Other on a continuing basis to let them know that best practices and procedures, from project delivery to management would remain local, but that we would proposals have been streamlined across the business unit, to benefit from both the global Skanska and the new be more aligned with the Skanska Group. national organization.” For both the Oregon and Seattle offices, there New ways forward was a definite turning point in the re-branding and In addition to the possibilities of exporting talent or streamlining process. Vroman points out, “For know-how out of the region, Stewart sees the possibilities of In the Seattle office, a series of art objects is on Oregon, the turning point was getting our importing other aspects of Skanska. “The Infrastructure display. To show their heritage of close work with people to trust and embrace the integration. Development (ID) business unit is very exciting. People the trades, Skanska asked people from five Because people represent a company’s brand, different trades to create art objects that symbol- want to talk about it and share ideas. It makes us they also represent its stability. In other words, ize their work. This one is made by a carpenter. unique, since no other construction firm can share this our positive, stable attitude is reflected in the marketplace. ” breadth of intellect and services.” Babitsky attended a meeting and saw an organizational chart with a “Although our brand migration has been a journey, the benefits are multitude of different Skanska USA Building business cards and realized clear,” Stewart notes. “At the end of the day, when you step back and look that we were operating as independent silos throughout the country. “I at the brand from a global perspective you start to see that there is a lot knew that it had to be confusing to our clients,” says Babitsky. However, of knowledge and intellect that can be shared on both sides of the pond.” the moment of truth came when a superintendent stated that operations As the Skanska brand continues to gain recognition in the Pacific is “on board and we trust you.” Babitsky says, “To have the buy-in from Northwest, Babitsky says, “I’m proud of our history, but I believe in the field was crucial, and to be truly unified internally, externally, locally, taking the best from the past and combining those values with the best regionally and nationally we needed the support of all of our people.” of what we have today. ” ■ coast to coast PAGE 11 CIVIL INTEGRATION What’s IN A NAME? The E39 highway relied on the combined expertise of Skanska Norway and Skanska Infrastructure Development. Skanska Norway’s Vice President of Operations shares the sometimes difficult but rewarding journey to becoming part of Skanska. THREE YEARS AGO, SELMER SKANSKA BECAME SKANSKA NORWAY. This was a difficult process for many employees since the Selmer name had become synonymous with Norway’s independence — from Sweden. The Selmer name dates back to 1906, one year after Norway cut loose from Swedish rule. During this time Norwegians were eager to maintain their own successful businesses, and Selmer emerged as one of the country’s largest companies. Since then, Selmer has been double-branded and bought and sold many times, but when they changed their name to Skanska it was the first time the company was named anything other than Selmer. As Business Unit President Geir Magne Aarstad puts it, “Since many employees had been with the company practically all their lives, they were quite emotional about the change and told us in plain language how they felt. We had to give them time for grievance, and acceptance.” IN WITH NEW BUSINESS As it turned out, employees were slower to accept the change than clients. When Selmer Skanska performed a survey in 2003, they asked their customers, among other things, what they thought about the PAGE 12 coast to coast upcoming name change. According to Aarstad, almost no one reacted negatively. Although some expressed sadness or nostalgia over the Selmer brand, the most important reason why the name change didn't matter was that “the people will still be the same.” Questions about downsizing were not even entertained, since in a healthy market, Skanska Norway has only increased its number of employees. Furthermore, with the new competence from Skanska ID, they were able to win a major contract. “People quickly saw that by being Skanska, we could take part in more interesting and large-scale projects,” says Aarstad. A NEW DAY While some employees still say they are working in a Swedish company, there is a new generation with a different attitude. They say they work for an international company. And new stories are starting to circulate: stories in which regional managers are communicating with people outside Norway. One example is Moderna Hus, in which Norway is adopting best practices from Sweden in order to build houses. What’s more, local managers want to recruit from other parts of the company and employees want to go abroad. These are real stories being told in the hallways and on the job sites of Skanska Norway, and they show how this business unit has become an integrated part of the international organization. ■ CIVIL INTEGRATION The first steps toward integration? Find the best ways to operate. THEN SHARE THEM. With projects as varied as the American landscape, Skanska USA Civil is developing new standards for its core business procedures to be able to expand operations nationwide. That’s where the Common Processes and Procedures (CPP) Task Force comes in. U .S. market demand, particularly in California, Florida and Texas is expected to grow significantly in the next 20 years. This will bring increased demand for large-scale infrastructure projects, rebuilding and maintenance – a combination that will require improved collaboration and cooperation. Furthermore, 2005’s new federal infrastructure funding act is expanding the possibilities for Public-Private Partnerships (PPP). The Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-LU) will distribute $286 billion for highway funding between 2005-2009. This is a significant increase from the previous allocation, and represents a window of opportunity that will strongly affect the Civil organization. To prepare for this demand, Skanska USA Civil’s numerous companies must be more uniform. With the company’s long-term best interests in mind, the move to a single brand is a logical next step. By leveraging the best of what each Civil company can offer, the group will be able to tackle more large projects – such as an upcoming $700 million toll-road in Texas. WHERE THE CPP COMES IN For the past six months, task force members have been expanding best management practices and how to implement operating systems in order to optimize productivity for this future growth. “Without integration we are at a status quo,” says Stefan Schnitzer who is heading up the integration effort. “To prepare for future growth, we are creating a suite of processes and applications to handle everything from subcontracts to project forecasting and accounting.” “The results of CPP will impact the group differently,” says David Sitton of the Western Region. “Some of the standards being developed will be minor changes to most of the operations. On the other end of the spectrum, we will be changing the Job Cost Code structure with standard codes, subcontract processing and procedures, equipment accounting and maintenance, payroll processing as well as other financial and accounting functions.” Projects and estimating levels within the operating units will be affected in terms of using new codes and processes. System conversions and staff training will be required. General ledger accounts, financial statements and WIP schedules will need to meet the new standards. Converting one of the regions from one financial system to Skanska USA Civil’s standard system (CGC) was also identified by the CPP. “Implementation will present the biggest challenge. Although time-consuming, it is not difficult to design common procedures and practices,” says Jeff Larkin of the Southeast Region. “The challenge is to make the changes make sense so that they will be adopted by the employees who are supposed to use them. Change is often difficult for people and when you are asking employees of successful companies to change their procedures, it is common to encounter resistance.” The new standards will entail consistent project processes and controls, thereby saving money and improving quality. Other changes, such as the move to a single brand name, will strengthen Skanska’s overall presence in the U.S. and aid the second aspect of expansion: recruitment. A strong brand attracts quality candidates. A flexible and dynamic workplace will keep employees engaged and more likely to stay. Common standards will ease cross-boundary transfers and offer further advancement possibilities. People will gain knowledge that is invaluable to the company and at the same time build a sense of unity. This type of solidarity is often noticeable and creates better relationships with clients. “We are creating uniform, world-class standards for all operating units. It will foster seamless coordination and collaboration among our colleagues and enable Skanska to take advantage of the growing U.S. market as well as facilitate future acquisitions,” says Schnitzer. These common processes and procedures will begin taking effect in 2007. Task force members include: Joe Nogues (CFO, West Region), Dan Betancourt (Cost Engineer, Northeast Region), Jeff Larkin (CFO, Southeast Region), Stephen Hughes (CFO, Northeast Region), Dave Sitton (Administrative Manager, West Region), John Saunders (VP, Northeast Region), Peter Franco (CPP Project Manager, Skanska USA Civil), Pat Walsh (Controller, Skanska USA Civil), and Stefan Schnitzer (Integration Project Executive, CPP, Skanska USA Civil). ■ CALL TO CIVIL ACTION: GET INVOLVED Most of the output from USA Civil’s CPP task force will be available on the planned intranet site. There will be a single point of access to process descriptions and necessary forms. The aim is to create access to the various applications through the intranet. The working name for this part of the future intranet is called “Workbench.” Colleagues are invited to come up with an alternate name. Email suggestions are welcome at: [email protected]. The three best proposals, including the winning one, will receive a prize. coast to coast PAGE 13 FOCUS ON Hooked on Construction by the FAMILY BUSINESS JENNIFER AHERN HAS WORKED FOR SKANSKA FOR OVER six years – but her relationship with construction began long before that. Ahern caught the bridge building bug when she was five, when her father started a bridge building company. At age 16, when most girls are going to the movies and shopping malls, Ahern had her sight set on a different path and began working with her father. Ahern continued working for her father’s company until she graduated from West Virginia University with a degree in Civil Engineering. However, working for one’s father requires a thick skin. People are constantly waiting for you to make a mistake. “Deciding to not work for my family’s company was a difficult decision. But being a woman in construction is challenging enough,” says Ahern. “I wanted to prove to my colleagues, and myself, that everything I achieved was based solely on my ability to do my job.” After graduating from college, Ahern interviewed with Marshall Callahan, who has since retired, and Wade Watson, who convinced her that she should come work in Skanska’s main office. She hasn’t regretted the decision once. “I’ve been able to work on amazing projects that most companies can’t even bid on.” “While doing paperwork in the home office was not what I would have picked for my first assignment, it turned out to be an invaluable experience,” she says. “It gave me the opportunity to get to know just about everyone there and you can’t underestimate the importance of knowing who to call when you need help.” In 2001 she went to North Carolina to work on the Smith Creek Parkway, which involved reconstruction of five bridges and roadway work. 18 months later she returned to the home office as an Assistant Project Manager on the Norfolk International Terminal Reconstruction project. When that project was completed in 2005, Ahern moved again, this time to the Bridge of Lions Reconstruction in St. Augustine, Florida, where she is now Project Engineer. PAGE 14 coast to coast In the day-to-day planning for the Bridge of Lions, she gets satisfaction from seeing her plans executed. She also enjoys the historical preservation. “There is a certain amount of pride that comes with working on a project that you know future generations will see and enjoy. People in the community have been supportive and compliment us on the work. We can all be proud that we are giving something back to the community that will be better and safer than it was before.” “At one of the [Young Professionals] meetings the group decided that I had the best job in Saint Augustine. They drive past the bridge everyday and are always asking me for updates. It makes me proud of my job and the company I work for.” Ahern appreciates that the company places a great deal of importance on their employees, their happiness and building great work relationships. “Curly Collier and Tom Fulton clearly have extensive knowledge of building, and I know I will learn a lot from them in the next few years. It’s easy to make things work on paper but when you get to the job you must be able to overcome obstacles and deliver the project on-time and on-budget.” Ahern recounts how, on the Bridge of Lions, the client changed the clearance height of the temporary bridge from 65 to 80 feet, causing the work plans and schedule to be drastically changed. But by working closely with the client, the team was able to meet the challenge and open the bridge on time. For Ahern, the hardest part of the job is being away from her family. “I try not to let more than two months go by without seeing them,” she says. “But I enjoy traveling and seeing other parts of the country.” One day, she hopes to retire in West Virginia, where she is from, but for now, she has settled into life in St. Augustine and joined the Young Professionals of St. Augustine. “At one of the meetings the group decided that I had the best job in Saint Augustine. They drive past the bridge everyday and are always asking me for updates. It makes me proud of my job and the company I work for.” ■ NEW YORK’S SWEDISH AMERICAN CHAMBER OF COMMERCE (SACC) hosted its fifth Executive Women’s Conference at Tavern on the Green in Central Park in early November. The conference brings women together from the United States and Sweden to enhance and grow SACC’s unique network and to reach out to the next generation of executive women. Senior Vice President of Pre-construction at Skanska USA Building Elizabeth J. (Beth) Heider was one of five speakers for a panel topic discussion on “Climbing the Ladder.” Heider spoke of the challenges in her career, but also acknowledged her mentors — four men — who have supported her over the years, including Corporate Senior Vice President of Pre-Construction Bill Flemming. “These last few weeks have been good for me,” Heider says. “First, I was invited to be a speaker at this conference. Secondly, I passed the exam for LEED® accreditation, and third, I was asked to serve on Skanska’s Precon Senior Leadership Team.” FOCUS ON Beth Heider Addresses Swedish-American CHAMBER OF COMMERCE Heider admitted that it took some courage, but she also credited her grandmother and her mother, both of whom were career women, for being influential role models. “My grandmother was an accomplished musician and a successful investor – before and after the Great Depression,” Heider says. “During World War II she worked to support the war effort. My mother studied premed, worked in a test lab, and after my father died, she went to work as a teacher.” Because of strong family support, Heider chose a career that she knew she would be best for her. “My climb has benefited from having a strong base camp, so it was no surprise when I decided to become an architect – a profession dominated by men,” she adds. By contrast, on her first job interviews with an architectural firm, a partner at the firm told Heider that she might consider “taking night courses in interior decorating because it better suits a woman’s capabilities.” Disappointed, but not dissuaded, Heider continued to pursue a career as an architect. Ironically, two years later the same gentleman, who advised her to pursue interior decorating, presented Heider with the Alice Lehman Sunday Prize – a prize the Virginia Society of the American Institute of Architects (AIA) bequeaths to honor young architects. Heider laughs, “Funny, he didn’t seem to recall having met me before. For me, it was a lesson about desire – desire to go after the career I really wanted and knew I could do.” Heider then told her story about being hired by Skanska. She says, “I was pretty happy with my current job, but had nothing to lose and was intrigued by the opportunity to work with a big organization – at higher stakes. I left a place where I was really comfortable and shortly after I took the position with Skanska, I was a little overwhelmed. So don’t be surprised if you encounter a little altitude sickness as you climb the ladder.” A role model for Skanska as well as for women, Heider is a success story. She presents to various organizations around the country on the cost and benefits of sustainable construction. She also chairs Skanska’s Green Council and encourages Skanska USA Building pre-construction and construction resources nationwide to build in an environmentally responsible way. Heider concluded by thanking Flemming. She says, “It’s great when you work for someone who has absolute faith in the organization. It’s even better when you are given the opportunity to move beyond work as a vocation to pursuing issues you regard as a mission.” During the conference, other presentations and panels were given on mentoring, turning obstacles into advantages and keeping a healthy balance between work and family life. The event was followed by a reception at the Residence of the Consul General of Sweden, Ambassador Ulf Hjertonsson. ■ coast to coast PAGE 15 FOCUS ON An Engineer in the DEVELOPER’S SEAT What does construction have to do with Public-Private Partnership (PPP)? For William DuVall, the answer is ‘everything’. As a new Program Director for Skanska Infrastructure Development – North America, DuVall is taking his 35 years of experience from different construction companies and applying it to the development of new PPP projects. Most recently he worked for Jacobs Civil Inc., and spent 11 years in the Army Corps of Engineers, with postings as far apart as Thailand, Alaska, D.C., and Saudi Arabia. He also holds engineering degrees from West Point and MIT as well as an MBA from Long Island University that he completed while teaching engineering at West Point. Why did you choose to come and work for Skanska? I saw it as an exciting opportunity to work for a leading, international company that also happens to be one of the world’s largest contractors and a strong developer of PPP projects. What do you consider to be the biggest challenge of your new position? Developing projects at an earlier stage than I’m used to. Could you specify what your role as PPP developer will entail? As the PPP developer, Skanska Infrastructure Development (ID) takes a lead role in financing, design-build, and operation and maintenance of the facility, such as a toll road. ID will sign a contract with the public client and then create a Special Purpose Company to execute and implement all of the work necessary to complete and operate the facility. ID can team up with other financial entities to invest in such projects, given there is a long-term concession that generates toll revenue and therefore a profit stream. We issue subcontracts (generally) to a design-build consortium, including a Skanska construction unit, and may self-perform or subcontract for operations and maintenance functions. In the end, a long-term, sustainable and profitable investment for Skanska is the result. What projects are you working on right now? Currently, we are one of three bidders for a $2 billion green field toll road project, and we plan to pursue an upcoming procurement of a major city tunnel project — both located in the Commonwealth of Virginia. PAGE 16 coast to coast How are these projects similar to those you’ve worked on in the past? They are very large, complex civil infrastructure projects requiring a design/build approach. And they are all related to transportation, either for highway, rail, transit, bridge, tunnel or airports. How do you see your role in facilitating relationships between ID and Skanska USA Civil or Building? ID will always ensure that Civil or Building is included in the design-build consortium. As the developer, ID coordinates closely with the other Skanska business unit to assure effective partnership and bid success for the team. Working with the Skanska USA business units is a competitive advantage for us, given their prominence in the U.S. market and their reputation among our government clients. ■ AWARDS Skanska Recognized as “GENERAL CONTRACTOR OF THE YEAR” S kanska USA Building was recently named “General Contractor of the Year” by the Hispanic Contractors Association of Georgia (HCAG) during the first annual “Compadres de la Construcción” (Friends of Construction) banquet held in Duluth, Georgia. HCAG’s mission is to raise the quality of life of the Hispanic construction community in Georgia through educational programs and by providing resources needed in this segment of the population. When handing out the award, HCAG highlighted the mentoring work performed by Skanska associates with Hispanic subcontractor, The World of Masonry, during the construction of the DeKalb County Juvenile Courthouse project. Skanska offered advice to the Peachtree City-based company on scheduling and estimating techniques for stronger, more consistent project planning. “This is a wonderful recognition of the hard work and commitment of our associates with Georgia’s Hispanic construction community,” says John Reyhan, Skanska’s Executive Vice President. “The award is a prime example of Skanska’s belief that a world of diversity creates a culture of inclusion.” – John Reyhan “Unlike many general contractors out there, Skanska cared about our business and did everything possible to help us succeed at the Juvenile Courthouse site and improve our business practices,” says The World of Masonry’s President, Martin Gonzalez. “It has been a great learning experience.” HCGA board member, Reyhan assisted in the planning and implementation of the organization’s local goals and continues to ensure that Skanska is fully engaged to lend its resources to the benefit of the organization in 2007 and beyond. ■ coast to coast PAGE 17 Skanska USA Business Units and Offices Skanska is one of the largest construction service companies in the U.S. with business from coast to coast. Skanska USA Building 1. Skanska USA Building Headquarters Parsippany, New Jersey 2. Atlanta, Georgia 3. Beaverton, Oregon 4. Blue Bell, Pennsylvania 5. Boston, Massachusetts 9. Grand Rapids, Michigan 18. Durham, North Carolina 10. Houston, Texas 19. Rockville, Maryland 11. Jacksonville, Florida 12. Kalamazoo, Michigan 13. Milford, Connecticut 14. Nashville, Tennessee 6. Charlotte, North Carolina 15. New York, New York 7. Temple, Texas 16. Oakland, California 8. Fort Lauderdale, Florida 17. Orlando, Florida PAGE 18 coast to coast Skanska Infrastructure Development Skanska USA Civil 24. Skanska USA Civil Headquarters & Northeast Region & Large Projects Group Whitestone, New York 20. San Juan, Puerto Rico 21. Seattle, Washington 22. Southfield, Michigan 23. Tampa, Florida 25. Atlanta District (Southeast Region) Atlanta, Georgia 26. Bayshore Concrete Cape Charles, Virginia 27. Skanska Mechanical & Structural (Northeast Region) Valley Stream, New York 28. Skanska Koch Carteret, New Jersey 29. Rocky Mountain District (West Region) Cortez, Colorado 30. Southeast Region Virginia Beach, Virginia 31. Underpinning & Foundation Skanska (Northeast Region) Maspeth, New York 32. California District (West Region) Riverside, California 33. Skanska Infrastructure Development Headquarters Alexandria, Virginia 34. Dallas, Texas 35. Fort Lauderdale, Florida “For Duke, we worked around the clock... Lives were depending on us.” Rodney Holland, General Superintendent, Skanska in North Carolina The Duke Emergency Department is a fast-paced Level One Trauma Center treating up to 200 patients a day — with at least 50 arriving via helicopter or ambulance. Putting patients first, Duke counted on Skanska to complete renovations to the Emergency Department around ambulance routes, flight paths, pedestrian and automotive traffic. We partnered with the local police and fire departments as well as Duke Hospital Operations to ensure that the Emergency Department remained fully functional day and night. We got the job done through teamwork, trust and integrity — the Skanska way. www.skanska.com “Where some see a road, we see a partnership.” Karl Reichelt, Executive Vice President, Skanska Infrastructure Development, North America Public Private Partnerships (P3) are transforming the way our nation procures highways, schools and hospitals. In this changing environment, Skanska Infrastructure Development brings unique experience from some of the world’s most challenging P3 developments. Skanska ID is all about partnership. By bringing together stakeholders ranging from state officials to infrastructure users, we integrate different needs and perspectives. As a result, we’re able to deliver much needed social facilities that enhance the quality of people’s everyday lives. “The Skanska team is unique in its ability to develop, finance, construct, maintain and operate sustainable infrastructure,” says Reichelt. “We are about complete integration and long term commitment to partnership. Our proven track record and socially responsible approach speak for themselves.” www.skanska.com