31 October, 2024

Construction Secrets Schools Can Steal from Retail

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Target. Buc-ee’s. Costco.
These companies build hundreds of projects across the country — over and over again, on time and on budget.

Most school districts? They might build one major project every decade.

It’s not because schools are harder to build. It’s because retailers build enough that they become experts at it. They learn the traps, they set the rules, and they hold vendors accountable.

Districts, on the other hand, don’t build often enough to become experts. And that’s not their fault — they’re educators, not builders. But when the bond money is on the line, the vendors know how to play the game better than the people writing the checks.

Here’s what big-box retailers know about controlling construction costs — and why having someone on your side who knows these plays makes all the difference.

1 They Don’t Rely on the Contractor to Manage Their Money

Retailers never ask the person swinging the hammer to also guard the bank account. They hire independent cost control teams whose only job is to challenge bids, verify scopes, and track spend.

Compare that to most districts, where the general contractor is often the one “keeping an eye” on the budget — while also profiting from change orders.

Lesson for districts:
You need someone on your team whose job is to protect the budget — not spend it.

2 They Pressure-Test Plans Early and Often

Retailers don’t wait until the bids come back to find out where the problems are. They pressure-test the plans, scrub the scope, and cost out big-ticket items before they finalize design.

That way, they catch issues when they’re still cheap to fix — not after construction starts.

Lesson for districts:
Bring in experienced eyes early. Once the money has left, it's hard to get it back.

3 They Set the Rules (and Enforce Them)

Private-sector builders control the process. They set the terms on bids, change orders, and accountability — and vendors either play by those rules or they don’t get the job.

In too many public projects, the rules are vague (or missing entirely), and change orders become the wild west.

Lesson for districts:
Don’t hope vendors will play fair. Make it policy. Enforce it.

4 They Don’t Just Take the Low Bid

Retailers don’t pick vendors by price alone. They look at performance, past project delivery, and change order history.

They know that a low bid on paper can easily become the most expensive option by the end.

Lesson for districts:
Prequalify your bidders. Check their record. Cheap isn’t always cheap.

5 They Watch Every Dollar, Every Step of the Way

Retailers track every line item from preconstruction through closeout. They don’t wait until the end to figure out where the money went.

Most districts? They get the pay apps and hope the math is right.

Lesson for districts:
Active cost control beats postmortem accounting every time.

Final Thought: You Don’t Have to Build Every Year — You Just Need Someone Who Does

Retailers have the advantage because they build enough to become experts. Most school districts don’t get that chance.

But you can still level the playing field — by bringing someone onto your team who’s seen the plays, knows the traps, and knows how to keep your project (and your budget) on track.

If you’d like to see how we help districts do exactly that, reach out here.

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Co-Founder

Sam Bernard

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