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Customer contacting Subs 1

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ChadInColo

Mechanical
May 13, 2003
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I am program manager on on rather large ($23 million) program that is just getting off the ground. We are building first article right now, getting a little bit behind schedule. There are a number of reasons for that, some ours, some out of our control. My customer is overseeing many other subs on the program, every one has the same issues we do, so we aren't unique.

My problem is this, it has come to my attention that my customer has been contacting my subs asking status on this or that, talking about problems on drawings. I probably wouldn't worry about it as much if they talked to me first, but I just found out about it in casual conversation with my subs. What is everyone's thinking on here? I would think that would not be considered an acceptable thing to do, but want some opinions from the people on here who have much more experience with this. Thanks
 
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You need to have a long talk with your customer about your role on the project and his expectations. If he expects you to be responsible for the performance, cost/schedule/quality, of these subs then he need to keep away. Otherwise you have the responsibility for not only the subs but the choices that the customer makes, in which case you cannot win.
 
I work in civil construction, and having owners talk directly to your subs is a really bad idea that can do far more harm than good. Hopefully your contract dicusses this. There are ocassions where on very isolated issues it may make sense for the sub to converse directly with an owner but you should either be at the conversation, or be given a copy of the conversation. You should explain to your owner that he has hired you to control and direct the subs and that you can't do that if he is communicating directly with them and that life will be easier for everyone if he talks to you and you get the sub's response. You then also need to explain to the sub that you are paying him, not the owner and he should report to you. Be firm and insist that he defer any request from the owner and ask him to talk to you. The danger here is that the owner will start undocumented changes with the subs that may have a greater impact on the work than the sub will realize . This could significantly impact your project where you are asking the owner for more time and money for changes the sub has told the owner are no big deal,because to him they are not, yet the change has impacts beyond his work.
 
At the very minimum, your customer is costing your sub time and therefore costing you time. You should at least have your subs itemize the added scope of dealing with your customer and send him the bill. Either he pays or don't accept any more work from him in the future.

His talking to subs suggests that he either does not trust you or you are not adequately communicating the status, so all of this may be a problem at your end.

TTFN
 
first off there is a legal definition called "privity" in contract, look it up or have you legal department fill you in carefully.

in a nutshell, it says that you have a contract with your subs and they must honor the privelages and legalities of such contracts and should not allow anyone into the contract process or particulars.

now, read your contract with your customer, does it have a right of access clause in it, that you accepted?

i have found that when the "owner" (your customer) has this clause in their contract documents (that you have accepted) you need to set out ground rules for both sides.

however, it requires a special talent to carry off such an exercise. i know, because i have coordinated millions of $ in contracts with right of access to any level of subs.

anyway, you must have a good line of communications with the owner and work together in coming to a successful completion of the contract. do not let this ruin your project or the relationships between you, your customer and/or your subs. sometimes, "owners" just aren't familiar with the privity issue and once you clue them in to it things usually get better, if expalined the proper way.

hope this helps, i know what you are going thru.
 
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