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Executives are looking 'up' to find savings for their bottom lines
By Robert W. Lyons, FRCI
In this day of troubled economies, corporate downsizing, and drive for bottom-line profitability, corporate executives are looking anywhere they can to find synergies, efficiencies, and areas where they can reduce expenses. And that search now includes the roof, where money can be found through proactive roof maintenance programs.
An often-overlooked opportunity to significantly save money (or to contribute to corporate profits) is in the area of corporate facilities maintenance and management. Taking proper care of the company's assets is the business of skilled and savvy middle management, often known as FM's or Facility Managers. They can also be known as Facility Engineers, Corporate Maintenance Managers, Construction & Maintenance Managers, Property Managers and a number of other speciality titles. Different as their titles may be, they all share common problems.
The perception of their superiors (who may not have first-hand experience with all the specific areas of responsibility for FM) is that they are always firefighting and asking for more money, more staff, and more programs. Often, there is a division placed between these two groups of corporate managers (Executives and FM's), and the groups are categorized as, Money-Makers (Corporate Executives), and the groups are categorized as, Money-Makers (Corporate Executives), and Profit-Spenders (FM's). What theses groups fail to realize is that facility management and maintenance does not have to fall into the Profit-Spender category as a necessary evil.
The fact is that buildings do not get better with age. We have all learned that in order to get the maximum service life and utilization out of our hard assets within our companies, we need to perform regular and routine maintenance on them.
We have learned these lessons well in our personal lives with our homes, cars, appliances, lawnmowers, etc. These items last longer and perform better with routine maintenance and care.
We have also learned the economic benefits of spending money to make money. Think of the comparison between the $19.95 oil changes in our cars versus the $1,995.00 upper engine block replacement because we did not do the routine oil changes. Just as the famed TQM expert Deming preached that "Quality is Free," experienced and disciplined Facility Managers have learned that it is always cheaper to repair and maintain almost anything in a building that it is to rebuild or replace it.
The fifth wall
On industrial, commercial, and institutional buildings the roof serves as the fifth wall of the building. These roofs on large profile buildings are typically flat (low-sloped) roofing systems that are exposed to the harshest elements. Extreme heat and cold, extreme UV, heavy rains and winds, chemical spillages, and rooftop traffic are the most common attacks that a roof must withstand on a regular basis. These roofing systems must be 100% effective in order to keep water out of buildings.
On a 100,000 square foot roof, 99.999% perfection would still leave the potential for one square foot of total roof area to be defective.
Let's imagine that one square foot of defective roofing is divided up in 144 square inches, and each of these square inches was spread out over the entire roof. The result is 144 leaks, with a one-inch square hole or split at each leak location. This scenario could create a catastrophic condition in most buildings, and in a heavy rain, could result in significant damage to the building interior and contents. This damage can result in many types of consequential damages, such as:
- Roof insulation and deck damage
- Interior ceiling tile, walls and floors
- Interior furnishings and fixtures
- Interior office equipment
- Finished goods and inventory
- Electrical systems
- Air Quality
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Notes:
- Based on 100,000 square foot roof area on typical commercial building.
- Based on initial roof cost @ $2.50/sf.
- In deferred maintenance scenario, roof is replaced at 10 yr. intervals.
- In proactive plan, same roof is put under and Annual Maintenance Service plan for all 20 years. (Compliance then Preferred the Ultimate as roof ages)
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The Hidden Costs of a Roof Leak
Interior roof leaking can also result in other expenses and legal exposure to your company that can be at least as costly (if not more) than any of the areas previously mentioned.
- Downtime of production areas—lost revenues
- Lost use of space—lost revenues
- Tenant complaints, lost use of income, lawsuits
- Slip and fall accidents and legal claims
- Mold and mildew problems resulting in air quality issues and clean-up expenses
- Employee moral and productivity issues
- Regular and overtime labor expenses for clean-up and repair work resulting from roof leaks
The problem in most companies is that they do not track these consequential damage items as being roofing related expenses. However, close examination of the origin of these costs is likely to reveal that they were incurred as a direct result of a faulty roofing system.
In the typical roofing portfolio of most companies, the costs of these consequential damages can represent a significantly larger dollar amount than the annualized budgeted roof maintenance work that was originally needed, but not performed. To sum it up, companies are reactive, not proactive when it comes to roofing needs.
Deferred maintenance
Most American businesses have adopted a strategy of deferred building maintenance rather than a proactive maintenance approach. While this approach can definitely reduce short-term maintenance budgets, it almost always translates into increased maintenance and capital expense budgets for roofing failures due to neglect. In essence, companies can "pay now or pay later" when it comes to their roofs.
The interesting comparison is that with deferred roof maintenance, companies will always pay more than they would if they scheduled regular roof maintenance into their facility maintenance/management budgets. This represents a paradigm shift away from Band-Aid fixes toward long-term care and maintenance to maximize the sustainable life of the roof.
Consider Figure 1, which helps to demonstrate and differentiate the two optional approaches to be considered: Should we have a PROACTIVE roof maintenance and management approach? Or should we continue with our DEFERRED maintenance approach?
Clearly, without considering any of the costs associated with the consequential damages or legal liabilities issues presented earlier, adopting a proactive roof maintenance and management program will allow most companies to save significant bottom-line dollars on an annual basis. And executives used to think that roofs couldn't make their companies any money.
RSI
Bob Lyons is principal of Lyons / Waldron Consulting Group, LLC, and has served in the roofing industry for almost 30 years. He is the cofounder and 1st Two-Term President of the Roof Consultants Institute (RCI). Bob is the recipient of the distinguished first Fellow of the Institute award. He has been a faculty member of the Roofing Industry Educational Institute (RIEI) for more than 15 years. Email him at lyonsrobertw@aol.com.
Key Terms
Life-cycle Cost Method, n– a technique of economic evaluation that sums over a given period the costs of initial investment (less resale value), replacements, operations (including energy use), and maintenance and repair of an investment decision expressed in annual or value terms.
Present Value, n– the value of a benefit or cost found by discounting future cash flows to the basic time. The Present Value Factor is used to convert future values (benefits and costs) to present values. The Future Value is the benefit or cost at some point in the future, considering the time value of money.
Annual Value, n– a uniform annual amount equivalent to the project costs or benefits, taking into account the time value of money throughout the study period. |
Investment Cost, n– first cost and later expenditures, which have a substantial and enduring value (generally more than one year) for upgrading, expanding or changing the functional use of building or sub-system like a roof.
Capital Assets, n– a piece of equipment, machinery (or roof) that must be depreciated and meets the following requirements: used in business or held to produce income; expected to last more than one year; something that wears out.
Recovery Period, n– the number of years over which the basis (cost) of an item or property is retired.
Class Life, n– the number of years that establishes that property class and recovery period. |
By Michael Russo, RSI Associate Publisher & Editor
Looking for a maintenance-free roof for your new building? Well, good luck, because you won't find one.
Despite the greatest efforts of today's roofing technologists, there is still no such thing as a 20-year, maintenance-free roof. Sure, there are some roofing systems that come close, but there are always trade-offs, usually in the form of initial cost or installation hassles. Plus, even the toughest roof systems need to have their drains or gutters cleaned out every once in a while.
That's why conducting life-cycle cost studies—and having a general knowledge of roofing systems—is so important before making a new or reroofing decision. In general, the property use will define the type of roofing system that's best for your building, along with the roofing contractor's and/or roof consultant's recommendations.
While the choice of roofing system is important, the selection of the roofing contractor is critical to the success of any new or reroofing project. Roofing contractor skills and experience vary widely.
These days, most manufacturers certify their contractors, but some even offer different levels of certification. For example, GAF offers it Master Select roofing contractor program. These applicators can offer owners services and benefits that are only available to the top tier of GAF's contractor base. In fact, these installers represent less than 3% of all roofing contractors in the U.S. It's an exclusive group that requires high standards in workmanship and financial strength, and it offers greater security to building owners looking for quality installations.
GAF Master and Master Select contractors offer benefits that 95 out of 100 contractors can't provide. These enhancements include:
- Available guarantee extensions of up to 10 years after the original warranty has expired.
- Steep/flat warranty coverages that include both labor and materials.
- Problem prevention inspections by quality assurance representatives.
- Available 32-year labor and materials warranties.
- Incentives for scheduled maintenance that extend the warranted life of the roof.
- Exclusive coverage where leaks are most likely to occur that are custom-fit to your roof.
You can find a GAF Master Select contractor at www.gaf.com.
Top 10 Restoration problems and solutions |
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Problem |
Solution |
| Improper substrate preparation |
Clean thoroughly |
| Flashing fabric not imbedded |
Cut, flatten, add fabric |
| Loose fasteners |
Tighten; replace stripped fasteners |
| Leaking details |
Properly re-flash all details |
| Improper coating application |
Apply to specified thickness |
| Restoring roof beyond repair |
Restore only "sound" roofs |
| Coating over wet substrates |
Surface scan potentially wet areas |
| Applying coatings over hot substrates |
Apply between 40-120 degrees F |
| Applying coatings to cold substrates |
Do not apply below 40 degrees F |
| Repairing EPDM seams with fabric |
Repair with EPDM overlays |
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(All charts are courtesy of The Center for the Advancement of Roofing Excellence (CARE))
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How roofing products perform
We've all seen or read about the copper-clad steep roofs that have waterproofed historic landmarks in the U.S. and Europe for centuries. But few building owners would opt for such a material on an office, high-rise or manufacturing facility, unless used sparingly for a dome, tower or portico.
Those copper roofs of old had other intrinsic advantages, such as steep slopes and no roof traffic. Institutional building owners of the time also didn't have to worry about rooftop equipment.
On paper, contemporary standing seam and metal panel systems offer many of the same aesthetic and performance benefits as hand-formed copper. Although relatively expensive per square foot, metal roofing can fare well in life-cycle costing analyses. It can also be a great recover option that adds slop and drama to an existing flat roof. Installation tolerances are tight, however, and a quality coating is key for long-term corrosion protection.
Recently, a number of roof consultants have reported problems with inferior materials being used in place of more expensive products originally specified for metal roofing projects. This has created havoc with roof detailing and premature failures. So be sure you are working with a knowledgeable roofing contractor or roof consultant before considering metal roofing.
Timeless slate roofing has been the clear winner in any steep-slope Strong Man contest. The key to slate's long-term performance was the use of durable lead or copper flashings. Even the nails used on these roofs were brass or copper. The underlayments were at least 30# and of greater quality than those available today.
But cost, weight and difficulty in finding qualified installers are challenges for slate. Stone-coated metal shingles and super-heavyweight asphalt products are also viable options for steep slope projects.
Top 10 Asphalt Shingle problems and solutions |
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Problem |
Solution |
| Decking spaced improperly |
Contractor checks deck |
| Installing over rotted plywood |
Repair/remove rotted plywood |
| Installing over buckled underlayment |
Repair/remove underlayment |
| Underlayment not installed under drip edge |
Install underlayment, the drip edges |
| No leak barrier in valleys |
Install leak barrier for all systems |
| Valley shingles not clipped and sealed |
Seal every shingle to metal or shingle beneath |
| Improper step flashing |
Install step flashing for every shingle |
No sealant at starter strip;
doesn't overhang 1/8" |
Cut starters to align sealant at the edge |
| Improper ventilation |
Install ridge and soffit vents to FHA min. |
| Improper nailing |
Nail in location recommended by supplier |
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Top 10 Torch-Applied problems and solutions |
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Problem |
Solution |
| Fire safety |
Train installers, use extinguishers, infrared scans |
| Over, under torching |
Perform inspections, ensure proper bleed-out |
| Dry laps |
Roll in laps |
| Voids |
Relax sheets, avoid phasing |
| Improper flashing |
Prime metals, ensure proper adhesion |
| Backwater laps |
Start at low point of roof; install shingle fashion |
| Poor base sheet attachment |
Relax sheets, increase fasteners at corners |
| Improper material preparation |
Store materials properly; protect roll ends |
| Inadequate head laps |
Follow manufacturers' specs |
| Lack of moisture barrier (coping) |
Use 2nd barrier, slope coping cap |
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The hot stuff
Almost 20 years ago, a roofing manufacturer gave out pin-on buttons to the press that proclaimed: "Built-up roofing works." That statement is still true today, according to RSI's commercial roofing contractor surveys. From 1978—when RSI first began collecting data—to the present, contractors report the fewest callbacks and failures with built-up roofing.
"I have some built-up roofs that are approaching 20 years old," said Harry Bruton of Bruton-Gomez, Corpus-Christi, TX. "In my experience, I've never had a product failure, even under our severe heat and frequent high winds."
"Built-up roofing holds up much better in high traffic industrial environments than other systems," adds Malcolm Nunn. Jr. of Roof Systems of Virginia, Richmond.
Another powerful recommendation comes from Larry Scroggins of Hankins Roofing, Kansa City, MO: "Four-ply, gravel-surfaced, BUR offers our clients the best return on their investment on a cost per-year-of-service basis. BUR is repairable in later years, and it gives plenty of warning to the building owner before it goes out. Owners have time to budget repair or reroofing costs and nurse the roof through until they've got the money."
BUR continues to be one of the most repairable, maintainable roofing systems around. But it has also lost market share to single-ply roofing systems. The potential installation hazards of hot roofing, along with visions of foul-smelling asphalt and coal tar pitch, have not helped BUR's image. Compare that to installing a clean, cool single-ply membrane, and it's clear why some roofing crews prefer applying light-colored flexible membrane systems.
Ambient-applied coal tar and modified bitumen products are helping this segment survive, but these new systems don't have the long track record of traditional BUR. In general, labor and material costs for built-up and hot-applied modified bitumen tend to be higher, and fluctuating asphalt prices don't help. But BUR costs out well over the long-term, and many large industrial owners swear by the product.
Top 10 Hot Bituminous problems and solutions |
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Problem |
Solution |
| Temperature control of asphalt |
Use infrared thermometers |
| Mopping practices |
Follow specs; ensure equipment is okay |
| Poor interply integrity |
No foot traffic; don't install too hot |
| Improper flashing |
Ensure proper height, length of flashing |
| Dry laps |
Broom felts |
| Inaccurate head laps |
Check ply lines; use chalk lines |
| Fire safety |
Check thermometers on kettles |
| Poor base sheet attachment |
Relax sheets; conduct pull-out tests |
| Gravel embedment |
Don't overheat asphalt; embed gravel quickly |
| Lack of coping moisture barrier |
Ensure blocking and cap attached properly |
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Top Single-Ply problems and solutions |
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Problem |
Solution |
| Poor, inconsistent weld |
Conduct test welds; probe all seams |
| Seam voids |
Don't start and stop welding excessively |
| Fastener placement |
Adjust screw gun clutch setting |
| Fasteners too long, short |
Ensure fastener engages deck, in top flange |
| Unadhered membrane |
Use correct adhesives at right rate and temp. |
| Unadhered base flashing |
Use initial priming, 2nd adhesive application |
| Contaminated roof substrate |
Use broom or blower prior to installation |
| Flashing displacement |
Follow fastener placement guidelines |
| Abuse of installed roof |
Protect membrane; use job sequencing |
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"As long as the cost of maintenance is less than 1.6% of the initial cost of the project, the cost of the maintained roof—on an annual basis—will be less than the un-maintained roof."
Peter Kalinger
Technical Director,
Canadian Roofing Contractors Association. |
Single-ply innovations
Today, efforts by SPRI and the American Society for Testing and Materials have brought the industry numerous material and performance standards and technical documents on single-ply roofing. A visit to www.spri.org is well worth the building owner's time, as some of the most valuable documents are now downloadable in PDF format.
While not as sophisticated as today's systems, the early 45-mil, unreinforced, ballasted EPDM membrane systems offered owners tremendous value, even if they lasted only 10-15 years. Today, manufacturers are offering tougher, 80 mil-plus fleece-backed membranes and a variety of installation options designed to reduce labor costs.
Nevertheless, thermoplastic, heat-weldable membranes like PVC and TPO have eaten into EPDM's market share as of late.
Single-ply systems are arguably less maintainable than asphalt-based membranes, and the thinner sheets are more prone to damage. Multi-ply BURs and modifieds offer redundancy against leaks and puncture, while one open single-ply seam can cause havoc for the owner. Still, single-ply systems are among the most economical, energy efficient options around. And, if caught in time, they can be repaired, recoated and restored, with five or 10 (warranted) years of life added to the system.
The subject of maintaining roofs to keep them reflective is a newer issue that will need to be addressed. Will building owners actually spend the time and money to power wash their roofs every three years? From a practical perspective, we think not, lest the yearly energy savings of a white roof are eclipsed by maintenance costs. Perhaps the best solution is to design more slope into the roof system in the first place to reduce dirt accumulation.
Also, building owners today have a much greater investment in thermal insulation. Roofs that once had barely an inch of wood fiber are now sporting R-values 10 times as high. This makes the economic consequences of roof leaks that much greater. When one considers the liability issues associated with mold and mildew, the need for roof maintenance is stronger than ever before.
No, there's no such thing as a maintenance-free roof, or a roof that will work for every building. Be wary of suppliers pushing "single solutions" to all you roofing problems, but pay close attention to those offering "good-better-best" menu options for their roofing systems.
A reroof or tear-off can be a painful process, and it's tempting to forget about the new roof once it's finally installed. but if your company plans on keeping the building, keep that pain fresh in your mind, because you'll be feeling it again if you don't maintain your new roof.
RSI |