DHR Construction was managed by Richard Davis, operat- ing manager and senior partner. Homes were built on-demand to customer specifications. Richard Davis was in charge of the financial management of the firm including working with suppli- ers, creditors, and subcontractors (obtaining bids and construc- tion loans). Davis and Richard Hodgetts, the general partner, met on a weekly basis and communicated through phone calls and e-mail. The role of project foreman was delegated to either one of their subcontractors or a hired employee and, in the worst-case scenario, filled by a reluctant Hodgetts (who had a full-time job outside of the business and had minimal free time).

DHR earned a reputation for honesty, promptness in paying bills, and professionalismrare commodities for a small home builder in the area. However, DHR was also very demanding of suppliersif you promised a job was going to be completed or supplies were going to be delivered by a certain date and you did not meet the deadline, you were going to hear from the firm. Repeated miscues would result in not being asked to bid on future projects.

Enter James Kennison

James Kennison was a successful corporate executive who was good with his hands; his main hobby and passion was working on his home. His mild-mannered, laid-back approach to life was perfect for the professional environment of his former firm, Micro- Tech, a business that produced specialized electronic parts and gauges. Kennison left the corporate world when he became eco- nomically self-sufficient in order to simplify his life, reconnect with nature, and become, as he called it, self-actualized.

In order to keep busy, Kennison decided that he would put his pas- sion for building to good use and hire himself out as an indepen- dent handyman/subcontractor. His aptitude, acumen, and even- tempered style made it very easy for Kennison to fit into any work crew that would hire him. After a few jobs, Kennison decided to work on his own and hired himself out as a finisher on home con- struction projects. It was in that capacity that Kennison was origi- nally hired by Davis and Hodgetts to work as a subcontractor on the homes in their Mountain Trails project. Kennisons wit, charm, and polished demeanor sat well with Davis and Hodgetts, and he became a fixture at their weekly business meetings.

It was not surprising, then, that Davis and Hodgetts approached Kennison about taking over the position of contractor/foreman when a sudden vacancy occurred. Kennison had a plethora of experience, had a real head for business, and was respected by the other subcontractors as a fellow artisan, one who knew the work and was not afraid to get dirty doing it.

Although Kennison seemed open and honest in his dealings with Davis (with Kennison consistently indicating that all was going well), it didnt take more than a month before Davis realized

that all was not going as planned. Daviss Gantt chart indicated that several homes were falling behind schedule with one of the homes failing inspection.

Evaluative Appraisal Interview: Cracks in the Drywall?

Davis and Hodgetts talked about the situation at some length and decided that both of them needed to talk with Kennison at the next dinner meeting and find out exactly what was happening at the job site since Kennison hadnt commented on work delays or problems with the inspectors. At the meeting, Davis reiterated with Kennison what he thought were the job responsibilities, the impor- tant tasks to be accomplished, and the need to have open and candid communications between them. Kennison admitted that getting subcontractors to show up as scheduled was starting to become a problem and that he thought that the construction inspections would be quickly dealt with. He apologized for the delays and said that he would keep in better contact with Davis and let him know exactly what was happening, especially if there were any new problems. Davis reminded Kennison that he needed to keep a close watch on the subcontractors since they had a tendency to work for multiple builders simultaneously and therefore would jump from job to job. Kennison assured Davis and Hodgetts that he would manage the situation and that things would improve.

The talk with Kennison seemed to get things back on track. Kennison provided Davis with a list of the subcontractors to invite to their dinner meetings. When the issue was raised with these subcontractors about work scheduling, the subcontractors prom- ised to do the best they could to perform the work as required. The next few days saw a flurry of activity at the work site as the subcon- tractors, guided by Kennison, tried to catch up with the construc- tion schedule. The next inspection came off without a hitch.

Heres to the New Boss, Same as the Old Boss

After a few days, the subcontractors were back to their old rou- tine of not showing up at the work site when planned. After a few weeks went by, Kennison tried to cover for the work not being done by the subcontractors but to no avail. The situation dete- riorated when one of the home purchasers, who visited the work site, reported to Davis that their home was way behind schedule. After a quick talk with Kennison, several of the subcontractors had to be fired by Davis because they continued to not show up when scheduled without notification. Worse, now other subcon- tractor]s (e.g., painters) were quitting because the homes were not ready to work on.

Questions

1. What appraisal method best describes how Davis and Hodgetts evaluated Kennisons work?

Given your answer to Question 1, why do you believe that this method of appraisal did not produce long-lasting results in Kennisons ability to manage the subcontractors?