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									Marketing Plan May 2007
Executive Summary
Within the Northwest Pennsylvania region, seventeen individual building
trade/construction labor unions have formed the Great Lakes Building Trades
Industry Partnership. This consortium has worked together to address specific
goals and objectives specifically related to the group’s marketing effort. The
current goals of the Great Lakes Building Trades include the following:

1. Increase the market share of union labor utilized in regional construction
   projects.
       A. Develop an internal lead generation and sales process to research,
           target, and sell more work hours on regional construction projects.
       B. Develop relationships with contractors to understand their specific
            project management and labor needs.
       C. Develop relationships with architects to understand their specific
           project management and labor needs.
       D. Develop relationships with end users to understand their specific
           project management and labor needs.

2. Continue to improve and differentiate the union labor “product”
      A. Continue to upgrade the skills of the workforce through available
          training.
      B. Identify methods to improved project specific scheduling and labor
         management.
      C. Develop performance standards within each trade with consistency
         across trades.

3. Communicate the “overall value” of utilizing union labor on construction
   projects
       A. Create a “local portfolio of work” by identifying and calculating the
           “overall long term benefit” of utilizing union labor.
       B. Develop a Great Lakes Building Trades website the provides
          information on the trades, the local/regional portfolio of work and how
          to access services.
       C. Communicate the “differentiators” of union labor in print and other
          collateral materials.
       D. Implement a public relations/communications process to highlight the
          benefits of union labor on specific projects.

The Great Lakes Building Trades have identified several “features” of their
services that help distinguish their labor from the competition. These “features”
include the following:



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Marketing Plan May 2007
   Better Training
   Dependability – workers show up on time & ready to work & have tools
   Workers get the job done on time
   Higher Skill Level
   On the Job Experience
   Manpower – can staff large, complex projects or small projects
   Conscientious/caring
   Provide employees with a higher wage & benefits (show them what they
      are paying for - you are taking care of personnel)
   Most products used by labor are made in the states
   Professionalism
   Have the ability to upgrade training
   We live in the community and are local consumers (and benefit the local
      area tax base)
   Appearance and safety qualities
   Project Labor Agreements

In constructing a marketing plan, research was completed on the national, state,
and regional construction industries.

Job opportunities are expected to be excellent in the construction industry
nationally, especially for skilled trades workers, due to the large number of
retirements of these workers anticipated over the next decade, as well as fewer
people with the right education or experience entering the skilled trades. The
number of wage and salary jobs in the construction industry is expected to grow
about 11% through the year 2014, compared with the 14% projected for all
industries combined. Employment in this industry depends primarily on the level
of construction and remodeling activity that is expected to increase over the
coming decade (Bureau of Labor Statistics).

Employment is expected to grow faster in nonresidential construction over the
decade. Replacement of many industrial plans has been delayed for years, and
a large number of structures will have to be replaced or remodeled. Construction
of nursing homes and other residential homes for the elderly, as well as all types
of healthcare facilities, will be needed to meet the need for more medical
treatment facilities, especially by the growing elderly population. Construction of
schools will continue to be needed, especially in the South and West where the
population is growing fastest. In other areas, however, replacing and renovating
older schools will create jobs.

The state of Pennsylvania is showing a different outlook than nationally in terms
of the construction industry. Employment in construction is only expected to


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Marketing Plan May 2007
grow 3.9% through 2014. The most employment opportunities lie with the
building equipment contractors and the building foundation/exterior contractors
both are growing at above average rate. Specialty trade contractors however
currently have the most establishments as well as the most employees than
other employers in the construction industry in Pennsylvania.

Regionally, the outlook for the construction industry is worse than the state and
the nation. Only building foundations/exterior contractors and building equipment
contractors are showing noticeable growth in projected years. In fact,
employment in the construction industry is only growing overall in Warren
County, and is decreasing in Erie and Crawford counties. As with the state,
currently Erie, Warren, and Crawford counties all have the most employees in the
construction industry and the most establishments within the specialty trade
contractors segment.

This report also contains details regarding the current market share, industry
demand, and barriers to growth.

Within Crawford, Erie and Warren counties the Great Lakes Building Trades
construction of buildings, heavy and civil engineering construction, and specialty
trades currently accounts for 29% of the total market. It is the goal of the GLBT to
increase that market share 10% annually. Success in year one would require
GLBT market share to be at 32% or above by July 2008. At present GLBT’s
current demand in the target market would allow them to realize gross revenues
of $50,258,740. Assuming a ten percent increase in market share and the
relatively flat growth forecast for the region, GLBT would realize gross revenues
of $55,787,201 an increase of five and a half million dollars.

Trends within GLBT’s target market will make this realization difficult. Current
consumer preference favors GLBT’s non-union competition for many projects.
GLBT is recognized by their target markets as having the highest production
costs, but not necessarily producing across the board quality that justify the
costs. These high production costs can begin to be rationalized by the target
market on large scale projects as the amount of manpower available for a job far
exceeds the competition and shrinks the timetable for completion; thereby
equalizing the value proposition associated with the overall higher production
costs.

The niche for the Great Lakes Building Trades is high quality construction
projects that demonstrate value in the total overall cost, not merely the lowest
construction bid. GLBT have demonstrated in their performance that they have
lower call back rates, lower long term maintenance rates and fewer quality



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Marketing Plan May 2007
problems, as compared to nonunion labor. This niche can be present in
commercial as well as in residential construction.

Overall, there is a common perception that the cost of hiring union labor (price) is
a barrier to selling more work hours for the unions. Interviews with each of the
target markets indicated that although price is important, it is not the primary
driver of the decision making process. Other factors are often more important
than prices, and weigh heavily into the decision making process when making
labor decisions.

Customers and potential customers as well as the members have expressed that
there is currently not consistency in the skills, training or experiences across
trade groups. The majority of the over 200 members that participated in the
focus group agreed that:

   The GLBT should implement standards to ensure quality WITHIN each trade
    group.
   The individual building trades should work together under the GLBT model to sell
    more work hours.
   The GLBT should implement standards to ensure quality ACROSS the different
    trade groups.

Members also agreed that there are other opportunities to enhance the product
and the marketability of the Great Lakes Building Trades including the following:

   Increase skill levels
   Increased cooperation from the contactors
   Organize the various parts of the project/labor and work together
   Respect for each others work (across unions)
   Increase communication regarding expectations and what the agreements are
   On the Job Behaviors/Attitudes

The GLBT must develop communication tools that tell their story to the desired
target market. Examples of ways to communicate with the target market include
a website, printed outreach materials and radio, print and television advertising.
Although methods of communication are important, the message that is
conveyed is what will truly overcome barriers to entry in the target markets.
The GLBT must engage the target markets to understand the scope and scale of
previous work and the long term cost savings associated with union labor. This
can be accomplished by composing a professionally shot portfolio of GLBT work,
highlighting features and longevity. Also, GLBT must produce case studies that
examine the benefits that higher production costs contribute back to the region in
the form of: increased income tax base, predicated upon 100% regional hires;

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Marketing Plan May 2007
mandatory payroll deduction which contribute to local charities; volunteerism;
expense of disposable income; and use of a full family benefit package within
local healthcare facilities. Additionally, anecdotal evidence that supports union
labor is cheaper because of less rework must be formally quantified.

GLBT must also embrace a process in conjunction with the existing signatory
contractors that ensures to the target market a level of quality and responsibility
across and within the organization. This process should be endorsed by both
parties and utilized to educate the existing human capital as to their ability to
increase customer satisfaction and become stakeholders in the sales process.

GLBT would also benefit from developing an individual needs assessment
process for contractors that would identify and understand the various needs and
work process. Because most contractors are signatory with certain trades, there
is an opportunity to expand work across trades. Identifying customer needs and
providing methods to fill those needs is the strategy to expand those
relationships.

There are a number of nonunion contractors who establish their own “labor
crews” within particular trades, so that workers are available and trained in the
specific systems and processes required by the particular contractor. According
to the market research, many agree that the Great Lakes Building Trades groups
can be differentiated through training and advanced skills, although this is not
consistent across trades.

The market positioning strategy for the Great Lakes Building Trades is to quantify
and demonstrate the overall cost savings associated with union labor and create
a “portfolio” of projects and experiences that tell the story of high quality union
labor. GLBT will also work on improving their distribution strategy by developing
a lead generation and sales process to streamline the project labor agreement
and contracting process for major building projects. The GLBT will also work on
developing “product” enhancements that include increasing targeted skills and to
work within and across the labor unions to develop quality standards.

Promotion of the Great Lakes Building Trades can be done through a variety of
strategies. A data collection process will be established to document the cost
savings and outcomes associated with GLBT projects and a portfolio will be
created. GLBT will establish a website as a communications and market tool for
information about the trades, their skill levels and their quality standards. A
GLBT collateral brochure will be developed to support the sales process and will
be distributed to end users and others through personal contact and direct mail.
A public relations strategy that highlights the projects underway and



3434                                                                         Page 5
Marketing Plan May 2007
accomplished by the GLBT will augment the sales and other communications
efforts.

Pricing is set based on the standard labor rates for the trades. Although this
price is at a premium level, compared to the competition, a higher skill level can
often justify the higher price, higher quality work and lower callback and
maintenance costs.

In addition, GLBT would benefit from developing a “sales”, customer service, and
relationship management process to ensure that contractors and end users are
satisfied during the building/construction process and that the work process flow
and scheduling are assured to meet customer requirements.

The distribution channel for the GLBT will continue to be through the individual
business agents in short run. The agents will establish a work process flow
where they work together to target and follow up on leads




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Marketing Plan May 2007
General Description
Mission Statement

The mission of the Great Lakes Building Trades is to increase the utilization of
union labor in construction projects in Northwest PA.

Background

The Great Lakes Building Trades is comprised of seventeen (17) individual
building trade/construction labor unions operating in Northwest Pennsylvania.
The trades organization and contract to provide labor for construction and other
projects specifically in Erie, Crawford and Warren Counties. The participating
trades include:

1. Carpenters
2. Operating Engineers
3. Electrical Workers
4. Sheet Metal Workers
5. Bricklayers, stone & marble masons
6. Laborers
7. Boilermakers
8. Asbestos workers & insulators
9. Masons
10. Cement masons
11. Iron workers
12. Painters
13. Plasterers
14. Plumbers & Steamfitters
15. Roofers
16. Millwrights/piledrivers
17. Teamsters

Goals and Objectives

The current goals of the Great Lakes Building Trades include:

1. Increase the market share of union labor utilized in regional construction
   projects.
       E. Develop an internal lead generation and sales process to research,
           target, and sell more work hours on regional construction projects.
       F. Develop relationships with contractors to understand their specific
            project management and labor needs.


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Marketing Plan May 2007
      G. Develop relationships with architects to understand their specific
         project management and labor needs.
      H. Develop relationships with end users to understand their specific
         project management and labor needs.

2. Continue to improve and differentiate the union labor “product”
      A. Continue to upgrade the skills of the workforce through available
          training.
      D. Identify methods to improved project specific scheduling and labor
         management.
      E. Develop performance standards within each trade with consistency
         across trades.

3. Communicate the “overall value” of utilizing union labor on construction
   projects
       E. Create a “local portfolio of work” by identifying and calculating the
           “overall long term benefit” of utilizing union labor.
       F. Develop a Great Lakes Building Trades website the provides
          information on the trades, the local/regional portfolio of work and how
          to access services.
       G. Communicate the “differentiators” of union labor in print and other
          collateral materials.
       H. Implement a public relations/communications process to highlight the
          benefits of union labor on specific projects.

Products and Services

The primary Great Lakes Building Trades “product” is to offer trained, skills,
ready to work labor for a variety of construction and building maintenance needs.
Labor is offered to construction companies within the 17 specific trades through
union “signatory” contract agreements. These agreements specify that a
contractor utilize union labor exclusively in their construction projects. There are
a number of signatory contractors within each trade, however, there are no
contractors that are signatory with every trade.

There are a number of product/service “features” that differentiate the Great
Lakes Building Trades labor from competitors in the regional market.

      Better Training
      Dependability – workers show up on time & ready to work & have tools
      Workers get the job done on time
      Higher Skill Level
      On the Job Experience


3434                                                                         Page 8
Marketing Plan May 2007
   Manpower – can staff large, complex projects or small projects
   Conscientious/caring
   Provide employees with a higher wage & benefits (show them what they
      are paying for - you are taking care of personnel)
   Most products used by labor are made in the states
   Professionalism
   Have the ability to upgrade training
   We live in the community and are local consumers (and benefit the local
      area tax base)
   Appearance and safety qualities

In addition, the building trades also offer “project labor agreements”. These
PLAs provide the opportunity for a contractor to work with a variety of selected
trades on a particular project, and outlines the specific aspects of the agreement
that labor and management will follow.

Marketing Plan and Approach
No matter how good the product or service, a venture cannot succeed without
effective marketing. Effective marketing includes all four (4) elements of the
marketing mix. These elements include the product, price, place (distribution and
sales channels) and promotion. Many people mistakenly think that good
marketing is all about advertising and communications. Unfortunately, that is not
true and advertising alone (without analyzing and determining the
appropriateness of the other elements of the marketing mix) will not result in
increased sales. For example, an organization could spend thousands or even
millions of dollars in advertising and not shift their market share, if the message
being communicated in the advertising is not what consumers need to hear to
understand that the project meets their needs. In addition, if the product features
are not what the customer wants to buy the product will not sell. If the product is
not offered through a sales and customer service process that meets the needs
of the customer, the product will not sell and the potential customer will find a
way to meet their need in some other way.

In order to achieve effective marketing (and an accompanying increase in sales),
all four elements of the marketing mix must be integrated and meet the needs
and desires of the target market customers. The goals and objectives of the
Great Lakes Building Trades (and accompanying marketing plan) were
developed in a way to address all elements of the marketing mix: product, price,
place (distribution and sales) and promotion.




3434                                                                       Page 9
Marketing Plan May 2007

National Construction Profile

There were about 818,000 construction establishments in the US in 2004:
247,000 were building construction contractors; 57,000 were heavy and civil
engineering construction or highway contractors; and 514,000 were specialty
trade contractors. Most of these establishments tend to be small, the majority
employing fewer than five workers. These firms have combined annual revenue
of about $450 billion.

This industry is highly fragmented with mostly smaller companies working as
subcontractors on larger projects. The demand in this industry is highly cyclical,
rising and falling depending on the current economy. The value of US new
nonresidential construction, which is a major driver for commercial construction
contracting, is forecast to grow at an annual compound rate of 8.4% between
2006 and 2009. Jobs in nonresidential construction often require special training
or experience and are therefore relatively well paid. Below are figures showing
overall industry growth, industry employment growth, and annual wage increase
(Bureau of Labor Statistics).

Figure 1

                   Industry Employment Growth

    6.00%                                                       4.90%
                                                       4.30%
    4.00%
                                                                        2%
    2.00%

    0.00%
                2002       2003          2004            2005   2006    Jan.
   -2.00%                                                               2007
                                       -0.50%
   -4.00%
              -4.60%     -4.30%
   -6.00%
                         Total US, Nonresidential Building

                              *Bureau of Labor and Statistics




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Marketing Plan May 2007
Figure 2

                 Average Hourly Earnings & Annual Wage
                                Increase

           $21.50                                                           $21.23
           $21.00
                                                                  $20.55
           $20.50                                  $20.18
                                 $19.85
           $20.00
           $19.50    $19.16
           $19.00
           $18.50
           $18.00
                      2002           2003           2004           2005      2006

                                *Bureau of Labor and Statistics


Figure 3

                     New Non-Residential Construction
                                Growth

           12%
                              10%
           10%                              9%          9%           9%
                    8%
            8%                                                                7%

            6%

            4%

            2%

            0%
                    2004      2005          2006       2007          2008    2009

                                *Bureau of Labor and Statistics




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Marketing Plan May 2007
The table below shows the projected change in employment from 2004-2014 in
all construction-related occupations. Employment in all construction segments is
expected to have a positive increase over the next ten years.

Table 1
                                                                 Percent Change, 2004-
       Occupation                    Employment 2004
                                                                         2014
                             Number                    Percent
Total, all occupations        6964                       100             11.4


Management,
business, and financial       540                        7.8             15.2
occupations
 Construction Managers        152                        2.2              14
    Cost Estimators           116                        1.7             21.1

Construction and
                              4645                      66.7             11.7
extraction occupations
          First-line
supervisors/managers of
                              425                        6.1             13.8
 construction trades and
     extraction workers
     Brickmasons and
                              100                        1.4             14.8
       blockmasons
         Carpenters           737                       10.6             13.1
      Carpet Installers        26                        .4              13.2
 Tile and marble setters       38                        .5              25.1
  Cement masons and
                              179                        2.6             15.9
     concrete finishers
  Construction laborers       700                        10               2
  Paving, surfacing, and
    tamping equipment          43                        .6              13.3
          operators
Operating engineers and
     other construction       226                        3.2             13.1
   equipment operators
  Drywall and ceiling tile
                              112                        1.6              6.5
          installers
         Electricians         430                        6.2             14.2
           Glaziers            33                        .5               15
Insulation workers, floor,
                               35                        .5               2.8
      ceiling, and wall
  Painters, construction
                              195                        2.8             12.7
     and maintenance
         Pipelayers            39                        .6              12.8
  Plumbers, pipefitters,
                              341                        4.9             16.7
      and steamfitters
  Plasterers and stucco
                               54                        .8               7.7
           masons
           Roofers            115                        1.7             18.6
  Sheet Metal Workers         128                        1.8             16.6
Structural iron and steel
                               63                        .9              15.2
           workers
  Helpers, construction       388                        5.6             10.3



3434                                                                          Page 12
Marketing Plan May 2007
         trades
 Elevator installers and
                                   20                             .3             14.9
       repairers
                           *US Department of Labor, Bureau of Labor Statistics

Job opportunities are expected to be excellent in the construction industry
nationally, especially for skilled trades workers, due to the large number of
retirements of these workers anticipated over the next decade, as well as fewer
people with the right education or experience entering the skilled trades. The
number of wage and salary jobs in the construction industry is expected to grow
about 11% through the year 2014, compared with the 14% projected for all
industries combined. Employment in this industry depends primarily on the level
of construction and remodeling activity that is expected to increase over the
coming decade (Bureau of Labor Statistics).

Employment is expected to grow faster in nonresidential construction over the
decade. Replacement of many industrial plans has been delayed for years, and
a large number of structures will have to be replaced or remodeled. Construction
of nursing homes and other residential homes for the elderly, as well as all types
of healthcare facilities, will be needed to meet the need for more medical
treatment facilities, especially by the growing elderly population. Construction of
schools will continue to be needed, especially in the South and West where the
population is growing fastest. In other areas, however, replacing and renovating
older schools will create jobs.

Employment in specialty trades contracting, the largest segment of the industry,
will grow the fastest as demand grows for subcontractors in building and heavy
construction and as more workers are needed to repair and remodel existing
homes. In addition, the construction industries, as well as all types of businesses
and institutions, are increasingly contracting out the services of specialty trade
workers instead of keeping these workers on their own payroll (Bureau of Labor
Statistics).

The number of job openings in construction may fluctuate from year to year.
New construction is usually cut back during periods when the economy is not
expanding or interest rates are high. However, it is rare that all segments of the
construction industry are down at the same time.

Although nationally employment in the construction trades as a whole is
expected to grow about as fast as the industry average, the rate of growth will
vary by trade.

In terms of specific careers in the construction industry nationally the U.S.
Department of Labor has made the estimates in the table below:


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Marketing Plan May 2007
Table 2
 Occupation          Employment                        Job Outlook                       Earnings
Boilermakers   In the U.S.,                Average growth for employment of      Nationally, in 2004 the
               boilermakers held about     boilermakers is expected through      median hourly earnings
               19,000 jobs in 2004. 7      the year 2014. Additional             were about $21.68.
               out of 10 worked in the     openings will be created by the       About half of all
               construction industry.      need to replace workers who are       boilermakers belong to
                                           expected to retire in great numbers   labor unions.
                                           in the next 10 years.
Brick/Block/   Held about 177,000          Job opportunities are expected to     In May 2004, the median
Stone Masons   jobs in 2004.               be very good throughout 2014. A       hourly wage was $20.07.
               Concentrated in             large number are expected to
               metropolitan areas, 1 in    retire over the next decade and in
               3 are self-employed.        some areas there aren’t enough
                                           skilled masons to replace those
                                           who are leaving.
Carpenters     Carpenters are              Opportunities are expected to be      $16.78 was the median
               employed throughout         excellent over the 2004-2014          hourly wage in 2004.
               the country in almost       period, especially for those with     Further breakdown looks
               every community and         the most skills. Carpenters with      like this; nonresidential
               make up the largest         all-round skills have more            building construction
               building trades             opportunities than those who can      $18.70, building finishing
               occupation. Held 1.3        only do routine tasks.                contractors $17.51,
               million jobs in 2004.                                             foundation/structure/buildi
               About 1/3 work for                                                ng exterior contractors
               building construction                                             $16.40
               and 1/5 work for
               specialty building
               contractors.
Construction   Jobs are found in every     Employment of operating               In 2004 operating
Equipment      section of the country,     engineers is expected to increase     engineers earned;
Operators      operating engineers         as fast as average for all            highway/street/bridge
               held 382,000 jobs in        occupations through the year 2014     construction $19.20, utility
               2004. About 3 out of 5      even with improvements in             system construction
               work in the construction    equipment expected to continue to     $18.13, other specialty
               industry.                   raise worker productivity and to      trade contractors $17.73.
                                           moderate demand for this              Pay scales are higher in
                                           occupation.                           larger metropolitan areas.
Electricians   Held 626,000 jobs in        Employment in this occupation is      Median hourly wage for
               2004. Nearly 2/3 of         expected to have average growth       electricians in
               workers were employed       over the next ten years. New          nonresidential building
               in construction.            technologies are expected to          construction is $19.99.
                                           stimulate the demand for these
                                           workers.
Painters       In 2004 held 486,000        Job prospects should be excellent     The median hourly wage
               jobs. About 1/3 work for    because each year thousands of        for painters working for
               painting/wall covering      painters retire or leave for other    nonresidential contractors
               contractors in new          jobs. There are no strict training    was $14.97.
               construction/repair/resto   requirements for entry into these
               ration/ remodeling work.    jobs; so many people with limited
                                           skills can enter this occupation.
Plumbers and   Constitute one of the       Expected to be excellent as           Among highest paid in
Steamfitters   largest construction        demand for skilled                    construction industry,
               occupations, held           plumbers/steamfitters is expected     working for nonresidential
               561,000 jobs in 2004.       to outpace the supply of workers      contractors can earn
               About half work for         trained in this craft.                $21.55 an hour.
               plumbing/heating/air



3434                                                                                             Page 14
Marketing Plan May 2007
                 conditioning
                 contractors.
Roofers          Roofers held about          Job opportunities for roofers        Median hourly wage is
                 162,000 jobs in 2004.       should be good through the year      $14.83.
                 Almost all work for         2014 since the number of roofers
                 roofing contractors.        who leave the occupation each
                                             year is higher than in most
                                             construction trades.
Sheet Metal      Held about 198,000          Job opportunities are expected to    Median hourly wage is
Workers          jobs in 2004. Nearly 2/3    be good for sheet metal workers      $17.09.
                 of workers were in the      through 2014, reflecting both
                 construction industry.      employment growth and openings
                 Of those who work in        arising each year as experienced
                 construction 2/3 work       workers leave the occupation.
                 for plumbing and HVAC       Growth will be especially good for
                 contractors.                individuals who acquire
                                             apprenticeship training or who are
                                             certified welders.
Iron Workers     Ironworkers held            Employment is expected to grow       Median hourly wage was
                 106,000 jobs in 2004,       about as fast as average for all     $20.40 in 2004. About
                 structural iron and steel   occupations through the year         half of the workers in this
                 workers held 73,000         2014, largely on the basis of        trade belong to a union,
                 jobs and reinforcing iron   projected growth in nonresidential   and their wages are
                 and rebar workers held      and heavy construction.              slightly higher.
                 34,000 jobs. More than
                 4 out of 5 work in
                 construction.
                                         *Bureau of Labor and Statistics

About 17% of construction trades workers were union members or covered by
union contracts, compared with about 14% of workers throughout private
industry. In general, union workers are paid more than nonunion workers and
have better benefits.

State Construction Profile

In the Nonresidential building construction industry in the state of Pennsylvania,
employment was estimated at 25,330 in 2004 with a projected 26,320 jobs in the
year 2014. The total percentage change in construction employment in
Pennsylvania from 2004 to 2014 is a growth of 3.9%, which is slower than the
6.8% growth rate for all industries in the state. The table below lists the
construction industry’s occupational breakdown, as well as projected growth
between 2004 and 2014. Construction sectors growing faster than the average
rate are building equipment contractors and building foundation/exterior
contractors.

Table 3
                                   Projected Growth                               Jobs added per
               Occupation                                     Additional jobs
                                      2004-2014                                        year
          Building Equipment
                                         9.7%                      6790                679
              Contractors
           Building Finishing            6.2%                      1650                165



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Marketing Plan May 2007
             Contractors
              Building
         Foundation/Exterior             11.1%                    3620                      362
             Contractors
        Other Specialty Trade
                                          6.3%                    1700                      170
             Contractors
        Nonresidential Building
                                          3.9%                     990                       99
            Construction
             *Center for Workforce Information and Analysis-Labor Market Services, Industry Profile


Below is a table of the top 25 occupations within the nonresidential building
construction industry group. This table is based on the most recent statistics
available (2004). In Pennsylvania in 2004, the occupation with the highest
employment was Carpenters with 29% of the total employment of this industry.
The next largest occupation for this industry was Construction Laborers, with
8.3%, and third was First-Line Supervisors/Managers of Construction Trades and
Extraction Workers, with 8.3% (PA Dept of Labor & Industry).

Table 4
                 Occupation Title                                         Number of Employees
                     Carpenters                                                  7,334
              Construction Laborers                                              2,113
   Supervisors, Construction/Extraction Workers                                  2,102
             Construction Managers                                               1,666
                Carpenter Helpers                                                1,357
                     Secretaries                                                 1,010
                  Cost Estimators                                                 860
                General Managers                                                  841
                   Bookkeepers                                                    600
                 Chief Executives                                                 556
               Operating Engineers                                                541
                Iron/Steel Workers                                                509
            Administrative Assistants                                             435
                     Electricians                                                 363
                  Cement Masons                                                   326
              General Office Clerks                                               241
                  Civil Engineers                                                 235
                Financial Managers                                                218
                      Plumbers                                                    208
          Supervisors of Office Workers                                           194
                Brick/Block Masons                                                175
               Heavy Truck Drivers                                                155
                    Landscapers                                                   155
              Sales Representatives                                               131
            Architectural/Civil Drafters                                          114
                        *PA Department of Labor and Industry, Labor Market Data, 2004


Below is a table with statewide figures on specific employers in the construction
industry; such as the number of establishments, dollar value of business done,
annual payroll, and the number of paid employees. Of the three digit NAICS
code occupations, specialty trade contractors have by far the most
establishments and greatest number of employees in Pennsylvania.


3434                                                                                                  Page 16
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Table 5
NAICS Code    Description         Establishments     Dollar Value           Annual       Paid
                                                        of the              Payroll    Employees
                                                       Business            ($1,000)
                                                     Done ($1,000)
    236      Construction of           8374           19,018,663           2,362,892    65,492
                Buildings
   2362      Nonresidential            1546            10,925,624          1,334,184    32,415
                 Building
              Construction
    237      Heavy and Civil           1398             6,982,754          1,766,580    40,742
               Engineering
              Construction
    238      Specialty Trade          17,817           20,640,919          6,013,600    171,165
               Contractors
   23621        Industrial              126              754,536           148,032       3617
                 Building
              Construction
   26222       Commercial              1419            10,171,088          1,186,152    28,798
                 Building
              Construction
   2381          Building              4,635            4,459,468          1,339,452    44,181
             Foundation and
                 Exterior
               Contractors
   23812      Steel/ Precast            113              375,072            97,380       2819
                Concrete
               Contractors
   23813         Framing                546              305,995            84,396       3449
               Contractors
   23814        Masonry                1460             1,189,957          443,432      14,514
               Contractors
   23816         Roofing                844              852,337           224,408       8309
               Contractors
   23817          Siding                305              245,404            73,169       2369
               Contractors
   23821        Electrical             2341             3,384,567          1,222,929    28,501
               Contractors
   23822      Plumbing and             3653             5,971,127          1,639,278    41,890
                  HVAC
               Contractors
   2383          Building              4278             3,538,327          903,057      30,287
                Finishing
               Contractors
                               *U.S. Census Bureau, 2002 Economic Census

Regional Construction Profile

The table below contains industry employment and projection data in the
Northwest PA WIB region from the year 2004 to the projected year of 2014. This
is for specific sectors of the construction industry. Regionally, employment
growth in the construction industry does not seem to be as favorable as it is
nationally or statewide. Most of the sectors are experiencing a decrease in
employment, with the only building foundations/exterior contractors and building


3434                                                                                     Page 17
Marketing Plan May 2007
equipment contractors experiencing a noticeable increase in employment over
the projected period.

Table 6
Industry        Industry Title           Estimated      Projected         Total               Annual      Total %
  Code                                  Employment     Employment      Employment             Average     Change
                                                                         Change              % Change
  2300               Construction          6870            6980               110               .15         1.6
                    Construction of
  2360                                     1890            1840               -50              -.26         -2.6
                      Buildings
                    Heavy & Civil
  2370              Engineering             620            570                -50              -.83         -8.1
                    Construction
                Highway, Street,
  2373             and Bridge               350            330                -20              -.58         -5.7
                  Construction
                    Building
  2381        Foundations/Exterior         990             1060               70             .68            7.1
                  Contractors
              Building Equipment
  2382                                    1870             1990              120             .62            6.4
                  Contractors
               Building Finishing
  2383                                     720              730               10             .13            1.4
                  Contractors
                *Center for Workforce Information and Analysis-Industry Employment and Projections

The next table has figures related to employment growth in the region based on
industry sectors. The ranking listed is based on the top ten industries in each
county based on employment. Although the construction industry is in the top
ten industries based on employment in all three counties, only Warren county is
reporting a positive growth in construction industry employment from 2005-2006.

Table 7
                                                                                                           Avg.
                                           Avg.                      Hiring
                                                      % Growth in                                        Quarterly
                                         Quarterly                   Growth         Hiring     Hiring
Rank       County          Industry                   Employment                                         New Hire
                                        Employment                   (2005-         2006       2005
                                                      (2005-2006)                                       Employment
                                        (2005-2006)                   2006)
                                                                                                        (2005-2006)
                                                                     -169
  7          Erie        Construction      4540          -10%                  166        335              289
                                                                  (-67.4%)
                                                                      -53
  6        Crawford  Construction       883           -6.6%                     32         85               60
                                                                  (-90.5%)
                                                                       -1
 10         Warren   Construction       242            8.2%                     10         11               21
                                                                   (-9.5%)
                *US Census Bureau-Longitudinal Employer-Household Dynamics, Top Industry Results


The next three tables look at specifics of county business patterns by NAICS
code for 2005 (the most recent data available). Within the three counties it
appears that specialty trade contractors have the greatest number of employees
and the most total establishments of the three digit NAICS code industries.




3434                                                                                                    Page 18
Marketing Plan May 2007
Table 8
                                           Erie County
                                                     Payroll ($1,000)
                 Industry Code                                          Payroll ($1,000)        Total
Industry Code                       # of Employees     for the 1st
                   Description                                              Annual         Establishments
                                                        quarter
       23         Construction          3569             27,161             144,532             599
                 Construction of
       236                               937              6996              33,833              178
                     Buildings
                 Nonresidential
    2362              Building           501              4764              22,326              31
                  Construction
                     Industrial
   23621              Building           0-19               0                  0                 2
                  Construction
                Commercial and
                   Institutional
   23622                               250-499              0                  0                29
                      Building
                  Construction
                 Heavy and Civil
       237         Engineering           374              3748              23,430              22
                  Construction
                  Utility System
    2371                                 271              3164              15,909              11
                  Construction
                Water and Sewer
                Line and Related
   23711                                20-99               0                  0                 9
                    Structures
                  Construction
                    Power and
                 Communication
   23713        Line and Related       100-249              0                  0                 2
                    Structures
                  Construction
    2372        Land Subdivision         0-19               0                  0                 3
                Highway, Street,
    2373           and Bridge            88                451               6838                7
                  Construction
                Other Heavy and
    2379        Civil Engineering        0-19               0                  0                 1
                  Construction
                 Specialty Trade
       238                              2258             16,417             87,269              399
                   Contractors
                   Foundation,
                  Structure, and
    2381                                 513              2779              21,575              105
                Building Exterior
                   Contractors
                Poured Concrete
                 Foundation and
   23811                                 93                397               4054               21
                     Structure
                   Contractors
                 Structural Steel
                   and Precast
   23812                                20-99               0                  0                 1
                     Concrete
                   Contractors
                      Framing
   23813                                 39                173                898               12
                   Contractors
                     Masonry
   23814                                 141               612               6290               38
                   Contractors
                    Glass and
   23815              Glazing           20-99               0                  0                 3
                   Contractors
                      Roofing
   23816                                 128               943               6381               14
                   Contractors




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                      Siding
   23817                                    56                 250                 1970             13
                   Contractors
                       Other
                   Foundation,
   23819          Structure, and             7                 36                   178              3
                Building Exterior
                   Contractors
                     Building
    2382            Equipment              1161              10,254                45,610           165
                   Contractors
                     Electrical
   23821                                    476               4255                 17,093           71
                   Contractors
                    Plumbing,
                Heating, and Air
   23822                                    607               5396                 25,971           84
                   Conditioning
                   Contractors
                  Other Building
   23829            Equipment               78                 603                 2546             10
                   Contractors
                Building Finishing
    2383                                    372               2087                 10,530           80
                   Contractors
                   Drywall and
   23831            Insulation              113                617                 3482             20
                   Contractors
                Painting and Wall
   23832             Covering               125                682                 3487             26
                   Contractors
                     Flooring
   23833                                    46                 320                 1426              7
                   Contractors
                Tile and Terrazzo
   23834                                    22                 157                  646              4
                   Contractors
                Finish Carpentry
   23835                                    52                 234                 1159             20
                   Contractors
                  Other Building
   23839             Finishing              14                 77                   330              3
                   Contractors
                 Other Specialty
    2389              Trade                 212               1297                 9554             49
                   Contractors
                 Site preparation
   23891                                    107                793                 4747             23
                   Contractors
                     All other
   23899         Specialty Trade            105                504                 4807             26
                   Contractors
                                *US Census Bureau-County Business Patterns, 2005


Table 9
                                           Warren County
                                                        Payroll ($1,000)
                 Industry Code                                              Payroll ($1,000)        Total
Industry Code                       # of Employees        for the 1st
                   Description                                                  Annual         Establishments
                                                           quarter
       23         Construction            198                917                   6118             58
                Construction of
       236                               20-99                 0                     0              21
                   Buildings
                 Nonresidential
    2362            Building              0-19                 0                     0               4
                  Construction
                Commercial and
                  Institutional
   23622                                  0-19                 0                     0               4
                    Building
                  Construction
       237      Heavy and Civil           0-19                 0                     0               2



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                   Engineering
                  Construction
                  Utility System
    2371                                    0-19                0                  0               1
                  Construction
                Water and Sewer
                Line and Related
   23711                                    0-19                0                  0               1
                    Structures
                  Construction
                Highway, Street,
    2373            and Bridge              0-19                0                  0               1
                  Construction
                 Specialty Trade
       238                                100-249               0                  0              35
                   Contractors
                   Foundation,
                  Structure, and
    2381                                     52                164               1760              7
                Building Exterior
                   Contractors
                Poured Concrete
                 Foundation and
   23811                                   20-99                0                  0               5
                     Structure
                   Contractors
                     Masonry
   23814                                    0-19                0                  0               1
                   Contractors
                     Roofing
   23816                                    0-19                0                  0               1
                   Contractors
                     Building
    2382            Equipment              20-99                0                  0               8
                   Contractors
                     Electrical
   23821                                    0-19                0                  0               1
                   Contractors
                    Plumbing,
                Heating, and Air
   23822                                     32                150                610              6
                   Conditioning
                   Contractors
                Building Finishing
    2383                                    0-19                0                  0               5
                   Contractors
                Painting and Wall
   23832             Covering               0-19                0                  0               5
                   Contractors
                Finish Carpentry
   23835                                      5                34                 134              3
                   Contractors
                  Other Building
   23839             Finishing              0-19                0                  0               1
                   Contractors
                 Other Specialty
    2389               Trade               20-99                0                  0              15
                   Contractors
                 Site preparation
   23891                                   20-99                0                  0              12
                   Contractors
                     All other
   23899         Specialty Trade            0-19                0                  0               3
                   Contractors
                                *US Census Bureau-County Business Patterns, 2005


Table 10
                                        Crawford County
                                                       Payroll ($1,000)
                 Industry Code                                            Payroll ($1,000)        Total
Industry Code                       # of Employees       for the 1st
                   Description                                                Annual         Establishments
                                                          quarter
       23         Construction           727                4679               22656              195
                 Construction of
       236                               232                1693                6089              81
                   Buildings



3434                                                                                            Page 21
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              Nonresidential
   2362           Building        90     1121   3002    17
               Construction
             Commercial and
                Institutional
   23622                          90     1121   3002    17
                  Building
               Construction
              Heavy and Civil
       237      Engineering      153     1093   6658    18
               Construction
               Utility System
   2371                           83     716    3626    12
               Construction
             Water and Sewer
             Line and Related
   23711                         20-99    0      0      7
                 Structures
               Construction
                Oil and Gas
                Pipeline and
   23712          Related         31     222    1003    4
                 Structures
               Construction
                 Power and
              Communication
   23713     Line and Related    0-19     0      0      1
                 Structures
               Construction
   2372      Land Subdivision    0-19     0      0      2
             Highway, Street,
   2373          and Bridge      20-99    0      0      3
               Construction
             Other Heavy and
   2379      Civil Engineering   20-99    0      0      1
               Construction
              Specialty Trade
       238                       342     1893   9909    96
                Contractors
                Foundation,
               Structure, and
   2381                           80     353    2405    28
             Building Exterior
                Contractors
             Poured Concrete
              Foundation and
   23811                          13     35     306     6
                  Structure
                Contractors
                  Framing
   23813                          5      13     114     4
                Contractors
                  Masonry
   23814                          28     67     342     10
                Contractors
                 Glass and
   23815           Glazing       0-19     0      0      2
                Contractors
                  Roofing
   23816                         0-19     0      0      3
                Contractors
                    Siding
   23817                         0-19     0      0      2
                Contractors
                    Other
                Foundation,
   23819       Structure, and    0-19     0      0      1
             Building Exterior
                Contractors
                  Building
   2382          Equipment       162     1094   5190    36
                Contractors
                  Electrical
   23821                         20-99    0      0      17
                Contractors



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                  Plumbing,
              Heating, and Air
   23822                                  85                517               2224        17
                Conditioning
                 Contractors
                Other Building
   23829          Equipment              0-19                0                  0         2
                 Contractors
              Building Finishing
    2383                                  63                297               1377        14
                 Contractors
                 Drywall and
   23831          Insulation             0-19                0                  0         1
                 Contractors
              Painting and Wall
   23832           Covering             20-99                0                  0         3
                 Contractors
                   Flooring
   23833                                   9                30                 156        4
                 Contractors
              Finish Carpentry
   23835                                   6                23                 65         4
                 Contractors
                Other Building
   23839           Finishing             0-19                0                  0         2
                 Contractors
               Other Specialty
    2389            Trade                 37                149               1018        18
                 Contractors
               Site preparation
   23891                                  25                96                 754        13
                 Contractors
                   All other
   23899       Specialty Trade            12                53                 264        5
                 Contractors
                             *US Census Bureau-County Business Patterns, 2005


Below is a table with all of the Construction and Extraction occupations
employment figures and wage estimates for the Erie metropolitan area as of
2005 (Bureau of Labor Statistics).

Table 11
Occupation Code     Occupation Title           Employment            Mean Hourly     Mean Annual
                                                                       Wage             Wage
    47-0000          Construction and              4740                $16.97          $35,300
                  Extraction Occupations
    47-1011               First-Line                270                 $24.96         $51,910
                   Supervisors/Mangers
                  of Construction Trades
                      and Extraction
                          Workers
    47-2021          Brick Masons and               130                 $17.75         $36,920
                       Block Masons
    47-2031              Carpenters                 720                 $15.39         $32,020
    47-2051        Cement Masons and                90                  $16.44         $34,190
                     Cement Finishers
    47-2061       Construction Finishers            90                  $12.67         $26,360
    47-2073        Operating Engineers              380                 $16.37         $34,050
    47-2111             Electricians                500                 $22.88         $47,590
    47-2141               Painters                  230                 $17.25         $35,880
    47-2152            Plumbers and                 270                 $21.89         $45,530
                        Steamfitters
    47-2181                Roofers                  180                 $17.97         $37,370



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    47-2211         Sheet Metal Workers                N/A                  $19.95               $41,500
       *Bureau of Labor and Statistics, Metropolitan Occupational Employment and Wage Estimates, 2005


Facts about the industry:

The construction industry is divided into three major segments. Construction of
buildings contractors, build residential, industrial, commercial, and other
buildings. Heavy and civil engineering construction contractors build sewers,
roads, highways, bridges, tunnels, and other projects. Specialty Trade
contractors perform specialized activities related to construction such as
carpentry, painting, plumbing, and electrical work.

Nationally, there are 818,000 construction establishments and employment and
wages are increasing yearly. Employment growth in the construction industry is
expected to increase by 11% through the year 2014 nationally. Employment
opportunities are the greatest in the south and the west where the population is
greatly increasing and more development is taking place.

The state of Pennsylvania is showing a different outlook than nationally in terms
of the construction industry. Employment in construction is only expected to
grow 3.9% through 2014. The most employment opportunities lie with the
building equipment contractors and the building foundation/exterior contractors
both are growing at above average rate. Specialty trade contractors however
currently have the most establishments as well as the most employees than
other employers in the construction industry in Pennsylvania.

Regionally, the outlook for the construction industry is worse than the state and
the nation. Only building foundations/exterior contractors and building equipment
contractors are showing noticeable growth in projected years. In fact,
employment in the construction industry is only growing overall in Warren
County, and is decreasing in Erie and Crawford counties. As with the state,
currently Erie, Warren, and Crawford counties all have the most employees in the
construction industry and the most establishments within the specialty trade
contractors segment.

Current Market Share, Demand and Barriers

Within Crawford, Erie and Warren counties the Great Lakes Building Trades
construction of buildings, heavy and civil engineering construction, and specialty
trades currently accounts for 29% of the total market. It is the goal of the GLBT to
increase that market share 10% annually. Success in year one would require
GLBT market share to be at 32% or above by July 2008. At present GLBT’s
current demand in the target market would allow them to realize gross revenues
of $50,258,740. Assuming a ten percent increase in market share and the


3434                                                                                               Page 24
Marketing Plan May 2007
relatively flat growth forecast for the region, GLBT would realize gross revenues
of $55,787,201 an increase of five and a half million dollars.

Trends within GLBT’s target market will make this realization difficult. Current
consumer preference favors GLBT’s non-union competition for many projects.
GLBT is recognized by their target markets as having the highest production
costs, but not necessarily producing across the board quality that justify the
costs. These high production costs can begin to be rationalized by the target
market on large scale projects as the amount of manpower available for a job far
exceeds the competition and shrinks the timetable for completion; thereby
equalizing the value proposition associated with the overall higher production
costs.

At present time there is little more than a grassroots approach in place to market
GLBT locally, and that approach is not coordinated among the members. Either
the Business agents currently representing the trades must commit to a unified
message or they must employ a “neutral broker” to conduct their outreach. This
could be a hire or done through the existing public workforce system. The GLBT
must develop materials that tell their story to the desired target market. Examples
of ways to communicate with the target market include a website, printed
outreach materials and radio, print and television advertising. Although methods
of communication are important, the message conveyed is what will truly
overcome barriers to entry in the target markets.

The GLBT must engage the target markets to understand the scope and scale of
previous work and the long term cost savings associated with union labor. This
can be accomplished by composing a professionally shot portfolio of GLBT work,
highlighting features and longevity. Also, GLBT must produce case studies that
examine the benefits that higher production costs contribute back to the region in
the form of: increased income tax base, predicated upon 100% regional hires;
mandatory payroll deduction which contribute to local charities; volunteerism;
expense of disposable income; and use of a full family benefit package within
local healthcare facilities. Additionally, anecdotal evidence that supports union
labor is cheaper because of less rework must be formally quantified.

GLBT must also embrace a process in conjunction with the existing signatory
contractors that ensures to the target market a level of quality and responsibility
across and within the organization. This process should be endorsed by both
parties and utilized to educate the existing human capital as to their ability to
increase customer satisfaction and become stakeholders in the sales process.




3434                                                                        Page 25
Marketing Plan May 2007
Other than the flat economic and regional growth highlighted previously, there
should be no technological or regulatory issues that act as major barriers to
growth in the target markets.

Target Market and Segments

The target market for the Great Lakes building trades is all construction projects
in Northwest Pennsylvania. Within this market there are several consumer
segments that are relevant to the Great Lakes Building Trades:

End-Users

One of the key target markets for the Great Lakes Building Trades is end-user.
End users are defined as major employers (both public and private sector) within
a region. Erie County currently has employers with over 200 employers. In Erie
County, the target end-users include the following organizations.

      Hamot Hospital
      Saint Vincent
      Millcreek Community Hospital
      LECOM
      Doctors office Practices
      Mercyhurst College
      Gannon University
      Edinboro University
      Behrend University
      General Electric
      Public School Districts
      Nick Scott Enterprise
      Erie Insurance
      Port Authority
      Convention Center Authority
      Allegheny College

Market Research

The manufacturing sector across the nation and the Commonwealth has been in
a state of crisis, losing well-paying jobs due to many factors. Nowhere in
Pennsylvania is that more acute than in Northwest Pennsylvania. Possessing the
highest percentage of manufacturing employment of any region in the
Commonwealth, this geographically large section of Pennsylvania employs over
25% of their workforce in manufacturing (according to the Center for Workforce
Information and Analysis). Recent economic studies of the region indicate that


3434                                                                       Page 26
Marketing Plan May 2007
the transportation and logistics industry offer opportunities for growth and
economic development within these regions.

In order to address this need and diversify its economic base by capitalizing on
potential opportunities in other sectors, the Northwest Pennsylvania Investment
Board, along with other project partners, formed the “Great Lakes Building &
Trades” (GLBT) Industry Partnership to better organize, align, and direct the
resources toward the building and construction sector. This sector has been
targeted by the state of Pennsylvania as a potential growth cluster. The GLBT
will be an umbrella industry partnership across the diverse (but manufacturing-
intensive) six-county Northwest, PA counties of Clarion, Crawford, Erie, Forest,
Venango and Warren. The GLBCT Industry Partnership will combine and
integrate the expertise of the regional and national resources within this sector
with that of the regional economic and workforce development resources. The
primary goal of the this initiative is to increase the GLBT market share of major
development scheduled to occur in Northwest, PA that the trades within the
partnership are preparing to bid on.

To begin, SSI convened a meeting with the project Steering Committee. The
committee was composed of a representative from each of the key trade groups
participating in the GLBT. The meeting served to refine and finalize the project
parameters. The steering committee was presented with the draft data collection
tool (interview guide) for review and approval. Also at this time the list of target
construction companies, architects, and end users for participation in the project
interviews were finalized.

In order to meet the information and research objectives of the Great Lakes
Building Trades (GLBT) Industry Partnership a series of in-depth interviews was
implemented by SSI in June 2006 with 3 different population groups: commercial
architects, end users (representatives of large organizations who have/will
undertake significant building projects) and contractors (both signatory and non-
signatory).

The purpose of the interviews was to obtain information regarding how local
architects, end-users, and general contractors make decisions on selecting labor
for construction projects and to provide input to the GLBT Industry partnership
regarding how they can increase market share. The interviews measured
perceptions of the strength and weakness of union labor in the local/regional
construction industry, sub-contractor selection criteria, past experience and
satisfaction with union labor, assessment of the requirements for union labor to
procure additional work on projects and other areas identified by the GLBT
Industry Partnership. A total of 52 interviews were completed, 4 architects, 8 end
users and 40 contractors, both signatory and non-signatory.


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Marketing Plan May 2007
With the interview process complete and the data compiled and analyzed, the
findings were put in a report format and presented to the project steering
committee. The group then designed an approach to present the findings to each
of the individual participating trade groups. SSI facilitated individual sessions for
each participating trade group’s membership (6 in all including carpenters,
bricklayers, laborers, business agents, operating engineers, and sheet metal
workers. The discussion focused on how the trade union membership can
develop strategies to increase their hours worked based upon the interview
responses.

Overall, there is a common perception that the cost of hiring union labor (price) is
a barrier to selling more work hours for the unions. Interviews with each of the
target markets indicated that although price is important, it is not the primary
driver of the decision making process. Other factors are often more important
than prices, and weigh heavily into the decision making process when making
labor decisions.

Architects

Interviews with architects demonstrated that a number of factors are extremely
important to architects when making decisions about hiring contractor and labor
for a construction project. Past experience, the company’s references, dealing
with consumers in a business like manner, quality of work, ability to meet
schedules and the skill of the labor force are all extremely important to architects
(and more important than price) in the decision making process. However, it was
noted by architects that for some end users, price is a 10 (out of 10 in
importance). Other important factors include has/uses appropriate personnel,
has good relationships with suppliers, is able to produce a list of current
commitments and timeframes (to demonstrate capacity), east of the contract
negotiation process, and ability to provide a complete scope of work all rated
higher than a “6” on a 10 point importance scale.
Architects noted that they assess the quality of a contractor from their past
experience or portfolio and it was suggested that the labor unions create a
portfolio of their work with accompanying testimonials to help to tell the story of
higher quality union labor. It was noted that although union labor is more costly,
that sometimes it is worth it, on large complex projects and/or when the job
requires a specific skill set. It was noted that scale often offsets the price
differential offered by nonunion labor.
There is a perception that with many of the trades, using union labor provides a
higher quality end product. There is also a perception that within some of the
trades, nonunion labor is more skilled than union labor. Respondents were



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reluctant to identify which trades fell into which category and indicated that the
end client ultimately makes the decision on the contractor and labor utilized.
Architects suggested that union representatives become experts in the bidding
process and develop a portfolio of their own work with references that can be
marketed to end users when decisions are being made on major projects.
Architects also suggested that the unions market their individual capabilities
through the Great Lakes Building Trades so that information on the skill sets and
competences was available on a website and though other sources regarding
technical abilities and outcomes. It was also suggested that the building trades
partner with their signatory contractors to make available information that
includes trade references, bank references, insurance certificates, bonding
capability, number of employees, past active or pending litigation, pending
arbitrations, D&B number, Federal EIN, copies of other federal forms and a code
of ethical business conduct.
End-Users
According to end users, quality of completed work, past experience, skill of the
labor force, on time completion of work and ability to provide a complete scope of
work are more important (on average) than price when making decisions
regarding hiring contractors. Company references were also considered very
important by end users (average score of 8.38 on a 10 point scale). Of lesser
importance include ease of contract negotiation process, personal relationship
with company ownership/ management.
Overall, the end users interviewed had a positive opinion of the GLBT unions.
End users also tended to have the perception that union labor was better suited
to larger, more complex projects for which the scale justifies the higher cost.
Most felt that union workers were well trained and do quality work. Advice from
the end users included bidding hard and winning more construction projects;
keeping promises; being good listeners and being proactive in order to meet the
needs of end users.
Contractors
According to contractors, experience, reliability, skill level, competency in the
trade, work history, aptitude and attitude are the main attributes considered when
hiring labor. Contractors also mentioned good math skills, Cost and labor rates
were one of the lower rated attributes with an average score of 6.68 on a 10-
point scale. Many contractors are already signatory and indicated that they find
most of their labor at the union hall. Non-union contractors typically utilize
referrals, word of mouth and the newspaper as sources to find workers.
Most contractors find union workers very knowledgeable, although contractors
felt that union labor is best suited for large, complex projects, government and
commercial buildings. Again, size and scale either justifying the premium price


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Marketing Plan May 2007
or the scale requiring more highly skilled workers are the reasons for this
perception. Most contractors who utilize union labor have very good to excellent
experience and relationships, although non-signatory contractors seem to have
little understanding and in some cases, interest in working with the unions.
When asked what it would take to work with the unions, some contractors alluded
to the need for increased skill level, more flexibility and the ability to have
performance/quality standards across trades. Most signatory contractors have
relationships with only certain trades, and it appears that those relationships exist
because the contractors have been able to work out the cost, quality and
performance relationships between the contractor and the union that meets their
needs. Many contractors were reluctant to answer questions about why they
worked with some unions and not others and some asked to speak “off the
record” regarding these situations because they did not want to jeopardize the
positive relationships they have with the unions they work with.
Some contractors expressed the desire to have more flexibility on the job and
with scheduling. In addition, cost is a factor for some and a number of
contractors noted a desire to have a lower cost factor.
These results were presented to focus groups of union members within the
carpenters, bricklayers, sheet metal workers, laborers and electrical workers.
The union members themselves, in most cases, affirmed the perceptions of the
target markets, although they disagreed on one major dimension. Union
members felt that their skills and abilities were well suited to all construction
projects, not just the large, complex ones. Positioning the unions within the
smaller sized construction project market will be challenging, as they are not
currently perceived as currently serving that segment of the industry well.

Product

The product offered by the Great Lakes Building Trades is skilled labor within the
17 trades. Customers and potential customers as well as the members have
expressed that there is currently not consistency in the skills, training or
experiences across trade groups. The majority of the over 200 members that
participated in the focus group agreed that:

   The GLBT should implement standards to ensure quality WITHIN each trade
    group.
   The individual building trades should work together under the GLBT model to sell
    more work hours.
   The GLBT should implement standards to ensure quality ACROSS the different
    trade groups.




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Marketing Plan May 2007
Members also agreed that there are other opportunities to enhance the product
and the marketability of the Great Lakes Building Trades including the following:

   Increase skill levels
   Increased cooperation from the contactors
   Organize the various parts of the project/labor and work together
   Respect for each others work (across unions)
   Increase communication regarding expectations and what the agreements are
   On the Job Behaviors/Attitudes

GLBT would also benefit from developing an individual needs assessment
process for contractors that would identify and understand the various needs and
work process. Because most contractors are signatory with certain trades, there
is an opportunity to expand work across trades. Identifying customer needs and
providing methods to fill those needs is the strategy to expand those
relationships.

Competition

The competition for the Great Lakes Building Trades could be any nonunion
labor or contractors. There are a number of nonunion contractors who establish
their own “labor crews” within particular trades, so that workers are available and
trained in the specific systems and processes required by the particular
contractor. According to the market research, many agree that the Great Lakes
Building Trades groups can be differentiated through training and advanced
skills, although this is not consistent across trades. Developing the ability to
respond to customer needs for particular work process flow and skills assigned to
particular jobs and communicating those offerings can improve competitive
positioning.

Niche

The niche for the Great Lakes Building Trades is high quality construction
projects that demonstrate value in the total overall cost, not merely the lowest
construction bid. GLBT have demonstrated in their performance that they have
lower call back rates, lower long term maintenance rates and fewer quality
problems, as compared to nonunion labor. This niche can be present in
commercial as well as in residential construction.

Strategy

The market positioning strategy for the Great Lakes Building Trades is to quantify
and demonstrate the overall cost savings associated with union labor and create


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Marketing Plan May 2007
a “portfolio” of projects and experiences that tell the story of high quality union
labor. GLBT will also work on improving their distribution strategy by developing
a lead generation and sales process to streamline the project labor agreement
and contracting process for major building projects. The GLBT will also work on
developing “product” enhancements that include increasing targeted skills and to
work within and across the labor unions to develop quality standards.

Promotion

Promotion of the Great Lakes Building Trades will be done through a variety of
strategies. A data collection process will be established to document the cost
savings and outcomes associated with GLBT projects and a portfolio will be
created. GLBT will establish a website as a communications and market tool for
information about the trades, their skill levels and their quality standards. A
GLBT collateral brochure will be developed to support the sales process and will
be distributed to end users and others through personal contact and direct mail.
A public relations strategy that highlights the projects underway and
accomplished by the GLBT will augment the sales and other communications
efforts.

Other tactics to be considered include:

Pricing

Pricing is set based on the standard labor rates for the trades. Although this
price is at a premium level, compared to the competition, a higher skill level can
often justify the higher price, higher quality work and lower callback and
maintenance costs.
In addition, GLBT would benefit from developing a customer service process to
ensure that contractors and end users are satisfied during the
building/construction process and that the work process flow and scheduling are
assured to meet customer requirements.

Distribution Channels

The distribution channel for the GLBT will continue to be through the individual
business agents in short run. The agents will establish a work process flow
where they work together to target and follow up on leads according to the
following process:

   1. Business Agents meet to Plan Strategy for Targets/Define Roles for the
      sales & customer relationship management process




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Marketing Plan May 2007
  2. Identify top priority leads/projects from a source
          Look on project matrix created in meeting/added to matrix from
             Dodge Reports or other sources
          Brainstorm Prospects/End users/Architects/Contractors

   3. Check to see which trades have a relationship with that end user and/or
      contractor
          Communication and trust within the team
          Sharing of all information

   4. Develop an initial strategy to make contact
         Decide which people will make contact
         Decide what will be the approach
         Deal with the “elephant” in the room, and fix the problem at the
            source

   5. Make contact
         Ask questions!!! (and don’t be defensive about the answer)
         Ask clarifying questions to understand the “root” of the
            disagreements if they exist
         Make end user/contractor aware of what trades are available
         Ask “How can we help?” and “What will it take for us to be able to
            work on this project?” (try to determine/learn if the contractor has a
            “system” that needs to be implemented and how it would need to
            be done)
         Supply with case studies/marketing materials and the “story” of total
            overall value vs. lowest cost

   6. Report back to the rest of the group
             Be honest
             Don’t “shoot the messenger”
             Identify strategies to improve process and/or relationship with
               the end user and/or contractor
             Identify other (smaller) contractors who could be involved

   7. Strategize to get more trades involved in the project
      Work on enhancing relationships with prospects
              Develop proposals/project labor agreements

Over time, the group will evaluate the opportunity/desire to hire a dedicated sales
and outreach person for the GLBT, similar to positions that have been added in
other markets, such as Pittsburgh.



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Marketing Plan May 2007
Promotional Budget

How much will be spent on the items listed above?
What is the timeframe/budget expenditure?

Implementation Action Plan (project plan/schedule to follow)




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