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Entrepreneurial leadership gives Clark Builders competitive edge

Daily Commercial News
Entrepreneurial leadership gives Clark  Builders competitive edge

When Clark Builders opened its doors in Yellowknife almost 35 years ago, it set a standard for the company’s operations into the next millennium.

BY PETER KENTER

When Clark Builders opened its doors in Yellowknife almost 35 years ago, it set a standard for the company’s operations into the next millennium.

Working in remote locations and harsh environments, Clark developed a capacity for delivering challenging projects with precision logistics, and executing complex contracts on a tight timeline.

Those skills are continuously applied no matter what the job, be it a city centre high-rise or mining facility inside the Arctic Circle.

“Our Yellowknife heritage is still with us,” says company president, Paul Verhesen. “In the north, you build everything twice; once logistically in the planning stages and getting all of the material there, and then the actual construction.

“If you suddenly run short of saw blades, you don’t have the luxury of stopping off at a Home Depot or a Rona to pick one up. No matter what the project, we always plan ahead with an intangible attitude that lets our clients know that we’ve worked out the logistics for them, reducing risk, both personal and financial.”

That attitude also instills confidence in the company’s employees and the sub-trades who work alongside them, says Verhesen. “They know we’re running the project safely and efficiently.”

With offices in Calgary and Yellowknife, the Edmonton-based company’s services are in high demand. An explosive 40 per cent, one-year revenue jump to nearly $475 million in 2007 is evidence of that, as is the new corporate home being built by Clark’s team to house 125 full-time office employees and support 500 field staff.

Clark has handled construction projects around the world, from erecting an entire community in Yakutsk, Russia (known as the coldest city in the world where -40 Celsius is a balmy winter day) to building mine infrastructure in the Nevada desert. Other technology transfer projects have taken the company to Japan and China.

“It’s all a matter of looking for opportunities where we can excel and be profitable,” says Verhesen. “We’re not primarily a construction company; we’re a bunch of entrepreneurs who happen to be good at construction.”

Clark operates in three economic spheres: remote site projects, commercial work in Alberta, and infrastructure work in the Alberta oil sands.

“We don’t count the oil sands as remote work, because it’s still accessible by road,” Verhesen says with a smile.

The company also represents two pre-fabricated building supply franchises, Butler and Behlen Industries. “These are like Meccano sets for builders. We assemble and erect all of the buildings we sell, which are supplied as kits.”

Preferring to get into each project on the ground level, Clark favours design-build contracts or those where it can exercise its skills in construction management.

“That’s where our planning expertise comes in,” says Verhesen. “We don’t just want to build buildings, we want to understand what the client is about and help them grow and succeed — we want to participate in their success.”

Clark counts on its employees to exemplify the company philosophy. Over 200 employees are shareholders and have a stake in its success.

“When they start with us, they buy in,” he says. “When they retire, not only can they look back at being part of a great team, but they have a nest egg for their retirement.”

The company is always looking for ways to expand its business, not only in pursuit of profits, but to provide opportunities for employees to grow professionally.

“We’ve got a talented mix of younger people and grey hair,” says the 45-year-old Verhesen, who was appointed president four years ago. “We don’t want our young talent to come up against a glass ceiling because we have no opportunities for them as entrepreneurs.”

To maintain the corporate culture, Verhesen endeavours to be part of the interview and hiring process, ensuring that each potential employee buys into the company’s vision.

Verhesen keeps his ear to the ground for new project/business opportunities through his involvement in the Young Presidents’ Organization and other board opportunities.

He comes by his involvement in the business’ marketing side honestly, having started with Clark seven years ago as vice-president of business development. “That’s the part of the business that I feel I can contribute to most on a day-to-day level,” he says.

The company is currently exploring various regional opportunities across Canada. As the price of oil dips to $50 per barrel or lower, it has changed the province’s economic playing field.

“When we get through this current political and economical unrest and get a sustainable economic model, our industry will be all right,” says Verhesen. “The economic playing field has changed greatly from six months ago for the construction industry. It is going to be similar to what we were used to four-plus years ago. The change will be from people capacity to project capacity. We will have more people resources than projects. This is far more sustainable in the long run and will keep costs in line so that owners’ projects make economic sense.

“Canada is in good shape to ride out this economic storm, but we need to have governments make good decisions that address current issues without putting the country in a debt situation we can’t get out of.”

Large job or small, Verhesen says the Clark philosophy carries through to every contract. Its philosophy reflected in the company’s recent award, Ernst & Young Entrepreneur of the Year Prairies 2008 in the construction innovation category.

“Whether we’re working on the EPCOR raw water system upgrade in Edmonton, the Explorer Hotel in Yellowknife, a brand new office building in Calgary, a northern defense installation or just moving a window or door, it’s part of a permanent relationship that treats the client with respect.”

While Verhesen can point to dozens of projects he counts among his favourite challenges, it was a recent moment in time that marks a high point with the company. Clark was working on four major Edmonton projects simultaneously — the Robbins Health Learning Centre at MacEwan College, Enterprise Square at the University of Alberta, a new commercial concept building for Sobeys, and the Don Wheaton Family YMCA.

“I was walking in the downtown Edmonton core, and everywhere I looked there was a Clark sign, logo or crane,” he recalls.

“At that moment, I was very proud of the Clark Builders team and very proud to be a part of it.”

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