Kovach Enclosure Systems
The Challenge
Kovach Enclosure Systems, a family-owned powerhouse specializing in custom metal and glass enclosures, has seen remarkable growth since its humble beginnings in a Scottsdale garage. With a current workforce of 325 employees, they focus on commercial, educational, government, medical, and mixed-use projects across Arizona (their home base), California, Kansas, Tennessee, and Texas. Despite their success, the company faced significant challenges stemming from outdated, manual billing processes.
Relying on paper-based methods, the team was bogged down by time-consuming tasks, leading to inefficiencies and frequent follow-ups with project managers (PMs) in the field. As Karen Krauter, Kovach’s Treasury Manager, put it, “I manage 50 to 60 pay apps each month, which is cumbersome in and of itself. The most convoluted part was manually transcribing billing information from individual pieces of paper into separate forms for each GC, each with their own specific requirements.”
Kovach and their team also relied on spreadsheets—and countless manual reminders—to track, generate, and submit 20 to 25 lien waivers on time each month, further hindering their efficiency and productivity.
These operational hurdles indicated a clear need for a solution that could streamline their billing workflows and empower their team to focus on higher-value tasks.
The Solution
While exploring solutions to their operational challenges, Krauter was proactively contacted by a Siteline representative. Initially hesitant to engage with a sales call, Krauter was pleasantly surprised by what she experienced.
“I never pick up sales calls,” admitted Krauter. “But for some reason, I picked up Claire’s call. It all sounded too good to be true. I thought, ‘there’s no way this software is geared toward me—I’m at the bottom of the construction world food chain.’” However, Siteline proved to be the exception.
Unlike the expensive, GC-centric ERPs she had previously considered, Siteline is specifically designed to address the unique pain points of subcontractors like Kovach. The system’s focus on automating redundant subcontractor workflows—particularly in the areas of billing and lien waiver management—resonated deeply with Krauter and her team. The added benefits of enhanced financial visibility and real-time messaging further solidified Siteline as the ideal solution.
The Results
Siteline's primary goal is to remove obstacles that delay subcontractor payments by simplifying traditionally manual processes. At Kovach, this has translated into a new era of efficiency and visibility, faster payments, and greater collaboration.
Specifically, Siteline’s impact has resulted in these key improvements:
Three days saved on billing each month
Siteline centralized solution for creating, tracking, and submitting pay applications and lien waivers has significantly streamlined Kovach’s billing process. They’ve saved an average of three days each month on billing preparation and an additional four hours on lien waivers.
As Krauter recalls, "It used to take me five days to prep everything, then I’d give the PMs five days to get their billings in. It’s amazing how much of a game-changer Siteline has been with this process."
20-day reduction in A/R aging
The improved efficiency in the pay application process has directly translated to faster payments. When Kovach first adopted Siteline, their average time to payment hovered around 80 days—which is just under the industry average. Within a year of using Siteline, Kovach has reduced its A/R aging by 20 days. This has helped to significantly strengthen their cash flow and increase their confidence in taking on new projects.
Empowered, more satisfied project managers
Another factor contributing to their increased billing efficiency is the visibility PMs have into what’s due and when. Within Siteline, they can easily track and submit their billings on time—regardless of their location or schedule.
"The PMs just go in and enter their data," Krauter explained. "They know they need it done by the 13th of the month. They can do it on their job sites, traveling, homes, anywhere. It’s just been tremendous."
This has not only saved PMs valuable time but has also increased their overall satisfaction by eliminating tedious paperwork and reducing administrative burden.
Better collaboration between the field and back office
Siteline’s automated reminders provide timely nudges to PMs, helping them keep track of billing deadlines without constant follow-ups from Krauter.. "There’s not all this back-and-forth between me and the PMs—all of that is gone,” added Krauter. “I get one email (instead of many) that says the billing is done."
This, coupled with real-time messaging for updates regarding pay apps, lien waivers, or change orders, has significantly improved collaboration between the field and back office, reducing delays and boosting overall efficiency.
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