Episode 457: The Skywalk Collapse & The 5 Decision Questions Every Construction Leader Must Train Their Team On

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If you’re a construction business owner, there’s one activity that just about everybody in your company does hundreds of times a week that you’ve probably never trained them on. It’s making decisions, right? Whether it’s your, on your team choosing to push a concrete pour, a project manager promising, hey, we’ll take care of that. The somebody in your office deciding which invoice gets paid. All of these decisions.

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Think about the hundreds of decisions that are made by your team and by yourself. They all touch your money, your schedule, your safety. Think about the safety decisions that are made. They touch your company culture and they have a lot of effect on whether people stay or leave your company. Not to mention your customer relationship and their experience, but most of your team has had exactly zero training on how to make decisions. Let’s talk about an important decision.

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Here’s the scene, it’s July 17th, 1981 at the Kansas City Hyatt. There’s a grand opening tea event. Hundreds of people are in their atrium. And the way this atrium was designed, it had multiple levels of skywalks on top of each other through the atrium of the hotel. And there was a decision made that ended up being fatal because what happened was

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maybe a year before sometime during construction, there was a change. There was a decision made by the steel fabricator and it was approved without review by the engineering firm. And somebody made the decision that the original design, which involved these 45 or 50 foot long continuous threaded rods that should have suspended these multiple layers of walkways.

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They decided this is going to be too difficult. It would be hard to source 45 foot long threaded rods, shipping them, handling them would be difficult. So they said, Hey, we’re just going to cut them in half and then we’ll change the connection at the intermediate level. Well, what that did was instead of running continuous rods from the roof structure down through the second level and the bottom level of the walkway doubled the load. So there’s this box girder made of two channels welded together and they switched it up.

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And this two rod system transferred the entire load of the second floor walkway directly onto the upper floor beam, which doubled the stress on that connection, put it up to 100 % of its ultimate capacity rather than splitting the load. And then because the load was doubled and concentrated right at one point where these two C channels were welded together with the weight of all of these hundreds of people at the grand opening, the weld joints split open.

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Allowing the support rod to just, and then the washer and the nuts to just pull straight through causing the walkway to collapse. And the end result was 114 people were dead. Over 200 people were injured. Some people actually were at risk of drowning because they were trapped under these skywalks that had collapsed and the fire protection system went off flooding it and the water couldn’t get out. So it’s fascinating case study.

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But it was, it all came down to one decision that somebody made and they didn’t follow the right framework. So this is what happens when people make decisions based on feel, convenience, assumptions, feel, not based on frameworks, not based on processes and systems. So if this can happen on a hotel job, what do you think might be happening on your projects and your business every day? Think about all of the decisions that you’re making.

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and your team is making. So you’re listening to the Construction Leading Edge podcast from constructionleadingedge.com where we are all about systematizing your construction business to maximize freedom, impact, and wealth. My name is Todd DeWalt and my team and I have helped hundreds of construction business owners over the past 10 years now put systems in place so they can eliminate chaos, grow their profits, build stronger teams, and get

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their lives back. think about in your business, on your projects, think about your team, how many decisions are your people making every day? Right? Let’s think about that. Well, a study by Columbia University estimates that professional managers, like project managers, estimators, anybody in a management type role, maybe even superintendents, make an average of 70 distinct high level business decisions every day.

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And I would guess the average project manager or superintendent, maybe even a lead carpenter or foreman could make over 100 decisions every day. What to do, how to do it, which tool to use, which equipment to use. Should you pour concrete? Should you not? How do you deal with this customer request? Is this an extra? Is it not? Should we write this up as a ticket? Is this safe? Is it not? So let’s talk about decision-making.

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All right, because industry data shows that managers who are surveyed believe only about 57 % of their daily decisions are executed at a high quality level. So people are making 70 to a hundred decisions. Only 50 or 60 of those are made at a high quality. So that means people are making up to 40 low quality decisions a day.

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And if you’re thinking about your operation, think about mistakes that were made, things that were missed, decisions that weren’t made, maybe the wrong decisions that were made. Think about the ripple effects of those decisions, decisions that you’ve made. Hires that you’ve made that were not good. Maybe hires that you missed out on because you drug your feet, things you agreed to with the customer, clients you took on that you shouldn’t have.

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you may realize, yeah, I’m making like at best on a really good day, 60 % of my decisions are high quality. let’s talk about decision-making. We’re to talk about some questions that you should ask, some tips for making better decisions. And so five specific questions you can ask to make better decisions for tips. And then before we’re done, I’ll explain how Leonard Skinner ties into all of this when it comes to decision-making. So quick note.

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If you think about leadership, decision-making is one of the key leadership skills. The ability to make good decisions is crucial to be a good leader. So that’s one of the skills we’ll be training you on at the Construction Leadership Advance live in-person event that we’re having in Nashville, Tennessee, October 22nd and 23rd, 2026. If you want to get better at leadership.

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bring yourself, bring your team, go to construction leading edge.com forward slash live L I V E or click the show notes link to get all the details and grab your seats. We have a few seats available. Registration closes as soon as it’s sold out or at the latest registration closes September 22nd. So let’s talk about five questions to help you and your team become better leaders. And this is something you could just

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share this podcast episode with your team, have them listen to it. When there’s a decision that needs to come up, most people ever only ask one question. What should I do? What do I got to do? Right? And that’s the wrong first question. Before you ask, what do I got to do? There are five questions that keep you from making big mistakes. Frankly, if the people at the steel fabricator on the Hyatt

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Kansas City Hyatt project had asked one or two of these questions, it would have avoided that disaster. And engineering school students like myself would not have studied that disaster. That’s where I found out about it 30 years ago when I was a young, aspiring structural engineering student at the University of Kentucky. So here are five questions to ask. Question number one, this is a great one.

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When does the risk profile change? All right. So instead of asking, what do I got to do? What do, should I do? A great first question to ask is when does the risk profile change? So what does that mean? Well, for example, if you have a deadline for submitting a proposal, that deadline is when your risk profile changes. Your risk of losing the job goes up. Maybe it goes to 100 % if you miss the deadline. When an estimate

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turns into a signed contract, your risk profile changes. If there is a price increase, the risk profile changes. As a project moves along during construction, the risk profile changes every day because as more trades come in, things get covered up, the risk profile changes. So the first question to ask is when does the risk profile change? And this tells you when

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a decision should be made. You may have time and we’ll talk about a tip for how much information do you need together and that in just a few minutes. So question number one, when does the risk profile change? That’ll tell you when you need to make a decision because you may not need to make a decision at a specific time. You may not have to make a knee jerk decision. And here’s a really good question. Question number two, which is right up there with number one, do you need to make a decision at all?

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Question number two is, do you need to make a decision at all? Is a decision even required here? Has this already been decided before? Right? What does the contract say? What does the specification say? Has this already been decided? You may ask a question, is this a not my circus, not my monkeys type situation?

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where you have already delegated this to somebody else or it’s contractually their obligation and you don’t need to make a decision. You just need to say, hey, I look forward to what you come up with. All right. So a great question to ask before you jump in and start exercising your decision-making muscles and putting on the fireman’s hat, ask, do you need to make a decision at all? It could have already been decided.

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This could be somebody else’s accountability should be maybe it’s their decision to make and you don’t have anything to do with it.

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they had asked that question in the Kansas City Hyatt, may have had a different situation. Question number three, who should be involved in this decision? This is definitely a question that the steel fabricator, that detailer who made the change on the Kansas City Hyatt project should have asked. Who should be involved in this decision? And we’re not asking who has an opinion. We’re not trying to gather a committee, but we’re asking who should be involved in this decision. So who is accountable?

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for this area. If you have a project manager and there’s a situation on a project and you feel like a decision needs to be made, you should ask who’s accountable for this project. That person should be involved in this decision. Who has the technical expertise to make this decision? This is where, is this a structural engineering decision? Is this an architectural design decision? Is this a geotechnical consultant?

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Decision, is this an interior design decision? And a good question to ask is who owns the risk if this goes wrong? Should you and your company take on this risk? Or is this a risk that somebody else should take on like a subcontractor, the engineer or the client? This is one of the questions.

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You should ask who should be involved in this decision. Maybe the client also needs to be in there. So listen to this. One of the most expensive and risky habits in construction is when people make decisions that their client should own, when they make decisions that a consultant, a design professional should own. If you are making decisions, if you’re going outside of your lane and

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making decisions on structural members or architectural design details because you’re in a hurry and you got to get stuff done, you are taking the risk and they get the convenience. So good question to ask is who should be involved in this decision? Who owns the risk? If this goes wrong, just because there’s a decision to be made doesn’t mean you have to make it. Right? Question number four.

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is what’s the desired end result? There’s a situation that comes up and you need to avoid the temptation to just make a decision. Some people just, there’s a problem. They’re playing whack a mole and the problem pops up and they just whack the mole just to get it off their list. And that’s not a good move. So before you pick a move, before you take the first step, define the finish line. Ask what is the desired end result here?

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What’s the outcome that we’re shooting for? What’s the outcome on safety? What’s the outcome for budget for client satisfaction and relationship, client experience for schedule, establish what the desired end result is, and then work backwards from there. So you get to the finish line and then you ask this question, what would it take to get there? We are here at point A. The desired end result is point B. What would it take

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to get there. So resist the urge to just take a quick step that moves you in the wrong direction. And it just requires backtracking. I’m going to talk about that some more when I discuss the Lynyrd-Skinner principle in a minute. Hey, Todd here in a quick break to tell you about something. If you’re a construction business owner and you’re still the answer key for every important decision in your business, and you want your team to own more, maybe all of the day-to-day,

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This is for you. We’re hosting the Construction Leadership Advance in Nashville, Tennessee, October 22nd and 23rd, 2026. It’s a two-day live in-person curated experience designed to do one thing for you. Turn you and your key people into a real leadership team that owns the day-to-day so you can focus on strategy, key relationships, high leverage decisions, and actually being the CEO of

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your business. two days together, you’re going to get clear on who’s accountable for what, how decisions can get made without you, and how to delegate results so work actually gets done without micromanaging. And, maybe the best part, is you’ll be doing that work in a small room full of like-minded construction business owners and leaders just like you from all over the US and Canada who are dealing with the exact same stuff you are. Not a local

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Home Builders Association breakfast full of competitors who keep all their best ideas to themselves. Frankly, the relationships you’ll walk away from this event with could be worth the price of admission. Here’s the deal. Registration closes September 22nd. We only have a few seats left. By the time you listen to this, we may not have any seats. So if you want your leadership team to carry more of the weight and take over the day to day, go get your seat.

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for the construction leadership advance at constructionleadingedge.com forward slash live L-I-V-E or go click the link in the show notes to get the details and grab your seat and a seat for your key leaders. We’ll see you in Nashville. Question number five, what is the cost of indecision? There’s a COI for every decision.

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cost of indecision. Here’s the thing. Not making a decision is still a decision. It is a decision to procrastinate. Not making a decision is a decision to do nothing. Okay. So not making a decision, putting off the decision is a decision to do nothing. So you need to understand what’s the cost of indecision. If we don’t do anything, if we wait, what is it going to cost us?

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Not deciding on a change order, for example, the work proceeds, you eat the costs. Back in my commercial project management days, AIA contracts had a change order window in there. You had seven days or 10 days from the time an unforeseen condition popped up to present a change order. So the cost of inaction, if you waited past that time and that window closed, the cost was you had to eat that cost and you had to do it.

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Let’s say you’re thinking about hiring someone you’ve posted the job. Great candidate comes along and you’re dragging your feet. You’re like, I don’t know if I can afford it. I don’t know if we have enough pipeline. What if I hire them and I have to lay them off? What if this, what if that? And then when you finally, maybe before you even pull the trigger, you just talk yourself out of it and they text you and say, Hey, thanks for the chats. But I decided to go with somebody else.

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Or if you have somebody on your team who is toxic, they’re clearly not a fit. The cost of inaction is the stress and the frustration from your team who are quietly, maybe not so quietly wondering when are you going to get rid of this sea player, this bad apple? There’s a cost of indecision. If there’s an issue that pops up with a client that they’re frustrated about, if every day that you don’t.

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respond to that they are projecting their worst fears into that vacuum of information. So that is the cost of indecision. Sometimes there’s an emotional psychological cost where they create these fantastic scenarios in their mind where you’re going out of business, you’re stealing money from them and there are all these problems and it’s just a worst case scenario.

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A question to ask is what is the cost of indecision? There is a COI and many times the cost of indecision is higher than the cost of a wrong decision made quickly and corrected. Okay. Let me say that again. Some of you are so worried about making a wrong decision that you make no decision and you’ve got to understand that sometimes the cost of indecision is higher than the cost of wrong

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Decision, pull the trigger, make a move. All right. So let me give you a tip. Here’s if you’re thinking, this is great. I want to get better at making decisions. want to get better playing whack-a-mole. But if you, if you want to make fewer decisions on your projects, if you want to have fewer fires to put out and fewer, Hey, what do we do here? Texts. And you enjoy working on high level stuff and you don’t enjoy jumping in your truck and running out to job sites and getting.

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your day hijacked, you don’t fix that in the field. You fix it in pre-construction. Okay. The pre-construction phase, this is the secret. This is the secret profit phase where projects are made or lost, margins are made or lost, client experience is made or lost. It’s in the pre-construction phase and companies that grow successfully and they don’t spend all their time in firefighting. They are actually great pre-construction.

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So the more decisions that you force to happen before the job starts, before the handoff, the fewer expensive decisions you and your team have to make during the job. Let me say that again. The more you look, you’re going to make all of these decisions. You just get to decide when you make them. Are you going to make them when the meter is running and there’s a lot of pressure? Or are you going to make like on the job site when they have to be made right now and you have to stop what you’re doing? Or are you going to make them during pre-construction?

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things are relaxed and there’s no urgency. So the more decisions that you forced to happen during pre-construction, the fewer expensive decisions you and the team have to make during the project. So if you’re thinking, yeah, man, we are deciding way too much on the fly. We are running around with our hair on fire. Then your next step is simple. You need to get your pre-construction process dialed in. And that’s exactly what we focus on.

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with our clients and our systematize your construction business program. So the first step, go book a business evaluation call with me. On that call, we’re going to look specifically at your pre-construction and your handoff. Look at what decisions are getting pushed off into the field that could be made upfront. Look at what’s missing from your pre-construction process, your checklist, your meetings, your contracts, your selections. We’ll even look at is your organization designed

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appropriately. We’ll look at how we can redesign pre-cons so that 80 % of the decisions are made upfront, maybe even 90 or even more and documented so you hand off when you hand the project off from the office to the field, it’s an A plus handoff and your team has everything they need to finish instead of just enough to start. So if that sounds good, go book your business evaluation call. I’m going to show you what tightening pre-con could look like in your business. If it makes sense.

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I’ll show you how our systematize your construction business program helps construction business owners like you build that process. So the company stops depending on you and firefighting to catch every loose end. So this is not for everybody. There are some qualifications. If that sounds good to you, go to construction, leading edge.com forward slash apply, or just click the link in the show notes and grab your business evaluation call. So

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Hit pause. This is what you need to do. Hit pause. Go to constructionleadingedge.com forward slash apply, fill out a couple of questions, book the appointment, then come back and finish the episode. So remember not making a decision here is still a decision. It’s just a decision to keep things exactly the way they are. Okay. So those are the four questions. Here’s some practical tips to making decisions. And we’re going to get to.

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the Leonard Skinner connection here in just a moment. The first tip is something I picked up 15 years ago or so, which is great. It’s Colin Powell’s 40-70 rule. And what that means is most of you, many people, well, there probably two spectrums. There are some people who are like ready, fire, aim, and they are making decisions too fast. And then a lot of you, probably more of you are on the perfection side where like, need to have 100 % of the information before I make a decision.

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You ain’t never going to have 100 % of the information. So the Colin Powell rule says, the 40-70 rule says never make a decision before you have at least 40 % of the information and never wait to make a decision after you have 70 % of the information. So if you’re in that sweet spot of 40 to 70 % of the information, pull the trigger, make the decision. You can course correct from there.

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And if you think about it from a military standpoint, when lives are at stake, there is a huge cost of indecision. If the enemy is maneuvering around you, you can’t just sit there and wait and get more more intelligence. You have to make a decision. And it’s really the same way in business because the cost of indecision is often very high. So 40-70 rule. Tip number two, here’s the Leonard Skinner principle. There’s an old song called, me three steps. Give me three steps. Give me three steps, mister.

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Give me three steps toward the door. So every time you make a decision, every time your people make a decision, train them to think three steps, not just one step, think three steps, force yourself and your team to look three steps ahead. Okay. If we do this, then what? And if we do then what? Then what? And look at least three steps ahead. Even better, go all the way to the, the finish line, but think at least three steps ahead. So this happened to me years ago.

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I was running a company and we had done some work where we had installed sewer lines in the street, in this main highway. And months later, I actually left the company, came back months later to find out that this, this pavement, the road cut that we had made was cracking and failing. And now I knew what the problem was. The problem was there was a state.

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detail that required an eight inch concrete cap over any cuts in the road. And then it would be asphalt pavement over that. Now I knew that the client had directed us to install a four inch concrete cap in this heavy duty main highway. So I knew that was the problem. And here’s what they were asking like, Hey Todd, the engineer called me and said, Hey, we just need to get some guys down here.

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Want to open up a section of the street and see what’s going on. There’s some settlement going on and we just want to see what’s happening. Well, I thought, all right, we could do that, but let’s say we open it up. Then what? What are we going to find? Well, we would have opened it up and basically opened up Pandora’s box and given them the opportunity to say, Hey, now you have to fix at least the part that you opened up. We would have been responsible for that.

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And then it would have opened up the conversation about what the issue was. Well, I pointed them to the fact, look, here’s the spec. Here’s what you directed us to do. The only question here is, did we install a four inch concrete cap? The question of, was it correct? It’s not our issue. Our contract was based on a four inch concrete cap. So I said, the only

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question is, did we install that four inch concrete cap? Now they tried to say that the stone backfill wasn’t compacted properly. And I informed them, you can’t compact stone. It’s not like soil. can’t compact it. So when they asked me, Hey, can you send a crew down here? Oh, just open it up. We just want to see what’s going on. Like, no, no, no, we’re not going to do that. Cause I thought a few steps ahead and we ended up not having any liability because we

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had done exactly what we were supposed to do. And I didn’t just jump and try to make them happy because I knew I needed to think a few steps ahead. All right. Tip number three is set a decision deadline. If you have a decision that needs to be made, the risk profile is not really going to change. There’s not a deadline. Set your own decision deadline. So this thing doesn’t just drag on and take up mental real estate. So understand this decisions.

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tend to expand to fill the available time to them. This is Parkinson’s law, I think is what it’s called. Tasks tend to increase in duration and complexity to fill the time allotted to them. So decisions tend to expand to fill the available time. So shrink the time, set a short deadline. Maybe you could screw around with this decision for six months, but

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If it’s only going to take you two days to gather the information and make the call, set the decision deadline. So set explicit deadlines for yourself and your team. We will decide this by Friday at 4pm. Here’s an example. I was on a call with one of our CEO Alliance groups and one of our members shared that one of the things that was, he had been putting off a decision on whether or not to fire a marketing agency that he’d been working with. He just wasn’t really happy. There was.

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The response, there was no real measurable metrics and they, was thinking, wow, should we just give it more time? And I said, my advice is set a decision deadline.

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What information do you need? How long will it take you to gather that set the deadline? And he did, he set the deadline, pulled the plug and moved on to the next thing. So tip number three is set a decision deadline. And here’s tip number four.

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If think about decision-making, decisions take seconds. Unless you’re like, I’ve got to go decide on what to do about this, this change order situation. Are you going to go sit in a rocking chair and just smoke cigarettes furiously and just rock back and forth and think, think, what do I do? What do I do? No, if you do, you’ll immediately get distracted. You’ll start thinking about something else and go to something else and you pretty soon you’re.

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You’re completely off track. So the actual decision takes seconds and all of the, I’m thinking about it. I’m deciding is usually just anxiety and procrastination and actually nothing. It’s actually nothing. So you have to understand decisions require information. They don’t take time. They actually just take seconds. So challenge for you would be to list.

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two or three decisions that you’ve been thinking about for weeks or months, and then give yourself a 24 hour or 48 hour deadline, or just decide right now to kill them. There may be something right now that you’re, you’re grappling with and you just need to make the call. This happened to me yesterday. I needed to make a decision about what to do about a situation that was going on and it was bugging me and I was thinking about it. So I just pulled off the interstate.

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set on the exit ramp, sent an email, made the decision. Here’s the decision. Boom. It’s done. decisions take seconds. Procrastination takes weeks. So list a couple of decisions, even thinking about and make a, make the call. In the book, Extreme Ownership, Leif Babin has a strategy. These are a couple of Navy SEALs that wrote a great book.

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And it was look around, make a call, look around, make a call, gather information, make the call. Don’t let things gather on you. And then tip number five, again, make as many decisions as possible during pre-construction. One of the reasons you have so many fires going on is because you’re doing what should be pre-construction during construction. You’re stuck in the just enough to start trap. So push as many of those decisions as possible.

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to pre-construction.

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Number one tip for eliminating firefighting. So if you’re listening to this thinking, man, my leaders, my project manager, my estimator, my director of operations or whoever needs this, we can’t keep winging decisions on these big projects. Then you don’t need more trying, right? Maybe you’re trying to get better at leadership. You’re trying to get better decision-making. You need to stop trying and actually start training.

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Okay. And that’s exactly why we’re hosting the construction leadership advance in Nashville, October 22nd and 23rd, 2026, two days in person, relatively small group, maximum of 50 people. You and your key leaders are going to be able to get out of the chaos, get out of the dumpster fire and actually train the skills that we talked about today. How to make decisions and what we’re

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specifically going to focus on is training your people on how to make decisions without you. How to think a few steps ahead, how to know who should decide what and how to stop letting the cost of indecision kill your schedules and your profits. You’ll be in a small room, serious construction business owners and leaders from all over the U S this is not a local HBA breakfast full of competitors. You’re going to leave with clarity on who’s accountable for what you’ll have a

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concrete 30-day plan to start running the business without everything bottlenecking through you. Right now, as I’m recording this, we have a few seats left. Ticket prices go up very soon. They may have already gone up by the time you read this. And registration closes on September 22nd. So, as we’ve talked about deadlines drive decisions, so here’s your deadline. Registration closes September 22nd.

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Go to constructionleadingedge.com forward slash live L I V E or click the link in the show notes, get all the details, grab a seat for you and one or two of your key leaders. So if decision-making is a vital skill for your team, don’t just hope they figure it out. Don’t just assume they’ll get better at decision-making by osmosis and by trial and error. Come to Nashville and let’s stop trying and start training. So quick recap.

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Five questions you can ask. one, when does the risk profile change? Question number two, do you need to make a decision at all? Question three, who should be involved in this decision? Question four, what is the desired result? The desired end result. Question number five, what is the cost of in decision? So those are five questions and four tips you and your team can use to make better decisions. So final reminder.

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Think about this, every result that you’re living with right now, business, life, health, relationship, it is the compound interest of past decisions and indecisions. So everything in your life that you look around and see is the compound interest of past decisions and indecisions. Another way to say it is that the quality of your life and your business

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They’re a direct reflection of the quality of your decisions. You make bad decisions, your life’s going to suck. Life’s going to be really hard. If you make quality decisions, your life will be better. So decision-making is a skill. It’s not something you were born with. It’s not hard-coded into your DNA. It’s not genetic. It is a skill that can be learned. Young people can get really good at decision-making by understanding frameworks like we’ve talked about. So.

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Stop trying to get your people to be better leaders. Stop telling them to try to make better decisions and start training them to do that. Thanks for listening. My name’s Todd from Construction Leading Edge. If you got some value out of this, me a favor, like, subscribe, comment, share this with somebody. Maybe there’s somebody in your network like, hey man, you suck at making decisions. You need to listen to this podcast.

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But if you could leave a rating or review on YouTube or Spotify or Apple podcasts, wherever you’re listening, that helps get the word out. And it means a lot to me too. So if this was helpful, do that for me. That would be great. Share it with whoever sucks at making decisions. Maybe you share it with your team as well. And until next time.

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See you later, thanks. Hey, before you hit stop and skip on to the next episode, let me ask you something. If you’re building custom homes or big renovations and you’re starting jobs before scope, subs and selections are completely dialed in, how long can you keep scaling like that before something cracks? That’s exactly what we’ll unpack on your free business evaluation call. In about 45 minutes, my team will help you do a few things. Grade your current handoff from office to field.

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Put some real numbers to the hidden profit leads that could be in your business. There could be hidden profits in your business. Sketch out what a repeatable operating system would look like in your business from sales to pre-construction through completion. And if it looks like we can help, we’ll book a follow-up call to talk about the right implementation program for you. If it’s not, you’ll still leave with clarity and next steps. We will leave you better than we found you. So to book your call and be…

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sure that you qualify for that call, go to constructionleadingedge.com forward slash apply, A-P-P-L-Y, or click the show notes. There’s a link in the show notes and book your business evaluation call.