- The Next Normal in Construction publication by McKinsey & Company reported, “Construction firms consistently underperform with profitability low, at around 5 percent EBIT margin, despite high risks and many insolvencies.”
- “Customer satisfaction is hampered by regular time and budget overruns.”
- “Risk aversion, fragmentation and difficulties attracting digital talent slow down innovation.”
- “Digitalization is lower than in nearly any other industry.”
- Implementing a digital solution
- “Short term and adversarial nature of construction contracts makes coordinating changes across organizations difficult.” McKinsey
- “In such a highly fragmented and horizontal industry many of the challenges need to be tackled collectively.” World Economic Forum
- Construction process today is time consuming and inefficient, as it relies on manual coordination between the designers, architects, planners, and artisans across the disparate organizations that are involved in the project
- Productivity growth in construction over the past 20 years was only a third of the global productivity gains
- World Economic Forum reported in Shaping the Future of Construction that relative productivity in construction declined 19% since 1964 in the USA while productivity across all non-farm industries grew 153%
- Management studied and “deconstructed” the construction industry identifying over 120 independent segments of covenants and other obligations.
- Only two of those segments (construction project management and architectural design) have invested substantially in innovations that impact the management of construction covenants in loan and/or construction agreements
- Covenantz has developed a financial-technology solution called Intelligent Covenant Management™ (ICM™) that is SaaS platform to:
- track, manage, and balance contractual relationships in construction processes
- manage and audit the production cycle and supply chain for construction projects
- ICM™ Solution is network–based data exchange for the design, construction, and lifecycle management of real estate assets
- comprehensive solution that facilitates the collection, validation, and syndication of disparate information streams into a cohesive whole
- collaborative solution that connects all ICM™ stakeholders through an electronic, network-based, controls governed, communication system
- connected solution with a web-based interface that seamlessly connects current electronic and manual systems and processes
- functional solution that facilitates the various cross-entity workflows to increase transparency, minimize costly delays, and reduce project financial risks
- Management believes it can improve efficiency in construction projects by up to 30%
- Management believes efficiencies gained from reengineering of supply chains and processes in the construction industry can be duplicated in other industrial sectors.
Pericles P. DeAvila (Chief Executive Officer and Chair of the Board of Directors
He is a technology startup veteran with 25 years of experience in business development, construction management and finance. He is the creator of the Company’s product design and workflow technology (ICM), Intelligent Cubed Block Chain Engine™ (ICBE) and the Complex Logic Construct™ (CLC). Mr. DeAvila “grew up” in the construction industry, becoming an executive at a General Contractor firm Dagcon when he was just 23 years old. He has personally led numerous high-profile construction projects valued upwards of $600 million (Safeco Fields, Microsoft, and Azor Golf\Hotels). He has taken companies public nationally and internationally. He is the inventor of the SRU™, MRU™, and the PLX-3D™ Software System (Pericles Logix System in 3 Dimensions) now known as “PSIM,” a disrupter technology currently marketed and sold globally by TYCO and ADT. He is the founder, Chairman, President & Chief Executive Officer, Sector 10, Inc. (OTCMKTS: SECI) and Deavila Homes, a condominium development company based in Seattle.
Previous occupation was the President of SKRM Interactive, Inc. He has received numerous national and international awards for his business acumen: Business Advisory Council to the United States Congress, Congressional Award (2002), Cambridge Business Award (2011) and a member of the International Society of Business Leaders. He studied Physics at the University of the Azores (formerly Instituto Universitário dos Açores) and Project Management at San Jose State University, California. He speaks five languages.
Laurence (Larry) A. Madison (Chief Financial Officer
He has over 35 years of management experience as a Chief Financial Officer in both public and private companies and a Tax and Business Consultant, assisting companies and clients in accounting, tax, financial reporting, strategic planning and financial leadership. He has managed $100+ million organizations, including high growth companies and startups. He has expertise in Risk Assessment, Sarbanes-Oxley, Mergers & Acquisitions, SEC reporting and Restructuring. He is experienced in international, U.S. federal, multi-state and local tax compliance and planning. He is the Chief Financial Officer, Secretary, Treasurer and a Director of Sector 10, Inc. He is licensed in Illinois as a Certified Public Accountant. He has a Bachelor of Accounting degree from Purdue University and a Master of Science in Taxation degree from DePaul University.
Patrick Viernes (Global Partner Strategist)
He is the Director at Amaxra, a premiere business management and technology solutions firm, Microsoft Gold Partner, and current Diversity Supplier of the Year. He has 20+ years’ experience in the technology sector, at Tech Entrepreneur and Microsoft, focused on software tech services, infrastructure development and international trade. While at Microsoft, he was responsible for over $6 billion in revenues in over 70 countries, developing public sector boards, business and marketing strategies and coordinating with government offices. He received a B.S. (honors) in Business Management from Ateneo de Manila University in 1995, and an M.S., Information Management, from the University of Washington in 2007.
Amy Cupples (Chief Product Officer)
She is a LEED Standards Architect with nearly 20 years’ experience on a range of public and private projects. Amy has received numerous awards including the ASLA Award of Excellence, ASLA, 2007 M. Victor and Frances Leventritt Garden at The Arnold Arboretum of Harvard University, Boston, Massachusetts. Design Team Member, ASLA Honor Award, ASLA-NCC, 2005 Wilder Ranch, Orinda, California. Design Team Member, ASLA Merit Award, ASLA-NCC, 2004 Vallejo Waterfront/Downtown Master Plan, Vallejo, California. She graduated top of her class both from the University of California at Berkeley, College of Environmental Design as well as a Master of Landscape Architecture, Harvard University Graduate School of Design.