Delivering a construction project requires exchanging thousands of designs, contracts, ROIs, samples and other documents between multiple departments and stakeholders. Transmittals document the flow of information, tracking when, where and to whom information changed hands, protecting you from litigation and payment delays.
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What This Guide Covers:
- What Is a Transmittal?
- What To Include
- Primary Benefits
- How To Write a Letter of Transmittal
- Next Steps
What Is a Transmittal?
A transmittal, also known as a letter of transmittal (LOT), is a digital or physical communication between two parties in a construction project that acts as a record of proof for the transmission of files, mock-ups, samples and other construction documents. It details what items are being sent and when, who sent them, and who received them.
Transmittals may also contain context about the sent items or directions on what actions the receiver needs to take upon delivery.
An example of a completed transmittal, including sender and receiver names, date sent, and context about sent materials. Source
Transmittal vs. Submittal
Where transmittals act as the record of sent items, submittals are the actual documents themselves, such as product samples, contracts or information for ROI.
Often, submittals flow from contractors and subcontractors to architects, engineers and other members of the design team. Submittals ensure any designs, materials and equipment purchased or installed correctly adhere to the project’s requirements and final vision.
Transmittals do not always accompany submittals. However, it’s common for contractors to include transmittals when the contents of the submittal are crucial to the progress of a project or require a review. In such instances, the title of the document may even be Submittal Transmittal.
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What To Include
Though they play a crucial role in resolving litigation and disputes (more on that later), there are no laws governing what to include in a letter of transmittal. Nonetheless, it’s important to include certain details to protect yourself.
Introduction
Provide general information about the sender, receiver and the document itself, such as:
- Sender’s contact information
- Names and addresses of the companies or individuals
- Transmittal number
- Date sent
- Project name
Body
The body of a transmittal covers the contents and context of the attached materials, including a detailed list of each item. If the receiver needs to take any actions with the materials, make sure to clarify what those actions are and provide an appropriate completion timeframe.
Close
Finally, close out the letter with the author’s or department supervisor’s signature. It’s also a good idea to provide any other contact information for the sender or repeat the contact information above.
Primary Benefits
Though drafting transmittals is tedious and time-consuming, they provide legal safeguards and process advantages that protect and improve your company long term.
Protect Your Company From Claims and Lawsuits
The old adage is true: the person with the most documents wins. In other words, the more proof you have when facing legal challenges, the greater your likelihood of winning the case.
Transmittals act as a signed and dated record of proof, detailing where and when certain files, samples and other documents changed hands. With industry experts predicting more disputes and lawsuits stemming from supply chain issues and inflation, transmittals are more important than ever to protect your business.
Improve Communication
Whether small residential builds or large municipal structures, communication breakdowns are an issue for every construction project. Poor communication leads to delays, more change orders and other issues detrimental to your bottom line.
Transmittals streamline communication by providing comprehensive lists of included materials. They also give the receiving party context and clear instructions on how to proceed with the provided documents so everyone stays on the same page.
Ensure Payment
As mentioned above, you can expect an increase in lawsuits within the industry. As payment disputes are a leading cause of litigation, safeguarding your company from disagreements that delay remittance is paramount to maintaining positive cashflow.
By issuing letters of transmittal, you ensure a comprehensive and accurate record of delivery. When disputes arise, you have the proof you need to illustrate adherence to contract standards and execution of duties.
How To Write a Letter of Transmittal
Again, the most important aspect when writing a transmittal is including all the necessary information for the sender and receiver. Often, general contractors and construction managers will turn to digital tools to prevent critical omissions.
Software
Construction management solutions often include modules that manage transmittals throughout their life cycle. The platforms include dialog and checkboxes to quickly enter the necessary information, automatically generate document numbers, send completed letters and track their status.
When disputes or audits occur, you can locate a transmittal by searching for its title, number, author, recipient, creation date and more.
Construction management solutions, like Procore, allow you to create, track and organize transmittals digitally. Source
Templates
Prebuilt templates allow users to quickly create transmittals using a set form. Though the user must manually update document numbers and manually track their status, templates are an easy (and free) way to ensure the consistent inclusion of critical information.
An example of a generic transmittal template. Download the template here.
From Scratch
Some firms still prefer to create unique transmittals using Word documents or Excel spreadsheets. Though using familiar platforms does have certain advantages, creating wholly unique documents every time leaves room for errors to compromise the effectiveness of your transmittal.
It’s not uncommon for businesses to use emails as a stand-in for transmittal management tools. Though convenient, it is also prone to mistakes, such as unintentional deletions or junk mail designations leading to missing documents.
Next Steps
Transmittals are digital and physical documents critical to augmenting and streamlining communication during a construction project. They also provide crucial proof of delivery when payment disputes and other legal issues arise.
If you’re looking to improve your transmittal management process, consider investing in construction management software. Take a look at our comparison report to find out more about industry leaders and their solutions.
Did we miss anything? How have transmittals improved your communication? Let us know in the comments below!