LOS ANGELES, Oct. 28, 2003 – The NAHB Research Center and KB Home (NYSE:KBH), one of the nation’s largest homebuilders, today announced that KB Home will adopt a first-of-its-kind quality certification program developed by the NAHB Research Center’s National Housing Quality (NHQ) Program throughout its operations in the United States. KB Home is the first of the country’s largest homebuilders to implement the program on a national scale.
Based on ISO 9000 principles but tailored for the specific needs of the homebuilding industry, the NAHB Research Center’s NHQ Certified Trade Contractor Program is designed to train and certify all trades involved in the homebuilding process—from the foundation to the roof. The rigorous certification process emphasizes efficiency, accountability and communication on the jobsite.
“Quality has always been a top priority at KB Home, and we are constantly looking for new ways to deliver the best possible product to our customers,” said Bruce Karatz, chairman and chief executive officer of KB Home. “All of our
operating divisions have quality assurance programs in place, but this comprehensive new program will ensure that every trade contractor in every market meets the same tough requirements set by the NAHB Research Center at a national level. This consistency in quality and process will be a tremendous advantage as we continue to aggressively expand our operations across the country.”
To become certified, contractors must complete 15 hours of classroom training; create a customized quality assurance program and manual; undergo random site evaluations; and participate in an annual audit in which they must demonstrate continuous improvement in the quality of their work in order to be re-certified every year. Companies are eligible for a certification audit once they develop and implement their own quality assurance plan, with guidance from the NAHB Research Center, for a minimum of three months. In adopting the program throughout its operations nationwide, KB Home will eventually require all of its trades to become certified through the NAHB Research Center in order to continue doing work for the company.
“We are delighted that KB Home has taken the lead in implementing this program on a national level,” said Dean Potter, director of quality programs for the NAHB Research Center. “The program was designed to meet the needs of the homebuilding industry while raising the bar on quality at all levels of the building process. It’s a win-win-win for everyone involved: contractors find that their businesses become more efficient and profitable; builders get the benefit of better trained workers and faster build times; and customers get the best quality homes delivered on time.
“The insurance industry is also taking notice of this program,” added Potter. “Better documentation of quality assurance at all levels of the building process is likely to reduce litigation exposure, resulting in decreased insurance rates and lower costs for everyone.”
KB Home’s nationwide rollout follows a successful pilot program in the company’s Las Vegas, Nevada division. “The NAHB Research Center’s program establishes quality standards of the highest caliber while providing third-party verification that those standards are being achieved,” said Leah Bryant, regional general manager of KB Home, who spearheaded the pilot program in Las Vegas and will now be responsible for the nationwide rollout.
“One of the biggest benefits of this program is the harmony that is created on the jobsite when all of the contractors have been through the same training,” added Bryant. “They speak the same language and work together to deliver the utmost in quality assurance.”
KB Home plans to begin expanding the program this month throughout its Southern California operations, followed by Texas in December 2003; New Mexico, Colorado and Arizona and Northern California in January/February 2004; and in its Southeast operations thereafter.
For more information on the NHQ Program, contact Dean Potter, director of quality programs at NAHB Research Center, at 800.638.8556, ext. 6267 or dpotter@nahb.org
About the National Housing Quality Program: The NAHB Research Center, with the assistance of the Certified Trade Contractor Advisory Council, introduced the NHQ Certified Trade Contractor Program in 1991. Advisory Council members are: Ed Caldiera, Caldiera Quality; Sean Cavanaugh, Gypsum Construction Company; Kirk Grundahl, Wood Truss Council of America; Bruce Harrell, Home Buyers Warranty; Jim Hoffner, K. Hovnanian Companies; David Simon, Don Simon Homes; Craig Steele, Schuck and Sons Construction Company; and Jalsa Urubshurow, All-tech, Inc.
About the NAHB Research Center: Known as America’s Housing Technology and Information Resource, the NAHB Research Center is the research arm of the National Association of Home Builders (NAHB), and is located in Upper Marlboro, Md. In its nearly 40 years of service to the home building industry, the NAHB Research Center has provided product research and building process improvements that have been widely adopted by home builders in the United States. Through testing and certification services, the NAHB Research Center seal is recognized throughout the world as a mark of product quality and an assurance of product performance.
NOTE TO EDITORS ON STYLE USAGE: In order to correctly identify this company and its work, first reference should be "NAHB Research Center." If clarification of the acronym is necessary, the phrase, "a subsidiary of the National Association of Home Builders (NAHB)," can follow. In subsequent mentions, "NAHB Research Center" is the only acceptable and accurate reference.
About KB Home: KB Home is one of America's largest homebuilders with domestic operating divisions in some of the fastest-growing areas of the country including Arizona, California, Colorado, Florida, Georgia, Illinois, Nevada, New Mexico, North Carolina and Texas. Kaufman & Broad S.A., the company's majority-owned subsidiary, is one of the largest homebuilders in France. In fiscal 2002, the company delivered homes to 25,565 families in the United States and France. It also operates a full-service mortgage company for the convenience of its buyers. Founded in 1957, KB Home is a Fortune 500 company listed on the New York Stock Exchange under the ticker symbol "KBH." For more information about any of KB Home's new home communities, call 888-KB-HOMES or visit kbhome.com.
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For further information:
Debra Hotaling, KB Home
310.231.4015
dhotaling@kbhome.com
Lisa Gibson, NAHB Research Center
800.638-8556, ext. 6269
lgibson@nahbrc.org