Case Study

How Southern Power’s Contractor Playbook Saved $930K During Planned Outage Season

 

Prioritizing Contractor Safety Drives Bottom Line Benefits During Planned Outages

Planned maintenance outages are among the most operationally sensitive events in power generation. They compress complex, high-risk work into narrow timeframes while requiring the rapid mobilization of large contractor workforces.

For Southern Power, a leading wholesale electricity provider with more than 13,000 megawatts of generating capacity across 57 sites, these events exposed a critical operational vulnerability: ensuring contractors arrive fully qualified during high-volume planned outage maintenance.

During outage mobilization, hundreds of contractors would arrive on-site, many without having met required qualifications. What followed was not just delay, but disruption across safety, operations, and workforce coordination.

When I first got to Southern Power, I noticed a huge backlog of contractors at the entry gate trying to get in to perform work.

– AJ Hester, Health & Safety Principal, Southern Power Company

The Operational Breakdown During Contractor Mobilization

Southern Power’s planned outage model relies heavily on contract labor. At peak events, 300 or more workers may arrive within a short window to execute maintenance and repair work.

However, required qualifications such as drug screenings, background checks, safety credentials, and documentation were often verified only upon arrival.

This created immediate breakdowns:

  • Workers arriving without completed requirements
  • Long wait times at entry gates
  • Workers leaving site to resolve missing items
  • Delays compounded across outage schedules

You’re talking about 300 contract workers trying to get into a gate on day one of a planned outage. The line is backed up with some contractors ready to work and some not ready to work.

– AJ Hester

The challenges extended beyond getting contractors on-site.

Our process at the time was very manual and very fragmented,” Hester said. “A portion of each part of the process lived with a different group or a different person.

Internal teams were managing compliance across multiple systems and paper records, often spending three to four hours per worker verifying requirements manually.

Planned outages became continuous fire drills, with teams balancing compliance verification alongside their primary operational responsibilities.

When Efficiency Impacts Affordability

At a surface level, the challenge appeared to be onboarding inefficiency. In reality, it reflected a deeper structural issue.

  • There was no guarantee that workers met requirements before arrival
  • Compliance validation occurred reactively, not proactively
  • Documentation was fragmented across systems and formats
  • Contractors lacked visibility into their own qualification status

“I think over the course of time we’ve kind of taken it as that’s part of the business.”

— AJ Hester

Power generation is the core output. During an outage, that output stops. Every delay extends downtime and increases cost, both in lost production and labor. At the same time, contractors on site are being paid, even if they are waiting instead of working.

Ensuring Contractors Meet Requirements Before Arrival

Southern Power partnered with Veriforce to shift the model from reactive, on-site verification to ensuring all requirements are met before workers arrive.

“The real thesis of the entire conversation was having workers show up on site ready to work.”

— Chris Stockton, Director of Utility Client Services, Veriforce

The focus was clear. Ensure contractors arrive fully qualified and ready to work.

This approach introduced:

  • Pre-verification of contractor requirements before site arrival
  • Centralized visibility into compliance status
  • Clear identification of missing or expired credentials
  • Alignment between contractors and Southern Power Company’s site requirements

“Instead of workers showing up at the gate asking what they were missing, they now have that visibility at their fingertips before they arrive.”

— Chris Stockton

Contractors gained real-time insight into what was required and what remained incomplete.

“Giving our contractors visibility into their workers’ compliance was beneficial to them because they haven’t had that in the past. They couldn’t see what the compliance status was.”

— AJ Hester

Instead of arriving at the gate to discover issues, workers could resolve them in advance.

Scaling a New Contractor Management Strategy

Implementing a new contractor management strategy required coordination across safety, operations, procurement, and contractor partners.

Southern Power adopted a phased approach, focusing first on critical requirements before expanding over time.

“We didn’t bite off more than we could chew. We focused on key areas to provide impact and then built on that.”

— AJ Hester

“I think when it comes to pivoting, what starts with making sure people have orientations up front, through the partnership we were able to identify additional areas to streamline and consolidate data into one spot.”

— Chris Stockton

This approach enabled the organization to:

  • Establish control over high-impact qualification requirements
  • Consolidate compliance data into a unified environment
  • Reduce fragmentation across systems
  • Expand oversight as new opportunities emerged

As the system matured, Southern Power moved toward a single source of truth for contractor compliance, strengthening consistency and reducing ambiguity.

The Bottom Line Business Benefits of Improved Planned Outage Execution

Within the first year, Southern Power achieved significant improvements:

  • $930,000 in labor savings recovered
  • 5,496 contractor onboarding hours eliminated
  • Nearly 4,000 contractor workers streamlined through onboarding
  • 11,815 contractor records digitized and centralized
  • 509 compliance gaps identified and resolved before arrival

More importantly, the operational experience changed.

“Now contract laborers show up pre-compliant. They get through the gate, get on their tools, and get to work.”

— AJ Hester

The product is power… when you’re in an outage… you’re not producing product.” Stockton added. “Any potential for delay… is expense to the company not only in product but also in labor.

The removal of gate congestion improved execution timelines and reduced the cascading impact of early delays.

The Path to Continuous Improvement

What began as a planned outage readiness initiative quickly revealed broader applications across the organization. As adoption expanded, Southern Power identified opportunities to extend readiness requirements beyond planned outage scenarios and leverage Veriforce WorkerPass additional workforce types and operational contexts.

“One of our mantras at Southern Power is continuous improvement,” said Hester. “We recently executed an enterprise-wide agreement with Veriforce to expand usage across Southern Company, including contractor credentialing and supply chain. The possibilities keep growing because the foundation is strong.”

“Not a week goes by where we don’t find another area where this can be utilized.”

— Chris Stockton

The initiative evolved into a broader capability supporting workforce visibility, consistency, and operational control.

Key Lessons for Utility Safety Leaders

  1. Operational gaps often signal process improvement opportunities.
    Routine contractor engagement challenges can often create serios health and safety risks. “Multi-tasking and task-switching creates health and safety and environmental risks, errors for opportunity when employees are constantly running all over the place trying to prioritize,” Hester said “The need at the moment could be running fire drills all day, every day for a week or sometimes two to three months.”
  2. Contractor visibility bridges gaps between people and process.
    Providing contractors with clear insight into requirements improves preparedness and accountability. Instead of relying on multiple disconnected systems, information was brought together into a single, shared view across teams.

    This gave stakeholders clear visibility into requirements and status. It also created a consistent record of what was completed and when. The technology itself supported this shift by connecting people with the processes they rely on.

  3. Start with critical controls, then expand.
    The Southern Power team defined their vision for improvement and looked for a strategic partner to collaborate on how to prioritize and deliver impactful value – fast.
  4. “From Southern’s perspective, we wanted a partner we could trust, that delivered great support and service to our team and our contractors; with technology tools that were highly configurable. Different parts of our business have different needs. We didn’t want to find another piece of software for another part of the business. We chose Veriforce because they could meet our requirements, but also some future initiatives our team hadn’t even considered. That, and the service, support and experience Veriforce delivers to our contractors helped us make our decision,” said Hester.

Safer and Smarter Planned Outage Execution in Power Generation

Southern Power Company’s contractor management transformation demonstrates that improving outage execution requires more than faster onboarding. It requires certainty that every worker arriving on site is qualified, compliant, and ready to perform.

By shifting from reactive verification to structured readiness, Southern Power Company improved operational control, strengthened workforce coordination, and reduced disruption during critical outage events.

“It’s paid dividends. It really and truly has.”

— AJ Hester

Learn how today’s top utility safety leaders partner with Veriforce to improve contractor management from onboarding to onsite.

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