Re-Wrapping Your Arms around Your Construction Business
Grow or Go
Most construction companies will grow over time, and when this happens, the owners find it necessary to tend to the “business side” of the construction business. Small contractors will find themselves spending off-hours estimating jobs, doing the books, or doing other paperwork to the exclusion of other activities like spending a little quality time with their families. Larger contractors will experience some sort of a growth spurt that all too often has them wondering if they are making any money. Each has grown past the point of any internal control systems that may have been in place. So, each will either “grow or go”. It is that simple. Luck only works for a while. The solution is in creating a system of controls and information flow that provides an ability to keep things from “falling through the cracks” that work for you rather than the other way around.
How it is Done
Successful contractors who have been in business for a while are constantly monitoring the systems they have either acquired from the school of Hard Knocks, or have acquired from others. If one of these fails to provide the information it was designed to produce, it is re-vamped or scrapped and replaced. As an example, we often see anyone (sometimes everyone) making trips to the store to pick up needed parts to finish a task (often several trips per day). There comes a time when someone figures out how much this lack of planning is costing the organization and things change. Only certain individuals are allowed to purchase, perhaps. Or, project managers and/or superintendents are required by management to organize purchases and deliveries so the supplier does this. Or, the contractor hires a lower cost delivery person to go to supply houses to pick up needed parts and deliver to job sites. This kind of a solution streamlines processes, saves time, and in the end, saves money. It also has the added benefit of improving the company image to clients and employees. Confident clients refer future business. Employees impressed with the professionalism of their employer tend to be more professional themselves and more productive.
How We Can Help
We, as consultants to the industry, have seen almost every conceivable mistake. We have also seen some incredibly ingenious ideas that have proven most effective. Our job is to help construction professionals who at one point had their “arms wrapped around the business” do a re-wrap by evaluating their particular problems and devising solutions based on our combined 35 years of working with literally hundreds of contractors. These may be simple manual procedures or sophisticated software systems like Sage Master Builder or Sage Timberline Estimating. Sophisticated software is usually underutilized if the appropriate manual systems have not been incorporated into the work flow. So, it usually involves a combination of both.
How it Works
We begin the process by talking with business owners and staff. After a relatively short discussion, we can usually determine the severity of their problems and suggest the appropriate measure of effort and time that it will take to address a solution. Perhaps the problem is simply designing a policy and/or procedure like the one above concerning material purchases. A more serious issue might be changing the direction of the business. Lately, many builders are turning from residential work to commercial and public works contracts. Bonding, reporting, billing, etc. are items that need to be addressed before entering these arenas. Estimating processes and software systems might be continually causing issues. We all know what the penalty is for leaving something important out of a bid. Perhaps, estimating software, estimating training, or designing an estimating procedure will keep this to a minimum. The next step is to formulate a plan of attack. This process would be similar to a custom home builder laying out the construction of a new home with plans, specifications, budgets, schedules, etc.
What We Offer
Our offering of products and services provides you with a realistic and appropriate solution to many issues at an affordable price with the confidence that you can achieve your goals using a methodical, pragmatic approach that does not unnecessarily upset the day-to-day operations. And, we do not ask you to dive into the pool before you have had a chance to put your toe in the water. You may start with our introductory “Basic Business Evaluation”. We offer the equivalent of a cursory audit of your business processes for as little as $450 and you pay nothing up front. If you are not satisfied with the written evaluation that you get a chance to read before paying the bill, you pay nothing. This is our “get to know us” offering. We are confident that once you get to know us, you will want to make further use of our products and services.
How to Get Started
LOGICAL CONSTRUCTION CONCEPTS (866) 522-8668
Serving Contractors in
Central & Northern California
LOGICAL CONSTRUCTION CONCEPTS