When evaluating or deciding on a market strategy, it is helpful for contractors to understand some economic theories and real-world examples of how margins and market share relate to each other.
Contractors typically pay too much or too little attention to their competition. The best contractors strike the right balance spending most of their time focused on customers while being deliberate in knowing their competition.
Your 3-Year Business Plan is the equivalent of a Short-Interval-Plan (SIP) on a construction project. It sets specific objectives and key results for the whole team. It allows you to plan your resources and know if you are on track or not.
A contractor's strategic choices along with the supporting management systems and organizational structure must fit into a viable business model. A business model IS NOT a business plan.
Like construction projects, construction businesses are only as strong as their foundations. Build your strategies around things that are unlikely to change in the long-term (10+ years).
The business of building is largely about aligning projects and people. The Talent Value Stream (TVS) ensures talent will never be a constraint to your growth.
A team or company’s combination of skills, competencies, knowledge, processes, tools, and behaviors that allows them to Carry Out particular activities or achieve certain goals. Capabilities create the outcomes that customers are paying for.
The strategy and planning process for a contractor can be broken down into six phases. Each phase is integrated but has a different objective and involves different people. These phases will help you create the right process for your stage of growth.
Before moving into a strategy or planning session, understand which of the four broad objectives you are working to accomplish knowing they may be different for different parts of the company.