Understand Buying Motivations

Getting involved early in the project as it is being developed is one of the best things a contractor can do for profitable growth.

D. Brown Management Profile Picture
Share
Cm at Risk: Understand Buying Motivations. Invoice representing budget for building construction and balance to complete.

“If you are really in the game, you’ve got to understand what’s happening in governments and markets and see a deal before they put it out to bid. If the first time I hear about a big project is when the proposal is on the street, then I don’t have a good win plan.” - Riley P. Bechtel, Chairman of Bechtel Corp 


For a contractor to get involved early at the programming and schematic phases, they need to add value to the process.    

That value starts with understanding the entire budget for developing a project.  

  1. Have great conceptual estimating skills that help all parties see a more complete 5D Model of the project early. 

  2. Have strong operational and value-engineering skills to keep the cost of construction down while still providing value.  

  3. Bonus - having connections that help with other aspects of the development budget.

Understand Buying Motivations
The preferred project delivery method. There is a reason 100 of ENR's Top 400 General Contractors use CMAR as the project delivery method for over 75% of their work. Leverage CMAR as part of your growth strategy....

Understand Buying Motivations
The preferred project delivery method. There is a reason 100 of ENR's Top 400 General Contractors use CMAR as the project delivery method for over 75% of their work. Leverage CMAR as part of your growth strategy....

A Typical Project - Cash Flow S-Curve
Ensuring great financial outcomes is the ONLY way to build a sustainable construction business that can serve customers and develop team members over the long-term.
Owner Occupied Real Estate for Contractors - Lease or Buy?
There isn't a simple answer to this question. Much of the advice you will get has bias attached. Start your decision making process by building your own models and making general assumptions while looking into the future. Use this Excel model to start.
Average is Rare and Rarely Valuable
Study the differences between the varying levels of performance and work to close those gaps. Seeing how the average is trending can be very valuable to visualizing the trajectory, and that goes for every element on a Contractor's Scoreboard.