Maximize company growth using Pro-Accel Consulting Services

Owning a construction company is unlike running most other businesses, mainly due to the unique nature of the construction industry. Construction companies face a different set of challenges because they are always working on various projects with different scopes, and the internal hurdles and challenges they encounter are always changing.

Some major challenges the construction industry faces today is lack of management, lack of skilled trades, and supply chain issues. Navigating these issues while trying to achieve repeatable project success can be challenging. 

Unlike businesses that focus on producing or selling a single product or service, construction companies bid and build different projects. Each project has its own set of requirements, complexities, and timelines. Even if a company has a specific niche, let’s say utility work, each project will have its unique challenges, including different work environments, possibly a different specification for a different owner, schedule timelines, different materials, etc. This variety makes the construction industry dynamic and exciting, but it also brings many challenges that need to always be worked out immediately so they don’t compound into big problems.

The fast paced nature of construction requires adaptability and flexibility. With each new project, construction companies must adjust their strategies, resources, and teams to meet the unique needs of that project. This requires careful planning, effective project management, and the ability to coordinate multiple tasks simultaneously.

Internal challenges within a construction company are ever-changing as well. Estimating departments need to always find ways to keep estimators sharp and well organized to keep up with the influx of work coming in to bid. They need to stay well in tune with field operations and fully understand costs that need to be adjusted in their bids, for example, overhead costs.  Without proper communication with field operations, estimates can have critical budgets missing. I often hear contractors complain that profits run away from them at the end of the project. This is often because overhead costs weren't properly analyzed. 

The workforce size and organization may fluctuate depending on the projects at hand. Construction companies must continually assess their equipment needs, procure materials, and maintain safety standards on the job site.

Construction companies face the challenge of estimating project costs accurately, managing budgets, and controlling expenses. Additionally, unforeseen circumstances, such as weather conditions, supply chain disruptions, or design changes, can pose additional obstacles that require swift problem-solving. 

What is a construction business consultant

Consultants offer an objective perspective, help identify inefficiencies, and provide guidance in implementing best practices. Consultants help you work ON your business by helping you tackle your most pressing goals and issues. They have the experience and network to help guide you through your most challenging obstacles and help get these issues solved as quickly as possible because they are laser-focused on the problems at hand.  By leveraging the experience and skills of a consultant, construction companies can optimize their operations, improve profitability, and navigate obstacles with greater efficiency and success. In the next section we'll discuss ways Pro-Accel can help you maximize your company growth potential utilizing construction business consultants.

Maximize company growth using construction business consultants

A construction business consultant can help your company in many ways by first understanding your goals and pain points. Consultants’ intentions AREN’T to restructure your entire company, unless you want and need restructuring, but to build on your past successes and achievements and make them even better.  Below are several ways a consultant can help your company:

Start-up Stage – You know how to run a project or estimate a project, BUT owning a business is different. This early stage requires a lot of guidance to avoid common beginner mistakes that can be costly and ruin your cash flow. You’ll need guidance building a strong estimating department and need recommendations on hiring and purchasing estimating software that fits your needs. In addition, you need to stay organized so you can receive bids, execute bids quickly and send out bids to owners or contractors. At this point, you don’t have much historical data and you don’t have teams you’ve been working with for a while so you don’t understand their productions yet. Fully understanding your costs, including overhead and how to spread your budgets is critical for cash flow and having repeatable project success.

In addition to estimating, you’re now hiring your first Supers and PMs. You’ll need help with a hiring and an onboarding strategy so you can build a loyal talented team. Without high-performing teams, your company won’t succeed. You’ll need to provide structure with systems and processes in place so you’re not putting out the same fires every day.  Resource allocation, equipment forecasting, and cost management are critical and need to be fully understood by you, the owner, and your employees. Understanding insurance, bond, and financing options is also imperative to your company’s success.

In addition to the above, your back office, including CPA, accounts receivable, receptionist, etc. all play a vital role in your company's success. Today you have many options to hire fractional help in the beginning stages to get you started.

You’ll also need a good marketing strategy so those that will hire you know you exist. You can also use your marketing to attract top talent.  You want everyone to know you’re the best at what you do! 

2) Growth Stage and Scaling - At this point, your crews can no longer wear multiple hats. If you want to scale, you‘ll need more estimators to bid more work, differentiate roles such as who will be a full-time Super, who will be a full-time PM, and start hiring field engineers and office engineers. Your overhead starts to grow as you pick up more work. Each position needs to have clear responsibilities so you can achieve max flow on your projects. Everyone wants structure and knowing how much you can push your crews is imperative to company success and culture.

Construction business consultants can help you identify waste on your projects, help identify scope creep or navigate change orders properly.

In addition, you’ll need a strategy to help you navigate the next few years. This includes:

Vision – where you want to be in 5 years.

Strategy – this is a 2-year plan that breaks down how you’ll achieve the above goal or goals. It’s the 3-4 things that must happen if you want to hit your vision.

Execution – This is a 1-year plan that explains the actions required to achieve your strategy.

Metrics – This helps you identify exactly what needs to be done and a way to hold yourself accountable.

In addition, a consultant can help you take your most pressing challenges and help you accomplish them at a much faster pace while you’re continuing to work ON your business. They can also leverage their networks.

If you provide a service to residential clients, for example, plumbers, electricians, landscapers, painters, and roofers, you may want to find ways to upsell existing clients, improve your marketing, and find ways to get better client satisfaction or scale your company.

3) Company Decline – At this point, you know something is wrong. Your profits are tanking, company morale and culture are at an all-time low, your employees are leaving, you’re working too many hours and are getting burned out or you just simply can’t take a vacation because your company will fall apart without you.  You need an outside perspective who can provide a deep dive investigation into your company and fully understand why the above is happening. After the investigation, you’ll need help implementing the changes that need to happen to get your company back in order. Owning a business is tough with a lot of moving parts and you need help bringing it all together, so you don’t get burned out. Having a helping hand can play a major role to maximize your company growth. Always remember the less your company depends on you, the more its worth.

All the above are some ways a construction business consultant like Pro-Accel can help your company achieve your goals or help you get rid of your pain points for good.

In conclusion, owning a construction company is different from many other businesses due to the ever-changing nature of the industry. This article discussed ways to maximize your company growth potential utilizing construction business consultants like Pro-Accel. The diverse range of projects, each with its unique requirements, demands adaptability and flexibility. Construction companies must navigate internal challenges such as managing teams, coordinating tasks, and complying with regulations. Success in the construction industry hinges on effective project management, continuous learning, and the ability to embrace change.