How To Achieve A Successful Turnaround For The Building Industry

There is a looming crisis in the Australian building industry. The slowdown in construction and building projects continues to intensify in Victoria and also in Queensland. 6,895 jobs or almost a third of the industry’s full time staff in Victoria will be cut by June as businesses attempt to reduce their costs. The downturn is being blamed on decreased demand for new homes, consumer confidence and stricter credit requirements. Many building companies are giving large discounts to encourage customers to purchase new homes, but even potential first-time home owners are holding off due to poor perceived job security across all industries.
It has been predicted that the building industry will make a steady recovery by 2013, but the crisis currently continues to build. If your building and construction business is in trouble, it is crucial to act straight away. You can still save your business. Below we discuss how a successful turnaround can be achieved by introducing accountability measures in the areas of sales, operations and financial management.
First and foremost, implement a systems approach with accountability measures. All aspects of your business must be measured, with links back to financial measures so performance can be determined and process problems identified. As part of this, you must have strong site supervision to ensure delays in construction and project progress are swiftly dealt with. A project manager should be regularly on-site to take responsibility for the function and success of each project.
If you are trying to reduce costs, it isn’t enough to simply get the best rates from your suppliers. You must also have efficient ordering and scheduling of materials in place, wherein you are able to pay suppliers on time and deliver the materials to the site without delay.
Your operations pipeline must function like clock-work. Drill down to find any bottlenecks in the system, where operations are measured and performance is driven by financial accountability measures. As an example, do not wait until the time of final claim to deal with any building defects. If defects are handled sooner, closer to when they are first reported, the return of trades to make repairs is more effective than handling defects 3 months later when repair work is costly and time-consuming.
Your staff must have daily, weekly and monthly performance measures, especially including weekly turnover targets. To let your staff know what you expect from them, implement individuals KPIs and performance criteria. Also, measure their performance daily to see if they are on track to meet the criteria set. Non-performers need to improve or be moved on to allow your business to grow and get the “right people on the bus”.
Sales force
Just like in operations, your sales force need to be highly focused on accountability to sales targets. Appropriate recruitment processes must be in place to ensure that you are employing effective and experienced sales people. Efficiency gains can also be achieved by breaking up existing sales portfolios into geographic regions to reduce travel time.
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Communication Planning – The Backbone of a Successful Construction Project

Dependable quality control demands efficient communication of quality-related information. Advanced preparation helps organize the details. A well thought out communication plan ensures that your quality assurance team understands the inspection particulars of each project. Successful planning enables effective creation, collection and distribution of quality control-related details that are specific to your construction project.

A fully developed How To Become A Contractor quality assurance program eliminates wasted time. Knowing what is expected, required, and enforced concerning each construction project removes the guesswork related to unexpected circumstances. Efficient communications make it happen.

Basics of Successful Communication Planning and Construction Project Quality Management

The processes that drive effective communications fit into the natural flow of day-to-day construction management activities, including:

Standard production control meetings

Daily and weekly status reports

Current records How To Become A Contractor and documents

Toolbox talks

Shop drawings, material data, samples, and other submittals

General contact methods, such as email, text messaging and telephone calls

The Basics of a Functional Communication Plan

The best methods prescribe a set of standard quality control features, including a point-of-contact list within the quality assurance section of the project manual. Every individual construction project should also include the name of the acknowledged quality management controller.

Clients appreciate reliable information. They feel more confident when their construction project includes evidence of efficient communication planning and a dependable set of quality assurance procedures. Identify QC team members by name and title. Organize the information and the communication plan according to the natural project timetable and sequence of events.

Details: Quality Control Communication Planning is all About Details

Cover every angle of the project. The successful construction project will incorporate the following elements into its quality control communication plan:

A Contact List

An Organization Chart that defines the role and the members of the quality assurance team

Detailed Pre-Construction Meetings that establish the expected path of ongoing QC management

Weekly QC Meetings that reinforce employee awareness of critical quality control requirements

Work Task Preparation Meetings that enable the superintendent to establish on-site unity concerning the expected measure of quality assurance

Quality control and management Record Keeping that establishes daily details concerning inspection results, performance success, and matters of fundamental audit feedback

Reliable Means for Measuring Quality that clearly communicates to all involved parties the effectiveness of installed checkpoints

Methods that reinforce a Quality Culture in which every team member understands the value of making things right on the first go around.

Short Answers to a Major Task

Plan ahead. Schedule regular quality-related communications. Identify the QC management team. Write it all down and include it as part of your construction quality control plan.…

The 5 Traits Of Successful Contractors

Starting a new business from scratch is never easy. But for the home improvement and construction industry, it is a task that can be especially daunting. This is a business with a lot of cutthroat competition, over-saturated markets in some areas, and with the burgeoning do-it-yourself movement combined with a weakened housing market and an overall bad economy, home improvement companies and home builders have been closing their doors in record numbers since 2008. For the survivors, there is less profit, skeleton crews and down sizing in order to stay competitive in a post-recession America. In business only the strong survive, and since the recession began I was able to talk with several successful contractors who have been in business for decades, and continue to operate their businesses despite the economic downturn. They all share common traits, and I would like to share with you 5 of their most basic tenets and philosophies.
1. PERSEVERANCE. There are many factors that can affect the future of a new business, but most important is the drive and determination of the person behind the business that will ultimately determine it’s success or failure. This is the most fundamental element of achievement, You must have a never-say-die attitude in order the face the daily obstacles that can cause your business to either sink or swim. Successful contractors have conditioned themselves mentally to overcome problems that they encounter in business, for them failure is not an option. Adversity becomes a source of strength, As we all know, that which does not kill you makes you stronger.
2. BELIEVE IN YOURSELF. It is very easy to become discouraged and to have doubts about your abilities in the beginning. Jobs are few and far between, there is a lot of legwork and networking involved, and it seems that it will take forever to get your business off the ground. In our present-day society we have become accustomed to instant gratification and instant results, however in business the fundamental rules still apply! You must believe in yourself, your skills and abilities in order to become a success. We are builders, remodelers and specialty contractors by trade, and it takes time to build our businesses and to achieve our goals. It all boils down to self-confidence. The guys ( or gals ) that succeed in this industry are extremely self-confident, once you start believing there is something you can’t do then you won’t get very far. You Must Believe In Your Dream To Make It Reality.
3. PLAN INTELLIGENTLY. We’ve all heard the saying, ” He who fails to plan, plans to fail. ” Successful contractors meticulously plan and organize every aspect of their business. They delegate the right positions and jobs to the right people, streamlining their operations into a well-oiled machine, creating an effective construction company. you must learn how to master time management as well, in the home improvement and construction industry everything is contingent upon deadlines, so you must plan each and every project thoroughly …