If you have an interest in growing your construction business. Here are several options for smart growth:
A – Train somebody
B – Finding already trained workers
C – Steal somebody
D – Outsource
E – Scale down on number of projects
There are lots of reasons to try to grow & expand your construction business.
Maybe you are attempting to expand to take advantage of a trending upswing in the building market.
Possibly you are wanting to scale your business so that you can spend more time operating the business side of your business and in turn having skilled workers that you can rely on to leave alone on your jobsites.
No matter your reasoning or why you are needing to grow your construction business, there is currently a shortage in skilled labor to fill the needs on current construction jobsites.
There are various reasons on local and national levels for this shortage, but the bottom line is that there is a shortage.
Below is an outline of a handful of ideas that could be implemented to expand your business when the need arises.
A – Train Somebody
If you have long term aspirations for your business, then this can be a very useful tool to have in your toolbelt.
If you have the patience to teach & train and your projects are in such a manner as to not be needing immediate top notch impact, then adding less experienced workers and training them over time can be very fitting for your company.
There is a direct correlation between being able & willing to train less experienced workers and the culture and makeup of your company.
If your company is set up with the long term in mind, culture is such that workers will be allowed to grow and gain experience, as well as have the ability to make and learn from their mistakes, then this option would be a good fit.
When implementing this option, hiring new workers based on character, attitude and work ethic is an essential necessity.
B – Finding already trained workers
To borrow the words of Shawn Van Dyke, “this idea is like a unicorn, it just doesn’t exist”
Next.
C – Steal somebody
At first glance, this option was a deterrent to me personally.
However, after further thought and insight by others, it can be a viable option.
Ignore the word “steal”, and place focus on recruitment. Consider how a Major League Baseball team or NFL football team goes about their business of bringing in new players from other teams.
They recruit them and attempt to make an offer that makes them willing to join their side. Recruiting skilled workers from other construction companies can be done in a way that is very professional and at the end of the day, beneficial to both companies that are involved.
By remaining upfront and honest with all parties involved, the end result can be a win-win for all parties involved.
By recruiting already skilled workers to your company, you can speed up the impact on your sites and more quickly move towards expanding & growing your business.
D – Outsource
Depending upon the actual needs of your business, outsourcing skilled workers to subcontractors and other vendors can be a viable option.
If your area already has a solid subcontractor base in place then they can help to speed up the impact of immediate assistance to your projects.
The downside to subcontracting work out is that you can possibly have less control over the project and even the quality of the product.
At the beginning stages of subcontracting out work within a project you are also relying upon many unknowns that only time and building a relationship with your subcontractors can alleviate.
However, once those relationships are established and each side gets a feel for working with one another then subcontracting can be very beneficial to the long-term growth of your business.
Over time and after establishing a good working relationship, you can get subcontractors to do their best to work within the parameters of your project schedule and focus on the quality that you would like to see.
An ability to read people and trust your gut instincts are key on the upfront stages of hiring subcontractors.
E – Scale down on number of projects
This thought and application can be hard.
It is hard to say no.
Most of us in the construction industry do what we do day in and day out because we enjoy serving others with our skills & talents as well as enjoying the thrill of the process that we get to go through on a daily basis.
It is really hard to say no.
You may ask yourself
“If I say no to this opportunity, what if my phone doesn’t ring again for another month”
“What if there are delays on my current jobs and I have nowhere to put my guys while waiting”
or you may think
“The extra money would be great”
“I like to win so I definitely can’t let my competitor have this one”
It is really really hard to say no.
But sometimes NO is the best word that you can use. Saying NO to that “opportunity” can mean less stress, more focus and profitability on other projects, and more time with family.
So, while you may not technically be growing with this option.
You are protecting yourself from overextension, additional stress, and all of the downfalls that come from those things. In turn, you are allowing yourself room for future growth when solid opportunities present themselves.
Punch List tip of the day
Knowing your business numbers is key to guiding you in how to approach a decision to growth within your business.
No how matter the option you choose to pursue to help you to grow (or scale down), you have to know your numbers and how that growth choice will affect the health of your business. Be smart.
Punch list tip of the day #2
If training someone is your choice, then don’t be afraid to think outside the box on this. If training for the long term is a viable option for you, don’t be afraid to start with the younger generation. Over time, not only will you have a trained worker, you’ll also have a loyal one.
If you currently have solid options within your organization, be sure to take care of them and treat them right. Foster loyalty in your crew and reap the long term rewards.
