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4 Steps Involved in Scaling a Construction Company

With the gross value added of the E.U construction sector standing at 5.5%, many companies in this industry are looking to grow.

But, challenges such as an imbalanced cash flow, lack of business alignment, and loss of focus come their way. As a result, it takes time or becomes completely impossible to achieve this goal.

Identifying the problem keeping you from scaling your construction company is crucial. It helps uncover suitable strategies to overcome obstacles.

Certain concrete strategies can make the scaling process less daunting. We’ve broken them down below into four simple steps:

1. Come up with a Sound Construction Business Plan

You will need a construction business plan, whether you want to start a construction business or scale up an existing one. The plan offers a glimpse of your business as it currently stands. It also maps out your future growth plan.


construction company


As you create one, find out what your company values are. You should also look into the expected growth in your net profit margins. Finally, remember to think of the talent needed to scale your company.

A sound construction business plan should feature several sections. They include the following:

  • Executive Summary
  • Company Overview
  • Industry Analysis
  • Customer Analysis
  • Competitive Analysis
  • Marketing Plan
  • Operations Plan
  • Management Team
  • Financial Plan

Explain what your company is and why you expect it to achieve success in the executive summary. Also, add a brief business description and your company’s mission, vision, and core values in the company overview section.

The company overview section should also capture the ideals influencing your business decisions. It should also include your annual goals using the S.M.A.R.T. goal method. Under this method, list the goals as specific, measurable, attainable, relevant, and time-bound.


construction company


Use the industry analysis section to give an overview of your industry (key players, competitive landscape, and market size). The customer analysis should describe your target market. Finally, analyse the competition and your competitive advantage in the competitor analysis section.

2. Map Out the Organisational Structure of Your Construction Company

An organisational structure can help your construction business in its decision-making processes. As you assign special roles to different levels of employees, making decisions becomes more efficient.

The benefits of a well-defined organisational structure include better communication and greater productivity. Others include increased employee job satisfaction and retention rates.

While building the structure, define who does what, why, and when in the business. In the long run, this will make your teams more accountable. And when each employee has a clear responsibility, you can measure the return on investment they generate.

The organisational structure should let you outline the information flow in your company. To achieve this, follow a functional design when creating an organisational chart. With this strategy, it’s easier to separate functions handled by each team by grouping them based on their work.

Functional design is popular in the construction sector since it promotes departmental growth. It pairs well with the vast roles in construction companies that need similar skills and knowledge levels.

Your organisational chart should have the CEO/owner sitting at the top. The general manager and department managers should follow next. Below the department managers, the chart should feature project managers and project supervisors.

The project coordinators come after. And at the bottom of the chart, you should include the workers.

3. Dedicate More Resources to Hiring and Onboarding

Job responsibilities in the modern construction sector are getting diverse and complex. Moreover, builders are finding themselves with more workload than they can handle.

You need people to grow a business to desired levels. So, dedicating more effort to recruiting needs to form part of your growth strategy. You also need to invest more in onboarding recruits.

During the hiring process, you need to identify, source, screen, and shortlist candidates. You should also interview them for different positions.

The onboarding process should involve integrating recruits into your company. It must also comprise activities that orient the new employees and help them learn about your business’s core values.

When hiring new staff, consider your company’s vision and the number of candidates needed. You also need to look at the job openings, skills needed, and the onboarding plan. Once you figure out these requirements, you can post the vacancies and begin the interview process.

A typical onboarding process begins with offering the new employees an offer letter. It would help to welcome them as they start day one at your company.

You should also have measures to train and transition them to the new role.
Onboarding helps keep recruits for an extended time, saving time and money. Furthermore, a well-thought-out hiring and onboarding strategy increases engagement and loyalty. Your employees will have better opportunities to learn about and grow your business.

4. Have Effective Sales and Marketing Channels in Place

A marketing channel can offer your construction company ways to communicate with your target market. It also brings plenty of opportunities for creating awareness of your offerings.

A sales channel allows you to get the offerings to people. It takes effect once you inform people about the product or service.

Think of your marketing channels as a more holistic approach and sales as a natural process. Both of them can generate leads and revenue for your business. Their shared goal is to secure business and offer growth opportunities.

You need to identify the ideal persona of your customers to achieve effective sales and marketing channels. Also, use key social media messaging and imagery to build your brand and seek testimonials. Setting goals and tracking the key performance indicators will help too.

Implementing these strategies can help set and manage the expectations of your customers. It can also increase word-of-mouth recommendations. Other benefits include giving you a competitive edge and attracting new talent.

Looking for Efficient Machine-Building Solutions?

A sound business plan and organisational structure can help grow your construction company. The same applies to a great hiring strategy and sales and marketing channel. Put them in place when you want to scale up your business.



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