One of the most common and dangerous misconceptions we hear about ownership in a construction company is that it’s all about the perks owners get. The biggest “perk” to being an owner of a construction company is the opportunity for a great investment.
As systems become more complex (or V.U.C.A.), such as operating a company or succession planning, there is not a single “One Best Way” that will work in all situations.
The onboarding and integration of a new team member is something the best contractors rigorously manage as one of the 9 critical talent processes. What we don’t always pay as close attention to is what Sue Weiler-Doke frames as “Retirement Onboarding."
Most contractors have gone through the succession process zero times. Choosing the right team of advisors will help you effectively explore options and refine the details of your specific succession.
All of the trends that are changing the construction industry today require economies of scale and capital to truly take advantage of. Private Equity firms are seeing that trend and taking a bigger interest in the construction market.
As contractors look at their organizational structures with an eye toward both sustainable growth and succession, they must balance the efficiency a functional area structure provides with the leadership development of a business unit structure.
Whether you are focused on growing profitably or preparing for an ownership transition, the strength of your team and organizational structure is a major factor.