Death From Indigestion - Sustainable Growth

Many contractors are faced with a nearly overwhelming amount of profitable work in the current economy.

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Many are posting record bottom-line profits helping their balance sheets recover from the recession.  

Quote: More organizations die of indigestion than starvation. David Packard.

With that it is important to remember the critical observation from David Packard:     

 “More organizations die of indigestion than starvation” 

Toyota is a very strong company with an amazingly strong culture and even they weren’t immune as they pushed their worldwide expansion a little too quickly.  Toyota was far from death but they did have some operational and quality problems. 

The ultimate root cause was discussed in Developing Lean Leaders at All Levels:  Their rate of revenue growth outstripped the rate they could develop their leadership (talent).  


Will the markets you are in today support you through the next cycle in the economy?  

Do you have a predictable way to develop new business - even in a tight economy?  

Are you investing enough today in building your competitive advantage for tomorrow?  

How does your talent acquisition, development and retention compare to your growth rate and your competitors?  

Learn more about sustainable growth for contractors




Incentive Compensation for Contractors - Union vs Open
The wins of a great incentive program tend to be the same for both union and open shop employers. The wins not only include retention of the employees that you already have, but recruitment of new employees.
Alignment and Ownership and Creating Value
As a construction company grows, it becomes increasingly important to align everyone on the team. Alignment comes from being transparent with your guiding principles or values and living them every day, starting with ownership.
Succession at All Levels
If a construction company is growing at 15% per year, then it will double in size about every five years. Therefore, in general, every position must be training at least two people that will be capable of succeeding them within five years.