Definition of Sustainability

How sustainable is your construction business?

D. Brown Management Profile Picture
D. Brown Management
March 8, 2019 1 minute read
Share
Leadership Tools: Definition of Sustainability: The ability to be maintained at a certain rate or level.

Not your ability to build sustainable buildings, but the true sustainability of your business.

  • Are the market(s) that you are in stable or at least counter-cyclical to each other throughout various economic cycles?

  • Are those market(s) growing, stacking the cards in your favor that your company will continue growing?

  • Do your customers love you to the point where they keep coming back to you for projects?

  • Do you have good business development capabilities that will create predictable revenue growth?

  • Do you have good talent development systems, ensuring that your revenue growth does not exceed your ability to grow and retain leadership talent?  

  • Are you generating enough free cash flow to support your growth?

Sometimes, an outside perspective can be invaluable for helping assess and improve your sustainability. 

What does your scoreboard say?  

Build Your Most Valuable Asset
There are five main value levers that contractors can pull to truly increase the value of the business as measured in long-term return on capital and valuation during a succession.
Related Article
CFMA: Talent Pipelining
Contractors will face continually worsening talent shortages through 2030. Those that want to continue sustainable growth must manage every aspect of their talent management processes with extreme rigor.
Related Article
Cash Flow Tip 15 - Contractual Compliance
Compliance with Contractual Requirements to avoid getting your payments held. Each contract, including the specifications, will have specific requirements for what you need to do each billing cycle to get paid.
Related Article