Levels of the Value Stream

For contractors to unlock maximum value during business development, preconstruction and project execution it is critical to understand the broader value stream of the project beyond their scope.

D. Brown Management Profile Picture
D. Brown Management
June 29, 2018 1 minute read
Share

Consider these 10 levels of granularity when looking at the construction value stream:

Critical Skills: Value Stream Levels. Seeing, Understanding, Doing, and Leading.

 

SPECIALTY CONTRACTOR

  1. Specific Trade Scope & Task (Field Installation Expertise)
  2. Functional Area of Specialty Contractor (Precon, Detailing, Prefab, etc.)
  3. Whole Specialty Contracting Business (Electrical, Mechanical, etc.)

PROJECT OWNER

  1. Construction Process (GC / CM Viewpoint)
  2. Design & Project Delivery Process
  3. Project Lifecycle (From Concept Through Initial Construction, Operation, Renovations & Decommissioning) 
  4. Corporate Facility Management (Interrelationships of Business Strategy & Multiple Project Lifecycles)

BEYOND

  1. City Planning (Redevelopment Vision, Supporting Infrastructure, etc.)
  2. Industry Trends (Example - Demographics Driving Healthcare Capacity Needs)
  3. Country & Multi-Industry Integration (Example - Growing Geographies, Integration of Housing & Healthcare)

 

What level of the value stream is your primary focus?

Deeply learn the value streams and build relationships 1 & 2 levels higher.  

What can you do to add maximum value considering the perspective from those higher levels?  

Project Delivery - Design-Bid-Build
The Design-Bid-Build (DBB) method of project delivery is easily the most familiar to owners, architects, and contractors. No contractor should ever lose their ability to compete, win, and build profitable projects using this method of delivery.
Related Article
Building a Systems Development Team - Best Fit
Could an internal Systems Development team create a competitive advantage for a contractor?
Related Article
Cash Flow Tip 4 - Delighting Your Customers
Delight Your Customers - Both Direct and Indirect. All other things being equal your cash flow will be better if your customer is delighted with the work you have done. They are more likely to:
Related Article