As you may have heard, the construction labor market is currently in a bit of a lull.
However, it’s not all bad news. Smart construction business owners are taking advantage of the tight labor market.
In this post, we’ll discuss four ways that you can capitalize on the construction job market and improve your business not just in the short term, but in the long-run as well.
1.) Look For Ways to Automate
There are tons of software out there today that can help streamline your operations.
Whether it’s a design or financial management software, filling holes in your workforce with a tool that will automate what used to be a manual job will not only save you time and effort looking for new employees but can also help save you money and make you more profitable.
As this Buildsoft article illustrates, automation opportunities include but are certainly not limited to autonomous machines on the construction site, drones being used to survey working areas and employees, robotics on concrete works, sensors to collect and process data, and virtual reality for project planning and training.
Employing automation tactics can also help limit errors and mistakes that humans tend to make sometimes. Computers tend to be more accurate when it comes to things like estimating.
Obviously, having that human element in your business is what makes your company unique, but finding ways to incorporate automation will help your construction business succeed down the road — especially during the tight labor market.
2.) Outsource and Work With Third-Party Companies
You’d be surprised to learn about all the different areas of your business you can effectively outsource.
Outsourcing provides many benefits, including allowing you to focus on areas of your construction business that deserve more attention — such as the actual building of your homes and remodels.
We may be a little biased here at 24hr Bookkeeper, but we firmly believe that outsourcing your accounting is one of the best ways to improve the efficiency of your business.
Our monthly bookkeeping services will ensure that your accounting records are up-to-date and correct.
And, with our workflow advisory services, we’ll work with you to produce customized step-by-step financial manuals that identify financial management and workflows, including staff responsibilities and utilization of QuickBooks.
For more information on how we can help your construction business, visit our services page.
And, feel free to contact us with any questions you may have or if you’re interested in teaming up with us to streamline your accounting!
3.) Revisit Your Hiring/Retention Practices
When an industry is having a tough time in terms of its labor market, it usually means that it’s time for a little soul-searching.
Specifically, you should ask yourself how you can improve the retention of your current employees — as well as how you’re going about hiring new talent.
First off, it’s a good idea to assess what is your exact retention rate. Even in a tough labor market, if you can keep your employees around, you should have no trouble finding success with your business.
However, if you’re seeing a lot of employees leaving or are going through a lot of worker turnover, then it’s time to make some changes.
To find the heart of the problem, go to your employees. Ask in surveys how they rate their job satisfaction and offer space for them to write in responses on how the company can improve in terms of culture.
When it comes to your hiring practices, how are you promoting your open positions? Are you making your business come off as a fun place to work? Is the tone of the job description and your company sound energetic and passionate?
Taking the time to craft a well-thought-out and meaningful job posting can be the difference between attracting top talent and missing out on them.
4.) Prioritize Culture and Worker Safety
Creating a culture that recognizes great work and treats employees well is a great way to increase your retention.
Celebrating wins and doing the occasional team happy hour or lunch can help members of your team feel more appreciated and are therefore more likely to stick around.
In addition to promoting a positive, healthy culture, you should also look out for your workers’ well-being and safety.
Ensure that your tools and machines are up to code and that all safety regulations are followed. Employees will appreciate being looked after and if you can build a reputation as a business that cares about its workers, you’ll attract new employees for years to come.