The construction industry has always been a mainstay of our economy – but what makes it even more interesting and exciting is that there have been some exciting changes in the last few years. Implementing new technology like robots, VR and AI is becoming more common.
As a start-up construction company, those cool techs can feel like they are far away. But the truth is, with some careful budgeting and cost reduction in your early years, it won’t be long before you are showing stakeholders around your sites with VR from the comfort of your office.
In the meantime, here are a few tips that can help you save big on your construction business.
You’ll need to decide if it is more important to have specialist or multi-tasking staff. Often, multi-tasking staff can be moved around the site as needed and are highly skilled in most areas. When you hire the right staff who have multiple skill sets, you are more likely to get their maximum productivity (which cuts down the hours required).
Once the hours required to complete the job are reduced, the overall project time will be reduced too.
While you and your team might be incredible at building 25 brand-new residential homes, you might not be great at setting up a real-time communication platform, with real-time budgeting and so on.
A high-functioning IT department is costly, but there are plenty of options to outsource to an IT management company to keep your costs low, but your communications and IT are crystal clear.
It is no secret that machinery is one of the most expensive things to own as a start-up, instead of spending a lot of cash to own, repair, and maintain equipment. It is more beneficial for a smaller construction company to be agile, and that means hiring what you need when you need it from companies like the freo group.
Hiring as and when you need, means that you can take a range of jobs because you can choose what you need rather than having a single set of machinery and vehicles.
If you already have a fleet, then it is time to run some checks to make sure that they make sense to your business.
Take a look at how you use the fleet right now, how much it costs, and what is used the most/not at all.
Are the older vehicles cost-effective in terms of repairs, maintenance, and fuel, or do you need to consider upgrading?
One of the highest costs comes from waste products. Many construction companies of all sizes are switching their sights to being more sustainable. Part of sustainable construction means highly reduced waste if any waste at all. Modular buildings, off-site buildings, and different material choices can significantly reduce waste and cost.
Your construction business will benefit from you regularly going through the costs and looking for more opportunities to reduce the spending. If you are still considering construction as a start-up but are still researching, read more: Factors to Consider When Starting Up a Construction Business.