The foundational concept for the information that follows is this:
Any successful business owners possess business acumen.
A typical prosperous construction business owner has business acumen.
Your extraordinary construction business is built on your business acumen.
Business acumen is a combination of skill, knowledge, and experience. Construction business acumen is distinguished by the types of skills, knowledge, and experience required.
Skills
Some of the skills that are necessary for running a successful, prosperous, and extraordinary construction business include:
effective communication competency
active listening know-how
written communication skills
project management expertise
logical reasoning ability
creative thinking finesse
budgeting skills
working knowledge of computer programs
technical knowledge and skills
supervising and leading employees – training and teaching others
time management techniques
negotiation ability
troubleshooting skills
priority management prowess
Knowledge
Building an extensive internal index or library of construction-centric, industry-specific knowledge is essential to the business acumen formula. A portion of that knowledge includes:
sequentially plan out a project
anticipate potential problems
solve unexpected issues
understand quality control principles
take accurate measurements
able to prioritize
complete various calculations
stay abreast of codes, restrictions, and laws
understand contracts
interpreting blueprints – including digital computer-aided construction drawings
administrative skills
troubleshoot system failures
promoting business
purchasing materials and supplies
setting prices for services
making sales
tracking expenses
planning project calendars
understand the basic principles of physical sciences
understand financial data
creating invoices
performing cost estimates
understand the regulations regarding written records or documentation
basic math skills
inventory tracking and management
Experience
Your “time in the trenches,” your perspective, past, and unique experience accentuate your knowledge and skills. And sure enough, the list of what it takes to build the portion of business acumen called experience begins with the foreseeable word “experienced.”
experienced
friendly
self-motivated
team-oriented
teachable
patient
detail-oriented
able to see the big picture
organized
decisive
flexible
self-respecting
humble
able to follow directions
financially literate
familiar with tools and materials
safety conscious
an example to follow – able to inspire and excite
Stop: If these lists feel too long, or if you’re concerned that you don’t “know” all this stuff, one way to fill in the gaps is to take advantage of the age-old maxim to surround yourself with people that are smarter than you. That means taking advantage of the expertise offered by others. Some of the types of people who can be included on the list are:
Attorneys
Tax preparers
Accounting professionals
Sales professionals
Marketing specialists
IT providers
Insurance providers
One Big Package
The most critical aspect of business acumen, sometimes overlooked, is the one having to do with mental outlook. As it turns out, Good Attitude Required joins all three elements of business acumen into one package greater than the sum of its parts.
Reflection: How well do you stack up? Is there an action you can take to improve your construction business acumen?
Construction Contractors look to The Profit Constructors to provide advocacy in dealing with:
Clients and customers
Employees and subcontractors
Vendors and service providers
Governmental entities
Working with The Profit Constructors gives Construction Contractors the means to organize their operations in ways that help them:
Remain informed
Avoid hassles
Reduce risks
Be future-ready
Ready for action? Or want to know more? Get in touch today to schedule a complimentary discovery call. 866-629-7735