Where construction firms can save money and boost margins in the face of rising house building costs
Land acquisition. Building materials. Skilled construction workers. All are subject to increasing costs…Whether you’re a local partnership or a national builder, those costs chip away at your profit and stop you investing for growth.
However, opportunities are opening up:
- A new Housing Growth Partnership has released £100m for smaller builders.
- New Planning Permission rules will allow automatic approval in some cases.
- The 2015 Budget identified 26 new brownfield housing zones ripe for redevelopment into homes.
But it’s important to remember these opportunities are not free gifts.
So how can building firms remain competitive – from small local teams to national names? This infographic shares some ideas.
Six factors that impact the way you use land, materials, and people. The common denominators: information, and how well you use it.
Technology is what enables your competitiveness. While the right mix of software, systems, and services is different for each builder, the principles are the same. Estimate your return on any project with actual figures, not rules-of-thumb. Track your resources, both material and people, at every stage. And keep it all up-to-date as a project progresses.
Control over house building costs means control over information. Make effective use of technology – your secret weapon – and start nosing ahead.