Top New House Construction Inefficiencies (And How to Solve Them) | 2-10 Blog

How to Improve Efficiency in Your New Home Construction Business

Time is money and even the smallest inefficiencies can add up over time. Here are the top 5 inefficiencies that most new home residential builders will encounter, plus actionable tips you can use to fix them.

1. Using manual tools and processes to handle estimates, bids and more

Residential construction projects are complicated and you need more than a handful of spreadsheets to keep track of all the moving parts. Software apps that can be used right from your smartphone, are the perfect way to improve operations. It’s worth taking some time to research the right software and applications to help you manage your business more efficiently.

2. Neglecting regular maintenance on equipment and tools

According to some experts, investing in preventative maintenance can save businesses in any industry (including construction) up to 18% on operating costs.

When you’re behind schedule on a new build, taking time to check that your tools and equipment are in working order might seem like a waste of time. But, you’ll be even more behind if an excavator breaks down while the foundation is being dug.

3. Losing skilled workers and subcontractors

Every builder has felt the repercussions of the skilled labor shortage, and not having the right subcontractors for the job is a surefire way to run into problems when building a new home.

One of the best things you can do to find and retain the help you need is to make your business desirable to work with. Here’s a quick summary of the top six things every subcontractor wants from the builders they choose to work for:

  1. Make sure your business is organized from an operational standpoint
  2. Share the project plan with subs
  3. Let subcontractors know when the schedule changes
  4. Decide how you’ll communicate, whether it’s via text, phone or another medium
  5. Offer financial incentives for top-notch work
  6. Treat your subs like true business partners

4. Reusing custom design elements for every home you build

Builders who use repeatable design elements in their builds tend to be far more productive and efficient than builders who customize all elements in every project.

This doesn’t mean every home needs to look the same, but you can easily resolve inefficiencies by looking for new ways to standardize the homes you build. For example, you could use the same types of eco-friendly building materials in each home.

Learn more about some of the best ways to increase productivity in your residential construction business here.

5. Not using proven time management tips for busy builders

Powerful software, regular equipment maintenance, finding the right subs and using repeatable design elements aren’t helpful if you aren’t proactively managing your time.

To regain control of your time and business, check out these 5 Time Management Tips for Busy Builders. Once time management becomes an everyday habit, you’ll find it’s much easier to solve any construction efficiencies in your new home building business as they occur.

Learn how you can protect your business and add valuable selling points to your new builds with 2-10 Structural Warranties.