Monday, October 14, 2013

Construction Corporate Culture Exposed

There is no escaping the connection between culture and it's risks. In booming economic times, success can mask cultural deterioration. In downturns, the flaws show up - vividly. Culturally strong firms accommodate and adapt to recessions, why culturally flawed firms struggle. Culture can dramatically impact market share, either positively or negatively. Culture emerges as the defining competitive advantage, because it is nearly impossible to imitate or copy. Strong producers (Executives, Project Leaders, Superintendents, Estimators and the rising future leaders) rally around a powerful cultural core, while other firms, obsess over their personal circumstances as their culture, revenue and margin diminishes. 

Convictions, which people hold dear, are not easy to alter. So when a company must change there is reluctance. By having a strong culture, it acts as the glue that holds the organization together and overcome adversities in the market. Culture binds organizations, strategy and it's top performers together in the face of significant change. It can help maintain core beliefs and values while allowing major changes in strategy and organization.

Culture is a stronger force for unity and collaboration than any formal document in the employee manual that says something about vision, mission and values. The people need to have a strong commitment to their beliefs and the organizations culture drives this phenomenon. 

This is also true when companies experience massive growth. This growth delivers a double whammy; it exposes organizational complexity and introduces legions of culturally raw recruits. Both characteristics may easily undermine or confuse cultural beliefs. When a construction company hires experienced senior level talent from the industry the dynamics are even more challenging. Yet firms with strong cultural beliefs are bound together despite these rough waters. Weaker cultures are exposed and are hit hard.

Again, core cultural beliefs help sustain competitive advantage for construction companies. How are you doing? 

I've got some work to do as well.

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