Commercial Construction Company

How to Control Construction Costs

If you’re in charge of your organization’s construction project, here’s something to remember: It doesn’t matter how big your budget may be, making the best use of your resources (starting with the project management process) will be one of the most strategic ways to control construction costs. It doesn’t mean cutting quality, but it does mean finding more ways to be efficient.

Let Someone Else Do It

For project managers who already have so much on their plate, finding balance can’t be easy. It’s crucial that decision-makers for a construction project accurately plan the budget, scope, and timeline of projects, a combination that’s commonly called the “triple constraints of project management.” A tight budget and timeline may mean lower work quality. 

Although it may not be a one-size-fits-all solution, outsourcing project management to a construction contractor team could help in a few ways.

  • Reduce costs: Think about hiring an in-house project manager and the costs associated with recruiting and onboarding a new employee. There’s a good chance that outsourcing could be significantly cheaper.
  • Finish projects faster: A dedicated project manager can focus on just one thing — your project — and leave you to focus on what it takes to grow your business.
  • Tap top talent: Project managers do one thing; manage projects. That means they’re laser-focused on the tips, trends, and best practices you need to get the work done. 

Invest in Tech Tools

Don’t overlook project management software. The initial upfront investment could seem like a staggering amount of money to spend without much ROI. While this isn’t necessarily inaccurate, think about the long-term benefits that software can offer and the time (and labor) costs it could save to buy in.

Not only does software help relieve some of the administrative burdens, but it can also help provide a more transparent, more comprehensive picture of deadlines, budgets, and other issues that can come up during the construction project. The software also allows for automation, tracking, and resource allocation. 

Before choosing your software, though, make sure to research the broad spectrum of options and hone in on which features will meet your needs throughout the project and beyond. Additionally, think about the learning curve for the new software, and the time it will take to train employees to use it efficiently. 

Always Stay Agile

The concept of “agile” project management may most commonly be associated with software development. Still, you can apply the principles across virtually any industry, especially in commercial construction. The foundation of agile project management is cost-savings, which makes it perfect for construction project management application, helping you get more out of current resources.

There are twelve main principles of agile project management, starting with the idea that “customer satisfaction is always the highest priority and is achieved through rapid and continuous delivery.” Other benefits of choosing agile are increased flexibility and decreased risk of missed deadlines or objectives. 

Above all, an agile approach to project management can cut construction costs in the face of unexpected changes that would traditionally eat into the budget. The level of risk mitigation means you’ll be optimizing the project and avoid overruns that delay completion. 

Make Sure to Collaborate and Communicate

Whatever method is being used to cut construction costs, ensure that everyone who needs to be is participating in project management. Simply outsourcing doesn’t mean set-it-and-forget-it; decision-makers need to be apprised of progress and take an active interest. Without being dialed into the project, costs could run out of control, and you could miss important milestones.

To do this without trying to answer endless emails or feel like a micromanager, use collaboration and communication tools to facilitate involvement. Tools like Slack are great options, although you’ll find limitless choices out there. Look into tech tools that anyone can access at any time; on-site, on their computer, or even on their mobile device. 

The right contractor will have the construction project management experience and expertise to meet and exceed your clients’ expectations. Our 4th generation award-winning team is experts at staying on time and budget. You get clarity and transparency with us, not chaos and confusion. Contact us today if you appreciate quality, efficient work instead of the commercial construction roller coaster!

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