The importance of succession planning in the US Construction market
Anyone involved in high-end construction projects will know how difficult it can be to secure and sustain the best employees to oversee significant projects to completion.
Particularly in the US Construction market, which is one of the most robust in the world, sourcing ‘best in class’ employees can go a long way in securing some of the most lucrative contracts in the industry.
It is for this reason, among many others, why modern businesses simply cannot afford to ignore the benefits of preparing and maintaining a succession planning strategy to secure operations now and in the distant future. As the next generation of leaders continue to make their mark on the industry, companies run the risk of being left behind if they are ill-prepared.
Creating a winning succession planning formula in the US Construction market
It’s no real secret just how valuable US Construction market is. In fact, it is predicted that the industry will be worth $1.53tn by 2023. With so much capital and revenue to work with, it is only natural that it has the competition to match, meaning that businesses of all sizes have to react quickly to market developments.
For every major project, whether it concerns rail, aviation, tunnelling or anything else, having the right people in the right positions can be the difference between success and failure. With so much disruption taking place within the built environment, including innovation and technology, labour shortages and increased competition, succession planning has to be a priority.
The foundations of any effective succession plan will focus on three key areas:
A new employee, particularly one that will be joining the C-suite of a construction company, has to have an in-depth understanding of precisely how the business operates. From their use of technology and AI to specific safety measures, an incoming employee must be fully aware of everything. Combining this with vast experience and ideas to drive the company forward, they are more likely to succeed in the long run.
The right candidate for the role will need to understand how the company performs and what targets they intend to meet financially. Outgoing executives, mainly those who have been at the business for a long time, will have developed financial plans for the foreseeable future. Current and outgoing executives should be involved in ensuring that a new candidate is up to speed to ease the transition.
Finding the right cultural fit for the business
My colleague Michael has previously discussed how succession planning can be utilised to find the right cultural fit for businesses, and the US construction sector is no different. A candidate may have all the relevant experience and qualifications under their belt. However, if their processes, ambitions and styles are not aligned with that of the business, they will ultimately fail.
Particularly in major construction projects, where every member of the team has to work collaboratively in order to deliver on client expectations and timeframes, finding the right leaders is critical. A thorough review of the company’s ethos and long term goals should be at the forefront when recruiting new employees, particularly in the C-suite.
G&E Partners’ comprehensive approach
At G&E Partners, we go beyond merely carrying out an executive search campaign to meet the needs of our clients. We understand how important it is to source and sustain candidates who are the right cultural fit for a business. Utilising our many years of experience, we have been able to build and maintain long-term and sustainable partnerships, designing candidate profiles and use these within the talent management process, in order to source a person of the correct calibre and fit.
Particularly in US Construction, our practices have gone from strength to strength, working alongside several of America’s leading general contractors. Our previous placements include CEO (Transportation), VP of Operations (Leading General Contractor, Los Angeles), Business Unit Leader – Aviation (Los Angeles), Project Executive (Seattle), SVP & General Counsel (Dallas) and many others.
For more information on our work in the construction sector, please click here.
The world of construction is always changing – and just like the structures that continue to be built and developed around the globe, the workforce continues to change also. When it comes to finding the right C-suite executives to maintain operations and drive further success from within, the right succession planning strategy will set up a business in good stead.
Here at G&E Partners, our strategy consultants can create and implement talent management strategies that will directly benefit your organisation. For more information, contact us today.