Do you like to plan or do you wing it? I like to think that you wouldn’t start a building project without a plan. Well, the same logic applies to your business. As a construction business owner, operating without clear goals is like building a house without a blueprint. It’s possible, but more prone to problems, miscommunication, delays, and missed opportunities.
Goal-setting is an important aspect of a business owner or leader’s role. It gives everyone a roadmap to follow and a destination to reach.
Goal-setting shouldn’t be treated like new year’s resolutions either. Don’t set and then forget about them a month later. You need to define short term and long term goals for your business, and keep track of them. It should be part of your routine. That way, you’re more likely to successfully reach your business goals.
Here, I’ll share proven techniques for goal-setting along with some tips on making them achievable.
Why set goals for your construction firm?
Goals give you a roadmap. They help you to focus your energy and resources on what matters most. Without specific goals, it’s easy to get stuck working in your business instead of on your business. Daily tasks take priority over strategic work.
When you’ve got clear goals, decision-making becomes easier. You know what you’re working towards, so you take steps to reach those goals. You weigh up every opportunity against your roadmap. If it fits, go for it.
Goal-setting isn’t all about you either. It impacts everyone in your construction company. With specific goals, your people will be more motivated to put in the hard work to achieve them. Goal setting’s linked to higher motivation, self-esteem, self-confidence and autonomy. And that means that your team can work well without you; freeing up more of your time to work on your construction business goals.
What goal-setting techniques can construction entrepreneurs use to improve project outcomes?
I’m a huge fan of the plan. It underpins everything I do. But all too often, I meet construction business owners who wing it and don’t set business goals at all. If that’s you, my main advice would be to just do it!
1. Start with a clear business vision
Your business goals should reflect your company’s broader vision and core values. What do you want your business to be known for? If you’re innovators, then adopting new technology needs to be a goal. If you want to be known for your eco-friendly practices, then sustainability needs to be at the heart of everything you do. Align your business goals to your bigger picture.
2. Break your goals into bite-size chunks
Don’t get overwhelmed by the enormity of a goal. Set the overall business goals and then divide them into bite-size chunks of tasks to accomplish. It’s the same concept as constructing a house – something you do all the time. Plot out actionable steps with key milestones, and set deadlines. That action plan will enable you to move towards the bigger goals.
3. Apply goals to all areas of your construction business
Make sure your goals aren’t restricted to one area of business. Often, construction business owners focus on improving operations. But don’t forget about financial, marketing, sales and team goals as well. You need to think about all five areas of business.
4. Make SMART goals
You’re more likely to reach goals that are well-defined SMART goals. What are SMART goals? They’re specific goals that are measurable, achievable, realistic, time-bound goals. Scroll down for more on this.
5. Engage your team in goal-setting
Don’t fly solo on this one. Involve team members in setting their key performance indicators (KPIs). They’re more likely to buy into the vision when they’re part of a collaborative goal setting process. Involving your people in the process will boost employee engagement and productivity.
6. Monitor progress
When you set measurable goals, you can monitor your progress towards achieving them. Make this a regular part of your routine. Track progress of KPIs and analyse real time data to work out whether you’re on track or if you need to do something different to get there. Use key metrics to inform your decision-making.
Remember that your roadmap isn’t set in stone. Your business goals may need to adapt and evolve over time. Your strategic plans may need to shift to align with new opportunities or market changes. Keeping your finger on the pulse of progress enables continuous improvement.
How to create SMART goals
Investing time and brain power into creating your goals will pay dividends. In general, goals should be:
- Specific – be really clear on what the goal is so you know when you’ve achieved it
- Measurable – include specific metrics like set deadlines, times, numbers or percentages
- Achievable – make sure they’re attainable and realistic goals
- Relevant – tie them to your overall business goals and vision, and make them appropriate for that team member
- Time-bound – time-bound goals need to be achieved within a specific timeframe. This creates a sense of urgency and helps you stay focused and motivated.
Instead of setting a vague goal like ‘increase revenue’. Make it a SMART goal by changing it to ‘increase annual revenue by 20% this financial year by securing 5 new clients.’ A marketing goal may be ‘reach xx followers on Instagram by December 2025.’ The sales team may need to improve sales conversion rate by xx% next quarter.
What are your small business goals?
Each construction firm is unique. It’s important to make sure that the goals you set are tailored specifically for your business and for each team member within it. A few examples could be:
- Raise client satisfaction levels: monitor customer feedback and find ways to address concerns and improve customer satisfaction.
- Attract new clients: look at ways to improve your sales process, increase lead generation and conversion, as well as your marketing strategy.
- Improve profitability: set specific goals that include revenue targets, profit margins and cost reductions.
- Explore new technologies: research innovative ways to improve functionality and provide better or different services.
- Streamline processes and operations: set project management targets to improve efficiency, reduce bottlenecks and boost productivity.
- Increase sustainability practices: you could expand your services to include environmentally-focused offerings.
- Personal development: Encourage continuous learning by including training and development goals for your team members.
Start goal-setting for your construction company today!
Enough procrastinating. Crack on with setting SMART goals for your business and team members today. Fail to plan and you plan to fail, so start with you construction company business plan and don’t forget to get buy-in from everyone in your team.
Need a hand? I’m an experienced business coach for tradespeople. I’ve helped numerous construction business owners to plan effectively. I keep them accountable and on track to achieve their goals. Get in touch to find out how I can help you too.
