NEHP Blog

Why We Need Purpose-Driven Culture In Today's Construction Industry

In today’s construction industry, over 90% of global infrastructure projects are either over budget or over schedule ^[1]. As present-day construction productivity metrics continue to sputter, stakeholders are feeling the pressure to find better tools and solutions to minimize project overruns and their impacts. 

While the impacts may mean different things to different owners -- time-to-market releases, equipment not being commissioned on time, new buildings, universities or hospitals not occupied per the original schedule, and new additional complex facilities not installed per the plan -- the ultimate goal is to enable the use of new "assets" to beat time-to-market and meet financial project commitments.

In this article, we'll examine two areas where using purpose-driven methods can enable a better outcome to minimize stakeholder overruns. 

1) Purpose-Driven Leadership

Generally speaking, leaders with a purpose tend to have greater followings and greater successes in their campaigns. This is no different for the construction industry. Purpose-driven leadership is vital to a successful and more productive project framework.

If we do not have leadership that can enable and inspire creativity and flexibility, then we are not going to affect the status quo. We need leaders that are innovative and strong-willed enough to persuade people to do great things, think differently, admit mistakes, learn from them, and adapt to dynamic conditions. Changing our methods and minds is hard, but it is critical in an era where threats of disruption are always on the horizon.

Case-in-point, as the millennial population increasingly defines our workforce with new ways of thinking and new mindsets, developing open-minded and purpose-driven leadership will become a key for the survival of businesses and construction programs.   

2) Purpose-Driven Innovation

In addition to leadership, it's equally important to create a vision and culture of promoting purpose-driven innovation within your teams and execution models. Innovation can be disruptive or non-disruptive; both equally essential to our current delivery methods.

Disruptive innovation is usually severe enough to affect your current business model, products, and go-to-market strategies. Non-disruptive innovation often qualifies as a more efficient or effective use of an application with an existing product, process, service, technology, or business policy.

Both of these can become a catalyst for your company’s growth. The continuous deployment of innovation, large or small, will stimulate your team’s ability to push for new boundaries. In other words, when you are equipped with the fruits of innovation, you empower yourself for further advancement. People and businesses alike do a better a job when they believe in what they do.

For the "purpose" to be effective in innovation however, it must align with key business goals and drive decision-making throughout the organization. This is where purpose-driven leadership and purpose-driven innovation feed on one another. Both are required to create an organization that makes a difference; enhanced by a personal connection to bring out the best in everyone.  

How To Become More Purpose-Driven

Purpose-driven companies are reaching new standards of success in today’s challenging industry by reassessing the "whys" of what they do. Construction organizations that embrace and find their 'whys’ will:

• rediscover and tap into new meaning for all activities
• will establish an improved connection between jobs and purpose
• build stronger relationships with employees
• create a workplace that feels and operates like a collaborative community
• inspire continuous improvement    

Implementing purpose-driven means and methods is not always easy. It takes discipline and consistency for change to take shape. Aspiring for purpose-driven leadership, innovation, and "company why's" are powerful first steps toward influencing a better outcome for you and owner key objectives.

If you would like to learn about more methods and resources for construction productivity improvement, please feel free to:

Visit Our Lean Construction Integration Page Here

OR

Visit Our Large-scale Modularization Page Here

Sources:

[1] https://www.economist.com/business/2017/08/17/efficiency-eludes-the-construction-industry