How Smaller General Contractors Can Compete with Industry Giants for Top Talent? (Hint: It's not all about the money)

Leadership Thoughts with Kendall Pouland: Smaller General Contractors can Compete and Win Talent ( WITHOUT breaking the bank )

In the high-stakes world of construction, securing top-tier talent often feels like a David vs. Goliath scenario. While larger firms may wield hefty salaries and expansive benefits, smaller general contractors (GCs) possess unique advantages that can attract and retain exceptional employees. By focusing on culture, growth, and genuine engagement, smaller GCs can level the playing field.​

1. Cultivate a Great Company Culture

A strong organizational culture is pivotal in employee engagement and retention. When employees feel a sense of belonging, job satisfaction, and alignment with the company’s values, they are more likely to stay committed to their roles. ​

Action Steps:

• Organize team-building activities like lunches, happy hours, or sports leagues.

• Celebrate milestones and achievements collectively.

• Foster an environment where employees feel valued and heard.​

2. Engage Directly with On-Site Teams

Regular interaction with on-site teams fosters trust and demonstrates leadership's commitment. Superintendents, project managers, and engineers appreciate when their efforts are recognized firsthand.​

Action Steps:

• Schedule routine site visits to observe and discuss progress.

• Provide platforms for teams to showcase their work and innovations.​

3. Invest in Continuous Training

Training opportunities significantly impact employee retention. A recent survey revealed that 94% of employees would stay at a company longer if it invested in their learning and development. ​

Action Steps:

• Offer in-house workshops or sponsor external courses.

• Encourage knowledge-sharing sessions among teams.

• Provide access to online learning platforms for skill enhancement.​

4. Promote Work-Life Balance

Work-life balance is a critical factor in employee satisfaction. Employers offering better work-life balance have a 25% lower employee turnover rate. ​

Action Steps:

• Implement flexible working hours or remote work options when feasible.

• Encourage employees to utilize their paid time off.

• Recognize and accommodate personal commitments and needs.​

5. Recognize and Reward Contributions

Acknowledging employee achievements boosts morale and loyalty. Recognition can range from verbal praise to formal awards, all contributing to a positive work environment.​

Action Steps:

• Establish an "Employee of the Month" program.

• Offer small incentives like gift cards or extra time off for outstanding performance.

• Publicly acknowledge accomplishments during meetings or company communications.​

6. Provide Clear Career Growth Paths

Employees are more likely to stay with a company that offers clear advancement opportunities. Organizations that offer professional development opportunities have employees who are 15% more engaged in their work and see 34% higher retention rates. ​

Action Steps:

• Define and communicate potential career trajectories within the company.

• Assign progressively challenging projects to facilitate growth.

• Encourage mentorship and leadership development programs.​

7. Implement Mentorship Programs

Mentorship significantly enhances employee retention. Employees who participated in mentoring programs were 49% less likely to leave. ​

Action Steps:

• Pair less experienced employees with seasoned mentors.

• Set clear goals and expectations for mentorship relationships.

• Regularly evaluate and adjust mentorship programs for effectiveness.​

8. Involve Employees in Decision-Making

Empowering employees to participate in decision-making processes increases their commitment and satisfaction. A study found that employee participation in decision-making positively affects organizational commitment. ​

Action Steps:

• Solicit feedback on company policies and procedures.

• Include employees in planning meetings and strategy sessions.

• Act on employee suggestions to demonstrate their value.​

Conclusion

While smaller GCs may not always match the financial packages of larger firms, they can offer a work environment rich in culture, growth, and personal engagement. By implementing these strategies, smaller contractors can attract and retain top talent, ensuring long-term success in the competitive construction industry.​

Want to know where we got our information? See Below.

Works Cited

1. "The Significance of Organizational Culture in the Construction Industry." ABC Wisconsin. ABC of WI

2. "How Employee Training Opportunities Affect Turnover Rates." Awardco. Awardco

3. "The Impact of Professional Development on Employee Retention." UMass Global. UMass Global

4. "Driving Employee Retention Through Mentorship." Forbes. Forbes

5. "Employee Participation in Decision-Making and Organizational Commitment." ResearchGate. ResearchGate​