Strategic development in a company of the construction industry
Our client is a renowned international construction firm, which has expanded strongly in the last decade through acquisitions. However, the latter were not well integrated, and until recently the company was more of a loose association than a powerful group.
However, market conditions alter. Driven by the rise in the world population, urbanization and the improved economic performance in many regions of the world the construction industry is set to become one of the strongest expanding sectors in the coming decades. Whereas previously local firms almost exclusively determined events on the markets, today and in the future events will be shaped by larger firms that combine local presence with global competence and standards, have a strong financial basis and consequently have access to both major public and private contracts.
In order to be successful in this altered environment our clients opted to develop and implement a new strategy, which entails a fundamental cultural change.
Working with the client’s regional business units we developed business strategies, which on the one hand correspond to local conditions, while drawing their strengths from the efficient use of the company’s global expertise and resources. This ensured acceptance among decision makers and experts in the business units for this new approach, which not least of all requires a radically different understanding of the role of management teams. We supported our clients in deriving quantifiable goals from the strategies, and formalizing and reaching agreement on the necessary change in roles. This was achieved using classic elements of change management, but also of marketing and corporate communications.
The change process for our client has been successfully started, and has already produced the first quantifiable results. Most aspects of the business strategies are beginning to take effect, and the new manner of international collaboration is proving increasingly successful in the acquisition and carrying out of complex major projects.