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Construction Company Culture

What Is Company Culture in Construction and Why Does It Matter?

Protiv Team
10/21/24

When we talk about company culture, it might seem like a buzzword that’s more relevant to tech startups than to the down-to-earth world of construction and trade businesses. But here’s the truth: company culture is the backbone of any successful organization, including those in the construction industry. In fact, in a field where attracting and retaining skilled labor is more challenging than ever, culture can be the deciding factor between a thriving business and one that struggles to keep up.

Michael Fortinberry, co-founder of Protiv and a veteran with over 35 years in the construction industry, shares his insights into why culture matters and how it can transform a contracting business. Let’s dive into what company culture really means, how it affects your bottom line, and best practices for building a culture that works for you.

What Is Company Culture?

According to Fortinberry, “Company culture is your personality as a business.” It’s the values, principles, and behaviors that define who you are as an organization. Think of it as the blueprint that guides how your team communicates, how decisions are made, and how your business treats both its employees and customers. It’s the DNA of your organization.

In construction and trade businesses, culture shapes everything from the work environment on a job site to the way your team tackles challenges. A positive culture can drive innovation, communication, and teamwork, helping your business stand out in a competitive market. On the flip side, a toxic culture can lead to high turnover, poor motivation, and costly miscommunications—issues that no construction company can afford.

Why Culture Matters in Construction

In the current market, the shortage of skilled labor is a significant challenge for the construction industry. With fewer people entering the trades and demand continuing to rise, finding and retaining top talent is more important than ever. A strong company culture can be a powerful tool for overcoming this challenge.

Statistic after statistic shows that workers want more than just a paycheck. They want to feel valued, respected, and appreciated. A recent study by Gallup found that 69% of employees are less likely to look for a new job if they feel their employer genuinely cares about them. That sense of appreciation can be a game-changer, especially in industries where finding skilled labor is tough.

Fortinberry emphasizes that “if you have a toxic company culture, you’ll see that manifest in turnover, poor motivation, poor communication, and poor teamwork.” These issues don’t just affect morale—they directly impact productivity and profitability. A disengaged workforce is more likely to cut corners, communicate poorly, and make mistakes that cost time and money.

Best Practices for Building a Strong Culture in Construction

Building a strong company culture isn’t just about slogans on a wall or team-building events. It’s about creating an environment where your team feels valued and empowered to do their best work. Here are some industry-best practices that Michael Fortinberry and Protiv recommend for creating a positive culture in your construction or trade business:

1. Make Safety a Core Value

In construction, safety isn’t optional—it’s a necessity. But it’s not enough to just comply with regulations; your team needs to know that their safety is genuinely a priority. When workers see that leadership is invested in their well-being, it builds trust and loyalty.

Best practice: Go beyond the basics of safety training. Incorporate regular safety meetings, encourage workers to voice their safety concerns, and celebrate milestones like accident-free days. When your team knows that you care about their health and well-being, they are more likely to put in the effort to keep each other safe and productive.

2. Create Open Channels for Communication

A strong culture is built on open and honest communication. This means creating opportunities for team members to share their ideas, concerns, and feedback—whether it’s about a project challenge or a broader company issue.

Best practice: Hold regular team huddles, where every crew member has a chance to voice their thoughts and provide input. Make it clear that no topic is off-limits and that all feedback is valued. This helps build a culture of transparency and trust, ensuring that issues are addressed early rather than festering into bigger problems.

3. Invest in Your Team’s Growth

Many construction workers are eager to learn new skills and advance in their careers. By providing opportunities for training and professional development, you create a pathway for growth that benefits both your workers and your business.

Best practice: Offer mentorship programs, leadership training, or access to advanced certifications. For example, if a worker shows an interest in project management or advanced equipment operation, give them the resources to pursue that path. It not only motivates your team but also creates a pipeline of skilled leaders within your company.

4. Recognize and Reward Effort

Recognition is a simple but powerful way to build a positive culture. When workers feel that their hard work is noticed, they’re more likely to stay engaged and motivated. And it doesn’t always have to be about big bonuses—sometimes, a simple “thank you” can go a long way.

Best practice: Implement a structured recognition program that includes both formal rewards, like performance bonuses, and informal recognition, like a shout-out during a team meeting. Use a pay-for-performance system to tie incentives directly to team achievements, reinforcing a culture where effort is rewarded.

5. Align Culture with Company Goals

Your company culture should be aligned with the goals you want to achieve as a business. For example, if you want to improve efficiency and reduce project overruns, your culture should emphasize accountability, continuous improvement, and teamwork.

Best practice: Use Protiv to set clear performance metrics and track progress. This not only helps you manage project outcomes but also creates a sense of purpose and direction for your team. When workers understand how their individual efforts contribute to the company’s overall success, they are more likely to take ownership of their roles.

Creating a Culture That Attracts Top Talent

Michael Fortinberry reminds us that “strong company cultures attract the best people.” In a market where skilled labor is in short supply, a positive culture can be your competitive edge. When workers know that they’ll be respected, supported, and given opportunities to grow, they’re more likely to join your team and stay for the long haul.

A strong culture doesn’t just help you attract talent—it also keeps your existing team engaged and aligned with your goals. It creates a sense of community and pride that can be felt both on the job site and in the quality of work your company delivers.

Building a Culture with Protiv

At Protiv, we’re committed to helping construction and trade businesses create environments where their teams can thrive. Our platform makes it easy to implement pay-for-performance models that motivate your workers, track progress, and align incentives with your company’s goals. But more than that, we believe in helping leaders create a culture that puts people first, knowing that a motivated, respected workforce is the key to long-term success.

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