Innovation In Construction Industry

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Most SMME’s in the construction industry are small contractors. While opportunities for innovation can be found in most activities in the business, the ability to identify opportunities is a key characteristic. Opportunities for innovation: Opportunities for innovation and improving performance can be found in all aspects of the enterprise, within the company they include marketing and getting contracts: the organisation and operation of the business and producing and delivering the end product. Below follow Aspects of Opportunities for innovation: Marketing: o Firms attract customers by marketing their product or services. Consider focussed ways to advertise or sell your service or product to you target market. Think of methods that are…show more content…
Adopt the attitude that the customer is always right and look for ways of pleasing them. Customers are the best source of information an what pleases them: ask for feedback on your service and react to it. After-sales service is often neglected. There are always teething problems in new buildings, shrinkage cracks, stiff doors and windows etc. might seem trivial to a contractor, but to customers they are serious. Remember that a happy customer is free advertising and an unhappy one can do a lot of harm to your reputation. Skill Enhancement: o A lack of appropriate skills is one of the main factors that limits SMMEs. Appropriate technical, commercial, managerial and administrative training are available from many formal and informal organisations. Ask for advice from previous employees and from successful colleagues – they have a wealth of experience and are usually willing to share it. Bring in new people with skills that can enhance the business – the mobility of people and bringing in new people is one of the key factors in innovation in SMMEs. Enhancing…show more content…
financial, manpower and equipment), SMMEs sometimes form associations of the small contractors who live and operate in the same geographical area. Often these associations are simply about gaining a share of the market. When a large development is announced, an association of small contractors will emerge with the sole purpose of obtaining sub-contract work or a share of serviced sites. Once the work or sites are secured, the main function of the association has been achieved and members tend to operate on their own. There is great potential here for innovative thinking - the association could become a “virtual company”. All members (say five to six firms) would agree to operate as a single entity and to collaborate and partner on all functions of the ‘company’. There are very successful examples of this: small works are handed to individual members on a roster basis, but large projects are undertaken by the whole group. The collective resource is much more capable of handling the project and each individual firm plays to its strengths. If necessary, additional resources can be bought in on a contract

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