Construction

Repairing management structure in a construction company

We eliminated overlapping managerial positions and introduced a clear progress reporting system. Project lead time was shortened by 11 business days.

-11 days on schedule
ClientBud-Rem Silesia
IndustryConstruction
TimelineMay – August 2024

The company Bud-Rem Silesia with a 32-person crew was drowning in decision-making chaos, even though on paper everything looked correct. The owners spent 13 hours a day in the office, and deadlines on three key construction sites still shifted by consecutive weeks.

Operational AuditCost ReductionTime ManagementConstructionEmployment Structure

The challenge

The main problem was the blurring of responsibility – four managers with almost identical competencies worked in the company, which meant no one wanted to make difficult decisions. Purchasing materials over 4,400 PLN required the approval of three people, which blocked work on-site for an average of 3 business days.

Additionally, an analysis of invoices from the last 7 months showed that construction equipment was duplicated. An excavator stood idle on one site, while an identical machine was rented for the second from an external company for 1,850 PLN per day. We look for gaps in everything and in this case found it in the lack of information flow between construction sites.

Our approach

We started with four site inspections at construction sites near Wrocław and Legnica, where we spoke directly with the foremen. Net profit counts, so we scrutinized the machine work schedule and reporting system, which until now relied on chaotic phone calls after 5:00 PM.

We appointed one main equipment coordinator and introduced strict decision limits for field managers. Each of them received a clear message: you have a budget up to 3,100 PLN for sudden expenses and don't need to ask the top, but you are responsible for the final result of the section. The rules are simple and leave no room for guesswork.

The solution

We implemented a system of short text reports sent daily by 3:30 PM. This replaced multi-hour office meetings that brought little value. We moved two employees from the expanded administration department back to technical supervision, which allowed for better monitoring of installation quality.

We eliminated paper document circulation for small orders, which shortened delivery wait times by 47%. Now each crew knows what to do, and the owner, instead of 47 calls a day, now answers an average of 9, concerning only key investment stages. No fluff – we simply organized what was previously left to itself.

Results

The company regained operational liquidity, and the owners could finally leave the office at 4:00 PM without fear that work on the sites would stall. The elimination of unnecessary managerial positions allowed for real monthly savings.

-11 days
shorter house construction cycle
2.4h
average purchasing decision time
13%
lower equipment rental costs
82%
tasks delivered on time

Timeline

  1. May 2024
    Field audit and interviews with 32 employees
  2. June 2024
    Introduction of new purchasing limits and roles
  3. July 2024
    Launch of quick digital report system
  4. August 2024
    Reduction of duplicated positions and equipment base optimization

"I thought I needed more people to handle this mess. It turned out I had too many of them in decision-making positions. Reformacja Biznesu showed us that less means more efficient. Facts on the table and finally money is visible in the account."

Andrzej Marciniak President of the Board, Bud-Rem Silesia October 2024