6 Ways To Reduce Construction Costs In 2023

Are you an owner or manager of a construction business, looking to save money in 2023? With the current rise in construction material costs, you’re not the only one. 

As a business you can’t skimp out on cheap materials, as it wouldn’t leave a very good taste in your clients mouths. This article is going to go over how to reduce construction costs, and even raise your level of quality, while ensuring your clients are still happy with the results. Sit back, relax and explore the options with us. 

1. Optimise and refine your project plan

This stage is all about improving the planning phase and taking into account everything you can to save money on those extra costs. With your plan take into account the building materials, costs, working times, and schedules. With costs in mind, think about the broad scheme of the project, some jobs are more complicated than others and will require more time, money and effort. Even with the most complicated construction project to build someone’s dream home, there is always room to make it simpler. 

Complicated jobs tend to have a lot of specific needs, and if during the design phase see something that can be improved upon, communicate this with your client. Be open about it, and show them all the pros, cons, costs, and expenses. Explain to them how it will benefit their project rather than saving your business money. 

2. Search for the right materials

At times the first or most expensive option isn’t always the best. This is true for construction businesses when deciding on raw materials. Think about the needs for the job and if there are material alternatives that can do the same job, if not better. Search far and wide, but remember don’t go too far. You can’t waste money on shipping the materials. It’s surprising how much you can save by being smart with which building materials you choose. 

3. Use the right equipment for the job

At times it may seem like buying equipment can be a huge cost, but more often than not they can make the job easier. It’s generally a good idea to use quality equipment for the job. With the right equipment, operators will be safer, happier and more efficient. In the end, lowering operating costs and allowing you to take on more jobs. 

For example, in the construction industry, underground services can be a cause for major concern if you need some HDD drilling work done. You could have your labourers use a hand auger to check for any underground services and utilities, but there is a better and more efficient way. Use a vacuum excavator to locate the utilities instead. This will save you time and money spent on service locating. 

4. Reduce waste

It may come as no surprise but the construction industry produces a lot of waste. Not only is this bad for the environment, but it can be detrimental to your business. Wasted construction material, however small, can be a costly mistake in the long run. 

Ensure that your builders are utilising as much of the raw materials as they possibly can. Get them to correctly measure and install each component. Concrete for instance gets wasted by the tonne, so it’s important to measure out the correct amounts required for your job. Don’t allow workers to guess amounts. If there is excess, which may be inevitable, think of ways you can repurpose it across the site. Are there any other places where concrete is needed? It’s surprising how far a little bit of recycling can go. 

5. Communicate with your team

Shift work in any business is nothing new, especially in the construction industry, and everyone should know their allocated times. This line of communication should go further than their shifts. Consider communicating with your team every morning about what needs to be done on this day, who is allocated where, and why. Everyone in a team setting will work better if there is an open line of communication between them and management. 

Speaking of open communication, listen to your employees. They may have suggestions and ideas that may actually be helpful. It may even come down to requests for better equipment. More often than not, those using the equipment will know if a replacement or upgrade is in order. Sometimes spending more in the short term will save money in the long run. 

6. Choose the right construction equipment partner 

When buying new machines, it’s crucial to take into account the after sales service benefits your construction equipment supplier provides. Down time on machines is a huge cost to companies and can significantly decrease your profit margins. Choosing the right equipment supplier that will aid you in the moment of need, is a must. 

At Vermeer WA & NT, we promptly send our trained personnel to investigate any issue with your Vermeer machinery. Eliminating your down time is our priority and an integral part of our after sales service benefits. For more information on servicing and warranty, get in touch with us either by phone on (08) 9479 4994 or by email at info@vermeer-want.com.au