RHEYBEL G.

DE LEMON MGT 214 – Managerial Planning and Control

MBA 1ST Sem. S.Y. 2022-2023 October 1, 2022

CHAPTER 7 – STRATEGIZING
Case 7-1 Nabholz Construction
1. Establish specific goals and objectives.
To become the leading construction company in the market that provides high-quality
and satisfactory output within a given period of time.

2. Identify and define the problem.

It is said that a construction business is known to be fragmented for being high risk and
intense competition. Common problems that arise in the business are poor productivity due to
uncontrolled variables such as frequent inclement weather, rising costs and/or delay in
materials, and design complications arising midway during construction. Another significant
thing is that workers’ safety are always at high risk if safety precautions are not strictly
implemented and safety gears are not regularly maintained.

3. Establish priorities.
For a construction company like Nabholz, the top priority is building customer loyalty.
With the limited client and high competition, it is already beneficial for the company to have
a few loyal clients to sustain the survival and growth.

4. Determine the cause of the problem.

Building programs are unique in design and require the management and coordination of
materials, labor, and equipment for a variety of locations and weather conditions. This makes
it harder for construction companies to hold their longevity more than six years; the irregular
number and complexities of projects and the extensive costs of operations.

5. Develop alternative solutions. And;

6. Evaluate the alternatives.

 Prepare for the Unexpected – to ensure the longevity of your construction business, you
need to put a recovery plan in place that you can implement immediately if any
unforeseen problems were to occur. You also need to implement a budget that accounts
 for all profits and expenses. That way, you can save the money necessary to keep your
business going in the case of a utility outage or a storm that could wipe out your
resources and leave you unable to work for an undetermined amount of time.
 An Employee Retention Strategy – Create a positive work environment where you
provide the tools that will help your employees feel appreciated and productive.
Employee retention starts on day one with a well-orchestrated onboarding process, during
which you explain the full extent of the new position, where employees can go for
questions and guidance, and a career path that will see them grow within the company if
they are interested in an eventual promotion.
 A Culture of Safety - You want your employees to feel safe and secure every day that
they enter the job site, so management should hold regular meetings where safety
guidelines are discussed and implemented. On top of that, management should have an
open-door policy, so your staff knows that they are encouraged to come forward with any
safety concerns they see around the office.

7. Select a solution.
Each solution contributes to the growth and longevity of a construction company but in
my opinion, the best out of the three is the culture of safety. Working in a construction firm
as an onsite worker is very risky with the huge materials and equipment around as well as
having to deal with being elevated on unfinished buildings. Ensuring the employees’ safety
and making them trust the company’s safety guidelines enables them to deliver the desired
productivity. Also, when safety is the priority in the operations, there is a lesser risk that the
firm will cost them damage compensations due to accidents onsite.

8. Implement the decision.

In the case of Nabholz, it has employed a full-time safety director prior to OSHA
regulations for the construction industry. This resulted to Nabholz low employee
compensation rate which reflected its commitment to safety.