Five Ways Job-Site Ingenuity Drives Profitability

In the construction industry, creativity and innovative problem-solving play crucial roles alongside standardization in driving success. This article explores five key ways that harnessing job-site ingenuity can significantly enhance profitability for electrical contractors, particularly in an era marked by labor shortages and increasing project complexities.

1. Innovative problem-solving leads to reduced labor hours and significant savings

In an economy and industry where labor shortages abound, finding and retaining top talent is difficult because electrical professionals are often asked to perform time-consuming, labor-intensive tasks that take their attention away from more specialized work. According to the study, “Ideal Jobsite Inventory Levels to Improve Profitability,” conducted by MCA, Inc. on behalf of ELECTRI International, skilled electricians spend up to 40% of their time on material handling. With labor shortages expected to continue, contractors must maximize efficiency with their teams.

In one example, a project originally estimated to take 17 days of labor with a six-person crew saw a significant reduction in installation time through a simple yet innovative adjustment in the planning phase. The project’s original timeline was largely influenced by the manual handling of traditional cable reels. By introducing a creative reel payoff system, the installation time was reduced to just three days, allowing a single worker to reposition the reels efficiently and safely. This change not only streamlined the process but also resulted in substantial cost savings of more than $80,000, highlighting how optimized planning and improved tools can reduce labor time and enhance safety — all while maintaining high productivity.

2. Utilizing a tailored approach helps keep projects on schedule

The most effective electrical contractors plan for potential pitfalls and preemptively ensure efficiency-saving measures and equipment are already in place to keep the project running smoothly and profitably. But even the most prepared teams will run into unexpected challenges on site.

Electrical work often takes place at the same time that other trades are working, or is dependent on other trades’ work being completed. It also relies on construction drawings; sometimes, there are discrepancies between the drawings and what the different trades have done. When that happens, rapidly finding workarounds to job-site challenges can be the difference maker when it comes to staying on schedule. However, even creativity can benefit from a standardized process in the construction industry. For instance, contractors with a transparent and standardized communication process can quickly navigate to a solution when a challenge arises on site.

Front-line installers should be able to promptly communicate their issues and suggest solutions to site leaders, who can contact project stakeholders for rapid approvals and accurate instructions. The more efficiently communication can flow, the more effectively work can be completed — and the better the chances are the project will stay on schedule.

Another suggestion is to include the design firm and any upstream suppliers in the problem-solving process and request that they create a guide for implementing innovative solutions. By creating a reference guide for these solutions, contractors can standardize responses for future projects with similar challenges.

3. Celebrating creative solutions boosts team morale

Recognizing creative thinkers and problem-solvers in team meetings is an excellent way to create a culture of innovation in your company. If a team member went above and beyond to find a solution to a site challenge, highlight them in your next safety huddle or site trailer meeting by sharing the issue they identified, how they solved it, and the benefit and/or result. As the crew sees colleagues’ efforts resulting in praise and attention, they will feel more comfortable contributing in similar meaningful ways in future challenging situations.

However, recognition should be handled carefully. If a creative solution was attempted but fell short in execution, constructive feedback should be delivered privately. The last thing you want to do is stifle creativity in the team by calling out a faulty attempt at creative problem-solving. Doing so will only result in an embarrassed team member and a tight-mouthed, unimaginative crew.

A culture where innovation is continuously celebrated will breed more innovation. By being acknowledged for contributions to the success of a project, an electrician will be more heavily invested in future projects. And the more invested front-line installers you have, the more productivity and profitability will continue to grow.

4. Being seen as an innovative contractor provides a competitive advantage

Differentiating your company as one that promotes creativity and celebrates innovative thinkers will separate you from the more rigid contractors in the field, helping you attract more clients and top talent. New entrants into the electrical installation field usually have a choice when it comes to where to work. Younger workers are more likely to seek employment with companies that have a positive reputation, promote inclusivity, and see value in employee ideas. Innovative contractors will also attract top talent in more experienced roles to help lead the next generation of workers.

Similarly, customers are looking for contractors who can plan for efficiency, think on the fly, and quickly resolve issues — all while staying on time and on budget. Customers want to know they can trust their contractors to resolve problems without needing to take up too much of their time.

With an eye on profitability, building owners and general contractors are also paying more attention to which electrical contractors are adopting the newest timesaving, future-ready technologies. Leading-edge contractors offer added value to customers in the form of staying on track or recovering schedule time and avoiding costs associated with injury downtime. These value-adds often outweigh the possible associated minor cost differences. They will also be looking for partners that are continuously adopting the newest technologies so that when they want to make upgrades, they know their contractor is already upskilled and ready to take on the new assignment.

5. Leveraging technology improves efficiency and bottom-line results

Technology advancements in construction have made considerable improvements in job-site efficiency. One example is off-site construction techniques, or prefabrication, which have significantly streamlined unpredictable job-site processes. Electricians can eliminate unforeseen on-site circumstances by completing specific repeated steps in an off-site controlled environment. In addition, more extensive inventories of parts and materials are immediately on hand, and improved quality control measures can be implemented. For instance, assembling conduit racks in a clean indoor setting is far more efficient than a potentially freezing, muddy job site. In addition, many electrical manufacturers test the entire assembly and provide UL certification.

A/B testing on exact installation scenarios can be beneficial when determining which new tools are worth investing in. For example, in buildings that often use the same designs in several facilities, such as data centers, contractors can try out a proposed change and compare labor figures for a scientific measurement of increased productivity. Utilizing A/B testing in this way can help them move toward more productive standard operating procedures and stand out in a crowded and competitive field.

AI is touching every industry, including construction. By utilizing predictive analytics, it can help to streamline repetitive and time-consuming tasks. For example, by leveraging AI to capture previous failure points or issues resulting in callbacks, contractors can quickly identify commonalities and train teams on specific problem areas for further improvement. AI and machine learning are also rapidly sweeping through the supply chain with promising and significant benefits to advance manufacturing.

Creativity for the win

In conclusion, job-site ingenuity and creative problem-solving are essential for enhancing profitability in electrical contracting. Implementation of innovative solutions can lead to reduced labor hours and costs, while a tailored project approach with standardized communication processes ensures projects remain on schedule and trades teams collaborate effectively. At the same time, recognizing out-of-the-box problem-solving from crew members can help foster a culture of creativity and boost team morale. Furthermore, as an innovative leader in the industry, you position your company to have a competitive advantage, attracting both clients and skilled talent. By adopting standardized best practices with forward-thinking solutions, electrical contractors can not only enhance their profitability but also pave the way for a brighter, more innovative future in the industry.