Running a construction business is a constant learning experience. No matter how long you’ve been doing it, your company will change, your people will change, and the market around you will definitely change. That’s why even the best contractors eventually run into a tough question: Do we need to restructure the way we operate?
It’s something that happens in every industry. Big companies deal with it all the time. Chris, Jeff Spencer, and Jeff Givens talked about this during a recent episode of ProfitDig Live, and even though their examples came from companies with thousands of employees, the lessons apply directly to small and mid-sized construction companies too.
The truth is simple: if you keep doing things the same way forever, there’s no guarantee it will keep working. At some point, the strategy, structure, or daily workflow that helped you grow will eventually hold you back.
So how do you know when it’s time to make a change? And what does restructuring even look like for a construction business with one crew, two crews, or maybe a dozen employees?
Let’s break it down in plain English.
Why Companies Restructure in the First Place
Sometimes restructuring is driven by leadership changes. A new manager comes in with a new vision. Other times it’s about staying competitive or making sure the company is still profitable. In construction, it can be something as simple as realizing that the way you’ve “always done it” isn’t going to get you where you want to go next year.
Even massive companies get hit by this. Chris shared how his employer – with more than 130,000 employees around the world – recently went through a major restructuring. At that level, one decision at the top can eventually affect tens of thousands of workers.
But the scale doesn’t change the principle. Whether you manage 50,000 people or five, the question is the same:
Is the current way of operating still the best way to run this business?
Signs That It Might Be Time for a Change
Here are some clear indicators that a restructure might be overdue:
1. You’ve hit a growth wall
Maybe you’re not getting repeat customers like you used to. Maybe your jobs aren’t as profitable. Or maybe the business isn’t growing at all. When things stall out, it’s time to step back and ask why.
2. The structure no longer matches your goals
If your goal is to double your revenue over the next two years but your current team, tools, or processes can’t support that, something needs to shift.
3. Communication is breaking down
When roles get unclear, expectations get messy, or people aren’t sure who is responsible for what, it might be time for a re-alignment.
4. You feel constant friction
Friction is a sign of outdated systems. Maybe one person is overloaded. Maybe tasks aren’t distributed the right way. Restructuring can clean that up.
5. You’ve grown and haven’t updated how you operate
Success can actually cause problems. A “one-crew system” can fall apart when you suddenly have two crews, more equipment, and more scheduling needs.
How Restructuring Looks in Construction
Unlike corporations, restructuring in a construction company is usually not about titles or departments. It’s more about redefining the way work gets done.
Examples include:
- Reassigning responsibilities so people can focus on what they’re good at
- Hiring a dedicated estimator instead of letting the owner handle every bid
- Adding a foreman to take pressure off the owner
- Fixing problems at lower-level positions so the rest of the company runs smoother
- Shifting processes to improve communication from field to office
- Introducing software (like ProfitDig) to replace outdated spreadsheets or guesswork
Sometimes it’s financial restructuring. Sometimes it’s operational. Other times it’s both.
Jeff Spencer pointed out that sometimes the biggest changes actually start at the lower levels, depending on what isn’t working. If the foundation is shaky, the whole structure above it suffers.
Don’t Ignore the Human Side
Change makes people nervous – even if the company is tiny.
Chris shared how in his previous management role, there were rumors of restructuring and nobody in the middle layers knew what the changes were going to be. That anxiety is real. And your crew feels it too, even if they don’t say it out loud.
That’s why communication matters. Make sure your people know:
- Why change is happening
- What the goal is
- What it means for their day-to-day job
Most employees care less about strategy and more about simple things like job security, pay, benefits, consistency, and whether the workday is about to get harder. Keeping them in the loop helps.
Take Time Each Year to Re-Evaluate
Chris made an excellent point near the end of the discussion: every business owner should take at least one day a year to step back, look at the company from above, and ask:
- Where are we right now?
- Are we on track to reach our goals?
- Is the way we’re working today going to get us where we want to be next year?
Even if you only have three or four employees, this kind of yearly check-in can save you years of frustration.
Restructuring isn’t a sign of failure. It’s a sign of growth.
The most successful contractors are the ones who stay flexible, look honestly at what’s working and what isn’t, and make adjustments before problems get out of control.
Whether you’re a brand-new business owner or you’ve been running your company for decades, don’t be afraid to ask the hard questions. The sooner you realign your structure with your goals, the stronger your business becomes.