Residential Building Industry

Management Consulting

In today’s challenging residential market conditions, builders, trade contractors, and building products suppliers must focus on the efficient use of all their resources, both material and staff. FMI provides a series of services to address both of these critical issues.

For the builder, FMI provides a solution for sustainable margin preservations founded not on mandating price reductions, but in developing a detailed understanding of each key trade package.

FMI and its partner, CatCon Systems, have developed a material management solution for the builder to begin their margin management programs by focusing on cost reduction – not price reduction. The first step is to perform detailed material takeoffs. The builder can use the data as a catalyst to discuss the importance of efficiency, material conservation, and cost management in today’s residential environment. On an average home, builders using this approach have seen savings of over $2000 per home just by evaluating lumber, drywall, and siding.

Project execution excellence is critical for the builder, both within the operations of a builders organization and externally with partners. FMI works with companies to build operational excellence by providing consulting and training for construction management improvement, and creating cost effective relationships with your trade partners.

FMI also helps trade contractors working in the residential market create effective strategies and implementation plans to manage change and find solutions to reduce risk and increase profits. We help develop and implement market-driven plans for sustained top-line growth and bottom-line profitability. FMI builds operational excellence for trade contractors serving the residential construction industry in the areas of field labor productivity, project management improvement, and building effective relationships with project peers.

Building product and equipment suppliers are faced with an ever-changing, competitive environment that requires constant analysis of marketing and sales effectiveness. In this challenging residential market, manufacturers and suppliers must rethink their strategies, distribution channels, and sales process to develop a competitive advantage. FMI's industry perspective and unique experience has provided value to leading industry suppliers to gain additional leverage in their respective markets and support profitable growth.

Investment Banking

The Residential Building Industry is experiencing a host of pressures that are causing consolidation and change.

• While activity has shifted to divestiture and restructuring, some are beginning to take advantage of the downturn to prepare for the next cycle.
• Restrictions on land use and more lengthy entitlement processes create more cost and risk for homebuilders and developers of all sizes.
  
• Technology is changing the supply chain and providing opportunity to cut costs.
  
• Pro dealers and trades are being asked by large and growing homebuilders to broaden geographic coverage and reduce costs. More and more pro dealers are also in the installation business, and are always expected to deliver local service.
  
• Building product manufacturers must compete on cost, quality, product offering, and delivery in an international market.
  
• Retailers are expanding their capabilities in installation broadening their offerings to homeowners.

These pressures are challenging all participants in the industry. Public companies are driven by Wall Street. Private companies consolidate or seek their own niche to prosper.

FMI’s understanding of the construction industry and experience with consolidation provides a unique capability to business owners in the industry. The services provided by FMI to Builders, Trades, Pro Dealers, Retailers and Building Product Manufacturers include: