The Business Model Canvas for Construction

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  • Clarify your construction business strategy with this planning tool.
  • Addresses all the important business planning considerations in one page.

The Business Model Canvas was developed by Alex Osterwalder. More in-depth information is available at Strategyzer.com, the consulting company he co-founded.

  • The VALUE provided for Clients –
    • Why would a client would want to transact with the business?  
    • What is provided to the client that differentiates the company?
  • The Company-Client INTERFACE –
    • What types of relationships are or should be developed with the client?  
    • How does the client want the relationship to be established and maintained?
  • MARKETING Channels –
    • How will the company inform the market?
    • Media channels (Website, Yellow Pages, radio, newspaper, shopper, TV, etc) identified, which will be used, why?  
    • Which demographics and psychographics have determined the visuals for marketing?
    • What is the market position sought?  
    • How will that position be won and held?
  • WHO the Client is –
    • What is the central model for your market?  
    • Who are your flanker models?
    • What is the importance of developing a niche?
    • What is the optimal market position?
  • What the Company must DO –
    • Identify the actual work that the company does,
    • how the work is done, and
    • any special products or processes that set the company apart from its competitors.
  • RESOURCES used –
    • What are the products and processes used in production?  
    • Do you download from Builder Resources?
    • Use Scopes of Work, product reviews, best practice documents, etc?
  • SUPPORTERS and SUPPLIERS –
    • Who are the important advisors and how they are being used?  
    • Who are the important suppliers and the products or services they provide?  
    • How are the relationships with each being nurtured and maintained.
  • How the Company SPENDS MONEY –
    • What are the standard specifications for a project?  
    • How are special orders handled?
    • How are vendor relationships maintained?  
    • Does the company carry inventory?
    • Are there cash reserves? 
    • How strong are the banking relationships? 
  • How the Company MAKES MONEY –
    • What is the pricing structure?  
    • How are estimates produced and proposals presented?
    • What are the steps in the contracting process? 
    • What cost controls are in place?  
    • How are subcontractors managed?  
    • How is the client relationship managed?
  • The steps outlined in this planning tool may seem to be arduous, but…
  • You are making multi-million dollar decisions here.
  • The thinking you are doing, and the decisions that you make, will lay the groundwork for your construction business for years to come.
  • You are encouraged to spend the time thinking about where you want to take your business, instead of pondering where it went wrong afterwards.
  • Set your company up for success.
  • Be PROACTIVE, not REACTIVE.
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