Covey?s 6th Habit ? Synergize
Stephen Covey?s suggests that to be effective as a professional is to synergize with others. The author?s explanation of this is practical. He asserts that if we consider the other side as well as our own interests, we should be able to build more long-term value into any agreement. In other words, to work with others is a better course than to work against others. Trust has to be built but when established then synergy is the next logical step.
Not having resistance, but trust of the other parties allows for discussions and proposals to consider more options. If we are able to consider what is possible, we then can include more things in our agreement that will enhance value to both parties. It is simple, but powerful. Trust allows each of us to speak frankly and openly to the other side. If each party values the win/win concept, then obstacles such as price in a construction contract can be compensated by other valuable considerations such as cash flow, future marketing opportunities, and safety cost savings.
In construction situations, a wise course may be to seek ?cost reduction support?. That is, the sharing of expenses. Somewhat awkward at first but after a time, companies can work out a system of personnel, equipment, purchasing etc. that keeps overhead down.
Some may call this a ?buying group?. No matter the title, consistently seeking cost reductions in a cost sensitive business is a critical strategic direction that cannot be overlooked. A variable cost business which construction is, benefits from this in good economic times and bad.
This is an excerpt from our recent book, The Practical Construction MBA (2011, 458 pages) for more information ? go to : http://stevensci.com/Merchant2/merchant.mvc?Screen=CTGY&Store_Code=SCII&Category_Code=PCMBABook
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