Developers nationwide are sharpening their pencils following the recent interest rate cut and eyeing the real possibility of another one soon.
In California, the real estate community is seeing plans previously stuck in the doldrums getting fresh wind in their sails: new multifamily, hospitality, retail and educational projects are on the way.
But are construction firms ready for the influx of work? Have those companies made the necessary investments in retaining and growing their workforce?
Construction jobs are on the rise in California, with an increase of 6,000 more workers joining the industry since 2023, according to the Employment Development Department of California (EDD).
For several years, fluctuations in the number of available and capable workers have plagued general contracting firms. Logically, it would make sense if those companies took measures to train and retain valuable employees. Without an investment in time and effort those skilled laborers have been known to easily stray for greener paychecks.
With 45 years of building experience, R.D. Olson Construction has served many different clients including Marriott, Hilton, Hyatt, Ritz Carlton, MBK Living, Related Properties and Meta Housing. Founded by Robert Olson in 1979 and headquartered in Irvine, the success of the company is attributed to a staff of dedicated employees who place a high value on integrity and have the experience to excel in commercial construction.
While our specialty experience varies for each project – multifamily, hospitality, mixed-use, retail, senior and affordable housing – our culture and infrastructure remain the same. We grow our workforce from within.
Value in a Growing Workforce
A company’s greatest resource is its people.
At R.D. Olson Construction, we view each of our 106 employees, whether they are a recent hire or a 30-year veteran, as an asset. We also recognize that each of them has different needs and abilities corresponding with their experience and job description.
Career paths are not one-size-fits-all. In an industry where efficiency, safety and precision are paramount, construction companies must prioritize employee training. That’s why we offer education, instruction, mentoring and teaching materials to our team members with the goal of retaining great people and building from within. By equipping workers with the latest skills and knowledge, firms can not only enhance productivity and reduce accidents but also foster a culture of continuous improvement. That improvement translates into benefits for our clients, too.
So, how does a company create and implement a complex multidisciplinary training program designed to foster each employee’s career path growth?
The R.D. Olson University is Always in Session
Several years ago, our construction firm started its nascent training program with a mentoring system wherein we helped interns and new hires joining the company by assigning regular check-ins with senior employees. That humble beginning was the birth of what we now fondly call R.D. Olson University (R.D.O.U.).
This school isn’t accredited nor are there graduation ceremonies. And we don’t have a mascot or football team – although we do like to sing to a RDOU fight song! After much evolution, we created a system of detailed career path ladders and goals to train for along the way.
By harnessing the skills of our project managers and planners, we currently offer 68 courses to our employees, covering various disciplines. Over the past three years, we have provided courses for 609 attendees totaling 2,361 participant hours at no extra expense.
Quality, safety and reliability are at the core of who we are, and these values are woven into the fabric of our firm. Managers, engineers and superintendents can all benefit from what R.D.O.U. has to offer and we take the safety on the construction site very seriously and offer OSHA 10 and 30 certifications as defined by the U.S. Occupational Safety and Health Administration.
Investing in training today builds a more competent, adaptable workforce for tomorrow’s challenges.
The courses we offer vary according to career path and include topics such as “How to Bid on a Job” and “Increasing Your Financial Statement Fluency.”
We thrive on innovation and strive to better our industry by utilizing the latest technology and applying forward-thinking building techniques. Complex software training is offered, as well as the increasingly important use of artificial intelligence.
Planning for the Next Generation
Succession planning is a critical component for the long-term success and sustainability of any organization. The need for a well-prepared leadership pipeline becomes increasingly important as a firm grows and establishes a history of success.
Our faithful clients, who are repeat customers, rely on a continuity of excellence. Our standards and skills cannot drop off when one of our team members decides to retire.
An important part of R.D.O.U. is its succession program as we must be prepared for the next generation of leaders. We are excited to identify the next CFO, the next general superintendent or, dare I say, the next president of the company. About 20% of our team have been with us their entire career and the average tenure is 12 years with the company which is a major reason annual repeat business makes up 77% of our yearly revenue.
Effective succession planning ensures that key roles are filled by capable individuals who are ready to step up when needed, minimizing disruptions and maintaining continuity. By identifying and nurturing talent within, a company fosters a culture of loyalty and motivation, ultimately leading to enhanced employee engagement and retention.
Moreover, succession planning is not just about preparing for unexpected departures; it’s also about strategic growth. A thoughtful plan allows companies to align their leadership development with their long-term goals, ensuring that future leaders possess the skills and vision necessary to drive the organization forward.
This proactive approach mitigates risks associated with leadership transitions while positioning the company to capitalize on new opportunities. In a competitive business environment, organizations that invest in succession planning are better equipped to navigate change and emerge resilient, demonstrating that they are committed to sustainable growth and effective leadership development.
We must be prepared for the future: tools change, roles change. Growth happens.
