Construction Crews, People Solutions: Fractional HR in the Construction Industry

In the construction industry, efficient workforce management is the cornerstone of any successful project. However, managing a construction workforce is not always an easy task. But don’t stress, we have a solution – enter fractional HR.

In this blog, we’ll define fractional HR and explore how it can help ensure operations run smoothly. Let’s dive in.

Understanding Fractional HR

With a fractional HR partner like Culture Works, you gain access to a dedicated team of HR and back-office administration specialists who can help you stay compliant and navigate complex HR issues. You also save time and money by leveraging the expertise of seasoned professionals who can help you manage your HR needs more efficiently. So, whether you need assistance with recruiting, onboarding, compliance, or anything in between, your HR partner can help your business grow and thrive.

How Fractional HR Works in Construction Companies

Fractional HR involves collaborating with external HR professionals, often through specialized consulting firms, to handle various HR functions on an as-needed basis. Here’s a closer look at how fractional HR operates within the dynamic realm of construction:

Tailored to Project Phases and Needs

Construction projects go through distinct phases, each with its own set of HR requirements. Fractional HR allows construction companies to customize their HR support according to these phases.

Flexible Scalability

One of the standout advantages of fractional HR is its flexibility. Construction projects often experience fluctuations in workforce demands. Fractional HR providers can quickly scale up or down their support to align with these changes.

Expertise Where It Counts

Construction HR encompasses a diverse range of functions, from recruitment and training to compliance management and safety protocols. Fractional HR brings specialized expertise to the table. External HR professionals well-versed in the intricacies of the construction industry can provide insights, strategies, and best practices that directly address the unique challenges this sector faces. This expertise not only ensures smoother operations but also minimizes risks associated with regulatory non-compliance and workforce management.

Cost-Effective Solution

Fractional HR offers construction companies an economical alternative to hiring full-time, in-house HR staff. The overhead costs of maintaining an HR department—such as salaries, benefits, and training—can be significantly reduced with fractional HR. Construction businesses can channel their financial resources into core operations, while still benefiting from top-tier HR support on demand.

Integration with Technology

In today’s digital age, technology plays a crucial role in HR management. Fractional HR often leverages advanced HR software and tools to streamline processes, improve communication, and enhance data management. These technologies facilitate seamless collaboration between the construction company, the fractional HR provider, and the workforce, ensuring that crucial information is accessible and up to date.

A Collaborative Partnership

Successful implementation of fractional HR hinges on effective collaboration between the construction company and the external HR provider. Open communication, defined roles, and a clear understanding of expectations are vital. Regular updates, feedback loops, and the ability to adjust strategies as project dynamics change are integral to a productive partnership.

The Benefits for Construction Companies

Cost-Effective Expertise: Fractional HR offers access to seasoned HR professionals without the financial commitment of hiring full-time staff. This is particularly advantageous for construction businesses that may not require constant HR oversight but still need strategic guidance during crucial phases.

Flexibility and Agility: Construction projects often experience fluctuations in workforce demands. Fractional HR provides the flexibility to ramp up or scale down HR support based on project requirements, ensuring the right personnel are in place when needed most.

Specialized Knowledge: The construction industry has unique HR challenges, from managing transient workforces to compliance with safety regulations. Fractional HR experts familiar with these challenges can tailor solutions that align with the industry’s specific needs.

Focus on Core Competencies: By outsourcing HR tasks, construction companies can redirect internal resources toward their core competencies – building and delivering exceptional projects.

Risk Mitigation: Fractional HR professionals can assist with risk management strategies, including ensuring compliance with labor laws, handling worker’s compensation claims, and minimizing legal liabilities.

Let’s take a look at how these benefits impacted our client!

Case Story: Transforming Culture and Operations through Fractional HR Partnership

Unitis, a construction company, sought a transformative partnership with fractional HR experts to address their key challenges in compliance, culture management, and operational efficiency. The partnership was built around the following areas of focus:

Culture Accountability: The construction company aimed to integrate its core values into the organizational culture. They recognized the importance of having an impartial resource to champion these values and drive commitment throughout the workforce.

Culture Operations: The company desired to optimize team performance and clarity by aligning roles, responsibilities, and compensation structures. They also aimed to develop personalized development plans and impactful job ads to attract the right candidates.

HR Operations: The goal was to enhance operational effectiveness through efficient processes, comprehensive onboarding, and improved employee engagement. They also aimed to establish purposeful and productive company meetings and ensure up-to-date policies and procedures.

Impact & Results

Culture Accountability:

Successfully launched company values, fostering a shared sense of purpose and guiding principles.
Introduced an incentive program to promote commitment to values and recognized Values Champions.
Built a culture of recognition and commitment to the company’s principles.

Culture Operations:

Optimized team performance with finalized job descriptions and compensation structures.
Conducted a 9-box activity for personalized development plans and impactful job ads.
Enhanced recruitment process, attracting qualified candidates.

HR Operations:

Enhanced operational efficiency through collaborative process development.
Streamlined onboarding with comprehensive training forms and 30-60-90 day check-ins.
Transformed company meetings for increased productivity and engagement.
Revised handbook policies and procedures to reflect best practices.
Improved candidate selection with enhanced interview guides.
Gathered valuable insights through multiple employee engagement surveys.
Implemented attendance policy and resolved workplace issues effectively.

Check out the full case study of our journey with Unitis, here.

Learn More About Culture Works

At Culture Works, our values make us who we are.

We are a trusted resource working with companies to improve their processes, operationalize their company culture, invest in their people through leadership training, and bring purpose into everything they do.

Our services provide the processes to operationalize culture in your organization:

Intentional Culture Works for businesses
Collaborative Culture Works for employees
Healthy Culture Works internally in companies to facilitate organizational change, and
Values-Driven Culture Works to make productivity soar and reduce churn

Read on to learn how people partners are the new HR.