Tag Archives: lgi homes

Process Makes Perfect

Did we mention process?

John McManus write for BUILDER Magazine:

What comes to mind for many leaders in home building, as they try both to make their 2015 numbers and project forward to model business for 2016, is a need for and a breakdown in processes. This makes sense. Many–if not all–companies let go of many people during the bad years, from 2007 to 2011 or so. They tried to hold on to the ones they could not do without, the best and the most productive, and the most expert in their fields.

As the market rebounded, these same industry leaders begin to rebuild, adding new talent to the existing experts to build operations in preparation for the big bang – the long-awaited surge in starts.

But what about process? The operations of a 2006 home builder should not be the operations of a 2016 home builder. Right?

Times have changed, people have changed, and maybe most importantly, technology has changed. It is so easy to rebuild what was – that is a basic human instinct. If something was taken from you, get it back, even if you have to build it from scratch. To ruthlessly pick apart that process is much harder – and it requires a real commitment to change (or at least the possibility of change).

But what about process? McManus notes LGI Homes as an example of process born in a time of very tight margins. Combined with a culture that permeates the entire organization, LGI has been successful adhering to their strict process. And it works – LGI makes dreams come true with their “why buying makes cents” approach to first-time buyers. This cannot happen without process, every step of the way.

Do companies, large and small, need to map new processes that avail of access to richer streams of real-time data, whether its discovery into “the who” of a potential customer base, the “when” of subcontractor crew schedules, the “what” of fire code compliant sub-flooring, the “how” of getting manufacturers to collaborate to develop new home systems ranging from kitchens to exterior finishes, to room comfort systems.

The bottom line is that yes, process is important and yes, process needs to adapt to a changing world of technology. Process does not and cannot exist in a vacuum. Take a moment to look at your company’s process through fresh “2016″ eyes, and tell us what you see.

Our business process review can help. Our home building software experts will look at your business with our knowledge of home building technology and processes that comes from working with hundreds of builders across North America. If you are interested in a business process review of your company, send us an email.

Continue reading “The Process Dilemma” at builderonline.com

See below an illustration of LGI Homes’ culture and process from the perspective of a first-time home buyer.


The Big Picture: Why Buying Beats Renting – An infographic by the team at LGI Homes

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BUILDER 100'S TOP 25 2014

An excerpt from BUILDER 100′s Top 25 Over Five Years…

Tri Pointe Group made the most dramatic leap from No. 156 in 2013 to No. 17 this year, reporting a 575.38% change in closings: 459 closings in 2013, and 3,100 in 2014 (the biggest increase y-o-y in BUILDER 100 history). Century Communities was also one of the fastest-growing builders year-over-year with a 278.49% increase in closings, jumping from No. 96 to No. 24 on our list. The only other two newcomers to the top tier for this year’s list were Brookfield Residential Properties (No. 21), and LGI Homes, Inc. (No. 23), jumping 32 and 11 slots, respectively.

Nineteen builders have retained their position in the top tier of the BUILDER 100 for the past five years, although there was some notable shuffling in the ranks—Taylor Morrison jumped from No. 14 to No. 7 this year, and Habitat for Humanity slid five slots from No. 10 to No. 15. Two old-timers got bumped in 2014 after six consecutive years in the top tier—Perry Homes and The Drees Co.

Continue reading BUILDER 100′s Top 25 Over Five Years

Our homebuilding partners join and climb the BUILDER 100 list faster than their peers. Ten of the top 25, and 40% of the top homebuilders on the Builder 200 list trust Constellation as their software partner.  Allow us to show you why.

BUILDER 100'S TOP 25 OVER FIVE YEARS

Image: Hanley Wood for BUILDER Magazine. Click for the full article and interactive bump chart.

See also: BUILDER 100′s Fastest-Growing Builders. These 10 building firms had the most year-over-year growth than any in the country.

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