Strategic management of construction companies

The research emanated from an investigation of GB7, GB8 and GB9 main contractors in the Eastern Cape Province of South Africa. The study was focussed on the strident economic times in the construction industry following the FIFA Soccer World Cup from August 2010 to December 2012. The research was conducted to identify the key strategy or combination of strategies keeping construction entities in operation. The study further investigates the key elements of a successful turnaround strategy as well as the most effective methods in implementing strategies within construction organizations. The research took the form of an empirical quantitative study where a descriptive survey was used to collect data. Structured interviews were held with the target population to collect data in the field. The study established that geographic diversification was the most effective method utilized by main contractors for survival during the study timeframe. The study also found that lowering of profit margins and preliminary and general amounts were most effective methods in the use of turn around strategies. The study finally concluded that effective steps were taken by main contractors in the Eastern Cape to implement corporate strategies within their organizations. Step by step guidance to all employees on new processes was the key element in successful strategic implementation of a strategy within construction organizations. The research conducted contributes to the strategic management competency within the built environment as well as the existing body of knowledge within the construction industry. All members of the construction industry in South Africa involved with strategic level planning of entities would value the study