
BCG helped a building products manufacturer implement a lean manufacturing program that derived $100 million of value in just two years.
Companies across the building materials industry are reorienting go-to-market strategies and adopting next-generation ways of working. BCG has the experience, experts, and global presence to help them succeed.
The building materials industry has long been concerned with cost and the bottom line. Although companies throughout the materials sector are still focused on costs, they’re now prioritizing their go-to-market strategies. Manufacturers, wholesalers, and suppliers are creating plans to reach customers with a value proposition that sets them apart from the competition, and to deliver products and services in a way that transcends shifting economic and market conditions.
Companies throughout the materials sector, for example, are using digital and next-generation sales practices, including remote go-to-market models. For producers, this new focus is reflected in the shift to building materials manufacturing methods that meet higher environmental, social, and governance standards.
BCG has a deep bench of building materials consulting experts who understand the industry players and their customers in construction and related businesses.
Our building materials industry work covers top business priorities such as commercial excellence, growth strategies, operational excellence, and organizational restructuring. We help companies that make or sell heavy building materials and light building materials unlock profitable growth through the digital transformation of their sales and building materials distribution capabilities.
BCG building materials industry consultants collaborate with BCG GAMMA on projects that involve advanced analytics and AI, and with BCG Digital Ventures for projects that involve launching or investing in a new business.
BCG helped a building products manufacturer implement a lean manufacturing program that derived $100 million of value in just two years.
BCG helped a European building materials manufacturer roll out an integrated environmental, social, and corporate governance strategy that increased its value by $120 million; the company subsequently earned the top ESG rating in its industry subcategory, and saw a 1% lift in EBITDA margin.
BCG helped a building materials distributor implement a data analytics hub with an AI-based module that predicted potential “churners,” allowing sales reps to actively address clients at high risk of leaving and increasing recovered sales by 15%; improving retention also led to a 1% margin increase.
The company’s approach to corporate responsibility offers powerful lessons for setting goals and sustainability reporting.
Companies need to build their “M&A muscle” across all aspects of the process, from target identification through integration.
As the construction industry shifts from traditional onsite methods to factory-based, offsite techniques, all stakeholders should seek ways to navigate the disruption and pursue the opportunities.
Alternatives to traditional homes account for up to 6% of all new residential units built annually, and demand is predicted to continue. The construction industry must adapt.