How Smart Operations Set Top Builders Apart
Learn how Levi Joseph of Ladisic Fine Homes stays competitive by streamlining back-office processes, building strong vendor relationships, and effectively managing costs. Practical insights for builders looking to improve efficiency and profitability.
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Staying competitive as a custom builder isn't just about delivering beautiful, high-quality homes, it's about running a smooth operation behind the scenes. Levi Joseph, Director of Operations at Logistic Fine Homes, knows this better than most. He has navigated the complexities of the building industry firsthand and built a thriving business by focusing on what happens behind the curtain: back-office efficiency, strong vendor relationships, and smart cost management. Let’s dive in!
Building a Competitive Edge Through the Back Office
A well-run back office can be the secret weapon for builders. Operational efficiency isn’t just an internal checkbox; it's what sets a builder apart from the competition. Levi believes that getting the back-office details right, like accounts payable (AP), accounts receivable (AR), compliance, and project management, gives builders an undeniable advantage.
One of the cornerstones of Logistic Fine Homes' success has been paying vendors and subcontractors on time. This simple but often neglected practice has built loyalty and strengthened relationships with the people who keep the wheels turning. Levi’s team doesn’t just talk about operational excellence, they live it every day, and it pays off in vendor loyalty, happy clients, healthy cash flow, and smoother construction cycles.
"We compete in the back office. It's not just about having processes, it's about doing them well enough to keep us ahead."
Cultivating a Reliable Trade Base
Building a reliable trade base goes beyond hiring talent; it's about treating subcontractors and trades as true partners. Levi emphasizes that treating subs well—paying them promptly, celebrating milestones like birthdays, and generally showing appreciation—has kept his team motivated and loyal. These relationships aren’t just transactional; they’re partnerships built on respect and mutual benefit.
In a labor market where skilled trades are in high demand, paying on time has set Logistic Fine Homes apart. It’s the kind of professionalism that doesn’t just attract talent, it keeps the best people coming back for more.
"We make sure everyone knows, when you do quality work, you get paid on time. And that consistency has made all the difference in keeping our team of talented subcontractors."
Mastering Cost Codes: The Secret to Profitability
Managing cost codes is one of the most challenging (and crucial) aspects of a builder's business. Levi broke down three common problems builders face when it comes to cost codes:
- Too Much Detail: Overcomplicating cost codes adds unnecessary work, making every invoice and report a headache to manage.
- No Detail: On the flip side, vague cost codes leave builders in the dark about where the money is really going.
- Disconnected from the Estimate: When actual costs aren't tied to the original estimates, tracking profitability becomes nearly impossible.
For Levi, it's about "useful precision." The goal is to have enough detail to make informed decisions without getting bogged down by irrelevant data. Finding that balance is key to staying profitable and avoiding costly surprises.
"It’s about useful precision, not false precision. We need the right level of detail to make informed decisions, without getting lost in the weeds."
How Adaptive Helps Keep Things Running Smoothly
To manage the complexities of job costing and cash flow, Levi relies on Adaptive as the backbone of his back office. With Adaptive, he can focus on what truly matters: building quality homes and nurturing relationships with his team, vendors, and clients.
"Adaptive has transformed how we manage our back office. It's allowed us to keep our focus where it belongs: building quality homes and nurturing relationships."
Running a successful building business is about more than just the quality of the homes, it's about how well you handle everything else that comes with it. For Levi, the magic lies in managing operations smartly and treating people right. And that’s where the real competitive edge comes from.