In the highly competitive building construction sector, only the particular builder who is able to offer built up spaces at competitive prices will be able to gain more customers and thus sell more within a short span of time. Today a majority of the builders divide the workload among various contractors. However, finding the best talent is proving increasingly difficult these days. Thus for the prominent Real Estate Agents India and its building boom has offered great opportunities and also major challenges that need to be surmounted.
However, special devices and large-scale mechanization will help to cut down costs. Wherever possible, piecework can increase productivity, but allowances have to be made for site difficulties and differences in mechanization. Target-bonus schemes can also be introduced where work can be attributed to specific groups.
Targets are set for particular operations and any saving on the target is shared in an agreed proportion with the workers concerned, as an addition to the basic wage rates. The difficulty here is that to some extent such schemes can reduce management control over output and, unless all teams step in their efforts, the flow of work may get upset. Finally, length-of-service payments may be made in order to reduce casual labor so as to improve labor relations.
Offering incentives for work completed before a particular deadline is getting popular with the leading builders in the metros. Thus contractors take up such works at lower prices and complete it on time, thus generating profits through the incentives gained.