FORGE Opportunity Brief · £295 Diagnostic example

Anonymised contractor case

More work. Or a better business?

An established specialist construction contractor wants more profit and a route out of daily operations. Account deductions, uncertain job returns and owner dependence make “grow faster” a risky first answer.

This edited illustration is based on a real-business trial and shows the kind of reasoning and detail in a Diagnostic. It is not a verbatim customer report or a verified audit. Your Brief is generated from your own answers and will differ.

01 · Executive judgement

Get control before chasing growth.

More turnover could mean more disputed value, more working capital tied up and more decisions landing on the owner. First establish whether existing work produces dependable cash after delivery costs and account adjustments. Until that is visible, a sales push or senior hire is a bet on an unmeasured business model.

02 · Lead diagnosis

The commercial result disappears between tender and final cash.

The symptoms point to weak visibility across job contribution, variation recovery and final accounts. This is a working diagnosis, not a proven cause: ten completed jobs and five disputed accounts will show whether value is lost in pricing, delivery, evidence or collection.

03 · Owner reality check

Less owner time needs a defined transfer.

“Find a dependable person” is too broad to recruit against. Record which decisions genuinely require the owner, what information is missing when they arrive and which one process can be delegated with a limit on cost and risk.

04 · Ranked opportunities

Three moves, in the order that earns the next decision.

01

Find the work that actually pays

Rebuild ten representative jobs from tender to final cash. Include agreed variations, site labour, materials, account reductions, retention and the time spent resolving disputes.

Why this ranks here
High priority · medium confidence. It informs which work to pursue before increasing sales or headcount.
Evidence so far
The owner reports turnover without a reliable job-by-job view of final contribution. The size and pattern of the gap are unverified.
What could make this wrong
If contribution is already consistently visible and strong across the job types, the main constraint lies elsewhere.
02

Stop preventable account erosion

Audit five reduced or delayed accounts. Trace each disputed amount to the instruction, notice, evidence, application and final payment.

Why this ranks here
High priority · medium confidence. A bounded audit separates recoverable process failures from genuine pricing or delivery problems.
Evidence so far
The owner describes deductions and slow final accounts. Their causes and recoverable value have not been established.
What could make this wrong
If most reductions reflect legitimate scope or quality issues, better paperwork alone will not solve them.
03

Transfer one owner-held decision safely

Log decisions that reach the owner for four weeks. Give one capable person a bounded process, clear limits and a weekly exception review.

Why this ranks here
High priority · lower confidence. It may release capacity, but only after the work and decision rights are made explicit.
Evidence so far
The owner wants less daily involvement and struggles to find dependable people. The actual decision load is not measured.
What could make this wrong
If escalations are caused by weak project information rather than lack of a deputy, hiring first could add cost without relieving the owner.

05 · Commercial implications

Revenue is not the value retained.

Illustration only: retaining an extra 1% of a £100,000 account protects £1,000 of revenue before recovery costs. On five such accounts that would be £5,000. This frames the question; it is not a forecast or a measured result for this business.

The useful figure is the amount genuinely recoverable, net of the time and cost of winning it. No credible saving or payback can be stated until the account sample is reconciled.

Evidence needed

  • Ten jobs: tender allowance, actual direct cost, variations, final account, cash received and retention.
  • Five reduced accounts: notices, instructions, records, applications, client responses and settlement.
  • Four weeks of owner escalations: reason, value, time, decision maker and information missing.
  • One live job to test the revised controls before wider rollout.

06 · Competing explanations

Do not assume every deduction is an admin failure.

Margins might be lost at tender, through site productivity, in weak variation evidence or because a client legitimately disputes scope. The job and account samples separate these causes. If the loss begins before the final account, focus on estimating or delivery rather than collection.

07 · What to fix first

Start with one completed job tomorrow.

Put the tender, cost record, variation log, final account and receipts on one page. Name the difference between expected and realised contribution. Assign one person to repeat the method across ten jobs, with a short weekly review of exceptions.

08 · A practical 90-day route

Prove the economics, then transfer a process.

Days 1–30

Reconstruct the facts

Rebuild ten jobs, review five accounts and log owner decisions. Output: a contribution and leakage map, with unknowns marked.

Days 31–60

Choose the profitable core

Separate pricing, delivery and evidence failures. Standardise one variation and account control; define one responsibility that can move off the owner.

Days 61–90

Test on live work

Pilot the controls on one job and delegation on one process. Measure contribution, disputed value, decision time and owner escalations before scaling.

09 · The decision

Grow selectively only if existing work holds its value.

Continue if the sample shows dependable contribution, preventable account leakage and a process that transfers safely. Change the route if losses are mainly in estimating or delivery. Stop a broad growth push if cash conversion or owner capacity gets worse as volume rises. Approve hiring or significant spend only after that evidence is in hand.

Confidence: medium in the need to measure job economics; lower in the size of any recovery or the staffing answer. The facts come from the respondent and have not been independently verified.