On April 23rd, 2021, Jussi Aho was the featured guest at the Customer Value Club, discussing the future of customer value in the construction industry.
Jussi Aho is the CEO and founder of Fira. He is also a member of the boards of Caverion, Kaskipuu, and BestPark, among others. The customer experience in the construction industry can be quite rugged due to the nature of construction, Jussi points out, using an example from Lahti. The construction of Lahti’s market square parking structure was like performing surgery on the city, as the construction work required opening up the entire market square area, which is right in the heart of the city. The entire city and its residents lived and breathed around the excavation site throughout the construction period.
The customer’s experience is very different from, say, buying a phone, where you pick up the finished product and everything around is meticulously service-designed and pleasantly anticipatory.
Customer value starts with providing the customer with what they find valuable. However, why does construction often end up with dissatisfaction toward the contractor? Jussi wonders. We created a customer service concept called Fira Verstas (Fira Workshop) a few years ago. It was also utilized in Lahti.
At the Verstas, we involve people in the process. The client, space users, designers, and implementers gather around the same table to share information and collaboratively plan for the future. Based on these discussions, we create requirements and generate solutions, Jussi explains. Diligent development work ensures that construction focuses on what’s essential.
Scalable Business
On the same construction site, there may be hundreds of workers and dozens of different companies, Jussi describes the work environment in construction. When a worker comes to the site, they need to know what has been done, what needs to be done, who they are working with, and what tools they need. Plans and schedules can change, not to mention the weather. In order to create customer value, we must create the best conditions for our employees to do their work.
The flow of task information between different actors was a problem that Fira’s Sitedrive software was developed to solve. I’m interested in developing methods in a way that they turn into action-supporting code, because they can be utilized elsewhere. We also want to create a scalable business in construction, Jussi explains. It’s not sensible for us to build everywhere in the world, but we offer digital solutions internationally.
In addition to digitalization, the construction industry is undergoing a shift from construction to assembly, Jussi explains. At the same time, new opportunities arise to provide customer service in different ways. The construction industry must evolve together with people.
Value Creation is Linked to Business Model
The construction industry is typically very balance sheet and capital-focused. The company’s management’s interest often leans towards where the money is, rather than the customer, Jussi explains. When we consider the needs of the customer, employees, and society, we create value for them, and this also increases the valuation of the business. Value doesn’t emerge without appreciation, and management is responsible for creating a culture that generates value.
Strategy is thinking that guides actions and drives success in competition, Jussi defines. We’ve placed the customer at the center of that thinking. Thanks to technology, value creation is strongly linked to the business model and scalability.