A Message to Modular Companies

Why Most Modular Companies Are Losing Millions (And How to Fix It)

I want to send a message to modular companies today. If you’re in this space, pay close attention this could save you time, money, and frustration.

Super PM Boot Camp

A Quick Update

Before diving in, I want to share an update about our Super PM Boot Camp. We’ve run it three times now, and each iteration has gotten better. From day one’s professional development covering mindset, team balance, organization, and health to building scaled projects with Styrofoam and blocks, every step is designed to teach real-world skills in a safe, hands on environment.

By day three, participants tie everything into our TAC production system simulation, learning to plan projects, pull schedule effectively, and run huddles and meetings efficiently. By the end, attendees walk away with a two page resource email filled with exercises, books, and strategies.

Continuous improvement is key. We standardized all deliverables, organized everything into a trailer for seamless setup, and automated supply management turning the boot camp into a high functioning, repeatable system.

Why Training Matters

A lot of people tell me “on the job training is enough.” I disagree. Investing in your people is investing in your projects. Humans make mistakes that’s part of learning. The cost of mistakes, lost productivity, and time is an investment in growth.

I’ve seen firsthand how proper training transforms careers. One listener shared how reading Elevating Construction Superintendents and attending boot camps gave him hope to advance his career something he hadn’t felt in years. This is why structured training and mentoring matter.

The Harsh Reality for Modular Companies

Here’s what I’ve observed in modular construction:

• Factories are inefficient: Layouts are poor, stations aren’t leveled, inventory is mismanaged, and basic lean manufacturing principles like 5S are ignored.
• Field installation is chaotic: Projects face delays, poor quality, and rework because the right systems aren’t in place.
• Business practices are weak: Many companies overextend themselves, lack leadership discipline, and fail to implement structured strategies like EOS (Entrepreneurial Operating System).

Some companies even turn down consulting help just to take credit for improvements only to see millions of dollars invested without shipping a single unit.

How Modular Companies Can Turn It Around

If you want modular construction to succeed, focus on three things:

1. Run your business properly: Follow disciplined strategies, build a strong leadership team, and avoid overextending resources.
2. Optimize your manufacturing floor: Hire lean experts, time every step of production, level labor and stations, implement 5S, reduce waste, and streamline flow.
3. Master Field installation: Supervise safety, schedule, and quality rigorously. Run projects on attack time and minimize rework.

Done correctly, modular companies with investment dollars in place could be making significant profits. But ignoring these principles guarantees loss, inefficiency, and frustration.

Final Thoughts

Consultants aren’t an expense they’re an investment. Lean systems aren’t optional they’re essential. The modular industry has huge potential, but only disciplined leadership, lean manufacturing, and effective field execution will unlock it.

If done right, modular and prefab can thrive but it starts with knowing what you’re doing and committing to continuous improvement.

Key Takeaway

Success in modular construction comes down to disciplined business practices, lean manufacturing, and rigorous field execution. Investments in people, processes, and systems aren’t optional they’re the difference between profit and perpetual loss.