Honesty the Key to Staying in Business for 37 YearsBy Lorenzo Núñez | Mon, 10/11/2021 - 13:06
Q: How will the construction industry in Mexico evolve and what role will INSUR play in its development?
A: The industrial sector began in the north of the country with the maquiladoras in Ciudad Juarez. These huge factories were the drivers for construction companies. The first were founded in Chihuahua: Habitat, Copachisa & Crocsa. The maquiladora movement grew and expanded to the rest of the northern border states. Once the automotive boom reached Mexico, the industry began expanding toward the center of the country. Corporate headquarters were installed in Mexico City and their factories were located in the surrounding cities outside the capital. This development marked the beginning of industrial businesses operating in the center of the country and that is how our industry came to be in Mexico. After the North American Free Trade Agreement (NAFTA), Mexico began to experience significant industrial growth. Soon after, the world began to see our country as a center of new opportunities.
Regardless of the government’s initiatives, Mexico’s background and influence over the industrial sector is strong enough to endure. Our goal is to offer foreign companies the opportunity to establish their business in Mexico. In 37 years, the company has grown to the point that we can proudly say that 2021 represents our best year in sales so far. Looking to the future, we see a challenging and evolving landscape. We are getting ready for that because we want to continue our sustainable growth. We believe there are very good years ahead for us and for the industry.
Q: How has INSUR differentiated itself from those industrial pioneering companies?
A: We understand the trust that our clients place on us and that is why it is important to be transparent with our clients by providing constant and thorough updates on their projects while offering the most competitive prices in the industry. We also provide engineering solutions that offer value to our clients in the form of better optimization of their projects. Our 37 years of professional experience offer great advantages since we specifically focus on the industrial sector while our competitors have branched out to other industries.
Q: What can the Mexican industry learn from other jurisdictions regarding legal frameworks and innovation in construction?
A: Mexico needs to understand that its legal framework should not vary from state to state. For instance, Guanajuato’s laws might be different from those in Queretaro. Unfortunately, Mexico has failed to centralize its legal framework and this has diverted investments. Today, every state develops its own framework but, ultimately, this practice hurts the industry. Depending on the state, a project’s price could vary up to 40 percent in permitting costs. The Mexican government needs to make the entire country attractive, instead of only having certain states attractive to investors.
Q: How were your projects impacted by the COVID-19 pandemic and what long-term changes did the company make?
A: 2020 represented an unprecedented challenge for various industries and countries. We at INSUR had a good number of projects that allowed us to minimize the impact of the pandemic. This year, investment is at an all-time low in the industry, so having these projects in our pocket has been a plus. Nevertheless, it has not been an easy time for our industry. We did a great deal of behind-the-scenes planning and we came to the conclusion that during the pandemic, things were going to go one of two ways. Either companies were going to vanish or they were going to grow stronger. Well, we’ve nearly doubled our investments since the pandemic began. We pushed publicity through social media with a thorough marketing plan. Instead of closing up shop, we began expanding our strategies, with great results. In addition, company managers started getting to know our name by word of mouth. Our very happy clients pretty much did the publicity work for us, which is a good reward for the great projects we developed during the pandemic.
Q: What elements remain a cornerstone in the company’s philosophy and what is the greatest lesson you’ve learned from the Mexican construction industry?
A: My father taught me that in this industry you must be 100 percent honest, no matter the situation. There were going to be good and bad projects but when presented with poor projects, we must be open and honest about them. I introduced this value to the company. We never hide a bad project and we maintain an open line of communication with our customers. Another lesson we have acquired in this industry is that clients, while they may understand and like your workforce, will always want to talk to the person in charge of their projects. My father, brother and I are involved in all our projects. That is something bigger corporations are no longer able to do, due to their size.
The more you spend working in the industry, the more you learn. Construction could be used as an analogy for life itself. You arrive at a place where there is nothing, then you break ground and you build something that lives on. We share our customers’ joy of seeing their finished projects.
CONSTRUCTORA INSUR is a construction company with 37 years of experience in the development of industrial plants, warehouses and commercial buildings. The company has a national footprint with strong operations in the Bajio area.