Evolving into more comprehensive design-build services was the driver behind CannonDesign’s recent merger with gkkworks, an integrated planning, design, and construction firm.
Founded in 1991, gkkworks employs 120 people in its offices in Irvine, Pasadena, and San Diego, Calif.; Denver; and Pune, India. (CannonDesign has an office in Mumbai.) Its annual revenue ranges from $50 million to $60 million.
Praful Kulkarni, president and CEO of gkkworks, says his goal has been to “create a firm with multiple professionals to customize the design process.” He notes that his company’s progressive design-build delivery model is promulgated on the belief that “architecture and construction are inseparable.”
Kulkarni’s new title at Cannon Design is director of integrated services, focused on advancing the combined firm’s design and construction capabilities.
Praful Kulkurni is now Cannon Design's director of intergated services, focused on the firm's design and construction capabilities. Image: courtesy of Cannon Design
Last year, Fast Company magazine recognized CannonDesign as one of the 10 most innovative architectural firms in the world. CannonDesign became acquainted with gkkworks through a “client connection,” says Brad Lukanic, AIA, LEED AP, CannonDesign’s growth-minded CEO.
Merging with gkkworks expands CannonDesign’s west-coast partnerships and moves the firm into the hospitality sector. Lukanic further explains the rationale behind this merger by stating “we’re finding that the industry is really hungry for alternative delivery methods. When there’s a single source of delivery, fewer mistakes are made.”
Cannon Design got into integrated modular design two years ago. Based on post-occupancy studies that CannonDesign has conducted on those subsequent projects, its delivery model is reducing delivery times by 28%, lowering costs by 20%, and reducing material waste by 30%. Kulkarni observes that these results “rest on involving the construction company at the point of selection.”
Deb Sheehan, Cannon Design's Executive Director-Firmwide Strategies, is looking forward to her company working earlier with subs and suppliers. Image: Cannon Design
Merging with gkkworks extends CannonDesign’s delivery reach to the supply chain, says Deb Sheehan, CannonDesign’s Executive Director-Firmwide Strategies. The company is already collaborating with GCs, and has started to include large subcontractors such as Hill Mechanical in early design discussions. Sheehan speaks enthusiastically about working sooner with suppliers and subcontractors to get costs down.
When asked why more firms should go the IDP route, Kulkarni cites a U.S. Supreme Court ruling that, he says, set “an impossibly high bar” for the accuracy of design drawings. In any disputes among building team members or with clients, that ruling “became a defensive position.” But when design and construction are integrated, “you no longer have these disputes.”
Since joining Cannon Design in 2016, CEO Brad Lukanic has been acquisition minded. Image: Cannon Design
“I believe our firm can play a vital role in a unified approach, as clients seek integrated solutions that link a project’s design and delivery phases,” says Lukanic. “By breaking traditional boundaries, our firm seeks to delivery every project aspect—from shaping the design experience to final construction.”
Its merger with gkkworks brings to 24 the number of offices Cannon Design operates. Over the next several months, Cannon Design and gkkworks will be combining their respective operations, “especially in California,” says Lukanic.
Related Stories
| Nov 24, 2014
Adrian Smith + Gordon Gill-designed crystalline tower breaks ground in southwestern China
Fitted with an LED façade, the 468-meter Greenland Tower Chengdu will act as a light sculpture for the city of Chengdu.
| Nov 21, 2014
Rental apartment construction soars to 27-year high: WSJ report
The multifamily sector is now outpacing the peak construction rate in the previous housing cycle, in 2006, according to the WSJ.
| Nov 21, 2014
Nelson adds to its stable with EHS Design acquisition
This represents Nelson’s fifth merger or acquisition in 2014, during which the firm’s net fee revenue has increased by 60% to $65 million.
| Nov 21, 2014
Nonresidential Construction Index rises in fourth quarter
There are a number of reasons for optimism among respondents of FMI's quarterly Nonresidential Construction Index survey, including healthier backlogs and low inflation.
| Nov 21, 2014
NCARB: Number of architects in U.S. grows 1.6% in 2014, surpasses 107,500
The architecture profession continues to grow along with a gradually recovering economy, based on the results of the 2014 Survey of Architectural Registration Boards, conducted by the National Council of Architectural Registration Boards.
| Nov 20, 2014
Lean Led Design: How Building Teams can cut costs, reduce waste in healthcare construction projects
Healthcare organizations are under extreme pressure to reduce costs, writes CBRE Healthcare's Lora Schwartz. Tools like Lean Led Design are helping them cope.
| Nov 19, 2014
The evolution of airport design and construction [infographic]
Safety, consumer demand, and the new economics of flight are three of the major factors shaping how airlines and airport officials are approaching the need for upgrades and renovations, writes Skanska USA's MacAdam Glinn.
| Nov 19, 2014
Construction unemployment hits eight-year low, some states struggle to find qualified labor
The construction industry, whose workforce was decimated during the last recession, is slowly getting back on its feet. However, in certain markets—especially those where oil drilling and production have been prospering—construction workers can still be scarce.
Sponsored | | Nov 19, 2014
3 technology trends on the horizon
As technology continues to evolve exponentially, construction firms have ongoing opportunities to enhance the quality, speed, and efficiency of building projects and processes. SPONSORED CONTENT
Sponsored | | Nov 19, 2014
Long-life coatings vs. long-life screws
Are you concerned with the long-life protection of your metal building project? SPONSORED CONTENT