“It is the first time that a number of 100-plus-year-old construction firms are waking up in a cold sweat and saying, ‘We might get Uber’d.’ Instead of innovating to improve productivity, there is a sense of urgency and need to innovate to survive, let alone thrive.” — Darren Bechtel, Founder, Managing Director, Brick & Mortar Ventures (as told to BuiltWorlds)
“One of the biggest risks today is not leveraging technology, or refusing to be an early adopter of the ‘next big thing.’ There will be major technological disrupters in this market, and the company that’s slow to pick up on them is essentially diminishing its position in a very competitive industry.” — Patrick O’Connor, Vice President of Risk Management and Counsel, The Walsh Group (as told to FMI Corp.)
Declarations like these are not hyperbole, nor are they specific to the AEC industry. Leaders in almost all business sectors—if they are half-way competent—operate their organizations with a sense of angst and a healthy dose of paranoia, preparing for what’s around the corner.
Well, there is plenty around the corner these days, and AEC firms are scrambling to adjust to the coming “new normal” of commercial design and construction.
Are we ready for technological disruption? What tools and processes can we employ to gain efficiencies and eliminate waste? Who are our future leaders? What skills are required for the next generation of practitioners? What are the short- and long-term needs of our clients, and their building assets? Is Google going to take our jobs? (No joke. I’ve heard this one more than once.)
These are among the litany of considerations that AEC firms must address to future-proof their organizations.
But while talk of the disruptive nature of technology and innovation captures the headlines, what’s really keeping the leaders of the nation’s largest general contractor and construction management firms up at night is people.
In a new survey by FMI Corp. of C-suite and risk management professionals at GC and CM firms, 80% of respondents identified a “limited supply of skilled craftworkers” as a top risk for 2019, and 44% cited a “limited supply of experienced field supervisors” as a primary concern. Exacerbating the talent shortage is the coming mass exodus of baby boomers as they reach retirement age.
In response, firms are placing priority on bringing craftworkers and design professionals in-house; strengthening training and development programs; and bolstering talent recruitment efforts by giving HR managers a seat at the executive table. Is it enough? That remains to be seen, but it’s a good start.
Download the free report at: tinyurl.com/FMIrisk19.
Related Stories
| Oct 18, 2010
World’s first zero-carbon city on track in Abu Dhabi
Masdar City, the world’s only zero-carbon city, is on track to be built in Abu Dhabi, with completion expected as early as 2020. Foster + Partners developed the $22 billion city’s master plan, with Adrian Smith + Gordon Gill Architecture, Aedas, and Lava Architects designing buildings for the project’s first phase, which is on track to be ready for occupancy by 2015.
| Oct 13, 2010
Editorial
The AEC industry shares a widespread obsession with the new. New is fresh. New is youthful. New is cool. But “old” or “slightly used” can be financially profitable and professionally rewarding, too.
| Oct 13, 2010
Test run on the HP Z200 SFF Good Value in a Small Package
Contributing Editor Jeff Yoders tests a new small-form factor, workstation-class desktop in Hewlett-Packard’s line that combines performance of its minitower machine with a smaller chassis and a lower price.
| Oct 13, 2010
Prefab Trailblazer
The $137 million, 12-story, 500,000-sf Miami Valley Hospital cardiac center, Dayton, Ohio, is the first major hospital project in the U.S. to have made extensive use of prefabricated components in its design and construction.
| Oct 13, 2010
Thought Leader
Sundra L. Ryce, President and CEO of SLR Contracting & Service Company, Buffalo, N.Y., talks about her firm’s success in new construction, renovation, CM, and design-build projects for the Navy, Air Force, and Buffalo Public Schools.
| Oct 13, 2010
Hospital tower gets modern makeover
The Wellmont Holston Valley Medical Center in Kingsport, Tenn., expanded its D unit, a project that includes a 243,443-sf addition with a 12-room operating suite, a 36-bed intensive care unit, and an enlarged emergency department.
| Oct 13, 2010
Modern office design accentuates skyline views
Intercontinental|Exchange, a Chicago-based financial firm, hired design/engineering firm Epstein to create a modern, new 31st-floor headquarters.
| Oct 13, 2010
Hospital and clinic join for better patient care
Designed by HGA Architects and Engineers, the two-story Owatonna (Minn.) Hospital, owned by Allina Hospitals and Clinics, connects to a newly expanded clinic owned by Mayo Health System to create a single facility for inpatient and outpatient care.
| Oct 13, 2010
Biloxi’s convention center bigger, better after Katrina
The Mississippi Coast Coliseum and Convention Center in Biloxi is once again open for business following a renovation and expansion necessitated by Hurricane Katrina.
| Oct 13, 2010
Tower commemorates Lewis & Clark’s historic expedition
The $4.8 million Lewis and Clark Confluence Tower in Hartford, Ill., commemorates explorers Meriwether Lewis and William Clark at the point where their trek to the Pacific Ocean began—the confluence of the Mississippi and Missouri Rivers.
