Through the 2012 Owner Study, consultant FMI and the Construction Users Roundtable set out to understand how large capital program owners are coping with the current environment, as well as what challenges they believe the future environment holds and how prepared they feel to face these challenges. In general, survey and interview questions fell into these broad areas:
-
Identification of future issues impacting capital programs and the degree of preparedness toward addressing those issues.?
-
Level of staffing changes during the past four years and anticipated staffing trends going forward.
- Degree of project disruptions affecting capital programs resulting from delays, cancellations and funding challenges.
- Continued evolution of project delivery systems and procurement methods.
Based on survey responses, it is clear that many capital program owners have already begun the process of identifying future challenges and mitigating the impact of those issues on their capital programs. Other owners, however, anticipate many of these challenges to have a significant effect on their capital programs and are not confident in their responses to date. The ability of these owners to maintain the objectives of their capital programs in the face of these challenges will depend on the actions they take to identify and address these issues. How capital program owners respond to both the current and future environment will significantly influence their ability to plan, design, procure and manage capital projects effectively. As their ability to engage in these activities changes, so too will the expectations of owners for their planning, design and construction partners.
Survey responses reflect the fact that economic recovery has yet to begin for many, especially in the engineering and construction industry. At its peak in 2006, the construction industry represented more than $1 trillion of economic activity, roughly 9% of nominal GDP. The industry has contracted every year since then. The burst of the housing bubble, the credit crisis and the ensuing recession reduced the industry to roughly 70% of its 2006 size in 2012, and to only 5% of nominal GDP. The dark cloud, however, is clearing. according to FMI forecasts, construction put-in-place voluimes in 2012 are expected to end the year 5% higher than in 2011.
For a free download: http://www.fminet.com/fmi-curt-survey-of-owners-2012.html
Related Stories
Green | Oct 5, 2022
In California, a public power provider’s new headquarters serves as a test case for an innovative microgrid and for reducing greenhouse gas emissions
Sonoma Clean Power (SCP), the public power provider for California’s Sonoma and Mendocino Counties, recently unveiled its new all-electric headquarters.
Contractors | Oct 4, 2022
Which comes first, the building or the cost estimate?
At the start of a project, don’t forget to establish financial parameters when you’re discussing the design and program. By establishing the costs up front, you can avoid the pitfalls that might derail your project and guarantee its lasting success.
Fire and Life Safety | Oct 4, 2022
Fire safety considerations for cantilevered buildings
Bold cantilevered designs are prevalent today, as developers and architects strive to maximize space, views, and natural light in buildings. Cantilevered structures, however, present a host of challenges for building teams, according to José R. Rivera, PE, Associate Principal and Director of Plumbing and Fire Protection with Lilker.
| Oct 4, 2022
Rental property owners want access to utility usage data for whole properties
As pressure from investors for ESG reporting mounts, owners of multifamily properties increasingly look to collect whole-building utility usage data.
| Oct 4, 2022
In dire need of affordable housing, Aspen, Colo. will get a development that provides 277 affordable homes
A few miles from downtown Aspen, Colo., a development will provide 277 new affordable homes for an area experiencing a dire affordable housing crisis.
Green | Oct 3, 2022
California regulators move to ban gas heaters for existing buildings
California regulators voted unanimously recently on a series of measures that include a ban on the sale of natural gas-powered heating and hot water systems beginning in 2030.
Resiliency | Sep 30, 2022
Designing buildings for wildfire defensibility
Wold Architects and Engineers' Senior Planner Ryan Downs, AIA, talks about how to make structures and communities more fire-resistant.
| Sep 30, 2022
Manley Spangler Smith Architects partners with PBK in strategic merger
Manley Spangler Smith Architects (MSSA), a Georgia-based, full-service architectural firm specializing in educational and municipal facilities, announced today a significant development aimed at increasing its capabilities, expertise, and suite of services.
| Sep 30, 2022
Lab-grown bricks offer potential low-carbon building material
A team of students at the University of Waterloo in Canada have developed a process to grow bricks using bacteria.
| Sep 29, 2022
FitzGerald establishes Denver office
The new location bolsters FitzGerald’s nationwide reach and capitalizes on local expertise and boots-on-the-ground to serve new and existing clients seeking to do business in Denver and the Front Range, as well as the Southwest United States, California, and Texas.
