More than two in three U.S. engineering firm leaders (68%) say the current business climate is better than last year at this time; and three in five (60.5%) say their backlogs are larger now compared to last year, according to results from the American Council of Engineering Companies’ new quarterly Engineering Business Index (EBI).
The EBI, representing responses of 340 engineering firm chairmen, CEOs and presidents had a composite score of 68.9 in the second quarter—a slight increase from 67.4 in the first quarter. The EBI is a diffusion index, consolidating answers to a series of questions about market and firm performance into a single number. Any number over 50 indicates expansion.
Results show that engineering firm leaders are more optimistic about prospects in private sector markets than those in the public sector. At least half believe that opportunities in buildings/commercial (53.3%), land development/surveying (54%), and industrial/manufacturing (50%) will improve over the next 12 months.
Expectations for major public sector markets were markedly lower. Only 41.5% of respondents anticipate improvement in the transportation sector, and only 40.9% believe opportunities in the water/wastewater sector will grow over the next 12 months.
“After years of a stagnant economy, engineers are beginning to see evidence of an improved business climate,” said ACEC President and CEO David A. Raymond. “Uncertainty regarding government funding is obviously dampening expectations for public sector markets.”
For a complete summary of the Summer 2014 EBI survey, go to: www.acec.org
Related Stories
| Dec 9, 2013
ULI: Real estate market in 2014 will be 'recovering from the recovery'
The U.S. commercial real estate market is gradually “recovering from the recovery” and will “gain momentum” in 2014, according to ULI CEO Patrick L. Phillips.
| Dec 9, 2013
Does technology help or hinder innovation?
Whether digital technology will help or hinder workplace insights remains a topic of ongoing debate. FastCo.Design features insights from business scholars on both sides of the issue.
| Dec 9, 2013
What is life cycle cost optioneering?
Life cycle cost optioneering is a way of assessing alternative design options, analyzing their long-term capital and operational costs to identify those with the lowest price tag, over the entire life cycle.
| Dec 6, 2013
French concert hall includes integrated musical elements [VIDEO]
La Métaphone, a concert hall in Ognies, France, is a 1,980-sm facility with the unique characteristic of being a structural musical instrument. The solar-powered building incorporates musical elements in its walls, which can be played by musicians inside or outside the facility.
| Dec 5, 2013
Exclusive BD+C survey shows reaction to Sandy Hook tragedy
More than 60% of AEC professionals surveyed by BD+C said their firms experienced heightened interest in security measures from school districts they worked with.
| Dec 5, 2013
Translating design intent from across the globe
I recently attended the Bentley User Conference in Vejle, Denmark. I attended the event primarily to get a sense for the challenges our Danish counterparts are experiencing in project delivery and digital communication. One story I heard was from a BIM manager with Henning Larsen Architects in Denmark, who told me about a project she’d recently completed overseas in the Middle East. She outlined two distinct challenges and offered some interesting solutions to those challenges.
| Dec 4, 2013
SmithGroupJJR opens office in Shanghai, China
SmithGroupJJR, the oldest architecture and engineering firm in the U.S., has opened an office in Shanghai, China. The firm will focus on several of China’s biggest growth markets: research and development, healthcare, continuing care/retirement communities, and higher education.
| Dec 4, 2013
First look: Dubai's winning bid for World Expo 2020 [slideshow]
Dubai has been chosen as the site of the 2020 World Expo. HOK led the design team that developed the master plan for the Expo, which is expected to draw more than 25 million visitors from October 2020 through April 2021.
| Dec 3, 2013
‘BIM for all’ platform pays off for contractor
Construction giant JE Dunn is saving millions in cost avoidances by implementing a custom, cloud-based BIM/VDC collaboration platform.
| Dec 3, 2013
Historic Daytona International Speedway undergoing $400 million facelift
The Daytona International Speedway is zooming ahead on the largest renovation in the Florida venue’s 54-year history. Improvements include five redesigned guest entrances, an extended grandstand with 101,000 new seats, and more than 60 new trackside suites for corporate entertaining.
