100 CEOs Discuss the State of the Engineering & Construction Industry

One hundred top executives from some of the largest architecture, engineering and construction companies gathered in Washington D.C. recently to discuss the state of the nonresidential engineering and construction industry. The markets addressed included:

Federal & environmental
Transportation & power
Water & wastewater
Commercial & governmental facilities

A half day was devoted to discussion of the State-of-the-Industry report prepared by FMI and Alan Farkas. The report was based on a thorough analysis of the U.S. Census Bureau construction spending data, results of the Engineering News-Record Design 500 survey and 45 in-depth interviews with industry leaders. Key takeaways included:

U.S. design and construction markets are still waiting for the upturn
- Design markets remained flat
- Construction markets fell 2 percent
- Breaking the trend is the power utility market
  - Power design gained 4 percent
  - Power construction increased 14 percent
2012 appears poised for a mixed recovery
- The power market should continue to grow
- The facilities market should begin to grow
- Transportation and water infrastructure will likely remain flat
- Remediation will decrease slightly

In addition to the state of the U.S. construction industry, forum conversation included the U.S. political landscape with Larry Sabato talking about the 2012 election and The Honorable Gene A. Cretz, Former U.S. Ambassador to Libya, discussing the global economic outlook. The two-day forum also included workshops on emerging markets, funding and industry innovations.

This was the 18th annual gathering of this group, which represents 61 percent of all engineering and construction spending in the U.S. FMI, the largest provider of management consulting and investment banking to the engineering and construction industry, hosted the event established in 1994 by Farkas Berkowitz & Company. For more information about the forum or the State-of-the-Industry report, contact Lee Smither, FMI managing director, at 919-785-9243 or email at lsmither@fminet.com.

About FMI: FMI is the largest provider of management consulting, investment banking and research to the engineering and construction industry. We work in all segments of the industry providing clients with value-added business solutions, including:

Strategy Development
Market Research and Business Development
Leadership and Talent Development
Project and Process Improvement
Mergers, Acquisitions and Financial Consulting
Compensation Data and Consulting

Founded by Dr. Emol A. Fails in 1953, FMI has professionals in offices across the U.S. FMI delivers innovative, customized solutions to contractors; construction materials producers, manufacturers and suppliers of building materials and equipment, owners and developers, engineers and architects, utilities, and construction industry trade associations. FMI is an advisor you can count on to build and maintain a successful business, from your leadership to your site managers. For more information, visit www.fminet.com.

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