The conference was held at the Omni PGA Resort in Frisco, TX from Sept 13-15. It kicked off with a well-attended welcome reception followed by an evening golf event at The Swing, where people could practice after dark on a lighted, 10-hole, par-3 course. 

More than 300 guests attended the gala and 266 guests attended the conference; 96 attended the M&A Next Symposium, an interactive event that provided M&A education and practical application through interactive roundtable discussions, expert panelists, and focused networking. People who attended this symposium left feeling well informed about opportunities for M&A as a growth strategy. 

There were two keynote speakers to inspire the crowd: Harry Clark, a highly-awarded entrepreneur, business advisor, board member, and entrepreneurial speaker; and Bolanle Williams-Olley, the CFO and co-owner of Mancini Duffy and the author of the bestselling “Build Boldly: Chart your unique career path and lead with courage.” Both provided thought-provoking moments and clear paths to success on various fronts.  

Hot topics: AI, recruiting, and retention

As a whole, the topics on most AEC leader minds had to do with AI, recruiting, and retention. The two most attended breakout sessions during the conference were:

“AI and the Implications on the AEC Industry,” presented by Kristin Kautz; and “Beyond Culture: Compensation Strategies to Drive Recruiting and Retention Performance,” presented by Jeremy Clarke. Kautz has more than 25 years of experience in marketing and business development communications (both strategic and tactical) for B2B and B2C organizations. Clarke was a decorated Air Force combat veteran and seasoned recruiting professional with extensive experience inside corporate, agency, and consultant-based recruiting environments, in both domestic and international markets. 

Kautz’s presentation explored AI 101. It defined exactly what AI is and what people should know about it. It touched on inherent problems and emerging opportunities. Attendees learned about the most significant ways that AI will affect their business–top to bottom–in every corner of the organizational chart, through design, leadership, management, HR, accounting, legal, and marketing. Audience Q&A was robust.

Clarke’s session explored the latest employee data from Best Firms To Work For and compensation assessments and reviewed how successful firms navigate the increasingly competitive recruiting and retention challenges. Attendees were privy to valuable industry insights from inside a successful AEC recruiting agency and roundtable discussions were lively. 

Panel discussion and roundtable leaders came from a host of backgrounds ranging from executive leaders and HR consultants to IT and communication professionals and strategic and entrepreneurial advisors. Topics were as varied as the speakers themselves and touched on everything from navigating hybrid work models and creating a successful internal leadership succession plan to diversity, equity and inclusion to how to use fractional C-suite executives. 

Award Highlights 

The Gala was the perfect platform for recognizing industry leaders. There were a large number of awards distributed to many worthy firms and people, but one that was particularly noteworthy was the Jerry Allen Courage in Leadership Award. Why? Because this award recognizes outstanding accomplishments through leadership in the AEC industry. This year’s recipient was Brian Bowers of Bowers + Kubota Consulting. 

Based in Hawaii, Bowers + Kubota Consulting is a 100 percent employee-owned firm that specializes in construction management, architectural, and engineering design. Bowers has led the firm for 26 years and has been an industry leader for more than three decades. He’s grown the firm from 12 employees in 1997 to more than 270 in 2023, making it the largest architectural and engineering firm in Hawaii.

One of the shining moments in his career was navigating the COVID-19 pandemic. While many firms struggled, he ensured Bowers + Kubota thrived, with a 16 percent increase in ESOP stock value and 30 percent higher profitability in 2019-2020. The firm prioritized employee safety, embracing remote work and providing support during quarantine. Additionally, the firm was also able to make a difference in the community by sponsoring and donating man-hours and money to organizations such as Aloha United Way, Institute for Human Services, and Hawaii Foodbank.

Many other noteworthy awards were presented during the conference gala in the following categories: 

• Excellence in Client Experience Award
• Top New Venture Award
• Trifecta Award
• Best Firms to Work For Award
• Hot Firm Award
• Marketing Excellence Award

To see a complete list of all the winners from the various categories: https://zweiggroup.com/pages/2023-award-winners. 

For more information about the specific award categories: https://zweiggroup.com/pages/award-faq. 

A big sponsor shoutout

And last, but certainly not least, were the incredible sponsors who made the event possible. They included Unanet, OpenAsset, SES ESOP Strategies, CTA, Ames & Gough, epsa USA, Insperity, Vertex, Wipfli, miyamato, civil + structural Engineer Media, Client Savvy, emissary, the Zweig Letter podcast, and Eight. 

Thanks to all who joined us. We’re already planning for and looking forward to next year.

Common FAQs

What types of projects should be submitted?

Think – elevation. YEA showcases AEC projects that have positively advanced the industry through community and environmental impact, innovative technical processes, or groundbreaking vision and execution. Firms from any field within the AEC industry are invited to submit projects from any of the following five categories: 

1. Housing/Residential
2. Transportation/Infrastructure
3. Water/Stormwater/Wastewater
4. Environmental/Sustainability
5. Small Firm (fewer than 50 employees)

So, if you have a project (or three) that you’re confident has contributed to making the world just a little better place to be, we’re confident that you should start putting your submission (s) together. 

Can the project be located outside the United States?

Yes. We accept international entries.  

How will the winners be selected?

There will be an online voting period and winners will be selected based on the decisions of a jury of industry peers and colleagues. During this period, voters will be encouraged to vote for the project they think demonstrates the best of the best from the AEC industry in 2023. Website visitors can vote once per day, and winners will be selected based on the number of votes received over a two-week voting period (Oct. 27-Nov. 10). Each of the winning projects will be displayed on the Civil+Structural Engineer Magazine website and the Summit Project will be featured on the magazine’s December issue cover. The Summit Award is reserved for the project that receives the highest number of votes during the voting period.  

What is the deadline for submitting a project?

October 18, 2023.

Can multiple projects be submitted?

Firms are eligible to submit any project completed, or scheduled to be completed, within the 2023 calendar year, but only one project per firm can win. 

How are projects submitted? 

It’s simple. There’s a project information form that asks questions (i.e., location, work dates, budget, team, etc.). There’s space to add media links for project photos and videos. That’s it. There is no fee to enter.  

When will winners be notified?

The winning projects will be announced in the December 2023 issue of Civil+Structural Engineer Magazine, but winners will receive a congratulatory email prior to its release. They will also be provided with press materials to help them promote their win. 

Who were the past YEA winners and why?

Since YEA is only in its third year, we have two Summit Award winners to share with you. In 2021, SCS Engineers received the award for a corporate business park in Florida. Voters were excited about the redevelopment and repurposing of this project. The firm turned a former landfill into a 30-acre state-of-the-art corporate park, with business and logistic centers. The project benefited the economy, created local jobs, and provided significant environmental benefits. In 2022, HNTB submitted a project that received more than 2,000 votes making it the clear winner. Its project–The Sixth Street Viaduct Replacement–was the largest and most complex bridge building project in the history of Los Angeles. This 3,500-foot bridge spans the LA River and the 101 Freeway, local surface roads as well as 18 railroad tracks operated by five different railroad agencies including Union Pacific and Metrolink. Its network tied arch structure incorporates wide sidewalks, bike lanes and artistic lighting. There’s even a 12-acre park underneath it all. Overall, it will enhance the region’s mobility for cyclists and pedestrians, alike. 

Why should I be excited about YEA? 

This is a question that should be at the top of mind. YEA brings together the best and the brightest in the AEC industry and gives firms a chance to showcase those projects that really make them shine. It also gives firms a chance to compete and see how they stack up in the eyes of other industry leaders. And, whether or not you win, you still get bragging rights because your projects are all part of a grander mission–to elevate the AEC industry.  

We’re excited to get this year’s competition underway, so if you have any other questions about the submission process that haven’t been answered here, contact: Luke Carothers  at: lcarothers@zweiggroup.com. 

For more information about the contest and to submit your entry visit: https://csengineermag.com/yea/. 

It seems like it was only yesterday that the 2023 ElevateHER® cohort kicked off with a one-and-a-half-day immersive retreat in Dallas, and began the process of turning ideas into action plans. Since then, the 2023 cohort has been diligently working on their team projects. Additionally, they’ve been receiving monthly inspiration from distinguished feature speakers, including representatives from the National Organization of Minority Architects, Arquitina, ElevateHER® alumni, and others. These speakers have covered a wide range of topics such as intentional recruitment from HBCUs, allyship, advice for working parents in AEC, professional licensure, leadership, and more. Over the past months, this group has been learning, researching, and identifying solutions to our industry’s recruiting and retention challenges, and we are now in the home stretch.

In two weeks, the small but mighty ElevateHER® project teams will take the main stage at the iconic ElevateAEC Conference. During their one-and-a-half hour segment, titled Sustainable AEC Workforce Solutions, they will present their final thesis and deliverables to the audience (and the world). Staying focused on the “north star” of ElevateHER®, the teams will explore various perspectives of how to ensure a sustainable AEC workforce. The 2023 project teams will share the findings of their research and the fruits of their labor.

Here’s a sneak peak at this year’s ElevateHER® projects:

•  HostAgE Crisis, presented by Emily Havelka and Laura Morton, highlights the impact of liquidity issues at many AEC firms. By increasing fees and/or ensuring prompt payment, firms can stay liquid and profitable – allowing them to attract, maintain, and train top talent and restore the pride and dynamism of the industry.
•  MentHERship, presented by Amy Kunselman, Andrea Narendorf, Carmen Pemsler, Jessica Bazán, Lalitha Benjaram, Shelby Harvey, and Stephanie Putzke, continues the work from one of the 2021 ElevateHER® project teams, and offers a framework for firms and organizations to implement a successful mentorship program.
•  PromoteHER, presented by Adrienne Taylor, Amanda Thomas, Kara Koenig, Laci Budd, and M. Jackie Chang, established that one way to retain women and minorities in the AEC industry is by ensuring equitable advancement opportunities. The team is creating a readily-accessible hub of resources and framework to help track professional skill sets and achievements.
•  TeacHER2.0, presented by Amanda Roehl, Chad Coldiron, and Kellie Delaney, expands on the effort by 2022 ElevateHER® project teams, and leverages the collective powers of public libraries to distribute materials that will help expose AEC career paths to children at an early stage.
•  TransformUS, presented by Alejandra Ruiz, Alicia Albini, and Katie Fitzpatrick, asserts that a growth mindset is key to implementing DEI initiatives and improving recruitment, retention, and culture at AEC organizations. They will share their research and a framework that change agents can leverage to gain buy-in from firm leaders.

Audience members will not only walk away with tangible action plans, they will also get to vote for the project they are most likely to implement. The team with the most votes will be invited to present at the ElevateHER® Symposium in March 2024. To learn more about or to register for Zweig Group’s 2023 ElevateAEC Conference & Awards Gala, click here. 

Shirley Che is director of field marketing, learning, and ElevateHER® at Zweig Group. Contact her at sche@zweiggroup.com.

ElevateAEC Conference & Awards Gala This is the largest in-person gathering of industry leaders and award-winning firms, all interested in evevating the industry. This year’s conference has a jam-packed agenda designed to help you network, learn, and celebrate like never before. Join us in Frisco, TX, September 13-15. Click here to learn more!

Has your firm been struggling to implement a new process or new tool throughout the org chart? You may think you’re having a hard time because the new shiny thing just isn’t a good fit for your firm, or maybe your idea-vetting process isn’t working, or maybe the rollout wasn’t clear. No matter your reason, new ideas have always been hard to accept. Humans are not accustomed to rapid changes, and the world around us is evolving quickly. We are coming up with new ideas every day on how to improve our workplaces, advance ourselves technologically, or just communicate better. All of these are forms of innovation, and innovation is how we improve ourselves and our collective lives.

“Innovation” has become a buzzword. Leaders in firms are trying to find the next best innovation – whether they call it that or not. But they are often thinking solely of technological innovations. This type of thinking can limit the potential of a firm. Innovation, according to Everette Rogers in his book Diffusion of Innovations, is “an idea, practice, or object that is perceived as new.” You can look at the most recent Apple unveiling event to see how far technological innovations have come with the introduction of their new virtual and augmented reality headsets. But you can also see where they’ve plateaued – when will the MacBook not have a bevel and when will its web cam quality finally catch up? You can also look to AI and its rapid expansion into the workplace for how innovations can diffuse into new contexts. Zweig Group has been a part of starting the conversation around integrating AI into the AEC industry because we know it has the potential to change the industry from all sides.

But, as mentioned above, we are not accustomed to change. With rapidly developing technologies like AI, no one can know how well an innovation will be integrated from the start. If you want an innovation to stick, you must begin by communicating the advantages to the groups that will use them. In this way, innovative communication has the potential to have the biggest impact on any idea. This means leaders need to understand how information is being shared across a company through its different business groups. Ideas spread fast in like minded groups, so identifying the most influential people in each business group and getting them bought into a new idea should be one of the first steps taken when fielding a new idea to your company.

If leaders are the only ones fully in the know of what new ideas, products, and processes are coming down into the rest of the org chart, that’s inviting pushback and could have a negative impact on adoption rate. Pushing new ideas onto a group will create reluctant adoption which in turn can build resentment and ultimately push people out if they don’t feel like they have a choice. This can be avoided if those deciding – or even the ones creating – innovations include the users in the creation and adoption process.

Again, from Rogers’ book, if an innovation is to be effectively adopted by a group, its relative advantage of use must be clearly stated without being overly complex. The innovation must be thoroughly tested and observed as being compatible with the needs of the potential users. For example, if an innovation is brought forward by an employee in a firm and understood to be useful, but that benefit is only explained once to leadership before being established as a new standard practice without being tested by other parts of the company, that innovation is likely to fail. It wouldn’t fail because the innovation was poorly designed or hard to use, but because the advantage was not tested or communicated effectively with all potential users. Without communication, innovations cannot be adopted. If innovations are not adopted, we cannot elevate our industry.

If you are looking to elevate your firm, the AI Innovation Discovery service now offered by Zweig Group is designed to help identify areas of your firm that have the potential to adopt innovative ideas: a new process, a new product, a new way of communicating. We will walk you through exercises in a workshop format that will center your firm’s and employees’ needs around the problem, so that the final solution fits your firm’s unique situation. Click here to learn more. 

Katelynn Santiago, MFA, is senior design manager at Zweig Group. Contact her at ksantiago@zweiggroup.com.

AI Innovation Discovery

We provide valuable insight into how to best understand and seamlessly merge and adapt AI into your organizational structure. Let us guide you and optimize the impact of AI on your operations, identify areas where AI can be implemented, and develop a roadmap for successful AI adoption. Click here to learn more!

What does it mean to be an owner at your firm? It’s lonely at the top–or so they say.  When was the last time you asked?  When was the last time you had the opportunity to ask? In my time at Zweig Group, I have had the opportunity to meet with numerous owners and observe traits that make a principal worthy of their title, but also the realities that come with the title. Here are some truths I’ve picked along the way:

1. They lead by example. Being a good owner means leading by example every day.  All eyes are on you. This is a crucial piece that not everyone understands until they are in a similar position.  In many situations, there isn’t a need for words, and the examples leaders set during these situations go a long way in establishing their character. Decisions and actions can tell us a lot about a person. This also means that principles are put in the spotlight every day.  They say pressure makes diamonds, but it makes coal as well.  A leader’s responses and actions will determine which they are.
2. There is a tremendous sense of responsibility to take care of their people. People are our greatest asset in the AEC industry. Good employees are the building block of any successful firm. They make the firm function and evolve. A principal that understands that their responsibility is not only for the care and development of their people, but are also the main source of their employee’s livelihood, scales their responsibility, while also understanding the ramifications of incorrect decisions. Principals that lead wisely by assuming their responsibility fully are exceedingly more successful because they go above and beyond to support their employees.
3. Principals that take the time to be genuinely honest and transparent with their staff will be more successful. Limited information leads to speculation and poor results. Owners that bring their employees to the table and help them truly understand the financial status of the company and the current direction of the firm will win over the hearts and respect of their people. This takes action into a whole different level.
4. Minority Owners, principals that own less than 51 percent of the company, must be comfortable knowing that you’re not going to be at the table for every decision. Knowing you have made an investment in an entity that has the potential to grow as well as return an annual cash flow stream to the owners and firm, is an added benefit, but there are questions you need to ask to understand how to be productive to the return on your investment. Comprehending how your firm deals with corporate governance among all the owners is one of the most important things you need to know before you accept being a principal. 
5. Principals set the tone of the company. Creating something worthwhile takes effort and consistent dedication. What if owners of firms proactively thought about how to make their employees and clients happier? How different would firms be? Principals have the power to build or tear their culture by setting objectives that don’t provide value to their employees or clients. 

Ownership is empowerment. By embracing ownership, you have the power to shape the direction and culture of your firm. You become an integral part of the decision-making process, allowing your voice to be heard on matters that impact the business and its people. The ability to drive change and make meaningful contributions empowers you to create a positive work environment and paves the way for success. Ownership is something to be earned. In order to Elevate the Industry, we need more and more upcoming principals to understand and be ready to lead by example, responsibility, honesty, and compassion.

The AEC industry is a fascinating and constantly evolving field, and it offers numerous opportunities for young professionals to make a significant impact on society.  This year’s class of Rising Stars is yet again filled with examples of young professionals achieving success throughout the many facets of the AEC industry, making their own mark on our industry.  Key among these stories is a shared dedication to moving the industry forward.  For other young professionals who are looking to impact the AEC industry in their own way, these Rising Stars provide a framework for their own success.  Here are some of the lessons that can be learned from this year’s Rising Stars:

Develop Your Leadership Skills

Leadership skills are essential in the professional services industry. We sell people’s time and expertise. That is why managing people is a crucial skill. Nearly all of us have experienced the gap between technical skill and leadership skills. Developing leadership skills involves learning to motivate and inspire others, combining trust and collaboration, delegating tasks effectively, and making strategic decisions that benefit your firm. A leader is someone who is open-minded yet consistent in culture, values, and mission.  They are someone who brings the best in others and has the drive and ability to serve their clients better every time.

Build Your Communication Skills

Effective communication is essential in any profession, but it is particularly critical to the AEC space.  We work on complex projects that involve multiple stakeholders, and effective communication is essential to ensure that everyone is on the same page. A great communicator is a great asset to any firm. You may be the most competent design professional out there, but if you don’t know how to communicate appropriately, you will be perceived as incompetent. To develop your communication skills, practice presenting technical information in a clear and concise manner. Learn to communicate complex ideas in simple language that is easy for non-technical individuals to understand. Clarity is key for communication, but as well, if you don’t understand peoples’ needs, then you won’t be able to get through to them. 

Cultivate a Network through Business Development 

A strong network can help you stay up to date with industry trends, provide you with job opportunities, and offer support and guidance when you need it. It also allows you to win work for your firm. Those that produce the most get promoted. Get out there and meet people! Make contacts and turn them into clients. Show initiative and attend industry conferences and events, join professional associations, and connect with other professionals in your field.

Develop a Strong Personal Brand

In today’s competitive job market, it is important to develop a strong personal brand that showcases your skills, expertise, and accomplishments. A strong personal brand can help you stand out from other professionals and attract new opportunities. Who are you? What do you stand for? Why are you different? On every project you work on, the client needs to know the answer to those questions through interacting with you. 

Checking Up on People

This is one of the easiest things you can do, but few people rarely do it. Checking up on coworkers and clients elevates your relationship with them and demonstrates that you care. Stop reading this right now and reach out to someone who you have been meaning to talk to! We know that everyone is bombarded with so much work, but that is not a valid excuse for reaching out. Give yourself a couple minutes to send an email or call someone up-that’s all it takes. The professional service industry is about relationships. Never forget that.

Seek Out Mentors 

Mentorship is a valuable tool for professional development, and having a mentor or role model can help you navigate the challenges of your profession and achieve your goals. Having a good mentor takes you out of the daily tasks and helps you focus on the present and future. Soak up as much as you can. 

Develop Business Acumen

This is where I see a lot of need for in the AEC industry. You may answer by saying that you went to school for engineering, architecture, etc. But the fact is that you work for a business and knowing the different financial components on how your firm makes money is crucial for your competitive advantage. I have observed firm owners who run firms love the technical work but disregard the business side of their firm. It’s like driving a manual transmission car. The engine is what gets the car from one place to another, but the driver is the one that shifts gears at the right time (the financial side). The more you get acquainted with knowing the financials of the whole firm, the better prepared you are. It engages you in the long-term planning of your firm’s future. Project managers are able to function on a project-by-project basis. They know that it must be on time and on budget. Now apply it on a broader scale. Like a Russian nesting doll, every business has different layers–such as geographical, market sector, etc.–but ultimately, these components make up one entity. 

Think Like an Owner 

If you do things that are outside your job description, slowly but surely you will be recognized.  Cultivating a more active mindset will help you engage with your coworkers in critical discussions and functions. 

Take Care of Your Mental and Physical Health

The AEC industry can be a high-stress profession, and it is important to take care of your mental and physical health to avoid burnout and stay healthy and productive. Take care of your mental health by cultivating and maintaining hobbies. Take care of your physical health by getting enough sleep, eating a healthy diet, going outside, and getting regular exercise. Having a good support system from friends and family helps a lot as well. 

Give Back to the Community

The Design profession has a significant positive impact on society. Giving back to the community can help you develop a sense of purpose and meaning in your work and can contribute to your professional growth. Give back to the community by volunteering with local organizations or charities, mentoring students, or young professionals, doing pro-bono work, or participating in education programs. As individuals, we all have a responsibility to give back to our community and work towards creating a better world where we are in. You will never regret it.

The AEC industry is a major driving force in our changing world, and more and more people are joining our industry in the hope of improving the lives of those around us.  By taking steps to cultivate a Rising Star’s mindset, those who are just entering the industry or are early in their careers can create their own starlike trajectory, and ultimately Elevate the Industry for all those around them.

Ezequiel Tovar is an analyst within Zweig Group’s Ownership Transition team. He works directly with AEC firms to develop and implement successful ownership transition efforts with financial modeling, valuations, and comprehensive strategic planning.

Zweig Group compiled data between late 2019 and early 2021 from an online survey for its recently released 2020-2021 Recruitment & Retention Report of AEC Firms. One of the main topics of the report addresses recruitment metrics, specifically how long the hiring process takes in the industry.

Despite the state of the economy, AEC firms are still looking to hire. Sixty-two percent of firms reported to have open positions that they would like to fill with qualified candidates. Among those firms, the number of open positions can be between three and nine percent of the firm’s staff size. (For example, a firm of one hundred full-time employees usually has between three and nine open positions.)

So, how long does it typically take to hire a qualified candidate between the job listing and the signed job offer?

Most firms (fifty-six percent) need between thirty and sixty days to hire. According to each firm’s listed recruitment and retention metrics, the median time it takes to hire a candidate is forty-three days. This is higher than the U.S. average of 36 days according to SHRM’s Talent Acquisition Benchmarking Report, which is common for a technical sector like the AEC industry.

Looking at the interquartile range, firms at the 25^th percentile of the dataset took thirty-five days to fill a job while firms at the 75^th percentile coincidentally took seventy-five days to fill a role.

What about the open positions within the industry that require a higher level of education or experience and involve more screening and background work?

According to the report, eighty-nine percent of firms take longer than three months to hire the difficult-to-fill positions within their company. Drilling down further, fifty-eight percent of firms said that the most difficult positions take at least five months to fill. Firms have to be picky when searching for candidates to fill their most crucial positions and it shows in the data.

Zweig Group is constantly gathering data on every area that impacts the management of AEC firms. Participate in any survey and receive a customized report or sizable discount (fifty percent or more) on any Zweig Group research publication.  Click here to see topics open for participation.

Tyler Thompson is the Research Manager at Zweig Group. He can be reached at research@zweiggroup.com.

Zweig Group is excited to roll out the 2021 Total Compensation Benchmarking Tool. While our traditional Salary Surveys are a fantastic resource for benchmarking annual base salaries in the AEC industry, this dynamic spreadsheet will provide additional information that firms crave when addressing compensation for their employees.

In this tool, all the architecture, engineering, and construction firm  statistics that Zweig Group has tracked for decades – base salaries, bonuses, total compensation, bonuses as a percentage of base salaries, years of experience, and hours worked – are analyzed for over a hundred of the most common job titles in the AEC industry.

This comprehensive tool was compiled via the self-submission of an excel-based salary survey worksheet (also include with purchase of the tool).  The Total Compensation Tool contains aggregate data from all these submissions in an interactive excel-based format allowing for customized comparisons in each of the following areas contained on unique tabs in this file.

The first Data Representation Tab is an overview tab, displaying a bird’s eye view of a job title. The two major charts on the page show a salary breakdown and total compensation plotted against year of experience. Next, there is a demographics section that will show you who filled out the survey according to an employee’s age and gender followed by the firm’s staff size and growth rate. Job descriptions are shown to help differentiate between job titles. To round out the tab, we included results on if this employee typically received a bonus and/or was eligible for overtime.

The Firmographics tab offers the data in statistical form. In addition to being able to select a specific job title, you will be able to select a specific statistic and see the breakdown between the different firm demographics. For example, if you want to see bonuses for Project Managers in the Civil Engineering department, it will show the mean, median, lower quartile, and upper quartile for the position overall, followed by the statistical splits between staff size, age range, firm type, firm growth rate, and region.

The Regional tab gives the traditional regional analysis that Zweig Group uses for the United States (New England, Middle Atlantic, Pacific, etc.), but it also breaks the data down by subregion and state. The dynamic chart in the middle of the page automatically sorts the states in descending order to better visualize where each state fares for a certain statistic and job title.

With the total US version or one of our region-specific subsets (West, Central, East), firms will be well-equipped with data to benchmark their compensation. While the Salary Surveys are by no means obsolete, the 2021 Total Compensation Benchmarking Tool presents an opportunity for firms to take that extra step towards perfecting the craft of employee compensation.

Zweig Group is constantly gathering data on every area that impacts the management of AEC firms. Participate in any survey and receive a customized report or sizeable discount (50% or more) on any Zweig Group research publication.  Click here to see topics open for participation.

Tyler Thompson is the Research Manager at Zweig Group. He can be reached at research@zweiggroup.com.

Zweig Group recently released the all-new 2020 Mid-Year Salary Report of AEC Firms. This publication was created to provide AEC firms an opportunity to benchmark base salaries across their technical and administrative staff during an unprecedented time.

Typically, Zweig Group has published regional salary reports to represent the West, Central, and East portions of the country separately. While those reports will continue, the 2020 Mid-Year Salary Report of AEC Firms will act as an all-inclusive benchmarking publication representing all regions of the U.S. in one report.

On the technical side, a wide array of roles is analyzed including engineers, architects, construction managers, surveyors, planners, and landscape architects. Also included are the designers and drafters in each department as well as CADD and BIM roles. Among these roles, about two-thirds of them saw increases in median base salaries that were higher than 2019 and 2020. This is a good sign that AEC firms are still following a pay increase schedule, but it will also be something to monitor as we head into 2021.

Charts that show year ranges for typical levels within engineering and architecture roles were also provided to show when promotions to new levels among staff should start happening. This gives a natural career progression, especially at the earlier levels, that allows firms to start grooming staff and providing them with proper opportunities and education to advance their careers.

For example, in an engineering department, the experience for a Project Engineer typically ranged between five and fourteen years. For a Project Manager, the year range of experience jumps to a range between eleven and twenty-five years. From this, firms can reasonably infer that Project Engineers approaching ten years of experience should be considered for a management role.

Among nontechnical departments assessed in this publication are finance/accounting, HR, IT, marketing, and C-suite. Coincidentally, just as with the technical roles, two-thirds of these nontechnical roles saw increases in base salary by median values relative to 2019 and 2020.

The 2020 Mid-Year Salary Report of AEC Firms is a great resource for firms looking to stay on track with their compensation plans in these uncertain times. It is more important now than ever to benchmark those base salaries and maintain employee satisfaction while managing the overall finances of the firm.

Tyler Thompson is the Research Manager at Zweig Group. He can be reached at research@zweiggroup.com.

Zweig Group recently released the all new Operating Expenses Benchmarking Tool. This dynamic tool combines data from four of Zweig Group’s flagship surveys on AEC firm financial performance, information technology, marketing, and policies, procedures, and benefits.  Four years of historical data are included so users can evaluate overhead staffing and spending based on industry norms and firm attributes.

AEC firm leaders are often interested in the balance of technical and administrative employees. This compilation of data provides benchmarks and metrics that allow firms to see how their own staffing ratios stack up against industry norms based on the four key overhead departments: finance/accounting, human resources (HR), information technology (IT), and marketing.

Firm mergers and acquisitions further the need to analyze overall staffing –this tool allows users to enter various scenarios and benchmark these against specific demographics for both overall department levels as well as specific job roles and department structures.

The benchmarking tool also analyzes spending habits of AEC firms relative to net service revenue (NSR) in each overhead department. Not only does it show industry norms, but it presents the data based on the selection of firm attributes including staff size, office count, firm type, growth rate, and profitability.

Just as with staff breakdowns, the tool also breaks down spending based on different categories. For example, if a firm wants to benchmark marketing spending, spending in categories like staff labor, market research, advertising, etc. can be compared before summing the amounts to achieve a total marketing spending.

This dynamic benchmarking tool is the go-to product for firms looking to benchmark organizational structure and spending distribution among overhead departments. With a stable plan in place for its overhead departments, firms can be confident in the capacity and productivity of nontechnical staff and ultimately improve profitability in the present and future.

Tyler Thompson is the Research Manager at Zweig Group. He can be reached at research@zweiggroup.com.

Zweig Group recently released its 2020 Policies, Procedures & Benefits Report of AEC Firms. This publication was compiled with data gathered from architecture, engineering, and design industry firms regarding firm policies, strategies, and benefit plans for the present and future.

Over 450 responses across three major online surveys were analyzed to provide an in-depth look at general policies, human resources (HR) staffing & spending, firmwide compensation strategies, insurance plans, and leave policies among many other topics. Additionally, these topics are broken down by firm attributes like staff size, firm type, region, etc. for specific firms to benchmark themselves against similar situations.

Most of the data displayed in the publication comes from two online surveys. In addition to the flagship Policies, Procedures & Benefits survey, responses from Zweig Group’s Best Firms To Work For survey were also included as applicable. Not only does the combination of responses from these two surveys strengthen the data sample, but it allows firms to benchmark themselves against the “best of the best’.

HR employees in the AEC industry made up a median of 1.6 percent of a firm’s total staff. Typically, this percentage is inversely proportional to total staff size, meaning that as a firm grows, its HR staff as a percentage of total staff decreases. This is seen in the publication where firms over 250 employees saw this percentage drop to 1.1 percent.

Over the last five years, HR spending as a percentage of net service revenue (NSR) has fluctuated between 1.4 and 1.8 percent. However, in the last two years, this percentage has remained stagnant at 1.7 percent. HR staff labor accounted for about 55 percent of total HR spending on average. The next highest expenditures were employee training, recruiting firms, and advertising.

To accommodate those looking to reassess their major policies during the COVID-19 pandemic, Zweig Group has also included analyzed data from its AEC Industry Outlook and Response to COVID-19 survey. Two-thirds of firms say that the COVID-19 pandemic has caused them to change their telecommuting policies. 71 percent of firms anticipate long-term strategic changes to how their staff will work in the future. Information on travel policies, business development, and networking as it relates to the pandemic are all shared in this publication

The compilation of data presented in this publication will give firms in the AEC industry the necessary resources to benchmark its current policies and react to the ever-changing work climate. The 2020 Policies, Procedures & Benefits Report of AEC Firms is a comprehensive study that will keep firms current and help them maintain employee satisfaction.

Tyler Thompson is the Research Manager at Zweig Group. He can be reached at research@zweiggroup.com.

In a preliminary data pull from Zweig Group’s Best Firms Employee Engagement study, we found that one of the long-time gripes from staff has taken a back seat to other challenges. The perception that there is a lack of communication in an AEC firm has consistently plagued owners, management teams, and staff. Let’s be real; communication or lack thereof is the root cause of many of our issues. The causal relationship between our communication styles and the intended outcomes is direct. Communicate effectively and end goals are realized, communicate ineffectively and – well you know the rest. But, in a recent study by Zweig Group, communication has been trumped by “loneliness”, “problems with technology”, “work life balance” and “general distractions.” In these weird times, we have to take stock our situation, our businesses, our people and make the right adjustments.

When we work with a firm on strategic planning, we conduct interviews and surveys to better understand a firm’s culture and challenges that leadership have to overcome. Communication from the top down, across teams, from PM to team or one office to another is always a primary concern. This isn’t surprising because humans naturally have a difficult time conveying their intentions in a manner that recipients receive well. The problem can be focused on a specific area of the business, a single person, a system or an entire level of management; but the data always comes through in our assessments. How we address that communication gap is key and is a major value add from an independent third-party advisory service.

If you are married (or have ever been married), just look at the amount of dysfunction in simple discussions with someone you love. Jerry Seinfeld has a new Netflix special called “23 Hours to Kill.” It’s hilarious. Apparently, he actually jumped out of the helicopter at the beginning of the show-which is pretty impressive. But his description of the parallels between the plates of food people construct at an all you can eat buffet in Vegas and their emotional struggles is gold. He rolls that segment into cracking on the fickle communication dynamics between he and his wife. And it’s true. The tone, delivery, consistency, and actual act of sharing information are all key pieces of effective messaging.

In 2018, the US Bureau of Labor Statistics conducted an “American Time Use Survey.” They found that people with jobs “spent more time working at the office than at home—7.9 hours, compared with 2.9 hours.” Before -19, that meant we were spending 2.7x more time at work than were with our families. That’s a lot of opportunity to miscommunicate. It’s no wonder communication is a consistent issue in design firms. But today, many of us are spending extended periods of time working from home and trying to find the balance between family, work, school, and sanity. Managing distractions and establishing a work life balance were the two most pressing issues for people working from home. So, it begs the question, how do we take this kind of information and help our people and our teams? How do we adapt our expectations of staff and our business practices?

There is no doubt that today we have new trials. Our time spent at home has to abide by a new work life balance standard. We have co-workers that are struggling with new challenges. Some may be experiencing emotions they have long forgotten. Some may be truly challenged by the dark clouds cast by the pandemic; others may be stressed beyond connection and still others may be performing better than ever. We have to understand our teams and equip them with the systems and personal network that enables productivity. This is incredibly important to the stability of our businesses. The data suggest our partners in the industry are making every effort to reach their people and mobilize their team. Now, we have to figure out how to maintain the delicate balance of standard operating procedures, productivity and empathy.

Will Swearingen is Director of Ownership Transition at Zweig Group. He can be reached at wswearingen@zweiggroup.com.

In the past, most BIM research has focused on use by designers and general contractors, but studies have also shown that to gain the greatest benefit from the use of BIM, all key members of the project team, including the major trades, need to utilize the model. To help fill the gap and better understand BIM use across the project team, Dodge Data & Analytics, in partnership with MCAA and Pinnacle Infotech, and with additional support from Autodesk, AMCA, and Innovative Construction Technology, has conducted a major study of the use of BIM by mechanical and HVAC contractors. This study, published in The Business Value of BIM for Mechanical and HVAC Construction SmartMarket Report, reveals that mechanical contractors are enthusiastic users of BIM who have experienced many benefits from their engagement with it.

High Level of BIM Engagement

The study consisted of an online survey of 135 mechanical and HVAC contractors, of which 122 reported that they use BIM. In fact, 95 percent report that they are responsible for producing a model of the work they will be installing on at least some of their projects, and 65 percent state that they do so on half or more projects. And among those who are responsible for producing a model, 90 percent use their own internal resources rather than an external third party to produce those models on at least some projects, and the vast majority do so on half or more of them.

Use of the Model for Analysis and Onsite

Mechanical and HVAC contractors are also highly engaged with using the model for analysis. Not surprisingly, the top use of the model is for shop drawings, with 78 percent of the mechanical contractors reporting that this occurs on over half of their projects. However, size of company is influential in how commonly this occurs, with over 80 percent of contractors with annual revenues of more than $50 million using the model for shop drawings on over half of their projects, compared with just 54 percent of those with revenues of less than $10 million.

Over half (51 percent) of the contractors using BIM for shop drawings believe that they produce those shop drawings faster because they use BIM, although it is notable that nearly one quarter (24 percent) believe BIM slows the development of shop drawings. Still, among those who report that it is faster, the vast majority (89 percent) believe it speeds up the process by 5 percent or more.

72 percent of mechanical contractors also use the model for special coordination, and 61 percent for constructability evaluation on half or more of their projects. Size of company is still an important differentiator for level of use of these practices as well, especially for spatial coordination, where 82 percent of those with revenues of $100 million or more doing so on 50 percent or more of their projects, compared with just 38 percent of those with revenues of less than $10 million.

However, there are types of analysis that are still emerging for these contractors, with quantity take-offs for estimating and construction sequencing currently used by less than half of contractors on 50 percent or more projects. One of the emerging areas with the biggest potential that the study revealed is the use of BIM for estimating. Currently, less than 10 percent of the contractors do so on 50 percent or more of their projects, and fewer than half have any experience with this. These findings reveal that, despite their relatively advanced use of BIM, mechanical and HVAC contractors are still going to be able to gain even more value from BIM in the future.

Use of BIM for Prefabrication

Many mechanical and HVAC contractors first started using 3D modeling in the 1990s to support their prefabrication efforts, and the study reveals that 87 percent of the participants are using BIM for prefabrication of at least some assemblies, with 46 percent using it for 50 percent or more of them. BIM for fabrication is widely adopted because most contractors are experiencing benefits from its use. In fact, over three quarters report that using BIM for fabrication improves six major benefits, from material waste to worker safety. Perhaps the most striking are the ones that are also important measures of project success, with 88 percent reporting improved labor costs, 86 percent reporting better quality of installed work and 84 percent reporting improved schedule performance because of using BIM for fabrication.

Overall Benefits of BIM Use

When asked about the top three business benefits they experience from using BIM, the highest percentage of mechanical and HVAC contractors consider increased labor productivity and increased profitability to be the top benefits. Clearly, these factors are critical to stay competitive. The top project benefit they report by far is an improved fabrication process, but many also note improved cost performance, reduced errors and improved collaboration as top project benefits. These findings make it clear that for the most mechanical contractors, BIM use is necessary to stay competitive.

Challenges to Expanding the Use of BIM

Despite the wide use and strong benefits reported, the study also made clear that there are opportunities in this industry for increased BIM implementation, and mechanical and HVAC contractors were asked about the challenges they face in doing so. The top two deal with manpower issues: they cannot always meet training needs and have a lack of available manpower to create BIM models. There is also a notable percentage who struggle with the lack of sufficient engagement with BIM across the project team, citing lack of support for BIM from other important trades, other stakeholders in the project not using BIM and poor quality BIM use by other stakeholders as top obstacles.

Conclusions

These findings demonstrate the benefits reaped from BIM use by very engaged BIM users, and the potential for further growth. They show the degree to which BIM can impact fundamental key project indicators, like cost and schedule, and key business impacts like profitability. They also reveal that the industry still needs to find a way to fully maximize the model through greater commitment across the project team and more collaborative approaches to projects.

Donna Laquidara-Carr, Ph.D., LEED AP, is Industry Insights research director, Dodge Data & Analytics (www.construction.com). Dodge Data & Analytics is North America’s leading provider of analytics and software-based workflow integration solutions for the construction industry. Building product manufacturers, architects, engineers, contractors, and service providers leverage Dodge to identify and pursue unseen growth opportunities and execute on those opportunities for enhanced business performance.

Sean McGuire is director of Innovative Technologies at MCAA (www.mcaa.org).

Contracts are important tools for your business relationships with both clients and subconsultants. The different provisions in a contract can provide protection for your design firm if a dispute should arise. One such provision that we recommend be included in every client contract is a Limitation of Liability.

A Limitation of Liability (LoL) clause limits the design firm’s liability in the event of a claim related to your professional services. LoL clauses protect the assets of the firm in the event of a large claim or multiple claims.

Not all of your clients will accept a LoL clause but that should not stop you from asking for it in every contract. Even if only a small portion of your clients agree to it, LoL clauses reduce your overall financial exposure. Also, most insurance companies will give you a discount on the cost of your Professional Liability insurance based on the percentage of your contracts that contain a LoL clause. LoL clauses are especially important for small projects because they help balance the risk-reward benefit. The fees collected on smaller projects oftentimes do not justify the exposure of the firm for your insurance policy limits.

Some key points to consider when drafting LoL language:

• Do not attempt to relieve the firm of all liability. Instead, put a cap on the liability for a pre-determined amount. Language that attempts to eliminate all liability may make it unenforceable.
• Keep the LoL clause and any indemnity clause totally separate and apart.
• Make the LoL clause apply to actions against any principal, officer, agent and employee of the corporation, as well as the corporation itself.
• The LoL clause should apply to all causes of action by the client including breach of contract, breach of warranty, and negligence.
• The clause should not attempt to limit third party claims, but instead should address only claims by the client

Limitation of Liability (LoL) clauses can be drafted based on either a set dollar amount or a limit of insurance. The first type of clause specifies a fixed dollar amount or an amount equal to your contract fee. This set-limit clause is desirable for small fee projects. The design firm should not have to expose itself to a large claim for projects that generate very little profit.

An example of a LoL clause is listed:

In recognition of the relative risks, rewards and benefits of the project to both the Client and the Architect, the risks have been allocated so that the Client agrees, to the fullest extent permitted by law and notwithstanding any other provisions of this Agreement, to limit the total liability of the Architect to the Client and all subcontractors on the project, for any and all injuries, losses, expenses, damages of any nature whatsoever or claim expenses arising out of this agreement, from any cause or causes, so that the total aggregate liability of the Architect shall not exceed the total compensation received by Architect under this Agreement or $50,000, whichever is less. Such claims and causes include, but are not limited to, strict liability, negligence, professional errors or omissions, breach of contract or breach of warranty. This clause applies to all principals, directors, officers, employees, agents and servants of the Architect.

The second type of Limitation of Liability clause seeks to limit your exposure to an amount of insurance. This type of clause can be written to include policy limits. However, we recommend that the limitation be tied to the insurance proceeds available at the time of settlement of a claim.

Here is sample language: “…. the total aggregate liability of the design firm shall be limited to the amount of insurance proceeds available at the time of the settlement.”

If you hire subconsultants, you need to pay special attention to LoL clauses in your agreements. Although we stress the importance of getting LoL clauses, you should not grant a LoL to your subconsultants unless you get one from your client.

There is a case where a client filed a claim against an architect due to structural issues on the project. The architect did not have a LoL clause with the client, but their agreement with the structural engineer subconsultant granted a LoL that capped the subconsultant’s liability at $75,000. The claim settled in excess of $2M, with the structural engineer’s contribution limited to $75,000.  The architect was responsible for the difference even though $1.3M of the damages were attributed to the subconsultant.

Limitation of Liability clauses are an important risk management tool for design firms.  Limiting your liability can be as important as negotiating your fee and a LoL clause should be standard language in all of your client contracts.

Dodge Data & Analytics has released its 2020 Dodge Construction Outlook. The report predicts that total U.S. construction starts will slip to $776 billion in 2020, a decline of 4 percent from the 2019 estimated level of activity.

“The recovery in construction starts that began during 2010 in the aftermath of the Great Recession is coming to an end,” stated Richard Branch, Chief Economist for Dodge Data & Analytics. “Easing economic growth driven by mounting trade tensions and lack of skilled labor will lead to a broad based, but orderly pullback in construction starts in 2020. After increasing 3 percent in 2018 construction starts dipped an estimated 1 percent in 2019 and will fall 4 percent in 2020.”

“Next year, however, will not be a repeat of what the construction industry endured during the Great Recession. Economic growth is slowing but is not anticipated to contract next year. Construction starts, therefore, will decline but the level of activity will remain close to recent highs. By major construction sector, the dollar value of starts for residential buildings will be down 6 percent, while starts for both nonresidential buildings and nonbuilding construction will drop 3 percent.”

The pattern of construction starts for more specific segments is as follows:

• The dollar value of single-family housing starts will be down 3 percent in 2020 and the number of units will also lose 5 percent to 765,000 (Dodge basis). Affordability issues and the tight supply of entry level homes have kept demand for homes muted and buyers on the sidelines.
• Multifamily construction was an early leader in the recovery, stringing together eight years of growth since 2009. However, multifamily vacancy rates have moved sideways over the past year, suggesting that slower economic growth will weigh on the market in 2020. Multifamily starts are slated to drop 13 percent in dollars and 15 percent in units to 410,000 (Dodge basis).
• The dollar value of commercial building starts will retreat 6 percent in 2020. The steepest declines will occur in commercial warehouses and hotels, while the decline in office construction will be cushioned by high value data center construction. Retail activity will also fall in 2020, a continuation of a trend brought about by systemic changes in the industry.
• In 2020, institutional construction starts will essentially remain even with the 2019 level as the influence of public dollars adds stability to the outlook. Education building and health facility starts should continue to see modest growth next year, offset by declines in recreation and transportation buildings.
• The dollar value of manufacturing plant construction will slip 2 percent in 2020 following an estimated decline of 29 percent in 2019. Rising trade tensions has tilted this sector to the downside with recent data, both domestic and globally, suggesting the manufacturing sector is in contraction.
• Public works construction starts will move 4 percent higher in 2020 with growth continuing across all project types. By and large, recent federal appropriations have kept funding for public works construction either steady or slightly higher — translating into continued growth in environmental and transportation infrastructure starts.
• Electric utilities/gas plants will drop 27 percent in 2020 following growth of 83 percent in 2019 as several large LNG export facilities and new wind projects broke ground.

The 2020 Dodge Construction Outlook was presented at the 81st annual Outlook Executive Conference held by Dodge Data & Analytics at the Renaissance Chicago Downtown Hotel in Chicago, IL. Copies of the report with additional details by building sector can be ordered here or by calling (800) 591-4462.

A new study released by Dodge Data & Analytics, in partnership with Triax Technologies, a leading provider of technology for the connected jobsite, finds that while contractors continue to struggle with construction site risks, they recognize the benefits of using IoT to mitigate them. According to the report, Using Technology to Improve Risk Management in Construction SmartMarket Insight, nearly three-quarters of respondents believe IoT will help them control occupational risks, and about half expect it to reduce risks to the public, as well as financial risks and those related to property damage and construction defects.

The study found that the top motivator for adopting IoT technology is the possibility of lowering insurance premiums (67 percent), followed by recovering lost time due to incidents and winning more work because of a strong safety record.

“These findings are encouraging and confirm what we’ve suspected: that contractors and insurers alike see the value in leveraging IoT technologies to help collect, analyze and act on risk management data,” said Pete Schermerhorn, President and CEO, Triax Technologies.

“Contractors are often a skeptical audience, keeping a close eye on the bottom line,” says Steve Jones, Senior Director of Industry Insights Research at Dodge Data & Analytics. “But when they see something that will improve their projects and their profitability, they embrace it. Their enthusiasm for IoT technologies suggests that we may see the project jobsite become much smarter in the next few years.”

Respondents report that they are actively collecting key data, and more importantly, using the insights to further their safety and risk practices. More than half of the participants report that they digitally gather (54 percent) or analyze data (59 percent), while 77 percent report that they act upon key safety and risk insights.

However, the study revealed budgetary challenges to tech adoption. Only 10 percent of contractors report a dedicated innovation budget and when it comes to funding new risk-reducing technologies, most contractors either plan to absorb the costs in anticipation of long-term gains (44 percent) or pass on the costs (32 percent).

“These findings highlight an important opportunity to shift the industry towards reliance on objective, empirical data,” said Schermerhorn. “The ability to measure risk is fundamental to managing it, especially in the fast-moving construction environment. It’s essential that contractors dedicate budget and resources to unlock actionable safety and risk insights that can drive improvement in these areas.”

As part of the study, in-depth interviews were conducted with insurers, who agreed that real-time site monitoring can have a high level of potential for reducing risk onsite but that reductions to contractors’ premiums based on technology adoption are unlikely until there is enough actuarial data on the impact of those technologies. However, instituting a cost-sharing program with clients for specific technologies was raised as a possibility, as well as potential savings that contractors could realize from reduced deductible costs and fewer claims.

Download the full SmartMarket Insight for free at www.triaxtec.com/riskreport.

* In 2018, bridge construction starts had a very strong year with more than $20.5 billion in projects breaking ground.

This level was second only to 2013 when the Tappan Zee Bridge replacement broke ground.

* In 2019, starts were down 21% in the first four months of the year, suggesting that this year may not be quite as robust as last year.

Still, five projects valued at over $100 million broke ground in the first four months of the year. (See next page for list)

* What’s a construction start? A general contractor has been hired for the projects, and the Dodge reporter has been told that the project is about to break ground (excavation for foundations has begun — for buildings).

The full hard construction cost of the project is entered in the month the project breaks ground.

These are the largest projects that broke ground during the first four months of 2019 (all projects with a hard construction cost of $50 million or more).

The dollar value is the full hard construction cost of the project, which Dodge enters in the month the project breaks ground.

Implementation of building information modeling (BIM) in the transportation sector has seen dramatic growth in the last five years, as a recent Dodge study on The Business Value of BIM for Infrastructure demonstrates. In 2015, only about one quarter (27%) of U.S. engineers and contractors who use BIM deployed it on 50% or more of their projects, but by 2017, that percentage had doubled to 55%. The study also shows that in the U.S., engineers led the charge for high BIM implementation in 2015, but by 2017, over half of contractors (53%) were implementing BIM at that high level, nearly as many as the engineers (56%).

The findings also show a trend for more even implementation of BIM between two segments within transportation, bridges and tunnels. In 2015, only 26% of those using BIM for bridge projects reported that they were doing so on 50% or more of their projects, compared with 42% of those doing tunnel projects. By 2017, those percentages were nearly even, at 51% for bridges and 50% for tunnels.

So, what has led to that dramatic growth in the use of BIM in these sectors, and what does the future hold? To get answers to these questions, Dodge spoke to Cory Dippold, Vice President and Head of Special Project Applications at Mott MacDonald.

According to Dippold, the increased use of BIM is believed to be directly related to the improved ability of the tools to handle the massive amounts of data generated by many transportation projects. That experience in using BIM helps to overcome the challenge of, as he says, “how to apply the precision that BIM can deliver into the world of infrastructure that typically operates to different tolerances and levels of precision.” The biggest challenges to wider adoption of BIM now, he notes, are related to legacy workflows and the contracting models that still dominate infrastructure delivery. Dippold points to a successful bridge project conducted by Mott MacDonald in the UK that was one of the first model-only delivery projects in that country, which involved a very accurate model of the bridge and allowed them to make better use of off-site prefabrication. In fact, he believes that the ability of BIM to support Design for Manufactured Assembly (DFMA) will be a major factor for growth in its use in the bridge and tunnel sectors, given its ability to provide more rapid construction techniques and higher quality control.

Dippold warns against a simplistic understanding of the benefits of BIM. “I would caution that we shouldn’t be using BIM as a proxy for delivering jobs faster for less money. In a lot of cases, using BIM or using digital techniques to deliver the job offers a number of different benefits that the designer, builder or owner may choose to recover [such as] better constructability, less risk, higher safety, as well as a lower cost, or faster delivery. You have a nice range of different options to unlock value in different ways over time.”

Dippold also sees that list of options increasing in the future. He cites the value of a “digital twin,” which combines additional data with a model (such as non-graphical and sensor data) to provide a digital clone of the existing asset, as a critical part of the future value of BIM for these assets – especially for owners. We are now seeing the emergence of digital integrators who can help provide “a truly accurate, 3D digital representation of a physical asset that is kept current – this would provide significant benefits. We just need a little bit more time and experience as an industry to figure out how to make that happen and where all the value really gets unlocked.” Dippold ultimately envisions smart cities where “assets understand their performance relative to other assets, and you can begin to optimize the performance of your asset in the context of the other assets that are operating around it.”

For those who have not yet started using BIM in the bridge and tunnel sectors, he encourages them to dive in. And for those who are seeking to increase their level of implementation, it is essential to “understand your information structures because the way your information gets structured on a project can be the difference between success and failure.”

Donna Laquidara-Carr, Ph.D., LEED AP, is Industry Insights research director, Dodge Data & Analytics (www.construction.com). Dodge Data & Analytics is North America’s leading provider of analytics and software-based workflow integration solutions for the construction industry. Building product manufacturers, architects, engineers, contractors, and service providers leverage Dodge to identify and pursue unseen growth opportunities and execute on those opportunities for enhanced business performance.