Top Firms Invest to Do More - Arora Engineers

NUMBER 107

Overview p. 46 // Profitability p. 46 // Top 500 Volume p. 46 // Backlog p. 46 // Markets' Share of Total Revenue p. 47 Revenue by Owner Type p. 47 // Domestic and International Staff Hiring p. 47 // International Market Analysis p. 48 Past Decade's Design Revenue p. 48 // Harry W. Nice Bridge Replacement p. 49 // Top 500 Dialogue pp. 50, 59 Top 20 Design Firms by Sector pp. 52-56 // East Midtown Greenway p. 60 // Top 50 Designers in International Markets p. 60 Top 100 Pure Designers p. 63 // Miami Signature Bridge Pour p. 64 // DEI in Design p. 66 // How To Read the Tables p. 66 Top 500 Design Firms List pp. 68-77 // Where To Find the Top 500 p. 78-79

ELEVATE

Populous, along with Stantec and S2 Architecture, designed the $500-million expansion of Calgary's BMO Centre.

Top Firms Invest to Do More

As federal spending drives project plans, firms draw owners a roadmap in a tricky market By Emell Adolphus and Jonathan Keller

May 2/9, 2022 ENR 45

RENDERING COURTESY OF POPULOUS

M oney from the $1.2-trillion Infrastructure Investment and Jobs Act has yet to reach most state agencies, but design firms report being busy with value engineering projects up to the shovel-ready phase. Owners appear revved up and ready to take advantage of federal funding, needing design firms more than ever to keep projects from getting stalled in a market plagued by shortages.

Overwhelmingly, the Top 500 Design Firms say staffing is their No. 1 priority going into the COVID-19 pandemic's third year, but revenue numbers show that firms are learning to do more with fewer hands on deck--at least for now. For the sixth consecutive year, total revenue for the Top 500 listed firms increased-- rising 2.2% to $107.11 billion in 2021. Median firm revenue has also rebounded after a dip last year, rising 3.8%, to $67.45 million.

Keeping revenue in the Top 25 strong are big firms that win big projects requiring increased capacity to meet speed-to-market demands, such as building man-

ufacturing facilities for semiconductors and electric vehicle batteries.

For Kimley-Horn, which rose to No. 10 from No. 15 last year, one of the company's "fastest-growing markets focuses on the rapid transition to zero-emissions vehicles," says Jenna McDavid, its electric vehicles practice director. Funding from the IIJA is already having a significant influence on the company's scope of programs with local and state agencies.

Mid-tier firms ranked from No. 50 to No. 100 also seem to be prepping to grab their share of federally funded projects. Revenue numbers show that they

2021-22 at a Glance

DOMESTIC PROFITS

416

NUMBER OF FIRMS REPORTING PROFITABILITY

INTERNATIONAL PROFITS

76

DOMESTIC LOSSES

10

INTERNATIONAL LOSSES

3

VOLUME

$ BILLIONS

DOMESTIC REVENUE

$89.2

TOTAL REVENUE

$107.1

INTERNATIONAL REVENUE

$17.9

NUMBER OF FIRMS REPORTING SIZE OF BACKLOG

HIGHER

356

LOWER

34

SAME

64

COMPARING THE P4A6 ST DENERCADEM'Say 2/9, 2022

DESIGN REVENUE $90.24

$92.69

2012

2013

$92.31

2014

$91.81

2015

$92.84

2016

$93.90

2017

$101.16

2018

$103.24

2019

$104.77

2020

$107.11

2021

Markets' Share of Total Revenue

#1

JACOBS has been selected by the Michigan DOT to help design the country's first inductive charging road for electric vehicles.

OVERVIEW

25.3% BUILDING

$27,134.0

24.7% TRANSPORTATION

$26,467.9

$ MILLIONS

2.2%

MANUFACTURING

$2,326.4

2.4%

TELECOM

$2,540.0

2.9% OTHER

$3,099.8

5.0% INDUSTRIAL

$5,359.9

5.8%

SEWER AND WASTE

$6,210.8

6.7% PETROLEUM

$7,150.2

7.1% WATER

$7,614.5

8.9% POWER

$9,583.0

9.0%

HAZARDOUS WASTE

$9,620.8

PROFESSIONAL

300

INCREASE

465 iDSnTOcArMFeEFaSsHeTIdIRCItNhGeir profit m5a6rgins last year, and gross rev- DECREASE

enue rose 11.1%, on average.

Faced with rising inflat9i2on

costs, firms

are

finding

STAYED THE SAME

Top 500 firms

PROFESSIONAL INTERNATIONAL

50

(MEASURED IN FIRMS REPORTING)

STAFF HIRPIENRG CENT8SHARE OF TOTAL REVENUE

BY OWNER T2Y3PE

SOURCE: ENR

that they need greater capacity to meet demands for compressed delivery of design packages and construction schedules to avoid potential cost increases.

sent in surveys last year.

FEDERAL

14.1%

25.3% BUILDING

"The name of the game is building a strong AEC team committed to serving clients to help them meet their goals," says Kevin McNutt, director of engineering at BSA LifeStructures. A team must be "open and

70.1%

of firms report

revenue rose

STATE/LOCAL

37.9%

$27,134.0

24.7% TRANSPORTATION

$26,467.9

flexible to the unexpected along the way," he adds. H$owMILfLiIrOmNSs go about creating these teams seems to

be as diverse as the firms themselves.

between 2020 and 2021.

PRIVATE

48% 9.0%

$39.6 HAZARDOUS

Data-Driven Decisions

As part of scaling up the breadth of its design services, Jacobs says the company is thinking far "beyond trSaE5-.W8%ER

8.9%

WASTE

million: median 7.1c%yber revPeEnTuR6e.O7L%aEmUMong$W7,A6T1aE4cR.5ross

an$P9dO,5W8dE3aR.0ta-m$9a,n62a0g.8ement technologies all of its design markets.

for

clients

dohifetltidhoMnetAhaNme$lU2sFaN2,cA3r.2o2Ck%o6Tpe..Ut4e1R,aINpsncGodhsceithd2i.oau4n%nlegoainnngdthcbelOuie2TTd.nH9og%EtpeRnt5"e0et0doINslm$.iD5sTU5,te3S.0esh5T%it9Ren.dI9AcfeiLermm2aA0nNh$16Dda8,2ssW.1A0S.8TafEirrmchs$it.7e,1c5t0u.r2e

"This move recognizes the significant progress we've made," says Steve Arnette, president of its Critical Mission Solutions unit.

On March 3, JT$aE2cL,5Eo4Cb0O.sM0 anno$3u,0n9c9e.8d the creation of a

"More than that," Arnette adds, "it acknowledges

new data solutions accelerator that will integrate cloud,

the importance of embracing disruption and innova-

PROFESSIONAL DOMESTIC STAFF HIRING

56 92

300

INCREASE

PROFESSIONAL

50

INTERNATIONAL

DECREASE

STAFF HIRING

8

STAYED THE SAME

23

(MEASURED IN FIRMS REPORTING)

SOURCE: ENR

May 2/9, 2022 ENR 47

THE TOP 500 DESIGN FIRMS

International Market Analysis

$ MILLIONS

32.8%

EUROPE

29.2% CANADA

$5,868.6

$5,231.3

7.0%

MIDDLE EAST

$1,250.8

5.7%

ANATR0AC.0RT%CICT/ICCAISRL0IA.B6NB%DEASN $2.0 $114.4

1.0% AFRICA

$186.5

AUSTRALIA* $1,027.4

15.6%

7.9% ASIA* LATIN $2,787.9 AMERICA

$1,420.4

NUMBER OF FIRMS IN EACH REGION

149 CANADA 113 LATIN AMERICA 111 ASIA 111 EUROPE 95 MIDDLE EAST 76 CARIBBEAN 59 AFRICA 53 AUSTRALIA 6 ARCTIC/ANTARCTIC

tion to drive solutions horizontally across the company

tech to develop data centers around the world," he

and create value for our clients."

says. "Our data center, architecture, engineering and

For Burns & McDonnell, moving company opera-

construction teams have grown significantly to meet

tions to cloud-based platforms has allowed for better

these needs."

resilience, availability, cost management and security,

To help the firm better calculate operational and

says chairman and CEO Ray Kowalik. "Our clients

financial risks long before shovels hit the dirt, Kiewit

continue to move toward more integrated delivery

Corp. has also rolled out major investments in data

technology, says vice president and operations control-

ler Dave Freeman.

"We've placed greater emphasis on capturing the

DOMESTIC PROFITS

416

NUMBER"OTFhFIeRrMeS is a positViOvLeUME REPORTIsNhG iPfRtOiFnITtAhBIeLITcYompany to

ensure data of all types $ BILLIONS

is

treated

as

a

core, DOMESTIC REVENUE

crucial asset." $89.2

INTERNATIONAL

rpmiRrg$aETo1hVnOIv0ETntaeAN7gdLmUa.eEad1metdanietttnisoo,t"ndphrtriooevcecsehaNRSbsyaseIEUsneZt.sPgMtEeaeOrnsBORdatEoFnTsRattIBrhlNyuOeAGscFicCtsuoKFarmneILR,pdOKaMoGnipeySwe'srioatvthieoarHsnaIGalaHldlEddiRmaetda-

data stewards for "monitoring data use to ensu3r5e6accountability," Freeman points out.

DPRa7OvF6IeTSFreeman, VP, operations controllIeNrT,EKRNieATwIOiNtAL

REVENUE

"There is a positive shift in the company to ensure data of all types is treated as a core, crucial asset to

DOMESTIC LOSSES

10

INTERNATIONAL LOSSES

3

$17.9

better estimate our work at the right price, build work at the lowest cost, and manage our SpAeMoEple and assets,"

models," he says. "They are increasingly wanting one

Freeman adds.

64

entity to handle their project safely, on schedule and on budget," Kowalik says, which makes protection of

LOWER

Putting Technology3t4o Work

client data even more paramount.

In the last several years, Hargrove Engineers + Con-

"Cloud computing has been an area of explosive

structors has made what it says are significant invest-

growth, and we are working with the biggest names in

ments in its in-house laser-scanning team, with numer-

COMPARING THE PAST DECADE'S DESIGN REVENUE

$ BILLIONS

SOURCE: ENR

$90.24

2012

$92.69

2013

48 ENR May 2/9, 2022

$92.31

2014

$91.81

2015

$92.84

2016

$93.90

2017

$101.16

2018

$103.24

2019

$104.77

2020

$107.11

2021

ous technologies, including drones, laser scanners, ground-penetrating radar and electromagnetic detection systems. Team members receive Federal Aviation Authority certification to operate drones.

"This equipment can maximize the data collected and minimize the number of trips to client facilities," says President and CEO Ralph A. Hargrove. "This team is also able to incorporate [virtual reality] elements to our client-facing materials in the design phases of a project, making communication clearer and more precise."

Additionally, Hargrove finds more clients are expecting digital-twin technology and process modeling packaged as value-added services. "Examples of services offered include equipment analysis and trouble-

Mist on the Water | By Jonathan Keller

#2

AECOM will be the lead engineering firm for the Texas Dept. of Transportation's $1.6-billion Southeast Connector project.

OVERVIEW

shooting, optimizing real-time process controls, and predictive maintenance," says Hargrove. "Expected client benefits include increased throughput and quality, lower operating costs and increased equipment uptime."

Barr Engineering says the company is continually learning by experimenting with technology applications, including integrating 3D scan data with simulation and augmented reality. The firm recently acquired an augmented reality platform that allows it to view and interact with GIS and 3D designs overlayed on real-world data and imagery.

"We've been piloting the platform for the past few months and will be using it for an upcoming client project," says Ward Swanson, president and CEO.

PHOTO BY LEE ANNE JANNEY; COURTESY OF KCI TECHNOLOGIES

KCI Technologies (No. 48) is providing construction management and inspection services on the replacement of the Governor Harry W. Nice Memorial/Senator Thomas `Mac' Middleton Bridge over the Potomac River between Maryland and Virginia. Built north of the existing bridge, the new structure will double available lanes from two to four, and enable tall ships to pass beneath. Upon completion of the new bridge, the existing structure will be demolished and materials will be used to create an artificial fish reef in the Chesapeake Bay watershed.

May 2/9, 2022 ENR 49

 ................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download