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US Commercial Construction: Challenges and Opportunities

Posted on Saturday, November 18th, 2023 at 1:01 pm    

The US commercial construction industry is a vital part of the economy, responsible for building and maintaining the infrastructure and buildings that businesses and organizations of all sizes rely on. In 2022, the industry generated over $1.6 trillion in revenue and employed over 7 million people.

However, the commercial construction industry faces a number of challenges, including labor shortages, supply chain disruptions, and rising material costs. Despite these challenges, the industry is expected to grow substantially in the coming years, driven by demand for new and renovated office buildings, shopping malls, healthcare facilities, and other commercial spaces.

Challenges

Labor Shortages

The number one challenge facing the construction industry is a shortage of experienced talent. The industry has been struggling to attract and retain workers for years, and the problem is expected to worsen in the coming years as the workforce ages and more baby boomers retire.

The labor shortage is being driven by a number of factors, including:

A skills gap: The construction industry requires a wide range of skills, from carpentry and plumbing to electrical work and project management. However, many young people are not pursuing careers in the trades, and many existing workers are retiring.

A competitive job market: Construction workers are in high demand across many industries, including manufacturing, energy, and transportation. This makes it difficult for construction companies to attract and retain workers, especially in certain regions.

A negative perception of the industry: The construction industry is often seen as being physically demanding and dangerous, with long hours and low pay. This can make it difficult to attract new workers, especially younger people.

Supply Chain Disruptions

Another major challenge facing the commercial construction industry is supply chain disruptions. The COVID-19 pandemic, the war in Ukraine, and other factors have caused widespread disruptions to the global supply chain, making it difficult and expensive to obtain construction materials.

The supply chain disruptions are impacting the availability and cost of a wide range of materials, including lumber, steel, cement, and glass. This can lead to delays and increased project costs for construction companies.

Rising Material Costs

In addition to supply chain disruptions, the commercial construction industry is also facing rising material costs. This is due to a number of factors, including inflation, increased demand for materials, and higher energy costs.

The rising material costs are putting a strain on construction companies’ margins and making it more challenging to complete projects on time and on budget.

Opportunities

Despite these challenges facing the commercial construction industry, there are also a number of opportunities for growth.

Increasing Demand for Commercial Space

The demand for commercial space is expected to grow in the coming years. This is being driven by a number of factors, including:

The growth of e-commerce: The e-commerce industry continues to grow rapidly, and this drives demand for new warehouse and distribution space.

The aging population: The US population is aging, and this is driving demand for new and renovated healthcare facilities.

The rise of the gig economy: Today, the gig economy is expanding, and this is driving demand for new and renovated coworking spaces and other flexible workspaces.

Growing Trend of Sustainable Construction

There is a growing trend of sustainable construction in the United States. This is being driven by factors such as government incentives, increasing corporate social responsibility initiatives, and consumer demand for sustainable products and services.

The commercial construction industry is well-positioned to capitalize on the growing trend of sustainable construction. By building and renovating commercial buildings that are energy-efficient and environmentally friendly, construction companies can attract and retain customers who are committed to sustainability.

Strategies for Overcoming Challenges and Seizing New Opportunities

To overcome the challenges and seize on the opportunities facing the commercial construction industry, construction companies should focus on the following strategies:

Invest in Technology

Construction companies can use technology to improve efficiency, productivity, and safety. For example, construction companies can use building information modeling (BIM) software to create digital 3D models of their projects. This can help identify and resolve potential problems before construction begins, and it can also help improve communication and coordination between different stakeholders.

Embrace Sustainable Construction

Construction companies should embrace sustainable construction practices to meet the growing demand for sustainable commercial buildings. This includes using sustainable materials, designing energy-efficient buildings, and incorporating renewable energy into projects.

Develop a Strong Workforce

Construction companies need to develop a strong workforce to address the labor shortage. This can be achieved by offering competitive salaries and benefits, providing training and development opportunities, and creating positive work environments.

How Technology is Changing the Construction Industry?

Posted on Friday, May 19th, 2017 at 8:35 am    

Technology is touching and reshaping almost all industries across the globe. And construction is no different. People have this misconception that construction is a low-technology industry. However, the truth is construction sector is an amalgamation of some other professions such as engineers, architects, specialists in various other works such as maintenance, renovation, and other site work. And with the adoption of technology, the demand for innovation has increased and had dramatically changed the dynamics of the industry. Here is how technology has helped the construction industry evolve:

1. Mobile applications and Smartphones
This is the most widely adopted technology across various industries. With many easy-to-use mobile applications, construction executives can now easily access, share and edit project related documents even while they are working on the project site, away from their PCs.

2. Laser Scanners
When it comes to assessing as-built conditions or sites, using laser scanners has helped improve the efficiency of work. Using a laser scanner, a construction executive can perform field measurement. These laser scanners capture each and every geographic detail in the form of “point cloud” data. This is an extensive set of points on a coordinate system. These are highly accurate and show the exact condition of the space or the facility. Laser scanners are useful when analyzing any changes or clashes between the existing conditions and the new building elements. You can easily feed the acquired data into CAD or BIM files. This helps in saving time and cost.

3. BIM
This is yet another widely implemented technology that has changed the way construction projects are handled and managed. The latest versions of BIM incorporate a greater amount of information into it. For instance, scheduling, referring to the historical data and another database for improving the delivery of information regarding the conditions of the site, etc. Technological advancement has also enabled connecting BIM models to various devices to the site, facilitating real-time sharing thus improving productivity. It’s also becoming commonplace for all the team members to have access to the BIM model of a project. The BIM model has become a required deliverable to the operations team as well.

4. 3-D Printers and Robotic Constructors
3-D printing is now widely used for creating construction components such as plastics, extruded concrete, and other materials for creating building components or even the entire buildings. For instance, in 2016, the world’s first 3-D-printed office was constructed in Dubai. Along with 3-D printers, robotic arms are also used to print a variety of forms. They are also used for construction works such as placing bricks demolition, and excavation.
Source: http://newatlas.com/3d-printed-office-dubai-completed/43522/

Technology has facilitated automation and innovation in the construction industry. Keen to be a part of this evolving industry? We can help. We are one of the leading construction executive recruiters in Florida. Get in touch with us at http://www.constructionhunters.com/contact/

5 Highly Effective Ways To Motivate Your Employees

Posted on Friday, August 5th, 2016 at 6:00 am    

Behind every successful business stands a dedicated team that’s worked relentlessly to grow the company and achieve the organizational goals. However, as a manager you probably know the best that building highly motivated teams isn’t as easy as pie. How do you motivate people who don’t want to put in the work? How do you pump up a flat team? Before we answer these questions, let’s check the findings of SHRM Employee Job Satisfaction and Engagement study conducted in 2015.

top-engagement

Only 69% team members feel that they are giving full effort into their work. But, there’s always scope for improvement.

How do you motivate your employees so that they put in more efforts?

You do not need any magic potion and resources to give that extra push to your team members. Here is how you can get started:

1. Communicate. Communicate and Communicate

“An employee’s motivation is a direct result of the sum of interactions with his or her manager.”- Bob Nelson

Do not limit yourself to a few emails; be the leader whom your team members can approach. Spoken words work wonders when it comes to waking up the spirit inside your team members. Skilled entrepreneurs are good communicators. They know how to deliver a bad news to the team members and use it as an opportunity to motivate them.

2. Set an Example

“The most powerful leadership tool you have is your own personal example.”- John Wooden

Do you want your team members to be always excited about their work? If yes, lead by example. Successful construction executives are always enthusiastic about the task at hand which makes their team members feel motivated to work hard and give their best shot.

3. Give Them Opportunities for Self-Development and Advancement

Team members feel motivated when they know that they are not only working for accomplishing company goals but, also for their career growth. Motivate your employees by offering them opportunities for learning new skills.

4. Reward Them for Their Efforts

“People work for money but go the extra mile for recognition, praise and rewards.”- Dale Carnegie

Rewards are nothing but a way to recognize the efforts the team putting to meet the company goals. From pizza parties, cash rewards to other incentives such as a paid day off and gift cards – you can reward the performers in your team in as many creative ways as you can imagine!

5. Empower Your Team Members

Give employees some leeway in deciding how to do their job. Empowering the team members will motivate them and connect them more with the job in hand. Conduct regular meetings. Take their advice and implement them. Give them the authority to take their own decisions. Here is what Jim Goodnight, CEO of SAS said about employee empowerment: “treat employees like they make a difference and they will.”

Gaining a strong understanding of what motivates people will help you get the most out of them. Hope you’ve found these tips useful.

If you are looking for construction executive recruiters in Texas or any other state, get in touch with us. Call us at 214-935-3626.

*Source: https://www.shrm.org/hr-today/trends-and-forecasting/research-and-surveys/Documents/2015-Employee-Job-Satisfaction-Engagement-Spotlight.pdf

Subsectors Under Heavy and Civil Engineering Construction

Posted on Tuesday, February 17th, 2015 at 1:28 am    

According to the North American Industry Classification System, the Heavy & Civil Engineering Construction has some subsectors that comprise of all those establishments whose main activity and function is to undertake the construction of the engineering structures like dams and highways. The main function of the construction employment agencies is to take care of the production of all those components that are required for completing the engineering projects like the ones mentioned above.

The construction recruitment agencies in this industry perform only those activities that are specifically meant for the heavy and civil engineering construction projects and not for the official or residential buildings. The constructions tasks may include the alteration, new construction projects, addition, maintenance or even repairs.

The sub sectors in the Heavy and the Civil Engineering construction consists of the below mentioned industries:

  • Highway, Bridge Constructions: NAICS 2373
  • Utility System Construction: NAICS 2371
  • Other heavy and civil engineering construction: NAICS 2379
  • And Land Subdivision: NAICS 2372

The statistics of the work force

This category will provide all the information that are related to employment in the industry of heavy and civil engineering construction. The below mentioned data are sourced from the different establishment surveys and the employers. The below mentioned tables also provide an overview of the heavy and civil construction industry along with details like data, jobs, occupations that are common to this industry and also projects the employment changes that are related to occupation:

1

2

Earnings and the work hours

This category of tables will showcase the earnings and the weekly hours that the employees of the industry put in regularly. The table is prepared keeping in mind the latest average of hourly earnings and the weekly hours that are put in.

3

Is Construction Hiring Surging?

Posted on Friday, February 13th, 2015 at 6:44 am    

The construction industry is facing an all time boom with sky scrapers, bridges, flyovers, roads as well as architecturally innovative buildings being constructed worldwide. With this boom, the construction hiring is surging too, since with every new contract of construction there is a need for talented and proper workforce. But with so much competition amongst the giant construction players within the industry it is indeed difficult to find and recruit good manpower. If you also own a construction company, instead of trying to find construction workforce for your company, outsource the task to the professionals who usually have a databank of construction workforce to cater to the needs of construction companies.

Construction placement services works as great points of contact between construction companies looking for proper manpower and construction workers looking for suitable jobs. Without this platform offered by the construction recruiters, it would have been difficult not only for the construction companies to find proper construction workers but construction workers would not find the job they deserve, even in this age of the construction boom. Hence if you are a construction worker, you too should take the help of construction placement services for finding suitable jobs that not only pays well but offers great job satisfaction too. Most reputed construction placement agencies would make a construction job to worker fit before selecting the candidate to be sent to a company.

By carefully analyzing a job requirement against the qualifications of a candidate, the construction recruiters ensure two things. Firstly, that the candidate is perfect for the job, thus reducing the overhead of the company and secondly, that the job is suited to the qualifications of the candidate, thus ensuring job satisfaction for the construction worker. Without this point of contact, namely the construction recruitment firms, the construction companies would end up hiring candidates that are below average and spend a fortune on training whereas the good candidates would be stuck at jobs that are below their qualifications. The construction recruitment companies ensure that the construction companies and the construction workers find each other.

With new construction companies getting into the construction industry every day to reap the benefits of the construction boom, the construction hiring is expected to surge even further. Hence it is a field that can be extremely fulfilling for anyone thinking about a career in construction industry or anyone considering starting a brand new construction business.

Top Ten Buildings We’re Looking Forward to in 2015

Posted on Friday, February 13th, 2015 at 6:36 am    

The year 2015 can well be called the year of incredible skyscrapers with amazing new buildings that are over 1100 feet high set to unveil before the end of this year. There are innovations in construction of buildings that are closer to ground too. Given below are the 10 buildings we are looking forward to in 2015. The list has both skyscrapers as well as buildings that are shorter in height but equally fascinating.

1. 432 Park Avenue in New York, USA by Rafael Vinoly
2. Louvre Abu Dhabi in Abu Dhabi, UAE by Ateliers Jean Nouvel
3. Deutsches Fussballmuseum (German Football Museum) in Dortmund, Germany by HPP Architects
4. Capital Market Authority Tower in Riyadh, Saudi Arabia by HOK
5. MahaNakhon in Bangkok, Thailand by Ole Scheeren
6. Taipei Performing Arts Center in Taipei, Taiwan by OMA
7. Federation Tower in Moscow, Russia by Sergei Tchoban and Peter Schweger
8. Shanghai Tower in Shanghai, China by Gensler
9. World One in Mumbai, India by Pei Cobb Freed & Partners
10. Shimao Wonderland Intercontinental in Songjiang, China by Atkins

There are other buildings coming up all around the world that are architecturally brilliant in their own way. This just goes to prove that the construction industry is flourishing, to say the least, all through the world. If you own a construction business, this is the time to make profit by taking advantage of this boom in the construction industry. But to really reap the benefits of this construction boom, you would need proper workforce to support your construction business and to take it forward. With this growth, the demand for talented construction workers has increased too. This is where you need to take the help of professional by hiring the services of construction executive search firms.

The competition to get talented workforce would mean that you might have to end up settling for a below average working team, which would harm your business. Hence instead of taking chances, hire good construction executive search firms who can find the most talented and best construction workers to work in your construction business. If you are a construction worker you too should reap the benefits of this opportunity of construction boom to find perfect construction jobs. Instead of trying for yourself seek the help of construction job recruiters. These construction job recruiters would ensure you get the perfect construction job that you deserve.

Five Useful Strategies to Securing Permanent Position in Construction Field

Posted on Friday, February 13th, 2015 at 6:09 am    

Construction businesses are always in requirement for skilled personnel. Whenever a project is in the pipeline, search is on for skilled labors and in often cases they team up with construction staffing firms who can cater to this demand on a regular basis. However, it is important to remember that most of these requirements are random and hence most companies refrain from hiring employees on permanent basis. In most cases they simply team with the outsourcing agency that provides workers on temporary or contractual basis.

If you happen to serve any such organization and want to go up to the next level, it is essential that you secure a permanent position in the organization. But how do you go about it? Here are some time tested tips and suggestions that can help you get noticed before the company management and improve your position a notch high!

    1. Be enthusiastic about your job: Just as it is important to do your job right, it is simultaneously important that your enthusiasm about your job reflects in your attitude, behavior. That would definitely create a positive impression in the eyes of the management. Remember that whenever you are being appointed, you are under observation from day one. Be enthusiastic; be knowledgeable about the latest trends and developments in your industry. This would surely make your prospective employer feel that hiring you would be an asset to the organization.

 

    1. Follow safety protocols: Remember that construction job requires you to follow certain mandatory safety protocols. Make sure that you are not insincere about these and abide by them. That will help your employers feel sure that hiring you would not add up a liability to the business.

 

    1. Be watchful of the new requirements: It is important to be aware of the requirements that arise in the business…employees may depart or sudden emergency requirement for permanent position may come up in the course of project. Whenever you think that there is an opportunity, do not hesitate to approach your manager for the same. Your forthright attitude would surely be appreciated and that can actually help your get selected for a permanent role.

 

    1. Be a team player: Always be a part of the team…befriend your team members, be a part of daily meetings and do not hesitate to help out a team member in case if he is in  need at his job.

 

    1. Be flexible with your timing: It may so happen that there is a sudden requirement for a job and it falls outside your work schedule. If you think you can accommodate to the timings, do not hesitate to offer a helping hand. Being flexible with your timings helps you be in the good books of your manager.

 

If you are looking to hire executives for construction jobs, get in touch with construction headhunters now.

Renewable Energy Changing Job Course in America

Posted on Monday, January 12th, 2015 at 8:16 am    

Due to the growth of a number of industries in the USA, renewable energy jobs are also growing in leaps and bounds in almost all sectors including maintenance and installation. With the right skills in appropriate locations, workers are able to find the right jobs and grow in their careers. The growth of this industry will lower the energy costs for all and create more jobs for the people of this nation. The lines below will give you a deeper insight into the renewable energy job industry.

Growth in Renewable Energy Job is Unbelievable:

Environmental Entrepreneurs observed that in the U.S. 80,00 0 clean energy jobs were created in the year 2013, to which another 36,100 were added by the first 3 quarters of 2014. There was a 20% growth in the number of U.S. solar industry jobs last year, rising to 143,000 (as stated by The Solar Foundation). This figure is 10 times more than the National Average Growth Rate. 2014 may witness a growth of further 16%, making the number rise to 165,000. So, it can be concluded from the above that the renewable energy job growth is strong- the costs keep falling as the industry keeps growing.

Where to Find the Jobs?
Majority of the renewable energy industry has present concentration in the south western U.S.A. and Hawaii. An astounding figure of 15,397 renewable energy projects are either announced, in operation or under construction in California alone. It is closely followed by Texas with 6,368 projects and then by Hawaii with 5,748 projects. Here it must be noted that Hawaii is the leader in solar rooftop systems per capita which makes it a huge employment driver in the renewable energy job industry.

Changing The Course of Jobs in America:

The growth of jobs in double digits can be impressive for any type of industry. However, in case of renewable energy, this may be the starting point for a long-term job trend. The GTM Research says that 67% of the new electricity generation that is built in the U.S. in 2014’s first half was either solar or wind based. As the need for installations to grow rises due to the shutting down of coal plants as well as nuclear plants, jobs in this sector keeps growing.

The sector of renewable energy has become a booming business and this has created a big opportunity for job seekers and investors alike. If you looking to for construction executive recruiters consult with Construction Hunters today.

What Real Estate Trends to Expect in 2015- Part 1

Posted on Friday, January 9th, 2015 at 2:05 am    

The emerging trends in real estate for the year 2015 has unfolded and is inclusive of survey responses and interviews from several real estate experts such as developers, investors, lenders, property company representatives, consultants and brokers. Check out the trends predicted for 2015.

Changes in Renting and Homeownership:

Although, the millenials will continue to opt for rented apartments and postpone homeownership, affecting the apartment sector for many years to come, several survey interviewees opine that investors need to study how the millenials will change their housing preferences in the 2020s. The report also anticipates that the emerging smaller “Generation Z” will result in industry changes. As the real estate industry prepares itself for the 2020s, it must plan for a country with fewer new consumers, smaller number of workforce entrants and lesser household formation. Another important point noted in the report is that baby boomers (as retirees and workers) will not cease to create impact on investment and development of the real estate industry for the coming two decades.

Emergence of The 18-hour City:

As America continues to urbanize, it becomes the place of origin for many cities that were labeled as nine-to-five. Interviewees say that the concept of being alive round the clock all through the week including weekends, is not restricted to coastal cities alone. Today, downtowns have transformed and is a combination of key ingredients such as retail, housing, walk-to-work and dining. All this has resulted in generation of urban cores, spurring development and investment as well as rise in the quality of lifestyle that can match the roster of cities. More market options are now available for buyers as the 18-hour centers are including elements to rachet up the flow of investment capital.

Job Growth will Gain Prominence:

It is also stated in the report that the forward-looking business enterprises are now realizing that during the time they were worrying about ‘jobless recovery’, the long-term labor market trends kept moving the opposite direction. The highest point for millennial labor force entrants is long gone while retirements are due to accelerate. As a few years pass by, talks will center around labor shortages instead of surpluses. The labor market’s primary rule will become “jobs are chasing people”. Survey respondents have placed job growth at number one in the list containing issues for real estate, with concerns of wage and income growth in second position.

We’ll be back with more on real estate trends to expect in 2015.

Importance of Recruiting in the Construction Industry

Posted on Thursday, November 15th, 2012 at 6:05 pm    

The building construction industry is a fast-paced industry that is constantly changing. It is important for companies in these industries to stay up-to-date with these growth changes by making sure qualified individuals are holding key positions in the companies. Due to the high-speed nature of this industry, companies are not always able to recruit for these high-level positions on their own.

Construction head hunters are available to find the right candidates for these positions. An agency that specializes in construction executive recruitment can take the pressure off of the construction company in relation to the hiring process. Construction Hunters is a construction recruitment agency that specializes in finding candidates for positions, which include:

  • Project Executive
  • Chief Estimator
  • General Project Manager
  • Project Manager
  • Superintendent

In order to successfully match a candidate to a construction company, many factors are considered. One factor that is part of the equation involves deciding whether or not a potential candidate is interested in a specific field of the construction industry. These fields can include engineering, renewable energy, and architecture.

If your company has open positions in the building construction industry to fill, you should consider hiring a professional recruitment agency to meet your needs. Please contact the construction recruitment agency, Construction Hunters, by calling 214-989-6846 today.