Bennett
Thrasher and Kennesaw State University (KSU) released their third annual Georgia
Construction Outlook Survey last
week, and I can’t say we are surprised by the results. The survey was led by
Scott Hazy and Tom Jollay, co-leaders of Bennett Thrasher’s construction practice,
along with Khalid Siddiqi, chair of KSU Department of Construction Management.
They got responses back from 149 Georgia-based privately-held construction companies,
probably including a number of eVolve MEP Software clients.
“Recruiting
and retaining qualified individuals remains the top challenge for the
construction industry,” said Siddiqi. “However, it is encouraging to see that
the number of organizations focusing on innovation and technology continue to
rise as we address this significant issue.”
On behalf of
eVolve MEP Software, we have posted multiple blogs and articles highlighting
the ongoing labor shortage issue in our industry, and it was encouraging to see
this study where the industry is focusing on innovation and technology as one
way to deal with this issue. eVolve MEP was built to help electrical
and mechanical contractors save time while making the move to Revit and
pre-fabrication. Our clients know they have to move forward into Revit, and we
offer them training and consulting to move their companies forward before they
are passed by more tech savvy competitors.
Another
interesting finding that surprised us was that respondents reported an average
gross profit margin of only 11%. This seems almost 50% below the national
average of 20%. What do you think the reasons are for this margin pressure? Is
it rising material costs? Labor shortages? Have you looked at pre-fabrication
and the move to Revit? Let us know your thoughts. Reach out to give us some of
your ideas on how to move the margin meter higher and how you are attracting
new talent. We look forward to serving you and learning more about your company
needs.
Don’t forget to share this post!