Are the signs looking better for a recovery?

Recent slowing of commercial construction amongst residential, banks and financial firms has led to fewer quality projects. Companies and institutions, that enjoyed the good times of the early millennium, expanded their operations. Growth in workforce numbers led to more need for space, but their lack of growth now, and perhaps for some time, contributes to the continued decline of the commercial construction sector. Quiet for the last five years, the economy and construction sector may see new investment as a falling dollar makes investing in North America, attractive to foreign firms, particularly European. If the dollar is likely permanent, and oil prices may only fall back to $80 to $90 per barrel, this may contribute to more sustained growth through the next 5 years.

Latest statistics show a possible levelling off in the sector decline: http://www.agc.org/cs/industry_topics/construction_economics – let’s keep our fingers crossed, and monitor the sector position over the coming months.

During the leaner times all constructors need to watch their costs and focus more internally, and this has been the case for the past few years during the tough economic conditions.

Commercial and residential building sectors cover increasingly complex processes of construction administration: legal requirements creep upwards, operations of design through build change to incorporate new techniques. Strong construction administration is therefore essential for good management to bring projects to completion safely, on time and within budget.

Construction management covers key topic areas including: cost estimating with project financing; construction techniques; human resource management and material resources; construction law and regulations; conflict resolution and legal matters; environmental safety, green and conservation issues.

Operations management of construction work is best automated: financial accounting systems provide the best automation to handle the administration more easily: providers include Sage, Coins, and Integrity Software for construction software. Being on top of the admin allows for focus on the front line construction work at hand, and keeping customers happy.

Operations skills require their own special skills, and expertise is something that the leaner ‘down time’ of poorer economic conditions might allow more training to improve. Use the time wisely before the order book becomes full again: hopefully.