Economic cycles often result in systemic changes in the A/E/C industry. Looking two years out, clients will expect more value through cost-effective solutions that enable them to more effectively deliver on their mission.

Economic cycles often result in systemic changes in the A/E/C industry. Looking two years out, clients will expect more value through cost-effective solutions that enable them to more effectively deliver on their mission. Successful firms will focus more narrowly on specific client sectors, but provide a broader range of services.

With more pressure for greater value from the project delivery system, there will be greater integration among the planning, design, and construction activities. This will include more single source design-build as well as more strategic partnerships between designers and contractors. Those firms capable of delivering creative design along with speed will prevail. We envision continued strength in the Healthcare, Science & Technology, and Higher Education sectors. Corporate Industrial will make a comeback while Corporate Office will remain slow. Projects for the Arts, a strength of our firm, will be slower for a while due to lower endowments and reduced contributions.

For years, we’ve operated with a flat organizational structure to encourage entrepreneurial principals to focus their energy where the work is. In response to the marketplace, several of our firm’s principals are changing their focus to the sectors most active for us–Healthcare and Science & Technology. We will continue to broaden the firm’s resources through the addition of more professionals having expertise beyond that of the traditionally defined architect or engineer. For example, we have licensed healthcare professionals and strategic planners on staff. We expect to add more people in non-traditional roles for even greater impact to our clients’ bottom lines. Winning new work will continue to be more challenging and we will be increasing our investment in marketing

We want to be nationally recognized as a leading design organization through creating an authentic HGA experience that is without equal. We believe our success depends not only on excellent design, but also in providing a unique and memorable experience so our clients will recommend us to their peers.
We expect backlog will begin to rise midway into 2004. Because hiring and training good employees is costly, we hope to maintain our current staff size of 500 employees through the first half of the year. Similar to many other industries, we have experienced productivity increases as a result of technology. Going forward, we expect to see revenues grow at a higher rate than staff size.

—Steve Fiskum, COO
Hammel, Green & Abrahamson
Senior Fellow, DFC