Engineering Services

Engineering Services

Brief Excerpt from Industry Overview Chapter:

Companies in this industry apply engineering principles to design and develop structures, systems, and processes. Major companies include AECOM, Bechtel, and Jacobs (all based in the US), along with Abengoa (Spain), Babcock (UK), SNC-Lavalin (Canada), Wood (UK), and Worley (Australia).

COMPETITIVE LANDSCAPE

Success in the engineering services industry requires efficient bidding and cost controls. Customers are more knowledgeable about costs and are breaking up projects into smaller elements -- potentially reducing efficiencies of scale -- and are expecting contractors to take on the bulk of cost risk, according to PricewaterhouseCoopers. Reduced government and commercial spending on infrastructure and construction projects during times of economic or political discord can diminish bidding opportunities.

PRODUCTS, OPERATIONS & TECHNOLOGY

Major engineering services include construction design and management, industrial process design, systems engineering, and maintenance and operations. Transportation projects as well as consulting services account for about 30% of the industry's revenue, each. Followed by commercial, public, and institutional building projects which accounts for about 20%. Other services include highway and roadway projects and new commercial, public, and institutional building projects.