It is almost as if the construction industry is scrambling to find the panacea that will turn around its fortunes. Amid all the headlines forecasting doom and gloom with regards to Brexit, and reports highlighting less than impressive output, digital transformation consistently comes up as a suggested solution to the industry’s problems. But is it?…
The announcement of a 9 month delay to the opening of the much anticipated new Crossrail project in London, not only made headlines in July 2018. It also highlighted a major concern in the infrastructure industry: Governments inability to deliver on major flagship infrastructure projects. With cost over runs in excess of £600m, it’s certainly…
In decades past, industry performance was gauged by how the big players were performing, and since 2008 there have been few positive results. However, a new trend is emerging, with mid-size contractors showing higher margins and better productivity, despite the continuing challenging economic times. It’s been a wake-up call for the industry, and particularly tier…
Back in 2009, when the idea of a high speed railway linking the north and south of Britain was introduced, it sounded like a fine idea. It would cut travel time between major commercial centres and provide much needed infrastructure and investment all along the route. However, 10 years down the line the project has…
As many of the tier one contractors continue to post poor profit margins the question can be asked: Are the top execs really earning their keep? Interserve’s CEO came under fire earlier this year for drawing a large bonus when the company continued to report massive losses. Compare the tables below against financial results in…
If contractors thought their margins were tight before, they’re about to get worse. As the Brexit deadline looms and the governments are no closer to a deal, companies are being warned that they should prepare for the worst. But what does this “worst” look like and what will be the direct impacts on profits? Supply…
While a great deal of noise has been made about retentions and late payments in recent months, it seems not a lot has changed. Despite promises to the contrary, subcontractors are still feeling the pressure of balancing cash flows. With the biggest main contractors reporting slim to no profits the chances of them making good…
As Carillion has shown, posting large profits isn’t necessarily the best measure of success. Just months after doing just that, they closed their doors, the impact of which is still being felt in the industry. So if profits or even revenues aren’t the best measure of success, what is? What will give clients and subcontractors…
The construction industry has taken a couple of hard knocks this year and while in some sectors prospects are looking up with increased output and funding becoming available for major infrastructure projects, contractors are not nearly out of the woods. With the recent report on the top 100 contractors reflecting poor profits it is clear…
While the news carries reports of continued failure of Governments on both sides to reach agreement terms for Brexit, the deadline continues to creep closer. In just over 7 months, with or without an agreement in place, Britain will no longer be part of the EU. And exactly what this will look like in business…
When considered, the construction industry is firmly entrenched in very traditional models of leadership. Ones that often take a very hierarchical and supervisory approach to managing teams. Communication is often a one way street with instructions being issued that need to be followed rather than discussion being encouraged. However, it’s becoming abundantly clear, given the…
London is soon to follow in the footsteps of several other major cities. TfL has announced its plan to provide commuters with WiFi connectivity on the London Underground from 2019. It’s great news for commuters but making the business case work for contractors is going to be a little harder. Various attempts have been made…
