- Why Should New Construction Businesses Start Learning from Larger Companies?
- Bechtel Corporation
- Fluor Corporation
- Turner Construction
- The Whiting-Turner Contracting Company
- Kiewit Corporation
- Skanska USA
- PCL Construction Enterprises Incorporated
- McDermott International Incorporated
- DPR Construction
- Using Construction Software for the Business
According to a survey conducted by Small Business Trends in 2019, 23% of new entrepreneurs decided to pursue a career in their respective industries because of their passion. When someone is excited about something they love doing, it becomes an incredible thing for the newfound business. For those entrepreneurs starting a construction business, it would be safe to say that the industry is both a tough and promising place. The business trends in the sector continue to be complex—depending on different factors that create an impact on the decision-making processes of the construction business. But despite these things, the industry is a relevant aspect of the business flow of the various markets, and it will still go like this for many years.
For newly established construction businesses, it is essential to utilize various tools and marketing strategies in the market to become a better competitor in the field. Besides these materials, construction companies should take time to learn new techniques and do research on the approaches that helped varying companies succeed in the industry. Reading and analyzing content from others does not mean copying it; instead, it means learning new ways of transforming the business to meet expectations. This article will talk about the top construction companies in the industry and some important notes that make them the relevant enterprises in the market.
Why Should New Construction Businesses Start Learning from Larger Companies?
When somebody has plans to launch their own clothing line or restaurant chain, they have to consider many things that matter to the business. From proposals and plans to the number of new hires, it all comes down to the decision of the owner. But not all their choices come from their personal perspective of things. At other times, these businesses need a guide to make sure that the decisions they make will benefit the company. Without some form of guide or manual, companies will meet more challenges than what they would be expecting in the first place.
In the construction industry, newly established construction companies should take the opportunity to look at the success of larger enterprises and learn from their experience. Why should these growing businesses do this step? The answer is simple. By learning the ropes and methods used by other companies, new construction businesses can formulate their own plans to achieve their predetermined goals. Having a guide when making project proposals and cost estimations will make the job easier for those starting in the business. Although it does not entail spoon-feeding the processes, it is a practical step for new companies to take—learning and then applying it to the operations within the business. So, here are the top ten construction companies that new construction businesses have to remember. While learning the procedures of well-known enterprises, new companies can also learn ways to improve the transactions happening in their business.
What started off as a frightening step for Warren A. Bechtel turned out to be the best decision he ever made for himself and his family. Bechtel Corporation was Founded in 1898, the company had no contracts, and it was only Bechtel doing construction jobs for other businesses at that time. However, in the early 1900s the construction business started getting deals—starting with railroad contracts. From then on, the enterprise began its growth in the industry. With 122 years of experience, the company is a remarkable epitome of strength and endurance. Moreover, the corporation topped the prestigious ENR’s (Engineering News-Record) Top Contractor List for the past 21 consecutive years. Thus, maintaining its hold as one of the most trusted construction companies, not only in the US but also on an international scale.
Some of the significant projects that the company has undertaken over the past years are Hoover Dam (Colorado), Channel Tunnel (United Kingdom-France), Athens Metro (Greece), Tacoma Narrows Bridge (Washington), and Riyadh Metro (Saudi Arabia). Importantly, the construction company created a confinement structure for the Chernobyl Nuclear Power Plant. In 2017, the revenue of the company amounted to almost $26 billion. Most people can find the name of the construction firm in construction magazines all over the globe.
With offices in 25 countries, Fluor Corporation is one of the world’s leading construction corporations in the industrial and petroleum sector. Several of the operations that the firm conducts take place in areas where natural resources are mostly found—since the focus of the company is on oil, gas, and industrial works. Going back a few steps, the corporation began in 1912 with the efforts of John Simon Fluor and his $100 savings money. Over the years, the company grew and withstood not only the Great Depression, but also the World War. In fact, during the war, the business was booming for them.
Nevertheless, it is essential to note that the enterprise has either merged or purchased other smaller or larger firms, namely Daniel International and Stork. Even with its holdbacks and losses, the community placed their trust in the company. Some notable works that the company has done for the community are the Buddha Tower (California), Escondida (Chile), cooling towers for the Manhattan Project (Washington), Trans-Alaska Pipeline System (Alaska), and Aladdin Hotel & Casino (Las Vegas). Besides this, the firm also do cleanups for nuclear wastes. As of 2018, the income of the company is $19 billion.
Turner Construction, a subsidiary of the German construction company Hochtief, launched in 1902 under the supervision of Henry Chandlee Turner. Operating globally, the construction firm is part of the top five largest construction businesses in the United States alone. Its parent company, Hochtief, is a leading influence in the construction industry.
Being backed by an established construction company, Turner Construction had a capital sum of $25,000 to start the business proceedings. After some time, the firm became a household name after pioneering the utilization of reinforced concrete in the formation of the buildings. This process, which made the structure of establishments better and more secure, helped in boosting the visibility and reliability of the company. In addition to that, the corporation also places tremendous efforts on being “green build” contractors, meaning most of its processes are sustainable and healthy for the environment. For ten consecutive years—the tenth year being in 2018, the business topped the ENR’s Green Building Contractors. The award is for contractors that use sustainable processes, designs, and plans for their projects.
Here are some remarkable projects that the construction company completed over the years: Breakers Hotel (Florida), Franklin Field (Philadelphia), Burj Khalifa (United Arab Emirates), and Madison Square Garden and Manhattan West Platform (both in New York). After 112 years, the company is a recognized talent in the country but also around the globe. For now, the estimated profit of the business is $13 billion.
Unlike many of its competitors, AECOM—formerly known as AECOM Technology Corporation—began its operations in 1990, more than five to seven decades behind other construction companies in the nation. Despite being relatively “young” in the industry, the company has proven its worth and competence. The multinational engineering company was the byproduct of Ashland Oil and Refining Company, a chemical company that commenced operations in 1910. With the involvement in highway construction and petrochemicals, the idea of AECOM came into mind. In 1990, AECOM launched and acquired five similar companies. And in 2007, AECOM became a publicly traded entity in the stock exchange market.
AECOM, which stands for Architecture, Engineering, Consulting, Operations, and Maintenance, encompasses many feats in the construction industry. Moreover, the enterprise engages in IT Security, Archaeology, Risk Management Planning, and Environmental Services. Since the company embarked on other fields related to its nature of work, the revenue has amounted to roughly $20 billion, more or less.
In almost three decades in the industry, here are some of the noteworthy projects completed by the company: AT&T Stadium (Texas), Jinji Lake Waterfront (China), Lakhta Center (Russia), Liverpool One (England), Miami Worldcenter (Florida), and Samsung Medical Center (South Korea).
The Whiting-Turner Contracting Company
The next corporation is not in any way related to the aforementioned Turner Construction. The Whiting-Turner Contracting Company started operating in 1909 under the management formed by M.I.T. classmates, G.W.C. Whiting and LeBaron Turner. Focusing on the general contracting services for different businesses, the company became a conglomerate in the country. The enterprise also contributed their exemplary work ethics and customer-friendly attitude in the fields of science and technology, health care, microelectronics, and education. In 1938, the company employed Engineer Willard Hackerman, who, in the later years, forefronted the growth and visibility of the contracting company—making it a respectable enterprise in the business.
Whiting-Turner Contracting Company constructed some famous landmarks in Baltimore, US, namely, M&T Bank Stadium, National Aquarium, and the Meyerhoff Symphony Hall. In addition, they also are the contractors of Fort Worth Zoo and Ventana by Buckner (Texas), Porsche North America Headquarters (Atlanta), and Bayhealth Sussex Campus (Delaware). The company received an annual revenue of $8 billion.
Established in 1884, the Kiewit Corporation was originally known as the Kiewit Brothers Masonry Contractors. When the masonry business prospered, it turned into to general contracting and acquired larger projects. After some changes in leadership, expansions, and dissolved partnerships, the company became an employee-owned and private business with long term workers awarded with shares in stocks. Later on, it had other departments and subsidiaries, decentralized and separated from the corporation, to meet and direct the operations of the company. The corporation boasts of its ability to compete among hardcore and well-known construction business in the industry. Besides this stature, the contractor also takes on smaller projects in different states.
In 2018, the revenue of the construction company totaled $9 billion. Furthermore, the enterprise is a consistent figure in the list of ENR’s 400 Top Contractor List. These are some of the most significant contributions of the company in the community: Purina Cuautitlan Petfood Plant (Mexico), Riley Ridge Gas Plant (Wyoming), Whittier Access Tunnel (Alaska), Duke Point Ferry Terminal (British Colombia), and Gillette Stadium (Massachusetts).
Sweden is the birthplace of one of the most popular construction companies in the world—Skanska. The company, as considered by Construction Global magazine, is the fifth most prominent entity in the construction industry today. With over 133 years of service to millions of people in different countries, the construction business remains to be on top. In its efforts to expand internationally, Skanska USA came into the market in 1971. Although not considered a subsidiary of Skanska group, Skanska USA is still part of the association.
Employing more than 9,000 people, Skanska USA continues to be a relevant name in the industry. It has clients and projects in the fields of aviation, education, sports, government facilities, and transportation. The construction company also engages in environmental efforts to be a green build contractor. In fact, the enterprise was the number one “green builder” in 2007. For 2018, the estimated revenue of the business reached $7.5 billion. In forty years, the business completed these excellent projects: Beaverton School District, New Middle School (Oregon), Fifth Third Arena (Ohio), JW Marriott Nashville (Tennessee), and Juno Therapeutics Headquarters (Washington).
PCL Construction Enterprises Incorporated
The enterprise, founded by James Martin and Ernest Edward Poole in 1906, started operations in Stoughton, Saskatchewan. After a few years, Martin retired, and Poole continued the work. Renaming it, Poole Construction Company Limited, the founder moved the headquarters to Alberta. In the US, the company opened PCL Construction Enterprises Incorporated, an independent part of the PCL group. Located in Denver, the corporation acts as the “parent company” for smaller businesses operating under the designation or eye of the enterprise. Moreover, the business center on three markets: heavy industrial construction, civil infrastructure, and creating commercial establishments. For a 2018 review, the construction company had a $6.9 billion profit.
McDermott International Incorporated
For the first several years in the industry, the business worked on oil explorations in Texas. In 1937, they shifted their attention and hired a construction crew to expand the business. From then on, the company took more roles and produced various products and services for the public. McDermott International Incorporated, coined at the start of the 2000s, has three primary operations. Together with its subsidiaries, the corporation conducts power generation construction services to clients and marine oil field construction in selected areas. At times, the construction company also manages nuclear power plans and does maintenance checks. The company also owns several maritime fleets.
With a revenue of $6.7 billion, the international company continues to stay intact and unmoved int the rankings of the top ten construction companies listed by ENR. Some of the relevant projects completed by the enterprise for the past 97 years are Angelin (Trinidad & Tobago), City of Albany Clarifiers (Georgia, USA), Gorgon Subsea Project (Australia), Indonesia Ammonia Export Terminal (Indonesia), Siakap North-Petai (Malaysia), and South Caucasus Pipeline (Azerbaijan).
Another newcomer in the construction industry, DPR Construction, has proven to be a strong competitor in the field. Established in 1990, DPR was the acronym of the three co-founders, Doug Woods (D), Peter Nosler (P), and Ron Davidowski (R). In the next ten years since its founding, the construction company grew immensely, and the capital ($750,000) doubled. Before the end of the tenth-year mark in the construction industry, the enterprise reached the $1 billion mark. Besides its outstanding and high-quality service, DPR Construction also gives opportunities to selected children to have a better education. As an effort, they allocated and granted $900,000 to chosen youth organizations.
After almost 30 years in the market, they gained both attention and recognition. Presented here are some of their award-winning projects: Library of Congress, National Audio-Visual Conservation Center (Virginia), The Biodesign Institute at Arizona State University (Arizona), Coda (Georgia, USA), Palomar Medical Center (California), and Global Switch Singapore Data Centre (Singapore). The profit of the company is $5.9 billion in 2018.
Using Construction Software for the Business
The construction business utilizes different forms of tools to function well. Besides the practice of using business plans, marketing strategies, and adapting approaches to minimizing wastes and increasing profits, the companies also have to relate to the changes in the technological aspect of the business. The importance of technology is unwavering since the invention of computers and the creation of the internet. With access, construction corporations can easily find ways that match their objectives and find the right audience for their advertisements. Construction software that assists planners, contractors, engineers, and architects with the pre-construction, construction, and post-construction processes also aids the delivery of these companies. As a whole, new businesses should take the time to learn the technologies that help construction businesses flourish in the industry.
All construction projects start with the construction bidding—and some other pre-construction processes chosen by the client. When the owner decides the contractor for the project, it entails various decision-making processes and goal-setting strategies. As a contractor, the responsibility of having resilient and reliable project management is essential. Without proper tools and a professional team, the project will face many challenges. For new construction companies, it is vital to choose people who can manage their own work even with the pressures of external factors. Building a trustworthy and competent management team will help boost the strengths of the company. As always, forming and sustaining the inner lines of the business has benefits in the long run.