Engineering firms and engineering/architecture firms—those that earn more than 50% of their revenues from engineering—have their sights set on foreign shores. Many are jumping headfirst into international waters.
“Instead of overseeing projects from New York, our firm has established offices in Mumbai, Moscow, and other cities outside North America, aiming to overcome the challenge of navigating the local landscape or hiring practices, tax law, and business practices,” says Thomas Z. Scarangello, PE, CEO and Chairman of EA Giant Thornton Tomasetti.
Other firms are just dipping their toes into foreign waters, still looking for international business but choosing not to establish additional offices. Brad Harmsen, AIA, Chairman/CEO of BRPH, says that although his firm is actively working in locales across the globe, they’re partnering with domestic firms to do so, partly because of “the learning curve that comes when working with different currencies and legalities.”
SCROLL DOWN FOR GIANTS 300 ENGINEERING & ENGINEERING/ARCHITECTURE FIRM RANKINGS
Shanghai and Dubai are hot spots for E and EA Giants these days. Glumac, Magnusson Klemencic Associates, and Syska Hennessy Group have opened or expanded their offices in Shanghai. KJWW and Syska Hennessy opened new offices in Dubai. Thornton Tomasetti bucked the trend and opened offices in Beijing and Riyadh, Saudi Arabia, while Arup Americas opened new offices in São Paulo and Rio de Janeiro, just in time for soccer’s World Cup in 2014.
Establishing an office abroad is one thing; getting the business is something entirely different. Referring specifically to the Middle East, Paul VanDuyne, PE, president of KJWW, says, “It takes approximately two years to develop the appropriate relationships, name recognition, and reputation to be successful in obtaining projects in this region.”
Despite the difficulties, an increasingly large share of engineering Giants’ yearly revenue is coming from international projects. Magnusson Klemencic President Ron Klemencic, PE, SE, says that 20-30% of MKA’s gross revenue comes from international business, while KJWW anticipates that 10% of its 2013 revenue will come from international projects. Syska Hennessy Group’s goal is to beef up its international activity by 25% over the next five years.
KEY ROLE OF TECHNOLOGY
Beyond establishing an international presence, technology is also a crucial differentiator for E and EA Giants firms.
Syska Hennessy Group’s new Information and Communications Technology group is offering an expanded scope of services for organizations looking to upgrade their IT platforms with the latest technologies. “Our new offerings include tools and expertise to apply virtualization of existing client environments, data center relocation management, disaster recovery and IT security services, and network and Internet/intranet design and implementation,” said Co-CEO/Co-president Cyrus J. Izzo, PE.
Thornton Tomasetti launched a new Building Sustainability practice in January and now offers LEED consulting and administration, energy and daylight modeling, and sustainable business strategies. The firm also has an advanced computational modeling team; it leverages new technologies by developing custom digital tools that utilize generative and parametric modeling, which enables its engineers to collaborate more effectively with architects in the early phases of design.
HELPING CLIENTS FIND THE MONEY FOR PROJECTS
New financing solutions are also playing a part in E/EA Giants’ business strategies. With the U.S. construction market still in recovery, alternative financing methods are being sought out to help clients put together the dollars they need to complete projects.
At Syska Hennessy Group, public-private partnerships are on the radar. “We are observing an increase in P3 projects across geographies and market sectors,” said Syska Hennessy Group’s Izzo. “The first building being delivered as a true P3 is the Long Beach courthouse in California, which will top out this summer.”
Others are bringing on experts to find the money. Graef hired an economic development specialist, Ronald Van Straten, who has more than 25 years’ experience in helping mostly municipal clients seek grants, low-cost loans, and other funding streams for their capital projects, including tax increment financing.
HEAVY CONCENTRATION AT THE TOP 10 FIRMS
As is true of most of the categories in our Giants 300 rankings, there is a great deal of concentration at the highest level in the E and EA markets. The top 10 engineering firms generated 47% of total revenue for the category, while the top 10 engineering/architecture Giants generated a hefty 85% of the dollars in their group. +
ENGINEERING FIRMS
| Rank | Company | 2011 Total Revenue ($) |
| 1 | Fluor Corp. | 220,674,900 |
| 2 | Arup | 140,324,134 |
| 3 | WSP USA | 98,900,000 |
| 4 | Syska Hennessy Group | 98,744,701 |
| 5 | Affiliated Engineers | 92,815,000 |
| 6 | KPFF Consulting Engineers | 89,000,000 |
| 7 | Henderson Engineers | 61,266,000 |
| 8 | AKF Group | 58,100,000 |
| 9 | TTG/TMAD Taylor & Gaines | 56,820,300 |
| 10 | Smith Seckman Reid | 53,497,000 |
| 11 | R.G. Vanderweil Engineers | 49,823,500 |
| 12 | KJWW Engineering Consultants | 43,784,892 |
| 13 | Bard, Rao + Athanas Consulting Engineers | 40,100,000 |
| 14 | Coffman Engineers | 37,200,000 |
| 15 | TLC Engineering for Architecture | 36,387,033 |
| 16 | Degenkolb Engineers | 35,398,917 |
| 17 | Sebesta Blomberg | 35,120,000 |
| 18 | ESD/Environmental Systems Design | 34,465,000 |
| 19 | Rolf Jensen & Associates | 34,300,000 |
| 20 | Walter P Moore | 34,231,775 |
| 21 | RMF Engineering | 34,005,000 |
| 22 | Glumac | 33,010,927 |
| 23 | Magnusson Klemencic Associates | 32,306,973 |
| 24 | RDK Engineers | 30,882,000 |
| 25 | Mazzetti Nash Lipsey Burch | 28,836,967 |
| 26 | Aon Fire Protection Engineering | 28,200,000 |
| 27 | Birdsall Services Group | 27,500,000 |
| 28 | Interface Engineering | 25,938,485 |
| 29 | M/E Engineering | 25,915,000 |
| 30 | ccrd partners | 24,100,000 |
| 31 | H.F. Lenz Co. | 22,799,000 |
| 32 | Heapy Engineering | 21,402,816 |
| 33 | Sparling | 20,589,847 |
| 34 | ThermalTech Engineering | 19,890,000 |
| 35 | KCI Technologies | 19,761,000 |
| 36 | Newcomb & Boyd | 18,454,021 |
| 37 | Henneman Engineering | 18,000,000 |
| 38 | Bridgers & Paxton Consulting Eng. | 17,650,492 |
| 39 | GHT Limited | 17,363,705 |
| 40 | Eaton Energy Solutions | 16,694,769 |
| 41 | Rutherford & Chekene | 16,538,000 |
| 42 | Dunham Associates | 15,500,000 |
| 43 | Joseph R. Loring & Associates | 15,000,000 |
| 44 | Wallace Engineering | 13,780,000 |
| 45 | James Posey Associates | 13,500,000 |
| 46 | KLH Engineers | 12,559,382 |
| 47 | Lilker Associates Consulting Engineers | 12,500,000 |
| 48 | Karpinski Engineering | 12,343,996 |
| 49 | P2S Engineering | 11,896,229 |
| 50 | RMH Group, The | 11,864,683 |
| 51 | Peter Basso Associates | 10,400,000 |
| 52 | Rist-Frost-Shumway Engineering | 10,039,000 |
| 53 | French & Parrello Associates | 9,782,762 |
| 54 | Bala Consulting Engineers | 9,360,000 |
| 55 | Allen & Shariff | 8,610,036 |
| 56 | Wick Fisher White | 7,821,928 |
| 57 | Brinjac Engineering | 7,342,166 |
| 58 | CTLGroup | 6,030,000 |
| 59 | O’Dea, Lynch, Abbattista Consulting Engineers | 5,900,000 |
| 60 | FBA Engineering | 4,000,000 |
| 61 | Kamm Consulting | 3,681,775 |
| 62 | Apogee Consulting Group | 2,485,000 |
| 63 | G&W Engineering | 2,058,000 |
ENGINEERING/ARCHITECTURE FIRMS
| Rank | Company | 2011 Total Revenue ($) |
| 1 | Jacobs | 2,699,100,000 |
| 2 | AECOM Technology Corp. | 1,487,000,000 |
| 3 | M+W U.S. | 1,015,199,252 |
| 4 | Stantec | 463,300,000 |
| 5 | Parsons Brinckerhoff | 311,300,000 |
| 6 | URS Corp. | 294,100,000 |
| 7 | exp | 205,000,000 |
| 8 | Science Applications International Corp. | 185,390,000 |
| 9 | Merrick & Co. | 111,000,000 |
| 10 | Day & Zimmermann | 109,909,604 |
| 11 | SSOE Group | 107,819,740 |
| 12 | STV | 104,876,000 |
| 13 | Thornton Tomasetti | 98,017,214 |
| 14 | Burns & McDonnell | 94,711,826 |
| 15 | Dewberry | 89,282,766 |
| 16 | Michael Baker Jr., Inc. | 80,730,000 |
| 17 | Middough | 75,750,000 |
| 18 | Clark Nexsen | 68,424,208 |
| 19 | Wiss, Janney, Elstner Associates | 64,080,000 |
| 20 | Simpson Gumpertz & Heger | 59,170,000 |
| 21 | AKF Group | 58,100,000 |
| 22 | H&A Architects & Engineers | 39,064,020 |
| 23 | Walker Parking Consultants | 34,422,898 |
| 24 | BRPH | 31,500,000 |
| 25 | Bergmann Associates | 30,700,000 |
| 26 | Shive-Hattery | 28,192,943 |
| 27 | Atkins North America | 23,620,537 |
| 28 | Ross & Baruzzini | 20,377,769 |
| 29 | Barge Waggoner Sumner & Cannon | 20,100,000 |
| 30 | Paulus, Sokolowski and Sartor | 18,300,000 |
| 31 | Guernsey | 18,293,701 |
| 32 | L.R. Kimball | 17,759,000 |
| 33 | GRAEF-USA | 16,770,180 |
| 34 | Zak Companies | 12,335,494 |
| 35 | CJL Engineering | 12,228,000 |
| 36 | Stanley Consultants | 10,892,000 |
| 37 | Spectrum Engineers | 8,828,890 |
| 38 | GRW | 6,290,216 |
| 39 | Davis, Bowen & Friedel | 4,680,714 |
| 40 | Vintage Archonics | 1,972,220 |
Related Stories
| Feb 10, 2011
Zero Energy Buildings: When Do They Pay Off in a Hot and Humid Climate?
There’s lots of talk about zero energy as the next big milestone in green building. Realistically, how close are we to this ambitious goal? At this point, the strategies required to get to zero energy are relatively expensive. Only a few buildings, most of them 6,000 sf or less, mostly located in California and similar moderate climates, have hit the mark. What about larger buildings, commercial buildings, more problematic climates? Given the constraints of current technology and the comfort demands of building users, is zero energy a worthwhile investment for buildings in, for example, a warm, humid climate?
| Feb 9, 2011
Hospital Construction in the Age of Obamacare
The recession has hurt even the usually vibrant healthcare segment. Nearly three out of four hospital systems have put the brakes on capital projects. We asked five capital expenditure insiders for their advice on how Building Teams can still succeed in this highly competitive sector.
| Feb 9, 2011
Businesses make bigger, bolder sustainability commitments
In 2010, U.S. corporations continued to enhance their sustainable business efforts by making bigger, bolder, longer-term sustainability commitments. GreenBiz issued its 4th annual State of Green Business report, a free downloadable report that measures the progress of U.S. business and the economy from an environmental perspective, and highlights key trends in corporate culture in regard to the environment.
| Feb 8, 2011
AIA names 104 members to College of Fellows
The Fellowship program was developed to elevate those architects who have made a significant contribution to architecture and society and who have achieved a standard of excellence in the profession. Election to fellowship not only recognizes the achievements of architects as individuals, but also their significant contribution to architecture and society on a national level.
| Feb 4, 2011
President Obama: 20% improvement in energy efficiency will save $40 billion
President Obama’s Better Buildings Initiative, announced February 3, 2011, aims to achieve a 20% improvement in energy efficiency in commercial buildings by 2020, improvements that will save American businesses $40 billion a year.
| Jan 31, 2011
Cuningham Group Architecture launches Healthcare studio with Lee Brennan
International design firm Cuningham Group Architecture, P.A. (Cuningham Group) has announced the arrival of Lee Brennan, AIA, as Principal and Leader of its new Healthcare studio. Brennan comes to Cuningham Group with over 30 years of professional experience, 22 of those years in healthcare, encompassing all aspects of project delivery, from strategic planning and programming through design and construction. The firm’s new Healthcare studio will enhance Cuningham Group’s expertise in leisure and entertainment, education, mixed-use/housing and workplace environments.
| Jan 31, 2011
HDR Architecture Releases Evidence-based Design Videos
As a follow-up to its book Evidence-based Design for Healthcare Facilities, HDR Architecture, Inc. has released three video case studies that highlight evidence-based design principles in action.
| Jan 31, 2011
CISCA releases White Paper on Acoustics in Healthcare Environments
The Ceilings & Interior Systems Construction Association (CISCA) has released an extensive white paper “Acoustics in Healthcare Environments” for architects, interior designers, and other design professionals who work to improve healthcare settings for all users. This white paper serves as a comprehensive introduction to the acoustical issues commonly confronted on healthcare projects and howbest to address those.
| Jan 28, 2011
Firestone Building Products Unveils FirestoneRoof Mobile Web App
Firestone Building Products Company unveiled FirestoneRoof, a first-of-its-kind free mobile web app. The FirestoneRoof mobile web app enables customers to instantly connect with Firestone commercial roofing experts and is designed to make it easier for building owners, facility managers, roofing consultants and others charged with maintaining commercial roofing systems to get the support they need, when they need it.
| Jan 27, 2011
Perkins Eastman's report on senior housing signals a changing market
Top international design and architecture firm Perkins Eastman is pleased to announce that the Perkins Eastman Research Collaborative recently completed the “Design for Aging Review 10 Insights and Innovations: The State of Senior Housing” study for the American Institute of Architects (AIA). The results of the comprehensive study reflect the changing demands and emerging concepts that are re-shaping today’s senior living industry.
