McGraw-Hill Construction Cites Work Force, Technology, Competition as Driving Factors Impacting Global Construction

McGraw-Hill Construction part of The McGraw-Hill Cos. and the parent organization of The Daily Journal and Colorado Construction magazine has issued “Key Trends in the European and U.S. Construction Marketplace SmartMarket™ Report,” produced in partnership with the Innovative Construction Research Centre at the University of Reading, United Kingdom.

The report details the latest research on major issues facing today’s global construction industry, with an emphasis on the trends in Europe and the United States. Its findings are particularly relevant, given the impact construction has on the economies of the world, averaging 10% across the globe.

The research indicates that advances in technology, shifts in the construction work force and increasing global competition are key concerns among industry leaders across Europe and in the United States. The report also emphasizes the driving influence of governance and legislation, environmental pressures, global finance, new procurement methods and the increasing cost of materials. McGraw-Hill Construction’s research explores how these trends are shaping the increasingly interconnected construction marketplace.

 “Construction activities are becoming increasingly global,” said Harvey M. Bernstein, vice president, Industry Analytics, Alliances and Strategic Initiatives at McGraw-Hill Construction. “The financial and building trends in one country are largely impacted by social and political events in other areas of the world. It is important that we understand these trends and how they will impact the work that we do today and in the future.”

Other major findings of the report include:

• Emerging and transitioning economies are fast becoming attractive building markets as well as formidable foreign competitors;
• Materials prices are continuing to escalate, placing a growing pressure on project costs and encouraging the shift to alternative materials;
• Construction industry leaders in Europe and the United States share concerns about the global work-force shortage, and they expect the situation to worsen in the next five to seven years;
• The market for green building is significant and growing rapidly in both regions, thanks to supportive legislation, market differentiation and the growing pressure of global competition;
• Use of building information modeling is significant and growing, but there remains a dire need for enhanced awareness about interoperability and the benefits of digital design.

These trends serve as challenges for the industry but represent exciting opportunities for construction players in Europe and the United States.

Roger Flanagan, professor of construction management at the University of Reading, points to the prospects for the future. “It is exciting to consider the data and trends in this report and imagine how they will shape the way we do business down the road,” he said. “Ultimately, the business sense, entrepreneurship, innovation and imagination of leaders in our industry will decide how these trends shape our future.”

To order a copy of the report, go to www.analyticsstore.construction.com.

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