The construction industry is filled to the brim with challenges and opportunities, but recent data from the Engineering News-Record (ENR) asserts that opportunity is on the rise. With an eight percent increase in contracting revenue over last year, it has become apparent that the economy is surging into the green, and contractors are benefitting. That said, there are still a host of challenges that will impact contractors’ bottom lines in 2019, such as staff and labor shortages, rising wages, and increasing tariffs, and not everyone holds the opinion that the economy is in a good place.
In this two-part series, a West Palm construction lawyer from Cotney Construction Law will examine the most recent challenges and opportunities in the construction industry. One helpful entity that can help contractors overcome the everyday challenges of the construction industry is a West Palm construction lawyer. Our lawyers are equipped with the tools, experience, and knowledge to help contractors avoid the legal pitfalls of the construction industry while simultaneously providing the assistance needed to take advantage of the opportunities that can turn your business into an empire.
Focusing on Opportunity
In a recent webinar hosted by ENR, moderator Gary Tulacz, a senior editor for ENR, said, “People keep glancing in the rear-view mirror to see if the recession is gaining on them but few people see anything like that right now. Contractors are focused on the opportunities and work that are in front of them.”
With many U.S. markets enjoying advantageous conditions for construction-related work, contractors are looking to capitalize on the opportunities being presented. In places like South Florida, public-private partnerships are pushing construction forward. Although such partnerships present certain risks, contractors are being encouraged to focus on the opportunities they present and not the challenges that lie in wait down the road.
Integrated Project Delivery
Integrated project delivery (IPD) is another construction-related innovation that presents challenges and opportunities for contractors. IPD unites owners, architects, and construction firms under a single contract to theoretically streamline projects. This requires efficient communication between all parties, which can be achieved through the use of a “co-location space” containing individual workstations and meeting areas for collaboration. When everyone is on the same page, this can be a successful arrangement; however, if responsibilities are not delegated sensibly and the scope of work is not well defined, it can have a negative effect on the project.
To learn about other challenges and opportunities in the construction industry, read part two.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.