MCA Reports Top Drivers in the Construction Industry

The Metal Construction Association (MCA) has released a report identifying the top 11 drivers in the nonresidential construction industry. The report, based on data analysis, surveys, and interviews with industry leaders, was prepared by FMI, a management consulting and investment banking firm dedicated to engineering and construction, infrastructure, and the built environment. The top trends in the industry trends were identified as follows:

  • Talent Shortages and Management Succession Challenges
    At the height of the recession, 30 percent of the commercial construction industry lost their jobs causing a lack of skilled workers as business picks up. The need to recruit and retain employees is key to attract the next-generation of millennials to the construction business.
  • Use of New Technologies
    With more prefabrication and modularization, use of robotics and 3-D printing, construction is becoming more standardized and computerized. BIM models are playing a role in all aspects of the construction process.
  • Productivity Improvements Needed for Profitability
    While use of BIM, prefabrication, modularization and green construction are necessary in construction manufacturing, at the contractor level, technology and planning are paramount to being profitable.
  • Changes in Construction Delivery Systems
    A slow shift is being seen from the traditional design-bid-build or hard-bid approach to more collaborative or alternative delivery methods that were gaining popularity before the recession.
  • Owner Transition
    As baby boomer leaders are getting to retirement age, the industry is facing a change in ownership among 50 percent of construction firms.
  • International Debt Problems
    Although the U.S. has experienced a resurgent economy, European countries like Greece, Italy, Spain and Portugal are struggling. After years of growth, China is also experiencing a slowdown in its economy, threatening the savings and investments made in the last few years.
  • Forming Partnerships with Customers
    A more customer-centric orientation is returning. Manufacturers and suppliers must match their marketing and delivery methods to the needs of the contractor and become partners in the process.
  • Healthier Companies
    In order to survive the recession, companies had to get to positive cash flow (or at least neutral) in the new demand reality of the 2009-2011 period. This focus on efficiency created reduced cost structures.
  • Growth Through Acquisition
    The demand for attractive building product companies to purchase is high. Industry stakeholders are looking to realize overhead efficiencies and maximize nontraditional margin enhancements (risk management, technology, self-perform). Those companies realizing profitability in this way are positioned to prosper as the construction market improves.
  • Consolidation
    On the manufacturing distribution side, 2015 was a year of company consolidation. Market conditions led to unprecedented merger activity among large players. Today, a seller can receive what the company deems a fair price, while a buyer feels there is still enough business ahead to make a return on the investment.
  • Mergers and Acquisitions Activity Benefit Buyers & Sellers
    Pace and scale of activity are both up with both strategic and financial buyers. With demand high and the supply of attractive companies low, one would expect prices to increase, and they have.

These trends are expected to play a role in shaping the nonresidential construction industry in the coming years and are part of considerations as companies make their plans. The full report is available to MCA members at www.metalconstruction.org.

The Metal Construction Association (MCA) promotes and expands the use of metal in construction through marketing, research, technology and education. MCA members include metal roof and wall panel manufacturers. Trade associations serving the metal construction industry partnered with MCA in this study. The participants are The American Iron & Steel Institute (AISI), The Aluminum Association (AA), Metal Roofing Alliance, National Frame Builders Association (NFBA), and the National Coil Coaters Association (NCCA).

Metal Construction Association is Accepting Triumph Award Nominations

The Metal Construction Association (MCA) is accepting nominations for its Triumph Awards, a way to honor the people and companies that champion the metal construction industry each year.

The annual MCA Triumph Awards honors individuals and organizations throughout the metal construction industry, from academia to entrepreneurs, from marketing to research. The nomination form can found on the Triumph Awards webpage on the MCA website. An individual, business or organization can make nominations. Nominations will be accepted in six categories.

Industry Champion of the Year Award: An individual from any position within the metal construction industry that has championed the industry and has had an overall impact on advancing the industry. The nominee could be from academia, code driven, marketing driven, or any area that has benefited the overall industry.

Industry Young Movers and Shakers Awards: For those under 35 who are up and coming in the industry and should be recognized as someone to watch. Multiple winners are possible.

Industry Media Executive / Journalist of the Year Award: Recognizing someone from the media who has made an impact on our industry through media and journalism.

Industry Sales Person of the Year Award: Recognizing a sales professional who has impacted on their company.

Entrepreneur of the Year: Recognizing an individual who was the original founder of a company in our industry (contractor to manufacturer to building system) who has who has built a successful company.

Corporate Citizen of the Year: A company that has shown commitment to bettering the world outside of their normal business through their involvement and dedication to a cause or charity.

Nominations are open to the public and will be judged by a 10-person committee. The judging committee will consist of members from a variety of groups including members from the Metal Construction Association (MCA), Metal Building Manufacturers Association (MBMA), Metal Building Contractors and Erectors Association (MBCEA), National Frame Building Association (NFBA) as well as at-large volunteers.

The awards will be presented at a marquee event designed to celebrate honorees at METALCON, October 26, 2016 in Baltimore, Maryland.

The idea for the commendation was initiated by Keith Lipps, vice president of Marketing and Sales from MCA member company, S-5!. “So many people do great things everyday at various levels in their career using many different skill sets, and it’s their achievements that make this industry thrive,” said Lipps. “We want to celebrate these contributions with a premier award because it’s everyone working together that makes us strong.”

Visit www.metalconstruction.org for a nomination form. Nominations must be submitted by September 1, 2016.

MCA Launches Triumph Awards to Honor Those Who Impact the Advancement of the Metal Construction Industry

The Metal Construction Association (MCA) has formed the MCA Triumph Awards, a new way to honor the many different kinds of people and companies that champion the growth and development of the metal construction industry each year.

Announced at the METALCON show, the idea for the commendation was initiated by Keith Lipps, vice president of marketing and sales from MCA member company, S-5!. “So many people do great things everyday at various levels in their career using many different skill sets, and it’s their achievements that make this industry thrive,” says Lipps. “We want to celebrate these contributions with a premier award because it’s everyone working together that makes us strong.”

The annual MCA Triumph Awards will honor individuals and companies from throughout the metal construction industry, from academia to code development to marketing and communication to research and innovation. The inaugural Triumph Award went to Claire Kilcoyne of PSMJ Resources who was awarded the first Industry Champion of the Year Award for spearheading the METALCON show for 25 successful years.

Future honorees will be nominated by their peers and judged by a 10-person committee. The awards will be presented at a marquee event designed to celebrate honorees with a formal dinner and light-hearted entertainment. “It will be the Academy Awards of the metal construction industry,” says Lipps.

Nominations are open to the public and will be accepted beginning February 2016. The awards event will be held Oct. 26, 2016 in Baltimore. The judging committee will consist of members from a variety of groups, including members from the MCA, Metal Building Manufacturers Association (MBMA), Metal Building Contractors and Erectors Association (MBCEA), National Frame Building Association (NFBA), as well as at-large volunteers.

“We are thrilled to be on the ground floor planning for this awards program,” says Kristin Peregoy with MCA member company, New Tech Machinery. Peregoy has been instrumental in launching the program along with Lipps. “As a new member company of MCA, we wanted to get involved and we couldn’t ask for a more exciting opportunity.”

The MCA Triumph Awards will be given in nine categories:

  • Industry Champion of the Year Award: An individual from any field or position that has made a great overall impact on advancing the metal construction industry.
  • Industry Young Movers and Shakers Awards: For those younger than 35 who demonstrate excellence, creativity and initiative in his or her business or profession.
  • Industry Media Executive / Journalist of the Year Award: A member the media who has made a significant impact on the metal construction industry through media and journalism.
  • Industry Sales Person of the Year Award: A sales professional who has had the greatest impact on their company in the previous 12 months.
  • Entrepreneur of the Year: An individual who was the original founder of a business in the metal construction industry (contractor, manufacturer or building system) who has who has built a successful company.
  • Business of the Year – Contractor, Manufacturer, and Service Provider: A company in each category that has demonstrated achievement and an exceptional previous 18 months.
  • Emerging Business of the Year: A new company in the metal construction industry that has demonstrated achievement and an exceptional previous 18 months.
  • Corporate Citizen – Business of the Year and Individual of the Year: An individual and a company that has shown commitment to bettering the world outside of their normal business through their involvement and dedication to a cause or charity.
  • Marketer of the Year – Business to Business and Consumer: Marketers and their agencies for exceptional integrated marketing campaigns that have promoted their companies with exceptional creative and strategy over the past 12 months.

MCA will be providing additional information about how to submit nominations for the award and opportunities for corporate sponsorships in the coming months.