Economy Offers Mood for Thought

A down economy is always a downer. For most M/E engineering firms, however, the presumably weak business conditions are only affecting a small fraction of projects currently on the boards. Most consultants report being very busy, and there have been no announced workforce reductions at any of the major firms.

06/01/2001


A down economy is always a downer. For most M/E engineering firms, however, the presumably weak business conditions are only affecting a small fraction of projects currently on the boards. Most consultants report being very busy, and there have been no announced workforce reductions at any of the major firms.

Still, a down economy can get you down. It can also give firm principals pause to examine how diversified their practices are, and to consider expanding into areas that they might not have even shot a glance at during boom times. With certain key segments weakening—high-tech, hotels, retail and manufacturing, to name a few notables—some engineers think it's prime time to consider:

  • Going global. How about globalizing the firm's business? Now that the U.S. economy looks lame, the international card suddenly seems a possible play. Many engineering firms have followed foreign-born star designers to their native lands—India, Colombia, Russia, Ireland, the Phillipines—for the isolated project. Other firms ride on their clients' coattails to fairer shores.

  • Expanding services. Certain services are more in demand when the stock market nosedives. Notably, a few engineering/architecture firms have begun adding facilities-management and operations services to their portfolio with limited success. Other firms are more audacious, offering to help their clients with site selection, energy management and technology planning.

  • Adding new disciplines. Let's not forget expanding engineering and design services as well. During the recent boom years, many firms have added competencies in lighting design, telecommunications systems and building automation. The payback is often immediate: What used to be pass-throughs are now incremental billings.

Paradoxically, a softening market can be the best time to expand. And many sectors of the service economy are countercyclical, so it can never hurt to have a wider base of operations. Those few hours a week not devoted to grinding out M/E schema might be better spent crafting a strategy for the next dip.

We'd like to hear about other ways engineering firms reconcile the down market with their businesses. When you choose to expand, how do you do it? And how do you keep spirits high among new recruits and senior staffers? What steps do you take to effectively develop business during a slump?

Last year you probably didn't have time to send us feedback. This year, you may feel a bit more inclined to do so.





The Engineers' Choice Awards highlight some of the best new control, instrumentation and automation products as chosen by Control Engineering subscribers. Vote now (if qualified)!
The System Integrator Giants program lists the top 100 system integrators among companies listed in CFE Media's Global System Integrator Database.
Each year, a panel of Control Engineering and Plant Engineering editors and industry expert judges select the System Integrator of the Year Award winners in three categories.
This eGuide illustrates solutions, applications and benefits of machine vision systems.
Learn how to increase device reliability in harsh environments and decrease unplanned system downtime.
This eGuide contains a series of articles and videos that considers theoretical and practical; immediate needs and a look into the future.
HMI effectiveness; Distributed I/O; Engineers' Choice Award finalists; System Integrator advice; Inside Machines
Women in engineering; Engineering Leaders Under 40; PID benefits and drawbacks; Ladder logic; Cloud computing
Robotic integration and cloud connections; SCADA and cybersecurity; Motor efficiency standards; Open- and closed-loop control; Augmented reality
Programmable logic controllers (PLCs) represent the logic (decision) part of the control loop of sense, decide, and actuate. As we know, PLCs aren’t the only option for making decisions in a control loop, but they are likely why you’re here.
This digital report explains how motion control advances and solutions can help with machine control, automated control on assembly lines, integration of robotics and automation, and machine safety.
This article collection contains several articles on how advancements in vision system designs, computing power, algorithms, optics, and communications are making machine vision more cost effective than ever before.

Find and connect with the most suitable service provider for your unique application. Start searching the Global System Integrator Database Now!

Control room technology innovation; Practical approaches to corrosion protection; Pipeline regulator revises quality programs
Cloud, mobility, and remote operations; SCADA and contextual mobility; Custom UPS empowering a secure pipeline
Infrastructure for natural gas expansion; Artificial lift methods; Disruptive technology and fugitive gas emissions
Automation Engineer; Wood Group
System Integrator; Cross Integrated Systems Group
Jose S. Vasquez, Jr.
Fire & Life Safety Engineer; Technip USA Inc.
This course focuses on climate analysis, appropriateness of cooling system selection, and combining cooling systems.
This course will help identify and reveal electrical hazards and identify the solutions to implementing and maintaining a safe work environment.
This course explains how maintaining power and communication systems through emergency power-generation systems is critical.
The Engineers' Choice Awards highlight some of the best new control, instrumentation and automation products as chosen by Control Engineering subscribers. Vote now (if qualified)!
The System Integrator Giants program lists the top 100 system integrators among companies listed in CFE Media's Global System Integrator Database.
Each year, a panel of Control Engineering and Plant Engineering editors and industry expert judges select the System Integrator of the Year Award winners in three categories.
This eGuide illustrates solutions, applications and benefits of machine vision systems.
Learn how to increase device reliability in harsh environments and decrease unplanned system downtime.
This eGuide contains a series of articles and videos that considers theoretical and practical; immediate needs and a look into the future.
HMI effectiveness; Distributed I/O; Engineers' Choice Award finalists; System Integrator advice; Inside Machines
Women in engineering; Engineering Leaders Under 40; PID benefits and drawbacks; Ladder logic; Cloud computing
Robotic integration and cloud connections; SCADA and cybersecurity; Motor efficiency standards; Open- and closed-loop control; Augmented reality
Programmable logic controllers (PLCs) represent the logic (decision) part of the control loop of sense, decide, and actuate. As we know, PLCs aren’t the only option for making decisions in a control loop, but they are likely why you’re here.
This digital report explains how motion control advances and solutions can help with machine control, automated control on assembly lines, integration of robotics and automation, and machine safety.
This article collection contains several articles on how advancements in vision system designs, computing power, algorithms, optics, and communications are making machine vision more cost effective than ever before.

Find and connect with the most suitable service provider for your unique application. Start searching the Global System Integrator Database Now!

Control room technology innovation; Practical approaches to corrosion protection; Pipeline regulator revises quality programs
Cloud, mobility, and remote operations; SCADA and contextual mobility; Custom UPS empowering a secure pipeline
Infrastructure for natural gas expansion; Artificial lift methods; Disruptive technology and fugitive gas emissions
Automation Engineer; Wood Group
System Integrator; Cross Integrated Systems Group
Jose S. Vasquez, Jr.
Fire & Life Safety Engineer; Technip USA Inc.
This course focuses on climate analysis, appropriateness of cooling system selection, and combining cooling systems.
This course will help identify and reveal electrical hazards and identify the solutions to implementing and maintaining a safe work environment.
This course explains how maintaining power and communication systems through emergency power-generation systems is critical.
The Engineers' Choice Awards highlight some of the best new control, instrumentation and automation products as chosen by Control Engineering subscribers. Vote now (if qualified)!
The System Integrator Giants program lists the top 100 system integrators among companies listed in CFE Media's Global System Integrator Database.
Each year, a panel of Control Engineering and Plant Engineering editors and industry expert judges select the System Integrator of the Year Award winners in three categories.
This eGuide illustrates solutions, applications and benefits of machine vision systems.
Learn how to increase device reliability in harsh environments and decrease unplanned system downtime.
This eGuide contains a series of articles and videos that considers theoretical and practical; immediate needs and a look into the future.
HMI effectiveness; Distributed I/O; Engineers' Choice Award finalists; System Integrator advice; Inside Machines
Women in engineering; Engineering Leaders Under 40; PID benefits and drawbacks; Ladder logic; Cloud computing
Robotic integration and cloud connections; SCADA and cybersecurity; Motor efficiency standards; Open- and closed-loop control; Augmented reality
Programmable logic controllers (PLCs) represent the logic (decision) part of the control loop of sense, decide, and actuate. As we know, PLCs aren’t the only option for making decisions in a control loop, but they are likely why you’re here.
This digital report explains how motion control advances and solutions can help with machine control, automated control on assembly lines, integration of robotics and automation, and machine safety.
This article collection contains several articles on how advancements in vision system designs, computing power, algorithms, optics, and communications are making machine vision more cost effective than ever before.

Find and connect with the most suitable service provider for your unique application. Start searching the Global System Integrator Database Now!

Control room technology innovation; Practical approaches to corrosion protection; Pipeline regulator revises quality programs
Cloud, mobility, and remote operations; SCADA and contextual mobility; Custom UPS empowering a secure pipeline
Infrastructure for natural gas expansion; Artificial lift methods; Disruptive technology and fugitive gas emissions
Automation Engineer; Wood Group
System Integrator; Cross Integrated Systems Group
Jose S. Vasquez, Jr.
Fire & Life Safety Engineer; Technip USA Inc.
This course focuses on climate analysis, appropriateness of cooling system selection, and combining cooling systems.
This course will help identify and reveal electrical hazards and identify the solutions to implementing and maintaining a safe work environment.
This course explains how maintaining power and communication systems through emergency power-generation systems is critical.
click me