Categories: Daily Best of the Web

U.S. Engineering Firm Leaders Bullish on Business Climate

More than two in three U.S. engineering firm leaders (68 percent) say the current business climate is better than last year at this time; and three in five (60.5 percent) say their backlogs are larger now compared to last year, according to results from the American Council of Engineering Companies’ new quarterly Engineering Business Index (EBI).

The EBI, representing responses of 340 engineering firm chairmen, CEOs and presidents had a composite score of 68.9 in the second quarter—a slight increase from 67.4 in the first quarter. The EBI is a diffusion index, consolidating answers to a series of questions about market and firm performance into a single number. Any number over 50 indicates expansion.

Results show that engineering firm leaders are more optimistic about prospects in private sector markets than those in the public sector. At least half believe that opportunities in buildings/commercial (53.3 percent), land development/surveying (54 percent), and industrial/manufacturing (50 percent) will improve over the next 12 months.

Expectations for major public sector markets were markedly lower.  Only 41.5 percent of respondents anticipate improvement in the transportation sector, and only 40.9 percent believe opportunities in the water/wastewater sector will grow over the next 12 months.

“After years of a stagnant economy, engineers are beginning to see evidence of an improved business climate,” said ACEC President and CEO David A. Raymond. “Uncertainty regarding government funding is obviously dampening expectations for public sector markets.”

For a complete summary of the  2014 EBI survey, go to: www.acec.org


Chief Executive

Chief Executive magazine (published since 1977) is the definitive source that CEOs turn to for insight and ideas that help increase their effectiveness and grow their business. Chief Executive Group also produces e-newsletters and online content at chiefexecutive.net and manages Chief Executive Network and other executive peer groups, as well as conferences and roundtables that enable top corporate officers to discuss key subjects and share their experiences within a community of peers. Chief Executive facilitates the annual “CEO of the Year,” a prestigious honor bestowed upon an outstanding corporate leader, nominated and selected by a group of peers, and is known throughout the U.S. and elsewhere for its annual ranking of Best & Worst States for Business. Visit www.chiefexecutive.net for more information.

Share
Published by
Chief Executive

Recent Posts

How To Reconfigure A Traditional Industrial Giant For New Era

Johnson Controls CEO Oliver has led a corporate transformation focused on making buildings greener.

50 mins ago

Rachel Barger, Cisco’s Senior Vice President of the Americas, Encourages Us to Always Keep an Open Door

In this edition of our Corporate Competitor Podcast, leadership speaker and storytelling expert Don Yaeger…

2 days ago

Boards May Need To Reevaluate Their Idea Of Acceptable Risk

Boards are being held to a higher standard regarding risk. A more thorough strategy may…

6 days ago

CEOs Can Become Afflicted With ‘Boreout’ Too

If you're experiencing burnout not because you're overworked, but because you're underinspired, it might be…

6 days ago

Why CIOs Should Report Directly To The CEO

When companies elevate the role, they reap significant benefits. Here are five critical ways it…

1 week ago

New-Era Koppers Keeps Staying Ahead Of The Game

CEO Ball has led early decoupling from China and diversification that ties into today’s infrastructure…

1 week ago