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AEC proposal activity continues to grow rapidly in second quarter of 2021 according to the PSMJ Quarterly Market Survey

2021-07-09T17:19:00-04:00

According to the Professional Services Management Journal (PSMJ) Resources’ Quarterly Market Survey, proposal activity for AEC firms continued to grow at a rapid pace in quarter two of 2021.

The survey’s net plus/minus index (NPMI) was 52% for overall proposal activity, which was the highest in any second quarter in the 18-year history of the survey and the 5th highest of all time for any quarter. The NPMI expresses the difference between the percentage of firms reporting an increase in proposal activity and those reporting a decrease. In addition, revenue and backlog indicators were also at record-high rates in the survey of PSMJ member firms.

The PSMJ Quarterly Market Forecast of proposal activity NPMI from third quarter 2003 to second quarter 2021. Image: PSMJ

“The increase in A/E industry revenues that began in Q1 of this year has accelerated significantly in Q2, as has the increase in backlog,” said PSMJ Senior Principal David Burstein, PE, AECPM. “Looking to the future, propo...

Is construction activity starting to rebound?

2020-06-16T12:02:00-04:00

A second supplemental Quarterly Market Forecast (QMF) from PSMJ Resources conducted to gauge the impact of the COVID-19 pandemic on the Architecture Engineering and Construction industry offers somewhat positive news for the month of May.

After posting a steep, 27% decline in proposal activity for the month of April, the survey shows a relatively smaller decrease in May of -9%.

The survey shows that the degree of contraction within many sectors of the construction field has lessened in recent weeks, indicating that, at least for now, the month of April represents the lowest point in the most recent economic cycle.

Of particular signifiance, according to the authors of the survey, is the level of activity taking place in housing construction, which has shown a significant bounce back from the April lows.

Previously on Archinect: "Architecture Billings Index continues historic drop in April." Image courtesy of Pixabay.

The authors of the report explain: "The Housing market improved m...

AEC survey shows uneven economic decline within construction industry

2020-05-27T18:34:00-04:00

Piggybacking on recent data specific to the architecture industry, a new Quarterly Market Forecast from business consultant group PSMJ Resources indicates that current and near-term construction activity has steeply fallen off in the wake of the COVID-19 pandemic.

Like recent findings published by the American Institute of Architects (AIA) Architecture Billings Index (ABI) report for April, PSMJ finds that demand for construction activity has fallen in nearly all the industry sectors it measures, with commercial development impacted the most.

Also like the ABI, PSMJ's survey has registered historically low economic conditions. The survey, according to PSMJ, consists of "193 responses from the consistent group of hundreds of A/E/C firm leaders who regularly complete the quarterly survey."

Previously on Archinect: "Architecture Billings Index continues historic drop in April." Image courtesy of Pixabay.

The survey indicates a glimmer of hope, however, reporting that "Public-sector ma...