Key external drivers
The key external drivers leading the industry performance according to IBISWorld are private investment in manufacturing structures, trade weighted index, manufacturing capacity utilization, total exports, government consumption and investment. Private investment in manufacturing structures depends on the company’s dependence for new space which is measured by many factors like interest rates, property values, lending standards, exporting trends, economic styles, and utilization rates. The next key external driver is the trade-weighted index which measures the strength of the US dollars against the currencies of their trading partners. When the index drops it shows how the US dollar is being depreciated which therefore …show more content…
Which means that the suppliers and operators form and build a strong relationship dealing with high quality construction materials. The next key success factor is the ability to expand and curtail operations rapidly in line with the Market Demand. This key success factor is essential because it allows the operator to keep their profit margins steady as well as compete with competitors. The ability to negotiate successfully with regulator is another success key factor. This key success factor is only possible when the construction manager has an understanding of what is going on to ensure that everything is being done and built to expectation. Another way to lead this industry to success is to make sure they comply with the regulations the government establishes. The last key success factor is their ability to change their goods and services in favor to the market conditions. If the industry can change their services as quickly as the market changes they will be able to stay on top of their work which will bring in a steady revenue. Meaning if the economic growth is weak the industry should be able to keep a stable cash …show more content…
One reason is because general contracting is supposed to account for more than 55 percent of the industry’s revenue. (“IBISWorld,” 2015). Hankins and Anderson already has their mind in the right direction because one of the main things they focus on is to fix building challenges while also offering solutions to problems that may arise. So if they put more focus on general contracting they can bring more revenue in for their company. Another recommendation for them is they should work on is their construction management services. According to IBISWorld construction management is supposed to account for 15.2% of the total industry. Thankfully, construction management is very similar to general contracting, which means they have an idea of what to do. Hankins and Anderson should also put some of their focus towards becoming more
The key external drivers leading the industry performance according to IBISWorld are private investment in manufacturing structures, trade weighted index, manufacturing capacity utilization, total exports, government consumption and investment. Private investment in manufacturing structures depends on the company’s dependence for new space which is measured by many factors like interest rates, property values, lending standards, exporting trends, economic styles, and utilization rates. The next key external driver is the trade-weighted index which measures the strength of the US dollars against the currencies of their trading partners. When the index drops it shows how the US dollar is being depreciated which therefore …show more content…
Which means that the suppliers and operators form and build a strong relationship dealing with high quality construction materials. The next key success factor is the ability to expand and curtail operations rapidly in line with the Market Demand. This key success factor is essential because it allows the operator to keep their profit margins steady as well as compete with competitors. The ability to negotiate successfully with regulator is another success key factor. This key success factor is only possible when the construction manager has an understanding of what is going on to ensure that everything is being done and built to expectation. Another way to lead this industry to success is to make sure they comply with the regulations the government establishes. The last key success factor is their ability to change their goods and services in favor to the market conditions. If the industry can change their services as quickly as the market changes they will be able to stay on top of their work which will bring in a steady revenue. Meaning if the economic growth is weak the industry should be able to keep a stable cash …show more content…
One reason is because general contracting is supposed to account for more than 55 percent of the industry’s revenue. (“IBISWorld,” 2015). Hankins and Anderson already has their mind in the right direction because one of the main things they focus on is to fix building challenges while also offering solutions to problems that may arise. So if they put more focus on general contracting they can bring more revenue in for their company. Another recommendation for them is they should work on is their construction management services. According to IBISWorld construction management is supposed to account for 15.2% of the total industry. Thankfully, construction management is very similar to general contracting, which means they have an idea of what to do. Hankins and Anderson should also put some of their focus towards becoming more