AIA
defends our interests, provides learning opportunities and essential documents,
and is a forum to meet and share ideas with our colleagues. Great for small
firms. However, forces and trends
bringing rapid changes to our profession may crush those firms.
It Was the Best of
Times, It Was the Worst of Times – Changes everywhere we look. For example:
Plus – According to DBIA, Design-Build
(D-B) practices reduce construction change orders and claims. Large clients like LACCD, LA County and
Caltech favor D-B.
Negative – As part of the
bidding process, the architect prepares schematics – for free! How can a small firm afford it? And why would a large contractor partner with
a small firm when the Gensler’s of the world have better connections and
resources to compete in the proposal process?
Best of Times
- Getting busy!
- Extraordinary
design tools
- Easy and quick
access to information
- Easier to practice
nationally and internationally – IBC, improved communications
- Ever-larger
architectural firms responding to economies of scale. They have the wealth
to influence legislation and develop new technologies.
- Legislated
sustainability
- Growing number of
specialty firms – knowledge equals better client service
- On-Call Contracts
– Public entities are awarding large, multi-year contracts Marketing costs
are reduced and a client partnership is formed
- CMs and
Design-Build practices reduce construction change orders and claims
- Lease-leaseback
contracting allows school districts to select builders on the basis of
qualifications instead of low bid.
- As economy
improves, firms will have difficulty finding experienced staff with less
than five years’ experience.
They’re gone!
- Declining
Architect registration – Baby Boomers retiring and recent graduates bailing
because of limited jobs and daunting licensing requirements
- As we get busy, we
have less time to check our work, leading to more construction claims
- On-call contracts
blocking new firms from getting work during the term of the agreement
- Diminishing role
in construction as D-B and CM entities grow
- Increased
liability – Witness the California Supreme Court ruling against SOM
- A squeeze on fees
and the expectation of Architect’s to bid for projects – Public sector
ignoring Qualifications Based Selection and architects going along with it
(bidding).
- Increased
regulations – ADA, California Energy Code 2013.
- Growing
communication and documentation expectations
- As small firms get
squeezed out, “hands-on” personal service may also diminish.
- Growing number of specialty firms – challenges generalists that can’t compete. They haven’t done 20+ fire stations, etc. A loss to “fresh thinking” and new ideas.
What
can AIA do for small firms? Promote the
advantages a small firm brings a client:
hands-on personal service tailored to a client’s personal needs.
What
can you do? Consider teaming to augment
your strengths, increasing your competitiveness. Be the ‘go to’ architect in a narrow
specialty. Good luck!