By Brian Sullivan
January 31st, 2022
On Thursday, January 27th, 2022 the Executives Association of NYC, an incomparable group of business executives, hosted Bob Pelham and John Stoltzfus of Oppenheimer to share their view of the US economy moving forward. As the Chief Investment Strategist, John has significantly more wisdom and resources to make accurate predictions on the US economy and since I am far from an economist, I was fortunate to be in the room and did my best to absorb all that I could. From what I learned in this presentation and other sources it appears that equities will continue to be volatile but overall we will see growth in 2022. The >6% GDP growth in the 4th quarter is a solid indicator for sure. The significantly increased rate of inflation is a concern for sure; time will tell how the Fed and the current administration can manage inflation going forward. An interesting incite recently that I’ve heard multiple times is the concept that while Covid has resulted in many people considering early retirement or other job changes, young professionals have started to adjust their priorities as they being to/prepare to start families which could lead to an influx into more stable and lucrative careers.
The Construction Industry
As per a report in ENR, 2022 will be a “very busy” year in the construction industry. Wells Fargo’s construction report is predicting a strong year, however, they are describing “a year of cautious recovery” due to the labor shortages, supply-chain issues, and inflation. Our team at Sullivan is doing our best to anticipate supply chain issues by increased communication with contractors and clients to attempt to start projects earlier than typical and provide realistic schedules.
For more specific predictions about the A/E industry, I find the team at Morrissey Goodale to be a great resource. Their constant communications with the decision-makers all across the A/E industry give a great deal of credence to their 22 predictions for 2022
Building Envelope Restoration
The Building Envelope Restoration niche in New York City appears to be poised for another strong year in 2022, depending on the market sector. The deadline of subcycle A of the 9th cycle of FISP is creating a lot of pressure on contractors and consultants alike to resolve delays due to Covid, labor shortages, and winter weather.
Throughout the country supply chain issues and the labor shortage will impact construction schedules significantly particularly, it appears on roofing projects. We have been in regular enhanced communication with contractors, manufacturers, distributors, and clients to door best to mitigate delays or at least understand the impact that delays will have. We recommend that all decision-makers contemplating a building envelope project in 2022 or even 2023 should start significantly earlier than normal. By completing design early and selecting contractor early, materials can be ordered early and potentially stockpiled if needed, but at minimum, the project can be built into a contractor’s schedule and have resources committed, this is true for the AE firms as well.
Sullivan Engineering, A Rimkus Company
In our 2022 planning retreat, we shared our teams 1 year and 3-year goals and reconfirmed our Target for 2030. Additionally, Jack Dolan, the president of AEC Services shared the strategic plan for Rimkus and how our team fits within that plan.
We are anticipating another year of solid growth, creating opportunities for our existing team but also creating opportunities for professionals that share our core values to join our great team. We are looking for Building Envelope Consultants, Senior Building Envelope Consultants, Principal Building Envelope Consultants, Business Development Associates, and Project Coordinators.
In addition to growing our teams in the New York and Boston metro areas we will also be looking to expand into some new markets and are looking for professionals that are currently in or interested in moving to these markets. The target markets that we are looking to expand into based on current opportunities and resources (not in any particular order) are the Hartford, CT area, the Philadelphia to DC corridor, the Greater Cincinnati area, St. Louis, Chicago, Charlotte, Nashville, and Houston. We anticipate having offices opened in several of these areas this year and most, if not all, within the next few years.
As we talked with our team about our goals for our team as a whole and the individuals on our team we attempted to identify what our theme for the year should be. Knowing how important maintaining the family feel of our culture is while we continue to grow and integrate into Rimkus we determined that our theme will be Family Growth. We have always focused heavily on our people and our culture but this theme will help us maintain that focus as we continue to grow and capture the synergies and opportunities within Rimkus
As a small token of my appreciation and to help reinforce our goals I gave our team copies of two of my new favorite books; the Gap and the Gain by Dan Sullivan of Strategic Coach and High Energy Networking by Joe Apfelbaum one of the greatest networkers in New York. These gifts will help the individuals on our team develop further as professionals while also taking time to focus on their accomplishments, not just the growth still needed to get to their ideal future.
We wish you all tremendous success, prosperity, and of course good health in 2022.
If you have any feedback on how we can continue to improve, please share it with us. We would love to hear your thoughts. I hope we all have a great 2022!