The 2011 Top 500 Design FirmsAugust 2, 2010The industry is still working through odd patches between the recession and wha...
The industry is still working                                                                                  through odd...
the top 500 design firms        2010-2011 at a glance        Number of Firms                                              ...
oVerVieW         General Building         16,713.4 (20.9%)                                                                ...
the top 500 design firms                                                                                                  ...
the top 500 design firms        specific expertise in enduring markets, such as energy        and technology.”            ...
oVerVieW        the top 500 dialogue           ENR: Do you see any existing or new technologies    ENR: What do you think ...
the top 500 design firms        the top 20 by sector         1              iNDustRiaL PROCEss/                2          ...
exp globAl Inc. changed its                                                                                     #59       ...
JAcobs acquired the mining and                             the top 500 design firms                                #03    ...
the top 500 design firms                                                                                                  ...
the top 500 design firms        the top 100 pure designers             FIRM                                              F...
HnTb cos. topped the $1 billion                                                                                           ...
sTAnTec acquired 10 firms in 2010,                            the top 500 design firms                                 #25...
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
2011 top 500-design_firms
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FFKR had ENR's top 500 firms for the 2nd year in a row.

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2011 top 500-design_firms

  1. 1. The 2011 Top 500 Design FirmsAugust 2, 2010The industry is still working through odd patches between the recession and what appears to bethe early stages of recovery. As many firms search for clarity about markets and trends, ENR hasre-engineered a new approach to the findings of the ENR Top 500 Design Firms survey. Look fornew infographics with data and viewpoints from the nation’s largest design firms, presented ineasy-to-read formats created to provide readers with fresh insights.Article:The Top 500 Design Firms: Starting the Long, Slow Climb out of the RecessionRankings:The Top 500 Design FirmsTop 500 dialogueTop 20 by sectorTop 50 designers in international marketsTop 100 pure designersTop 500 up close
  2. 2. The industry is still working through odd patches between the recession and what appears to be the early stages of recovery. As many firms search for clarity about the top 500 design firms markets and trends, ENR has re-engineered a new Starting the long, Slow climb out approach to the findings of of the receSSion by gary J. tulacz the ENR Top 500 Design Firms survey. Look for new infographics with data and viewpoints from the nation’s largest design firms, presented in easy-to-read formats created to provide readers with fresh insights.500 60 2010-2011 at a glance 62 Game changer 70 Top 50 designers in 73 Innovation 60 Past decades revenue 64 Who bought whom international markets 74 Top 500 up close 61 Markets analysis 65 Top 500 dialogue 70 Hot markets 74 How to read the tables 61 Hiring 66 Top 20 by sector 72 Top 100 77 Top 500 list pure designers 62 Global market analysis 96 Index of firms 00 2010 at a glance 00 Last Year/This Year 00 The Top Movers 00 Top 20 by revenue 00 Top 20 by catergory 00 Heading Here 00 Top 50 designers in International Markers 00 Top 100 Pure Designers 00 How to read the list 00 Top 500 List 00 Index of Firms enr.com April 25, 2011  ENR  59ENR04252011TOP500_intro.indd 59 4/18/11 9:17:19 PM
  3. 3. the top 500 design firms 2010-2011 at a glance Number of Firms Volume (in $ billions) Number of Firms Reporting Profitability Total Revenue Reporting Size of Backlog 79.8 421 Domestic Revenue 202 Higher International Revenue Lower Domestic Profits Domestic Loss 57.9 Same International Profit International Loss 123 127 137 22.0 42 59 Comparing the Past Decade’s $ 50.1 $ 50.1 $ 49.2 $ 53.0 $ 59.3 $ 69.6 $ 80.6 $ 90.6 $ 80.0 $ 79.8 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Design Revenue (in $ billions) Source: McGraw-Hill Construction Reasearch & Analytics/ENR. For the First time in over three years, the construction market would improve over the next 12 months. Of industry is seeing signs that the deep industry recession the 418 firms on the Top 500 that answered this ques- has bottomed out and the market is turning around. tion, 58.9% said the market would improve. Only 6% But among large design firms, no one is ready to pop believed it would continue to decline, while 35.2% any corks to celebrate. However, most firms believe thought the market would stay the same. the recovery will be a long, slow climb with some “I don’t think anyone believes that we are out of bumps along the way. “Yes, we have the recession yet,” says Brad Perkins, CEO of Perkins The results can be seen in ENR’s Top 500 Design been pressed, Eastman. “We are looking a ‘bathtub’ curve of a re- but there are Firms list. The Top 500, taken as a group, had overall covery. We are out of the drain, but we will have a some really design revenue of $79.8 billion in 2010, down 0.2% good signs in long, gradual rise before we hit a significant upward from 2009’s $80 billion and 11.9% from 2008’s high- the market slope,” says Craig Martin, CEO of Jacobs. water mark of $90.6 billion. Not surprisingly, the do- for the next Dick Fox, CEO of CDM adds, “I think it is going mestic U.S. market was hit harder for the Top 500 than 24 months.” to take two years for the market to come all the way the international market. Design revenue for projects John Dionisio, back. I don’t think recovery will come this year, but in the U.S. for the Top 500 fell 2.3% to $57.86 billion CEO, AECOM there will be slow increases in the market.” in 2010 from $59.22 billion in 2009. Revenue from John Cryer, principal at PageSoutherlandPage, says projects outside the U.S. rose in 2010 to $21.96 billion, he is seeing more private-sector requests for qualifica- up 5.6% from $20.80 billion in 2009. However, do- tions but was surprised at how quickly federal-sector mestic revenue dropped 15.1% over the two-year pe- bids shut down as the debate in Congress over budget riod from 2008 to 2010, while international design cuts heated up. “This time, I think the private sector revenue fell 2.1% during the same time period for the will lead us out of the recession.” Top 500. John Dionisio, CEO of AECOM, says firms have There is a general feeling among the Top 500 firms learned to work smarter and will be better prepared that the markets will recover over the next 12 months. when the market turns around. “Yes, we have all been The ENR online survey contained a series of market- pressed, but there are some really good signs in the related questions, including whether survey partici- market for the next 12 months,” Dionisio says. He did pants believed prospects for the U.S. construction not elaborate on what those signs are. 60  ENR  April 25, 2011 enr.comENR04252011TOP500_overview.indd 60 4/18/11 9:12:15 PM
  4. 4. oVerVieW General Building 16,713.4 (20.9%) market Analysis Transportation Petroleum 16,459.5 (20.6%) 13,596.7 (17.0%) Industrial Water 3,637.3 (4.6%) 5,334.4 (6.7%) Sewer / Waste Hazardous Waste Power Manufacturing 5,273.7 (6.6%) 1,603.9 (2.0%) 6,847.4 (8.6%) 7,685.4 (9.6%) Other (Measured $ millions) Telecom 2,058.6 (2.6%) Source: McGraw-Hill Construction 614.6 (0.8%) Reasearch & Analytics/ENR. Increase Professional Professional (Measured in Domestic International Decrease firms reporting) Staff Hiring Staff Hiring Stayed the Same Source: McGraw-Hill Construction Reasearch & Analytics/ENR. “That the economy seems to be on a steady course toward sustained growth is a cause for optimism, but not exuberance,” says Kathleen McGinty, senior vice 457 parent companies. And two firms on this year’s Top 500 already have been acquired this year. Among the larger deals was Jacobs’ $675-million top 500 firms president of Weston Solutions. She expects weak purchase of the mining and metals operations of Nor- sent surveys in growth in the short term. way’s Aker Solutions. Mining and metals is a very ro- last year. For most, if not all, the firms on the list, the biggest bust market, and the acquisition is squarely in the firm’s concern is project funding in the public sector. “No sweet spot, says Martin. He says the acquisition puts one has money, and no one has a good way to get money, so the public sector is going to be problematic 41.6% Jacobs at the top end of that market, along with Fluor and Bechtel. in the near term,” says Jacobs’ Martin. Only those seg- saw revenue Martin says many design firms have a lot of cash ments within the public sector that have revenue increases but few places to invest it other than through acquisi- streams attached through such sources as tolls or rate- between 2009 tions. “Acquisition prices have finally come down from payers will remain steady to strong, he says. and 2010. previous highs, with multiples now back down to sin- Some firms say a pause in new projects hasn’t gle digits,” Martin states. He says Jacobs is looking for stopped public agencies from preparing for a turn- around in funding. “Utilities are continuing planning 57.1% deals in upstream oil and gas markets as well as the right opportunities in power markets. activity,” says Dan McCarthy, president of Black & saw revenue Canada’s Stantec is one of the most active compa- Veatch’s global water group. “Even in California, where declines nies in acquisitions in the U.S. In 2010, it bought three activity is down by half, agencies are engaged in long- between 2009 firms from last year’s Top 500 Design Firms list: No. term planning. They know they can’t ramp up pro- and 2010. 85, Burt Hill, Philadelphia, for $36 million; No. 318, grams quickly, so they want to be prepared when fund- WilsonMiller, Naples, Fla., and No. 485, ECO:Logic, ing does become available.” Rocklin, Calif. And this year, it has acquired Anshen+Allen Architects, which is No. 284 on this Who Owns Them Now? year’s list. “I believe we have achieved critical mass in One of the biggest trends in the design profession is the U.S., with nearly 5,000 staff to go [and] 6,000 in consolidation among firms. This year, 12 firms from Canada,” says Stantec CEO Robert Gomes. the 2010 Top 500 were acquired or absorbed into their Gomes says acquisitions were difficult in 2008 and enr.com April 25, 2011  ENR  61ENR04252011TOP500_overview.indd 61 4/18/11 9:12:16 PM
  5. 5. the top 500 design firms oVerVieW global market Analysis Asia / Australia Canada 6,338.2 (28.9%) 5,186.1 (23.6%) Middle East Europe 3,131.0 (14.3%) 4,602.4 (21.0%) Domestic Market International Market Revenue: 57,867.5 Revenue: 21,957.3 Latin America 1237.8 (5.6%) Africa Carribean Islands 1,304.0 (5.9%) 157.0 (0.7%) (Measured $ millions) (Measured $ millions) Source: McGraw-Hill Construction Source: McGraw-Hill Construction Reasearch & Analytics/ENR. Reasearch & Analytics/ENR. 2009 because it was tough to value firms in a down market based solely on expectations. Also, many firms had unrealistic estimates of their own value in a reces- sionary market. “As it turned out, we made no acquisi- tions in the first half of 2010 but 10 in the second half,” he says. Stantec believes in the strength of its own brand. “While there is value in brand names of acquired firms, we are acquiring talent, not just a name,” says Gomes. That is why it rebrands the firms it acquires under the Stantec name. “We realize that it is difficult for some firms, but we try to provide the people of the acquired firms with greater resources to match greater chal- lenges,” he says. Seven of the Stantec’s 11 senior vice presidents are from acquired firms. Game changer | By gary J. tulacz Another Canadian designer that made a splash in the U.S. in 2010 was exp Global, which changed its public-parsons partnership name from Trow Global on April 4. The firm acquired Many design firms in infrastructure in determining whether a particular Teng Affiliated Cos., Chicago, which ranked No. 157 markets are seeking alternative project lends itself to alternative on last year’s Top 500, and X-nth, Maitland, Fla., which financing sources for projects. financing and provide them Parsons Corp. is taking the next options on how to proceed,” ranked No. 198. “We had been in the pipeline and oil step by creating a new group, McMorrow says. “We provide sectors in the U.S., but two years ago we redirected the Parsons Enterprises, to help create clients options, and they decide company to be more global in a broad variety of sec- alternative financing plans and, in what is best for them.” tors,” says Rob Petrov, senior vice president of exp the right cases, invest in the But Parsons is not simply willing Global. “We are now a full-service firm in the U.S.” projects themselves. to advise clients. “We proceed on “The joke has been that you the assumption that we may be an Defense contractor SAIC has made a major move would go to conferences on equity partner in the project,” into the construction design market. In the past alternative financing and discuss McMorrow says. Parsons has three years, SAIC has acquired Oklahoma City- the same three projects over and worked on several P3 projects, based Benham Group and Denver-based R.W. Beck. over,” says Ruth McMorrow, new including Autoroute 25 in Montreal “We are one of the few major defense firms that have executive vice president at (see above). McMorrow says that Photo Courtesy Parsons Parsons. McMorrow helped she already is reviewing 12 moved into the construction market through acquisi- arrange public-private deals on projects from other units of tion,” says J.T. Grumski, senior vice president of civil works as an investment Parsons that may be equity SAIC. He says that SAIC is continuing to look to add banker at Scotia Capital, Toronto. financing candidates in the new firms but not to build size. “We are looking for “It will be our job to assist clients transportation and water sectors.  62  ENR  April 25, 2011 enr.comENR04252011TOP500_overview.indd 62 4/18/11 9:12:21 PM
  6. 6. the top 500 design firms specific expertise in enduring markets, such as energy and technology.” Who Bought Whom... Buying Markets Firms from last year’s Top 500 that were recently acquired Many firms are looking to acquire firms so they can expand in their strongest markets. One of the biggest The Acquirers The Acquired was CDM’s acquisition of Wilbur Smith Associates, a deal that was announced on Feb. 25. WSA is ranked 158 Nolte Vertical 5 No. 70 on this year’s Top 500. “This has moved us into the water market and transportation,” says Fox. 94 DLR KKE Architects (335) Another firm getting into new market sectors is 01 AECOM CDI Engineering Solutions, which last year purchased L. Robert Kimball & Associates, Ebensburg, Pa. Kim- 12 Arcadis RTKL Associates Inc. (56) ball was ranked No. 155 on last year’s Top 500. This move gives the firm new capabilities in the infrastruc- 55 T.Y. Lin Medina Consultants (453) ture market, says Bob Giorgio, CDI’s president. Kim- ball’s capabilities let CDI to play in the general infra- 102 H.W. Lochner structure markets as well as allow it to provide added 59 exp Global infrastructure support to its industrial customers, both in the U.S. and abroad, he adds. But not all design firms are looking to grow through acquisition. HNTB topped the $1 billion mark in 2010 25 Stantec Eco:LOGIC Engineering (485) by just $60,000, but the company did it through organic Burt Hill (85) growth. The milestone was a long time coming, says Paul Yarossi, president of HNTB Holdings. “We have not made a major acquisition in the past 10 years.” The move toward consolidation has put many mid- 31 Michael Baker size firms on the defensive. However, some midsize firms say expertise is more important than size. “Firms like AECOM are huge compared to us, but their bridge Acquiring Firm Acquired Firm division is no bigger that ours,” says Mike Britt, vice president of Modjeski and Masters Inc. “I have never 00 2011 Rank (00) 2010 Rank had a client ask me how big we are. They are more concerned about whether we can provide them with a highly skilled team on-site,” says Craig Goehring, CEO, Brown and Caldwell. He adds that consolidation Many design firms are expanding their array of ser- also has removed a few competitors that have been on the vices. For example, AECOM acquired Tishman Con- absorbed into larger firms. Web struction last summer for $245 million. “We always The recession has taken its toll on design firms, but thought of ourselves as pure designers, but everything relatively few have failed. This is because most major is changing, and we found we needed to get into the firms have paid attention to their bottom lines, despite construction side,” says AECOM’s Dionisio. He notes pressures to maintain the top line. “We have been more For expanded that AECOM has no plans to do any self-perform con- content on the selective in selecting projects,” says Carl Roehling, struction and will stick to the construction manage- Top 500 List CEO of SmithGroup. “We don’t want to pursue work see enr.com/ ment side. He says the Tishman acquisition allows just for the sake of volume.” toplists. AECOM to bring both construction and design per- For exp Global, growth is a matter of flexibility. spectives to a client. “You have to have a growth scheme where people can SSOE is another firm that is exploring new services. move from one market to another to take advantage “For the past two years, SSOE has a new focus on of opportunities,” says Ivan Dvorak, executive vice construction and program management,” says Vince president of U.S. operations for exp Global. However, DiPofi, senior vice president of the SSOE Group. He he says business development is a constant challenge. says the firm now can provide clients a full range of “It is like mowing the grass. You let it go for one week project services, including construction and program and things start looking bad,” says Dvorak. management as well as planning and design. “It is now 64  ENR  April 25, 2011 enr.comENR04252011TOP500_overview.indd 64 4/18/11 9:12:21 PM
  7. 7. oVerVieW the top 500 dialogue ENR: Do you see any existing or new technologies ENR: What do you think about the trend toward that are helping change the design process? industry consolidation? BRaD PERkiNs, CEO viNCE DiPOfi, PERkiNs EastmaN sENiOR viCE PREsiDENt New York, N.Y. ssOE Toledo, Ohio “When you have a small professional team at an “the problem is there is a lack of succession international location, it takes a sophisticated planning. the retiring baby boom generation is communication capability to support them. it is leaving many firms without a solid succession hard to imagine how you can work internation- plan in place. since there isn’t viable ally without Bim and Web-based technology.” succession, the best option is to sell.” CaRL ROEhLiNG, CEO ChRis viNCzE, CEO smithGROuP tRC COs. iNC. Detroit, Mich. Lowell, Mass. “the industry is grinding ahead with Bim, but “Consolidation is inevitable as globalization we are not at the point where we can plug in all becomes a bigger factor in the industry. now the elements of design, costs and construction we are seeing an invasion of foreign players in into a model. We are not even close to the industry. Unfortunately, this means regional design-on-the-fly yet.” players are getting squeezed.” ivaN DvORak, ExECutivE viCE kEith WaRta, PREsiDENt PREsiDENt Of u.s. OPERatiONs BaRLEtt & WEst iNC. ExP GLOBaL Topeka, Kan. Chicago, Ill. “We do not hire technicians anymore because “success in our industry has always been the young professionals coming out of schools based on one-to-one relationships. We believe now can handle the technology themselves and that effectively establishing and maintaining work it faster. i am amazed how they can those relationships is what is most important, provide so many alternative solutions.” not the size of the company.” fRaNk CODisPOti, PREsiDENt CRaiG GOEhRiNG, CEO saiC-BENham CONstRuCtORs BROWN aND CaLDWELL McLean, Va. Walnut Creek, Calif. “the world is definitely getting quicker. We have “this industry is very local and highly a new generation of engineers who are growing fragmented in nature. i have never had a client up on twitter and facebook and are beginning ask me how big we are. they are more to show those of us in the non-twitter concerned about whether we can provide them generation how to better communicate.” with a highly skilled team on site.” RON GuiLiaNi, GLENN BELL, CEO sENiOR viCE PREsiDENt simPsON GumPERtz & hEGER iNC. ssOE Waltham, Mass. Toledo, Ohio “We are seeing a definite trend toward facility “We are not looking to acquire for size, but to re-use projects. Laser scanning and point cloud add niche markets or to gain specialized skills. technology allow us to gather information about for example, we are looking for firms with the existing structure quickly without having to expertise in energy markets, and in advanced conduct field studies or surveys.” building skins and materials science.” enr.com April 25, 2011  ENR  65ENR04252011TOP500_overview.indd 65 4/18/11 9:12:59 PM
  8. 8. the top 500 design firms the top 20 by sector 1 iNDustRiaL PROCEss/ 2 tRaNsPORtatiON 3 GENERaL BuiLDiNG PEtROLEum revenue: $10.6 Billion top 20 market share: 64.27% revenue: $7.1 Billion top 20 market share: 42.46 % revenue: $15.2 Billion rank top 20 market share: 88.36 % rank rank 2011 2010 2011 2010 2011 2010 1 1 fLuOR CORP. 1 1 aECOm tEChNOLOGy CORP. 1 1 aECOm tEChNOLOGy CORP. 2 2 JaCOBs 2 2 uRs CORP. 2 2 uRs CORP. 3 3 kBR 3 3 PaRsONs BRiNCkERhOff iNC. 3 3 GENsLER 4 5 amEC 4 6 hNtB COs. 4 4 JaCOBs 5 4 BEChtEL 5 4 LOuis BERGER GROuP 5 5 PERkiNs+WiLL 6 8 uRs CORP. 6 5 JaCOBs 6 6 hOk 7 7 Ch2m hiLL 7 7 Ch2m hiLL 7 7 hDR 8 6 mustaNG ENGiNEERiNG 8 8 hDR 8 10 tEtRa tECh iNC. 9 9 CB&i 9 9 PaRsONs 9 8 skiDmORE OWiNGs & mERRiLL LLP 10 14 WORLEyPaRsONs GROuP iNC. 10 10 stv GROuP iNC. 10 ** aRCaDis/maLCOLm PiRNiE/RtkL 11 10 thE shaW GROuP iNC. 11 14 miChaEL BakER CORP.. 11 11 NBBJ 12 16 fuGRO (usa) iNC. 12 11 atkiNs NORth amERiCa 12 15 CaNNON DEsiGN 13 13 uNivERsaLPEGasus iNtERNatiONaL iNC 13 13 tRaNsystEms CORP. 13 9 hks iNC. 14 15 ENGLOBaL 14 12 kimLEy-hORN aND assOCiatEs iNC. 14 14 Ch2m hiLL 15 12 s&B ENGiNEERs aND CONstRuCtORs LtD. 15 ** kBR 15 17 smithGROuP iNC. 16 11 mCDERmOtt iNtERNatiONaL iNC. 16 17 t.y. LiN iNtERNatiONaL 16 16 PaRsONs BRiNCkERhOff iNC. 17 17 CDi ENGiNEERiNG sOLutiONs 17 18 hatCh mOtt maCDONaLD 17 ** amEC 18 19 iNsitufORm tEChNOLOGiEs iNC. 18 15 WiLBuR smith assOCiatEs iNC. 18 18 tERRaCON CONsuLtaNts iNC. 19 ** CaRDNO usa iNC. 19 16 GaNNEtt fLEmiNG 19 13 PaRsONs 20 ** BuRNs & mCDONNELL 20 20 BEChtEL 20 ** hammEL GREEN & aBRahamsON iNC. (hGa) 20% of our business globally.” firms’ competitiveness. “Contractors are seeing us as Many firms have been able to adapt their organiza- a commodity,” says Dvorak. He says architects par- tions to deal with the sluggish markets. “We have been ticularly are vulnerable to this competitive pressure in able to grow a bit in this market,” says Eric Keen, ex- design-build projects. “They treat all architects as the ecutive vice president of HDR. He attributes this same, except perhaps for the star-chitects.” He says growth to HDR’s ability to share work. some designers are so desperate that they are willing “This is to do preliminary design work on bids for free, and The Competition Is On beginning to contractors and developers are more than willing to look like the The soft market means that competition remains recession of take advantage of that fact. tough. “Some firms are taking jobs at cost or even be- the 1970s ... For midsize firms, teaming with contractors on low cost,” says Dvorak. “The competition is very inflation and design-build projects can be frustrating. “If you are strong, and we are seeing some clients driving costs spiking oil working on a bid, some contractors expect you to work below what is sustainable,” says Glen Bell, CEO of prices that on ‘sweat equity’ in preparing the bid,” says Britt of caused us to Simpson Gumpertz & Heger Inc. He says clients in- struggle even Modjeski and Masters Inc. Contractors often will tell creasingly are looking for more ways to shift risk. after the designers to limit their pre-bid work to just basic en- An executive at one large firm is more blunt. “En- recession gineering on a “least cost” design, rather than what gineering firms continued to reduce fees for engineer- ended.” may be the most appropriate for the project, he says. ing services, resulting in an erosion of respect that the John Cryer, The recent softness in the public markets has added rest of the world has toward the profession. We have Page- to the competitive pressures, drawing more firms into Southerland to stop hurting ourselves and sell our hours for the true Page the private sector. “With the huge decline in the fed- value we bring to our clients. Unfortunately, engineer- eral market, I would not be surprised to see big firms ing firms are signing up for that additional risk without in that market start moving into the private sector, additional fees to compensate for it,” says the execu- where we are focused,” says Chris Vincze, CEO of tive, who asked not to be identified. TRC Cos. Brown and Caldwell’s Goehring admits his Contractors also are taking advantage of design firm’s presence in the private sector is growing. “The 66  ENR  April 25, 2011 enr.comENR04252011TOP500_overview.indd 66 4/18/11 9:13:02 PM
  9. 9. exp globAl Inc. changed its #59 name from Trow Global on April 4. It acquired last years No. 157 Teng Afilliated Cos. and No. 198, X-nth. oVerVieW 4 POWER revenue: $6.1 Billion 5 hazaRDOus WastE revenue: $5.8 Billion 6 WatER revenue: $3.9 Billion top 20 market share: 79.49 % top 20 market share: 84.38 % top 20 market share: 72.28 % rank rank rank 2011 2010 2011 2010 2011 2010 1 3 BLaCk & vEatCh 1 2 aECOm tEChNOLOGy CORP. 1 1 tEtRa tECh iNC. 2 5 saRGENt & LuNDy LLC 2 1 uRs CORP. 2 4 Ch2m hiLL 3 2 BEChtEL 3 3 aRCaDis/maLCOLm PiRNiE/RtkL 3 2 mWh GLOBaL 4 6 aECOm tEChNOLOGy CORP. 4 4 tEtRa tECh iNC. 4 3 aECOm tEChNOLOGy CORP. 5 1 thE shaW GROuP iNC. 5 5 Ch2m hiLL 5 5 uRs CORP. 6 8 BuRNs & mCDONNELL 6 8 BEChtEL 6 7 hDR 7 9 fLuOR CORP. 7 9 PaRsONs 7 6 BLaCk & vEatCh 8 12 amEC 8 7 thE shaW GROuP iNC. 8 8 CDm 9 7 Ch2m hiLL 9 11 CONEstOGa-ROvERs & assOC. 9 16 aRCaDis/maLCOLm PiRNiE/RtkL 10 10 tEtRa tECh iNC. 10 12 fLuOR CORP. 10 10 LOuis BERGER GROuP 11 ** JaCOBs 11 14 WEstON sOLutiONs iNC. 11 ** PaRsONs BRiNCkERhOff iNC. 12 4 uRs CORP. 12 16 staNtEC iNC. 12 11 JaCOBs 13 13 PaRsONs BRiNCkERhOff iNC. 13 13 tRC COs. iNC. 13 ** amEC 14 17 kiEWit CORP. 14 17 thE kLEiNfELDER GROuP iNC. 14 12 staNtEC iNC. 15 15 WORLEyPaRsONs GROuP iNC. 15 15 CDm 15 13 miChaEL BakER CORP.. 16 11 zaChRy hOLDiNGs 16 18 maCtEC iNC. 16 ** kBR 17 16 POWER ENGiNEERs iNC. 17 ** amEC 17 15 CaROLLO ENGiNEERs iNC. 18 18 hDR 18 19 GEOsyNtEC CONsuLtaNts 18 9 PaRsONs 19 19 ENERCON sERviCEs iNC. 19 ** BROWN aND CaLDWELL 19 19 BROWN aND CaLDWELL 20 ** kBR 20 20 JaCOBs 20 ** hazEN aND saWyER PC private side has always been about 30% to 33% of our Congess over the deficit and the budget. business, but it now has pushed above that level.” The soft market in the building sector is leading to rethinking existing facilities. “Our strongest market is Where Is the Money? in existing buildings, in adaptive re-use, renovation The general building markets have taken their lumps and rehabilitation,” says Bell. He says the building during the recession as developer financing dried up stock in many regions is so overbuilt that owners are to a trickle. Project financing has eased a little, but not “In 2011, I desperately looking for new uses. by much. “Domestic conventional financing is very project 88% Spikes in energy prices have opened up a secondary of our gross conservative, with lenders looking for a lot of equity revenues will market of energy retrofits. “Anything to do with en- before financing a project,” says Perkins. “There is a originate in ergy efficiency is hot right now, whether it is in energy lot of money on the sidelines from banks, insurance Asia.” conservation on new projects or in retrofits,” says Bell, companies and pension funds that want to invest, but Paul Steelman, noting an increasing emphasis on the building’s skin. you have to show that the project makes sense.” CEO, “That is where a lot of a building’s systems converge. To go forward, building projects must show clear Paul Steelman This is where an integration between the designer and evidence of a return on investment. “[Clients] are look- Associates the contractor can provide a more integrated approach ing for metrics that support their decision-making to energy savings,” he says. about particular project or designs. They are looking However, many firms say clients are interested in for scientific proof that the money will promote their results, not in appearances. “You have to be able to strategic mission,” says Elizabeth Meek, principal at demonstrate that the retrofits will give a return on Sasaki Associates. investment within two years to make an impact on the Roehling of SmithGroup agrees. “The market is market,” says Dvorak. getting better slowly, incrementally,” he says. However, Increasing emphasis on the provable value of sus- he cautions that public-sector building work, which tainable design has boosted the market for green buoyed many firms in the general building market, may building, but it may have an impact on how sustain- be in for a big correction, citing the current debate in ability is measured. “I don’t think sustainable design enr.com April 25, 2011  ENR  67ENR04252011TOP500_overview.indd 67 4/18/11 9:13:05 PM
  10. 10. JAcobs acquired the mining and the top 500 design firms #03 metals practice of Norway’s Aker Solutions in 2010, giving it a major presence in that growing market. oVerVieW the top 20 by sector 7 sEWER / WastEWatER revenue: $3.6 Billion 8 maNufaCtuRiNG revenue: $1.4 Billion 9 tELECOmmuNiCatiONs revenue: $0.5 Billion top 20 market share: 68.41% top 20 market share: 86.46 % top 20 market share: 81.93 % rank rank rank 2011 2010 2011 2010 2011 2010 1 1 Ch2m hiLL 1 1 JaCOBs 1 1 BLaCk & vEatCh 2 2 aECOm tEChNOLOGy CORP. 2 3 uRs CORP. 2 6 JaCOBs 3 3 mWh GLOBaL 3 2 Ch2m hiLL 3 3 PaRsONs 4 7 uRs CORP. 4 4 tEtRa tECh iNC. 4 4 BEChtEL 5 4 CDm 5 7 maCtEC iNC. 5 5 syska hENNEssy GROuP 6 5 aRCaDis/maLCOLm PiRNiE/RtkL 6 9 GhafaRi assOCiatEs LLC 6 ** mORRisON hERshfiELD 7 6 hDR 7 5 CDi ENGiNEERiNG sOLutiONs 7 7 kCi tEChNOLOGiEs iNC. 8 8 BLaCk & vEatCh 8 8 BuREau vERitas 8 ** ExP GLOBaL iNC. 9 9 tEtRa tECh iNC. 9 6 fOth COs. 9 10 CORGaN assOCiatEs iNC. 10 10 BROWN aND CaLDWELL 10 ** iPs - iNtEGRatED PROJECt sERviCEs 10 15 GPD GROuP 11 11 LOuis BERGER GROuP 11 12 ssOE GROuP 11 ** uRs CORP. 12 12 hazEN aND saWyER PC 12 11 thE DENNis ENGiNEERiNG GROuP LLC 12 ** CDi ENGiNEERiNG sOLutiONs 13 14 sCs ENGiNEERs 13 14 Gza GEOENviRONmENtaL iNC. 13 ** aRCaDis/maLCOLm PiRNiE/RtkL 14 13 CaROLLO ENGiNEERs iNC. 14 17 miDDOuGh iNC. 14 16 tECtONiC ENGiNEERiNG & suRvEyiNG 15 15 GREELEy aND haNsEN LLC 15 16 REyNOLDs smith aND hiLLs iNC. 15 19 miChELs CORP. 16 20 PaRsONs 16 ** BRPh aRChitECts-ENGiNEERs iNC. 16 2 fLuOR CORP. 17 ** amEC 17 20 BuRNs & mCDONNELL 17 ** POWER ENGiNEERs iNC. 18 18 staNtEC iNC. 18 ** GOLDER assOCiatEs iNC. 18 17 tERRaCON CONsuLtaNts iNC. 19 17 JaCOBs 19 18 Cha 19 ** kLiNGstuBBiNs 20 ** iNsitufORm tEChNOLOGiEs iNC. 20 ** CDm 20 ** EsD (ENviRONmENtaL systEms DEsiGN iNC.) has lost any momentum,” says Perkins. publicly funded projects may begin to dry up. “I heard But it has lost some its luster, due in part to the cost that only two states are not currently dealing with def- certification by the U.S. Green Building Council’s icits,” says Yarossi. That kind of atmosphere is not con- Leadership in Energy and Environmental Design stan- ducive to a robust public market. dards. “LEED did a great job in setting the standards The biggest question for infrastructure firms is for green building, but now owners are looking at whether federal funding bills will be passed. “With all other standards to use to measure sustainability,” says “Acquisition the dialogue in D.C., we are afraid that the focus will Perkins. prices have be on spending only what comes in,” says Keen of finally come Several designers say they are surprised to see that down from HDR. “All these continuing funding resolutions have LEED is losing some of its appeal. “I am really sur- previous had a devastating effect on infrastructure. No one can prised that there is not as much demand of LEED highs, with make long-term plans, so public agencies are focusing certification on the commercial side except for Class multiples now on basic operations and maintenance,” says Giorgio. A buildings,” says Cryer. in the single No one seems to be willing to predict whether there digits.” “LEED and sustainability are still the price of entry will be a transportation reauthorization bill this year. for major building projects,” says Roehling. However, Craig Martin , Some firms are concerned whether any major funding Jacobs CEO he says sustainable design now is moving beyond bill will be passed this year. “I am not confident that LEED and focusing on net-zero buildings. “That is major bills will be passed in the current political situ- the next threshold.” ation,” says Martin. “We as an industry have to provide a united front to make sure the funding is there to Lack of Funding Takes Its Toll preserve our aging infrastructure,” says Yarossi. During the beginning of the recession, boosts in fed- Many firms working in the public sector worry that eral and state funding for infrastructure helped soften many public agencies tend to have an inefficient mind- the blow for many construction firms. But, with the set. They tend to be very conservative and decide by budget and deficit debates in Washington and increas- consensus, rather than acting decisively, says one de- ing budget squeezes at the state and local levels, purely signer. The shortage of funding has many public agen- 68  ENR  April 25, 2011 enr.comENR04252011TOP500_overview.indd 68 4/18/11 9:13:16 PM
  11. 11. the top 500 design firms oVerVieW the top 50 designers in international markets rank rank rank 2011 2010 2011 2010 2011 2009 1 1 aECOm tEChNOLOGy CORP. 18 18 PaRsONs 35 32 hDR 2 3 JaCOBs 19 23 mustaNG ENGiNEERiNG 36 25 staNLEy CONsuLtaNts iNC. 3 2 fLuOR CORP. 20 20 hOk 37 37 haLCROW iNC. 4 4 amEC 21 24 GENsLER 38 31 CONEstOGa-ROvERs & assOC. 5 5 kBR 22 ** aRCaDis/maLCOLm PiRNiE/RtkL 39 46 WatG 6 6 BEChtEL 23 30 hatCh mOtt maCDONaLD 40 44 CaLLisON 7 11 uRs CORP. 24 21 skiDmORE OWiNGs & mERRiLL LLP 41 50 RafaEL viNOLy aRChitECts PC 8 7 Ch2m hiLL 25 51 fuGRO (usa) iNC. 42 38 BuRNs aND ROE GROuP iNC. 9 10 PaRsONs BRiNCkERhOff iNC. 26 27 kOhN PEDERsEN fOx assOCiatEs PC 43 39 POPuLOus 10 8 LOuis BERGER GROuP 27 22 CDi ENGiNEERiNG sOLutiONs 44 48 BELt COLLiNs 11 9 CB&i 28 29 t.y. LiN iNtERNatiONaL 45 47 ECOLOGy & ENviRONmENt iNC. 12 12 thE shaW GROuP iNC. 29 26 PERkiNs+WiLL 46 42 CaNNON DEsiGN 13 13 mWh GLOBaL 30 28 CDm 47 45 saRGENt & LuNDy LLC 14 17 WORLEyPaRsONs GROuP iNC. 31 ** mORRisON hERshfiELD 48 43 WiLBuR smith assOCiatEs iNC. 15 15 BLaCk & vEatCh 32 33 ENviRON hOLDiNGs iNC. 49 40 aRuP 16 19 tEtRa tECh iNC. 33 36 iNsitufORm tEChNOLOGiEs iNC. 50 ** vERsaR iNC. 17 14 mCDERmOtt iNtERNatiONaL iNC. 34 ** iNGENium iNtERNatiONaL iNC. cies rethinking their approach to their capital assets. “We are doing a series of roundtable discussions with public utilities on economic realities, and we are find- ing many moving toward a more private-sector busi- ness model in planning,” says McCarthy. Some designers are applying private-sector pro- cesses to public agencies. “We understand government agencies’ needs and show them solutions drawn from the private sector,” says McGinty. But that’s not a one- size-fits-all solution, she notes, saying, “You can’t sell a cash-strapped utility with a Fortune 500 approach.” hot markets | By gary J. tulacz Alternative Financing sun, sand and silicon Thus, many designers are looking to alternative fund- ing approaches. “The debates currently occurring in Interest in solar power is plants producing at least 3,000 Washington, D.C., and many state capitols is not increasing, spurred in part by metric tons a year,” says Bob whether to build and maintain our infrastructure re- international demand for Giorgio, CDI’s president. China’s sources but how to fund these necessary programs,” alternative energy and a recent goal is to produce 10 GW of solar increase in the price of oil. As a power by 2015. “We are working says Tony Bartolomeo, CEO of Pennoni Associates. result, there is more demand for on polysilicon plants in China,” He says the public-private partnerships and innovative the chemical vital to photovoltaic Giorgio says, adding that building technology will have to be relied on to “do more with solar panels: polycrystalline polysilicon plants generally costs limited resources.” silicon, or polysilicon. $500 million and up. German- Dionisio agrees that private financing is needed and Polysilicon is not a new. It serves based Wacker Chemie AG broke as the base for most integrated ground on a $1.5-billion polysilicon beneficial to the building and maintenance of the na- circuits. Now, many design firms, plant in Charleston, Tenn., on April tion’s infrastructure. “What most people don’t realize including CDI Engineering 8. The plant is designed to is that the New York City subway system and most of Solutions, see demand for produce 15,000 metric tons of Los Angeles’ early infrastructure was built by private polysilicon growing exponentially. polysilicon a year. companies. We need to revisit that approach.” He says “China has announced that it is “I would estimate the market will committed to solar power and is grow by 20% to 30% a year for the most of the resistance to private financing is political, aP WideWorld supplying low-interest loans to next several years, and we plan to but the recession is changing that. “You are now seeing companies willing to build silicon grow with it,” Giorgio says.  governors and state legislatures exploring public- 70  ENR  April 25, 2011 enr.comENR04252011TOP500_overview.indd 70 4/18/11 9:13:19 PM
  12. 12. the top 500 design firms the top 100 pure designers FIRM FIRM FIRM RAnk TYpe RAnk TYpe RAnk TYpe 1 eA aECOm tEChNOLOGy CORP. 36 A NBBJ 71 Ae h.W. LOChNER iNC. 2 eA PaRsONs BRiNCkERhOff iNC. 37 Ae CaNNON DEsiGN 72 epL RBf CONsuLtiNG 3 eA aRCaDis/maLCOLm PiRNiE/RtkL 38 Ae hks iNC. 73 e mORRisON hERshfiELD 4 eAp LOuis BERGER GROuP 39 e ENERCON sERviCEs iNC. 74 eA GuLf iNtERstatE ENGiNEERiNG CO. 5 eA hNtB COs. 40 e atC assOCiatEs iNC. 75 A POPuLOus 6 e WORLEyPaRsONs GROuP iNC. 41 Ae smithGROuP iNC. 76 e WOODaRD & CuRRaN 7 e mustaNG ENGiNEERiNG 42 e WiLBuR smith assOCiatEs iNC. 77 e ECs 8 A GENsLER 43 e GREENmaN-PEDERsEN iNC. 78 Aep kLiNGstuBBiNs 9 eAL staNtEC iNC. 44 e WsP usa 79 e haLCROW iNC. 10 Ge fuGRO (usa) iNC. 45 e GEOsyNtEC CONsuLtaNts 80 e kPff CONsuLtiNG ENGiNEERs 11 eA saRGENt & LuNDy LLC 46 e hazEN aND saWyER PC 81 e LaNGaN ENG’G aND ENviRON. sERviCEs iNC. 12 e CDi ENGiNEERiNG sOLutiONs 47 Ae LEO a DaLy 82 e syska hENNEssy GROuP 13 Ae hOk 48 e CaROLLO ENGiNEERs iNC. 83 e vOLkERt iNC. 14 eA miChaEL BakER CORP.. 49 eNV ECOLOGy & ENviRONmENt iNC. 84 eA thORNtON tOmasEtti iNC. 15 eA maCtEC iNC. 50 eA REyNOLDs smith aND hiLLs iNC. 85 eA DLz CORP. 16 A PERkiNs+WiLL 51 e vaNassE haNGEN BRustLiN iNC. (vhB) 86 A CaLLisON 17 eNV CaRDNO usa iNC. 52 e kCi tEChNOLOGiEs iNC. 87 eA Wiss, JaNNEy, ELstNER assOCiatEs iNC. 18 e uNivERsaLPEGasus iNtERNatiONaL iNC 53 A zGf aRChitECts LLP 88 e affiLiatED ENGiNEERs iNC. 19 eA stv GROuP iNC. 54 eA ssOE GROuP 89 e vERsaR iNC. 20 e tRC COs. iNC. 55 e Cha 90 A hmC aRChitECts 21 e tERRaCON CONsuLtaNts iNC. 56 Ae hammEL GREEN aND aBRahamsON iNC. (hGa) 91 eA GhafaRi assOCiatEs LLC 22 e hatCh mOtt maCDONaLD 57 eA DaviD EvaNs aND assOCiatEs iNC. 92 Ae GREsham, smith aND PaRtNERs 23 e kimLEy-hORN aND assOCiatEs iNC. 58 A kOhN PEDERsEN fOx assOCiatEs PC 93 e WhitmaN, REquaRDt & assOCiatEs LLP 24 e thE kLEiNfELDER GROuP iNC. 59 e BuRNs aND ROE GROuP iNC. 94 eC amBitECh ENGiNEERiNG CORP. 25 eA GaNNEtt fLEmiNG 60 eA mERRiCk & CO. 95 e simPsON GumPERtz & hEGER iNC. 26 eA DEWBERRy 61 eAp WOOLPERt iNC. 96 eA shORt ELLiOtt hENDRiCksON iNC. 27 e BROWN aND CaLDWELL 62 e PENNONi assOCiatEs iNC. 97 Ae PaGEsOuthERLaNDPaGE 28 Ae skiDmORE OWiNGs & mERRiLL LLP 63 e mOffatt & NiChOL 98 e Gai CONsuLtaNts iNC. 29 e BuREau vERitas 64 Ae DLR GROuP 99 eA BuRGEss & NiPLE iNC. 30 eNV ENviRON hOLDiNGs iNC. 65 e RummEL kLEPPER & kahL LLP 100 eA C&s COs. 31 e aRuP 66 eA JOhNsON, miRmiRaN & thOmPsON iNC. key to tyPe oF FirM 32 eA t.y. LiN iNtERNatiONaL 67 e s&mE iNC. a architect, E engineer, EC engineer-contractor 33 eA tRaNsystEms CORP. 68 A PERkiNs EastmaN aE architect-engineer, Ea engineer-architect 34 e staNLEy CONsuLtaNts iNC. 69 eA miDDOuGh iNC. ENv environmental, GE geotechnical engineer L landscape architect, P planner and O other. 35 e ExP GLOBaL iNC. 70 Ae RafaEL viNOLy aRChitECts PC other combinations are possible. Firms classified themselves. private partnerships enabling legislation,” he says. Many firms have worked to help their public cus- Yarossi points out that reliance on purely public on the tomers with alternative financing. For example, Par- funding to answer the nation’s infrastructure needs is Web sons Corp. is in the process of setting up an alternative a problem. “There has to be a recognition that there financing consultancy, Parsons Enterprises, which will are a variety of alternative funding sources available to examine its options to provide equity financing on its finance infrastructure,” he says. He notes that the deal own toward select projects (see page 62). On April 7, flow has not been very high in the U.S., but he remains For archived it named Dean Harwood, formerly vice president, as optimistic. “Public agencies are taking a more busi- Top Lists from president of the new group. 2003 to the ness-like approach to their capital programs.” The environmental markets have felt the strain, as present see Martin agrees. “We are not seeing a breakthrough enr.com/ well. “A lot of the work we are seeing is regulatory- Photo Courtesy enViron on public-private partnerships, just a few projects here toplists. driven,” says Goehring, which creates its own chal- and there,” he says. “Private financing is not the answer lenges. He says wastewater technologies are scram- to our infrastructure need. It is just one element of the bling to keep up with regulatory demands. “The easy overall answer.” stuff has already been completed. We are now in a 72  ENR  April 25, 2011 enr.comENR04252011TOP500_overview.indd 72 4/18/11 9:13:21 PM
  13. 13. HnTb cos. topped the $1 billion #17 mark by a mere $60,000 in 2010, joining 16 other $1-billion-dollar U.S. design firms on the list this year. oVerVieW position of determining how to improve existing tech- Roehling of SmithGroup. “We weren’t the first design nologies and validating new technologies to meet cli- firm in, but we are pursuing projects selectively. Smith- ents’ needs,” he says. Group now is working on a 428,000-sq-meter research Goehring thinks design firms have a new challenge: and development center for Chinese automotive giant making sure the public understands the need for fund- FAW in Changchun. ing infrastructure projects in a tough economy. “Once India also is a major target for design firms. “We you get beyond federally funded programs, you have are helping the Indian Dept. of Environment & For- to be able to make the case to the ratepayers.” ests design an approach to remediation and hazardous- waste handling,” says McGinty of Weston Solutions. Greener Pastures The recession in the U.S. has more design firms look- ing abroad. One of the questions on the ENR online survey form was whether designers anticipated increas- ing their international presence in the next three years. Of the 426 Top 500 firms responding to this question, nearly two-thirds, or 66.0%, said yes. Of that group seeking international growth, Asia was the destination of choice, with 165 firms, or 63.2%, saying they believed that region would be their focus. Other regions gaining attention from Top 500 firms were the Middle East (51.3%), Canada (42.1%) and Latin America (37.9%). Only 25.3% of companies said they are looking at Europe. The interest in international work is a natural reac- tion to slow domestic markets. “Recessions always re- sult in designers shifting their priorities to interna- tional work,” says Perkins of Perkins Eastman. During innovation | By gary J. tulacz the recession of the 1970s, for example, firms turned toward the Middle East, while in the 1980s, they environ’s VoC Biotreat looked to Europe. Then, early in this decade, attention Groundwater and airborne volatile bioplant equipment and avoids the turned to Asia, he notes. “Among international design- organic compound emissions are additional costs of carbon ers, if they were doing 15% of their business abroad in regulated by myriad rules from the incinerators and the filtration 2007, they are probably doing 30% now,” he says. U.S. Environmental Protection process. Further, there are minimal The Middle East has continued to be strong for the Agency. Industrial owners CO2 emissions with the new complying with EPA rules generally proprietary process, Adams says. most part, except for some markets. “We have seen treat airborne emissions by using EPA has approved Environ’s some disruptions in the Middle East market from po- activated carbon filters and VOC BioTreat as an alternative litical unrest, but that is mostly localized,” says burning the residue. Waterborne control device for VOCs, and the Dionisio of AECOM. “The markets in most of the emissions are frequently treated process has been installed region are strong. For example, we just won a major through biotreatment with successfully at the Marathon Oil organisms. refinery in Garyville, La. (above). light-rail program management contract in Qatar.” Why not consolidate the The American Academy of Paul Steelman, CEO of Paul Steelman Associates , approach, says Carl Adams, global Environmental Engineers awarded says the most desirable international region for U.S. leader for industrial wastewater VOC BioTreat its Grand Prize for firms is Asia. This area is where the firm’s market is treatment at ENVIRON Interna- Research on March 3, 2011. going to be over the next two years, he notes, saying, tional. “Why have two processes “Every major plant that has a to treat one problem?” he asks. bioplant can use this system,” so “In 2011, I project that 88% of our gross revenues will ENVIRON launched its VOC VOC BioTreat is not expensive to originate from Asia.” BioTreat™ process in 2010, which design and install and the The biggest targets for design firms are China and pipes biodegradable airborne operating costs are minimal India. “The growth rates in India and China and the VOCs into the biotreatment plant compared with the old system, demand that they are creating is part of the upside of treating waterborne VOCs. says Tom Vetrano, SVP of Environ. “Clients have always had Since VOC emission control is Photo Courtesy enViron the international market,” says Martin. The more that biotreatment plants to treat the an issue at most refinery, chemical India and China grow and prosper, the more their water. You just let the bacteria eat and pharmaceutical plants and firms lose their cost competitiveness, he says. the VOCs,” says Adams. The new steel mills, this innovative process “China is a market that never slowed down,” says Environ process uses existing could be a real game-changer.  enr.com April 25, 2011  ENR  73ENR04252011TOP500_overview.indd 73 4/18/11 9:13:26 PM
  14. 14. sTAnTec acquired 10 firms in 2010, the top 500 design firms #25 including last year’s No. 85, Burt Hill, No. 318, WilsonMiller and No. 485, eCO:LOGIC engineering. oVerVieW Weston is helping to plan sustainable cities in India that aim for zero-net energy and water use, she says. One country that has gained a lot of attention re- cently is Vietnam. For example, Paul Steelman Associ- ates is designing a new $2-billion park in Vietnam called Happyland Theme Park as well as Happyland Central, an associated retail complex, about 20 miles from Ho Ch Minh City. Perkins recently completed a master plan for the city of Hanoi. “You are seeing a lot of Japanese and Korean firms investing in Vietnam,” he says. The country is becoming a major focus for development top 500 up close | By debra K. rubin because it has a large, prosperous, literate population and a stable government, he says. Some designers worry about the impact of future Water firm oK With midsize Midsize design firms with revenue internal stress about money went potential economic crises on the industry. “With all between $100 million and $250 away,” Deis says. Carollo will the talk about the deficit and inflation, the current million are often thought of as broaden its ownership—now at situation is beginning to look a little like the recession being the industry’s most only 8% of staff—however, its of the 1970s,” says Cryer of PageSoutherlandPage. endangered species as well as its board will remain in-house, Deis “We went through a period of inflation and spiking oil prime buyout targets. But Walnut adds. Carollo’s growth is flat but Creek, Calif.-based water-waste- profitable, and backlog is up 20%. prices that caused us all to struggle even after the reces- water firm Carollo Engineers Inc. “Water-related work is all we do, sion ended. I hope we do not see that again.” thinks it will do just fine. and we’ve worked hard to make As the market continues to struggle, design firms “We’ve stayed true to the goal of technical innovation what continue to fight to prosper. Firms are innovating, internal ownership, and we’re not distinguishes us,” says Executive exploring new markets and expanding through acqui- tempted by big-dollar numbers,” Vice President B. Narayanan, says Gary Deis, CEO since 2002. noting unique approaches at a sitions. The successful firms are not standing still. “If Carollo has $168.5 million in 2010 Denver project (above). “We value you continue to do traditional things in a traditional revenue and 650 employees. After this culture. It’s a big part of what way, you will have a hard time growing in the market,” market conditions forced the firm motivates us to stay independent Grumski of SAIC concludes.  to re-examine its valuation, “our and employee-owned.”  how to use the tables companies are ranked according to GeneraL BuiLDinG as a category poWer comprises thermal and hydroelectric revenue for design services performed in includes commercial buildings, offices, powerplants, waste-to-energy plants, 2009 in $ millions (*). those with subsidiaries stores, educational facilities, government transmission lines, substations, cogeneration are indicated by (†). for information on buildings, hospitals, medical facilities, plants, etc. subsidiaries and where each firm worked hotels, apartments, housing, etc. seWeraGe/soLiD Waste includes outside of the U.s., see www.enr.com. haZarDous Waste includes sanitary and storm sewers, treatment plants, **firms not ranked last year. some markets chemical and nuclear waste treatment, pumping plants, incinerators, industrial may not add up to 100% due to omission of asbestos and lead abatement, etc. waste facilities, etc. “other” miscellaneous market category and rounding. nA-not available. inDustriaL process comprises pulp teLecommunications comprises and paper mills, steel mills, nonferrous metal transmission lines and cabling, towers Key to type oF Firm refineries, pharmaceutical plants, chemical and antennae, data centers, etc. a architect, e engineer plants, food and other processing plants, etc. ec engineer-contractor transportation includes airports, ae architect-engineer manuFacturinG includes auto, bridges, roads, canals, locks, dredging, ea engineer-architect electronic assembly, textile plants, etc. marine facilities, piers, railroads, env environmental tunnels, etc. petroLeum includes refineries, Ge geotechnical engineer petrochemical plants, offshore facilities, Water suppLy includes dams, reservoirs, L landscape architect Photo Courtesy Carollo pipelines, etc. transmission pipelines, distribution mains, p planner and o other irrigation canals, desalination and potability other combinations are possible. treatment plants, pumping stations, etc. firms classified themselves. 74  ENR  April 25, 2011 enr.comENR04252011TOP500_overview.indd 74 4/18/11 9:13:30 PM

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