Accenture analyzed 37 leading construction companies for the basis of its report on the trends in the construction industry. The report shows how the multipolar world, characterized by multiple centers of economic power and activity, has impacted the old business models and created challenges for construction companies. Yet, the new macroeconomic environment also offers opportunities for those companies that can favorably position themselves in the changing landscape.
The global construction industry is expected to grow over the next decade—especially in the rapidly emerging economies of Asia, Latin America, the Middle East, Africa and Eastern Europe. Fuelled by urbanization, globalization, infrastructure renewal and the burgeoning needs of developing “megacities,” construction in emerging markets is expected to double within a decade and will become a $6.7 trillion business by 2020, accounting for some 55 percent of global construction output, according to the “Global Construction 2020” report published by Global Construction Perspectives and Oxford Economics.
To benefit from trends in the construction industry, Accenture recommends that companies look at adopting new construction industry strategies to better position themselves to manage the supply side and capture the increased demand.