Please note! This essay has been submitted by a student.
Assuming the role of management consultant, who has the role of conducting a strategic case analysis of AECOM Company I will provide the company with recommendations for improved long-term performance. The main focus of the report is to conduct a strategic analysis of AECOM that involve external and internal environmental scanning, including PESTEL, Five-forces analysis, Stakeholder analysis, internal strength-weakness and SWOT analysis. The report includes an analysis of the major problems or issues faced by the company, and conclude with recommendations to assist the company in dealing with its major strategic problems and how to focus on the continued improvement of the company in the longer term. Finally I will discuss the potential problems AECOM could face in implementing its future strategy.
Brief description of the organization AECOM formerly known as AECOM Technology Corporation is US multinational engineering firm. AECOM stands for Architecture-Engineering-Construction-Operations, and Management services. (AECOM, 2018). 25 years back, AECOM was framed when handful of Ashland Inc. representatives shared a fantasy of making an industry-driving firm devoted to improving the world a place.In1990, AECOM turned into an autonomous organization framed by the merger of five Ashland elements. (AECOM, 2018)While our official founding was in 1990, a portion of our forerunner firms had recognized chronicles going back over 110 years.
From that point forward, in excess of 50 organizations have joined AECOM and, in 2007, we turned into a traded on an open market organization on the NYSE: ACM. Amid 2014mix with URS Corporation was a distinct advantage for the business, dramatically increasing our income and workforce, promoting our status as the world’s #1-positioned building design firm by income, as indicated by Engineering News-Record magazine.
In 2015, AECOM were perceived by Fortune magazine out of the blue as a World’s Most Admired Company. Today, recorded on the Fortune 500 as one of America’s biggest organizations, AECOM’s gifted representatives — including draftsmen, engineers, designers, organizers, researchers and management experts — now serve customers in excess of 150 nations around the globe. AECOM is a chief, completely coordinated proficient and technical services firm situated to design, fabricate, back and work foundation resources around the globe for open and private-segment customers. AECOM is a pioneer in the greater part of the key markets that AECOM serve including transportation, offices, natural, vitality, oil and gas, water, elevated structures and government and give a mix of worldwide achieve, local knowledge, advancement and technical excellence in conveying altered and innovative arrangements that address the issues of our customers’ undertakings.
The Company’s sections incorporate design and consulting services, construction services and management services (AECOM, 2018). Its Design and Consulting Services fragment is occupied with arranging, consulting, architectural and building design services to commercial and government customers in real end markets, for example, transportation, offices, natural, vitality, water and government. Its CS section is occupied with construction services, including building construction and vitality, foundation and modern construction, fundamentally in the Americas. Its MS fragment is occupied with programming and encouraging management and support, preparing, coordination’s, consulting, technical assistance, and frameworks reconciliation and data innovation services, principally for offices of the United States government and different national governments (AECOM, 2018).
The Company’s Design and Consulting Services section includes a scope of services, by and large gave on an expense to benefit premise. Its services incorporate arranging, consulting, architectural and building design, program management and construction management for mechanical, business, institutional and government customers. Its services require technical expertise, which incorporate common, basic, process, mechanical, geotechnical systems and electrical engineering, compositional, landscape and inside design, urban and regional planning, venture financial aspects, cost consulting and ecological, wellbeing and security work. It gives services to DCS fragment both specifically and through joint endeavors or comparable accomplice plans to end markets or business areas, which incorporate transportation, offices, environmental and vitality/control .Its serves transportation area, including travel and rail, marine, ports and harbors, interstates, extensions and passages, and flying. It serves offices area, including government, modern, urban ace arranging/design, commercial and relaxation offices, instructive, medicinal services and remedial. It serves environmental sector, including water and wastewater, natural management and water assets. It serves vitality/control area, including demand side management, transmission and dissemination, elective/sustainable power source, hydropower/dams and sun oriented (AECOM, 2018).
The Company’s CS fragment gives services both straightforwardly and through joint endeavors or comparable accomplice plans, to end markets and business areas, which incorporate building, vitality, and foundation and modern. Its building area gives construction, program and construction management services for scale building and office construction ventures. It is occupied with arranging, designing, building, developing, retrofitting and keeping up a scope of intensity producing offices, and additionally the frameworks that transmit and appropriate power. It additionally gives services to utilities, industrial co-generators, free power makers, unique hardware producers and government utilities. It likewise gives a scope of arranging, design, building, construction, generation, and activities and upkeep services over the oil and gas upstream, midstream and downstream inventory network (AECOM, 20l 8).
For downstream refining and preparing tasks, the Company designs and develops gas treatment and handling, refining and petrochemical facilities, and gives resource management and upkeep services for oil sands generation offices, oil refineries and related substance, vitality, power and preparing plants. For oil and gas investigation and generation, the Company gives transportation, building, construction, manufacture and establishment, appointing and upkeep services for boring and well site offices, gear and process modules, site framework and off-site supporting offices. Its framework and industrial segment gives construction, program and construction management services for scale foundation ventures (AECOM, 2018).
It additionally gives a scope of building, acquisition and construction services for industrial and process offices and the extension, adjustment and redesign of existing offices. It gives services to neighborhood, state, federal and national governments, and also partnerships. Management Services the Company’s MS fragment is a contractual worker to the United States federal government and it serves a scope of government divisions and offices, including the Department of Defense the Department of Energy and other United States federal agencies. It additionally serves divisions and offices of different national governments, for example, the UK Nuclear Decommissioning Authority and the UK Ministry of Defense. Its services go from program and offices management, preparing, coordination’s, consulting, frameworks building and technical assistance, and frameworks joining and data innovation. (AECOM, 2018)
Internal analysis of the organization
Strengths As one of the main firms in its industry, AECOM has various strengths that empower it to flourish in the commercial center. These strengths not just assist it with protecting the piece of the pie in existing markets yet in addition help in infiltrating new markets. The strengths and weaknesses inward to the association. Outer components the openings and dangers displayed by the outside condition. The inner elements might be seen as strengths or weaknesses relying on their effect on the associations goals (Nadine Pahl, 2009). What may speak to strengths regarding one goal might be weaknesses for another goal. the components may incorporate the majority of the 4ps; and additionally work force back producing abilities and so on. The outer variables may incorporate macroeconomic issues mechanical change enactment and socio-social changes and in addition changes in the commercial center or focused position. For instance it might have a tendency to induce organizations to order records instead of consider what is extremely vital in accomplishing goals. it additionally exhibits the subsequent records uncritically and without clear prioritization so that for instance powerless open doors may seem to adjust solid dangers.
Weaknesses Value creation Recognizing competences from capability results is vital. At the point when directors talk about distinctive competences our examination shows that they more often than not begin by announcing the results of competences. TMTs ﬁnd it amazingly difﬁcult to recognize distinctive competences, yet simple to distinguish distinctive skill results and distinctive resources that may be misused by competences thus convey distinctive fitness outcomes. A recognizing normal for a distinctive capability result is that it can’t be overseen specifically; rather the competences convey the results that can be overseen (Böhm, 2009). For instance, ”notoriety for on-time conveyance” is an ability result not a fitness. It is the specific arrangement of competences that empower the notoriety to be picked up that can be overseen deliberately.
Likewise, ease creation is regularly contended to be a fitness, though it is a capability result that may not be distinctive except if it can be maintained through the proceeded with abuse of distinctive competences. Center Competence alludes to that arrangement of distinctive abilities that give a firm a reasonable wellspring of competitive advantage. Center skills rise after some time, and mirror the association’s capacity to convey distinctive assets and abilities in an assortment of settings to pick up and manage competitive advantage. Center capabilities emerge from the reconciliation of different innovations, and coordination of various creation expertise. Three tests are utilized to distinguish an organization’s center fitness.
A center ability ought to be stretchable to a wide assortment of business sectors, Contribute fundamentally to finished result benefits/customer value, and are adequately better than substantively separate from the contenders. The advantages of center abilities may not show up for at least ten years, since it regularly takes that ache for new markets to develop. Accordingly a key duty of best administration is to set aside short-run contemplations and set aside opportunity to envision the organization’s future, distinguish what center capabilities it will need, and accumulate the assets to fabricate them. A company’s future center capabilities might be very not at all like its present ones.
Throughout the years AECOM has fabricated a solid conveyance organize that can achieve greater part of its potential market. Exceedingly talented workforce through fruitful preparing and learning programs. AECOM is putting gigantic assets in preparing and improvement of its representatives bringing about a workforce that isn’t just exceptionally gifted yet additionally persuaded to accomplish more. Solid merchant network – It has manufactured a culture among wholesaler and merchants where the merchants advance organization’s items as well as put resources into preparing the business group to disclose to the client how he/she can extricate the most extreme advantages out of the items. AECOM has fabricated mastery at entering new markets and making achievement of them. The extension has helped the association to construct new income stream and expand the monetary cycle hazard in the business sectors it works in. Throughout the years AECOM has put resources into building a solid brand portfolio.