BROGAN: Folks coming out of schools are incredibly sophisticated, where technology can be quite stimulating and have great potential. How do you balance that? A lot of folks are coming in and saying, try this software, try this methodology. But it is balancing all that, that continual from the lowest level to being innovative.
PUGLISI: This industry hasn't changed enough, and my fear is that the next three, five or even ten years, it still won't have changed very much. I joked recently, "I know construction computers are important on the job site. If the computers go down, somebody will definitely notice within three days." There is a kernel of truth in that. The job would not stop, it would carry on.
KERSHAW: I think we are seeing a shift in the way we do business. Where it used to be the traditional roles where the separate architect, the separate GC, the separate MEP, it's now starting to come together: Total program management, holistic views of buildings, LEED, green buildings, high technology buildings. I'm not just talking about corporate owners, but individual owners demand that sophistication in the end product, which is going to cause a revolution within the industry. We form more joint ventures today than ever before because we want to embrace a partner that gives us that technology or capability that rounds out what we do.
RUBIN: Are you finding pressure for IT outsourcing or sending work overseas? Is that something you are doing; is it a factor at all?
KERSHAW: Don't equate outsourcing with sending it oversees.
RAMLETH: We are not being asked to offshore it, but one way to solve your cost
structure is find how you can find cheaper labor. We have done that in our primary business for 10 years, where we have an engineering center in New Delhi. We are now saying, well, it worked very well in our primary business, why shouldn't it work in our supporting business.
STOCKLEY: I think the most successful outsourcing engagements occur in organizations where the IT budget is fairly substantial to revenue. I think it's a much more intimate business decision than an industry decision. There is a significant difference between what Bechtel does and what Skanska does. And trying to give an answer that is industry-oriented is probably pretty difficult.
KERSHAW: It's a matter of finding the right partner, and then working that relationship. I'm convinced that all business is relationships.
RUBIN: In this industry it certainly is. It has to do with the initial thing about the relationship with the CEO. Do you have a good relationship, are you accepted in top
management? Do you have his or her ear?
KERSHAW: I'm smiling because I'm in the exact opposite position. I'm the president,
I'm not CEO. The CEO is actually from the IT side of the business. I'm in that role reversal: he's wondering why we haven't done more in the technology framework. I get a lot of support for our IT initiatives that way.
ANDERSON: I get great support. When I first came into the company, they asked for this audit and then they asked me to come on board and I said, "Only on one condition, that is I report to the CEO." There was a lot of discussion at the table, and it wasn't answered right away. The CEO and I have a great relationship personally and professionally. I just have to remember how many words I can say to him involving technology before his eyes roll back. That's my major concern.
WOLGEMUTH: I think if you went around the room, we are doing more than technology in many cases. We are getting pulled into decision-making and collaboration that involves more of an operations focus. Not only are we getting that platform, we are getting the opportunity to contribute at a different level. Five years ago, we would have been more technology focused. Five years from now we will be more focused on running businesses.
RUBIN: Are you part of the strategy? Fast enough for you or not fast enough? Are you being brought in enough at a high enough level and being able to contribute so that it creates value?
AUTHELET: Isn't it all about trust? From a business standpoint, it is all about margins. These organizations really have to trust you because regardless of how inexpensive we are relative to the overall revenue in the business, you're spending a whole lot of money, and IT can get out of control like that (snap) and we all know it.
PUGLISI: I think it's how you are perceived. It's the image that you project. Are you a techno person or are you a business person?
SCHRIENER: Are you all finding that your roles are expanding?
STOCKLEY: I think IT at one point was extremely critical, and I think the CEO must always endorse various large issues, but I think most CEOs say the amount of pressure the organization is putting on each of us is substantial enough. What you have to do is use your senior management team, more times than not in prioritizing the issues, not creating them. There are kids coming out of college that are creating issues at a pace that is just unbelievable. And your ability and your finite set of resources to respond are stretched. I think the key is not as much about expecting CEOs to sit and talk IT shop with you, but really try to say that supports and that alliance with this business objective. And this idea aligns with this business objective, and some instances our job is to socialize any IT initiative with the operations initiative.
GULAS: I think at the end of five years if all I had to show for working this area was that I reduced costs, optimized costs, I'd be pretty upset with myself. There is a lot of focus on trying to reduce costs and I think we need to optimize costs. You can't optimize out innovation, so you have to support that.