We have a new president, we have gone through the holidays, and we have watched the stock market and economy head into a tailspin. Bring on 2009; it can’t get any worse, can it?
It remains to be seen if our new president can bring the “change” that was so espoused during the campaign. I don’t see many new faces in his cabinet. For better or worse, this is what we will have for at least the next four years, and we need to work hard and smart to get through the next couple of years. The long and continued decline in the residential sector is steadily creeping into the commercial sector. There is no doubt about it, fewer owners with less financing means fewer jobs to bid, declining work backlogs, more competition and reduced (if any) profit margins.
All of the forecasts predict 10-20 percent less work in the commercial sector this year. Steel plants are already reducing their work force and down to 60 percent capacity, and construction accounts for 40 percent of the mills’ total. So, tougher times have started.
Last month I talked about the AWCI hitting 90 years and the ups and downs it has faced. Any of us who have been in business for more than 10 years has seen this kind of downturn, although none have been quite this bad. The fact is, if we are smart with our business plans, we don’t panic, we stay involved with our local associations as well as AWCI for industry updates, and most of us will get through this. No, not every company will survive, but that is the nature of business: The strongest and smartest survive, and the weaker fold. It happens, and hopefully, we will all be better for it.
Think of the next two years as nothing more than another challenge we face. Ultimately, I am sure we will deal with it.
In the meantime, if your office staff is looking for something to do, send them to Atlanta at the end of this month for AWCI’s Academy, and start planning now to get to the AWCI Convention & Intex Expo in Nashville. There is much to learn and talk about, and there is no better time than the present!
