The post Read the Latest News on Digital Transformation to Boost Aggressive Profit and Headcount Targets, Peel Ports Selects £750m UK and Ireland Construction Providers, and Government Hub’s Final Building Phase Awarded Contract appeared first on UK Construction Blog.
In today’s news, we will look into the United Kingdom in which the majority of engineering companies believe that digital transformation will assist in reaching aggressive profit and headcount goals. Peel Ports has named vendors for a construction framework worth £750 million across the United Kingdom and Ireland. In addition, the contract for the final phase of building of the government hub has been awarded.
Most UK Engineering Firms Expect Digital Transformation to Boost Aggressive Profit and Headcount Targets
Original Source: Most engineering firms in UK anticipate digital transformation will help drive ambitious profit and headcount goals
Deltek is the world’s foremost provider of software and solutions for project-based enterprises. New study from this year shows that UK project-based firms are enthusiastic about the role technology will play in helping them achieve their growth goals in 2025.
Many UK project-based enterprises will experience digital technology-assisted growth in 2025, according to new data from Deltek. Despite economic challenges, businesses remain focused on their goals. A majority of 83% are aiming to boost profit growth this year, while 42% anticipate a substantial increase in headcount. Sixty percent of engineering firms, compared to forty-four percent of all professional services industries questioned, expect their gross profit margins to improve by more than 10% in 2025, which is the most ambitious growth forecast for the year.
According to the study, which surveyed engineering, architectural, and consulting firms in the United Kingdom, technology and automation are the most promising areas for increasing profits. Two of a company’s most important goals should be the effective application of new breakthroughs, such as AI (37%), and the investment in new technology, such as adopting AI (39%). In addition, cybersecurity is a major concern; 36% of project-based businesses rank it as one of their top three priorities, up from 23% the year before.
The digital transformation industry is rapidly maturing.
Over half of UK project-based enterprises are now at the “Mature” or “Advanced” stage of their digital transformation development, up from 32% in 2024, because to the focus on technology developments. This shows that companies are putting an emphasis on digital transformation and developing at a faster rate.
To be more specific, several professional services have already reached a level of digital maturity that was not anticipated to be reached until 2027, two years earlier than their 2024 estimates.
This year, project-based firms in the UK will also rely heavily on AI and automation to achieve their key performance indicators (KPIs). In the next three years, project managers will face increasing constraints related to talent competition (30%) and project complexity (28%). But 40% of businesses are tackling this head-on by making AI and automation their top priorities to simplify project processes. After falling to 59% in 2024, 75% of project managers are confident in their abilities to monitor profitability, budget, and customer satisfaction in 2025.
There will be a “pivotal time” to use digital technologies in 2025.
The professional services industry is quickly catching on to the efficiency gains and expansion possibilities offered by digital transformation, according to Neil Davidson, Deltek’s group VP of the professional services sector. As many businesses still aim for expansion in 2025, this year is critical for making the most of technological advancements.
It’s encouraging to note that, as we haven’t seen in previous Clarity reports, the change in technology is also supporting more assurance in monitoring project metrics. Their capacity to control the aspects that contribute to accomplishing KPIs is being further enhanced by the progress professional services organizations have achieved in integrating technological innovations ahead of schedule. To keep businesses on track to achieve their objectives, effective monitoring is critical for gaining insight into key performance indicators, optimizing processes, and improving productivity.
Increasing the size of their personnel is a goal for many companies.
With 76% intending to increase employment in 2025, project-based UK businesses are doing more than just investing in IT; they are also growing their workforce. Compared to previous year, when only 58% of businesses anticipated increasing their employment, this is a huge improvement.
When compared to the average of 34% of professional services organizations, engineering firms were the most ambitious in terms of major headcount rise, with 42% wanting to grow their talent pool by more than 10% in 2025. A lack of investment in staff upskilling (48% of organizations) and engagement (34% of organizations) is still having a negative impact on these businesses.
To combat this and give young professionals more agency in the workforce in 2025, companies are focusing on fostering an environment that values teamwork and new ideas (51%), rewarding lifelong learning (49%), and giving employees access to cutting-edge technology (45%).
Peel Ports Selects £750m UK and Ireland Construction Providers
Original Source: Peel Ports names suppliers on £750M UK and Ireland construction framework
A new construction framework, unveiled by Peel Ports Group, will support a large £750 million program of works across its UK and Ireland facilities. The company has appointed 18 contractors under this framework.
Numerous construction projects, both new and old, with a combined expected lifespan of eight years, will be made possible by this multi-lot structure.
Here are the confirmed individuals:
- A E Yates
- C Spencer
- Charles Brand
- Erith Contractors
- Glencar
- GPS Marine & Civil Services
- J Murphy & Sons
- Jackson Framework
- John Graham Construction
- JT Mackley & Co
- Lagan Aviation & Infrastructure
- Mackenzie Construction
- McLaughlin & Harvey
- Octavius
- RJ McLeod
- Southbay Civil Engineering
- Story Contracting
- Taziker Industrial
The contractors will be involved in a variety of tasks; Lot 1 is for general construction, Lot 2 is for marine construction, and Lot 3 is for major projects on a national scale.
The chosen vendors will be participating in initiatives all around Peel Ports’ vast portfolio, which encompasses well-known sites like the Port of Liverpool, Heysham Port, Manchester Ship Canal, London Medway, Clydeport locations, Great Yarmouth, and Dublin Port, among many others.
Essential to the smooth running of the ports, the framework is designed to bring about necessary infrastructure upgrades. Drainage, road building and maintenance, earthworks, foundation and piling, warehouse building and renovation, pavement, rail building, bridge construction and demolition are all part of the general construction activities.
Marine Construction, meanwhile, will be in charge of more specialised work including piling, asset renewal, quay wall and berthing furniture maintenance, and sluice gate and lock repair or replacement.
All companies who wanted to be considered had to show that they were dedicated to the local community and that they followed all the rules when it came to health, safety, the environment, and quality. Peel Ports’ larger sustainability objectives, including its target of net-zero operations by 2040, are compatible with this approach.
“We are pleased to announce the 18 contractors who have been selected to carry out this important work across our ports in the UK and Ireland,” stated Lewis McIntyre, managing director of port services of Peel Ports Group.
Thanks to our stringent procurement procedure, we were able to choose the top national and regional partners who would back our efforts to expand our logistics hub network.
“They have made a significant investment in the future of our operations, and we are excited to work with them on the design and construction of many exciting projects in the coming months and years.”
Government Hub’s Final Building Phase Awarded Contract
Original Source: Contract awarded for final construction phase of government hub
Wates has been appointed to carry out the Category B fit-out, marking the final phase of construction for a new government office in Manchester City Centre.
The selection of a new contractor marks the beginning of the final phase of construction for the new government headquarters in Manchester City Centre.
After a competitive tender process, Wates was contracted to execute the Category B (Cat B) fit-out of the Government Property Agency’s (GPA) First Street Hub.
The fit-out works of the hub, which involve making sure the nine-story structure is ready for office usage, will be handled by the company. Following the recent practical completion of the Category A (Cat A) fit-out and lease commencement, it represents another significant milestone in the program.
The Manchester First Street Hub, which was inaugurated as a component of the GPA’s Government Hubs Programme, will house approximately 2,600 government employees from various departments, such as the Ministry of Housing, Communities and Local Government (MHCLG), the Department for Business and Trade (DBT), the Office for Standards in Education (OFSTED), and the Department for Education (DfE). It is scheduled to be finished in the autumn of 2026.
When asked about the GPA’s capital projects, Georgina Dunn, the interim director, stated:
Before heading into the home stretch of delivering this outstanding building, the last big barrier to overcome was appointing the Cat B contractor. Being one of the biggest cross-departmental centres outside of London, the facility will offer state-of-the-art office space to thousands of government employees. With a NABERS 5.5* rating, it is one of the most environmentally friendly buildings in the United Kingdom, adding to its impressive list of sustainability features.
As we strive to offer civil workers across the UK sustainable, high-quality environments, we are pleased with the progress we have made so far.
In order to achieve the goal of the Government Hubs Programme, which is to secure growth nationwide, the Pension Insurance Corporation (PIC) forward-funded the £105 million development. Modern, customer-focused, and varied workspaces where civil workers may thrive are being delivered under the program, which is crucial in rationalising the government’s estate in towns and cities across the UK.
First Street Hub is a state-of-the-art, accessible, and inclusive public space that is conveniently located within a short stroll of the rail stations on Oxford Road and Deansgate. The 12,000 sq. m. structure is designed to accommodate varied work styles, with areas that promote community, creativity, and cooperation.
According to Scott Camp, Managing Director of Smartspace, Wates’s fit-out and refurbishment business:
After our successful collaboration in Croydon’s 2 Ruskin Square and Darlington Economic Campus, we are thrilled to continue working with the Government Property Agency.
Our success in winning the contract for the Cat-B fit-out at Manchester First Street is evidence of our ability to create contemporary office spaces that are both functional and aesthetically pleasing. A state-of-the-art workspace will be made available to thousands of government employees as a result of this project, allowing them to work together more effectively. Our dedication to our mission of “Reimagining places for people to thrive” is further strengthened by the creation of yet another outstanding workplace that promotes efficiency and happiness.
Summary of today’s construction news
Overall, we discussed Software and solutions for project-based organisations which are provided by Deltek, the world’s foremost vendor. According to a new report published this year, project-based businesses in the UK are optimistic about the potential of technology to assist them in reaching their growth objectives by the year 2025. At the same time, Peel Ports Group has introduced a new framework for construction that will underpin a massive £750 million program of works at its sites in the United Kingdom and Ireland. With this structure in place, the business has hired eighteen independent contractors. The last stage of construction for a new government office in Manchester City Centre, the Category B fit-out, will be carried out by Wates. The last stage of building the new government offices in Manchester City Centre has begun with the selection of a new contractor.
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