Vision and Goals of Bechtel Corp.
Bechtel Corp is one of the leading building and construction firms in the US. The revenue growth that the company has realized in the past years has effectively propelled it to the top of the global standings in line with the firm’s visions and values. Bechtel Corp is founded on the vision of becoming the world’s premier engineering, construction, and project management organization that is driven by the need to offer exemplary results to its clients. The vision of the firm is also to enhance career development of its employees while simultaneously profiteering from the values offered to the clients.
The activities of the firm are based on multiple principle values that have been central to the growth of Bechtel. The ethical focus of the company promotes the integration of integrity, honesty, and fairness as part of the working models in the institution. In addition, the company is based on the foundation of quality services, safety and health of the employees and clients, career development of the employees and interns working with the firm, and diversity promotion as part of the organization’s culture. Moreover, Bechtel is guided by aspects of innovation and strong relationship with clients to develop a competitive edge over other players in the industry.
Besides the mission and the values, the activities of the firm are influenced by the covenants that it enters with its stakeholders. The firm believes in respecting all persons regardless of the locations where they operate. It also sets a covenant of building trust and delivering in line with the high expectations of the clients. Also, the company has a covenant of exploiting curiosity to develop solutions and subsequently share the new models with other players in the industry. This is in line with the company’s goal of collective growth which enables the employees of the firm to learn and advance their careers.
Organizational Environment and Change-Associated Risks
The growth of the firm into the fifth largest privately owned business entities in the US has been a result of the favorable internal environment. The company, which employs thousands of employees and operates in dozens of countries globally, has participated in some high profile construction works which have significantly boosted its reputation in the industry. One critical factor that acts in favor of Bechtel Corp. is the relative cost advantage that the company possesses over rivals. In addition, the firm has accumulated a large asset base which enables it to complete construction tasks more effectively and in a timely manner. As a result, the firm has been associated with both quality and reliable services.
In addition, Bechtel has heavily invested in research and development in a bid to develop new models to offer construction services to the clients. The move has enabled the company to tackle complex tasks more effectively. The employees are another strength that the company has over its rivals. It has focused on developing the skills of the employees and empowering them to growth their careers. As such, the workers are motivated to deliver quality services to the company’s clients. It is thus not surprising to note that Bechtel has some of the most loyal clients across the globe. From these clients, the company has benefited through service referrals, enabling it to effectively expand its operations across the world in line with its vision of becoming the leader in the global construction industry. Also, the company is increasing its online growth which is a positive trend in its business globalization efforts. It makes it easily reachable by the clients and potential clients who want to file inquiries, complaints, or complements.
However, critical analysis of the industry also shows that the company may face significant threats which may derail its growth ambitions. The first threat is the quality of communication between the company’s management and its stakeholders. This may affect the quality of stakeholder confidence in the services offered by the company. It will make it much easier for the progressively growing competition to eat into the current market share held by Bechtel. Also, the degree of innovation that the company has adopted so far is insufficient. As a result, Bechtel has not been able to capture the middle income market which promises to be the epicenter of the future construction industry. It is thus necessary that the company reviews its processes to develop technologies that will enable it to offer cheaper building solutions to middle income clients.
Other critical concerns for the company include the weak positioning in the lucrative real estate market, the weakening brand in the wake of alternative technologies, and the ubiquity of products and services offered by the company. If the firm does not tackle the emergent challenges, it is likely to lose a large section of its current customers to opposition. The sustainability of the loyalty that many clients have so far invested in the firm may dwindle. Cultural, social, and political factors may also affect the success of the company in the global scale, especially its operations in the developing markets with relatively unstable economic and political landscapes.
Determining Quality Requirements by Customers
Quality Management System
Quality Review Measures
Improving Efficiency and Job Effectiveness
Based on the observed challenges and market trends, Bechtel can consider multiple options to improve their relationship with the clients and strengthen their market positions. The first recommendation is a stronger leadership. The company should establish people-focused leadership that takes into account the critical needs of the clients while simultaneously respecting the rights of the employees. The strong management will enable the firm to establish loyalty and hence continued support from all stakeholders.
It is also recommended for the company to review its pricing strategy to make the products more accessible to middle income earners. The premium pricing strategy currently in play in the firm has locked out a large segment of the potential market. Further, the firm should improve on its reputation management and adopt innovative construction technologies to meet the demands of the contemporary construction industry. Further, it is recommended for the company to diversify its processes. The current segment in which the company operates is approaching maturity. As such, a diversification strategy leading to heavy investment in real-estate would be ideal for future growth aspirations of the company.
The major reason why the company has higher price tags on its construction projects is the technology used. As a result, Bechtel is unable to reach middle income segment of the societies. The emergence of the rival firms reliant on alternative technologies that are cheaper and more environmentally friendly could thus derail the growth efforts of the company. Therefore, it should venture into the alternative cheaper construction technologies as a way of delivering building and construction solutions to the economically incapacitated global populations in the wake of post-depression recovery. This move will also help the company avert the anticipated price wars and product substitutions that will emerge as the alternative technologies grow in popularity.