Last week I participated in a panel presentation entitled “What AEC Firms Need to Know about the International Markets,” at Deltek’s annual Insight Conference.  I was joined by panel colleagues Mick Morrissey of MorrisseyGoodale and Brian Raber from Merrick & Company.  Together we sought to lay out a brief sketch of the international opportunity – the why, where, and how – along with some lessons learned from real world international experience.  About half of the attendee audience cited at least some international project experience; only a few of their firms had operational offices or teams overseas.  Our presentation was well received, and it’s clear that there is real interest in international work.  That’s encouraging, because the international opportunity is going to be big.

Globalization of the AEE industry is underway, and international clients and partners will become a more important part of the business of many firms.  AEE leaders looking to grab a part of this opportunity should be moving now to consider, vision, learn, plan, and network – building now a foundation for future international business success.  And no firm is too small to be thinking globally – I’ve seen big international success in small companies of fewer than 10-20 employees.  (Frankly, size and scale offer no guarantee of success – India and China have long been particularly challenging markets for large U.S. companies (think Google, as just one recent example).

The International Monetary Fund predicts that many countries around the world will enjoy GDP growth of 5% or more over each of the next several years – much higher than the 1-3% forecast for the United States and European Union.  Hot areas for sustained growth include China, India, Southeast Asia, Sub-Saharan Africa, and much of South America.  Even in North America, economic growth in both Canada and Mexico may outpace domestic U.S. expansion over the next few years.

Of course “chasing the money” is rarely a good idea as a sole justification.  Growth-oriented firms must look not only at the market and demand, but also at the capabilities of their own organizations, and the key factors of success with international expansion.  One piece of good news:  there’s a wealth of useful, relevant, and targeted information available.  However, as you dive in I’d suggest this focusing strategy:  1) .gov, 2) .org, and 3) .com.  There’s a lot on the web, and it’s easy to get overwhelmed, sidetracked, or to pay for information that can be gathered elsewhere for free.

I recommend beginning your information search with the U.S. government, in particular the State Department (http://www.state.gov/) and Commerce Department (www.trade.gov/cs, and http://www.export.gov/).  Several state governments also provide international business resources and assistance for U.S. firms.  Other useful sites include those of the World Bank (http://www.worldbank.org/, and http://www.doingbusiness.org/), and numerous private sites targeting specific regions, countries, or important topics (for example cultural diversity, or business etiquette abroad).

In the past a great deal of the international work of U.S firms was captured opportunistically – through clients, partners, or employee connections.  As the global economy rebounds, these channels will remain important and fruitful.  But in the future many leaders – armed with a more comprehensive and intentional strategic vision – will make still better decisions concerning international growth and development in their firms.  It’s time to get this vision work done now.

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