MBN USA

April 03, 2024

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Demand for construction services to help drive growth and diversification

Tell us a little about your background and your company.

Established in 2011, Alpha & Omega Industries LLC (A&O) is a prominent commercial construction company headquartered in Carrollton, Texas. Operating primarily in Texas and Oklahoma, A&O has three integral divisions:

• Alpha & Omega Construction Solutions

• Diversified Electrical Solutions

• Alpha & Omega Management Solutions

The company’s mission is to provide trusted construction solutions, while adhering to its core values: Integrity, Sustainability and Constructability, Compassion, Perseverance and Leadership. These principles not only form the foundation of A&O but also shape the collective identity of the men and women that make up this team. A&O aspires not only to deliver outstanding construction services but also to leave a lasting, positive impact on the communities it engages with, embodying a commitment to longevity and community enrichment in every endeavor. 

What is the state of the construction industry in Texas, and how does that impact your company? 

The construction industry in Texas remains robust, sustained by population growth, urbanization and ongoing infrastructure projects. A&O operates within this thriving environment, experiencing both opportunities and challenges. The high demand for construction services in key metropolitan areas presents avenues for growth and diversification.

However, intense competition and operational constraints, such as labor shortages and fluctuating material costs, necessitate a strategic approach. A&O prioritizes innovation, efficiency and adaptability to maintain our competitive edge. By investing in technology, training and process optimization, we enhance our ability to deliver value to clients while navigating market dynamics effectively. Additionally, strategic partnerships and market insights help us mitigate risks and capitalize on emerging opportunities. In essence, the state of the construction industry in Texas directly influences A&O strategies, performance and overall trajectory.

What are your biggest challenges and opportunities in the construction industry?

The Texas construction industry finds itself at the intersection of promising growth and formidable challenges, with the most pronounced obstacle being the scarcity of skilled workers. Despite companies reveling in the current optimism and flurry of projects, a resounding concern echoes within the industry — where to find the necessary workforce. The state, currently amid a construction boom, wrestles with multiple unfilled positions due to the severe shortage of skilled labor.

Even when positions are filled, there’s a noticeable gap in the skill set compared to those who vacated the roles. Compounding this challenge is the aftermath of COVID-19, causing a significant exodus of qualified workers, leaving a knowledge gap that demands time to address. The retirement of craftsmen from a previous generation, coupled with declining enrollment in vocational schools, exacerbates the shortage. In response, the Texas construction industry is witnessing innovative solutions, with a resurgence of trade schools appealing to students seeking lucrative careers without the traditional higher education path. Beyond the workforce challenge, the industry wrestles with the impact of extreme weather events, population growth straining resources, and volatile material prices influencing budgets. Addressing these multifaceted challenges necessitates strategic planning, technological investment and collaborative efforts between stakeholders and policymakers for the sustained growth of Texas’ construction sector.

What role has certification played in your business’ success? 

A&O is MBE [minority business enterprise], DBE [disadvantaged business enterprise], SBE [small business enterprise] and HUB [historically underutilized business] certified. Our certifications have significantly contributed to A&Os’ business success. We were able to utilize our certification to provide us with a vehicle to be able to participate in projects that we may had not been included on.

Although certification does not guarantee work, it does provide for a fairer distribution of economic opportunities that historically have not been awarded to minority and/or female companies. A&O has a long-standing relationship with the DFW [Dallas Fort Worth] Minority Supplier Development Council and the North Central Texas Regional Certification Agency. Through our collaboration with these certifying bodies, we have been able to use our membership to pinpoint firms that align with our company’s objectives; increase our exposure to contractors, organizations, public entities and supply chain advocates; and provide access to funding entities.

Additionally, these certification agencies provide invaluable insights into market dynamics, analytic research data and emerging opportunities, bolstering our strategic decision-making capabilities. By harnessing certification as both a partnership tool and a source of market intelligence, we’ve established fruitful alliances with other industry members such as Austin Commercial, JE Dunn Construction, ONC National, The Beck Group, Archer Western, Balfour Beatty, Azteca-Omega Group and Phillips May Corp.

A&O strongly believes that certification should never be the main thing that a firm tries to leverage but an additional tool that helps grow economic capacity. A&O does not identify itself as merely an MBE company but as a good contractor that builds successful projects within budget and on time — and just happens to be African American-owned. 

What’s your outlook for the construction industry over the next three to five years, and what does that mean for your company?

The construction industry is poised for robust growth over the next three to five years. With increasing infrastructure development and a global focus on sustainability, we believe the demand for construction services will remain high. Technological advancements, such as building information modeling (BIM) and automation, continue to enhance productivity. Modular construction seems to be a new favorite with owners that are looking to address compressed schedules while trying to create controlled environments to drive constructability and efficiency. Governments worldwide seem to be poised to continue to invest in large-scale infrastructure projects to further stimulate economic growth, creating even more opportunities for construction companies.

This current surge in the construction industry has been a huge contributing factor to the growth realized at A&O, which has been able to leverage our past job experiences and long-term relationships to become a preferred company in our ever-growing sector. We believe that we will continue to see steady growth over the next five years. 

With the expected growth, we will strive to continue to grow our infrastructure, increase our management, grow our skilled workforce and diversify the markets that we serve.  A&O is cognizant that as we excitedly anticipate continued growth in the construction market, we will have to address challenges like fluctuating material costs and skilled labor shortages. Our ability to adapt to these challenges through innovation and strategic partnerships will be crucial. As the construction sector experiences steady expansion and evolution in the coming years, A&O will be ready.

To learn more about Alpha & Omega Industries, visit ao-ind.com.

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