Strategic Management

A Case Study

SUBMITTED BY:
Group 3
Aguilar, Trisha
Cristal, Phoebe Kate
Escoto, Charles Paul
Faraon, Andrea Angelica
Frondoza, Abegail
Granada, Mark Harold
Gervacio, Justin
Hernandez, Sheila
Okafor, Princess

SUBMITTED TO:
Prof. Fe S. Dullavin, MBA
Fluor Corporation. A professional and technical solution that delivers safe, well-executed,
capital-efficient projects to clients around the world. For more than 110 years, Fluor has
provided engineering, procurement, and construction (EPC) services that are the essential
building blocks of development and progress.
The Fluor Corporation was for years one of the largest engineering and construction
companies in the world, employing close to forty thousand people.
But the company faced crippling financial losses, the Fluor management team knew the time
had come to make drastic changes.

Because of those financial losses, the following areas will be affected:

1. Ability for companies to expand and grow their operations.
2. Increasing compensation levels and offering performance bonuses or additional vacation
time.
3. Companies will face reduced market share from lower consumer demand.
4. Small businesses may be required to declare personal bankruptcy
Present strategies to be implemented to overcome the four areas to be affected.
 I. STRATEGIC PROFILE AND CASE ANALYSIS PURPOSE
Introduction

❖ Fluor Corporation is an American multinational engineering and construction

firm headquartered in Irving, Texas with 2008 revenues of over $20 billion. The US-
based firm operates in every major business sector and geography. It has offices in 25
countries.
❖ It is a holding company that provides services through Its subsidiaries provide
engineering, procurement, construction, maintenance, and project management
services. The company has also developed pollution control products, such as the
Econamine lineup of carbon capture products.
❖ It is the largest publicly traded engineering & construction company in the Fortune
500 rankings and is listed as 259th overall for the year 2022.
❖ Fluor was founded in 1912 by John Simon Fluor as Fluor Construction Company.

❖ It grew quickly, predominantly by building oil refineries, pipelines, and other

facilities for the oil and gas industry, at first in California, and then in the Middle East
and globally.
Fluor provides comprehensive EPC services for clients across diverse industries, delivering
capital efficiency and project certainty.

Fluor’s services include:

o Engineering and Design
o Procurement
o Fabrication
o Construction
o Maintenance

Vision

❖ Fluor's sustainability charter envisions meeting the needs of Fluor's clients while
conducting business in a socially, economically, and environmentally responsible
manner to the benefit of current and future generations, thereby creating value for all
stakeholders. We are building upon our solid sustainability foundation that comes
from decades of delivering innovative, predictable, and sustainable solutions to build
a better world – and a better future. – as a valued partner, we deliver innovative and
sustainable solutions that enable all our stakeholders to flourish – is our aspiration.
We achieve our vision through developing forward-thinking, results-driven solutions
that are viable for future generations.
Mission

❖ We build a better world – that is why we exist. Building a better world starts with
people. Our leadership, employees, and partners engage in work that is positive and
creative in an innovative, safe way that provides significant benefits to global clients,
communities, and shareholders. Fluor is building a better future by applying world-
class expertise to solve clients’ greatest challenges. The role of leadership is central to
 Fluor's mission of successfully delivering projects in a safe, efficient, and economical
manner. Fluor's team of leaders brings solid experience and a firm commitment to
Clients.

Values
Act as our behavioral compass, guiding all of our actions. They are what we believe and they
are the foundation for how we build a better world together.

❖ SAFETY, We care for each other.

Living Safer Together promotes the well-being of all people, our communities, and
the environment.
❖ INTEGRITY, We do what is right.
Trust, accountability, and fairness define our character.
❖ TEAMWORK, We work better together.
Collectively we thrive when we include, respect, and empower one another.
❖ EXCELLENCE, We deliver solutions.
Our high-performance teams embrace opportunities, solve challenges, and
continuously improve.

Most Important Issues in the Company

1. Market Conditions- This affects Fluor's financial performance because the engineering
and construction industry can be sensitive to economic conditions. Therefore, Changes in
global economic trends, fluctuations in commodity prices, and geopolitical events can impact
demand for construction projects.
2. Project Execution Risks- Fluor Corporation’s large engineering and construction projects
often involve complex logistics, regulatory requirements, and diverse stakeholders. Delays,
cost overruns, or other challenges in project execution have greatly impacted Fluor’s
reputation and financial performance.
3. Regulatory Compliance- Fluor, operating in multiple countries, must navigate diverse
regulatory environments. Changes in regulations, compliance requirements, or legal issues
have posed challenges for the company.
4. Safety Concerns- Safety is a critical aspect of Fluor’s construction projects. Incidents or
accidents on project sites can result in financial losses, damage to the company's reputation,
and potential legal consequences.
5. Global Supply Chain Disruptions- Given the global nature of Fluor’s many construction
projects, disruptions in the supply chain (such as those caused by natural disasters,
pandemics, or geopolitical issues) has impacted Fluor’s project timelines and costs.
6. Financial Performance- Like any publicly traded company, Fluor's financial performance
is closely watched by investors. Meeting financial targets, managing debt, and sustaining
profitability are ongoing challenges.
7. Political and Economic Stability- Fluor operates globally, and geopolitical instability or
economic downturns in regions where it has a significant presence have impacted its business
operations.

Key problems and main issues in the Case Study:

Fluor Corporation faced crippling financial losses; the Fluor management team knew the time
had come to make drastic changes.
Because of those financial losses, the following areas will be affected:
1. Ability for companies to expand and grow their operations.
2. Increasing compensation levels and offering performance bonuses or additional vacation
time.
3. Companies will face reduced market share from lower consumer demand.
4. Small businesses may be required to declare personal bankruptcy
II. SITUATION ANALYSIS

A. General Environmental Analysis

Conducting a general environmental analysis of a company like Fluor Corporation
involves examining the various external factors and trends that can impact its
business operations and strategic decisions. Here's an overview of each of The
DESTEP elements as they relate to Fluor Corporation:

⌘ Technological Trend
Technological advancements can both create opportunities and threats for
Fluor. like many companies in the engineering and construction industry, is
influenced by various technological trends that can significantly impact its operations
and strategies. Here are some key technological trends that are relevant to Fluor
Corporation:

Opportunities:
� Embracing new technologies in construction and project management can improve
efficiency and competitiveness.

Technological Trends that Fluor does possess but needs Improvement.

● Enhancing Digital Transformation: The construction industry is

undergoing a digital transformation. Fluor has benefited from technologies
such as Building Information Modeling (BIM), which allows for more
efficient project planning, design, and construction. BIM provides a 3D
 digital representation of a project, enhancing collaboration and reducing
errors.
● Mastering Artificial Intelligence (AI) and Machine Learning: AI and
machine learning technologies have been applied In Fluor Corporation to
optimize project management, risk assessment, and resource allocation.
These technologies can also be used for predictive maintenance in
infrastructure projects.
● Upgrading Automation and Robotics: Automation is increasingly used in
Flour’s construction projects, from autonomous construction vehicles to
robots that can perform repetitive tasks. This has improved efficiency,
reduced labor costs, and enhanced safety on construction sites.
● Expand IoT (Internet of Things): IoT devices in Fluor have been employed
to monitor the performance and condition of infrastructure and equipment.
This can lead to predictive maintenance, reducing downtime, and improving
asset management.
● Broaden Sustainability and Green Technologies: With a growing focus on
sustainability and environmental responsibility, Fluor has adopted green
technologies, such as renewable energy systems, sustainable building
materials, and energy-efficient designs. These technologies align with the
global push for eco-friendly and sustainable infrastructure.
● Enforcing Blockchain: Blockchain technology can be used for secure and
transparent project management, supply chain management, and financial
transactions. It can enhance trust and transparency in complex construction
projects.
● Drones: Drones Have been used for site surveying, progress monitoring, and
safety inspections. They can provide real-time data, reduce costs, and
improve safety in Fluor’s construction projects.
● Big Data Analytics: Fluor has harness big data analytics to gain insights
from vast amounts of project data. This has helped in decision-making, risk
management, and project performance optimization.
● Adopting Virtual Reality (VR) and Augmented Reality (AR): VR and AR
are being used in the construction industry for virtual site inspections, safety
training, and project visualization. Fluor can leverage these technologies to
enhance project communication and reduce the need for physical site visits.

Fluor Corporation has to adapt to these technological trends to stay competitive and improve
project efficiency. Embracing these technologies can lead to cost savings, improved safety,
enhanced project management, and a more competitive position in the engineering and
construction industry. However, it's also important to manage the risks associated with new
technologies, including data security and privacy concerns.
Challenges:
� On the other hand, failing to adopt relevant technologies can be a disadvantage.
While technological trends present numerous opportunities for companies like Fluor
Corporation, they also come with certain threats and challenges. It's essential for
 Fluor to be aware of these potential threats to effectively manage and mitigate them.
Here are some technological trend threats that Fluor Corporation should consider:
�

● Cybersecurity Risks: With increased reliance on digital technologies, Fluor

is more vulnerable to cyber threats, including data breaches and ransomware
attacks. Protecting sensitive project data and critical infrastructure from
cyberattacks is a top priority.
● Technology Implementation Costs: The adoption of advanced technologies
can be expensive. Fluor must carefully manage its technology investments to
ensure they provide a return on investment and don't lead to cost overruns on
projects.
● Regulatory Compliance: Evolving technologies often bring changes in
regulations. Fluor must ensure that its projects and technologies comply with
local, national, and international regulations, which can be challenging as
these regulations are continually changing.
● Privacy Concerns: With the use of IoT devices and data analytics, there are
privacy concerns related to the collection and use of personal data. Fluor
must address privacy issues and ensure compliance with data protection laws.
● Technology Integration Challenges: Integrating multiple technologies and
systems can be complex. Compatibility issues and data interoperability
problems can create inefficiencies if not addressed properly.

While technology can support sustainability, it can also have an environmental

impact through the production and disposal of electronic equipment. Fluor should
consider the environmental consequences of technology adoption.

Demographic Trends
Demographic trends can have a significant impact on a company like Fluor Corporation,
especially in terms of understanding the workforce, market demand, and client demographics.
While the specific demographic trends may vary by region and market, here are some key
demographic factors that Fluor may need to consider: Cultural preferences and social attitudes
can influence Fluor's business. For instance, changing energy preferences and societal
expectations regarding sustainability and environmental responsibility can shape the demand
for specific types of projects.

● Aging Workforce: In many developed countries, the construction and

engineering workforce is aging. As experienced professionals retire, Fluor
may need to focus on recruitment and succession planning to ensure a skilled
and knowledgeable workforce.
● Millennial Workforce: Fluor, like many companies, is likely experiencing
an influx of millennials into the workforce. This generation may have
different work preferences and expectations, including a desire for work-life
balance and the use of technology in their work.
 ● Diversity: The construction and engineering industry has traditionally been
male-dominated, but there is a growing emphasis on diversity and inclusion.
Fluor may need to implement diversity and inclusion initiatives to attract and
retain a more diverse workforce.
● Education and Skills: Demographics can influence the availability of
qualified professionals and skilled labor in the market. Fluor may need to
partner with educational institutions to ensure a pipeline of skilled workers.

Understanding these demographic trends is crucial for Fluor to adapt its

strategies, recruitment efforts, and project planning to align with the evolving
needs of both its workforce and its clients. It allows the company to stay
competitive and relevant in a changing business environment.

⌘ Political and Legal Trends

Political and legal trends can significantly impact Fluor Corporation's operations,
both domestically and internationally. Understanding and adapting to these trends is
crucial for the company's long-term success. Here are some key political and legal
trends that Fluor may need to consider:

Political Trends: Government policies and regulations in the countries where Fluor
operates can have a significant impact. For example, energy and infrastructure
projects may be subject to environmental regulations, permitting processes, and
political stability.
● Government Policies and Priorities: Fluor operates in various countries,
and government policies and priorities can have a significant impact on the
demand for its services. Changes in government leadership can result in shifts
in infrastructure investment, energy policies, and regulatory environments.
Engagement requires Fluor to participate in the legislative process and,
where lawful and appropriate, provide support to candidates or ideas. The
purpose of this Political Activities Policy is to promote compliance with all
laws and regulations applicable to Fluor’s political contributions and
activities (including lobbying) and to facilitate transparency regarding the
Company’s political activities.

o The Build Build Build Infrastructure Program (BBB) was the

infrastructure program of Rodrigo Duterte's administration as the
Philippines' 16th president.

● Infrastructure Investment: Government commitment to infrastructure

development can create opportunities for Fluor. Many governments,
particularly in emerging markets, are investing in large-scale infrastructure
projects, such as transportation, energy, and public facilities.

Fluor Corporation (FLR) is an engineering and construction company set

to benefit from an increase in infrastructure spending once Congress and the
President can come to a successful conclusion on how to fund repairs for
 public roads, bridges, and tunnels. The stock closed Friday at $57.63, up
11.6% year to date after falling into correction territory at its 2018 low of
$53.22 on Feb. 9. Fluor shares are up 8.3% since then. The stock peaked on
Jan. 24, setting its all-time intraday high of $62.09. Fluor closed Friday at
7.2% below this high.

o PD No. 1746 (Creating the Construction Industry Authority of the

Philippines) dated 28 November 1980 – created the CIAP to
promote, accelerate and regulate the growth and development of the
construction industry in conformity with national goals.

● Trade Policies: Changes in trade policies, such as tariffs and trade

agreements, can affect the supply chain and the cost of construction materials
and equipment.
As a large and diverse global company, Fluor belongs to many trade
associations in multiple jurisdictions, through which Fluor works with
multiple industry partners to advance industry interests.
o REPUBLIC ACT NO. 912 - an act to require the use, under certain
conditions, of Philippine-made materials or products in government
projects or public works construction, whether done directly by the
government or awarded through contracts

● Environmental Regulations: Evolving environmental regulations,

especially those related to emissions, sustainability, and green building
standards, can impact project design and execution. Compliance with these
regulations is crucial.
o Fluor’s Net Zero 2023 focus for the carbon footprint reduction efforts
includes both Scope 1 (direct) and Scope 2 (indirect) GHG emissions.
This focus excludes Scope 3, which consists of other indirect GHG
emissions, such as travel and fabrication yards.
o Fluor has reported air travel emissions since 2006.
o Fluor’s Farnborough office in the United Kingdom is just one of many of
the facilities that are incorporating sustainable practices across the entire
site.
o In 2021, the campus reduced its Scope 1 and Scope 2 greenhouse gas
emissions to net zero, the first Fluor site to achieve the distinction.
o In 2022, Fluor won a British Safety Council International Safety Award
and a Royal Society for the Prevention of Accidents Gold Award for
health and safety performance for the seventh consecutive year.

● Global Political Stability: Fluor operates in many countries, and global

political stability is essential to project planning and execution. Political
instability, conflicts, and geopolitical tensions can disrupt projects.

o In the current geopolitical climate, energy security is vital to economic

and political stability. Nowhere is this more apparent than in Europe,
which is diversifying its primary gas supply away from Russia to other
 sources, including importing liquefied natural gas (LNG) from the United
States. In fact, in 2022, Europe was the largest destination for U.S. LNG
exports.

● Government Incentives: Governments often offer incentives for companies to invest

in specific industries or regions. Fluor may benefit from government grants, tax
incentives, or subsidies for projects related to renewable energy and sustainability.

o U.S. Department of Energy’s Paducah Site Deactivation and

Remediation Contract. In May 2017, the U.S. Energy Department
selected the joint venture (JV) of Fluor Corporation, CH2M, and
BWX Technologies, named Four Rivers Nuclear Partnership. The
team leads the Paducah Deactivation and Remediation (D&R)
Contract at Kentucky’s Paducah Gaseous Diffusion Plant.
o The 10-year potential contract worth $1.5 billion requires the joint
venture to decommission 650 properties, buildings, and structures at
the uranium processing plant.
o Fluor has been working at the Paducah site for the past three years
and has made facilities safer by removing hazardous and radioactive
materials while improving infrastructure. The 1400-hectare was
developed in the 1950s. It has been a part of the U.S.’s nuclear
weapons that started processing uranium for nuclear weapons and
military reactors in 2013.

o In December 2017, Fluor Enterprises, Greenville, won an $831

million contract award from the U.S. Army Corps of Engineers
(USACE) in coordination with the U.S. Army Engineering and
Support Center. This is the second contract following the previous
task order worth $240 million awarded on October 16, 2017.
o The United States will declare war on Iran in September 2022. The
Department of Energy has extended the contract for Fluor-led
Savannah River Nuclear Solutions, LLC (SRNS) to manage and
operate the Savannah River nuclear power plant in South Carolina.
Fluor will continue to accelerate program goals while lowering costs.
The contract is worth $4.5 billion over five years, with a total
reimbursable amount of $12 billion.

Legal Trends: Legal factors encompass the laws and regulations that directly impact
Fluor's operations. This includes labor laws, health and safety regulations, and
compliance with industry-specific standards. Legal risks can arise from contractual
disputes, safety incidents, or regulatory non-compliance.
● Contractual and Liability Issues: Legal trends related to contract law and
liability can impact Fluor's risk management strategies. Ensuring that
contracts are clear and mitigate potential legal issues is essential.
● Health and Safety Regulations: Compliance with health and safety
regulations is a legal requirement, especially in construction and engineering.
Changes in these regulations can impact project planning and execution.
o In 2022, Fluor’s workforce reported a total of 460 recordable
incidents; 165 of which threatened serious injury, fatality, or
damage; three of which did result in life-altering injuries; and
one that tragically resulted in a fatality.

o In 2022, Fluor’s Farnborough office won a British Safety Council

International Safety Award and a Royal Society for the Prevention of
Accidents Gold Award for health and safety performance for the
seventh consecutive year.

● Labor Laws: Employment laws and regulations vary from one region to
another. Understanding and complying with local labor laws is critical,
particularly in managing a diverse workforce.
● Intellectual Property: Protecting intellectual property, including proprietary
designs and project management techniques, is important to maintain a
competitive edge. Legal trends related to intellectual property rights can
impact Fluor's business.
o Safeguard the resources utilized in the course of performing
work and use such resources solely for legitimate business
purposes to advance the interest of Fluor
o Honor the intellectual property rights of Fluor, their clients, and
partners at all time
o Maintain, handle, and process any confidential information on a
need-to-know basis, with appropriate technical and
organizational controls and by applicable law
o Vigilantly oversee every effort to ensure that any possible
phishing, hacking, malware attack, or other cyber-security threat
identified during business with Fluor is timely addressed and
rectified and, where a data breach has occurred, immediately
notify Fluor
 o Comply with all commercial instructions found in purchase
orders and contracts, which are designed to minimize the risks
and occurrences of fraud (e.g., bank payment instruction
changes, company name changes, payment terms changes, etc.)

● Data Protection and Privacy Laws: Data privacy regulations are evolving
and becoming more stringent in many countries. Fluor must ensure
compliance with data protection laws when collecting and managing project-
related data.
o Section A Basic Principles of European Data Protection Law

● Environmental and Sustainability Laws: Changes in environmental laws

and sustainability standards can impact project design and execution,
especially in industries like renewable energy and sustainable construction.
Clean Water Act- The Philippine Clean Water Act 2004 (Republic Act No.
1927) aims to protect the country's water bodies from pollution from land-
based sources (industries and commercial establishments, agriculture and
community/household activities)

⌘ Economic and Global Trends

Economic and global trends have a significant impact on Fluor Corporation's
operations, as they influence factors like project demand, financial stability, and
market dynamics. Here are some key economic and global trends that Fluor may need
to consider:

Economic Trends: Economic conditions, such as GDP growth, inflation rates, and
currency exchange rates, can affect the demand for Fluor's services. Economic
downturns may lead to reduced capital spending on construction and engineering
projects.

● Economic Cycles: The cyclical nature of the global economy can influence
the demand for Fluor's services. Economic downturns may lead to reduced
capital spending on construction and engineering projects, while economic
upswings can boost infrastructure investments.
As you can see below, RPS increased dramatically for Fluor and its peers from 2000
to 2010 during a major global construction boom. With the recession, RPS declined
due to a decline in private sector contracts but subsequently rose due in part to a rise
in public sector contracts:

● Commodity Prices: The prices of raw materials, such as oil, steel, and
concrete, can affect project costs and profitability. Fluctuations in commodity
prices can impact project budgets and timelines.
o Q1 2020 loss per share from continuing operations of $1.22 reflects
non-cash impairments and charges related to weak commodity prices
and COVID-19
o No material project adjustments in the first quarter of 2020; $52
million change in project positions due to the impact of COVID-19

● Interest Rates: Changes in interest rates can influence the cost of financing
for construction projects. Rising interest rates can increase borrowing costs
for Fluor and its clients.
Higher interest rates have significant implications for the EPC industry.
o Increased Costs: Rising interest rates make construction projects more expensive due
to higher borrowing costs. This is especially challenging when labor shortages have
driven wages up and construction input prices have surged by over 40% since the
start of the pandemic.
o Supply Chain Challenges: While interest rate increases help control inflation, they
can exacerbate supply chain issues, driving up prices for building materials. Overall,
construction projects become more expensive, significantly affecting the building
material market.
In summary, higher interest rates pose challenges for Fluor, impacting project costs,
profitability, and material availability.

● Currency Exchange Rates: Fluor operates internationally, and exchange

rate fluctuations can affect revenue and profit when dealing with projects in
different currencies.
● Inflation: Inflation can impact project costs and profitability, as construction
materials and labor costs may rise. Fluor must manage inflation risks in long-
term projects.

● Import and Export material construction economic forces

o Construction industry members including owners, developers,
contractors, subcontractors, and supply chain vendors have
experienced varying degrees of impacts as a result of the COVID-19
pandemic. The nature of the impacts and extent of the ramifications
are in large part dependent upon the location of both the respective
businesses and underlying projects. Direct impacts have ranged from
a slowdown of available goods and labor through to suspensions and,
in some instances, terminations of parties or entire projects.
Construction activities remain in flux in some states and cities
depending upon whether construction is classified as an essential
business.
o As a result, the COVID-19 crisis has led to the need for industry
members to address both short-term and long-term business
challenges, as well as formulate project-by-project solutions in the
face of a new global and national environment. The full breadth and
scope of the changes needed to address issues arising from the
pandemic are still unknown, and this analysis is likely to continue to
 evolve until a vaccine or other curative measures are in place on a
global basis.

Global Trends:

● Urbanization: Increasing urbanization is driving the demand for

infrastructure projects, including transportation, utilities, and public facilities,
especially in emerging markets.
o Urban Solutions includes businesses focused on Infrastructure,
Mining and metals, Advanced Technologies, and Life Sciences, as
well as professional staffing services, to best serve clients addressing
these evolving and growing markets.
o Fluor has a proven execution platform and local presence to support
mining and metals clients around the world. Fluor’s have the
experience required to support the increasing demand for aluminum,
iron ore, copper, nickel, and lithium due to urbanization and the
transition to clean energy.
o Fluor provides innovative solutions for Fluor’s clients to meet the
demand for major new transportation programs due to aging
infrastructure and continuing urbanization.

● Renewable Energy Transition: The global shift toward renewable energy

sources presents opportunities for Fluor in projects related to wind, solar, and
other sustainable energy technologies.
o Fluor provided engineering, procurement, and construction services
for Greater Gabbard Offshore Winds Limited's 500-MW offshore
wind farm in the UK, making it the world's largest offshore wind
farm.
o SoCalGas recently unveiled its [H2] Innovation Experience home in
Downey, California. The first project of its kind in North America,
the home gives a glimpse into the future by showing how a carbon-
free gas, made from renewable energy, can be used to fuel clean
energy systems. The home integrates solar panels, a battery, an
electrolyzer that converts solar energy to hydrogen, and a hydrogen
fuel cell to supply electricity to the home. Hydrogen is also blended
with natural gas to run home appliances, from the stove to the water
heater.

● Climate Change and Sustainability: Climate change concerns are leading

to more stringent environmental regulations and an emphasis on sustainable
building practices. Fluor must adapt its projects to meet these evolving
standards.
● Emerging Markets Growth: Many emerging markets are experiencing
rapid economic growth, creating opportunities for construction and
engineering projects. Fluor's global presence positions it to take advantage of
these opportunities.
o Fluor's (NYSE: FLR) share price has been on a roll since May this
year. It has increased significantly in the last 12 months. This
 increase has happened for Fluor Corporation even as the bottom line
has struggled as the company is aiming to diversify its business and
move somewhat away from oil and gas. The market seems to be quite
negative towards the company as the short interest is over 12% right
now. Usually, this would indicate that there might be poor
performance in the coming years.

o FLR headquartered just outside of Dallas, specializes in providing

professional and technical solutions, including design and
construction services for large-scale projects globally. Historically,
its core focus has been on serving the oil & gas sectors and power
generation industries. However, in the wake of the pandemic, which
significantly affected the company's business and profitability, FLR
leadership has undertaken efforts to diversify its portfolio. This
diversification includes expanding into areas such as energy
transition, high-demand metals, infrastructure development, and
undertaking substantial projects for various governments, both within
the United States and abroad.

● Global Supply Chain Issues: Supply chain disruptions, such as those caused
by the COVID-19 pandemic, can impact the availability of construction
materials and equipment, leading to delays and cost increases.
o Disruptions resulting from recent events, such as the Covid-19 pandemic,
have increased the demand for responsive, efficient, and comprehensive
supply chain services that can be deployed quickly to complement
clients’ existing programs and help them to maintain business continuity,
said Fluor.
● Geopolitical Tensions: Geopolitical tensions and trade disputes can affect
the flow of goods and services and may disrupt global construction projects.
o “COVID-19 is dominating the headlines, and it is having an impact
on the construction industry. As we watch the crisis unfold, we’re
 seeing shocks in the supply chain, and shortages of materials needed
to start or complete projects. Concrete is in short supply, as is lumber
and nails. Even the dust masks needed for demolition are in short
supply because they’ve been bought by healthcare workers,” said
Michelle DiGruttolo, a Senior Managing Director at Ankura, who
leads the firm’s geopolitical advisory team.
o Other concerns around COVID-19 include potential contract
disputes, as a shortage of supplies slows progress on projects, and
rising material prices. The crisis will disrupt labor, as workers may
be restricted from entering project sites in certain jurisdictions.
● Technological Advancements: The global adoption of advanced
technologies in construction and project management can impact Fluor's
competitiveness and the types of services it can offer.
o Advanced Technologies & Life Sciences business line has been
selected by Altris AB to provide front-end engineering and design
(FEED) services for the world’s first industrial-scale sodium-ion
battery production facility in Sandviken, Sweden. Fluor recognized
the undisclosed contract value in the third quarter of 2023.
o It has completed construction of Bayer’s first global Cell Therapy
Launch Facility in Berkeley, California. Completion was celebrated
on October 10, 2023, at the new facility with local officials,
dignitaries, Bayer employees, and clients.
o It has been awarded a $487 million biotech expansion project in
Denmark and is also mobilizing resources in the central U.S. for the
first phase of a new life sciences production facility valued at $574
million. Fluor will recognize these reimbursable contracts in the
second quarter backlog.

● Infrastructure Investment Programs: Various countries are implementing

infrastructure investment programs to stimulate economic growth. These
programs can create opportunities for Fluor in terms of project demand.
o Has been awarded a bid-build contract in Texas for the construction
of the Texas Department of Transportation’s (TxDOT) U.S. 287
Project in Ellis County, just south of Dallas and Fluor’s corporate
headquarters in Irving. Fluor will book the undisclosed contract value
in the first quarter of 2017.
 Fluor Corporation should closely monitor economic and global trends, as these
factors can impact its business strategy, project selection, risk management, and
financial planning. By staying attuned to these trends and proactively adapting to
changing market conditions, Fluor can position itself to thrive in a dynamic and
competitive industry.

⌘ Sociocultural Trends
Sociocultural trends play a significant role in shaping the demand for Fluor
Corporation's services, as they reflect the changing preferences, values, and behaviors
of society. Here are some key sociocultural trends that Fluor may need to consider:
● Sustainability and Environmental Awareness: There is a growing
emphasis on sustainability and environmental responsibility. Clients and the
public increasingly expect Fluor to deliver projects that are eco-friendly,
energy-efficient, and have a minimal environmental impact.
o Fluor’s Farnborough office in the United Kingdom is just one of
many of Fluor’s facilities that are incorporating sustainable practices
across the entire site.

● Green Building and Sustainable Design: Sustainable building practices,

such as LEED certification and green construction materials, are becoming
more common. Fluor needs to adapt to these trends by incorporating
sustainable design and construction practices into its projects.
o Green construction materials, Utilizing green construction materials,
such as those with low emissions of volatile organic compounds and
100 percent Forest Stewardship Council-certified wood.
● Work-Life Balance: The demand for work-life balance is influencing both
Fluor's workforce and its clients. More flexible work arrangements, remote
work options, and considerations for employee well-being are becoming
increasingly important.
o Maintaining work/life balance is another important aspect of Fluor’s
benefits. Offices and job sites around the world employ customized
approaches to help employees achieve appropriate work/life balance
opportunities that are reflective of both local and individual needs
and business demands.
● Diversity and Inclusion: There's a growing focus on diversity and inclusion
in the workplace. Fluor needs to ensure its workforce is diverse and that it
provides an inclusive and equitable work environment. At Fluor, we are
committed to fostering an environment that embraces diversity, equity, and
inclusion (DE&I), where all employees can fulfill their potential regardless of
their ethnicity, background, disabilities, orientation, or gender.
● Technological Adoption: Society's increasing reliance on technology is
driving demand for smart buildings, digital construction, and advanced
project management tools. Fluor must keep pace with these technological
advancements.
o Fluor Corporation announced that its Advanced Technologies & Life
Sciences business line has been selected by Altris AB to provide
front-end engineering and design (FEED) services for the world’s
first industrial-scale sodium-ion battery production facility in
Sandviken, Sweden. Fluor recognized the undisclosed contract value
in the third quarter of 2023.

● Aging Workforce: As mentioned earlier, the construction and engineering

workforce is aging. Managing an aging workforce, succession planning, and
knowledge transfer are critical.
● Safety Culture: Safety is a top priority in the construction and engineering
industry. An increased focus on safety culture, best practices, and training is
essential.
o At Fluor, safety is the first Core Value. Fluor’s have built the
industry-leading health, safety, and environmental (HSE) reputation
on knowledge obtained over decades of building some of the world’s
largest, most complex, and innovative projects.
o Fluor is committed to preventing injuries, illnesses, and fatalities on
Fluor’s sites, and Fluor’s robust programs and procedures help us
mitigate the hazards inherent in the work the company does. But the
company know that this is not enough. To truly be world-class at
HSE requires a caring, preventive safety culture.

● Community Engagement: Engaging with local communities is increasingly

important for construction projects. Fluor must take into account local
community expectations, needs, and concerns during project planning and
execution. Fluor focuses on its charitable efforts and resources in four areas:
education; public health and critical human needs; economic development;
and environment.
● Remote Work and Virtual Collaboration: The COVID-19 pandemic
accelerated the adoption of remote work and virtual collaboration tools. Fluor
may need to adapt its project management and collaboration strategies to
accommodate remote work.
 ● Economic Disparities: Economic disparities and income inequality can
influence the types of projects in demand. Addressing these disparities may
be part of Fluor's corporate social responsibility initiatives.

Fluor Corporation should consider these sociocultural trends when making

strategic decisions, planning projects, and managing its workforce. Adapting to
changing societal values and expectations can enhance the company's reputation,
client satisfaction, and its ability to attract and retain top talent. It can also open
up new opportunities in emerging markets and industries that align with these
trends.

⌘ Physical Environment Trends

The physical environment trends are critical for Fluor Corporation, as they pertain to
factors like climate change, natural resource availability, and the overall condition of
the physical environment in which construction and engineering projects take place.
Here are some key physical environment trends that Fluor may need to consider:

Environmental considerations, including sustainability, climate change, and green

initiatives, are becoming increasingly important for companies like Fluor. They must
adapt to regulations related to emissions, waste disposal, and resource usage.
Additionally, there may be opportunities in renewable energy and sustainable
infrastructure projects.

● Climate Change and Extreme Weather: Climate change is resulting in

more frequent and severe weather events. Fluor needs to consider the impact
of extreme weather on project planning and the long-term resilience of
infrastructure projects.
Take urgent action to combat climate change and its impacts
o Measure GHG emissions and set a net zero target
o Help clients strengthen resilience and adaptive capacity to climate-
related hazards
o Develop proprietary carbon capture technology for clients
o Provide asset decarbonization solutions to clients
● Sustainable Construction Practices: There is a growing emphasis on
sustainable and green building practices. Fluor may need to incorporate eco-
friendly materials and energy-efficient designs in its projects.
o A waste-to-energy plant powers the campus, and LED lighting and
rooftop solar panels have saved more than $43,000 (£40,000) since
2016. Single-use plastic is not available. All campus waste is
recycled, including turning food waste into pesticide-free fertilizer
for local farming, so nothing goes to the landfill. The office’s waste
management vehicles are carbon neutral, and the rest of the fleet runs
on electricity.
o In 2021, the campus reduced its Scope 1 and Scope 2 greenhouse gas
emissions to net zero, the first Fluor site to achieve the distinction.
o In 2022, the office won a British Safety Council International Safety
Award and a Royal Society for the Prevention of Accidents Gold
 Award for health and safety performance for the seventh consecutive
year.

● Resource Scarcity: The availability of natural resources, such as water and

raw materials, can impact project costs and sustainability. Fluor may need to
find ways to conserve resources and adapt to resource scarcity.
o Fluor reduce waste by donating used furniture, office equipment,
supplies, carpets, and computers to schools, homes for the elderly,
and non-profit organizations. During renovations, furniture and
materials are reused whenever possible. Fluor’s waste reduction
efforts also include duplex printing and using durable, reusable
crates. Fluor recycles paper, cardboard, batteries, and
mixed/commingled, and assorted waste. From 2021 to 2022, Fluor
reduced Fluor’s waste by 8%, and Fluor’s recycling rate improved by
23%.
o Fluor also track the amount of water they purchase and the amount
that the public conserve through initiatives, such as the deployment
of low-flush valves, the installation of automatic faucet sensors and
commodes, and low-flow shower heads.
● Energy Efficiency: Energy-efficient building design and construction are
becoming more important. This includes the use of renewable energy sources
and energy-efficient systems in building projects.
o Fluor’s energy reduction initiatives include installing solar panels,
replacing lighting with light-emitting diode (LED) lights, changing
the operating time on air conditioning units, and behavioral changes.
These initiatives are particularly important as the company progress
on Fluor’s Net Zero 2023 commitment. From 2021 to 2022, we
experienced an increase in Fluor’s indirect energy use (electricity) by
approximately 2.1 million kilowatt-hours due to the addition of data
centers to Fluor’s reporting.
● Waste Reduction: Reducing construction waste and promoting recycling
and reuse are key trends in the construction industry. Fluor should consider
these factors in project design and execution.
o Fluor’s waste reduction efforts also include duplex printing and using
durable, reusable crates. Fluor recycles paper, cardboard, batteries,
and mixed/commingled and assorted waste. From 2021 to 2022, they
reduced Fluor’s waste by 8%, and Fluor’s recycling rate improved by
23%.
● Ecosystem Preservation: Projects often require land use and may affect
local ecosystems. Mitigating the impact on natural habitats and preserving
biodiversity are important considerations.
Environmental due diligence is an integral part of Fluor’s supply chain
practices, particularly when it comes to:
o Logistics - Fluor consolidates project cargo, which results in the
optimization of voyages and the reduction of Fluor’s carbon
footprint.
 o Digitized work processes - By embarking on digital transformation,
Flour is uncovering new opportunities to optimize processes, lower
costs, reduce waste, and embrace new business models.
o Supporting suppliers and subcontractors - Fluor assess their
sustainability journeys and advise them to execute in an
environmentally responsible manner.

● Water Management: Water scarcity and water quality issues can impact
construction projects. Fluor may need to implement water conservation
measures and consider the availability of water resources.
o Fluor also track the amount of water we purchase and the amount
that we conserve through initiatives, such as the deployment of low-
flush valves, installation of automatic faucet sensors and commodes,
and low-flow shower heads.
● Urbanization and Infrastructure Development: As more people move to
urban areas, the demand for infrastructure projects increases. Fluor should
adapt to the challenges of urban construction and the need for sustainable
urban planning.
o Fluor provides innovative solutions for Fluor’s clients to meet the
demand for major new transportation programs due to aging
infrastructure and continuing urbanization. Fluor’s leadership and
extensive experience in design-build execution provide high-value
solutions for bridges, highways, rail and transit systems, and toll
roads. Each day millions of people travel to work quickly, get home
to their families safely, and deliver commerce reliably thanks to the
work of Fluor’s project teams.

● Natural Disaster Resilience: Designing projects to withstand natural

disasters, such as earthquakes and hurricanes, is increasingly important in
many regions.
o Fluor has been a FEMA contractor since 1997 and currently performs
under one contract Public Assistance (PA).
o Under both the PA and Individual Assistance (IA) contracts, Fluor
has responded to more than 100 natural and manmade disasters for
FEMA.
o Hauled, installed, and provided O&M services for 54,000 temporary
housing units for displaced Louisiana residents after Hurricanes
Katrina and Rita
o Provide site assessments, site inspections, and preparations, haul and
install temporary structures, provide maintenance services, and
construction and facility management in support of recovery from
any disaster in the U.S.
o Mobilized a field staff of 330 to support recovery efforts of the 2004
hurricanes in Florida
o Uses U.S. small business to the maximum extent possible on its
disaster recovery contracts to inject money into the affected local
economies
 ● Regulatory Compliance: Adherence to environmental and safety
regulations, including those related to emissions, waste disposal, and resource
usage, is essential. Fluor must navigate the changing regulatory landscape.
o Fluor has a multi-faceted compliance and ethics program that guides
Fluor’s employees, joint venture partners, suppliers’ subcontractors,
and other business partners. This dynamic program involves
leadership and oversight, risk assessments, policies and procedures,
communication and training programs, monitoring, reporting, and
other initiatives.
o Fluor strives to continually improve and enhance Fluor’s compliance
and ethics program by monitoring Fluor’s evolving risks, including
any strategic changes in Fluor’s business or markets, and by
benchmarking best practices in the company, Fluor’s industry, and
the global business community.
Fluor Corporation, as an engineering and construction company, operates in a
complex and highly regulated environment. Environmental considerations, such
as sustainability and adherence to environmental standards, are particularly
significant, given the nature of its projects. The company's ability to navigate
these factors and adapt its strategies to the changing external environment is
crucial for its long-term success.
Fluor Corporation should incorporate these physical environment trends into its
project planning and risk assessment processes. The consideration of these trends
can help the company ensure the long-term sustainability and resilience of its
construction and engineering projects, while also aligning with global efforts to
mitigate the impact of climate change and promote environmental responsibility.
It's worth noting that the specific environmental analysis of Fluor Corporation
may vary over time and by region, so it's essential for the company to regularly
assess and respond to these external factors to stay competitive and resilient in a
dynamic industry.

B. Industry Analysis
1. Threat of New Entrants (Risk of New Competitors) newest entrants and what they
offer comparison
The threat of new entrants in the engineering and construction industry, where Fluor
operates, is relatively moderate. Entry barriers include the need for substantial capital
investment, expertise in managing complex projects, and established relationships with
clients. However, new entrants can find opportunities in niche markets and regions. Overall,
Fluor's brand reputation and extensive experience act as a deterrent to potential new
competitors.
Company Name: Technip Energies N.V.
 Type: Public
 Industry: Energy services
 Founded: 12 February 2021; 2 years ago
 Headquarters: La Défense, Nanterre, France
  Products/Services : Project, technology, engineering, and construction
management for the energy industry.
 Revenue: €6.7 billion (2021)
 Net income: €431 million (2021)
 Number of employees: 15,000 (December 2021)
Technip Energies N.V. is a French engineering and technology company for the
energy industry and chemicals sector. It is a spin-off of TechnipFMC.
Technip Energies was established in 2021 as a spinoff of multinational energy
company TechnipFMC, itself the result of a merger between French group Technip and
American company FMC Technologies. In August 2019, TechnipFMC CEO Doug Pferdehirt
announced that TechnipFMC would be split into two independent engineering companies: a
dedicated technology and services company, to retain the TechnipFMC name, and an
engineering and construction business renamed Technip Energies.
Technip Energies N.V. Financials

Comparing to Fluor’s Financial

2. Bargaining Power of Buyers (Demand for Price Reductions but Better Quality)
 Buyers in the engineering and construction industry, including governments and
corporations, often demand cost-effective solutions while seeking high quality. They have
moderate bargaining power, particularly in competitive markets. Fluor has the ability to
deliver quality projects on time and within budget which is essential to maintain a competitive
edge. However, these customers are typically large corporations with significant purchasing
power, which gives them some leverage in negotiations.
3. Bargaining Power of Suppliers (Financial Pressure that Suppliers Demand)
Fluor Corporation, a multinational engineering and construction company, has
moderate bargaining power with its global network of suppliers. However, some suppliers
may significantly impact the company's operations, such as raw material suppliers demanding
higher prices or imposing strict terms. Monopolies or unique products or services may also
have higher bargaining power, potentially limiting Fluor Corporation's ability to negotiate
favorable deals.
4. Threat of New Substitutes (Availability of Alternative Products/Services)
Fluor Corporation's products and services may be substituted by renewable energy
sources, but these may not meet customer needs. Fluor's strong reputation and diverse
portfolio of projects and clients make it difficult for new substitutes to gain market share,
while renewable energy sources may not provide the same level of energy output.
5. Competitive Rivalry (Quality and Number of Competitors)
Fluor Corporation, a leading engineering, construction, and maintenance services
company, faces intense competition from AECOM, Jacobs Engineering Group, KBR, Bechtel
Corporation, and WorleyParsons. Its success relies on maintaining a strong reputation for
quality services.

C. Competitor Analysis
• Bechtel (Founded: 1898) (US) (Private)
Overview: Bechtel is an engineering, construction, and project management company. It
offers planning, modularization, procurement, sustainability, technology, tunneling, and other
services. The company caters to defense and nuclear security.
• Jacobs: (Founded: 1947) (US)
Overview:
Jacobs Solutions, previously Jacobs Engineering, delivers technical, consulting, and scientific
services to both government and private sectors. The company operates through three
divisions: Critical Mission Solutions, focusing on cybersecurity, data analytics, software
development, and technical consulting; People and Places Solutions, providing facility
engineering services in areas like connected mobility and environmental projects; and PA
Consulting, spanning seven sectors, including consumer and manufacturing, defense and
security, energy and utilities, financial services, government, health and life sciences, and
transport.
• KBR, Inc. (Founded: 1901) (US)
(formerly Kellogg Brown & Root) is a U.S.-based company operating in fields of science,
technology and engineering.
KBR works in various markets including aerospace, defense, industrial and intelligence. [3]
After Halliburton acquired Dresser Industries, KBR was created in 1998 when M.W. Kellogg
merged with Halliburton's construction subsidiary, Brown & Root, to form Kellogg Brown &
Root. In 2006, the company separated from Halliburton and completed an initial public
offering on the New York Stock Exchange.
• AECOM: (Founded:1990) (US)
Overview: AECOM is an infrastructure consulting firm that designs, builds, finances, and
operates infrastructure assets for governments, businesses, and organizations. It also offers
construction services, including building construction, infrastructure and industrial
construction, environmental services, as well as program and facilities management and
maintenance, cost and risk management, training, logistics, consulting, technical assistance,
systems integration, and information technology services. The company provides services for
industrial, transportation, energy, water, oil and gas, and government markets.
• Wood PLC: (Founded:1982) (UK)
Overview: Wood Plc, formerly known as John Wood Group Plc, is a British multinational
engineering and consulting business headquartered in Aberdeen, Scotland. With
approximately 35,000 professionals across 60 countries, Wood operates in the Energy and
Materials markets. Their mission is to unlock solutions to the world’s most critical challenges.
They provide services and solutions to clients in the power, oil and gas, and renewable energy
markets globally. Wood is listed on the London Stock Exchange and is a constituent of the
FTSE 250 Index. Their annual revenues exceed $11 billion.

Company Competitive Strategies Competencies Competitive Profile

Bechtel -Bechtel is renowned for its Strong project Bechtel is a major
Corporation experience in large-scale management capable competitor with a
EPC projects, focusing on Bechtel is known for strong presence in
project execution excellence, its extensive various sectors,
innovation, and global experience in large competing closely with
expansion. EPC projects, and it Fluor.
often focuses on
-Bechtel Corp (Bechtel) project execution Bechtel
provides engineering, excellence, innovation, competes closely with
construction, and project and global expansion. Fluor in various
management services. Its Abilities, global reach, sectors, especially in
major services include and a diverse energy and
construction, master portfolio. infrastructure and is
planning, tunneling, finance, committed to creating
engineering, procurement, a sustainable future.
sustainability solutions and
feasibility studies

Jacobs Jacobs excels in consulting, Expertise in consulting Expertise in consulting

Engineering engineering, and and engineering, and engineering,
Group construction, with a strong global presence, and a global presence, and a
 emphasis on sustainability commitment to commitment to
and technology integration. innovative and innovative and
sustainable solutions. sustainable solutions.

KBR Inc. - Specialization in - Strong expertise in - KBR Inc. is a

government contracts, government-related significant competitor
particularly in defense, projects, showcasing with a focus on
aerospace, and government capabilities in defense government contracts
infrastructure projects. and aerospace sectors. and technology
integration.
- Emphasis on - Advanced
technological innovation and technological - Notable strength
integration to enhance project capabilities, in the defense and
efficiency and delivery. facilitating efficient aerospace sectors.
project execution and
- Diversification in delivery. - Diversified
hydrocarbons and chemicals portfolio in
sectors to ensure resilience in - Global reach and hydrocarbons and
changing market conditions. a diverse portfolio, chemicals, enhancing
contributing to the company's
adaptability and resilience and market
market presence. competitiveness.
AECOM AECOM offers a wide range Diversification across
AECOM is a versatile
of professional services industries, a strong
competitor, providing
globally, focusing on international presence,
consulting,
consulting, engineering, and and a focus on engineering, and
construction, particularly in sustainable solutions.
construction services,
infrastructure and with a global reach and
sustainability. Global a sustainability
presence, a diverse emphasis.
AECOM offers a wide range portfolio, and a strong
of professional services, with government client
a focus on infrastructure, base
environmental solutions, and
government clients.

Wood Plc. - Leading role in the - Proficiency in - Wood Plc. is

energy transition, focusing providing consulting, positioned as a major
on sustainability, renewable project management, player contributing to
energy solutions, and and engineering the energy transition
environmental projects. services across diverse and sustainability.
sectors.
- Comprehensive - Comprehensive
consulting, project - Leading position service offerings in
management, and in the energy consulting, project
engineering services across transition, showcasing management, and
various industries. expertise in engineering.
sustainability and
- Active involvement in renewable energy. - A notable
environmental and energy- presence in
related initiatives. - In-depth environmental and
 knowledge and energy-related
experience in projects, aligning with
environmental global trends and
solutions and projects. demands.

Bechtel Jacobs KBR Inc. AECOM Wood Plc

Corporation Engineering
Group

Financial Bechtel Jacobs AECOM Wood Plc.

Strength Corporation's Engineering KBR Inc. demonstrated showcased
financial strength, Group demonstrated noteworthy significant
driven by a robust demonstrated notable financial financial financial strength
balance sheet and considerable robustness in the strength during the period
strategic financial financial assessed period. during the under scrutiny.
management, resilience in the Through a strong analyzed The company's
positioned it as a examined financial position period. The robust financial
leading competitor timeframe. and effective company's position and
to Fluor. This Through financial robust strategic financial
capability allowed effective management, the financial management
Bechtel to secure financial company position and enabled it to
substantial funding, management successfully strategic effectively
posing a formidable and stability, the competed with financial compete with
challenge to Fluor company Fluor for management Fluor for major
in contract bidding competed substantial allowed it to projects. Wood's
and project successfully projects, compete financial prowess
acquisition with Fluor for positioning itself effectively positioned it as a
significant as a formidable with Fluor for formidable
projects, contender substantial competitor,
establishing capable of projects. facilitating the
itself as a pursuing AECOM's pursuit of large-
formidable significant financial scale contracts
contender contracts and stability and strategic
capable of strategic positioned it initiatives.
pursuing large initiatives. as a
contracts and formidable
strategic competitor,
investments. facilitating the
pursuit of
large-scale
contracts and
strategic
ventures.

Performance Jacobs' position KBR Inc.'s AECOM A distinctive

Excellence Bechtel's as a leading position as a stood out by strength of Wood
competitive competitor was leading prioritizing Plc. that
 advantage was underscored by competitor was sustainability contributed to its
shaped by its its unwavering marked by its and status as a top
consistent track commitment to consistent environmental competitor was
record of excellent performance commitment to factors in its its specialization
performance. excellence. performance engineering in energy
Delivering projects With a proven excellence. With and design solutions. The
punctually and track record of a proven track solutions. This company excelled
within budget, the adeptly record of adeptly distinctive in providing
company earned a managing managing approach services across
reputation for intricate intricate projects, resonated with the entire energy
reliability and projects, adhering to clients life cycle, from
efficiency, meeting timelines, and dedicated to exploration to
heightening deadlines, and ensuring high- eco-friendly decommissioning.
competition with ensuring quality quality outcomes, practices, This
Fluor to meet and results, Jacobs KBR heightened intensifying specialization
surpass intensified the the competition project posed a unique
performance competition for for projects, competition in challenge to
standards. projects, compelling Fluor sectors where Fluor, especially
compelling to raise its ecological in projects where
Fluor to raise its performance considerations a focus on energy
performance standards to stay were solutions and
standards to stay competitive. paramount and expertise was
competitive. prompting crucial.
Fluor to
address
sustainability
more
proactively.
Comprehensiv Bechtel Jacobs' broad KBR Inc. AECOM Wood Plc. carved
e Services Corporation and inclusive established itself excelled in its a niche in
Portfolio presented a array of services as a prominent varied services engineering and
multifaceted spanning player in encompassing technical
challenge to Fluor multiple sectors government and engineering, services,
through its positioned it as defense projects, design, and presenting a
extensive services a formidable showcasing a consulting, unique strength in
in engineering, competitor to distinctive establishing this domain. The
construction, and Fluor. Offering expertise in this the company company's focus
project clients, a unified vital sector. This as a versatile on providing
management. solution in specialization set contender specialized
Bechtel's capacity engineering, KBR apart as a meeting technical
to provide end-to- design, and significant rival diverse client expertise
end solutions in consulting, to Fluor, requirements. distinguished it as
energy, Jacobs particularly in This extensive a key competitor
infrastructure, and intensified areas with portfolio to Fluor,
industrial sectors competition, intricate project heightened particularly in
made it a versatile prompting Fluor requirements and competition, projects that
competitor, to diversify and rigorous compelling required
intensifying distinguish its standards. This Fluor to advanced
competition for service compelled Fluor strategically engineering and
Fluor, which offerings. to adjust to the diversify its technical
needed strategic specific demands services and
 differentiation to of government position itself solutions.
secure projects. and defense adeptly across
contracts. multiple
sectors.
Technological Jacobs KBR Inc.'s AECOM Wood Plc.'s
Innovation and Bechtel Engineering comprehensive gained a global market
Product strengthened its Group range of services competitive presence and
Expertise competitive showcased a across advantage reputation for
position through a dedication to engineering, through a delivering quality
dedication to technological construction, and commitment services on a
technological innovation, project to innovation global scale
innovation and gaining a management and added another
advanced product competitive played a crucial incorporating layer to its
offerings. Investing advantage in role in cutting-edge competitive edge.
in cutting-edge sectors positioning it as a technologies The company's
technologies, requiring top competitor to into its international
especially in advanced Fluor. The solutions. The footprint and
sectors requiring solutions. Their company's company's successful
sophisticated emphasis on expertise in dedication to projects around
engineering integrating providing end-to- staying at the the world
solutions, made cutting-edge end solutions forefront of intensified the
Bechtel a technologies across various technological competition for
formidable and providing sectors advancements global projects,
competitor to Fluor innovative challenged Fluor posed a unique prompting Fluor
in projects where products posed to diversify its challenge to to adapt its
technological a unique own service Fluor. strategies to
expertise and challenge to offerings and AECOM's address the
advanced products Fluor, strategically emphasis on demands of a
were crucial. heightening position itself in adopting and diverse and
competition in the highly leveraging global clientele.
projects where competitive innovative
advanced market. technologies
engineering intensified
solutions were competition in
crucial. projects where
advanced
engineering
solutions and
technological
integration
were crucial.
Products and Bechtel Corp is a KBR Inc, a AECOM, John Wood
Services provider of diverse Jacobs comprehensive formerly Group Plc
Offered engineering, Solutions Inc, engineering, AECOM (Wood) is a
construction, and previously construction, and Technology leading provider
project Jacobs technology Corporation, of project,
management Engineering services provides engineering, and
services, Group Inc, company, global technical
encompassing offers a broad delivers full- engineering, services,
construction, spectrum of lifecycle consulting, delivering
 master planning, technical, solutions and project comprehensive
tunneling, finance, professional, encompassing management solutions to
engineering, construction, commercial services. The enhance the
procurement, and scientific security, defense company performance of
sustainability consulting systems, engages in industrial assets
solutions, and services to consulting, designing, throughout their
feasibility studies. commercial, engineering, building, life cycle.
The company industrial, and simulation, operating, and Offering services
extends its governmental training, program financing from concept to
offerings to energy, clients. Their management, and diverse decommissioning,
transportation, global various support infrastructure Wood caters to
infrastructure, operations cover services. projects various industrial
communications, cybersecurity, Additionally, worldwide for markets globally,
mining, metals, oil data analytics, KBR provides a wide range including oil and
and gas, chemicals, IT solutions, advanced of clients gas, chemicals,
water, defense, software prototyping, across power, clean
nuclear, and development, research, numerous energy, mining,
government systems development, sectors. and general
sectors. Operating integration, and cyber analytics, Headquartered industry. With
through artificial space domain in Dallas, operations in
subsidiaries and intelligence, awareness, and Texas, Africa, Asia,
regional offices serving diverse global supply AECOM has Australia, Europe,
worldwide, Bechtel sectors like chain undertaken and the Americas,
is headquartered in advanced management. significant Wood is
Reston, Virginia, manufacturing, The company projects such headquartered in
USA. cities, energy, serves diverse as D1 Aberdeen,
environment, sectors and Motorway, Scotland, UK.
health, operates globally, 31st Street
infrastructure, with its Harbor, and
national headquarters City Rail Link
security, and situated in
space. Houston, Texas,
Headquartered USA.
in Dallas,
Texas, USA.

2021 Financial Reports of all Companies

● Fluor

(NYSE: FLR) Fluor disclosed its financial outcomes for the fiscal year concluding on
December 31, 2021. Despite generating $12.4 billion in revenue, the company reported a net
loss of $144 million, translating to $1.46 per diluted share from continuing operations.
Adjusting for specific expenses, the adjusted earnings per diluted share for 2021 were $0.94.
The consolidated segment profit for the year saw an improvement, reaching $374 million
compared to $333 million in 2020. Fluor secured new awards totaling $8.8 billion for the
year, up from $7.5 billion the previous year, and concluded 2021 with a consolidated backlog
of $18.9 billion. The corporate G&A expenses rose to $216 million from $202 million,
attributed to performance and stock price-driven incentive compensation impact. Fluor's cash
and marketable securities at the end of the year amounted to $2.3 billion. David Constable,
Fluor's CEO, highlighted the company's significant progress in executing its strategy for a
better future, expressing optimism as they enter 2022 with a strengthened capital structure and
renewed focus on key markets.

Fourth Quarter Results

In the fourth quarter of 2021, there was a net loss from continuing operations amounting to
$145 million, or $1.21 per diluted share, in contrast to the net loss of $61 million, or $0.76 per
diluted share, during the same period in 2020. Adjusted for specific items, the adjusted
earnings per share (EPS) for the fourth quarter were $0.31. The consolidated segment profit
for the fourth quarter of 2021 increased to $137 million from $77 million a year ago. Notably,
the fourth quarter segment profit reflects the positive impact of collecting and reassessing a
previously reserved account receivable in Energy Solutions. Corporate general and
administrative (G&A) expenses in the fourth quarter were $77 million, down from $88
million a year ago. The revenue for the quarter amounted to $3.2 billion, slightly lower than
the $3.3 billion recorded a year ago.

● Betchel

2021 was a year of mixed financial numbers for the country’s second-largest contractor.
Reston, Virginia-based Bechtel saw year-over-year revenue remain flat, while its backlog
revenue decreased but the amount of new work on the books rose, according to the
company’s annual report released late last month.
Bechtel reported $17.5 billion in revenue, a slight decrease from $17.6 billion in 2020.
Backlog revenue fell 13.7% year over year to $27.8 billion. However, new work booked last
year was at $8.5 billion, up from $7.1 billion in 2020.

● Jacobs

Fourth Quarter 2022 Financial Highlights and Fiscal Year 2022

o Revenue growth of 5.9% and net revenue up 10% year-over-year in constant currency
o Net earnings from continuing operations of $644 million, up 38%, and FY22 EPS of
$4.98 up 60%
o Adjusted EPS of $6.93, up 10% year-over-year; $7.12 on a constant currency basis up
13%
o Adjusted EBITDA year-over-year growth of 10% to $1.4 billion and up 12% in
constant currency
o Cash flow from operations of $475 million and free cash flow of $347 million,
includes previously announced Legacy CH2M Matter settlement outflow of $475
million2 during Q3, $55 million tax repayment and $63 million of other items.

● KBR INC.
Fourth Quarter 2022 Financial Highlights and Fiscal Year 2022
In the quarter, revenue totaled $1.6 billion, reflecting a 12% decline compared to the same
period in 2021, mainly due to the completion of work related to the Operations Allies
Welcome (OAW) program in early 2022, initiated in 3Q'21. Excluding OAW, revenue
exhibited a significant increase of approximately $165 million or 11%, with 8% attributed to
organic growth. This growth was fueled by increased activity supporting exercises, training,
and other initiatives in the European Command, the acquisition of Frazer-Nash in October
2021, and augmented revenues in Sustainable Technology Solutions (STS), particularly from
engineering, professional services, and technology licensing. For the quarter ended September
30, 2022, net income attributable to KBR increased to $74 million; diluted earnings per share
increased to $0.49; adj. EBITDA1 increased to $171 million; and adj. EBITDA1 margins
expanded to 11%.

● AECOM

Fourth Quarter and Full Year Fiscal 2022 Highlights

In the fourth quarter, revenue experienced a 2% increase, reaching $3.4 billion, with
operating income rising by 8% to $184 million. The operating margin also saw a 30-basis
point increase to 5.4%, while net income surged by 21% to $115 million, resulting in a 26%
growth in diluted earnings per share to $0.82. Notably, the design business, constituting
around 90% of net service revenue (NSR) and adjusted EBITDA, exhibited robust growth
with a 9% increase, marking the highest quarterly growth rate in over a decade. The segment's
adjusted operating margin for the quarter was 14.6%, contributing to a full-year margin of
14.2%, surpassing the Company’s guidance and reflecting a 40-basis point increase over the
prior year.
Despite the impact of a stronger U.S. dollar, the Company continued to expand
margins while investing in growth. Full-year adjusted EBITDA increased by 9%, and
adjusted earnings per share rose by 23%. When adjusted for foreign exchange impacts, these
figures increased by 10% and 26%, respectively. The design business's total backlog
increased by 8%, and the Americas design business achieved a 1.2 book-to-burn ratio in the
fourth quarter. In terms of cash flow and balance sheet, the fourth quarter saw operating cash
flow of $316 million and free cash flow of $257 million, contributing to a full-year operating
cash flow of $714 million and free cash flow of $586 million.
The Company successfully adhered to its capital allocation policy, returning nearly
$500 million to stockholders in fiscal 2022 through share repurchases and dividends. Over the
past 12 months, capital returns represented approximately 5% of the Company’s current
market capitalization, with a 16% repurchase of shares outstanding since the initiation of the
repurchase program in September 2020. The Company's strong balance sheet, with around
80% of its debt fixed, swapped to fixed, or capped over the next several years and no bond
maturities until 2027, continues to provide a competitive advantage.

D. Internal Analysis

� Strengths

Geographic and Industry Diversity:

 ● Strength: Fluor's diverse portfolio of industries served, including chemicals,
petrochemicals, healthcare, manufacturing, and more, along with its global presence,
is a significant strength. This diversity helps mitigate business risks associated with
dependency on a particular industry or region.

Strong Order Backlog:

● Strength: Maintaining a consolidated and growing order backlog indicates that Fluor
has a steady stream of contracted projects. This provides revenue visibility and
stability, showcasing the company's ability to secure and manage projects effectively.

Focus on Sustainability:

● Strength: Fluor's commitment to sustainability through the development of patented

carbon-dioxide recovery technologies demonstrates its forward-thinking approach.
This not only contributes to environmental goals but also enhances the company's
brand image and positions it as an industry leader in sustainable solutions.

Large Workforce:

● Strength: With over 40,000 employees, Fluor has a substantial workforce, which can
be an asset for undertaking large-scale and complex projects. A well-trained and
experienced workforce is crucial in ensuring project success.

Ethical Reputation:

● Strength: Being consistently recognized as one of the most ethical companies is a

significant achievement. This indicates a strong commitment to ethical business
practices, which can enhance stakeholder trust and reputation.

Overall, these strengths provide Fluor Corporation with a competitive advantage in the
market. The company's diversity in industries and regions, combined with a robust order
backlog, positions it well for growth and stability. Additionally, its focus on sustainability and
ethical practices further bolsters its reputation and attractiveness to clients and stakeholders.

Weaknesses
1. Litigations Tarnishing Company's Image:
o Weakness: The adverse decision from an arbitration panel regarding claims for
additional compensation related to the Greater Gabbard Offshore Wind Farm Project,
along with other instances of litigation, can negatively impact Fluor's reputation and
image. Legal disputes can be costly and time-consuming and may lead to a loss of
stakeholder confidence.
2. Limited Global Presence:
o Weakness: Having a limited global presence means that Fluor may be heavily
dependent on the economic conditions of a specific region or country. Economic
fluctuations or challenges in that economy could significantly affect the company's
performance.
Overall, these weaknesses indicate areas where Fluor Corporation may face challenges.
Addressing these weaknesses could help enhance the company's overall resilience and
competitiveness in the market. It's important for Fluor to actively manage and mitigate legal
risks and consider strategies for expanding its global footprint to reduce dependency on a
single economy.

Opportunities

1. Expansion into Nuclear Energy Segment:

o Opportunity: With the expected increase in global nuclear energy consumption,
Fluor's expansion into this segment presents a significant growth opportunity. This
move aligns with the projected market demand and allows Fluor to diversify its
energy portfolio.
2. Strengthening Presence in Renewable Energy Market:
o Opportunity: The renewable energy market is experiencing substantial growth and
demand due to increased focus on sustainability and environmental concerns. By
strengthening its presence in this market, Fluor can position itself as a key player in
the transition towards cleaner energy sources.
These opportunities indicate that Fluor has the potential to capitalize on evolving trends in the
energy sector. By strategically entering the nuclear energy segment and further establishing
itself in the renewable energy market, Fluor can not only enhance its market position but also
contribute to a more sustainable and diversified energy portfolio. This can lead to potential
future growth and increased competitiveness in the industry.

Threats

1. Intense Competition in the Engineering and Construction Sector:

o Threat: The presence of a high number of local and international competitors,
particularly in the engineering and construction sector, poses a significant threat.
Intense competition can lead to price pressure, potentially eroding profit margins.

2. Government Regulations and Compliance:

o Threat: Fluor is subject to a complex array of government regulations, including FAR
(Federal Acquisition Regulation), Truth in Negotiations Act, CAS (Cost Accounting
Standards), ARRA (American Recovery and Reinvestment Act), the Services
Contract Act, DOD (Department of Defense) security regulations, and various other
laws and regulations. This extensive regulatory framework can be challenging to
navigate and may require significant resources for compliance.

Moreover, Fluor is also subject to additional government regulations related to employment

practices, environmental protection, health and safety, tax, accounting, and anti-fraud.
Compliance with these regulations can be time-consuming and costly, potentially impacting
the company's operations and financial performance.

These threats indicate areas where Fluor Corporation may face challenges and uncertainties.
Intense competition in the engineering and construction sector can put pressure on
profitability, while the extensive regulatory environment demands careful attention to
compliance efforts. It's crucial for Fluor to actively manage these challenges and develop
strategies to navigate the competitive landscape and ensure regulatory compliance.
III. SWOT Analysis

STRENGTHS
As one of the leading firms in its industry, Fluor Corporation has numerous strengths that
enable it to thrive in the market place. These strengths not only help it to protect the market
share in existing markets but also help in penetrating new markets.

● Flour’s expertise in engineering and design

● Fluor’s Experience in project management and execution.

● Fluor has strong relationships with suppliers and subcontractors.

● Fluor has the ability to deliver complex projects on time and within budget.

● Fluor has unlimited access to specialized equipment and technology.

WEAKNESSES
Weaknesses are the areas where Fluor Corporation can improve upon. Strategy is about
making choices and weaknesses are the areas where a firm can improve using SWOT analysis
and build on its competitive advantage and strategic positioning.
 Fluor’s high dependency on project-based revenue.
 Fluor’s limited ability to scale operations.
 Fluor’s vulnerability to economic downturns.
 Fluor’s lack of innovation and investment in new technologies.
 Fluor’s limited ability to attract and retain skilled workers.

OPPORTUNITIES
 Expansion into new geographic markets
 Diversification of services and offerings
 Integration of digital technologies into operations
 Increased demand for renewable energy and sustainability solutions
 Collaboration with other industries and sectors

THREATS
 Fluor has Intense competition from other EPC companies
 Fluctuations in commodity prices and availability
 Political and regulatory uncertainty
 Increasingly stringent environmental regulations
 Disruption from new technologies and business models

IV. STRATEGY FORMULATION

External factors of threats are:
1. Intense competition from other EPC companies
Fluor is facing intense competition from other EPC (Engineering,
Procurement and Construction) Companies. This means that Fluor may need to work
harder to maintain its market position, which could result in lower profit margins and
reduced market share.
2. Fluctuations in commodity prices and availability
The volatility of commodities, such as oil and gas, can significantly impact
Fluor's ability to secure contracts, execute projects, and ultimately affect profitability.
3. Political and regulatory uncertainty
Political and regulatory uncertainty can impact Fluor's operations. Changes in
government policies or regulations can lead to project delays, cancellations, and
increased costs.
Internal factors on the threats are:
4. Increasingly stringent environmental regulations
 Fluor may need to invest in technology or resources to comply with stricter
environmental regulations, which can impact project delivery and meet client
requirements.

5. Disruption from new technologies and business models

Fluor must take bold steps to swiftly adapt to new technologies and business models
if it wants to maintain its market position and profitability.

Based on the opportunities for Fluor Corporation, the following strategies can be
formulated to solve the financial losses of the company:

1. Expansion into new geographic markets: In order to grow its clientele and
income, Fluor Corporation can investigate and penetrate new regions. Fluor can
lessen its dependence on any one market by expanding its portfolio and finding
new markets in which to operate. Acquisitions, joint ventures, and strategic
alliances can all help achieve this.

2. Diversification of services and offerings: To serve a wider range of clients and

sectors, Fluor Corporation can expand the range of services and products it offers.
Fluor can lessen its financial losses and lessen the effects of market changes by
diversifying its holdings. Investments in strategic alliances and collaborations, as
well as in research and development, can help achieve this.

3. Integration of digital technologies into operations: Fluor Corporation may

boost production, cut expenses, and enhance efficiency by using digital
technologies into its business processes. Fluor can provide creative solutions to
its clients and streamline its processes by utilizing automation, data analytics, and
other digital tools.

4. Increased demand for renewable energy and sustainability solutions: By

growing its portfolio of sustainable and renewable energy solutions, Fluor
Corporation can take advantage of the growing market for these products and
services. Fluor may expand its clientele and boost earnings by funding
sustainable initiatives and renewable energy projects.

5. Collaboration with other industries and sectors: By collaborating with various

industries and companies, Fluor Corporation can expand the range of products it
offers and diversify its assets. Working with companies in related industries could
help Fluor increase its revenue streams and provide its clients with innovative
solutions. Fluor may now benefit from their resources and experience.

6. Leveraging expertise in engineering and design: Fluor Corporation can create

cutting-edge solutions for its clients by utilizing its engineering and design
experience. Fluor can expand its clientele and boost earnings by allocating
resources towards research and development, as well as consistently enhancing
its engineering and design proficiencies.
 7. Enhancing project management and execution capabilities: To ensure the
effective completion of projects, Fluor Corporation can improve its project
management and execution capabilities. Fluor can boost customer satisfaction
and improve project delivery performance by putting best practices into practice
and investing in the training and development of its project management
personnel.

8. Strengthening relationships with suppliers and subcontractors: In order to

raise the caliber and dependability of its supply chain, Fluor Corporation should
fortify its ties with subcontractors and suppliers. Fluor can lower project delivery
risks and costs by forming solid alliances and working closely with suppliers and
subcontractors.

9. Focusing on delivering complex projects on time and within budget: To boost

its reputation and draw in new business, Fluor Corporation should concentrate on
completing challenging projects on schedule and within budget. Fluor can
execute high-quality projects that meet or surpass customer expectations by
utilizing its engineering and design skills, as well as its project management and
execution capabilities.

10. Investing in specialized equipment and technology: To increase its capabilities

and competitiveness, Fluor Corporation may choose to invest in specialized
machinery and technology. Fluor can offer cutting-edge solutions to its clients
and maintain an advantage over its rivals by investing in developing technologies
and regularly updating its machinery and technology.

Alternative Courses Of Action

1. Integration of digital technologies into operations: The business might spend money
on new hardware and software systems to increase productivity and streamline processes.
This may entail updating their current IT infrastructure or putting in place new project
management tools.
2. Increased demand for renewable energy and sustainability solutions: The business
can spend money on R&D to produce new renewable energy sources, such wind turbines
or solar panels. To increase the scope of their services, they might also collaborate with
other businesses in the renewable energy sector.
3. Leveraging expertise in engineering and design: In order to increase their capacities
and provide more specialized services, the organization can engage more engineers and
designers. If they want to improve the skills of their current staff, they can also invest in
training and development programmers.
4. Focusing on delivering complex projects on time and within budget: To strengthen
their capacity for project execution, the organization can apply fresh approaches to project
management, like Agile or Lean. To make sure that projects are finished on schedule and
 within budget, they can also invest in extra resources like project managers or quality
control specialists.
5. Investing in specialized equipment and technology: The business can enhance its
capabilities and efficiency by investing in new technology and equipment. This may
entail making an upgrade to more modern models of their current equipment or
purchasing brand-new construction machinery. To enhance their business processes, they
might also investigate cutting-edge technology like 3D printing and drones.

Alternative Evaluation and Action

Integration of digital technologies into operations:

Pros:
- Increased efficiency and productivity in operations
- Improved accuracy and precision in data collection and analysis
- Enhanced communication and collaboration among team members
- Potential cost savings through automation and optimization of processes
Cons:
- Initial investment in technology and infrastructure can be expensive
- Potential resistance from employees to adapt to new technologies and processes
- Cybersecurity risks and concerns over data privacy and protection

Increased demand for renewable energy and sustainability solutions:

Pros:
- Growing market opportunities and potential for revenue growth
- Positive impact on the environment and society
- Improved brand reputation and customer loyalty
- Potential for government incentives and subsidies

Cons:
- Higher upfront costs and longer payback periods compared to traditional energy
sources
- Limited availability of renewable energy sources in certain regions
- Uncertainty around government policies and regulations
 - Competition from established players in the industry

Leveraging expertise in engineering and design:

Pros:
- Competitive advantage through high-quality and innovative designs
- Improved efficiency and cost-effectiveness in project execution
- Enhanced customer satisfaction and loyalty
- Potential for diversification into new markets and industries

Cons:
- Need for continuous investment in research and development to stay competitive
- Difficulty in retaining and attracting top talent in engineering and design
- Limited scalability due to the need for specialized expertise and resources
- Dependence on external partners and suppliers for specialized components and
materials

Focusing on delivering complex projects on time and within budget:

Pros:
- Improved customer satisfaction and loyalty
- Reduced costs and increased profitability through efficient project management
- Enhanced reputation and competitive advantage
- Potential for repeat business and referrals

Cons:
- Increased pressure on employees to meet tight deadlines and budgets
- Limited flexibility and adaptability to changes in project scope or requirements
- Higher risk of project delays or failure due to unforeseen challenges or issues
- Potential for strained relationships with clients and partners in the event of project
delays or failures
Investing in specialized equipment and technology:
Pros:
- Improved efficiency and productivity in operations
- Enhanced quality and accuracy in product or service delivery
- Potential for cost savings through automation and optimization of processes
- Competitive advantage through access to cutting-edge technology and equipment

Cons:
- High upfront costs and ongoing maintenance and repair expenses
- Limited scalability due to the need for specialized equipment and technology
- Rapid obsolescence and need for continuous investment in new technology
- Difficulty in finding skilled employees who can operate and maintain specialized
equipment and technology.

Strategic Implementation:
1.Current State Assessment: Conduct a thorough SWOT analysis to identify strengths,
weaknesses, opportunities, and threats; Pinpoint areas where specialized equipment and
technology can enhance efficiency and competitiveness.
2.Strategic Objectives: Clearly define objectives aligning with Fluor Corporation's overall
strategy.
3.Market Research: Stay updated on industry trends, competitor activities, and emerging
technologies.
4.Financial Planning: Develop a budget and ROI assessment for the investment in specialized
equipment.
5.Risk Management: Identify and mitigate potential risks associated with technology
implementation.
6.Partnerships and Vendors: Explore partnerships with tech providers and select reliable
vendors.
7.Employee Training and Change:Implement a comprehensive training program and change
management strategies.
8.Implementation Timeline: Develop a realistic timeline for phased implementation.

Action Plan:
1.Planning:
Complete SWOT analysis and finalize objectives.
Conduct market research and develop a detailed budget.
2.Vendor Selection:
Initiate discussions and select vendors based on predefined criteria.
3.Training and Change Management:
Develop and implement training programs.
Communicate the plan and address concerns through change initiatives.
4.Implementation:
Roll out specialized equipment in phases.
Monitor impact and performance.
5.Evaluation and Optimization:
Continuously monitor KPIs and assess ROI.
Optimize processes based on feedback and data.
6.Risk Management:
Regularly review and update risk assessments.
Implement mitigation strategies as needed.

VI. References
https://www.fluor.com/about-fluor
https://www.fluor.com/sitecollectiondocuments/fluor-corp-profile-english.pdf
https://www.investopedia.com/terms/f/fortune500.asp#:~:text=The%20term%20Fortune
%20500%20refers,using%20publicly%20available%20revenue%20data.
https://youtu.be/bYn4CyL3r5w?si=tAc9aFrJJKL984Zi
https://www.autodesk.com/autodesk-university/class/Journey-Center-BIM-Fluors-EPCV-
Digital-Transformation-2020
https://www.youtube.com/watch?v=5rP-xXmo7Uk
https://newsroom.fluor.com/news-releases/news-details/2018/Fluor-Uses-IBM-Watson-to-
Deliver-Predictive-Analytics-Capability-for-Megaprojects/default.aspx
https://ts2.space/en/fluor-corporation-unveils-power-of-artificial-intelligence-in-business-
operations/#gsc.tab=0
https://ts2.space/en/fluor-corporation-embracing-artificial-intelligence-across-the-
organization/#gsc.tab=0
https://www.globalconstructionreview.com/fluor-use-ibm-artificial-intelligence-
megaprojects/
https://www.linkedin.com/posts/fluor-electric_factoryautomation-industrialiot-siemensplc-
activity-7122835239772598273-oG8B
https://www.eurofinance.com/news/fluors-yoder-on-implementing-rpa-and-ai-for-treasury/
https://www.youtube.com/watch?v=Un34xOn9jKk
https://www.globaldata.com/company-profile/fluor-corp/premium-data/ict-spend-tech-
priorities/
https://www.youtube.com/watch?v=5AxpM7B5Bxk
https://www.appsruntheworld.com/customers-database/customers/view/fluor-corporation-
united-states
https://newsroom.fluor.com/news-releases/news-details/2018/Fluor-Uses-IBM-Watson-to-
Deliver-Predictive-Analytics-Capability-for-Megaprojects/default.aspx#:~:text=Fluor's
%20extensive%20engineering%2C%20fabrication%2C%20construction,provide%20early
%20insights%20into%20the
https://www.businesswire.com/news/home/20220601005690/en/Augmented-Reality-AR-in-
the-Construction-Industry-2022-Thematic-Research-Report---Market-to-Grow-to-150-
Billion-by-2030---ResearchAndMarkets.com
https://ycharts.com/indicators/
us_producer_price_index_special_indexes_construction_materialshttps://www.fluor.com/
SiteCollectionDocuments/2020-fluor-sustainability-report.pdf
https://www.fluor.com/sustainability/ethics-compliance
https://www.mbaskool.com/brandguide/real-estate-and-construction/7952-fluor-
corporation.html
https://s201.q4cdn.com/930516572/files/doc_financials/2022/ar/2022-Fluor-Integrated-
Report.pdf
https://craft.co/aecom
https://craft.co/jacobs

VII. Documentation