Professional Documents
Culture Documents
ON
Submitted by
Nikhil Sharma
A15559016035
Organizational Culture....................................................................8
Recommendations ....................................................................... 15
References .................................................................................. 16
Business Profile
AECOM is one of the world's top design, engineering and construction groups. The company
provides planning, consulting, and construction management services for civil and infrastructure
construction to government and private clients in some 150 countries. The company also
provides facilities management and maintenance, logistics, IT services, and systems integration
services.1 AECOM projects include World Trade Center (USA), Abu Dhabi International Airport
(Abu Dhabi), Seabird Project (India), ITC Grand Chola (India) and Mercedes-Benz stadium
(USA)
Core values
Safeguard - operate ethically and with integrity, while prioritizing safety and security
Collaborate - build diverse teams that connect expertise to create innovative solutions.
Inspire - develop and celebrate our people, and elevate the communities we touch.
Anticipate - understand the complexity of our clients challenges and help them see further.
Deliver - grow our business through operational excellence and flawless execution.
Dream - transcend the industry by reimagining what is possible and realizing it.
Product
AECOM caters to a very diversified clientele. The Company's segments include design and
consulting services (DCS), construction services (CS) and management services (MS). Its
DCS segment is engaged in planning, consulting, architectural and engineering design services
to commercial and government clients in major end markets, such as transportation, facilities,
environmental, energy, water and government. Its CS segment is engaged in construction
1
Overview About AECOM (anon n.d) http://www.vault.com/company-profiles/engineering/aecom/company-
overview.aspx (accessed on March 13, 2017)
2
About Us Core Values (anon n.d) www.aecom.com (Accessed on March 13, 2017)
3
services, including building construction and energy, infrastructure and industrial construction,
primarily in the Americas. Its MS segment is engaged in programing and facilitating
management and maintenance, training, logistics, consulting, technical assistance, and
systems integration and information technology services, primarily for agencies of the United
States government and other national governments.
4
Leadership at AECOM
Michael S Burke
Chairman and CEO
W. Troy Rudd
Frederick W. Werner Daniel P. McQuade
Executive vice
Group President, Design Group President,
President, CFO
and Consulting services Construction Services
5
Financial Health
After a breakout year in fiscal 2015 which
saw revenue more than double due
mostly to the acquisition of URS
Corporation, AECOM reported a 3% drop
in sales to $17.4 billion in fiscal 2016.
The company saw declines in all three
segments, led by a $307 million drop in
Design and Consulting Services.
Geographically, Canada was particularly
hard hit with sales from the country falling
nearly $450 million. Source: www.finance.yahoo.com/quote/ACM
Source: http://phx.corporate-
ir.net/phoenix.zhtml?c=131318&p=irol-
presentations
3
Overview Financial Performance (anon n.d) http://www.vault.com/company-
profiles/engineering/aecom/company-overview.aspx (accessed on March 13, 2017)
6
Organizational Structure
Organizational Structure
AECOMs organizational
structure is designed to
various capabilities
7
Organizational Culture
AECOMs organizational culture is believed to be hierarchical in nature. Many employees rate
AECOMs organizational culture has very corporate. The employees at AECOM have to adhere
to a strict Code of Conduct.
AECOMs Code of Conduct4 says, AECOMs Code of Conduct (the Code) addresses the
professional, ethical, financial, and social values of AECOM. The principles guiding the Code
are:
The Code has been created to provide guidance regarding these principles.
However, it important to mention that many employees have expressed on websites like
Glassdoor.com and PayScale.com that the senior management needs to take steps in order
to make the work culture more productive. Despite of such reviews, AECOM scores well when
it comes to employee satisfaction.
4
AECOM Code of Conduct (anon n. d) http://phx.corporate-
ir.net/External.File?item=UGFyZW50SUQ9MjY5NjV8Q2hpbGRJRD0tMXxUeXBlPTM=&t=1 (Accessed March 27,
2017)
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SWOT Analysis
This SWOT Analysis of Aecom provides a strategic SWOT analysis of the company's
businesses and operations.
Strength
1. Robust market position - Robust market position equips the company with
scale and resources providing sustainable competitive advantages over its
peers
Weakness
1. Higher debt and interest expense and high finance charge will also
negatively impact the profitability and pricing power of the company
9
Opportunity
1. Expansion through acquisitions AECOM acquired KPK and URS Corp
and witnessed growth.
3. Acquisitions and tie-ups can boost the image and service portfolio
10
PESTLE Analysis
PESTLE is a mnemonic which in its expanded form denotes P for Political, E for Economic, S
for Social, T for Technological, L for Legal and E for Environmental. It gives a birds eye view
of the whole environment from many different angles that one wants to check and keep a track
of while contemplating on a certain idea/plan. A PESTLE analysis will help in analyzing the
devising the strategies for AECOM entering into Bangladesh.
1. Political
2. Economic Environment
certain sectors of the economy are left to private ownership and free market mechanism
while other sectors have significant state ownership and government planning. Once there
was a large state sector in Bangladesh but recent tend to privatization has reduced state
Chittagong, the country's two largest cities, as well as other urban centers, have been the
driving force behind much of the recent growth. As foreign firms can invest in the privatized
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3. Social Environment
In the past social values were more conservative, rigid and strong. Bangladesh is a
conservative Muslim country. People used to live a more religious life. The young were
more respectful to the old and superior. People used to believe in joint families. But now
people are getting more and more liberal. They follow religion in a more relaxed way. Social
values are changing fast. There is a clear western influence on culture and values. Many
people now accept western values. The causes of the present social values are satellite,
television, globalization, free exchanges among the nations and free trade. There are
certain effects of social values. People now abide by religion in a more relaxed way. Women
are now playing a more important role in different parts of the society.
4. Technology
Bangladeshs technology related sectors are witnessing a boom. But it is mostly the ICT
and IT sectors that are growing. Infrastructure technology is still old when compared to the
technology in west. Bangladesh even lags behind neighboring nations like India and Sri
Lanka.
5. Legal
Bangladesh has a colonial history and thus its laws and legal structure is very similar to
that of Great Britain or India. With SEZs coming up in various parts of Bangladesh, it would
be much easier to operate that it was before.
6. Environment
Bangladesh is situated at the great delta of rivers Brahmaputra and Ganga. It is home to
various protected animals and plant species. The forests in Bangladesh feed the large
village industry.
12
Stakeholders at AECOM
It is important for any company to identify its stakeholders and know their expectation and
impact.
Top Management The top management of the company gives AECOM its
direction. They devise strategies and plans to expand
company
13
AECOM Strategy
With approximately 45,000 employees serving clients in more than 125 countries, AECOM
has a long and proven track record of winning and managing the worlds most complex and
demanding projects.5
1. A diversified growth strategy that positions AECOM well to withstand financial cycles
and unforeseen market impacts5
2. Important acquisitions like URS Corps and KPK across our transportation, facilities,
government services, and energy end markets.
3. Expansion into Asian defense infrastructure.
4. AECOM Capital - AECOM Capital is the investment arm of AECOM, and structured
as a co-general partner fund platform that invests in a variety of real estate and
infrastructure assets in the U.S. and UK.
5
Annual Report 2010 (anon, 2010) http://phx.corporate-
ir.net/External.File?item=UGFyZW50SUQ9NDE2NDE5fENoaWxkSUQ9NDI4NzEyfFR5cGU9MQ==&t=1 (Accessed
April 4, 2017)
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Recommendations
1. AECOM has much experience in executing energy production projects. In future
AECOM can partner with local or big energy distribution companies to sell power.
2. In order to expand in Bangladesh, AECOM s India subsidiary can act as base. Since
the Indians are much well versed with Bangladeshi culture and legal structure than
US, UK counterparts, it would be better to let AECOM India expand into Bangladesh.
15
References
1. AECOM website- www.aecom.com
2. Vault - http://www.vault.com/company-profiles/engineering/aecom/company-
overview.aspx
3. https://www.boundless.com/accounting/textbooks/boundless-accounting-
textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-
19/business-stakeholders-internal-and-external-117-6595/
4. http://www.marketresearchreports.com/countries/bangladesh
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