A corporate strategy for Atlas Engineering Construction Corporation

• Main Author: Poa, Andrew C.
• Format: text
• Language: English
• Published: Animo Repository 2000
• Subjects: Construction industry > Philippines; Atlas Engineering Construction Corp.
• Online Access: https://animorepository.dlsu.edu.ph/etd_masteral/3922
• Institution: De La Salle University

In 1998 the chairman of the board Mr. Jose D. Roman of Atlas Engineering Construction Corporation faces the economic difficulties like all other contractors, with the increasing competition and threats of new entry from foreign and local investors. Rapid fluctuation of foreign exchange rates has resulted in the unstable price of construction materials. Despite the difficult times, the construction industry is still fast growing business due to demand for additional development of infrastructure in the country. In preparation for his planned retirement in three years, he has already appointed his two sons Joseph and Jason as company President and Vice President respectively. They are working hand in hand and oversee the day to day operations. Joseph is in charge of projects in the private sector while Jason takes care of projects in the public sector. The company is considered to be in a transition period since the leadership is being transferred to the next generation but more than that, it is in transition since the new leaders have a very different management style from the chairman. JD Roman is in search of new ideas in the management system that will further improve their already established company. What he wants to avoid is over expanding only to lose control over the management of their projects. A lot of infrastructure projects have already been awarded to foreign contractors who work on a Built Operate Transfer (BOT) type. This has influenced construction companies such as Asia Construct to acquire shares in their projects like the Expo Philippines in Clark Field Pampanga. Atlas is confident that their strong marketing strategies through aggressive arrangement coupled with connection to public and private sector will retain their status in the construction industry. They also hold a good record of completion of projects in compliance with the timetable. What is important for the brothers is to concentrate on their own divisions and to share in the overhead expenses and use of personnel as part of their cost efficiency measures.