Industry Analysis & Industry Trends
The Architectural Services industry has endured a tough five years due to a prolonged downturn in the construction market. Over the last five years, the winding back of educational building investment and weak housing construction markets have led to subdued demand for industry services. Revenue is estimated to rise by just 0.5% annualised over the five years through 2014-15, corresponding with a slump in the value of total building construction.
The key building markets for architectural services have displayed divergent trends over the past five years. In the non-residential building market, the value of institutional building has benefited from the injection of federal funding for school refurbishment under the Building the Education Revolution (BER) program... purchase to read more
Industry Report - Industry Investment Chapter
Architectural Services is a knowledge-based industry, which adds value through the use of professional skills and creativity to provide clients with satisfactory design and planning solutions. The industry therefore has a labour-intensive structure. Although industry players use computer-aided design (CAD) and advanced document preparation peripherals, the value of labour input remains integral to industry operations.
The ratio of labour costs to depreciation charges can be used to measure an industry's capital intensity as it indicates the amount of industry revenue absorbed by direct labour inputs (i.e. wages and salaries), and capital inputs. Wages and salaries account for 28.6% of industry revenue. Depreciation charges absorb 1.7% of annual industry revenue... purchase to read more