Davis Langdon to take on US giants Bechtel and Hill

Davis Langdon is planning to transform itself into a programme management giant to rival the likes of Bechtel and Hill International. The firm will double its staff in the Middle East, where so many monster projects require programme management. The first step will be to open an office in Abu Dhabi, where a Dubai-style construction boom is gathering pace.

As part of this move up the food chain, Davis Langdon has set the ambitious goal of programme managing the next Olympics. Rob Smith, senior partner, said: “This is something we are experienced in and by being part of the consortium programme managing the London Olympics (CLM) we are learning even more about it.”

He added that the firm will compete with massive global programme managers including Hill and Bechtel. Davis Langdon is supporting Hill in its role with the CLM consortium.

Smith said the plan would be achieved if the firm continued its current rate of growth. Its results this month showed turnover grew by15% to £121.9m during the year to April 2006. Profits were up by a third to £32.2m. Smith said Davis Langdon was on target to become a £250m turnover company.

Wanderlust has re-emerged. A number of young people are attracted to the Middle East

Rob Smith, Davis Langdon

Staff numbers are up to 1,406 in total, from 1,310 last year. The results revealed that Smith earned £544,000 in the year to April 2006, which was £37,000 more than last year. The average member of the firm earned £181,000, up from £162,000 last year.

Smith said: “We want to continue to be in the business of creating successful environments for projects but we are moving to more project management and ultimately to programme management.” Currently cost management accounts for 62% of the firm’s work, while project management is only 19%. (See pie chart.)

In the Middle East, Smith wants to double staff within two years and to open an Abu Dhabi branch within a year. Davis Langdon currently employs 160 people in its offices in Dubai, Bahrain, Doha and Beirut. Both project management and QSing skills are to be drafted in, plus engineers and management consultants. Smith expects the new recruits will come from the UK, South Africa, Australia and Philippines. He said he believed there was a resurgence of interest in working abroad: “Wanderlust has re-emerged. A number of young people are attracted to the Middle East and the huge projects they’re able to work on.”