Engineering Services Outsourcing for Business Growth and Scalability

Why Engineering Outsourcing is Becoming Popular in the Construction Industry

The construction industry is constantly evolving, and engineering services outsourcing to the is gaining popularity among businesses in the industry. This is because it enables them to deliver high-quality products, meet tight deadlines, and maximize profits in a challenging market. If you are considering outsourcing your engineering services, here is what you need to know.

One of the biggest challenges facing the construction industry is the shortage of skilled workers. According to a 2019 report by international consultancy firm Turner & Townsend, two-thirds of the 64 markets surveyed are experiencing skills shortages, including markets in the UK, US, China, and South Africa. This shortage of talent can make it difficult for companies to meet the market's demands and provide the necessary services for their projects.

However, outsourcing your engineering services can be a smart business move. By building a strong offshore team, you can access a new pool of highly educated talent. In addition, outsourcing can save you up to 70% on labor and occupancy costs, providing you with the opportunity to compete with larger firms.

Moreover, when you outsource some of your engineering team to a multidisciplinary offshore team, you benefit from the boost of on-the-job learning, which leads to the professional growth and development of your team.

The Benefits of Outsourcing Engineering and Construction Services to the

Outsourcing your engineering and construction services to the can be advantageous for your business in several ways. Firstly, you gain access to a vast pool of already vetted and highly educated professionals. MicroSourcing has over 6,100 engineering and construction professionals in its database and is continuously growing.

Secondly, offshoring an engineering team to the can save you up to 70% on labor and occupancy costs, allowing small-to-medium businesses to compete with larger firms. The cost savings, combined with the access to new talent, can significantly improve your bottom line.

Finally, offshoring a team of engineers, as opposed to only one or two employees, provides the added benefit of on-the-job learning from working in a multidisciplinary team.

Roles Commonly Outsourced in Engineering and Construction Teams

MicroSourcing has a wealth of experience in providing outsourced engineering teams to clients globally, including one of Australia's largest construction and engineering firms, which grew from 20 to 90 headcount with our help. Here are some of the common roles we've hired for in the field of engineering and construction:

Estimator
Quantity Surveyor
Architect
CAD Operator
Draftsman
3D Modeller
Civil Engineer
Electrical Engineer
Mechanical Engineer
Quality Assurance Lead/ Manager
Engineering Technician
Management Roles (Project Manager, Lead Engineer, Lead Architect, Engineering Manager)
Support Roles (Administrative Assistant, HR Specialist, Document Controller, Data Encoder)

Creating a Successful Engineering Project Team

A Typical Engineering Team Structure

To create a successful engineering project, you must have the right team in place and establish an active line of communication between different disciplines. Communication is essential to ensure that your offshore team becomes a part of your company culture and understands your country-specific regulations and standards. Similar to your local team working on an international project, engineering outsourcing also requires regular, detailed communication.
A typical engineering team for an outsourcing setup usually comprises:

1 Quantity Surveyor
1 Architect
1 CAD Operator
1 3D Modeller
1 Project Manager
2-3 Engineers of different specializations (e.g., civil, electrical, mechanical)
1 Administrative Assistant

Key Roles in Your Offshore Team

A strong foundation is crucial for a successful construction team. Each position requires specialized skills, and a chain is only as strong as its weakest link.

Project Manager

For overseeing and facilitating the project process, your first port of call might be a project manager. Excellent communication skills, strategic thinking, and knowledge of the industry are necessary for project management. An offshore project manager should have at least a few projects under their belt and make executive decisions using their industry knowledge and experience. The more complex the project, the more experienced your project manager should be. They usually facilitate the project's progress and can be part of the project from the beginning stages of planning, costing, and design through to construction.

Architects

For smaller projects, you could offshore the lead architect to design the concept that engineers can base their schematics off, provided the architect has appropriate accreditation for the region they're designing for. This architect could also act as the conduit between the engineers and the project manager or, in some cases, clients. For larger projects, you could also offshore an architect to work under the lead onshore architect to help them work on a specific part of the project.

CAD Operators, 3D Modellers, and Associated Roles

You could save your company time and money by offshoring the presentation side of the project. This could include CAD drawings, realistic renderings, 3D models of the concept, and walk-throughs. Walk-throughs are becoming increasingly sophisticated with the integration of virtual reality software. A strong level of technical know-how is required for this component.

Engineers

You would need engineers of various specializations to design the structure and map out suitable schematic designs. Offshoring engineering teams specifically can be a good starting point as these roles require less client interaction than a project manager and can be more systematic. Each engineer's role is crucial to the success of your project and impacts every team member. For an engineering team, you'd usually require an engineer from each discipline as they are highly specialized. You would also probably have discipline-specific engineering technicians offshore to complete all the nitty-gritty details on the design. Engineers can rise to more managerial positions and take on more responsibility in their particular niche within the team.

Offshoring an Engineering Team

Quantity Surveyor

One of the key members of an offshore engineering team is the quantity surveyor. This professional is responsible for providing cost planning, bills of quantities, variation assessments, and progress claim reviews. In the case of large projects, the quantity surveyor may require an assistant or multiple assistants to provide support. The project manager is the main liaison with the quantity surveyor, although the work of each discipline impacts them. For instance, if there's a variation in the design from one of the engineers, the quantity surveyor will need to assess it.

Quantity surveyors who receive additional training or postgraduate studies can move into project management roles as long as they have a construction background and experience.

Administrative Assistant

To complete the outsourced engineering services team, you'll need an administrative assistant to manage documentation and assist the team as needed. Ideally, the administrative assistant should have experience within the construction industry so that they can help with documentation control, contract administration, and submissions.

Potential Offshore Team Structure

The below organizational chart is an example of a potential offshore construction team structure. Please note that this structure is an example only, as each project and client has unique needs and a different chain of command. In this example, offshore engineers are under the jurisdiction of an architect or lead engineer, rather than an offshore project manager.

Challenges of Offshoring an Engineering Team

Operating an offshore engineering and construction team comes with several challenges. The main challenge is that physical output needs to be monitored during construction. Some projects may require site inspections from engineers, necessitating onshore lead engineers to conduct these inspections.

Different regions require different standards, regulations, and levels of accreditation, which must be considered when building an offshore team.

Communication is another challenge, although technology is gradually resolving this issue. Building Information Modeling (BIM), for example, is a game-changer for the industry. BIM helps make the process more accessible for remote project teams and facilitates easier cross-discipline collaboration. Online meetings also make liaising with clients or onshore leads smoother, although finding the perfect time zone balance can be a hiccup. However, this can also be advantageous to complete work overnight. As a gauge, Manila is 15 hours ahead of Los Angeles, 7 hours ahead of London, 6 hours ahead of Amsterdam, and 2 hours behind Sydney. A good offshoring provider with genuine engineering outsourcing expertise will provide a team that can work during your business hours, so you're not constrained by time zones at all.