– The Minister of Land, Infrastructure and Transport ‘Architecture Service Industry Research on the Actual Condition,’ Final statistics will be confirmed in late July
-60,000 practician, Architecture firm counts are near 10,000… the total sales revenue is 1/40 of construction industry
The total sales revenue for architectural field is 5.5 trillion won and it ranks 10th in OECD, but the average sales revenue for individual company (architecture firm) ranks 20th among 28 OECD countries.
The Minister of Land, Infrastructure and Transport and AURI (Architecture & Urban Research Institute) recently presented this research on the actual condition and announced they plan to confirm final statistics after ascertaining the truth with relevant ministry and participants in late July. This is a research on the actual condition went on for 1 year to prepare basic statistics for development of Architectural Service Industry and the main contents are listed below :
◇Sales Revenue=The total sales revenue for architecture and related industries is 19.6 trillion won and it is only 1/11 of construction industry’s (216 trillion won). Among these, the sales revenue for Architecture is 5.5 trillion won (related industries: 14.1 trillion won) and the sales revenue of architecture only is 1/40 of construction sales revenue scale. ‘Architectural Service Industry’ includes ▷Architectural design and related services ▷Urban planning and landscape services, and ‘Related Industries’ includes ▷Building and civil engineering services ▷Other engineer services ▷Interior design.
◇Basic Statistics=The research shows the number of Architectural Service Industry workers in Korea is 60,000 and number of company is 9,745. In 2013, the number of architectural service industry and related industries company is 17,705 (architecture: 9,745, related industry: 7,960) and workers are 17,600 (architecture: 60,000, related industries: 116,000).
◇Regional Industrial Scale=The number of companies in Seoul/Gyeonggi Province is 49.5% of total number of businesses, the number of workers are 62.9%, and the sales revenue accounted 69.6%. The phenomenon of Architectural Service Industry being concentrated in the metropolitan area is revealed by this statistics.
◇Age Distribution=Most workers were in 40’s, which is 32.5% of all and the rest in order is 30’s (31.2%), 50’s (17.2%), and 20’s (13.0%) and this results proved new human resource shortage. In addition, the average period of continuous service was 6.5 years. On the other hand, for recruiting plan, mostly they responded ‘to maintain current number of workers’ (67.7%), and only 28.4% responded that they are planning to recruit workers. The reason for not recruiting new workers (multiple responses) are following. 40.6% responded ‘disqualified in working conditions such as wages’ and 34.1% responded ‘lack of applicants who meets for experience, qualification, and education requirement of the company.’
◇Architecture Firm Competitiveness ‘20th out of 28 OECD countries’=Comparing the scale of Korea’s architectural service industry and related industries, the sales revenue is ranked 10th among OECD countries and number of businesses and number of employees are ranked 9th each. However, research showed the average sales revenue for individual company is ranked 20th among 28 OECD countries. The average sales revenue for Korea’s architectural service industry businesses (i.e. architecture firms) is 2.32 million dollars and this is only 63% of OECD countries (3.69 million dollars per company). The Minister of Land, Infrastructure and Transport personnel explained, “We are somewhat prepared for sales revenue of overall industries and workers but we have many small companies” and also stated, “We would need to prepare for development of these.”
◇Company with International Project Experience is only 2.5%=The research showed 22.1% of architecture firms are willing to participate in international projects. But the firms with actual experience of practicing international projects are 2.5%, and only 831 project contract were made. They are willing to do it but there is no way. The international competitiveness enhancement policy is necessary for architectural service industries, such as, providing information on international projects and train high-quality manpower. Also, companies who adopt/applied specialized information technology, such as, BIM and GIS, is 9.6% and as the company scale is larger, it showed higher introduction rate. The research on educational training rate per business showed 36.9% of outside training and 51.8% of company training and as the company scale is small, they do not carry out the training.
◇Obstructive Factor of Architectural Service Industry’s Promotion/Development=Lastly, for the obstructive factors (multiple responses) of architectural service industry’s promotion and development, 76.6% responded ‘Low design fee and service fee’ and 60.9% responded ‘architecture economic recession.’ In addition, responses for necessary policy of architectural service industry development showed in the order of ▷Establishment of fair contract system (33.3%), ▷Build foundation for promoting small scale rising businesses (24.4%), and ▷Change of understanding for architectural culture (18.4%).
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Original article : http://www.conslove.co.kr/news/articleView.html?idxno=38844 (Korean language)