TZL 1608 (web)

November 3, 2025, Issue 1608 WWW.ZWEIGGROUP.COM

TRENDLINES

IT spending growing fast

$- $200,000 $400,000 $600,000 $800,000 $1,000,000 $1,200,000

A closer look reveals hiring and retention pressures demanding smarter, people-focused strategies. Zooming in

2023 2024 2025

Zweig Group’s 2025 Information Technology Report shows rapid growth in IT spending across AEC firms, with median spending up 27% year-over-year and 51% over two years. Average IT spending rose from $728,500 in 2023 to $1.1 million in 2025, reflecting firms’ growing commitment to technology as a driver of efficiency, innovation, and competitiveness. Participate in a survey and save on a Zweig Group research publication.

H iring in the AEC industry has become a lot like speed dating – everyone’s hoping for the one. Sure, there are success stories, but there are also a lot more people walking away with more questions than answers. Finding and keeping talent in the AEC industry has never been more challenging. Firms are competing for a shrinking pool of candidates, and, even when they bring someone on board, turnover pressures remain high. The stakes are clear. People are the engine that drives growth, profitability, and long-term success. Zweig Group’s 2025 Recruitment & Retention Report shines a light on how firms are navigating this reality – telling us where the AEC industry is headed by highlighting what’s working and what’s not. For leaders who want to make smarter, data-informed decisions about talent, this report is more than research. It’s a roadmap to success. I want to take a closer look at just one small piece of the full report: the chapter focusing on “People and Practices.” I want to zoom in on the workforce challenges AEC firms are facing every day – things like bad hires, turnover trends, training, benefits, and transparency. The complete report spans the entire spectrum of recruitment and retention, but this section offers a powerful snapshot of how firms are managing the human side of the business, and why those insights matter for the future of your firm. One theme that stands out with a closer analysis is just how difficult it has become to make the right hire. Nearly four in five AEC firms reported making bad hires in the past three years. These are hires that didn’t last, didn’t perform, or simply just weren’t the right fit. The reasons range from candidates overstating their technical skills, to poor cultural alignment, to firms rushing the process to cover urgent project needs. However, the problem isn’t just about missteps in the hiring process. In equal parts it’s about the scarcity of qualified candidates. Civil engineers, architects, and interior designers are amongst the most challenging to find, making competition fierce. Smaller firms are struggling to match the salaries and benefits offered by larger competitors, while others face mismatched timing between when talent is needed and when candidates are available. Simply finding candidates is in itself a hurdle, forcing firms to use proactive outreach to source qualified people.

Kyle Ahern

FIRM INDEX AMDG Architects.....................................10

Collins Cooper Carusi Architects....6

DLR Group.......................................................6

SCS Engineers..............................................8

Urban Engineers, Inc............................10

MORE ARTICLES n ROBERT JONES: Major shift in the DBE program Page 3 n MARK ZWEIG: Getting your people to work more Page 5 n ISABEL RICKABY: What makes an internship impactful Page 7 n TOMAS MITCHELL: The future of dispute resolution Page 9

See KYLE AHERN, page 2

THE VOICE OF REASON FOR THE AEC INDUSTRY

KYLE AHERN, from page 1

Hiring in the AEC industry has undergone a monumental shift. It has moved from being a routine business activity to a strategic challenge that demands foresight, creativity, and a commitment to better screening and onboarding. Firms that fail to adapt put themselves at risk of repeating the costly cycle of bad hires over and over again. Still more, bringing in talent is just half of the battle – keeping them is proving to be just as much of a challenge. Our data shows that the median overall turnover rate is around 13%, but that number varies dramatically depending on the firm type and their financial performance. Environmental consulting firms are experiencing the steepest challenge with a median turnover of 19%. More glaringly, firms operating at a loss see that number skyrocketing above 40%. It’s not just the volume of turnover that should be considered a challenge. The type matters just as much. Voluntary departures outpace involuntary ones by a wide margin, which suggests that many employees are leaving for what they see as better opportunities elsewhere. For smaller firms, even a single departure can have an outsized impact, disrupting project teams and straining client relationships. Turnover is more than a staffing headache, though. It’s a profitability issue. High churn increases recruiting costs, stretches existing staff thin, and can ultimately hamper a firm’s ability to grow. The lesson is straightforward. Firms that invest in retention strategies through culture, benefits, or leadership development are better positioned to maintain stability and momentum. While salary and benefits are effective in getting people through the door, they aren’t always what makes them stay. Data shows that most firms are leaning into community and culture to strengthen employee engagement. Nearly 90 percent of AEC firms donate to charities and encourage staff to participate in volunteer activities from Habitat for Humanity builds to river cleanups. However, these initiatives are more than goodwill gestures. They create opportunities for employees to connect with each other and with the broader mission of the firm. Recognition, on the other hand, is a mixed bag. While 60% of firms formally acknowledge employees’ involvement in philanthropy through internal communications, only a small percentage tie that recognition to tangible rewards like bonuses or gifts. This gap highlights a growing opportunity. Employees increasingly expect their work lives to connect with purpose, and firms that make that connection visible and meaningful gain an edge in retention. Taken together, these trends paint the picture of an industry at a turning point. Hiring is harder, turnover is higher, and employees are expecting more than ever before. Training, engagement, flexibility, and transparency aren’t just nice to have. They’re competitive differentiators in a labor market defined by scarcity. The reality is that recruiting and retention challenges ripple across every part of a business. High turnover strains profitability, weak hiring undermines culture, and weak engagement erodes client service. In this landscape, firms that invest intentionally in people strategies position themselves for stronger growth, resilience, and long-term success. The talent equation is shifting. Leaders can’t afford to navigate by guesswork. The insights from Zweig Group’s 2025 Recruitment & Retention Report offer a data-driven roadmap to help firms benchmark their practices, identify blind spots, and make smarter decisions about their most critical resource – their people. Whether it’s understanding where hiring bottlenecks happen, how turnover compares to peers, or which benefits are moving the needle. This report equips firms with actionable intelligence. Don’t let talent challenges be a barrier to your firm’s growth. Access the 2025 Recruitment & Retention Report today and give your firm the insight it needs to attract, engage, and retain the people who make success possible. Kyle Ahern is manager of Data and Analytics at Zweig Group. Contact him at kahern@ zweiggroup.com.

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THE ZWEIG LETTER NOVEMBER 3, 2025, ISSUE 1608

OPINION

Major shift in the DBE program

The DOT’s new rule ends automatic DBE presumptions, requiring individualized proof of disadvantage and immediate recertification for all firms.

T he U.S. Department of Transportation (DOT) has issued an Interim Final Rule (IFR) that fundamentally alters the Disadvantaged Business Enterprise (DBE) program. Effective immediately upon publication in the Federal Register, the IFR removes the race- and gender-based presumptions of social and economic disadvantage that have underpinned the program for more than 40 years.

Robert Jones, CPA, CPCM

This action is a direct response to mounting constitutional challenges, including a pending federal case in Kentucky, where the court signaled that automatic presumptions of disadvantage may not withstand Fifth Amendment scrutiny. While a consent decree in that case is still pending, DOT has preemptively concluded that the presumption is unconstitutional and acted to overhaul the program without waiting for Congress or the courts to finalize the matter. KEY ELEMENTS OF THE INTERIM FINAL RULE. According to DOT’s signed IFR and accompanying guidance from the Office of Civil Rights:

DBEs will lose certification and must undergo reevaluation. Firms must submit personal narratives and documentation to establish individualized social and economic disadvantage.

■ Burden of proof on firms. Applicants must now prove disadvantage; it will no longer be presumed.

Suspension of DBE goals. Federal funding recipients may not set DBE goals or count DBE participation until reevaluations are complete.

■

■ Retention of net worth cap. The Personal Net Worth (PNW) limitation remains in effect.

■ Re-certification required. All currently certified

See ROBERT JONES, page 4

THE ZWEIG LETTER NOVEMBER 3, 2025, ISSUE 1608

ELEVATE THE INDUSTRY®

for more than four decades. Its overhaul represents more than an administrative change – it is a defining moment in the intersection of affirmative action, equal protection, and public procurement. The industry must adjust rapidly while courts, Congress, and agencies wrestle with what comes next. We are actively engaged through AASHTO’s Committee on Civil Rights and ACEC’s Federal Agencies and Procurement Advocacy Committee, ensuring we maintain close communication with the DOT, FHWA, and other key stakeholders. We will continue to share updates as the situation evolves. HOW TO PREPARE YOUR FIRM FOR WHAT’S NEXT. Even with uncertainty around legal challenges, one fact is apparent: competition is opening up. Firms that relied on DBE set-aside protections will face a new reality, while those that never qualified will gain broader access to opportunities. To compete effectively in this new environment, your organization must be audit-ready and compliance-strong: ■ Bullet-proof accounting system compliance (SF 1408, FAR readiness). ■ Documented, up-to-date policies and procedures (AASHTO ICQ, GAAP compliance). ■ Solid indirect rate calculations and strategies to remain competitive and profitable. ■ Readiness for state and federal audits as agencies recalibrate oversight. URGENCY WITHOUT PANIC. This is not the time to wait and see. Whether or not the IFR survives legal scrutiny, agencies and firms are already moving to comply. Now is the time to take proactive steps to prepare your business for more open competition and heightened oversight. Our GovCon Advisory team at Stambaugh Ness can help you navigate these changes with confidence. From accounting system reviews to indirect rate strategy, we position you to thrive in this evolving procurement environment. If your organization has not already evaluated its readiness for a post-DBE landscape, now is the time to do so. Contact us to ensure your systems, policies, and rates are audit-ready and competitive in an environment where success will depend on merit, compliance, and performance. LEAD YOUR FIRM THROUGH THE DBE TRANSITION. The recent DBE program changes require more than just compliance – they demand a new strategy. This webinar is designed for C-level leaders to address this shift head-on. Join us to learn actionable strategies to protect your firm, diversify opportunities, and lead your team with confidence. Register here! Robert Jones, CPA, CPCM is director of Outsourced Accounting Services – GovCon at Stambaugh Ness. Connect with him on LinkedIn.

ROBERT JONES, from page 3

■ Broader changes. Updates also affect record-keeping, goal setting, and disparity studies. DOT justifies the IFR by citing the unconstitutionality of the current presumption and the need for immediate action. At the same time, this move creates risk of a legal challenge under the Administrative Procedure Act (APA), since interim final rules typically require a more substantial showing of necessity than DOT may have demonstrated. This is further complicated by the current lapse in appropriations and government shutdown with the Office of the Federal Register publishing only documents “directly related to the performance of governmental functions necessary to address imminent threats to the safety of human life or protection of property and may publish documents related to funded programs if delaying publication until the end of the appropriations lapse would prevent or significantly damage the execution of funded functions at the agency … unless the document was received and scheduled for publication before the appropriations lapse began.” It’s not clear whether the IFR meets those standards. Regardless, it appears that the 30-day comment period is open, and the rule has already taken effect. WHAT THIS MEANS FOR AGENCIES AND CONSULTANTS. For state DOTs and local agencies, DBE goals cannot be enforced until recertifications are complete. While existing contracts appear to be unaffected, agencies will likely need to revise their procurement practices and DBE participation goals promptly. For transportation consultants and contractors, the environment shifts immediately:

■ DBE firms face an urgent recertification burden.

■ Non-DBE firms will soon see increased competition for federally funded work as set-aside protections fall away. ■ The entire industry should expect increased scrutiny around eligibility, reporting, and compliance. These developments parallel the SBA 8(a) program changes, where individualized disadvantage determinations replaced broad presumptions in response to constitutional challenges. WE SAW THIS COMING. We previously noted that the DOT might act before the courts or Congress to address the constitutional risks. That prediction has now materialized. The IFR is DOT’s attempt to get ahead of the courts, but the future of the program remains uncertain. If the IFR is challenged under the APA, implementation could be delayed or overturned. For now, however, firms must operate as though this is the new standard: individualized proof, re-certification, and heightened compliance obligations. A DEFINING MOMENT IN FEDERAL AND STATE PROCUREMENT. The DBE program has shaped the AEC transportation sector

THE ZWEIG LETTER NOVEMBER 3, 2025, ISSUE 1608

FROM THE FOUNDER

Getting your people to work more

T he AEC business is pretty simple really. We can say we sell expertise or creativity when we have fixed fee pricing, but for all practical purposes, we sell the time of the people who work for us. So the more hours we have to sell, the more revenue we should make. If you want people to work harder, hire the ambitious, lead by example, and reward real performance.

Then there is the other little secret – one that not everyone understands – that being that all hours worked beyond 40 billable are the most profitable hours. That’s because the overhead was recovered in the first 40. Anything beyond that has no overhead associated with it. In the case of salaried people, the revenue from each of those “over-40” billable hours is pure profit. Even if overtime is paid to the employee, those hours beyond 40 billable are still more profitable hours for the firm than the first 40 were. Yet, in today’s culture, there is an increasing emphasis on work-life balance. I constantly see LinkedIn posts by so many self-proclaimed “successful” people advising their readers to not sacrifice their personal time for the job. Here is an example of one I read the other day: In the pursuit of “success,” it’s easy to forget what really matters.

But here’s the reality: – Work isn’t your family – You’re not your job title – And job security isn’t a promise You weren’t born to grind. You were born to live.

Mark Zweig

Performance reviews don’t determine your worth, and your value isn’t measured by deadlines or KPIs. My response to this is: “Unless you want to get ahead.” So with this being the “popular wisdom” today, how do we get our people to work more hours? There is no simple answer. These are the things that come to mind:

See MARK ZWEIG, page 6

THE ZWEIG LETTER NOVEMBER 3, 2025, ISSUE 1608

ELEVATE THE INDUSTRY®

TRANSACTIONS COLLINS COOPER CARUSI ARCHITECTS JOINS DLR GROUP The global integrated design firm DLR Group announced that Atlanta-based Collins Cooper Carusi Architects has joined the firm. The addition of CCCA marks a strategic expansion of DLR Group’s presence in the Southeast, establishing a permanent operation in Atlanta that complements its existing offices in Charlotte, Durham, Nashville, and Orlando. Founded in 1987, CCCA is a community focused design firm with expertise in early learning and K-12 education, higher education, on-campus student housing, recreation centers, and design for public and private sector clients. In addition to receiving recognition for design from the AIA, IIDA, ALA, and other industry organizations, CCCA was honored as Georgia AIA Firm of the Year in 2020. CCCA’s design philosophy is grounded in active listening and creative visioning which inspires innovative design

solutions for clients. The firm’s recent projects include Emory University’s Convocation Hall; Kennesaw State University’s The Summit First Year Student Housing residence; Joseph W. Jones’ Ecological Research Center at Ichauway in Baker County, Georgia; the Georgia Department of Natural Resources Wormsloe State Park Visitor Center in Savannah; and additional work for elite public and private school clients in the Southeast. “Collins Cooper Carusi’s passion for thoughtful, responsive design and its strong connections in education and civic work in the region make it an ideal cultural and strategic fit,” said DLR Group CEO Steven McKay, AIA, RIBA. “CCCA immediately strengthens our expertise in on-campus student housing and our entire higher education portfolio. An established office in Atlanta also gives us a base to meet the design needs of our civic, cultural, federal, healthcare, sports,

and private market clients throughout the Southeast.” The firm’s 40 design professionals will operate as DLR Group|Collins Cooper Carusi from its existing office at 3391 Peachtree Road NE, in Atlanta. Eric Richardson, AIA; Sandy Cooper, AIA; Fiona Grandowski, AIA, IIDA; Jeff Juliano, AIA; and Clayton Daspit, AIA, LEED AP, will join DLR Group as Principals, ensuring leadership continuity and a seamless transition for clients and staff. “Joining DLR Group will bring significant advantages to our clients. We gain access to more design resources and expertise to keep us at the forefront of design and allow us to compete as true peers with the largest firms,” said Richardson, president of CCCA. “Just as exciting, our team members can become employee owners and tap into the strength of DLR Group’s multidisciplinary, global platform – an opportunity that will be truly career- defining.”

your people – especially those in the first 10-15 years of their professional careers – four times a year. Better yet, adjust their pay any time you feel they deserve it. 5. Overhaul your bonus programs. Once again, the typical AEC firm has an annual bonus program. But once a year is not often enough if you really want it to be motivational because the reward is too far removed from the activity that generated the profit that allowed the firm to pay out the bonuses. How about having a quarterly or monthly bonus program? I’ve found the resistance to doing this is typically based on management’s fear they will make money one quarter and lose it the next, but rolling losses forward into the next month or quarter to be made up before any monies are paid out will mitigate this. 6. Shine a spotlight on your most productive people. Many firms will promote the successes of their people in terms of getting professionally registered, or winning design awards, or selling work. But how many promote the successes of those with the greatest productivity? Very few in my experience. Make it part of the culture and celebrate those people versus not talk about them as if they are freaks. I’m out of time and space here or I could probably go on. But the point of all this is to stop wondering why your people don’t put in more time than they do when we live in a culture that celebrates leisure over productivity, and when your own management practices make no attempt to overcome that by being different from everyone else’s who are in the same business you are. Mark Zweig is Zweig Group’s chairman and founder. Contact him at mzweig@zweiggroup.com.

MARK ZWEIG, from page 5

1. Hire the right people in the first place. That is those who are hungry. Those who had to work hard to get through school. Those who have clear goals they are working toward because they want to elevate their financial success. Those who realize that making more money improves the lives of their families. Yes – these people do exist. 2. Be a company with a REAL purpose. Have a purpose that resonates with your people and makes them feel their work makes a difference in the lives of others. Again this is not always easy, but it’s a heck of a lot easier in our business where we do make the world a better place through our work than it is in many other types of businesses. It cannot be made up and full of empty cliches. The founder and leaders need to live it. They need to continuously remind the people in the firm why they are doing what they are. 3. The leaders have to exemplify the behaviors they expect from their people. If the leaders cut out early – if the leaders are unwilling to burn the midnight oil to accomplish the impossible – if the leaders check out at night or on weekends – you can pretty well expect the rest of the people to follow suit. It’s not “do as I say,” but rather “do as I do.” This is fundamental. 4. The rewards have to be there. Most firms in this business do not really reward hard work and extreme productivity in spite of their claims that they do. They instead base salaries more on education and registrations and where someone is in the hierarchy – and then look at that on annual intervals. Stop doing that. Look at what you pay

THE ZWEIG LETTER NOVEMBER 3, 2025, ISSUE 1608

OPINION

The most effective internships don’t just prepare students for the workforce, they inspire them to envision their role in their chosen career. What makes an internship impactful

F or many college students, a top priority before graduating is to gain valuable hands- on experience through an internship in their desired career field. These programs give students a behind-the-scenes look at what their future could be like. It’s an opportunity to fall even more in love with their chosen career or to reevaluate their path. Such decisions and feelings are often influenced by the internship experience, which can ultimately determine a student’s future direction. So, what aspects of an internship enhance the intern experience and leave a lasting, meaningful impact on students?

Isabel Rickaby

This summer, I was fortunate to secure an internship at SCS Engineers, an environmental engineering firm, where I worked on solid waste design and gained firsthand experience in environmental engineering. Here are several key elements that enriched my internship experience: ■ Having an engineer “buddy.” This person’s role was to ease my transition into working at an engineering firm. The buddy system provided a relaxed, one-on-one relationship with an experienced engineer outside of my supervisor. This arrangement allowed me to network, ask questions about daily life as an engineer, and

have a friendly face on my first day. My buddy was also transparent about their job – sharing details such as salary, annual raises, and tips for negotiating a contract – topics rarely covered in college or found online. Building this relationship helped me identify the type of work environment I want to be part of in the future. ■ The final presentation. Knowing I would need to share my work with others motivated me to track my progress carefully, ask my coworkers more thoughtful questions, and consider how each task fit into the broader goals of the project.

See ISABEL RICKABY, page 8

THE ZWEIG LETTER NOVEMBER 3, 2025, ISSUE 1608

ELEVATE THE INDUSTRY®

■ Immersion in the typical workload of an environmental engineer. This gave me an authentic view of the profession. I was assigned relevant work that directly contributed to project deadlines, fostering trust and a sense of responsibility between my supervisor and me. This meaningful work kept me engaged and eager to learn more about engineering projects, client interactions, and the technologies used in the field. While working toward deadlines could be stressful, it also provided valuable lessons in time management, asking for help, and problem-solving under pressure. An impactful internship program is built on more than just technical tasks; it thrives on intentional structure, mentorship, and opportunities for reflection. Elements like a buddy system foster early confidence and connection, while real-world assignments challenge interns to apply their skills meaningfully. When programs encourage open communication, provide space for growth, and value intern contributions, they create an environment where learning is active, and purpose driven. Ultimately, the most effective internships don’t just prepare students for the workforce, they inspire them to envision their role in their chosen career. Isabel Rickaby is a junior in the School of Civil and Environmental Engineering at Georgia Tech. She was a summer intern at SCS Engineers. Connect with her on LinkedIn.

ISABEL RICKABY, from page 7

It shifted my focus from simply completing assignments to understanding their purpose and goals. That process of reflection transformed everyday tasks into meaningful opportunities for growth. “An impactful internship program thrives on intentional structure, mentorship, and opportunities for reflection. Elements like a buddy system foster early confidence and connection, while real-world assignments challenge interns to apply their skills meaningfully.” Furthermore, this presentation provided a valuable opportunity for me to practice presenting in front of a large audience. It also challenged me to think on my feet when answering questions, reinforcing the importance of preparation, adaptability, and poise under pressure. The experience not only improved my public speaking abilities but also gave me a sense of accomplishment that I will carry into future academic, professional, and client-facing presentations.

THE ZWEIG LETTER NOVEMBER 3, 2025, ISSUE 1608

OPINION

The future of dispute resolution

AI is transforming dispute resolution by predicting outcomes, reducing conflicts, and enhancing decision-making – while raising vital data privacy concerns.

Technology update brought to you by

A rtificial intelligence is revolutionizing industries worldwide, and construction is no exception. From project management to risk assessment, AI-driven tools are improving efficiency and mitigating conflicts.

After more than three decades in construction management and dispute resolution, I’ve seen technologies come and go, some promising, some transformative, but AI, at this time, appears different. It’s not just changing how we build; it’s reshaping how we think about conflicts in the construction industry, how we foresee them, how we mitigate them, and potentially, how we resolve them. To understand AI’s potential in dispute resolution, it’s important to first consider the most common causes of construction disputes. These include errors and omissions, differing site conditions, resource availability, and owner-directed changes. Errors and omissions, such as design flaws or incomplete documentation, can lead to conflicts about project execution. Differing site conditions, including unexpected environmental or structural challenges, can result in delays and cost overruns.

Resource availability issues, such as shortages of materials or skilled labor, can disrupt schedules and lead to disputes over responsibilities. Additionally, owner-directed changes, where modifications are requested after construction has begun, often lead to disagreements over scope, costs, and timelines. Typically, resolving these disputes requires careful human analysis, but what if AI could assist with this task? A study published by the American Society of Civil Engineers in 2023, “Journal of Legal Affairs and Dispute Resolution in Engineering and Construction,” tested AI’s ability to analyze past construction disputes that had already been resolved through adjudication. When AI was applied to these cases, it successfully predicted or aligned with the actual reasoned resolutions (the final decisions made in those disputes) 95% of the time.

Tomas Mitchell, PE, CFCC

See THOMAS MITCHELL, page 10

THE ZWEIG LETTER NOVEMBER 3, 2025, ISSUE 1608

ELEVATE THE INDUSTRY®

TRANSACTIONS THE STONEWALL GROUP ANNOUNCES NEWEST ACQUISITION OF AMDG ARCHITECTS The Stonewall Group, a private investment firm focused on acquiring, investing in, and operating premier architecture and engineering companies across the United States, has announced its partnership with AMDG Architects, a respected architecture and design firm headquartered in Grand Rapids, Michigan. Founded in 2018, The Stonewall Group partners with architecture and engineering firm owners and founders to support their transition out of business ownership and into the next chapter of their personal, professional, and financial lives. With a track record of successful integrations, the firm now operates in more than eight major U.S. cities and supports over 200 employees. AMDG represents The Stonewall Group’s sixth partnership, to date. Established in 1992, AMDG Architects provides architecture and interior design services to clients across education, workplace, civic, worship, and residential markets. Guided by its mission to “care

for people and steward creation through design,” AMDG has built a reputation for exceptional design quality, client service, and values-driven leadership – making the firm a natural fit within The Stonewall Group’s family of brands. “Our partnership with The Stonewall Group allows us to remain committed to our mission while gaining the resources and support needed to expand our reach and capabilities,” said Peter Baldwin, AMDG principal. “We are excited to build on our foundation while creating new opportunities for our clients and team members.” Ben Moody, co-founder and CEO of The Stonewall Group, added, “AMDG embodies the characteristics we look for in a partner – exceptional design talent, a strong leadership team, and a deep commitment to serving clients with excellence. We look forward to supporting AMDG’s continued growth while honoring the culture and values that have made them successful for more than 30 years.” The Stonewall Group’s portfolio of architecture, engineering, and design

firms delivers best-in-class services to a diverse range of end markets, including K-12 and higher education, hospitality, luxury resorts and hotels, athletic facilities, healthcare, restaurants, industrial, manufacturing, and energy. The company’s collaborative approach emphasizes long-term relationships, operational excellence, and sustained value creation for its partners. Headquartered in Lafayette, Louisiana, The Stonewall Group is an investment and management firm focused exclusively on the architecture and engineering sector. The Stonewall Group partners with leading architecture and engineering companies to accelerate growth, strengthen operations, and expand opportunities for their people and clients. By providing strategic resources, scalable systems, and a culture of accountability, Stonewall empowers firms to thrive while preserving their unique identities. Since its founding in 2018, The Stonewall Group has grown into a national platform supporting a network of premier architecture and engineering brands serving diverse end markets.

Despite these concerns, AI is here and forthcoming in construction dispute resolution. The industry must continue preparing for the eventual use of AI. The reality is that the large amount of data generated from construction software programs provides an opportunity to use AI to synthesize. However, the results of the synthesis must be verified, and not blindly accepted. AI can be used as a guide in disputes to analyze and predict outcomes. But, more importantly, the use of AI must be approached with careful consideration of the resulting information and protection of confidential information. Safeguarding and protecting confidential and proprietary information must be addressed and incorporated. From my perspective, AI can be best applied as a resource for consideration and guidance, but not as a conclusion or answer for construction dispute resolution. AI will synthesize data, but it requires the experience of a seasoned construction consulting professional to consider the information derived from AI sources and apply it to the analysis and conclusions. Thomas Mitchell, PE, CFCC, is a senior project manager at Urban Engineers, Inc. Connect with him on LinkedIn.

THOMAS MITCHELL, from page 9

When examining the vast amount of data generated by construction projects, AI proves to be a valuable tool in predicting potential outcomes based on data and past litigated findings. By identifying possible issues before they arise through the analysis of trends and patterns in contract disputes, AI can help improve contract management, even reducing conflicts within construction projects. AI applications, such as Lex Machina and Solomonic, have demonstrated an ability to rely on past litigated judgments with additional data input to reach a predicted conclusion, which can assist in the decision-making of whether to negotiate a settlement or move forward with litigation. However, the use of AI comes with its challenges. As we are still in the early stages of utilizing the software in construction disputes, the primary concern is maintaining the confidentiality of parties during data processing with the AI machine. The question arises, how is the data protected from being released or accessed by outside non-participating parties? Such data could include personal information, company financial information, and intellectual property. As noted in an article by the American Bar Association entitled “Artificial Intelligence in Construction: Potential Capabilities and Risks,” consideration must be made for data privacy laws and copyright infringements.

THE ZWEIG LETTER NOVEMBER 3, 2025, ISSUE 1608

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