August 8, 2003—Frost & Sullivan announced EMCOR Group, as the recipient of the 2003 Frost & Sullivan Competitive Strategy Award for its expansion strategy that has resulted in a solid presence in the integrated facility management services market. Each year, this award is presented to a company whose precedent-setting competitive strategy has yielded significant gains in market share. Through a study, Frost & Sullivan found that EMCOR’s phenomenal growth between 1997 and 2002 captured the attention of competitors, making them readjust to protect their own market shares.
EMCOR’s growth started from a $1.95-billion operation in 1997 to a $3.97-billion one in 2002—a process driven by the outstanding choice of acquisition targets.
After acquiring 19 comfort systems companies in February 2002, EMCOR purchased Consolidated Engineering Services, Inc. (CES), a subsidiary of Archstone-Smith in December 2002. CES added over 9,500 facilities and 265 million square feet to EMCOR’s portfolio.
EMCOR is now offering 40-year contracts, where the company is responsible for the performance of the equipment and manages it through the equipment’s life cycle. In a market where funding is expensive and scarce, there are many takers for such an initiative since the clients have no responsibility for the equipment and simply benefit from the use of the plant and equipment.
