From Engineer to CEO: The Mindset Shift No One Talks About

Key Concepts

• AEC Industry (Architecture, Engineering, and Construction): The sector focused on the design and construction of the built environment.
• Fast Follower Strategy: A business approach of waiting for new technologies to mature before adopting them, rather than being the first to innovate.
• Administrative Automation: Using AI to handle repetitive, non-design tasks (e.g., report and proposal generation) to increase employee throughput.
• Geographic Resource Balancing: A strategy of shifting project work across different regional offices to mitigate local economic downturns or seasonal challenges.
• Leadership Development: The process of transitioning technical professionals into management roles through formal training, mentorship, and continuous follow-up.
• ROI (Return on Investment): The measure of the efficiency of an investment, particularly regarding capital spent on technology and human capital development.

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1. Philosophy on AI in the AEC Industry

Kevin Haney, CEO of Kier’s Engineering and Design (CED), emphasizes that engineering firms should focus on their core competency—design—rather than attempting to become software developers.

• Strategic Approach: CED acts as a "fast follower." They avoid the high capital expenditure of developing proprietary design software, preferring to let major vendors (e.g., Autodesk, Bentley) invest millions in R&D.
• Implementation: CED uses in-house programmers to integrate off-the-shelf products, ensuring they communicate effectively to provide a competitive edge.
• Focus Area: AI investment is directed toward the administrative side of the business. By automating repetitive tasks like proposal and report writing, CED has reduced 6–8 hour tasks to minutes, allowing engineers to focus on high-value design work.
• Investment: In 2025, CED invested approximately $500,000 in developing these proprietary administrative workflows.

2. Geographic Resource Management

With 3,500 employees across 85 offices, CED utilizes a "whack-a-mole" strategy to manage economic volatility.

• Resource Sharing: When a specific market (e.g., residential in Arizona) slows down, the firm shifts those employees to work on projects in busier regions (e.g., Florida or New Jersey).
• Operational Resilience: This model allows the firm to maintain staff utilization and keep employees billable even during regional economic dips or seasonal disruptions, such as harsh winters in the Northeast.
• Requirement: This strategy is only successful if supported by a robust communication infrastructure and a technology backbone that allows seamless collaboration across state lines.

3. Leadership Development Framework

Haney highlights that technical expertise does not automatically translate to leadership success.

• Career Pathways: Firms must provide clear, distinct paths for both technical experts and management-track professionals. Forcing a technical expert into management is a common mistake that leads to poor outcomes.
• The "Boot Camp" Fallacy: Haney argues that one-off training events are insufficient. True development requires:
  • Formal Training: Off-site sessions and external consulting.
  • Mentorship: Establishing relationships back in the office to reinforce learned skills.
  • Knowledge & Learning Group: CED maintains a dedicated internal department solely focused on continuous training and mentorship to ensure a measurable ROI on human capital.

4. Key Arguments and Perspectives

• Stick to Your Lane: Haney argues that engineering firms buying technology companies or attempting to build software from scratch is often a poor investment, as they cannot compete with the scale of dedicated tech giants like Microsoft.
• The Talent Gap: Because there is a chronic shortage of engineers, the industry must increase "throughput" per individual. AI is the primary tool to achieve this by removing administrative burdens.
• Change as Table Stakes: Haney notes that while many engineers resist change, it is a fundamental requirement for survival. He emphasizes that the industry is constantly evolving, and firms must adapt their workflows every two years to remain competitive.

5. Notable Quotes

• "Most engineers think that becoming a CEO is just a bigger version of the same job. But in reality, the transition requires a completely different mindset where technical expertise takes a backseat to leadership, strategy, and decision making at scale." — Anthony Fasano (Host)
• "I learned early on that people should stick to what they're good at. We are engineers and architects... we are not software developers." — Kevin Haney
• "You just can't send somebody to a training and then expect them to catch on... You've got to have the training and you have to have the mentorship relationships back at home." — Kevin Haney

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Synthesis and Conclusion

The conversation underscores that successful growth in the AEC industry—specifically for a firm of 3,500 people—relies on strategic discipline. Whether it is AI, geographic expansion, or leadership development, the common thread is the need for a clear, measurable strategy that prioritizes core engineering work while leveraging technology to eliminate administrative friction. By focusing on "throughput" and maintaining a diverse, flexible workforce, firms can navigate economic cycles and address the ongoing talent shortage effectively. The ultimate takeaway is that leadership is a distinct skill set that requires as much investment and strategic planning as any technical project.