Research suggests contractors lose nearly 6% of profit margins due to inefficiencies caused by poor reporting between the office and the jobsite. However, that doesn’t necessarily tell the entire story. In recent years, nearly two-thirds of contractors have improved their field data capabilities and more than 80% rely on cloud-based solutions to manage processes. It seems we are moving in the right direction.
Earlier in October the ABC (Associated Builders and Contractors) released its fifth annual construction technology report. The ABC Field Tech Report looks at the technologies shaping jobsites, and it includes research from Dodge Construction Network that considers the importance of integrated workflows. We are at an interesting time in history when we simply need to leverage technology to improve productivity and safety in construction.
The shift to new technologies is no longer optional, but of course, this is always easier said than done. The construction industry has reached an inflection point. The tools are here. The data is available. Now, it is time to act.
The Move to Digital
The key factor construction companies must consider as they move to a more digital world is this: it isn’t only digital.
Yes, we need technology, but we also need a change in culture and a willingness to rethink the way things have always been done. This often starts with compelling and clear leadership at the top of an organization.
Here are a few key steps to consider as you take the next step on your digital transformation journey in the construction industry:
- Assess your current state: Begin by evaluating your existing technology stack, workflows, and communication gaps between the field and the office. Understand where inefficiencies occur and which processes are still manual or siloed.
- Engage the entire team: Successful digital transformation isn’t just about IT or management. Involve field workers, project managers, and administrative staff early in the process. Their insights can identify pain points and help build buy-in.
- Prioritize integration: Choose solutions that not only solve individual problems but also integrate well with your existing systems. A connected workflow reduces duplicate data entry, improves accuracy, and supports better decision-making in realtime.
- Invest in training: Technology is only as good as the people using it. Ensure your workforce is trained—not just once, but continuously—as tools and processes evolve.
- Lead with vision: Digital transformation must be led from the top. Leadership should communicate a clear vision, highlight the benefits of change, and model the behaviors expected throughout the organization.
- Measure, monitor, adjust: Set benchmarks and track performance improvements tied to your digital tools. Use data to refine your strategy and scale what works across other projects or departments.
Are you a technology provider? Do you have a product, technology, tool, piece of equipment, or material that you provide to the construction industry. Make sure to submit it before the Constructech Top Products deadline, which is Wednesday, October 15. Do not delay!
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