Embracing Digital Tools and Technology in Construction

For decades, the construction industry lacked technological advancements for work planning and execution. That’s no longer the case. New digital tools offer a competitive advantage to those companies willing to invest and embrace change.

Most people think of buzzwords like artificial intelligence, virtual reality, and machine learning when they hear advancements in technology. However, technology can be used in much simpler ways for construction needs. It’s not just “nice to have” access to real time data for construction business planning, it’s an expectation to remain competitive.

The Need For Digital Tech

Bid margins remain extremely competitive, and companies must incorporate planned efficiencies on projects from newer technology into their estimating processes. 

Advancements in technology have accelerated the project execution process while offering significant benefits to safety, invoicing and cash collection, and other back-office support.

Contractors gather data through their day-to-day tasks, including bidding and estimating, project planning, job site execution, invoicing, and project close out. Historically, this data lived in disparate systems, or worse yet, only on paper in a job trailer. 

Digital tools, like business intelligence (BI) reporting software, provide immediate data access and analysis to support decision-making.

Impacts of Digital Tech

Contractors have multiple reasons to use digital tools both on the job site and in the back office. This list is not comprehensive but provides some key impacts for organizations who embrace new technology.

• Health and safety: Real-time data collection, predictive analytics, and BI reporting allow for better identification of job site hazards, better understanding of safety incidents, and an overall improvement for the organization’s health and safety. 
• Wearable technology and sensors have appeared more on job sites, helping to monitor workers’ real-time health and safety conditions and detect hazardous chemicals and radiation. 
• Drones reduce the need for workers to climb and work at heights. 
• Advanced machinery and equipment technology reduce the risk of accidents, through improved reliability, training, and safety hazard identification.
  
  
• Decision making: Specialized software offers easier (and less costly) access to real time data. 
• Collecting data through mobile technology and organizing it using BI reporting allows for quicker decision making, which can improve productivity or reduce costs on the job site.
   
• Increased productivity: Digital tools and technology have improved productivity in numerous ways. The key impact is the reduced time it takes workers to complete their work.
• Automation streamlines processes, performing project tasks more accurately and efficiently.
• Drones and other technologies allow workers to complete work faster.
   
• Cost savings: Technology can also affect costs, allowing contractors to save money from projects.
• Automation reduces the cost of performing repetitive tasks. 
• Robotic process automation (RPA) can execute a series of consistent processes in minutes, rather than hours or days. 
• Technology can also minimize material, job, and time waste from inefficient processes. 

Document the Process

It can be intimidating to implement new technology. It’s hard to know where to start, but alignment within leadership is important when embracing change. This can be very manageable if a business focuses on a systematic approach.

• Prepare a business case.
  • A business case can help calculate the value of new technology or detail the rollout of a new digital tool. Include metrics that measure progress throughout the implementation. Make sure to evaluate the tool based on facts and not feelings to determine success.

• Resource appropriately.
  • Evaluate who will be responsible for each rollout task within the implementation plan. 
  • Depending on the size and complexity of the tool, consider a governing body to oversee the planning and execution of the implementation. This could be in the form of a steering committee, typically consisting of operational and back-office leadership, to ensure all functional areas are aligned and have a voice.
  • Determining and allocating resources for an implementation are critical steps toward success.

• Communicate effectively.
  • Start communication early in the process, be clear and consistent, and be specific in the impact and timing of the change. 
  • Explain the business case for the new tool or process. Many successful implementation planners source feedback from internal and external stakeholders to make sure they hit the mark. 
  • Collect feedback after implementation, to provide support for new users of the technology. This shows care and value of the change's impact.

• Execute and evaluate.

• If the above steps are followed, executing and evaluating can be the easiest part of the process. 
• Reflect back on the specific and relevant metrics within the business case. Evaluation of the technology rollout and results of the implementation will be easier with these figures. 

Watch for Pitfalls

In general, a contractor who follows the above process should have an effective implementation of any new technology or digital tool. Challenges can arise if a step is missed:

• Without a clear business plan, they might find that the cost of a new tool is higher than its planned benefit. It could also lead to ineffective measurement of the new tool and lack of organizational buy-in.
• If the implementation isn’t resourced properly, it can put additional pressure on overwhelmed internal resources. This can slow the rollout, burn out employees, and lead to lower acceptance levels within the organization. 
• A lack of communication can hurt the implementation process and the longer-term stabilization phase for new technologies. Employees want to know about current events and feel invested in new ventures undertaken by the business.

Exploring digital technologies for construction is just one example of building a more future-proof business strategy. Whether you are a contractor, subcontractor, developer, architecture, or engineering firm, it helps to work with partners who understand the construction industry. Contact our construction advisory team for help with your business goals.