Slow adaptation to emerging technologies in the construction industry.
The construction industry is a vital sector that drives economic growth globally. However, it is not immune to challenges, and in recent times, the industry has faced a series of unprecedented challenges that have affected construction companies, construction project managers, and the construction sector as a whole. From supply chain disruptions to productivity levels, labor shortages, and rising material costs, the challenges in construction industry today are many and complex.
While digital transformation is a priority for 71% of construction firms, adoption has been slow, owing to the complexity and fragmentation of the industry. Given the proven benefits of technology, players in the industry must realize that construction technology is a must-have.
The biggest challenge is the fragmentation and complexity of the industry. For instance, a typical project involves different parties, specialists, processes, and tools, inhibiting the ability to centralize and integrate processes and systems.
Companies still heavily rely on manual processes and paper-based systems, which can be costly to digitise all at once. While paper-based processes are time-consuming and error-prone, some firms find them familiar and manageable, in contrast to new tech solutions.
Another reason is resistance to change. A lot of workers in the industry are not technologically adept and have grown comfortable with traditional processes. A 2023 survey showed that only 30% of the older workers in the industry support the need for digital transformation.
Delays are a significant challenge that the construction industry faces, and they can have a considerable impact on construction businesses, projects, and supply chains. Construction projects are typically complex and involve many moving parts, including subcontractors, suppliers, and project managers, which can lead to delays.
One of the primary causes of project delays is supply chain disruption. The construction industry relies heavily on the timely delivery of materials and equipment from suppliers, and any disruption in the supply chain can cause significant delays. For instance, natural disasters, transport issues, or unexpected changes in regulations can all impact the delivery of materials.
Effective project management is also critical in minimizing delays. Using project management software can help construction companies streamline their workflow, track project progress in real-time, and monitor any potential delays. This software can help project managers identify bottlenecks and take corrective action to keep the project on track.
Furthermore, delays can occur due to the nature of the construction work itself. Construction work is often impacted by weather conditions and other unforeseen events that can cause disruptions. Additionally, changes to project scope, design, and budget can cause delays if not managed effectively.
