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May 7, 2020

Why the Construction Industry Needs Digital Transformation

Digital Transformation in Construction

The construction industry is said to be one of the slowest adopters of digital transformation. And that’s because they haven’t felt the need for integrating any technology into their workflows. Since long back, most of the construction work has been done on paper, be it project planning or construction design. But this has often led to delay in project management and completion. For instance, due to non-effective collaboration, managers and labourers are not able to communicate with each other to complete the project on the decided time. But now there is an increasing expectation for completing construction projects on time and the growing need for effective collaboration is accelerating the need for digital transformation in construction.

The Need for Digital Transformation in Construction

Increasing expectations of customers and an urge to fulfill those expectations is inspiring construction companies to adopt digital transformation.

To Complete Projects Faster

Traditionally, construction organizations used to note various things like projects’ planning, budget, and design. But jotting everything on paper is time-consuming and often hectic. Additionally, loss of paperwork can halt further progress of assignments and result in delays. Using digital technology not only eliminates the need for paperwork but also enhances collaboration. Project details, when uploaded on a digital system, become easy to access by every person involved in the project, which streamlines collaboration.

If a few time-consuming processes are automated, then labourers can focus on performing other minute tasks that need more human intervention. Thus, automating time-consuming processes can also help construction businesses to complete their projects faster.

To Safeguard Labourers

Construction is a casualty prone industry because of the dynamic daily tasks it includes. Therefore, construction companies have to make casualty insurance for all their employees and labourers. And this is an added cost to businesses. Hence, they need to find a way to reduce construction casualties so that the insurance costs can go down along with the number of casualties. Digital transformation can be the way that organizations can head.

Digital technologies can constantly monitor the health and behavior of labourers. For instance, businesses can constantly monitor health vitals for labourers’ well-being. And they can also detect when a labourer is not abiding by the security terms.

To Leverage Insights

There is an abundance of data available in today’s digital world. But raw data is of no use until analyzed. Humans cannot cope with the pace of data being generated and hence cannot analyze it. Therefore, companies need digital technologies to analyze raw data. Analyzing data can help businesses to generate actionable insights to streamline their daily operations and increase revenue.

To Enhance Planning

An assignment can last for even years. Hence planning it at times might not only need analyzing the current situation but also predicting future situations for accurate decision making and planning. Digital technologies are capable of predicting future based on current and historical data. Leveraging digital technologies can help enhance overall project planning right from budget creation to monitoring progress. And they can also help manage delays by comparing progress with planning.

Technologies Driving Digital Transformation in Construction

Various technologies are driving digital transformation in construction. But there are a few of them who are on the driver’s seat, accelerating the adoption of digital transformation.

Artificial Intelligence

Are you leveraging AI for the construction industry? AI has the potential to automate almost everything, predict the future based on data, classify objects, and much more. By automating time-consuming, tedious tasks with AI, organizations can free their labourers to focus on other tasks that require more human intervention and decision making.

AI systems can also help businesses with efficient project planning. AI systems can analyze historical and current construction data to assist companies and managers in project planning. For instance, they can consider factors like project size, contract type, and labour wages to help in budget creation and project planning.

Internet of Things

IoT devices can help businesses monitor labourers’ health and behavior, which can help them enhance safety. For instance, they can monitor health vitals and alert managers and labourers when any threshold levels are reached. IoT enabled cameras ensures that all the labourers’ are abiding by security standards developed by companies to prevent any casualties.

IoT has the potential to prevent or at least minimize downtime. Sensor devices, when embedded in machinery, can monitor their conditions and detect any chance of equipment failure. With early detection of failure chances, organizations can take preventive measures to minimize downtime.

Blockchain

Blockchain can prove to be a major driver of digital transformation in construction. With smart contracts, it can help automate wage payments based on preset terms. And this helps companies to complete projects within agreed upon time. Smart contracts can automatically cut wages of labourers if they arrive late to a construction site or cannot complete their assigned work. This will ensure that labourers are putting their best efforts to ensure project completion within time.

Transparency and traceability features of Blockchain technology has the potential to bring trust among every vendor involved in a project. Companies can trace the source of raw materials. And the details for every transaction can be uploaded on the blockchain platform for enhanced transparency and trust.

Big Data Analytics

Analyzing a tremendous amount of data can provide actionable insights to organizations. They can focus on generating insights for improving a specific business operation or get general insights to enhance their organizations’ performance as a whole.

With big data analytics, companies can also keep an eye on what’s happening in the market and get a competitive advantage. They can analyze market trends and get information about the services and benefits offered by competitors to customers, as well as their pricing strategies. Accordingly, they can create marketing strategies to offer unique features and get a competitive advantage to attract customers.

To accelerate their speed of digital transformation, organizations need application support along with implementing digital technologies. For instance, there are some software applications that every construction company must have. Thus to accelerate digital transformation in construction, businesses need both digital technologies as well as software applications. Digital Fractal is a software development company based in Edmonton. We offer services of building custom construction apps for all your needs to help you adopt digital transformation.

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