A recent survey of 260 Australian construction companies found that 62% believed they could increase their profitability by introducing new technology. The same proportion of companies believed that they could become more efficient if they communicated better across their business including sub-contractors and worked more closely with them to ensure best practice.
A recent survey of 260 Australian construction companies highlighted that, other than COVID19, the challenges they face have changed very little in the last few years.
- More than two-thirds of companies still rely on paper or spreadsheet based records, even though they recognise the potential to reduce costs significantly with better data capture.
- Rework and project overruns still represent the major impediments to productivity, taking up 20% of productive time.
- Improving communication both internally and with sub-contractors also presents a significant opportunity to improve efficiency.
As businesses around the world start to plan for the economy to open for business, post Covid 19, it is clear that some things will be changed for ever. A recent article in the New York Times noted that executives at New York’s three largest commercial tenants, Barclays, JP Morgan Chase and Morgan Stanley, have decided that it is highly unlikely that all their workers will ever return to their buildings. So they would no longer need to be in the office full time and can instead work from home most of the week.
Many businesses around the World have been forced to change their processes as they implement steps to reduce the chance of infection with Covid19.
At IPM the travel ban forced our Technical Team to cancel upcoming consulting commitments in New Zealand and as Australian States shut down their borders, the same was true for Darwin in the Northern Territory.
I recently spoke to a client representing a group of companies engaged in specialist construction and field service, with multiple state-based subsidiaries, requiring a construction management solution. Each company uses a different iteration of a popular online accounting product, and individual directors favour different scheduling tools.
I was discussing the Construction and Project Management software market with a client the other day.
I was talking to a client recently regarding the need to capture labour hours and types of work accurately in the field. Ensuring correct remuneration is a hot topic in the news today.
The real challenge in Project Management Software is providing flexible apps for mobile devices that are easy to use in the field.
How to take the Pain out of Project Execution
Leverage Existing Investment
- Lost productivity during the introductory phase of new systems is a hidden cost.
- Lack of buy-in due to resistance to change increases the cost of update to new systems.
- Deploying a system which uses Microsoft Office tools such as Excel, OneNote, Outlook, Sharepoint and Word already employed by most companies, leverages the investment already made in these products.
Even before the pandemic, the construction sector was embarking on a digital transformation journey to improve operational efficiency, increase collaboration, and allow the industry to take on large workloads with smaller workforces. The pandemic only accelerated this trend, particularly in the areas of digital collaboration, BIM, and design. However, more than half of all software and hardware companies choose to specialize in specific niches to differentiate themselves in a saturated marketplace, and construction companies can find it hard to develop a technology stack that works well for them.