Construction predictions 2023 has been saved
Article
Construction predictions 2023
Embracing digital capital projects
Construction productivity growth lags behind many sectors and is well below the national average of growth in developed countries. Many issues are contributing to this stagnation in growth, such as skills shortages, fragmentation across the supply chain, competitiveness, high-risk projects and slim profit margins1. For an industry that contributes 9% to the EU’s GDP2, leveraging the latest technological advancements is critical in order to mitigate risk and improve productivity.
With Industry 4.0 solutions (such as blockchain, digital twins, virtual and augmented reality (VR/AR) linked to insightful data insights) becoming more accessible, affordable, and widespread throughout the supply chain, more agile design and delivery practices are now becoming more common place. It is no longer a question of ‘if’, but ‘how’ firms invest and implement more advanced digital ways of working.
By leveraging digital technology toolkits, organisations will be equipped to trial and test assets before they are built, challenge construction sequencing, model thousands of what-if scenarios, automate processes and democratise information. The following digital opportunities are those which we have identified as being the greatest disruptors to the construction industry and will markedly improve productivity.
Key takeaways
Despite advances, the construction industry is still in the adoption phase of a lot of technology-based solutions. To realise the benefits outlined, organisations need to adopt a digital and technology enabled strategy to deliver long term value and improve delivery. It is evident that the main barrier to technology adoption and strategic change is time and cost. However, as these are largely new and upfront costs, in the long term the benefits achieved will significantly improve the overall planning and delivery of projects. The wider capital project and construction industry must continue to embrace this change as client organisation sponsor digitally enabled and innovative initiatives on complex delivery programmes.
References:
- 1“Digitalisation in the Construction Sector”, European Construction Sector Observatory, April 2021
- 2European Commission, Construction Sector Construction (europa.eu).
- 3Data and Analytics Leaders Need to Focus on Blockchain Smart Contracts Now. Gartner, 2020
- 4Government Construction Strategy, Cabinet Office, 2011 Government Construction Strategy - GOV.UK (www.gov.uk)
- 5“Bridging the physical and the digital”, Deloitte, January 2020
- 6“OpenSpace 3D Scans to use iPhone/iPad LiDAR sensors” AEC Magazine, November 2021.
- 7UK Office for National Statistics, October 2021: Productivity in the construction industry, UK - Office for National Statistics
- 8Leica RTC360 with Boston Dynamics Spot, Leica, Leica RTC360 with Boston Dynamics Spot | Leica Geosystems (leica-geosystems.com)
- 9DRONES FOR SURVEYING digitise your job site, Heliguy, January 2022
- 10Concrete Sensors: Working and Types - The Constructor