A new report from , suggests key decision-makers in the construction industry are optimistic they can overcome current and future challenges, with digital tools to play a big role in the search for solutions.
The survey contacted 550 U.S. construction professionals and found they are confident they will find a way to prosper in the current dynamic landscape, even as they grapple with labour and material shortages, compliance complexities, supply chain disruptions, cash flow management, risk mitigation and a tight skilled labour market.
Eighty-three per cent of those surveyed expressed confidence in their companies鈥 ability to adapt to changing market conditions.
鈥淚 think there鈥檚 a lot of optimism, number one,鈥 said CMiC chief revenue officer Jeff Weiss.
鈥淣umber two, there鈥檚 a lot of confidence. Three, there鈥檚 a need for an appropriate tool set for adoption that people need to be able to be comfortable with鈥 think that鈥檚 the one of the hardest challenges that we face in order to get that in place.鈥
The report, titled , was released July 18. CMiC bills itself as a next-generation construction enterprise resource planning (ERP) provider.
The survey found 80 per cent of construction decision-makers plan to take on a digital transformation project within the next 12 months and are open to the incorporation of AI in the industry.
鈥淭he appetite for digital transformation revealed by the survey affirms the opportunity technology presents to standardize, streamline and automate workflow processes so that construction professionals can focus on collaboration and innovation in their work,鈥 said Weiss. 鈥淎s a result, industry leaders can focus on the future with the confidence that their companies are optimized to operate efficiently.鈥
The digital transformation dominates the pursuit of solutions, Weiss said, given that success in digital innovations will play a large part in addressing each of the other challenges, including financial health, risk mitigation, workforce retention and professional development.
The next frontier, he explained, is for stakeholders to find a way to encompass many of the functional requirements the sector requires in one comprehensive platform.
Stakeholders are turning to AI, or, more broadly, generative intelligence, to look for answers, Weiss said, but generic AI applications don鈥檛 work well in construction. Construction is a diverse industry with significant data generated but there is not currently a readily identifiable large language model (LLM) that professionals can turn to at this stage, he said.
Thus, the sector needs to develop specific LLMs that are unique to the industry to perform such functions as predictive analytics, linking RFIs to change orders or linking change orders to forecasts.
鈥淔or instance, I need to electrify this business process instead of programming that process,鈥 Weiss said.
Another example is using AI to improve workplace safety. It is standard these days for OHS officers to scan the thousands of photos that are being taken every day as part of safety compliance, Weiss said.
鈥淏ut it鈥檚 also important be able to read images to understand where complex clashes are,鈥 he remarked.
鈥淎I will definitely be transitional in a big way. We don鈥檛 even know what the total impact is going to be, but we have to start somewhere鈥 to develop a construction specific LLM, Weiss said.
Other key findings from the report include:
- 91 per cent say the financial health of their business is average or above average despite challenges with cash flow management, risk management and other factors.
- While 78 per cent of respondents are confident their workforce is properly skilled for the future of construction in the next 10 years, closing the generational skills gap is crucial to ensuring talent development, progress and collaboration.
- 86 per cent of respondents recognize the positive impact sustainability has on revenue, reputation, and relationships.
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