Technology

AI Proliferation in Construction Is Modest, But Change Is Coming

A new report asserts that the construction and engineering industry is behind the curve in implementing artificial intelligence solutions, and that AI proliferation will be modest in the immediate future.
By Joanna Masterson
July 9, 2018
Topics
Technology

A report from McKinsey & Company asserts that the construction and engineering industry is behind the curve in implementing artificial intelligence solutions, and that AI proliferation will be modest in the immediate future because relatively few firms have the personnel, processes and tools to manage it.

The report compared the buildings materials and construction industry to 12 other industries, 10 of which are further along in AI adoption and all of which are projected to increase spending on AI at faster pace during the next three years. It also details how engineering and construction firms potentially can apply AI solutions from the retail, transportation, health care and pharmaceutical sectors.

For example, AI could be used to recommend various designs and finishes, compare drone-collected images of defects to existing drawings, gauge the lump-sum price discounts clients may be willing to pay for a project and perform a sentiment analysis on a firm’s market perception. On the workforce front, AI can segment employees based on the likelihood of attrition and develop targeted plans to retain them. Similar tailoring can be done on the recruitment side to attract the right people and identify talent pain points.

Looking ahead, McKinsey & Company suggests engineering and construction companies pinpoint which AI-powered use cases can have the most impact in the short term and funnel investments toward solutions that will be easiest to implement given the firm’s level of digital maturity. On that note, businesses with a strong track record of digitization (e.g., cloud infrastructure and advanced analytics) are 50 percent more likely to generate profit from using AI. Another important piece of the puzzle is hiring people from other industries who have a background in AI, as well as reskilling existing staff to comprehend machine learning concepts and algorithms.

by Joanna Masterson

Joanna Masterson was a writer and editor for Construction Executive for more than a decade.

Related stories

Technology
Thermal Imaging Technology Enhances Construction Efficiency and Safety
By Monica Martinez
Thermal imaging technology (aka infrared thermography) is heating up construction projects in all the right ways—including enhancing project management, safety protocols and building performance.
Technology
Employing Supporting Roles for Your IT Team
By Christian Burger
For construction businesses to be effective in selecting, managing and deploying technology—especially when the influence, intelligence and complexity of that technology is growing—they need a new approach to IT.
Technology
Integrating Software and Hardware Technology in the Field
By Bryan Williams
Field technology has advanced increasingly in recent years. Combing the advancing software with hardware in the field can significantly improver performance on the jobsite.

Follow us




Subscribe to Our Newsletter

Stay in the know with the latest industry news, technology and our weekly features. Get early access to any CE events and webinars.