Business

Contractors Work to Improve Jobsite and Office Connection

Advances in technology can improve how contractors get current and accurate information about how each project is progressing compared to the plan. However, research shows many are still transitioning toward effectively connecting the worksite with the office.
By Steve Jones
September 21, 2019
Topics
Business

How can construction company managers get more current and accurate information on how each project is progressing compared to its plan so they can optimize overall performance? Recent advances in technology can improve the speed and reliability of this critical process, but a newly released research study from Dodge Data & Analytics and Viewpoint, “Improving Performance With Project Data,” shows that the industry is still transitioning toward effectively connecting the worksite with the office.

The report, based on a survey of 187 U.S. construction companies, examines five key types of field data: project performance; payroll/man hours; productivity; safety; and equipment tracking.

Contractors reported on:

  • The ways in which each of these types of information is collected, stored, analyzed and reported;
  • How satisfied they are with their current practices;
  • The benefits they are enjoying when they improve their data management and analysis capabilities; and
  • Their perspective on the emerging use of predictive analytics, artificial intelligence and machine learning.

Gathering, Storing and Managing Data from the Field

While this workflow has been gradually moving from paper to spreadsheets for several decades, it is now rapidly shifting toward custom and commercial software solutions.

  • Nearly a quarter (24%) of contractors report they primarily used paper for all five data types studied just three years ago, but only 5% will be doing that three years from now.
  • Spreadsheets were the most frequent method for 36% of contractors three years ago, but that will drop to just 12% three years out.
  • More than 80% predict they will primarily be using custom-designed and commercial software products three years from now.

Their satisfaction with metrics such as accuracy and cross-project analysis ability reflect this shift, where less than half are satisfied with paper or spreadsheets, while about three-quarters express satisfaction with software.

Mobile apps are the most common (80%) way to collect field data, with digital cameras a close second (68%). Drones (28%), sensors (9%) and wearables (4%) are still in early stages of usage.

Most companies are managing multiple databases, with less than a quarter using a single enterprise platform. Most contractors house their databases in on-premise servers although a growing number of large firms use third-party cloud or vendor-hosted solutions. Many cite benefits such as:

  • Access data from the field while working in the office (71%);
  • Access data from the office while on the jobsite (70%); and
  • Enable disparate locations to input and access data (61%).

Concern about data security is the top reason companies are not using cloud or vendor hosting. Those who are doing it frequently have cybersecurity insurance and conduct active security compliance training with employees.

Most analysis and reporting is done by senior leadership and project leadership in the office, who also most frequently receive and review the reports. However, almost three-quarters of large companies say they are getting analysis and reporting out to their field staff, versus only half of mid-size and small ones. This provides important value in completing the information cycle.

Benefits

Companies that improved their data gathering and analysis abilities over the past three years report:

  • Better ability to complete projects at/under budget;
  • Greater productivity;
  • Greater profitability;
  • Better ability to complete projects at/under schedule;
  • Increased safety on projects;
  • Improved ability to win work;
  • Better client relationships;
  • Improved industry reputation; and
  • Improved ability to attract and retain employees.

These benefits most frequently come from their improved abilities to:

  • Gather accurate data from the field;
  • Gather prompt data from the field;
  • Gather data that is comparable across projects;
  • Create custom reports; and
  • Conduct analysis across different types of data.

The most popular future wish-list item from contractors is the ability to do trend analysis across projects.

Emerging Technologies

Most contractors have heard about predictive analytics, yet only 21% are currently implementing it. Just 7% report implementing any form of artificial intelligence or machine learning and one-third had not even heard the terms before this survey. So, while each of these has enormous transformational potential, they are all early in their development for construction.

Recommendations

The compelling benefits enjoyed by construction companies that have improved their data gathering, analysis and management capabilities are available to everyone in the industry. The full report contains instructive case studies and interviews and features articles that go into greater depth on several of the key findings. It also sets forth specific recommendations, including:

  • Maintain a tight focus on what matters for your company;
  • Embrace the shift to the cloud and advanced approaches to data collection and security; and
  • Acknowledge that data expertise is a core competency.

To download the full “Improving Performance With Project Data” report, visit: https://www.construction.com/toolkit/reports/improving-performance-construction-project-data

by Steve Jones
Steve researches emerging trends transforming global design and construction. A frequent conference speaker, author and awards judge, he also produces Dodge’s Smart Market Reports, widely cited as authoritative references. Previously, Steve was vice president of Primavera Systems and spent 19 years with A/E firms.

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