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Tech-savvy subcontractors are leading the construction industry’s digital revolution, getting more done in much less time. More and more people are signing up to adopt new technology, but it’s also spurring contractors and other industry players to bring new technology in.
That is no surprise. Traditional construction has been slow to take advantage of technology. That continues to be the case so far.
Some statistics suggest that the construction industry may be lagging in the pace of technology adoption. For example, a recent survey by JBK Knowledge found that the percentage of companies spending 1% or less of their annual sales on IT is increasing, from 45% in 2015 to 70% in 2016.
Speed up adoption
Enter tech-savvy subcontractors. They are driving the pace of change in the industry. With more and more subcontractors embracing new technology, they are accelerating the pace of adoption in the industry.
And why not? The adoption of technology brings significant benefits to companies. Doing so will improve efficiency, productivity, and profitability not only for subcontractors but also for general contractors (GCs) in the industry. That could make a difference in the industry’s contribution to the world economy.
The McKinsey Global Institute report said that if construction “cats up to the aggregate economy — and can — this would drive industry value added by an estimated $1.6 trillion, adding about $1.6 trillion, adding about $1.6 trillion to the economy.” 2% for the global economy”.
Bring tangible and healthy profits.
Technology adoption only makes sense for construction companies if it provides a monetary return on investment (ROI). When appropriately implemented, building technology provides tangible and healthy ROI. That’s crucial for any company trying to compete in today’s highly competitive construction environment.
Technology does three essential things for contractors. Today’s technology allows contractors:
- Capture data that helps them make better decisions in real-time
- Increase opportunities with customers and prospects for more businesses
- Create efficiency in both the office and the field
While the first two benefits are essential, the last one results in significant profits for contractors and subcontractors.
In other words, the adoption of new technology, such as BIM modeling, AI, automated manufacturing, integrated software such as GoContractor’s, and more, helps contractors exploit efficiency in the office and the field. That will increase productivity and profits significantly.
Adopting new technology also helps contractors differentiate themselves from other subcontractors by using paper and pencil. It allows contractors to create a sustainable competitive advantage, which can help registrants win more bids from Corporations. Often, these bids can have better margins and generate higher profits.
Contractors must grasp technology.
However, to reap the benefits of the technology, contractors must accept it. That can be a challenge for some. Those areas are different for general contractors and subcontractors.
The main target areas for harnessing these efficiencies for Corporations are internal planning, communication, documentation, and organization.
Subscribers can find similar performance in the same area, but that’s not where the big rewards for subscribers come from. Instead, they need to harness efficiency on job sites, where technology can impact operations more than the back office. Exploiting effectively at work can make a real impact on subscribers.
Primary target areas for registration
The best areas for improving mining efficiency are on the skilled labor side in recruitment, training, safety, and worker productivity. These regions are big payers for subscribers. For example, GoContractor’s built-in software can cut training time and costs, increase compliance and safety on-site, and improve employee productivity.
By digging deeper into the skilled labor aspect, tech-savvy subcontractors can generate a greater return on investment than finding efficiency within the company. That can affect the projects they are working on and the company itself. Plus, it could spur other companies in the industry to embrace the technology.
Beating the two challenges is extremely important.
However, tech-savvy subcontractors must overcome two challenges to implement new technology in the field effectively. One is to meet the different processing needs of the general contractors with different systems and implementation methods. The other category involves skilled workers performing the work on site.
It is the more difficult of the two challenges. Many construction workers have particular expertise. Taking them out of their jobs to train them in new technology increases costs and reduces productivity — two things subcontractors are reluctant to do. But it is necessary to create the benefits that technology brings.
For example, the right software can provide accurate planning, specifications, and RFI information in real-time to field workers. That reduces work interruptions and project delays. Meanwhile, tools such as total robotic stations can significantly cut labor hours by providing precise layouts.
The bottom line for tech-savvy subcontractors
Technological products in the construction industry are not new. Those products have made little impact on the industry. Even a decade ago, construction companies could ignore these new products and survive using paper and pencils.
But not anymore. That’s because today’s technological advancements are different. It’s about connectivity, communication, real-time data, and streamlined processes, not building structure. More importantly, they aim to create efficiency to improve productivity and profitability.
Tech-savvy subcontractors are leading this technology revolution by adopting today’s new technology, like GoContractor’s built-in software — technology that holds great promise for construction companies. Subscribers are also pushing other construction companies to do the same, resulting in tangible profits for all participants.
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