Construction boom highlights a need for tech-based project management
22nd August 2016
Technological advancements have made digital disruption a commonplace term across industries - and the construction sector is no exception.
According to the McKinsey Quarterly, construction projects across the globe are in dire need of a more digitally-focused approach. Yet, so far, the construction industry has been slow to adapt digital approaches to various functions.
In fact, McKinsey found that in some markets productivity for construction companies has seen a decline for the first time since 1990.
Moreover, large construction projects are not only taking more time than planned but are costing considerably more than projected. According to the report, these projects can be up to 80 per cent over budget, with completion rates taking 20 per cent longer than projected.
There are a lot of factors that play into the construction industry's slow adoption, including roll outs across multiple sites, sectors and regions. However, the time has come for construction leaders to truly adopt tech solutions that can help address these project management issues.
Global growth creates demand for improved processes
While the delayed uptake has been somewhat manageable in the past, the increasing demand for infrastructure is going to make streamlined management processes a necessity for construction companies.
It is estimated that by 2030, the world will need to spend a combined $57 trillion on infrastructure to keep up with international GDP growth, according to The McKinsey Global Institute.
These projections create a massive motivation for industry leaders to find ways to improve productivity and processes across projects.
Industry leaders must find ways to improve productivity and processes across projects.
Australian construction boom highlights need for management tech
Australian construction leaders are facing a portion of this global construction boom. March quarter building activity figures by the Australian Bureau of Statistics (ABS) revealed record-high numbers of homes and apartments under construction. In the first three months of 2016 alone, 29,987 apartments began construction and 25,122 homes commenced new projects.
These high numbers undoubtedly mean that there will be a steady stream of work for construction companies across the country. However, it also highlights the growing need for improved functions within businesses.
That's where ABM's construction package comes in. This business management software is equipped with the optimal tools for a construction business. From job cost management functions to invoicing, our package can ensure you have all the tools necessary to run your various projects with efficiency.
Our easy-to-use platform is not only optimised for your construction needs but is scalable so our software can grow to fit the needs of your growing business. To learn more about what ABM's Construction Package has to offer you, contact us today!
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