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News Aug. 1, 2019

Report shows contractors struggle with implementing technology

As technology use increases in the construction industry, contractors are struggling regarding how to implement innovations to ensure productivity and profitability, according to gangbox.oncenter.com.

JBKnowledge’s 2019 Technology in Preconstruction Report says contractors not only have to find and justify an IT budget but also must research, test and implement new technology to try to stay current.

The report received insights from about 3,000 construction professionals; 42.5% identify as subcontractors; 36.7% identify as general contractors/construction managers; and 28.3% work in an estimating or preconstruction management role.  Most of the firms represented have been in business more than 50 years, have 201-500 employees on average and primarily are focused on commercial building projects.

The report found job titles growing in popularity and importance include chief innovation officers, chief data officers, preconstruction technology managers, BIM-VDC coordinators and managers, and data analysts.

Findings from the report include:

  • Most contractors use custom forms that can be built out and integrated with bid management, accounting and ERP solutions to qualify and select subcontractors.
  • Just 38.7% of those surveyed are using dedicated takeoff software as opposed to spreadsheets.
  • Of contractors surveyed, 63.2% report still using spreadsheets in their estimating process.
  • No single estimating tool was found to be used by more than 18% of those surveyed.
  • Nearly 50% report using DropBox, with most relying on separate document management solutions, which they integrate into their company-wide workflows.

The report found contractors need the right tech tools to provide mobility and accuracy. In addition, construction firms must add new roles to support data optimization or be willing to educate current staff.

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