Embracing Change: The Technological Transformation in Construction

In a rapidly evolving world, construction companies are urged to adapt or risk falling behind. As Jordan Thomson, a professional engineer and senior manager at KPMG, notes, "Construction companies must embrace change and leverage new technologies and tools if they hope to remain competitive." The emergence of big data collection and analysis, machine learning, trend analysis, and digital twin modeling represents a pivotal shift in how the construction industry operates, unlocking immense potential for efficiency and innovation.

The Digital Future of Construction

The construction industry, which accounts for six percent of global GDP, stands on the cusp of a technological revolution. According to Thomson, the shift to digital is not merely about cutting costs; it’s about enabling the industry to tackle complex projects and meet the growing demand for infrastructure. This transition promises to improve not only project outcomes but also safety and value for owners.

Thomson, along with KPMG manager Kathleen Boyd, recently contributed to an insightful report by the Canadian Construction Association (CCA) that examines how innovation and research and development can enhance the construction sector. They highlight that while some companies have begun this transformation, a significant number still lag, risking obsolescence in a tech-driven marketplace.

The Need for a Unified Approach

One of the critical challenges facing the construction industry is the fragmented approach to new technologies. While industry leaders are investing in technology and appointing chief information officers to advance digital initiatives, many smaller companies are pursuing these upgrades in a siloed manner. To leverage the full potential of emerging technologies, Thomson stresses the necessity for a unified strategy that streamlines data collection, management, and sharing across project teams.

"Projects need a coordinated effort in how technologies will be implemented," he asserts. Owners play a crucial role in championing these technologies, as much of the value resides with them. Their advocacy for technological adoption can serve as a catalyst for broader industry acceptance and integration.

Unlocking the Power of Big Data

Big data presents a treasure trove of opportunities for the construction industry. The CCA report reveals that while major projects generate substantial amounts of data, a staggering 96 percent remains unanalyzed and underutilized. Thomson points out that even basic data analytics can provide valuable insights, helping teams identify cost and schedule drivers and develop tailored strategies for enhanced performance.

However, the quality and reliability of data pose challenges. Ensuring accurate and timely data collection is paramount to instilling confidence among decision-makers. By establishing robust data governance frameworks, companies can build a more reliable data environment that lays the foundation for advanced analytical techniques.

Predictive Analytics: Forecasting the Future

Predictive analytics is another game-changing technology that Thomson emphasizes. By harnessing statistical modeling and machine learning, construction companies can forecast performance, improve scheduling, and enhance cost estimating. This insight does more than optimize processes; it preemptively identifies risks, allowing for proactive measures before issues escalate.

Thomson highlights specific instances of predictive analytics, such as predicting injuries on construction sites based on various project and environmental factors. This technology enables contractors to adjust workflows in real-time, significantly reducing the likelihood of accidents and lost time incidents (LTIs).

The Potential of Digital Twin Technology

Digital twin technology represents a leap forward in project modeling and performance management. By creating a real-time virtual model of physical objects, digital twins leverage IoT sensors and data analytics to gain vital insights throughout a project’s lifecycle. According to Thomson, developing a digital twin early in a project can unlock significant value and improve decision-making processes.

The CCA report illustrates how digital twins facilitate collaboration among designers and constructors, allowing for virtual simulations and testing of ideas. This approach can enhance cost and time management while promoting innovation through streamlined workflows and automated processes.

The Way Forward: Fostering Collaboration

For digital twin technology to reach its full potential, collaboration across project teams is essential. Thomson believes that with a digital twin acting as a communal repository of project data, all team members can access valuable insights to expedite design, review, and construction management activities. This shared "source of truth" is crucial in fostering a collaborative culture within the industry, paving the way for innovative contracting approaches and unified project delivery.

In conclusion, the construction industry stands at a crossroads. Embracing technological advancements such as big data analytics, predictive analytics, and digital twin modeling will empower companies to improve efficiency, safety, and value. As leaders like Jordan Thomson urge, the time for construction companies to adapt and innovate is now. Those who do not embrace these changes may find themselves left behind in an increasingly competitive landscape. With forward-thinking leadership and a commitment to collaboration, the construction industry can build a more prosperous and sustainable future.