**London**: Amid chronic delays and rising labour shortages, the construction industry looks to artificial intelligence as a solution. Insights from Hari Vasudevan suggest that embracing technology can improve efficiency, reduce risks, and reshape project management strategies for better outcomes. A cultural shift is essential for successful integration.
The construction industry, a sector valued at over $13 trillion, faces significant challenges related to communication and collaboration among its global teams. A report from Construction Today Magazine highlights the startling statistic that less than ten percent of large construction projects are completed on time and within budget, illustrating underlying inefficiencies that threaten the industry’s viability.
In recent years, technology, particularly artificial intelligence (AI), has emerged as a transformative tool capable of addressing these pervasive issues. Hari Vasudevan, the Founder and CEO of Think Power Solutions and KYRO, shared insights into the potential of AI to reshape construction practices. He noted that technology can convert the challenges faced, such as a lack of digitisation and high-risk environments, into opportunities that enhance efficiency and profitability.
The construction sector is currently grappling with persistent labour shortages, with Deloitte reporting an average of 382,000 job openings per month between August 2023 and July 2024. This trend will contribute to a projected shortfall in construction output that could reach $40 trillion by 2040 if not addressed. Mental health challenges among construction workers, exacerbated by high stress and lengthy job hours, are making recruitment and retention increasingly difficult.
Traditional project management methods, which often rely on reactive strategies, are ill-equipped to handle the intricate landscape of modern construction. Minor issues can lead to major delays, which strain financial resources and can result in penalties if project deadlines are missed. Vasudevan emphasises the need for innovative tools that can offer proactive insights to help teams navigate tight deadlines and narrow profit margins.
Moreover, the article discusses how predictive analytics can play a crucial role in mitigating risks. By analysing data patterns such as weather, supply chain operations, and construction schedules, AI technology can foresee potential setbacks and provide actionable insights before they escalate into costly problems. This proactive approach can enhance collaboration between engineering and construction teams, leading to optimised project execution.
The issue of data silos also remains a significant concern for the construction industry. Centralised data platforms can improve the accessibility of crucial information, allowing teams to make informed decisions based on comprehensive insights derived from historical project data and real-time metrics. According to research by Deloitte, companies equipped with strong data management capabilities are considerably more likely to adopt AI and machine learning technologies.
While resistance to change is a notable hurdle in implementing AI tools in construction, there are signs of a shift in mindset. Initially met with scepticism, the tangible benefits of AI—such as enhanced collaboration, reduced project risks, and increased productivity—have prompted workers to advocate for more technological integration. Vasudevan points out that AI adoption represents not just a technological challenge but a cultural shift, necessitating effective communication and ongoing training to achieve lasting results.
Leaders considering the implementation of AI are advised to adopt a measured approach, beginning with a pilot project and defining clear success metrics while ensuring buy-in from their teams. They must also focus on training and addressing concerns to facilitate a smoother transition to AI-driven practices.
Vasudevan concludes that by 2025, technology, including AI, Building Information Modelling (BIM), and robotics, will increasingly drive the transformation of the construction industry, enabling teams to work more intelligently and enhance decision-making processes. With ongoing advancements, the construction sector is on the verge of not just keeping pace with changing times but defining its future trajectory.
Source: Noah Wire Services
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