With the accelerating rate of technological advances across the construction industry, it’s a natural expectation that contractors keep up with the times by utilizing technology in some form. Whether it’s using a basic spreadsheet to create accurate estimates or investing in a project management software that handles larger-scale projects, technology helps contractors execute successful projects with more ease.

Although the role of contractors hasn’t changed much since the onset of the digital age, the way in which contractors execute projects has changed from relying on manual documentation and tracking to more automated ways of carrying out project tasks. So in this article, we’ll explain the importance of tech, the risks of not using tech, and how contractors can embrace tech as the new way of doing construction.

The Risks of Not Using Technology in Construction

Because of the level of detail and information required in both construction projects, the risks of not using technology can mean over-budget projects, schedule slippage, and inaccurate financial data, all of which hurt your bottom line.

Here are some common issues we’ve seen contractors encounter :

• Disconnected information
• Legal exposure
• Out-of–date schedules
• Out-of-date punch lists
• Room for financial error
• Miscommunication about important information
• Questions that never have an accurate answer
• Lack of organized systems 

Our team has encountered countless stories from contractors all over the world who have experienced the severe consequences of not utilizing technology in today’s age. Many have lost out on tens of thousands of dollars by not documenting and tracking things like change orders because they were relying on their own ability to track finances rather than software. 

In fact, one of our product members once spoke to a client who spent 6 months in different court proceedings after being sued, and the one major thing that kept him from standing a chance in court was the fact that the opposition had stacks of documentation, including messages, emails, logs, and more, and he had none. Errors like that can come back to bite in the end.

Ultimately, what software like ConstructionOnline does is keep everyone on the same page and up to date on the most current information with a single source of truth.

The Benefits of Using Technology in Construction

The benefits of using technology in construction include on- or under-budget projects, on-time projects, accurate financial data, and clear communication, all of which lead to more money in your pocket.

Here are some of the benefits contractors who utilize technology often experience:

• Centralized and easily-accessible information
• Storage of important historical data
• Up-to-date schedules and financial data
• Less human error when tracking finances
• Clear communication about crucial information
• Less ambiguity and confusion among your team
• Streamlined workflows and systems that boost your credibility

All in all, taking advantage of technology makes sure your team and clients have up to date financial and scheduling data that is centralized and easily accessible, all of which help you to protect your bottom line.

Technological Advances in the 21st Century

We’ve come a long way from the days of logging entire construction projects with pen and paper to the multitude of advancements we have now,  and the timeline of construction advancements is only accelerating as general technological advances across the board are improving year by year. Even the founder of our construction project management software, ConstructionOnline™, went from selling floppy disks and spreadsheets in 1999 to providing high-end software for hundreds of thousands of construction professionals across the globe every day using cloud computing, automation.

Briq has a really comprehensive article laying out a detailed timeline of tech in the construction industry all the way from the 19th century until today, but here is a summary of some of the more recent and relevant technological advances that have transformed the construction industry in the 21st century:

Cloud Computing

Cloud computing in cloud-based platforms gives contractors more centralized and secure storage of data, allows real-time collaboration, information requests, information sharing, and easy access from the field and office with different devices.

Cloud-based platforms like online project management software tools are typically how cloud computing is integrated into the construction industry. They offer a wide array of tools for better project management:

• Centralized communication
• Daily logging
• File and document storage
• Scheduling tools
• Instant messaging
• Location tracking on site
• Change order management 
• Takeoff and estimating software
• Submittals and RFIs
• And more…

Tools like this make the multifaceted nature of contracting much more streamlined so that you can manage construction projects that are on time, on budget, and profitable.

Workflow Automations

Workflows are essential to contractors because they manage tasks and processes that must occur in a specific order. For instance, most construction companies have a process in place for managing leads for new projects; it may include putting in lead details like contact information, getting that information to the right team member on staff, calling the lead to get more information on project opportunities, and marking an opportunity as “Won” or “Lost”.

Whereas in previous decades contractors would’ve managed workflows by memory or using a Word document, today’s software tools allow you to automate those processes with little to no effort, so that you can spend valuable time on other things.

Check out some of ConstructionOnline’s workflows to learn how our software can help you better manage your company workflows, including project creation, lead tracking, estimate creation, change orders, client selections, and more.

Mobile Apps

In the same way that cloud-computing allows contractors to access important data from anywhere, mobile technologies allow better on-site communication and remote project management. This includes using mobile apps to perform many of the same tasks done on a desktop software, like managing change orders, updating client selections, creating Submittals and RFIs, uploading photos directly from the field, and more.

In the age where people do business on their phones more than ever, it’s important to keep up with the times by having access to mobile project management tools so that your project progress can keep up with an increasingly demanding industry.

Building Information Modeling (BIM)

Building Information Modeling (BIM) involves creating a visual representation of a physical asset using digital 3D modeling. Since its availability in the 1990’s it has become an essential tool for Architecture, Engineering, and Construction (AEC) industries because it allows seamless collaboration for planning, design, construction, and managing projects.

Whereas previously, construction professionals would have to rely on basic 2D modeling, BIM allows you to truly visualize what a building will structurally look like and monitor important information like project costs, throughout the project, from initial design to closeout.

How to Integrate Digital Tools Into Your Business

If you are a contractor who is skeptical about introducing digital tools into your business operations, you might enjoy reading our article 7 Essential Digital Construction Tools for Contractors which provides you with some basic and essential online tools that every contractor can find beneficial. Some of the recommendations are completely free!

In our experience with helping hundreds of thousands of construction professionals upgrade their businesses with online software, we’ve often found that clients and subs will often expect contractors to use some kind of project management software for transparency and organization, otherwise it makes contractors look unprofessional and less credible.

To keep up with all of these changes, it’s important that contractors be adaptable and open-minded to utilizing technology so that their projects can be successful every time and their business can remain profitable in the coming decades.

If you’ve found this article helpful, you might also enjoy these articles:

• 6 Ways to Accurately Measure Construction Project Success
• Top 5 Tips: Digital Marketing for Construction Companies
• 8 Key Components of a Successful Construction Business