Big data has been a gamechanger for countless companies in virtually every industry. The construction industry is no exception.
Construction analytics is a new field that was worth just over $5 billion in 2018. It is growing at a rate of over 19% a year and should be worth $15.21 billion by 2026.
Why is the construction analytics market growing at such a fast pace? A number of factors are converging, including growing demand for new buildings in the face of a growing population, a need to upgrade new businesses for greater energy efficiency in the face of growing need for sustainability and a pent up demand for new building projects that were stalled during the pandemic.
However, the biggest benefit of construction analytics is that it can help alleviate the costs of building development mistakes. This is something that needs to be managed carefully to address many of the problems that arise during the construction process.
Construction Analytics Can Simplify the Building Process and Reduce Costs of Mistakes
There are a lot of moving parts for any construction project, no matter its size. The industry is about creating solutions and seeing a project from start to finish as efficiently as possible. That’s why it’s such a big deal when an error or mistake is uncovered.
This is why building analytics solutions are so invaluable. Luis Casas, National Sales Manager for CIM, said that there are a number of promising benefits that are driving interest in building analytics applications. He points out that they can boost sustainability, customer service, collaboration, upskilling and training opportunities.
The benefits of training are some of the most important benefits of construction analytics for companies trying to avoid the costs of disastrous construction mistakes. According to 2019 statistics, the average cost of a construction dispute was close to $19 million, and the length of seeing such a dispute to resolution was nearly 18 months. In most cases, the cause of the dispute was failing to comply with or understand a contracted obligation. Learning how to minimize and mitigate mistakes like this can save contractors, laborers, and the client valuable time and millions of dollars.
How To Manage Mistakes with Construction Analytics
There are five important things to know about how to efficiently manage construction mess ups and their impact on a business. Construction analytics can help in the following ways.
1. Creating Greater Accountability
Don’t admit to making a mistake if you or your crew are not responsible. That said, the contractor should not try to cast blame or cover up errors. If you made a mistake, you need to admit it and start taking steps to make it right with the client.
This is one of the most overlooked and yet most important benefits of construction analytics. It fosters a sense of accountability. Construction companies that use the right analytics tools will be better informed of the issues they face, which means that project managers and other employees have fewer excuses. Therefore, they will be held to higher standards.
2. Improve Documentation
Construction analytics technology also helps ensure better documentation. Once a mistake or error has been identified, it’s vital that you document what the mistake was and what contributed to the occurrence. Did it happen during the ordering process? Was it a result of insufficient training? Understanding what actions resulted in the mistake now can help you to avoid it occurring in the future.
3. Creating Better Team Communication
Construction analytics technology also helps promote better team communication. Teams will be able to have more quantitative discussions, which will improve communication between members of the team.
One mistake can cause a project to slow down, so it’s important to let other people on the project know about the error and how it may impact their portion of the job. This also allows other team members to take action to mitigate the error’s impact on other parts of the project. Subcontractors and stakeholders may also need to be made aware of the issue.
4. Provide Better Insights on Fixing the Problem
Construction analytics applications often have recommendations to help solve the problem . Once you are aware of the error and how it occurred, you need to fix it as soon as possible and establish a process to avoid it with future work. This could mean creating an automated workflow where each step is signed off by a contractor or laborer and reviewed by a supervisor.
5. Evaluate Your Process
You can also use construction analytics to evaluate overall progress. With an established process for avoiding errors in the future, you should evaluate these steps to ensure they are working. Where can they be shored up? Can you streamline any steps for greater efficiency? You should schedule a regular evaluation and assessment of processes so you can quickly make changes before they become a problem.
How To Get a Contractor to Fix a Mistake
If you are on the client side of construction mistakes, it can be frustrating if an error causes a delay with the project and adds to the final cost. To get a contractor to fix an error, you may want to follow these steps:
- Select a reliable contractor from the beginning. This may mean doing some extra research and following up on referrals.
- Ask questions throughout the project if there is something you don’t understand. Follow up on questions that the contractor says he or she will have to look into.
- Keep copies of your contracts and take the time to understand what the contract says and what your rights are. There is usually an arbitration clause that mentions how disputes can be resolved.
Reliable Construction Analytics and Detailed Documentation Is the Key
The right construction analytics tools can do wonders for your organization. Most construction project management mistakes can be avoided with detailed documentation and automation software. Automation construction analytics software keeps a digital file of contracts and paperwork and can ensure steps are followed in a specific order. This makes tracking and fixing mistakes much easier.
Construction errors happen. But you can use every mistake as an opportunity to better processes and improve your team.