There have been some big changes in the construction industry in recent years, as technological advances have been made; and there are many more just around the corner. Although the construction industry is relatively slow at adapting to newer techniques, this does not mean that it is unwilling to change. The benefits that can be gained by embracing recent advances in the construction sector, means it is well worth looking to forward thinking operations and adapting to changes in practices; particularly as these practices are known to be time saving, safe to carry out and structurally sound innovations.
Construction Software
New construction software and communications software have opened up the opportunity for a real time transfer of information throughout the construction industry. This allows for the construction companies to monitor site works from their office and implement changes to projects from remote locations, allowing for a reduction in travel and a speeding up of the information chain involved in larger scale projects.
There have been apps created to help with the scheduling of work on construction projects. The fact that these are cloud based technologies means that you can access real time information on scheduling and project updates, from wherever you are working, reducing drastically the amount of time wasted within the industry.
Augmented and Virtual Reality
The introduction of Augmented Reality (AR) and Virtual Reality (VR) will be groundbreaking for the construction industry as a way of seeing a project and all its facets and potential challenges before even beginning any construction. This will allow for the projects to be costed and scheduled more accurately, and has the potential to remove the need to place human lives at risk for more technical building operations such as any building which is required to be carried out at height or underwater.
Imagine, if you will, a crane operator who is using a VR helmet and has control over the closer operations of attaching a new structural steel beam to a platform high in the sky. The operator will be able to manipulate the item more successfully and accurately, and remove the need for additional manpower at such a risky height to carry out the work.
More Advanced Tooling
There have been some big leaps forward in tooling in recent years, allowing for work to be carried out more efficiently and safely. These advances have had the added benefit of allowing time to be saved and have reduced the strain on the human body from carrying out risky construction jobs.
There are now robotic tools which are available, but may be too costly for implementation in most companies at the moment. These costs will come down over time, however, allowing for the improvement of software, battery lives and a reduction in costs.
There is also the possibility of exoskeletons for the workforce to wear to reduce the strain on their bodies and allow them to carry more weight with reduced impact on their bodies. These too may take time and further technological advances to make them cost effective and fully functional, but you can expect to see them in use within the next decade or so.
Younger, Differently Skilled Workforce
Construction is a promising career path for the young workforce that is emerging. With the advent of new software and technologies, there is now a big shift to bring in new methods of practice and the workforce shortages of the past few years will only make the need for this to happen quickly, further apparent. Construction needs a younger, more technologically savvy workforce, and the technological advancements which are coming through will hopefully help to attract such individuals to the sector.
Greener Construction
The establishment of more sustainable building techniques has been a major goal for the construction industry in recent years, and as a result, greener methods are already being put into practice across the industry.
The implementation of zero carbon targets for new non-residential buildings in the UK by 2019, along with energy performance certification, has been a breakthrough moment for the construction industry in this area.
Financial Solutions To Change In The Industry
The construction finance sector is heavily influenced by domestic economic cycles, macroeconomics, commodity prices and many other factors. Finding funding for technological advances can be a difficult hoop to jump through for some construction companies. There are, however, finance options becoming available to help with these transitions.
Asset finance is one area which encompasses two different types of finance; leasing and hire-purchase.
Leasing
Leasing allows a firm to get new equipment, without the upfront costs that can make upgrading equipment prohibitively expensive otherwise. The acquisition of the new equipment is handled by the leasing company, and a construction firm can then lease the new equipment from the leasing company over an agreed time period.
Leases are most suited to circumstances where a construction firm does not require the equipment on a permanent basis. The firm does not have to take on a plant asset for it to sit idle for part of the year when it is not in use. It can be returned when it is no longer required, relieving you of the liability of acquiring and maintaining the equipment.
Hire-Purchase
If the equipment is to be used more regularly and over extended periods of time, hire purchase can be a better form of asset finance.
It is similar to the lease arrangement, with small payments being made to the hire company on a regular basis. The construction firm does not own the equipment outright; the hire company does. This means the equipment will not reflect on the projected profit and loss figures on the construction firm’s balance sheet. When the payments, including interest, have come to the end of their agreed term, the construction firm has the option to make a ‘balloon’ payment to purchase the asset outright and this value can then be transferred to the balance sheet of the construction firm. If you do not wish to take up this option, the equipment can simply be returned to the leasing company.
Conclusion
Although changes in the construction industry can be costly – and daunting – initially, there are ways available to soften the blow of the initial costs. With greener and safer products on the horizon and with legislation dropping into place at a rapid rate, if you work in the construction industry, you have no option but to keep pace with change and reap the benefits these changes can bring.
