Digital Adoption in the Construction Industry

The past couple years have been rough for construction companies with staff shortages, rising material costs and multiple insolvencies. In this blog we look at how technology benefits construction businesses providing a clear picture of their financial health and productivity, leading to streamlined processes and ultimately increased revenue as reported in The State of Digital Adoption Construction Report 2023 compiled by Autodesk and Deloitte.



what is the uptake of Technology in Construction?

The construction Industry is the fourth largest industry in Australia, employing over 1.2 million people, however statistics show it has lagged behind other industries in the uptake of technology. 

Currently only 39% of businesses use cloud software and 33% use mobile apps, but we are seeing a shift in the industry as more construction businesses become aware of the benefits that technology can provide through automation of daily tasks.

Younger construction companies are leading the charge of digital adoption with 21% investing in technology in their first 10 years of business. The digital trend is spreading across the whole industry as businesses realise the impact it can have on their operations, winning more work and providing impactful data to drive decision making and innovation. This is key for maintaining a successful construction company in today’s competitive market.

Benefits of technology for construction

Implementing technology and cloud software is crucial to the survival and financial health of construction companies, 60% of businesses surveyed said new technology was essential for them to stay competitive. The report shows that companies with technology increased their revenue growth, productivity of internal processes and project work, improved regulatory compliance and are able to retain and attract new employees better than those without.


How Technology creates Revenue Growth for builders

The aim of any business is for it to be financial stable and have the potential for growth.  61% of businesses experienced revenue growth after using technology to deliver client work due to reduced costs and increased staff productivity, a further 66% of businesses went on to win new projects of a higher value.

Construction management software allows businesses to access data reports and analytics which provide insights into their business and project health, helping to reduce costly rework on projects, and driving innovation and expansion into new markets. The report shows that construction businesses saw on average a 0.58% growth in revenue over five years for each additional technology added into the business.

Streamlined construction admin with cloud software

Administration tasks are one of the main areas that can benefit from technology implementation, the larger the company the more administration work is required. Companies using cloud software saw 21-60% time saving on admin tasks per project.  This can include tasks such as quoting and estimating, invoicing and accounting,  reporting and scheduling. Nearly half of the businesses surveyed said that introducing technology to help complete these tasks has lead to revenue growth.

In addition to helping your staff complete admin tasks more efficiently, implementing technology created a better customer experience with 33% of businesses. This is a result of better visibility of the project status, improved and automated communication with the client and faster turn around times on quotes and estimates using project management software, invoicing and payment capabilities with accounting software.


Benefits of software for construction Project Work

Job management software allows your admin and field staff to share job information in real-time. Changes are common on large projects and technology makes it easy to communicate these as they happen to the complete team, keeping your project on track and on budget. 

61% of the businesses surveyed reported technology helped with project delivery as a result of streamlined communication, efficient scheduling of staff and contractors, digital timesheets, better safety and compliance onsite. The ability to access key documents and specifications in real-time reduces mistakes and minimises rework on projects, resulting in time savings and increased profitability.


Increasing Staff Productivity and safety

Introducing technology into construction businesses saw a 34% increase in productivity of staff and a 31% increase in the quality of goods or services they produced. Using cloud software to streamline daily processes and scheduling of work not only drives efficiencies in the business, it creates a better working environment with clear communication. This helps to attract new staff as the business is viewed as innovative and organised.

Construction safety software helps businesses stay compliant, raising safety standards on site and makes raising issues and conducting safety inspections easy. Construction businesses surveyed saw a 33% improvement on staff safety onsite after implementing technology. Having excellent safety procedures and track record is not only good legally for your business but can improve your business reputation, helping with staff retention and future hiring.


How to successfully implement technology

The study highlights a few barriers construction businesses experience when implementing a new technology, the major two being training and change management. Other than having a budget allocated for technology, training and change management are crucial to a successful implementation, you need to allow time to learn the new way of doing things, define your processes and roll it out to your team. Adoption of technology in construction is escalating at a rapid rate, the longer you wait the more difficult it will become to remain competitive in your field.

Software and Technology Training

Digital skills were not originally a requirement for construction businesses but as the industry shifts this is becoming more important than ever and training is the key. With 44% of businesses stating their employees lacked digital skills and 41% unsure about what technical skills were even required, trusted advisors and training companies like TradiePad can help construction businesses develop and learn technology.

Partnering with a trusted advisor or training expert will help you up skill staff quickly and efficiently maximising the impact of technology in your business. Technology is ever evolving and your trusted partner can help you find the right solution from the start and navigate any changes as they occur.

Change Management for construction companies

Change is never easy but it is necessary if you want longevity for your business. 37% of businesses surveyed experienced reluctance of staff to change which is why a good change management strategy is crucial to successfully introducing technology into your business. Highlighting the benefits technology will provide and how it will streamline daily tasks that staff perform will help drive acceptance in your company.

Trusted advisors or training experts tailor training to all levels of tech savviness, providing a structured rollout plan and support services for staff as they develop the new technical skills required. A structured change management strategy provides clarity and direction for the team as they navigate through change.


Interested in technology for your construction business? Let’s chat! 

TradiePad have helped thousands of Aussie construction companies get up and running with cloud software.

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