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  • Writer's pictureYvonne Root

Digitizing Your Construction Business


Learn more about digitizing a construction company


Wouldn’t you know it? Digitizing your construction business requires investment. Your company must invest cash to acquire the current tools, and you and your workers must invest time to develop the necessary skills to use those tools.

 

It helps to keep in mind the difference between spending and investing. Spending means you give someone some money or time in exchange for something else (hopefully of equal value.) On the other hand, investment has this meaning: The investing of money, time, or capital to gain profitable returns.   

 

Digitizing Your Construction Business – The Low-Down

McKinsey and company, in an article titled Technology, jobs, and the future of work, has this to say about the topic, “We find that about 60 percent of all occupations have at least 30 percent of activities that are technically automatable, based on currently demonstrated technologies. This means that most occupations will change, and more people will have to work with technology.”

 

They go on to say, “Companies that are digital leaders in their sectors have faster revenue growth and higher productivity than their less-digitized peers. Their profits and margins can increase three times as fast, and workers within these companies enjoy double the wage growth. Digitization will continue to change how companies organize work, as well as the mix of work in any given sector. All this will require ongoing adaptation and transition by workers in terms of skills, activities, companies, and even the sectors they work in.”

 

Digitizing Your Construction Business – What?

Some of the things that are or should be digitized are:

  • PPE

  • Hand tools

  • Construction equipment

  • Communication devices

  • Vehicles

  • Geo-fencing

  • Timekeeping

 

Digitizing Your Construction Business – When?

The easy answer is NOW.

 

In fact, you are already digitized to some extent – or you wouldn’t be able to read this article. (That is unless you’re looking over the shoulder of one of your more savvy competitors.) 😉 

 

The good news is that you don’t have to tackle digitizing your construction company like you’re trying to drink from a fire hydrant. You can use the garden hose method to control the allotted pressure.

 

As you read through this blog post, you’re likely to spot areas you’ve already digitized and other areas where you’ve fallen woefully behind in your digitizing efforts. Be on the lookout for ways to invest in digitizing your construction business to gain profitable returns.

 

Digitizing Your Construction Business – Where?

Where digitizing affects your construction business is (short answer) everywhere. Some of the places you can readily see are:

  • Office

  • Vehicles

  • Shop

  • Storage facilities

  • Job sites

 

Digitizing Your Construction Business – Why?

The “why” of digitizing your construction business is multifaceted. Here are some of the reasons you will see for digitizing:

  • Higher productivity.

  • Increased efficiencies.

  • Better safety.

  • Helps tackle talent shortages.

  • Convenience.

  • Manage marketing efforts.

  • Record communications with employees, customers, and vendors.

  • Keep an eye on operations.

  • Visualize progress at a faraway job site.

  • Better hiring processes.

  • Aid permitting activities.

  • Enhance inspection capabilities.

  • Support partial automation (where only some activities that make up an occupation are automated.)

 

Digitizing Your Construction Business – How?

As you can see, digitizing involves new tools and a learning curve. A digital transformation is the process of using digital tools and technologies to create new or improved business processes, products, and services. It is about the fundamental changes necessary for running a modern construction company that operates in ways that deliver value to its customers, be they general contractors or owners.

 

The ”how” depends on the need. Within the construction industry, using digital tools aids in some readily seen needs, such as dealing with building codes, insurance, licenses, union payroll agreements, prevailing wage requirements, safety regulations, lien rights, and customer expectations.

 

If you’re unsure of what digital tools will be most beneficial to you now, you may need to ask. Some of the folks who can offer advice are:

  • Accounting professionals.

  • Insurance providers.

  • Mentors.

  • Trusted employees.

  • Select customers.

  • Other credible contractors.

 

The value of digitizing your construction business cannot be overstated.

 

Reflection: What steps can you take to shore up your efforts to digitize your construction business?

 

 

Ambitious Construction Contractors look to The Profit Constructors to provide advocacy in dealing with:

 

Clients and customers

Employees and subcontractors

Vendors and service providers

Governmental entities

 

Working with The Profit Constructors gives Construction Contractors the means to organize their operations in ways that help them:

 

Remain informed

Avoid hassles

Reduce risks

Be future-ready

 

Ready for action? Or want to know more? Get in touch today to schedule a complimentary discovery call. 866-629-7735

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