Digitalization in the Construction Industry-The pledge of survival

Abstract

The development of digital technologies and Industry 4.0 started the digital transformation in the construction industry as well. The entire industry value chain is impacted by digital transformation, which results in much more efficient and effective business operations compared to the current practice. This is reflected in the reduction of costs, lead time and environmental impact. However, the digital transition in the construction sector is now proceeding slowly, necessitating extensive research to identify its root reasons. This research report intends to further investigate how digitalization and digital transformation affect or enhance company operations in the construction industry.

In recent years, businesses have required a lot of investment in the development of construction technologies. A significant portion of the investment is directed towards the digitalization of various parts of the construction work process. Building Information Modelling (BIM) models have changed the way buildings are designed, project management, documentation, and plan delivery processes have moved to the cloud, and work process management is becoming increasingly automated. Due to the availability of data, AI-based applications can now bring more benefits to the construction industry. Additionally, this research intends to identify the technological advances that companies have made and the challenges they face while integrating new technologies.

The development of clever solutions to handle disruptions in the building industry will be the focus in the coming years. To prepare responses to the changes that take place, a ready-made strategy must be made. Fundamentally, construction companies must get ready to reinvent themselves. To be flexible and adaptable in the face of change, they must embrace construction technologies while safeguarding their core business. Because they will be armed with superior solutions, construction firms or contractors who become familiar with the possibilities presented by technology will maintain a competitive advantage. Therefore, to be in a better position to produce value, construction companies need to start improving logistics, enhance their customer relationships, and pay attention to their supply chain skills. The best course of action in the face of change is to map out what influences construction companies' bargaining power and, by keeping an eye on trends, be among the first to benefit from the change. The process has already started, and construction businesses must decide in what quantity and quality are they prepared to exhaust the opportunities offered by technology in this new technological environment, and to what degree they are willing to embrace sustainability, which will eventually become a must.