How Big Data is transforming the Construction Industry
Navigating through complex challenges is an integral part of any construction project. Even the most skilled general contractors occasionally encounter unforeseen issues that can disrupt the best-laid plans.
The critical questions here are: How can construction firms minimize the impact of these unexpected challenges? And what strategies can general contractors employ to foresee and mitigate potential problems?
For general contractors aiming to address issues, utilizing analytics pre-emptively is a key strategy to ensure project operations are as seamless as possible. To guide you toward success, we have compiled a list of nine ways in which big data can enhance your construction company’s operations. But before delving into these methods, it’s important to understand what big data is and its significance in the construction industry.
What is big data?
“Big data” is a term used to describe extensive and complex data sets that are so sizable or intricate that they necessitate sophisticated analytics tools for processing and management. This data can originate from a diverse array of structured and unstructured sources, including but not limited to cameras, sensors, mobile devices, and various types of log files.
9 ways big data is transforming the construction industry
1. Enhanced Planning and Efficient Budgeting
The advent of advanced analytics technology has ushered in a new era where big data significantly assists project teams from the very beginning of construction activities. Modern analytics platforms like Bauwise collect and analyse data from past and ongoing construction projects.
This comprehensive information helps teams account for potential setbacks and carefully organize the project schedule. In addition, big data applications play a critical role in enabling more accurate cost estimates for materials, labour, and equipment. This improved accuracy not only streamlines the budgeting process but also greatly reduces the chances of financial overruns as the project progresses, ensuring a more efficient and cost-effective construction process.
2. Enhanced Precision in Quoting and Bidding
Big data comes into play even before the first ground-breaking moment on the construction site, significantly improving the process of creating quotes, bids, and estimates for your construction company. Using analytics tools, your company can effectively sift through data from past projects, considering up-to-date material costs and subcontractor bids from your trading partner network.
This in-depth analysis helps to understand the project scope and schedule, leading to more accurate quotes and bids. A robust big data platform simplifies this process by automatically completing standard bid documents, saving your planning team time and money during competitive project bidding.
These standard documents usually include application forms, contracts with merchants and business partners, and logistics forms for coordinating deliveries with transport companies.
The accuracy of big data cost forecasting streamlines the initial stages and significantly reduces the likelihood of budget overruns. This helps to avoid spending additional time and resources on solving problems that may arise in the later stages of the project.
3. Minimizing Human Error
Forbes reports that material waste and fixing mistakes on the construction site account for about 35% of total construction costs. Big data integration cuts these costs by making bids more competitive and increases profit margins by reducing costly mistakes.
Transparency Market Research has projected that by 2025, the global volume of construction waste will reach a staggering 2.2 billion tonnes. The application of digital tools is already in the planning stage, and lean construction and production principles promise to reduce waste. This is achieved by allowing suppliers enough time to deliver materials and equipment exactly when needed.
By aligning architectural designs and technical layouts with site analyses and required materials, big data helps identify and address potential problems early. This capability allows project managers and site supervisors to address potential challenges earlier in the project timeline, thereby reducing the severity of those challenges. Preventing a problem is always more effective than fixing errors later, which can cause additional delays.
4. Streamlining Timelines and Ensuring Deadline Compliance
Meeting deadlines is critical to the smooth progress of a construction project. When teams use onsite and remote project management software, it becomes a powerful tool for anticipating and communicating potential delays, obstacles, and schedule changes. Team members can either manually enter or automatically enter data into the system, which the software then analyses to assess the current status of the project.
Consider a scenario where a truck transporting precast concrete beams experiences a mechanical failure en route to a construction site. Although the beams are intact, it takes an estimated 36 hours to send a replacement truck to the failure site, move the beams using a special crane, and finally deliver them. A project management system powered by big data immediately recognizes this failure and calibrates project schedules and deadlines accordingly. It also ensures that all relevant parties are notified of these adjustments.
5. Enhancing Worker Safety Through Risk Mitigation
Incorporating big data from the beginning of construction projects is a strategic step to identify potential hazards and challenges on site.
For example, big data platforms can inform project managers about potential delays, signs of worker fatigue, or overuse of machinery onsite through labour and equipment productivity analysis. Situations where teams are under pressure to accelerate completion, combined with overstaffing or equipment overload, can lead to additional delays and inefficiencies. These conditions often increase safety risks and contribute to worker burnout due to safety concerns and space limitations.
Effective space management for moving equipment, materials, and personnel is critical. In addition, any workplace accident not only threatens the safety of workers but also delays the progress of the project.
6. Promoting Predictability in Project Management
Advanced big data solutions in construction that use complex algorithms, artificial intelligence (AI) and machine learning (ML) are essential to provide important insights already at the planning stage.
These systems can identify future challenges in coordinating resources, workforce, and equipment. They can also anticipate potential onsite problems and forecast seasonal weather changes. By identifying these factors early, teams can proactively address them, avoiding delays and additional costs.
7. Design Optimization
During the design phase, data-centric tools such as Building Information Modelling (BIM) and Artificial Intelligence (AI) enhance synergy between contractors, architects, and team members. These technologies enable the creation of detailed digital models that prevent and resolve potential challenges before construction begins.
Using environmental and historical data, these tools facilitate accurate forecasting. In addition, data-driven software becomes vital in maintaining transparent communication with stakeholders by providing real-time updates on any design changes. This approach streamlines the design process and ensures that all parties are consistently aligned with the project’s development.
8. Minimizing the Environmental Footprint
The construction sector is one of the most significant contributors to environmental pollution globally. In 2018, the construction and engineering fields were responsible for 39% of all process-related carbon dioxide emissions. As the industry expands, the urgency for adopting sustainable construction methodologies and environmentally-friendly building materials intensifies.
Applying big data in construction presents a viable solution to this challenge. By leveraging construction data from previous projects and integrating it with Building Information Modelling (BIM) technology, it becomes possible to forecast the material and energy requirements for new projects accurately. This approach not only curtails unnecessary construction waste but also enables planners to consider and implement energy-efficient options consistently.
9. Enhancing Teamwork and Communication
One of the most significant hurdles in the construction industry is the breakdown in communication among professionals. However, big data technologies offer a robust solution by making critical information readily accessible and easily distributed among team members.
This heightened level of information sharing not only cuts down on mistakes due to miscommunication but also strengthens the rapport among stakeholders. Moreover, it ensures that all involved parties are promptly updated during unforeseen changes or disruptions, fostering a more collaborative and responsive work environment.
The Transformative Power of Big Data in Construction
The construction industry, a field often marked by its complexity and unpredictability, is undergoing a significant transformation thanks to big data. This technological revolution is not just changing how projects are managed and executed but also reshaping the foundation of construction practices.
From the initial stages of planning and budgeting to the final touches of design optimization, big data infuses precision, efficiency, and sustainability into every phase. It has proven invaluable in enhancing decision-making, minimizing environmental impact, and improving collaboration among teams. The ability to predict and mitigate potential problems before they arise has revolutionized project management, ensuring that projects are not only completed on time and within budget but also done so with the utmost consideration for safety and environmental responsibility.
As we step forward into a future where technology and construction become increasingly intertwined, the role of big data will only grow more pivotal. This trend is a beacon of progress, guiding the construction industry towards smarter, safer, and more sustainable practices. In embracing big data, the construction industry is not just building structures; it’s building a brighter, more efficient, and eco-friendly future.
