AGRICULTURE
The construction sector is one of the largest contributors to the world economy with about $10 trillion spent on goods and services annually. Yet, according to the McKinsey Global Institute, productivity in the sector trails far behind that of other critical industries. Learn the complex processes involved in construction management and how digital tools can close the productivity gap while improving quality and reducing risks.
The construction management industry consists of skilled professionals who orchestrate construction projects from planning to closeout. Also known as building construction management or construction project management, the discipline is defined by the Construction Management Association of America (CMAA) as ‘a professional service that provides a project’s owner(s) with effective management of the project's schedule, cost, quality, safety, scope and function’.
To fully understand the construction management definition, it helps to know who participates in large building projects. Key stakeholders and their roles generally include:
Each of these individuals or firms plays an important role in some or all phases of a major construction project. In most cases, it is the construction manager’s job to work cooperatively with every stakeholder to ensure the project is completed successfully.
What do construction managers do and what matters about construction management? According to the CMAA, a construction manager performs wide-ranging tasks such as these:
A construction project occurs in four general phases: planning, pre-construction, construction and closeout. Each phase comprises multiple tasks performed by craftspeople and other skilled professionals. Tasks within each phase might overlap into other phases, but the construction manager must ensure that work is done in the correct order and that deadlines are met.
Any construction project should be built on the foundation of a carefully crafted plan. This usually begins when the project owner kicks off phase one by determining the following:
As these areas are being developed, the construction manager (if already selected), architects, engineers and other consultants coordinate to determine feasibility, required resources, environmental impacts and appropriate risk mitigation measures.
When this phase begins, a construction project manager steps in, if one is not already onboard. In some projects, the manager is selected in the planning stage at the discretion of the owner.
During pre-construction, the project manager is expected to:
Once planning is complete, groundbreaking and construction can begin. During the physical construction of the building, ongoing project management needs include:
At this final phase, physical construction has been completed and the facility is passed from the manager to the owner. Components of a typical project closeout include:
Construction managers are responsible for innumerable tasks during a large construction project. Whether digital or not, construction project management tools must address all key elements of the project, as outlined below.
The ability to easily track worker hours, order materials, create work orders, plan schedules and budgets, create checklists, create daily reports and perform related tasks is critical during a large construction project. Tools such as time tracking software, materials management applications and inventory management software provide access to accurate, real-time information about which resources are available and when. Whether the tools used are digital (integrated applications or individual spreadsheets and files) or manual, they are essential to the orderly and successful completion of a project.
Tools that enable equipment tracking and traceability make it possible to plan the most efficient deployments and determine where and when additional equipment must be purchased or rented. These tracking tools provide precise asset locations, usage and repair histories and current calibration data to verify readiness. This allows the construction manager to prevent the waste of time, labour and money that transpires when essential equipment is either not available or not in working order.
Managing field services, or non-construction activities, such as equipment and fleet maintenance, play an integral role in any large construction project. Optimal performance of these services is consequently a key contributor to profitability. To reduce bottlenecks, tools that help manage fleet resources, schedule preventive and predictive maintenance and anticipate the need for assets in the field are invaluable to construction managers. The right field services tools, such as computerised maintenance management software (cmms) improve distributed services and keep the project rolling smoothly.
A multitude of tools exist to empower construction managers to coordinate with teams, connect disparate workflows, analyse data, perform productivity tracking and make smart decisions across operations. It is up to the construction manager to choose the best tools with the ability to scale up or down, integrate data and provide current information to every stakeholder as needed.
Until recently, construction project management tools have largely consisted of manual processes and siloed computer applications limited to a single function, such as construction scheduling or payroll. In fact, much of the industry’s lackluster productivity is explained by its struggle to deploy state-of-the-art digital tools and systems at scale. A 2019 research report from consulting firm, JBKnowledge identified these statistics:
Along the same lines, McKinsey found that technology spending in construction averages just 1.2 percent of revenue, with more than one-third of companies spending less than one percent. With over-reliance on old-school, manual methods, it is understandable that construction productivity lags behind its counterparts. The reluctance to adopt productivity-enhancing digital tools leads to preventable mistakes, longer delays and ultimately, lower profit margins across the board.
So, what is the solution? Forward-thinking firms are revolutionising their workflows with software solutions that integrate key project management functions. Holistic construction project management software integrates crucial information, adding value to all your project management efforts.
Let us further explore how these capabilities benefit every phase of your construction project.
The importance of resource management and construction scheduling, including expected start and end date for each task, cannot be overstated. The project manager is responsible for creating an achievable schedule of workers’ hours, shipments of materials and benchmark goals. A savvy project manager also anticipates possible points of vulnerability, such as employee time off or inclement weather, and creates contingency plans to accommodate these events. Digital tools for construction daily reporting, work order scheduling and employee time tracking software help the construction manager assign the timing and method of resource utilisation.
The ability to access and share information need not be limited by geography. With construction management tools available on smartphones and tablets, authorised personnel can stay in the loop from any location with Wi-Fi or mobile service. This improves efficiency by cutting out time and labour spent returning to the office to update status, log hours, order supplies and perform other administrative tasks.
Construction companies generate large amounts of paperwork, such as inspection documents and audit logs. Many construction companies still primarily use paper that must be physically filed, copied and transported, which slows down the document management process. Conversely, electronic document management simplifies and speeds up tasks associated with creating, tracking and accessing information.
Minimising risks to people and property is essential to any construction project. However, large infrastructure projects often fail to identify risks. These risks crop up at every stage of construction, and the chronic undermanagement of these pitfalls routinely causes the loss of assets and profits. Even worse, they can lead to a hazardous environment for people onsite.
Disjointed sources of information, such as information silos created by manual processes or applications that do not work together, compound to obscure the existence of risks. On the flip side, digital solutions exist to solve these complex issues. The ability to tie information together in a single software system enables the project manager to anticipate risks and mitigate problems early – before they become hazardous or costly.
Quality is the foundation of any successful construction project. Digital tools that standardise and mobilise the quality inspection process ensure that quality is front and center throughout the project. Tightly integrated with your business workflows, effective quality inspection promotes best practices, assures that workmanship and materials are free from defects and all elements of the facility conform to the highest quality standards.
Mobile solutions compatible across operating systems, platforms and web browsers empower your distributed workforce from the office to the field. This ensures that all authorised users can enter status updates and access the same accurate and current information, regardless of where they are located.
It is clear evidence that a construction project is professionally managed when it builds confidence in your firm’s abilities and enhances your reputation. The right software tools will yield proven results that grow your business year after year.
REVOLUTIONISE YOUR WORKFLOWS
Hexagon Xalt transforms your construction management workflows from the office to the job site and to anywhere in the field. These digital solutions accelerate productivity from project planning to closeout. Xalt offers integrated mobile solutions for these critical tasks and more:
While falling behind other critical industries in terms of productivity, the construction industry is undergoing its own transformation. Better tools and business models will inevitably evolve the industry, but investments must meet the growing need to bridge the gap with other industries.
A recent Globe NewsWire media release highlights a 2019 report from Research and Markets that summarises the coming impacts through the year 2030.
The future of construction management is digital. In the coming years, new technologies will allow construction projects to be more productive, efficient, collaborative and sustainable. This is a critical moment for the construction industry, and companies will need to embrace new innovations in order to continue to grow and compete in the industry.
Ready to accelerate your digital transformation? Construction management applications from Hexagon Xalt can help. Visit hexagonxalt.com, request a demo or call toll free at +1 800-939-6812.