BY HAMAN MANAK
Artificial intelligence (AI) and machine learning (ML) technologies are the answer to construction’s problems.
The construction industry is currently facing some serious headwinds. According to the Financial Times, more than 4,000 construction firms have become insolvent this year – the fastest rate in the last decade.
Of course, there are a number of reasons why this is the case. Extreme inflation, a slowdown in housebuilding, and delays to government-backed infrastructure projects – like HS2 – are clearly the main drivers behind the downturn. But we cannot ignore the rising material costs and growing scrutiny on quality, too.
Clearly, in this challenging economic climate, firms need to have the capacity to take on project after project. After all, more projects mean more revenue – and an improved bottom line will safeguard companies for the near future. But, to free up capacity and stay agile, these firms need to make sure they run efficiently – and speed up their construction cycle.
Construction firms cannot become more efficient, leaner and profitable in their current state. They need to embrace new tech. AI and ML technologies are there to assist.
AI and ML technologies could increase the accuracy of structural planning, optimise procurement processes and supply chain management and significantly decrease construction time. And that’s besides the fact that they could optimise health and safety planning, which has suffered recently with increased rates of fatal injury.
According to HSE figures, there were 45 fatal injuries to workers in construction in the 2022/23 period – up by 16 from last year. But AI and ML could drastically lower these tragedies and help eliminate them once and for all. AI-powered sensors could monitor sites, identify risks far in advance, and revolutionise the on-site working environment.
It seems like a complete no-brainer. Construction firms should be embracing AI and ML like there’s no tomorrow – and should be looking to apply it to their day-to-day work straightaway.
Unfortunately, this seems unlikely.
The industry is hampered by its long-standing conservativism. Processes are largely the same as they were 30 years ago, most of the work on-site is still done by hand, and apart from developments in machinery and tooling, on-site technology is relatively sparse.
Of course, there is good reasoning for this. Before the recent weaknesses in the sector, the three-month construction cycle was largely profitable. But now that the industry is facing the symptoms of the wider macroeconomic decline, construction firms – like other industries – should be opening themselves up to change. Rather than pumping all of their capital into operational costs, construction firms should be looking to triple their investment in technology.
If firms do exactly that, it’s not beyond the realm of possibility to say that AI will take up between 20% and 40% of the on and off-site work in construction. The industry as a whole will become much more efficient, and the speed of seeing out a development or project will rapidly accelerate. However, it goes without saying that investment in AI needs to go hand in hand with investment in your workforce. It’s not one or the other. Firms need to invest in their people and their training.
I also understand, though, that there might be a concern over the costs of implementing these technologies; after all, a lot of construction firms are just trying to stabilise their balance sheets. But that’s why the industry would need to collaborate with technology firms to maximise their investment – and make applications more cost-effective for hamstrung developers and contractors. It’s not a solo mission. To bring emerging technologies into the industry, everyone – even the government – needs to be involved.
Now, the question on everyone’s lips will be: “will AI take all of our jobs?” But I don’t believe this will be the case in the construction sector because the day-to-day work in construction is too unpredictable. Construction issues – from design right through to installation – occur daily. The industry’s human workforce can easily adapt to these volatile changes, but there’s no guarantee that AI – or even the most sophisticated technology – can do the same.
So, despite the widespread fearmongering, AI will not impact the construction workforce. Instead, like it has in software development, AI will become an extra colleague on projects and developments. And, beyond that, it may even attract software experts or tech talent to the industry as a result.
The future of construction should lie in the hands of AI and ML technologies. And if firms shake off their attitude to change, they will reap its benefits.
Haman Manak is procurement director at Stanmore