Kenny Ingram, Global Industry Director of Construction and Contracting at IFS, outlines three trends and opportunities for companies to leverage in 2017.
Opportunity: Within five years, 35% of asset owners will move over to outcome- and performance-based contracts
How can companies leverage this? Technology functions within construction firms need to empower business analysts with assets’ performance indicators so that they can find the most profitable models that will enable them to turn service into an opportunity. Ultimately construction companies will operate more like service industries acting on a performance-based model.
Opportunity: Within 5 years over 50% of all construction projects will use offsite modular construction and 3D printing
How can companies leverage this? For businesses who have traditionally built everything onsite, the move to modular requires a different business model and a new skills set. They must become a hybrid of construction and manufacturing. Bringing in new graduates and business expertise, learning from manufacturing companies about lean, agile, integrated processes—all these are vital for seizing the opportunity. Plus, they need these skills in-house.
Opportunity: In the next five years 25% of work in the construction industry will be carried out by robots
How can companies leverage this? The most urgent action is to actually recognise the change, and start establishing a strategy for digital transformation. Again, reskilling and bringing on board tech-curious, tech-savvy younger professionals will pay dividends. Graphic design, Augmented Reality, Virtual Reality – all these will be hugely important in keeping companies competitive.
Since time, immemorial construction has always been about men and machines. With cybernetics, services and speed to the fore – that is soon set to change. So start preparing now.
More information from Renee Conradie, Tel: +2711 8030030 / www.ideaengineers.co.za
