CONSTRUCTION INDUSTRY TECHNOLOGY OUTLOOK IN 2016

Close monitoring of the US construction industry has almost always revealed disappointing figures for investment in construction IT. That is, until the prevalence of smartphones and tablets began to dominate construction tech.

As construction business has begun to adopt more technology; mobile devices are experiencing a surge of popularity on job sites.

The Associated General Contractors of America (AGC) has released their annual Construction Industry Outlook, which examines the use of construction IT investment and technology in construction. Of the 1,500 firms that responded to the national US survey, 42% said they were planning to invest at least 1% of their revenue on construction IT.

42% of the US construction industry was planning to invest at least 1% of their revenue on construction IT. 

Construction Industry Outlook, Associated General Contractors of America (AGC)

In the last two years, the same survey revealed only 32% of companies surveyed planned on the same construction IT investment, so this year’s survey represents an increase in businesses that plan to spend money on construction tech by 10%.

Of the companies who responded with affirmative plans to increase their construction technology, 83% of them said that smartphones and tablets were their technology of choice. With the technology already being incredibly familiar and readily available, a construction IT investment of 1% would mean that this technology would be widespread throughout a work team.

83% of them said that smartphones and tablets were their technology of choice.

Construction Industry Outlook, Associated General Contractors of America (AGC)

76% of those companies gave information that revealed one of the major uses for smartphone technology would be to provide daily field reports. This was overwhelmingly the most popular planned use, with the next most popular planned use being to access customer and job information from the field, of which 68% of respondents planned to accomplish in 2016.

In terms of specific software, accounting software ranked first for construction companies that plan to implement technology in the office. 25% of firms plan to implement new accounting software in 2016. This is only just a little more than the 22% who plan on implementing estimating software, and 21% who plan on implementing project management software.

construction industry technology outlook in 2016

25% of firms plan to implement new accounting software in 2016.

Construction Industry Outlook, Associated General Contractors of America (AGC)

The survey by AGC revealed that fleet management software didn’t rank highly in planned construction IT investment for those respondents. Only 12% of respondents said they planned on investing in telematics and only 3% said they were interested in service management software.

An interesting aspect of construction technology is the capacity for growth. Companies that harness construction IT can not only increase efficiencies, they can increase their customer base. Estimating and bidding software ranks highly for contractors who use it to seek and obtain work, with 69% of respondents using this technology for growth. Social media was the next most popular choice for technological options for growth, and came in at a spike from last year, with 32% of respondents reporting that they use social media to obtain new business.

At Resolute Equipment, we understand how important technology is for construction. With Resolute Equipment’s large catalogue of stock to help move your business forward, we know how construction technology can benefit your business. Call us today to find out how we can help your business reach the next era in the mining and construction industries.