The Urban Developer
AdvertiseEventsWebinarsUrbanity
Industry Excellence
Urban Leader
Sign In
Membership
Latest
Menu
Location
Sector
Category
Content
Type
Newsletters
Urban Leader Awards Logos RGB White
NOMINATIONS CLOSE SEPTEMBER 12 RECOGNISING THE INDIVIDUALS BEHIND THE PROJECTS
NOMINATIONS CLOSING SEPTEMBER 12 URBAN LEADER AWARDS
LEARN MOREDETAILS
TheUrbanDeveloper
Follow
About
About Us
Membership
Awards
Events
Webinars
Listings
Resources
Terms & Conditions
Commenting Policy
Privacy Policy
Republishing Guidelines
Editorial Charter
Complaints Handling Policy
Contact
General Enquiries
Advertise
Contribution Enquiry
Project Submission
Membership Enquiry
Newsletter
Stay up to date and with the latest news, projects, deals and features.
Subscribe
ADVERTISEMENT
SHARE
2
print
Print
OtherRalph NicholsonWed 08 Jun 22

Construction Sector Urged to Embrace Tech as Crisis Deepens

Procore BIM proptech constructions saviour

The Australian construction industry is proving its own worst enemy due to the slow adoption of technology that would go a long way to dealing with the current building costs and labour shortage crisis.

Experts in the sector across the board agree that the reticence to pick up technology is costing the construction industry and doing nothing to future-proof itself.

The challenges of the past two years have continued to show the need for investment in new technology, according to Procore Technologies, a world-wide provider of construction management software, which has surveyed sentiment in the industry.

Vice president of APAC for Procore Tom Karemacher said the Australian construction industry remained remarkably resilient, however, there were lessons to be learnt from its Asia-Pacific neighbours.

“Our research found a clear correlation between positive industry sentiment and the intention to adopt technology, with ASEAN nations taking the lead in this area,” he said.

“This enthusiasm should be instructive to the Australian construction industry, underscoring the power of digital transformation in relieving key industry pressures and supporting growth.”

More than 1100 construction decision-makers and influencers were surveyed in what is Procore’s third How We Build Now report. This year, the survey was broadened to include Australia, New Zealand, Malaysia, Singapore, and the Philippines.

But while leading in quality and safety, the report showed Australian construction lags other markets on digitisation and technology adoption.

The report said Australia has lower adoption rates of everything from building information modelling (BIM) to big data, pre-fabrication and robotics.

And a smaller percentage of Australian companies plan to adopt digital technologies than their regional peers. New Zealand businesses are almost twice as likely as their Australian counterparts to accept next generation BIM technology will drive change.

BIM take up in property by APAC region

Property BIM take-up by APAC region
^ Source: Procore

Hannah Morton, an associate at global sustainable engineering consultancy Cundall, said the challenge was to bring all parts of the industry along.

“I believe technology is an asset in this at every stage from early feasibility, design development and modelling through to project management, procurement and post-construction commissioning and verification,” Morton said.

Earlier this month, Brisbane-based construction lawyer Janelle Kerrisk chaired a panel discussion on just this subject, at the Future of Construction Summit in Sydney.

“There were a lot of people in the room opening their minds to the benefits that come from technology,” Kerrisk, who is chief executive of Helix Legal, said.

“But in my experience, particularly in Queensland, the industry is one of the most heavily regulated in the world, so therefore any technology you adopt needs to ensure you are still meeting your regulatory obligations and all your lawful obligations.

“I am a huge advocate of new technology in the industry, but this is an Australia-wide problem. I have seen that regulation grow more and more over the years.”

Master Builders Australia chief executive Denita Wawn said it had been the case for some time that the industry generally had lower than average uptake of digital technology.

“This is particularly the case for small and medium-sized enterprises, which make up 98 per cent of the industry,” Wawn said. 

“Working to reverse this long standing reality is a high priority for Master Builders Australia.

The advantages prop-tech can bring to the property sector are varied and include compliance.
▲ The advantages prop-tech can bring to the property sector are varied and include compliance.

“Increased uptake of digital technology, particularly in the operation of SMEs, is going to minimise operational risk, as well as boost their business resilience and success.”

Despite rising building costs, labour shortages, inclement weather and interest rate increases, Australia’s building industry remains upbeat about the year ahead, according to Procore’s survey.

Eighty-five per cent of respondents remain confident about the next 12 months, up by 43 per cent from two years ago.

“We didn’t expect to see such high levels of confidence,” Procore’s Karemacher said. “However, it does highlight how remarkably resilient and optimistic the construction industry is.”

He conceded the survey was conducted in February, before big building companies began going into administration.

“It's possible that a few months ago the industry didn’t fully appreciate that these challenges—high commodity costs, labour shortage, supply chain disruptions—would be as long lasting and impactful as they are,” he said.

Karemacher said the survey found gender diversity in the industry was an issue. While Australian construction companies have high rates of diversity and inclusion, on average, only one in five roles in construction are held by women.

Furthermore, 61 per cent of respondents saw no need to improve that.

InfrastructureAustraliaTechnologyConstructionConstructionOther
AUTHOR
Ralph Nicholson
More articles by this author
ADVERTISEMENT
TOP STORIES
Stockland bumps up its apartment pipeline in melbourne and sydney
Exclusive

Stockland Re-Enters Density in $5bn Apartment Play

Renee McKeown
4 Min
Woolloongabba Precinct Vulture St
Exclusive

Brisbane Developer in Cross River Rail Compensation Tussle

Clare Burnett
4 Min
The Mondrian Gold Coast hotel's food and beverage is driving profits
Exclusive

Touch, Taste, Theatre: What’s Driving Mondrian’s Success

Renee McKeown
6 Min
Fortis’ display suites are designed as brand environments first, with tactile details and curated design to build buyer confidence before project specifics.
Exclusive

Relevant or Redundant: Will Tech Kill Display Suites?

Vanessa Croll
7 Min
Exclusive

Missing Heart: Why The Gold Coast Needs a CBD

Phil Bartsch
7 Min
View All >
Aerial view of Caboolture and Bruce highway to Brisbane with Bribie Island Road crossing, Queensland, Australia
Policy

Queensland’s $2bn Push Opens New Housing Front

Vanessa Croll
South Melbourne social housing precinct
Affordable & Social Housing

South Melbourne Housing Precinct Revamp Takes Next Step

Leon Della Bosca
Stockland bumps up its apartment pipeline in melbourne and sydney
Exclusive

Stockland Re-Enters Density in $5bn Apartment Play

Renee McKeown
The property giant’s strategic shift to higher density is in full flight as details of two landmark projects are made pu…
LATEST
Aerial view of Caboolture and Bruce highway to Brisbane with Bribie Island Road crossing, Queensland, Australia
Policy

Queensland’s $2bn Push Opens New Housing Front

Vanessa Croll
2 Min
South Melbourne social housing precinct
Affordable & Social Housing

South Melbourne Housing Precinct Revamp Takes Next Step

Leon Della Bosca
2 Min
Stockland bumps up its apartment pipeline in melbourne and sydney
Exclusive

Stockland Re-Enters Density in $5bn Apartment Play

Renee McKeown
4 Min
JQZ Parramatta EDM
Residential

JQZ Plots 10-Storey Addition to Parramatta ‘Auto Alley’ Plans

Clare Burnett
3 Min
View All >
ADVERTISEMENT
Article originally posted at: https://www.theurbandeveloper.com/articles/construction-urged-to-embrace-technology-as-crisis-deepens