Enabling Digital Transformation in the Construction Industry
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Enabling Digital Transformation in the Construction Industry 1 A Serious Need for Innovation When it comes to digital transformation, the For this reason, there remains a significant lack construction sector is lagging behind many of coordination between construction managers other industries. and field workers. Critical information tends to move slowly across departments and employees. According to McKinsey, large construction This results in missed orders, mistakes, and projects typically take 20 percent longer to finish project delays. As a result, many contractors than scheduled and wind up 80 percent over typically underperform financially. budget. As a whole, the construction sector has failed to Despite all of the technological advancements keep up with the pace of innovation that we have that have emerged over the last three decades— seen in industries like healthcare, manufacturing, like mobility and the cloud—productivity has and utilities. actually declined in some construction markets since the 1990s. Add it all up, and there is a serious need for innovation and disruption in construction. And There are several reasons for this. one of the best ways to get started is to create custom apps. First and foremost, it’s rare for construction companies to reward risk-sharing and innovation among rank-and-file employees. As a result, workers tend to stick to tried-and-true processes that they are comfortable doing. At the same time, McKinsey continues, construction companies often lack digital tools for managing supply chains, projects, and performance. Most construction companies are still using paper-based management systems to organize and track workflows—just like they did in the early 1900s. 2 Leveraging Digital Transformation Using Apps Custom apps help construction firms complete projects 67 percent of them agree that enterprise mobility is a much faster and more cost-effectively. growing priority. In the tech industry, this is called digital transformation, In the past, building a custom app required hiring a which refers to the process of solving everyday business trained software developer or a third-party agency. Both challenges by digitalizing workflows instead of relying on options are very expensive and inefficient. The average paper-driven systems. U.S. software developer, for example, now makes $103,035 a year. An app, meanwhile, can take six months Custom apps are one of the central components of digital or longer to develop. transformation. A well-designed custom app can help construction companies enjoy a significant edge over Recent advancements in no-code and low-code app competitors as they help teams solve problems related to development make it possible to circumvent this process, inventory management, supply chain logistics, equipment slashing the time and cost of production. and safety inspections, and daily reports. Demand is therefore growing for business apps across all vertical markets. In fact, 66 percent of companies plan to invest in enterprise apps within the next few years and 3 Building vs. Buying One of the most common questions that construction companies provide the apps that workers need and make companies ask when searching for a vendor is, “Why build them readily accessible anywhere, at any time, and across an app when we could buy an off-the-shelf solution like any device. ProCore or Fieldwire?” What’s more, there is often a glaring disconnect between There is no right or wrong answer here. It depends on the management and rank-and-file employees regarding key size and scope of your operation and your needs. apps. For example, 47 percent of CIOs strongly agree that they give employees the apps they want. Yet only 24 There are three things to consider when deciding whether percent of employees strongly agree with that sentiment. to build or buy an app: budget, timing, and adaptability. An application development platform will, however, The main reason why companies choose to build custom empower traditional developers or business users to apps is because the traditional top-down approach to the quickly design and deploy applications that can help them technology acquisition process is ineffective. do their jobs better. Taking a proactive approach to these problems prevents companies from having to wait for a One study, for example, revealed that 59 percent of solution—thereby reducing backlogs, improving customer companies provide the apps that workers want and need satisfaction, and making life easier for workers and but don’t actually make them easily accessible. Believe management alike. it or not, that same study found that just 18 percent of 4 No-Code vs. Low-Code Returning to the topic of no-code and low-code: Even if you have a technical background, it makes Which option is better for your construction business? more sense to stick with a no-code app platform for a Let’s take a look. construction setting. The design process is much more efficient and intuitive and will allow you to deliver apps Low-code and no-code app development platforms are faster than you would be able to with a low-code solution. similar in that they both rely on a methodology called rapid application development (RAD). Both systems eliminate the Of course, not all low-code and no-code app development need to manually write lines of code when designing apps. platforms provide the same level of quality, customization, and security. The main difference is that low-code platforms require at least a base level of coding knowledge. For this reason, low- It’s important to thoroughly vet a vendor when making a code platforms are generally better suited for companies selection to ensure you zero in on a solution that meets with IT teams that know how to code and can ideally handle your company’s exact requirements. all app requests. Let’s take a closer look at why AppSheet is gaining traction Conversely, no-code app platforms like AppSheet require among today’s leading construction companies. no coding experience whatsoever. Many of AppSheet’s most prolific app creators, in fact, are “citizen developers” who come from non-technical backgrounds. 5 Why Construction Companies Choose AppSheet Managing construction processes can be very complex. Managers must oversee a variety of tasks such as building material delivery, daily scheduling, safety reports, employees, machine maintenance—the list goes on. Managing even basic projects with a spreadsheet or on paper can expose a company to countless risks, which is why a growing number of companies are starting to explore digital solutions. Many companies are learning about the shortcomings that exist in some of the most widely used off-the-shelf apps. Off-the-shelf solutions can cost tens of thousands of dollars. Yet they typically lack the features and functionality that managers and end users require to do their jobs. “Most platforms are meant for general contractors or larger operations,” says AppSheet customer Scott Nance of Front Range Excavating. “They offer a lot of features. But most of them don’t apply to what we do as a specialized subcontractor. We wanted something that could go deeper. ” In Nance’s app creation story, he points out how standard construction apps typically fail to capture critical data like tonnage or yardage when hauling items and load counts. It can be very difficult to accurately track advanced metrics for trucking, materials, and subcontractors. 6 This same complaint was recently echoed by John Brodksy, AppSheet serves a global market of construction providers who is a business manager at Brodsky Construction and and has a customer base that stretches from North America switched to a leading pre-built construction app because he to Asia. was “chasing paper all around the countryside.” AppSheet’s construction customers include both general Unfortunately, Brodsky ran into the same problem that contractors running large, complex operations and smaller Nance experienced. subcontractors. “[The apps] just didn’t do what we needed them to do,” Custom apps can be created for any company, regardless of Brodsky says. “So I was exploring all over the place, and I size or budgetary constraints. No construction project is too finally came across AppSheet and realized I could probably big or too small for AppSheet. figure out how to do exactly what I wanted to do with it. And it turns out I could build us an app that did everything we needed to.” Construction companies use AppSheet for a variety of different purposes. AppSheet is commonly used to run field reports, organize and track project workflows, conduct safety inspections, and share updates with team members. There is virtually no limit to what you can create using AppSheet, or how much data you can use. Apps can be very simple or highly complex depending on your needs. 7 3 Common Problems You Can Solve with AppSheet Here are some of the top challenges that construction companies are solving with the help of AppSheet: 1. On-Site Audits Audits can be stressful and time-consuming, eating up on-site technicians. At first, the company was using paper valuable hours that could otherwise be spent moving forms to assess the level of service, suitability, and quality of projects forward. Still, it’s one of the most critical parts of its materials and the workmanship of its laying contractors. the construction process. Now, the company collects and manages this information in a single, centralized app. This ensures greater accuracy and TARMAC, the largest building materials supplier in the U.K., saves time. created an app to streamline construction audits for its AppSheet Sample App 8 2. Dispatch and Delivery Dispatch issues can have a big impact on a project, leading to delays and unhappy customers and partners. A few years ago, Calgary-based construction company DIRTT started having problems with its email-based dispatching system; important messages were not getting delivered.