Shifting the Construction Paradigm: The Rise of Technology in Building the Future

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Quoted excerpts appear as part of the BuiltWorlds Contributor Program.

Hammad Chaudhry keenly understands how technology can both enhance and bottleneck construction workflows. As vice president of innovation and construction at EllisDon, he works with his team to lead the integration of traditional construction methods with advanced technologies like VDC, IoT and robotics – tech adoption, in other words, is his lived experience.

From this vantage point, Chaudhry recently penned a white paper on the industry’s need to prioritize data in decision- and policy-making, and the challenges to transformative change in the sector.

I highly recommend reading the report in its entirety. In the meantime, here are some key selections from Chaudrey and a few insights from my perspective.

Chaudhry writes:

Understanding the contractor perspective in the construction industry reveals a deep-seated culture of risk aversion and comparatively modest R&D investment, primarily driven by the industry’s narrow margins and cash flow challenges. This is further compounded by the intensely competitive nature prevalent across North American construction markets, where traditionally, the lowest bid often secures the deal. Consequently, startups, innovators, and established players must navigate not just the development of products, technology, and distribution strategies as per Christensen’s framework but also brace for longer sales cycles, a reality distinct from other sectors.

BW Perspective: Chaudhry hits on a lot of key pain points the industry faces when it comes to innovation. Particularly, a systemic disinclination to change. The question that then must be asked is how can effective incentives be incorporated to promote innovation? While low R&D budgets and lack of resources are typical concerns as it relates to innovation, it is also widely presumed that technology is the key to improved safety, productivity, quality, and ultimately profitability over the long term. How, then, can the industry break from systemic norms to realize these beliefs?

In another passage, he points out:

An important aspect to consider is the cost implication of these technological shifts. Before CAD, drawing a line on paper had a tangible material cost. With the advent of CAD, the cost of creating a line dropped dramatically, becoming infinitely cheap. However, this brought about a trade-off: less time was spent contemplating the design being drawn. Those who have experienced hand drafting can relate to the frustration of tearing a sheet while erasing a line and the ensuing need to start over. In contrast, CAD introduced a level of ease and flexibility in design modifications.

BW: As Chaudhry notes, the successful implementation of technology significantly enhances productivity in the microcosm of that specific task. As with the implementation of all technology, it is critical to think about how corporations need to flex themselves around the new operations. Roles and responsibilities, departments, and core businesses can be significantly impacted by new technology, and the evolution of people and processes must be considered equally with technology in order to fully realize its value.

Chaudhry also posits:

The future of construction will likely involve combining traditional methods and an increased use of prefabricated components, blending the best of both worlds. A push to DfMA, as we’ve already seen with multi-trade racks for mechanical ductwork, sprinkler pipe, electrical trays and conduits, lighting, framing and drywall.

BW: The industry has seen some massive bets on the successful utilization of modular construction processes and technologies. While none have lived up to the hype, it does seem expectations are beginning to temper. While modular was once thought to be the savior of the industry, it is now couched more as a tool within an ever-growing toolbelt of technology. As more modest bets continue forward in the world of modular, it will be important to understand the balance of when traditional construction is necessary, and when it isn’t.

Read the full article.