Image of complexity holds back digitization in construction

Part of the construction industry is still wary of digitization, according to recent research by software developer Exact. Boy Mailuhu, responsible for software for construction at Exact, sees in the market what is holding companies back.

Exact's SME Barometer survey shows that 35 percent of respondents still use paper in their administration. In fact, 10 percent use paper exclusively. Only half of the construction companies have digitized everything on site and use mobile devices there. The rest do so on a limited basis or even with paper. So there is still a world to win. But what is holding companies back?

Not used to it

The reasons for not digitizing are generally fairly simple, Mailuhu believes. 'The focus is just on other things. 'I feel that a lot of builders still live from one project to the next. The focus is on that: how do I get everyone on site and make sure that everyone has done their work so that the project is finished on time? This certainly applies to the somewhat smaller builders, where the director/owner himself is still occasionally on the scaffolding. The administrative and organizational part gets less attention.'

In addition, construction companies are simply not waiting for change. 'There is always a barrier for a construction company to say: we are going to work digitally now,' says Mailuhu. 'Digitizing means that employees no longer use paper work sheets, but work with their mobile phones. They look forward to that. But in practice, it turns out that adoption is actually very fast. If I hear the experience of my consultants, after a few hours of explanation it actually goes automatically and that threshold is much less high than previously estimated by a construction company. Meanwhile, everyone has a mobile phone and watches movies on TikTok or does their banking via mobile. So the fear of working with it is also a lot less.'

Image of complexity

It is also common to be reluctant to digitize because of the idea that it takes a lot of time and money. At the same time, construction companies are not entirely convinced that it will work. 'But the customers we serve are always positively surprised once they have done it,' states Boy Mailuhu. 'They had a very different idea of the complexity of the process.'

'Ten years ago you needed an IT party, you needed a server, you needed everything to get it working. There was also an image of long and expensive consulting processes to get the software working. But that is no longer necessary at all with today's technology. Nowadays the solutions are in the cloud, so the installation, management, maintenance, updates and the like are all no longer there. Those, of course, are things that often faltered in the past.'

Yet Mailuhu thinks there are several groups in the construction industry that are still held back by it. 'That also has to do with how long the construction company has existed and which owners it has. I think then it comes down to the more traditional ones, the ones that have been around a bit longer and have a certain established name.'

The newer generations often help construction companies along because they do not see digitization as something complex. 'I think there's a big difference there,' Mailuhu states. 'You also often see that such an automation project is driven by a new work planner who comes to work in a construction company and thinks, well, this must be easier, this must be better. He then goes to investigate.'

Looking at your processes with an open mind

Yet in addition, it is about a piece of control, Mailuhu believes. Companies have to move from something they are used to to something else and you have to dare to take that step. That also means looking critically at your processes.

Mailuhu: "What we offer is standard software, so not a custom solution. Of course there is some flexibility in there to configure things, but the basis is standard software. So a construction company, when they move to new software, must also be willing to look at how their process works versus how the software provides for the process. Then you have to be open to changes or modifications in the current processes so that the software can function optimally. If you are very firm and stick to your own process, and find that the software has to give way to your process, so to speak, then success is often smaller and it becomes more complex and expensive. But if you have an open attitude about that and are able to make concessions and solve things differently, then we see that it brings our customers a lot.'

'I spoke to a customer the other day,' Mailuhu concludes, 'and he said that he would not have been able to grow his business without the software. Digitizing, having the processes in order, gives opportunities for growth. I think that's what's important. That you prepare your organization well to enable growth, without just adding extra overhead.'