5 Main Digital Transformation Challenges in Construction Industry

PART2

Difficulties and Resistances in Digital Transformation

Accepting the traditional structure of the construction industry is one of the most important issues to be considered in the digital transformation process. If you want to adopt digital transformation across the industry, the solution must be a practical one.

  1. Lack of Integration or Cooperation for All Stakeholders
  2. No Standardization and Tough Time Pressure
  3. Lack of Sufficient Competent Staff
  4. Cultural or Technical Resistances (Internet access, traditional staff)
  5. Return on Investment (ROI)

2. No Standardization and Tough Time Pressure

Lack of standardization of work in construction industry creates risks on a sector basis. Since the construction is a tight and dynamic project environment, time pressure on the companies does not allow such studies to be carried out. It is difficult to do this in an industry where projects can be privatized on a geographic basis and dynamizsm is great. In this case, what needs to be done is to implement this in all projects using standardized systems on a company basis.

It is a fact that the industry can evolve very fast with the standards that can be implemented in process, data management and methodologies in the digital transformation process. In addition to minimizing costs, standardization of work reduces the need for competent staff for supporting different systems because of the Know-How automatization it provides. Doing all this, saves you time. It provides uninterrupted interactive communication with your suppliers. It creates a digital ecosystem by digitizing construction environment.

For standardization, companies must give priority to process analysis and simplification. User-friendly systems that can be implemented quickly and easily should be preferred. The standards should be designed basic enough to be understood and used by all personnel.

Thanks to process analysis, the structures that cause you to do the same operation on many platforms can be eliminated resulting with saving time and resources. Identifying and focusing on the systems that add you the most value, will dramatically increase your efficiency while ensuring system standardization. Standardization reduces effort required for planning and realization for all stakeholders. It optimizes the processes with the tracking system, provides and increases the quality of the collected data.

 Solutions:

  • Project Life Cycle Analysis
  • Choosing the Right System
  • Reduction of Repetitive Jobs
  • Process Simplification

You can access ENKA Systems project tracking systems from the link below.

EDMS

3. Lack of Sufficient Competent Staff

The biggest benefit of Digital Transformation is reducing dependency on people. However, in order to realize this benefit, it is necessary to priotize sofware instead of people. To do this, a competent team which will manage IT change process must be established within the entire organization.

Firms should focus more on HR assessment processes to check that existing staff are people who can keep up with this digital change. If necessary, the right personnel should be recruited. This causes another layer of risk on an industry that has been affected by a lack of technological coordination.

Companies that have stepped into digital transformation can reduce the number of personnel used in the realization and follow-up of their processes by increasing competencies of the personnel, thereby providing cost savings. Employment of DCC personnel competent in document management, online tender specialists in purchasing process, engineers and architects who can use technological solutions such as BIM in project management are just a few of them.

You can access the ENKA Systems solutions for purchasing process from the link below.

EGPS

Solutions:

  • Competent and Accurate Personnel Employment for the Digitalized Processes
  • Competency Trainings and Certificate Programs for Existing Staff
  • Digital Transformation Awareness
  • Evolution of HR Evaluation Processes According to Change

You can access the ENKA Systems solutions for HR processes from the link below.

EGHR

4. Cultural or Technical Resistances (Internet access, traditional staff)

Digital transformation has the expectations of increasing efficiency, quality, security and reducing risk. However, in this process, resistances from various sources can be encountered. In cases where the solution of all of these challenges is not possible, prioritization can provide you great benefits. In locations where internet access is limited, data entry may be difficult.Apart from cultural factors such as cultural resistances in the project location, country’s legislations, geographical difficulties, there may also be difficulties arising from the company’s existing personnel. Personnel can resist to system and act against it.

The solution to this situation is through change management. In a new system implementation, the staff tries to adapt his traditional method to the system. Therefore, change management should aim not only to implement the technology itself, but also to find ways to run users’ existing businesses in new ways. Featured resistances should be prioritized according to their effects and solutions should be provided accordingly.

Solutions:

  • Top Management Support
  • Cultural or Technical Resistance Analysis
  • Accurate Change Management with Process Analysis
  • Prioritizing Problems According to Their Effects

5. Return on Investment (ROI)

In an investment process, performing a cost-benefit analysis considering Return of Investment (ROI) determines the outcome of the investment decision. If business needs and current situation are not analyzed correctly, ROI time of digital transformation cannot be calculated efficiently. This will affect investment decisions negatively.

Considering that the group that will give the transformation decision in your company is top management, it is critical the right value for investment. Lack of top management support in Digital Transformation often results in systems, that have the potential to reduce costs and increase efficiency, evaluated as an extra unneeded cost. The solution to this problem will be return of investment (ROI) analysis. If benefits of the system can be explained with accurate analysis and calculations, it will be inevitable for a rational top management to support it.

Solutions:

  • Top Management Support
  • Analysis of the Problems and Metrics brought by Digital Transformation
  • Providing Employee Support by Sharing Measured Achievements

Digital Transformation is an evolution in the real sense of business. However, it is very clear that this is a change that should take place for companies. Unchanged businesses will not be able to sustain success in the long run.

For this reason, change needs to be advanced and managed with radical decisions without fear. At this point, your most important supporter will be the company you will receive service from. Your business partner which can understand you and have experience in your industry will both facilitate and speed up the process and increase success.

ENKA Systems offers trend-setting solutions in the construction industry with solutions that include 60 years of ENKA experience in the construction industry.

You can access these and more from the ENKA Systems website.

ENKA Systems