TECHNOLOGY TRENDS


GCs still face business barriers. Te VC funded start-up,


KATERRA, claims on their website to be “A New Kind of Tech Company” with ambitions to combine archi- tecture, construction management, and material procurement into an integrated “Master Builder” approach. Traditional contractors or owners might balk at their radical approach, but this digitally integrated model is exactly what construction needs. Te reality is, technology in


construction has already tipped. I would argue that both the technology and the individual have tipped in construction, but that business has only tipped in sectors focused on modular fabrication or prefabrication. Te impact of public policy is a


big wild card to predicting the digital transformation of construction. Tis is because government contracting has such a negative impact on the business incentive to innovate the design-build process. Some Authorities Having Jurisdiction (AHJs) are starting the slow migration towards digital signa- tures and online permitting standards. Despite many AHJs still working in the dark ages of analog exchange, it only takes one legal change to render traditional GC services obsolete.


Pressure Is Mounting Te World Economic


Forum reported in 2016 that the most important changes required for engineering and construction starts with people, adoption of new technology, and collaboration. Te imbalance between the


actual value and the perceived value of technology in construction is adding pressure to the balloon of digital disruption. Without the input of field experience, integration tools like BIM and VDC lose their ability to provide reliable data for decision making. I am still shocked at the number of mechanical, electrical and plumbing trade contractors in the U.S. that have not made the investment into BIM for automated detailing to fabrication. Contractors choosing to


www.AGC-CA.org


The Need for Integration To address the cultural stigma with


technology, I propose a new title and job description for the “Integration Manager,” or IM. Te IM is a “Jack of all trades” hybrid who wears many hats. Tey must act as the ‘translator’ between the jargons of IT, BIM, accounting, HR, and operations. Tey most often come from operations (PE, PM), but can also be an IT or estimating professional with strong


outsource digital coordination without improving their oversight and commu- nication supply-chain are now sitting ducks for digital disruption.


Avoid disruption through transformation


Contractors looking for bolt-on


technology solutions to their tradi- tional industry practices are setting themselves up for failure. Digital transformation requires significant investment of time and resources, along with input from across the organization, before selecting new technology platforms, policies, or procedures. Beware of software vendors and service providers that promise instant adoption and return on investment. Te new rules of digital disruption have taught us that the only way to achieve a “single source of truth” is through integrated technology solutions that meet the needs of every individual in the digital ecosystem. Digital tools should improve the


daily life of everyone who use them along the information supply chain. However, too often the new rules for technology implementation are decided by a select few in the company with a very narrow perspective on the ultimate impact and value.


field experience. Tese positions are highly sought-after and are looked at as a fast-track to executive positions like CIO, CTO, or COO. Te critical part of an IM’s


responsibility is to serve the naturally conflicting needs of data consistency and operational efficiency. By stripping the label of technology from the title and focusing on their core function of integration, the IM can stand with their fellow project managers and superintendents as equals.


The Need for New Leadership It takes more than just a title to


change the technology stigma in construction. Leadership must reverse the negative stereotype associated with IT, BIM, VDC, or any new title that evolves out of the digital revolution. Executives must become role


models for the treatment and respect of technology and any employees who fit the technology stereotype. When young project engineers are continually shown that the definition of success is a linear career path from PM, to PX, to VP, it creates an unhealthy number of qualified applicants for a limited number of positions. Tis pressure is what causes many of these Millennials to jump ship from construction. For executives to hold onto


their best and brightest will take more than just a salary bump these days. For contractors without a dedicated VDC or IM role, we recommend selecting a cross-functional ‘SWAT team” of executive, operations and technology leaders with a shared vision to embrace digital process change. 


Nathan Wood has emerged as a


thought leader for innovation across the Architecture, Engineering, and Construction industry. Formerly with DPR Construction, Wood founded SpectrumAEC in 2016 with a clear goal — to address the human barriers to AEC industry innovation. Wood was recently keynote speaker at AGC’s 9th forum in Denver, CO.


Annual IT Associated General Contractors of California 13


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