Future of Construction Industry 2020

The construction industry plays an important role in contributing to world GDP by increasing the economic growth of developed and developing countries. The changing technology, evolving business, and unskilled worker have brought a major interruption. 

The construction industry is always changing and evolving. Every year new trends are happening within the industry, it is better to be aware of rising trends otherwise you may find it hard to keep up with your competitors. This will make work easier and efficient. The construction industry has started to evolve. With the continuing growth and evolution in the construction industry, if you want to remain competitive, you must stay up-to-date. 

2019 has been an interesting year for the construction industry, it has seen overall growth despite a shortage of workers, changing trends in the industry. In 2020, the industry will focus on moderating these challenges while capitalizing on trends that help improve operations and deliver a competitive advantage. The industry will move to automation, with safety being a major concern. It is changing and is focusing on technology to create a business, this will enhance productivity, improve the economy and contributes greatly to the GDP of the nation.

For the prosperity of a nation, the Government gives more attention to the construction industry to develop infrastructure as well as transport. It is diversified and has numerous clients like property builders, property developers, material suppliers, and contractors.

Here are the major trends that will change the construction industry over the next year.

1. Technology

Technology is one of the main factors driving change in every industry, but the construction industry has managed to avoid this. However, recent improvements have happened in technology that is particularly suitable for the construction industry; with the usage of drones and 3D printing, the construction industry may adopt both these forms of technology.

2. Focus on Sustainability

Most successful companies are focusing on sustainability. For this reason, most, if not all, construction companies will likely place a strong focus on sustainability. Sustainability is part of the business methods and business models that make the world a better place.

Sustainable construction includes the safety of the environment and the efficient use of resources. While sustainability might seem like the same trend as a green technology, these can include methods such as buildings designed to allow natural light to reach the middle of the building to reduce electrical costs or buildings that reuse wastewater.

3. Safety at Job

Construction isn’t the safest job, particularly when compared with an office job. the development of technology designed to make construction sites safer as the industry suffers more workplace accidents which makes it easier for employees to adhere to safety measurements when they are working. As many people will be using the same software, it is easier for them to understand their role, which could also help to make construction sites safer.

4. Project management software 

Project management software has been introduced significantly over the last few years, and now there are lots of functional applications are build for different jobs; from designing a building to running a construction site. Currently, project management software offers real-time information, trackability, and a project overview. The use of software provides construction companies with three major advantages; clarity, liability, and productivity. 

5. The overall cost

The rising costs can make it difficult for smaller companies to compete. However new technologies are set to make the construction industry safer, more efficient, and more effective, which could reduce the overall costs.

Slow Growth While the demand for construction is likely to grow, the growth will be slower than expected to increase efficiency and overall growth. This is due to insufficient spending in both residential and non-residential sectors, which could increase competition. The construction industry is trying to cut the overall cost due to rising material costs within the construction industry, due to the rising cost of skilled labor. 

The construction industry is evolving continuously and modern Construction machines have been introduced, which make work easy. Human Power will be placed by machines, few common types of equipment are

• Aerial Lifts
• Backhoe Loaders
• Bulldozers. 
• Concrete Mixture
• Cranes
• Drones will play a major role.
• Excavators
• Earth-moving Equipment
• Engines
• Graders. 
• Generators
• Light Towers
• Loaders
• .Scrapers
• Trenchers.
• Trailers
• Wheel Tractor Scrapers. 
• Welders and many more

To address the challenges, the World Economic Forum established the Future of Construction initiative in 2015 to observe the changes and growth of the construction market over the coming years. It was reported that the global construction equipment market is going to grow at a CAGR of 11.55% during the period 2016- 2020. 

As numerous construction methods and technologies are discovered, it is important for construction companies to always stay on top of the latest trends and advancements. The construction industry is ever-evolving in size and scope. As a result, it is also growing fast at a rapid pace as the world’s largest companies and businesses continue to expand and convert a vast number of spaces into structural creations.

There is a considerable shift from traditional financing methods to an era of structured finance, private equity, and a public offering. This has led to the contribution of the private sector in total infrastructure investment is expected to increase to 50%. The balance will be borne by the public sector.

But with time the obstacles are being overcome, however. Companies are now embracing the opportunities, with productivity starting to rise and promising to soar.

Keeping on top of trends in the Construction industry will help-construction industry themselves, the technology industry, architects, designers, engineers, building material suppliers, contractors, and operations and maintenance companies to remain in the race and the stakeholders, Governments in their role as project owners and regulators to prepare for the future.