Are You Ready For The New Construction Technology Disruption?

I was privileged to be invited to two important innovation events happened on the same day which I tried to divide my time between both of them. Because the subject and the type of participants on both. They are linked because they are about new solutions and innovations.

Let me say that getting knowledge about new trends and innovations opens new prospective always in my mind on how I think and how I adopt new business models. The challenge of the new technology disruption waves to construction industry is huge while companies are struggling even to build their internal systems and to develop their project management capability ( I wonder if they will need it (as it is now) within 10 to 20 years).

The first event was:

“Oracle Machine Learning Executive Roundtable” organised by Oracle.

We learnt the latest use of AI and ML in the industry. Starting from the question “can machine think on 1950” to the current challenge “can machine think like human” or actually better than human (including emotions) or with no emotions to the decision making. However, the subject was like a dream. The world is far away on developing ML & AI on other industries, it is still limited on construction industry application.

Big data analytic is still not used because there is limited companies yet using it for their development and even for building the industry related innovated systems. Although there are some examples coming from big consultants who had been contracted by some clients to build their innovated solutions. These solutions in particular are in manufacturing, tunnels, treatments, energy, mining specialised industry, and water by developing their systems and standards for their clients, they are building their models where they will replicate. The shared or exclusive copyrights are sensitive here. However, who owns it will win more.

In UAE (in MASDAR city and everywhere actually) and KSA (in NEOM city as a start), they are looking to be ML & AI hubs. It is the governments initiative to lead to a sustainable economy to lead to the future. However, the local companies in the two markets are still thinking how to survive the market challenges. They are dragged into firefighting mode. They can’t even think to be part of the new technology waves. talking about Big Data Analytics and Innovation in construction industry as a new market trends to them like talking about computers before creating electricity.

Big data science, ML and AI will be used to minimise risks and accelerate work to deliver high quality new solutions beyond imagination. The companies and the markets who have the advantage to develop new innovative solutions will dominate the market. The latest example is Elon Musk’s new rocket which move the space industry to new level of challenges even to the space leader NASA. That was a design and construction (you call it manufacturing) of a rocket. Another example is Dubai’s (Burj Khalifa – Khalifa Tower), which extend the design and construction further to new levels on high rise buildings from all prospectives. A level we were pushed to achieve. Challenges for foundations and structure design and execution, water pumping, lefts designs, sustainability durability, MEP works, programme execution, hundreds of contractors, subcontractors and suppliers management and cost saving. All recorded and sets of examples on high rise buildings design and construction.

Therefore, with these new trends, some jobs will vanish, some others will be created. Similarly, some economies will develop faster than others. The issue is “your data is a fortune. It is up to you now to use it otherwise it would be sold back to you in new forms. You will wish that you kept it and use it wisely and protect it to be your copyrights.

The second event was:

“Prefabrication & Modular Construction Summit 2018 – II Annual Edition (MODCON 2018) organised by SPADE and sponsored by Ministry of

Infrastructure Development in UAE.

In Dubai, they will start within two months the construction of the first villa using 3D printing. Dubai Municipality targeted that 25% of all buildings in Dubai will be build using 3D printing technology by 2030. This is the second step of big plan started with the “Office of the Future” (see the picture above) which is the most advanced 3D printed building in the world. It is also the first fully functional, inhabited 3D printed building ever. It was inaugurated on May 23, 2016 by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai.

That’s a big trend for a city which considered the region construction engine which the consulting firm Deloitte has estimated a year ago that projects worth $2 trillion are in the pipeline in the Gulf countries.

However, surprisingly, the main outcome from Prefabrication & Modular Construction Summit – 2018, was that there is still resistance to use prefabricated systems and the needs to use prefabrication more, the need to educate the clients more about its benefits and savings, and to regulate it for at least some parts of the construction industry in UAE. The numbers presented in Mot MacDonald paper are so impressive as following: 90% reduction on construction programm, 45% cost saving, 64% cost reduction, 20% reduction in design time, 24% cost savings over five years cycle, 20% less carbon, 6 more times durability, and zero waste, incident and defect. Although, the other contractors and supplier’s presentations fail really to show approved cases of cost saving although the construction schedule has a clear saving, but the challenges of logistics and client adoption are still there.

From that I learnt, that the new technologies are developing faster than what we are trying to catch, learn and achieve.

The conclusion is, are you ready to be part of the future, to be technology-oriented company using your systems with copyrights to your own solutions? That question is directed to the local private sector more than the public sector. The governments in UAE and KSA are already announcing ambitious plans to achieve it on short time.

If you are not ready, you will end up outside the game because it will cost you a lot to use others’ copyrights to continue your business. It will not be a new design any more like now. It will be typical innovative solutions with constructability methods for less cost and fast delivery.

The future is about how much data, knowledge and solutions you have. Did you use it to provide innovative solutions for your clients? Did you register your copyrights for it? Did you develop systems and technologies to model it for future use? And most important, did the clients drive the local market to do the same?

Construction industry will not be the same within 10 years. Are you ready for the new Disruption Waves of the 4th Industrial Revolution?

You should be aware about it and plan it from now.

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