Construction’s Data-Driven Future - December 2020

Wed, Dec 16, 2020

Over the past few years, I have had conversations with hundreds of people in our industry at all levels, from C-level Execs to the field teams onsite. I consistently hear that we need better collaboration but, at the same time, all are afraid of transparency to create a common ground for collaboration. So, we continue to support our current way of working instead of taking a step back and seeing that nobody wins the way we currently operate. The key is to question and challenge how we go to business everyday, from our strategy, to process to implementation. Data undoubtedly is a crucial ingredient, but it has to be the correct data. The dataset has to be pertinent to the task you desire to improve. It also has to be clean, timely, accurate, unbiased and perhaps most importantly, it has to be trustworthy. 

That means that if you want to achieve a real data-driven company, it’s vital to ensure you are making the right steps to get the correct data. A data-driven construction or roofing company culture has to exhibit the following elements. 

Vigoriuos Data Collection

A data-driven firm must start with the right system processes and digital analytical tools to collect quality data. It must be:

■ Accurate – without errors and mistakes
■ Real-time – continuously updated from the data source
■ Trustworthy – usable as a decision-making means

You must also start thinking of data beyond just the numbers. Certainly, crunched facts and figures are great, but today’s construction data also comes in from visual information like photos and videos of your project’s progression. If you do not include those in your overall evaluation process, you will not get an accurate picture of your operational process.

Information Accessibility

Accessibility is one of the most significant components of any data-driven decision process. It needs to be accessible by everyone who needs it and when they need it from anywhere. No matter how good your data process is, if you can’t access it, it becomes useless. Your data must also be structured so that it is easy to understand and make decisions. Proper training of your team to read and analyze the data will also be needed to become engrained in your company culture.

Accessibility tools need to:
■ be easy to use
■ be centrally organized
and
■ provide a snapshot of your decision-making process

Data Entry and Workflow Automation

To have good output, you must have good input. To eliminate mistakes and errors that will compromise your data’s trustworthiness, you have to automate your data entry process and workflows. Companies that are already using data effectively do not depend on manual data entry processes that waste time and put your projects at risk. They only use digital tools for functions to create and manage the operational process in real-time.

Standardization of Technology and Data

It is common for owners, contractors and subcontractors to use different systems to exchange information on projects. The result is not a smooth and well-run project and, inevitably, profits fade from mistakes caused by non-uniform information being passed throughout the project. Even more alarming is the lack of standardization in a business between its divisions and departments. Whether on a project or in your company, incompatible systems and processes work against success. This is where standardization comes in: to get the highest quality and most reliable data. You want everyone to achieve the same goals and use the same metrics, tools and technology.

Advanced Analysis

Data arrives before cleaning and formatting in raw data views, leading to a misleading look. Advanced analytics will help you go beyond the raw data so you can make innovative and forward-thinking decisions. Data increases in usefulness and competitive advantage as it increases in analytical abundance. If you want to be competitive, you will need to include all data sources
and formats, not just some. See the chart on the next page.

effort matrixEffective Risk Management and Decision Making

If you cannot confidently say that your data is being used to guide your decisions and to support your team to bring projects in on or under budget, you have a problem. Without useful data, you are not likely to go from a defensive position to a proactive one. Then you can address risks before they become an unsurmountable challenge to your company.

Strive for Continuous Improvement

The collection of your data and analysis is an ongoing process and requires constant improvement. A data-driven company should never consider themselves at their ultimate peak of data conscientiousness, even if you have a competitive market advantage. Great companies always know they can do more to improve their processes, efficiency and overall profits. Today is the day to begin your transformation into the future of data driven analytics. Whether you consider yourself among the more advanced technologically driven companies or know if you have a lot of work left to do, there is no time like the present to establish better systems and methods for using and managing your data. Don’t let your competitors get the upper hand on you; instead, take your company’s data seriously and make excellent use of it.

FRM

John Kenney has over 45 years of experience in the roofing industry. John started his career by working as a roofing apprentice at a family business in the Northeast and grew to operate multiple Top 100 Roofing Contractor businesses. If you would like any
further information on this or another subject, you can contact John at jkenney@cotneyconsulting.com


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