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5 AI Solutions Construction Can Implement Today

Is the future of the construction industry already here?! With continued growth in technology and artificial intelligence (AI) in other industries, why hasn’t construction followed suit? The industry continues to lag behind many others in the adoption of new tech, including AI, robotics, and machine learning.

In 2018 McKinsey posited five then-current technologies related to AI that construction could implement from other industries. Three years later, most of these are still science-fiction more than reality, but for how long?

1. Optimize project planning

Existing technology in the logistics industry allows delivery drivers to optimize their route planning to account for both distance and traffic. AI analyzes for the shortest route with the least amount of traffic to cut delivery times. The technology continues to learn through reinforcement learning, commonly called trial and error, the best way to go the shortest distance.

In construction, this technology could be used to analyze and assess project schedules to optimize them for the shortest time and best use of resources. By running thousands of alternatives, the technology could provide options that humans hadn’t thought of to perform the work most efficiently. AI could learn from past project data and over time correct itself with the best resource combinations and alternatives to speed up project planning.

2. Forecast risks and constructability of design

Pharmaceutical research firms are using AI to reduce R&D costs by predicting medical trial outcomes. The software uses predictive AI solutions to improve products without the additional cost of intermittent testing.

In construction, this technology could be used to forecast risks, predict constructability, and the structural stability of technical solutions during the planning stage. By testing for structural stability and constructability ahead of time, in the virtual world, it’s possible to save big bucks during the construction process. The technology can also be used to test various materials, limiting downtime during inspections.

3. Supply chain coordination

AI can currently be used to reduce downtime and oversupply of shipments in a supply chain. It also can be used to increase the predictability of shipments. This reduces costs, logistical burdens, and supply variability. We certainly could have used this technology during the recent construction material shortages.

As modular and prefabricated construction gain popularity, there will be an increased need for enhanced supply chain coordination. These types of construction rely on just-in-time deliveries, which can be more easily achieved using AI. The technology will also help control costs and overall cash flow.

4. Robots and 3D printing

Robots and 3D printing are already making waves in construction. They are being used by a few teams to provide affordable housing and reduce costs and project schedules. From this knowledge, researchers have trained robots to learn from simulations and used machine learning to replace software programming.

Robots are being used to construct panelized buildings and components for prefabricated and modular projects. The ability to use machine learning could shorten the timeframe even further and allow robots to quickly move from one task to another without lengthy programming.

5. Quality control

In healthcare, machine learning is creating opportunities to diagnose illnesses earlier through image recognition. The technology detects known markers for certain conditions to provide early diagnosis.

Using drone imagery and 3D models, the same technology could detect potential defects and help with quality control. It could notice anything from potential catastrophic failures to finish blemishes and alert the team in real-time.

Conclusion

While no one knows what the next technological breakthrough in construction will be, it’s safe to say it may come from one of these five technologies. All are using technology, machine learning, and AI to predict the future or inspect current work for future problems. By engaging technology early in the design and construction process, teams are saving time and money, as well as assuring the safety of building occupants.

Interested to hear more on AI? Jonas Premier can assist you with more information on how AI can empower your business to work smarter.

Visit our website or schedule a call with our team of professionals at Jonas Premier today for a complimentary walk-through of our simple and easy-to-use software.

Author Biography:

Dawn Killough is a construction writer with over 20 years of experience with construction payments, from the perspectives of subcontractors and general contractors. Dawn has held roles such as a staff accountant, green building advisor, project assistant, and contract administrator.  Her work for general contractors, design firms, and subcontractors has even led to the publication of blogs on several construction tech websites and her book, Green Building Design 101.

 

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Tips & Advice

Is Manual Data Entry Costing Your Business? Why Automation is the Solution

If you think that investing in software to automate your systems will cost you more money than doing everything manually, you’re not alone. Many businesses operate under the assumption that paying for automation is more expensive than paying people to do things. The truth is there are hidden costs to doing things by hand, and those costs can significantly affect your bottom line.

We’re going to look at the hidden costs you may not realize you’re incurring by doing your data entry manually. The magnitude of some may surprise you.

1. Increased error rate

Workers entering data manually, without verification, can have an error rate as high as 4%. That means for every 50 entries, two are wrong. In an experiment in 2009, it was shown that data entry workers made up to 10.23 errors when entering data from thirty spreadsheets. This is the nature of human data entry.

When errors involve money, the stakes are high. These errors could lead to over-and underpayments, over-and undercharging customers, disruptions to the accounting and auditing processes, and may lead to financial trouble. Data entry errors have cost companies millions of dollars.

2. It takes time

Manual data entry takes time. The average typist can perform 10,000 to 15,000 keystrokes per hour. Depending on the amount of data and its form, it can take even the fastest typist hours to perform data entry. If the data requires comprehension or analysis before entry, this slows down the process even more.

It could take a competent operator between 8 and 10 minutes to enter 400 units of data. This may not seem like much, but if the volume of data is high, it can cost your company valuable time that could be spent on other workflows, like analyzing the data.

3. Can’t focus on important business tasks

With so much time spent ensuring that the data entered is correct and finding and fixing errors, there is no time left to work on the business. Managers spend their time ensuring that the data they’re reporting is accurate and less time actually analyzing that data. A survey found that 37% of manufacturing professionals don’t trust the reliability of manually entered data when making strategic decisions. If you can’t trust the data you’re getting from your team, how can you grow your business or take on additional work?

4. Inhibits business growth

When management receives data, it often makes decisions based on that information, whether it’s correct or not. These decisions may inhibit the growth of the business. For example, a costly mistake can lead managers to believe a project is over budget when it’s not. They then make moves to cut company spending to protect the company, when instead, they should be investing in future growth.

5. Hidden costs

Most companies think automation costs more than entering data by hand. The truth is there are hidden costs to entering data manually. There’s the obvious labor to enter the data, then more labor to check for mistakes, and more labor to fix the mistakes. At each level, it becomes more expensive and time-consuming to detect and correct mistakes.

It has been shown that incorrect data can cost companies up to 30% or more of their revenue. In particular, a 2018 Goldman Sachs report stated that the direct and indirect costs of manual paper invoice processing are $2.7 trillion for businesses around the world. The hidden costs of manual data entry can be enough to make or break your business.

6. It’s boring

Continually spending days or hours doing mindless data entry can lead to employee dissatisfaction and turnover. When workers spend hours keying in the same information, they are bound to lose focus, which increases errors and leads to frustration. Data entry work is repetitive and tedious. 55% of employees in a survey cited the collection, uploading, and synching of data as the least productive part of manual data entry. When employees don’t feel productive, their morale lowers and they are then more prone to make mistakes.

Automation is the solution

How can companies save themselves the time and money that is lost through manual data entry processes? Automating as much as possible is one way to recoup these costs. By using machine learning and automation, the software can automate much of the data entry process, leading to fewer mistakes and speeding up the process.

Premier Software uses AI, machine learning, and automation to speed up invoice entry and other repetitive tasks, so you can spend time working on your business and less time entering data. For a demo of how our automation works to save you time and money, schedule one today.Author Biography:

Dawn Killough is a construction writer with over 20 years of experience with construction payments, from the perspectives of subcontractors and general contractors. Dawn has held roles such as a staff accountant, green building advisor, project assistant, and contract administrator.  Her work for general contractors, design firms, and subcontractors has even led to the publication of blogs on several construction tech websites and her book, Green Building Design 101.

 

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Uncategorized

Why Go Digital? The Future of Construction Management

The construction industry has traditionally been slow to adopt the technology. Many of its work processes are legacy solutions from decades ago, like spreadsheets and yellow notepads. Today’s workers are stuck in the process of trying to digitize an industry that has been stuck in the analog world for many generations.

However, contractors are beginning to realize that they no longer have a choice when it comes to embracing technology. Now it’s a race to decide who will be the first adopters to bring the industry into the future.

We’ve put together five reasons why construction companies need to go digital today.

Why go digital?

Save time and money

Many contractors run several software systems simultaneously – one for estimating, one for project management, and one for accounting. These systems often don’t talk to each other, and each system becomes its own information silo, creating obstructions to the flow of information. Each software system provides information, but it’s difficult or impossible to share that information with the other systems.

Companies soon develop workarounds like entering data by hand from one system to another or using spreadsheets to provide the information everyone needs. Some software systems allow data sharing through import/export, but it still takes time to capture the data, download it, then upload it to another system.

When workers have to manually enter data, there’s an increasing chance that mistakes will be made. Inaccurate information can lead teams to make wrong decisions that can have a profound effect on the financial success of projects over time.

All-in-one software packages create workflows that allow project teams to share data between departments without resorting to workarounds that can cause errors and lost productivity.

Attract a younger workforce

In order to attract younger workers contractors need to upgrade their tools to the latest technology has to offer. You don’t have to be on the cutting edge, but there’s a lot of tried-and-true technology that construction has been hesitant to implement. Companies need to adopt tech more readily to match the skill sets, education, and training future workers are receiving.

Construction management students are learning project management and documentation using the software. These packages make tracking correspondence, submittals, and RFIs much easier than using Excel and other legacy software. If contractors don’t adopt these tools, they could be losing the opportunity to work with some of the best and brightest in new talent.

Integration is key when it comes to estimating and material takeoffs. Too many companies rely on outdated software or manual methods to create estimates and perform takeoffs. That data then has to be entered into another software system once the project is approved. Younger workers don’t understand why these systems are separated when there are so many options for integrating them.

Harness the power of new technology

New tech, like AI, machine learning, and automation are changing the landscape. Artificial intelligence (AI) is more than robots and droids. It describes how machines are able to mimic human thinking, like problem-solving, pattern recognition, and learning.

AI is being used to create predictive models based on past project data. These models analyze projects for cost overages, schedule delays, and other potential issues. The software looks for similarities between past projects and current work, and from there it can predict potential problems and bring them to the contractor’s attention.

Machine learning is a subset of AI and uses statistical techniques and calculations to understand project data and gain insights. As more data is added to the machine learning model, the software is able to assimilate the information and refine its predictions in current situations. Contractors are using both machine learning and predictive analysis to assess projects before they start so they know the risks and can proactively manage them from the beginning of the project.

Automation, or the use of technology to perform tasks, is also gaining in popularity in construction. Construction management and accounting software systems use automation to speed up data entry tasks and help prevent errors. For example, automated invoice entry in accounts payable allows workers to pull amounts and codes from commitment records and get notified when budget line items are over their limits. This automation helps ensure data is accurate and cost overruns are detected and managed.

Streamline your operations

With business growth responsibilities and processes are often developed organically. Employees do the best they can, but without a big picture view, they often create processes without knowing why. These processes certainly get the work done, but it doesn’t mean they’re the best way to do something.

The software can provide the overall structure needed to streamline processes that have grown cumbersome over time. With software as your guide, roles and responsibilities can be reorganized based on the most efficient way to perform a process.

Using an all-in-one system also simplifies record-keeping and data retrieval processes. Project records can be stored in the cloud, so now there’s only one place to look for information. Teams don’t have to search in multiple folders and software applications to find the information they need. It’s at the tip of their fingers 24/7.

Manage/control risk

Construction management software can help teams mitigate many of the risks found on a project. Although it can’t address all potential risks, it can speed communication and document what’s being done to proactively address issues.

Project management software allows teams to see and address overdue tasks and documents that may delay the project. Teams can run reports that show outstanding items as well as who is responsible for those items. The software can also track health checks and other safety-related inspections that are required in today’s world. This daily reporting allows team members to see the status of various items and predict potential problems.

Having a central hub where documents are stored is a must, given the number that is created and distributed during a project. Document storage, version control, and distribution are easily managed by project management software, ensuring everyone is working from the latest documents and has access to them from wherever they are. The same is true for project correspondence. Team members have only one place to look when it comes to searching for an email or notice. All communication is tracked and documented within the system, and specific items can easily be recalled in minutes.

Having an integrated system where costs are instantly updated in the field allows teams to respond to potential budget issues quickly. Project managers can manage the project budget and costs from the site, without having to request information from the office.

Digital is changing the construction world

While the outside world and other industries transitioned from analog to digital several years ago, construction has always been behind the times. It’s only now that the industry has begun harnessing the power that has been available for decades. Tomorrow’s workers are better prepared for this change and are sure to lead the effort. See how smoothly Jonas Premier can assist you and your team in the process of going digital. Visit our website or schedule a call with our team of professionals at Jonas Premier today for a complimentary walk-through of our simple and easy-to-use software.

Author Biography:

Dawn Killough is a construction writer with over 20 years of experience with construction payments, from the perspectives of subcontractors and general contractors. Dawn has held roles such as a staff accountant, green building advisor, project assistant, and contract administrator.  Her work for general contractors, design firms, and subcontractors has even led to the publication of blogs on several construction tech websites and her book, Green Building Design 101.

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Premier Team Hits the Field – Habitat For Humanity GTA

On Tuesday May 19th, the Premier Team put on their hardhats, construction boots and gloves and made their way over to the Brimley Rd. Construction Site to partake in the “Adopt-a-Day Program”. This program offers volunteers the chance to adopt a “build” day and participate among many other volunteers across the GTA. With the combination of teamwork, optimism and dedication, by the end of the day the drywall component at the Brimley Rd. Construction Site was well on its way. Volunteering time and providing financial support can create a tremendous difference.

 

An impact study conducted on Habitat Toronto Partner Families in 2012 revealed how affordable home ownership strengthens communities and opens doors for low-income youth:

 

  • 76% of homeowners report an improvement in children’s school grades
  • 81% report an improvement in children’s social lives
  • 92% of respondents say they will remain in their HFHT home for a very long time or can’t imagine ever moving

 

Everyone on the Premier team can agree that this experience was very positive and provided them with an entirely different outlook on how important it is to help break down the cycle of poverty. This program also offers anyone the opportunity to continue to volunteer- simply sign up online using the volunteer scheduler.

 

Remember, a little bit goes a long way!

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WHAT IS HABITAT FOR HUMANITY ALL ABOUT? Habitat for Humanity Greater Toronto Area (Habitat GTA) is a non-profit housing organization that mobilizes volunteers and community partners to provide affordable housing and promote home ownership as a means to breaking the cycle of poverty. Founded on Christian principles, we welcome all people without discrimination to join us as we build simple, decent, and affordable homes in partnership with low-income families. By owning their own home, families are able to achieve greater stability, and improve their overall health, while building equity for their future.

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Industry Insight Resources

What to Consider When Looking For Construction Accounting Software

With all of the advancements in software functionality over the years, making a decision on the right construction accounting software that meets your needs can be difficult to say the least. Finding a solution that can seamlessly handle job costing, project management, progress billing, document management, and accounting is not an easy feat. The good news is that an integrated system such as this already exists. With that being said, there are key factors to consider when deciding on which construction accounting solution is right for your business.

Automation

The level at which your accounting system automates processes can reduce the amount of manual entries and double data entry. With less manual entries being made, there will be less chance of errors such as duplicate or incorrect data entry. Automation can also lead to greater employee satisfaction, as the amount of monotonous work will be reduced and more time will be available to complete more value added tasks and close your books faster.

Integration

Without a fully integrated construction accounting solution, consolidating information is difficult to say the least (as most of you reading this are well aware). From the office to the field, an integrated accounting system automatically consolidates information between these functional areas, thus reducing the time and effort it would take to consolidate manually. For example, field workers enter their hours directly from the field using the Jonas Premier Field APP, which then automatically integrates with payroll and all that is left is to approve the information submitted! No more entering hours from a manual worksheet and struggling to get your field workers paid on time.

Flexibility

Each business is different and having the ability to make changes on the fly is essential to staying ahead of the curve in the construction industry today. With a flexible construction accounting system, you can customize and adjust the functionality to adapt with the changing needs of your business. An example of this can be seen with editing prior periods. Jonas allows you to enter information into prior periods, providing you with the flexibility to go back into an accounting period and make changes or updates as necessary.

Reporting

Being able to audit and drill down to the electronic documents allows for reconciliation with ease and improved reporting capabilities. A great example of this is ad-hoc reporting. With Jonas Premier, ad-hoc operational and financial reports can be generated quickly and easily. This tool provides a fast way to generate and review multiple reports whenever you want them and automates the distribution as well.

Customer Satisfaction

With all of the day-to-day tasks we perform, we can sometimes forget about the customers we are dealing with. Having a construction accounting system that creates simple and configurable reports, contracts, and invoices will improve customer satisfaction. Having professional and easily understandable documents sent to your customers will help to reduce any further questions they may have and keep operations running smoothly.

 

Click the link to learn more about Premier Construction Software today!