Bid, design, build, and operate. The amount of information required to take a job from bid all the way through completion is vast. With market competition increasing and projected shortages in skilled laborers, the margin for error during the decision-making process has slimmed in recent years.
According to IBISWorld, an industry market research and risk-rating company, both the commercial and industrial building construction industries have only experienced moderate technological growth in recent years, with information technology focuses on GPS-equipped machinery, the use of drones to assist with job site management, and Building Information Modeling (BIM). These advances identified by IBISWorld may sound complex and out of reach, but they are all driven by the same starting point: data.
Data analytics have their rightful place throughout the entire life-cycle of a contract. In an already competitive bidding process, analytically assessing project costs, and timing thereof, from prior work can aid forecasting costs to complete and put your company in position to become more profitable. Tracking machinery and equipment usage can provide data to reduce idle time and promote the best use of company resources by evaluating the costs versus benefits associated with buying or leasing machinery and equipment. Lastly, evaluating and analytically assessing the duration of project close-out and punch-list completion can help a job cross the finish line with the most efficient use of time and resources.
These examples, among many others, can optimize each phase of your contract and continually promote a more accurate and efficient process. Applying an analytically driven decision-making process for any company requires both effort and creativity. What key performance indicators (KPIs) are you currently utilizing to base your decisions on? Are those the most relevant KPIs for your business? How are you tracking these inputs to ensure the data is accurate and reliable?
You’ve heard our thoughts… We’d like to hear yours
The Schneider Downs Our Thoughts On blog exists to create a dialogue on issues that are important to organizations and individuals. While we enjoy sharing our ideas and insights, we’re especially interested in what you may have to say. If you have a question or a comment about this article – or any article from the Our Thoughts On blog – we hope you’ll share it with us. After all, a dialogue is an exchange of ideas, and we’d like to hear from you. Email us at contactSD@schneiderdowns.com.
Material discussed is meant for informational purposes only, and it is not to be construed as investment, tax, or legal advice. Please note that individual situations can vary. Therefore, this information should be relied upon when coordinated with individual professional advice.