The Rise of AI in the Construction Industry

It’s fair to say that artificial intelligence is rapidly changing the world. From recommendations to recipes, many people use ChatGPT and similar tools in much the same way they use traditional search engines, and they have become a big part of everyday life for millions of people around the world.

The construction sector has also been impacted by AI in the construction industry, and it is no longer a futuristic concept. Many firms are already using these tools to improve productivity and efficiency. In fact, statistics show that the use of AI in construction has jumped from 15% to a staggering 75% in just two years.

With this in mind, the team here at Contractwise thought now was a good time to create an article detailing the rise of AI in the construction industry and how it can help.

Read on for more information…  

What is AI?

Artificial intelligence (AI) refers to computer systems that are designed to perform tasks that would ordinarily require human intelligence. It simulates human concepts such as reasoning, problem-solving, creativity and more.

In construction, AI typically works by processing large datasets to provide information and insights to assist and progress a building project. AI technologies include machine learning, robotics and predictive analysis. These systems can automate repetitive tasks and make projects more efficient.  

How can AI be used in the construction industry?

The use of AI in the construction industry manifests in many different ways. When it comes to the practicalities of the technology, some of the things it can help with include:

• Predicting maintenance: AI can analyse your equipment and predict when the machinery will need maintenance. This can reduce unexpected breakdowns and help minimise delays. Forecasting maintenance schedules reduces equipment downtime by preventing failures before they occur.  
• Site surveys - Site surveys can be conducted significantly faster than manual teams. AI is able to produce 3D maps and data that improve planning decisions. They can also track progress automatically, which reduces the chance of errors or disputes.   
• Logistics: AI can optimise all logistics, including material deliveries, workforce allocation and schedules. This improves cost estimates, reduces planning errors and ensures projects run as smoothly as possible. What’s more, using AI for logistics also helps maintain documents that may be essential for HMRC and CIS compliance.
• Design and planning: AI-powered design tools can analyse thousands of designs and identify the most efficient for your project. This can reduce design errors and ensure the project proceeds as accurately as possible. The technology also helps teams simulate building performance before construction begins, improving sustainability and reducing the risk of any rework in the future.   
• Quality control: AI is often able to detect defects and problems a lot faster and more accurately than manual checks. In fact, AI inspection tools have been known to reduce defect rates by up to 30%. This improves the quality of the project and reduces costly rework. For companies working with multiple subcontractors, quality assurance can be supported by data, which also helps to maintain compliance.     
• Health and safety: AI safety monitoring systems can detect hazards in real time, alerting people to the risks and reducing accidents significantly. This is done by analysing worker behaviour, environmental conditions and site data that predict risks before they occur. Taking a proactive approach like this improves compliance and will help workers across all complex projects.    
• Optimising supply chains: AI can also help to improve supply chain planning by forecasting demand and identifying any potential disruptions. Having better visibility of your supply chain helps companies maintain consistent project progress and avoid financial risks.  

Benefits of AI in construction industry

There is a wide range of benefits of using AI in the construction industry. This includes:

• Project efficiency: AI improves scheduling, resource allocation and communication. Many firms report improved project timelines and productivity when they begin using AI tools.  
• Enhanced safety: Safety is one of the most important things on all construction sites, and AI systems can help improve it. It can check if workers are wearing PPE, monitor environmental conditions and detect potential hazards before accidents happen.  
• Cost reduction: AI helps reduce construction costs in several ways. This includes improving forecasting accuracy, minimising waste and ensuring all resources are optimised. What’s more, automated equipment can monitor tools and equipment to detect issues early and prevent breakdowns that may result in costly downtime.   
• Higher quality: AI helps construction companies deliver consistently high-quality results by improving accuracy and reducing human error. AI-powered inspection tools can identify defects in materials, structural elements and finishes earlier in the construction process. This early detection allows teams to fix issues before they become major problems. This reduces rework and keeps quality as high as possible.
• Better decisions: AI enables construction leaders and project managers to make faster and more informed decisions by providing real-time insights and analysis. Instead of relying solely on past experience, decision-makers can use AI that analyses data, financial performance and risk indicators. This leads to stronger planning and more informed decisions.  

Can AI solely be used in construction?

No, AI cannot solely be used to replace human expertise in construction. While AI can automate tasks, analyse data and identify risks, it still relies heavily on skilled workers and project managers to make decisions.

Human oversight is essential for decision-making, ethical judgments and problem-solving in complex site environments. Overall, AI needs high-quality data and information to carefully supervise projects and ensure accuracy. The future of the industry is likely to be collaborative, with humans and AI working together to deliver results.

Here at Contractwise, we’ve worked in the construction industry for many years, providing a whole host of services to protect contractors and subcontractors. This includes payroll audits that eliminate the risk of HMRC reclassification. An employee being reclassified can be hugely damaging for your company, resulting in hefty fines that can cripple businesses that are not compliant. We’ll take the burden of CIS compliance off your hands, so all you need to focus on is achieving results for your clients. Contact our team today to find out more.