Industry Growth
A forecast by ConstructConnect predicted that total construction for 2017 would be $1,234.5 billion, over a six percent increase from 2016. One reason the industry level is expected to increase is the demand for housing, and residential construction spending is projected to grow by 7% to $501.7 billion.
The industry's growth is welcome news as it picks up the pace from 2016, a slightly slower year. President Trump also plans to invest $1 trillion in infrastructure over the next decade, so this year, the industry will be looking to see how his plan will proceed.
Shortage of workers
The construction industry's shortage isn't new, but it is expected to pick up exactly where 2016 left off. Despite the industry growth, firms across the US are struggling to find employees to staff their sites. Many workers were forced to leave their jobs during the recession, and the industry has never recovered.
Other factors contributing to the shortage of workers include the lack of training in schools and the fact that existing workers who remained in the industry are getting older and retiring. Worker shortages lead to longer project timeframes and higher costs, so the industry needs to turn the shortage around to thrive.
The use of modular construction
Modular construction is becoming increasingly popular, expected to continue in 2017. It's also known as offsite/prefab construction, and it isn't a new technique, but it is becoming an alternative construction method for stretched workforces. It cuts the project's schedule and much of the cost as elements are constructed in a factory before being assembled on site. Reducing the hours a contractor needs to spend on-site is suitable for both time and money. In Sweden, 84% of detached homes are built with prefabricated timber elements, and in the US, this figure is currently 5% but is expected to increase.
Rising costs
One of the industry's main concerns is the rising cost of conducting business. Materials are more expensive, and labor is more expensive due to the sheer lack of workers. Materials prices declined in late 2016, but industry experts called it the 'calm before the storm.'
VR and AR technology
Technology plays a huge role in construction, and the hottest trend for this year will be the use of virtual reality and augmented reality technology. In 2016, VR headsets hit the mass market, and more sets will be released this year. VR can be used in the design aspect of construction by architects and in a physical context by training workers to lift heavy objects, and AR can be used on the building site itself.
Sustainable construction
Green construction is defined as designing and building using eco-friendly techniques and materials. It's expected that 'going green' will continue to influence the construction industry in 2017 as more project commissioners state in their brief that development must be environmentally friendly and approved before it can proceed. There is increasingly more Government legislation relating to green construction, too.
Industry scrutiny over safety incidents
Many construction sites are working on ensuring that their workplaces are safe. This results from increasing fines by the Occupational Safety and Health Administration (OSHA). The maximum penalty for a severe violation has grown from $7,000 to $12,471.
This means businesses are ensuring they are covered in an accident and taking more steps to prevent them, such as using elevated mobile platforms for working at height and supplying employees with protective equipment when they come into contact with hazardous materials.
Rise of Robotics
Drones are now being used in several industries, including the military and e-commerce, and construction is expected to be no different. It's believed that Unmanned Aerial Vehicles will dominate construction sites in 2017 as they allow 3D mapping of an area without presenting any danger to the workers below. They can also provide real-time feedback data, creating a more efficient worksite.
Building Information Modelling (BIM)
BIM is the new method of modeling expected to take first place in the construction industry. BIM creates 3D designs that can be used in every construction process to ensure a practical build. Designs can be modeled with a specification and checked by contractors to ensure no clashes with their plans for the plumbing system or other aspects of the build.
The construction industry must fight against the rising costs and the shortage of workers to take advantage of the new technology trends, allowing it to thrive in the future. Workplaces must operate safely and use green building methods to be sustainable.
