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What’s Inside
3 Introduction
6 The Benefits of Increasing Construction Productivity
7 7 Steps to Success
7 1. Bring Technology on Board
9 2. Improve Planning with More Data
9 3. Improve Productivity Training and Require More Job Site Experience
10 4. Increase Use of Prefabrication
10 5. Move Toward Shorter, Team-Friendly Contracts
11 6. Improve Safety Training and Provide More of it
11 7. Communicate Better
12 Conclusion
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Construction Productivity 101: A Practical Guide to Increase Productivity in 7 Easy Steps
Introductions
According to a recent study of over These percentages increase when you take
12,000 projects by the Independent into consideration megaprojects, 98 percent
Project Analysis Group, more than 35 of which “suffer costs of more than 30
percent of all construction projects will percent.” Indeed, a whopping 77 percent of
incur a major change.1 What’s more, megaprojects are at least 40 percent late.3
almost any change in a project will
have a negative impact on construction
productivity resulting in inefficiencies.2
Megaprojects cost and schedule overruns
98%
25%
of all project costs grow
77%
in the field by over
25%
of projects slip by over
20%
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Construction Productivity 101: A Practical Guide to Increase Productivity in 7 Easy Steps
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Construction Productivity 101: A Practical Guide to Increase Productivity in 7 Easy Steps
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Construction Productivity 101: A Practical Guide to Increase Productivity in 7 Easy Steps
43%
• Projects are completed faster — • Contractors can bid more
90% of project costs occur in the competitively — while it’s tempting
field not the office, and most can to assume that the way to bid more
be attributed to time waste or competitively is to track costs so you
delays. By increasing productivity, can make more accurate estimates,
contractors can reduce and in some
cases eliminate common construction
in reality the way to improve bidding
strategy is to increase overall faster by
increasing
waste, such as unnecessary time productivity. By improving your
delays that cause cost overruns. For construction productivity, you’ll
example, Mckinsey Global Institute reduce your costs so you can win
recently reported that a construction
company completed installation 43%
more bids.
efficiency
faster by increasing efficiency.8 • Projects are more profitable —
when projects are completed faster,
• Project costs are reduced — the costs are reduced so contractors can
phrase “time is money” takes on new bid more competitively. By bidding
meaning in the construction industry, more competitively, contractors can
where even small project delays win more bids while protecting their
result in massive budget overruns. profit margins.
By working more productively,
contractors can dramatically reduce
costs and save money.
The good news is that if minor inefficiencies can can result in massive costs, then even
incremental improvements to productivity on the jobsite can save contractors a lot of
time and money.
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Construction Productivity 101: A Practical Guide to Increase Productivity in 7 Easy Steps
7 Steps to Success
With this in mind, we’ve reviewed Kahua is reinventing how
some of the most innovative research companies manage and
on construction productivity and Adopting construction productivity collaborate on projects by solving the problems
highlighted the seven best ways to software is the fastest path to with legacy project management tools. As
boost productivity to help you complete construction productivity. Getting the an added benefit, Kahua allows teams to
projects faster, reduce costs, and boots on the ground to adopt technology synchronize their drawings and markups
increase your profit: is usually the biggest hurdle, but PlanGrid between Kahua and PlanGrid to drive office and
was built especially for field use, making field collaboration. kahua.com
it easy for those who aren’t tech-savvy.
Bring Technology on Board: PlanGrid’s construction productivity RedTeam offers a
When it comes to increasing software allows teams to collect, comprehensive, cloud
productivity, adopting new technology manage, and collaborate in real-time on solution for construction project management
is the fastest path with the biggest drawings, submittals, markups, photos, and accounting. With RedTeam, you can send
payoff. New technology such as issues, and RFIs. PlanGrid can help drawings from RedTeam to PlanGrid in the field,
onsite productivity software, project improve productivity in enumerable ways, and pull your RFIs from PlanGrid back to the
management software, and building by reducing trips to the trailer and time office in RedTeam. redteamsoftware.com
information modeling software can all expenditures, allowing teams to complete
but eliminate wait times and reduce accurate takeoffs electronically instead Built for subcontractors,
costly rework. of surveying or using other means to eSUB’s mobile and cloud
track issues and tasks electronically. project management software connects the field
and office in real-time. Coupled with PlanGrid,
you can save snapshots of drawings and
annotations to eSUB documents for a complete
record of what happens on the job site.
esub.com
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Construction Productivity 101: A Practical Guide to Increase Productivity in 7 Easy Steps
• Save time
• Eliminate rework
• Reduce paper and printing costs
DOWNLOAD GUIDE
Construction Productivity 101: A Practical Guide to Increase Productivity in 7 Easy Steps
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Construction Productivity 101: A Practical Guide to Increase Productivity in 7 Easy Steps
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Construction Productivity 101: A Practical Guide to Increase Productivity in 7 Easy Steps
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Construction Productivity 101: A Practical Guide to Increase Productivity in 7 Easy Steps
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Construction Productivity 101: A Practical Guide to Increase Productivity in 7 Easy Steps
References
1 6
Independent Project Analysis Group. Bon-Gang Hwang; Stephen R. Thomas, Carl T. Haas et al.
Qtd in Factors Affecting Construction Labor Productivity: “Measuring the Impact of Rework on Construction Cost
Managing Efficiency in Work Planning. Performance.” Journal of Construction Engineering and
http://bit.ly/2dyf4QG Management. March 2009.
http://bit.ly/2ukA8Cd
2
Intergraph.
Factors Affecting Construction Labor Productivity: Managing 7
Filipe Barbosa, Jonathan Woetzel, Jan Mischke, et al.
Efficiency in Work Planning. McKinsey Global Institute.
http://bit.ly/2dyf4QG “Reinventing Construction through a Productivity Revolution.”
February, 2017.
3
Sriram Changali, Azam Mohammad, and http://bit.ly/2mBiJCG
Mark van Nieuwland. McKinsey Global Institute.
“The Construction Productivity Imperative.” July 2015. 8
Sriram Changali, Azam Mohammad, and Mark van Nieuwland.
http://bit.ly/2cKMgDE McKinsey Global Institute.
“The Construction Productivity Imperative.” July 2015.
4
Filipe Barbosa, Jonathan Woetzel, Jan Mischke, et al. http://bit.ly/2cKMgDE
McKinsey Global Institute.
“Reinventing Construction through a Productivity Revolution.” 9
Paul Teicholz.
February, 2017.
“Construction Productivity in Decline.” Construction Communities.
http://bit.ly/2mBiJCG
June 2014.
5 http://bit.ly/1lOlHLV
For Construction Pros.
“Construction Technology Survey Reveals Huge Profit Opportunity
in IT Investment” January 2016.
http://bit.ly/2u4Jgzx
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www.plangrid.com
+1 (415) 429-1227
Guide Author:
Lynn Langmade
Director of Content Marketing, PlanGrid
@llangmade