The state of technology in the construction industry

Technology is the investment. Technology maturity is the advantage.

Construction executives are seeing an increasing value in technology for lowering costs, streamlining operations and leveraging data and analytics, according to data collected in Wipfli’s second state of technology in the construction industry report.

And the organizations creating the greatest value aren’t necessarily buying more software — they’re building more mature technology environments.

Wipfli surveyed 308 construction and real estate executives to understand their technology progress, pain points and strategic priorities. In this year’s survey, we learned:

• Investment intent is high. Virtually all leaders (94%) said they plan to add or replace at least one software tool in the next 12-24 months — and most are planning several. Twenty-eight percent of executives said four or more technology changes were under consideration. Construction project management, preconstruction and contract management, and CRM and marketing tools were the leading candidates for addition or replacement.
• Technology volume often obscures technology maturity. While 59% of executives reported full or extensive integration in their organizations, less than a third (30%) met the broader criteria for high technology maturity. “Executives often mistake adding systems for technology maturity,” said Brad Werner, who leads Wipfli’s construction and real estate industry practice.
• ROI is not guaranteed. Construction leaders cited employee adoption, implementation costs and integration as their biggest infrastructure challenges. Those practical barriers often determine whether technology investments deliver meaningful business value.
• Technology maturity is becoming the next competitive advantage. Organizations with the strongest technology maturity consistently outperform those with disconnected systems and fragmented technology decisions, according to Werner. “We see a growing performance gap between firms that build mature, integrated technology environments and those that accumulate tools,” he said.

Learn where construction and real estate leaders are investing in technology — and how to turn those investments into measurable business value.