The construction industry makes up the largest number of small to medium enterprises (SMEs) in the United Kingdom. SMEs are businesses with fewer than 250 employees and a gross annual revenue of less than £36 million. Despite the number of construction SMEs in the country, smaller independent contractors and subcontractors are experiencing several challenges that hinder their growth. According to ConstructConnect, construction SMEs in the US have a failure rate of nearly 82.8%, with only around 56% making it beyond three years. 

There is no denying that setting up a construction company comes with its own risks. One of the common challenges in commercial construction management is adapting technology to innovate and improve the company’s workflows and systems, which can result in poor project planning and lackluster construction services. 

However, SMEs in the industry can greatly benefit from having digital systems to manage different aspects of their business, thus significantly increasing their chances of survival in the tough construction landscape. 

In this blog, we’ll look at how construction SMEs can use digital construction systems to take their business to the next level. 

What are digital construction systems? 

First off, what exactly are construction systems? Simply put, construction systems are methods that a businesses set up to properly execute a construction programme and stay on top of the operational and financial matters of the business. 

These construction systems could be as simple as the pen-and-paper method or the more popular option, which is spreadsheets. Most of the time, construction businesses use the systems that are readily available and easy to use. However, these residential and commercial construction management templates are not always suited for the tasks at hand. Worse still, contractors and subcontractors may have to resort to creating templates from scratch, significantly impacting their project planning, timelines, and other construction services. 

How can digital construction systems help construction SMEs? 

Streamline tasks 

Admin tasks can be a pain, but they’re crucial for both small-scale renovations and commercial construction management. Because most of these administrative tasks are considered back office work, many construction SME owners tend to overlook them. 

With a digital construction system in place, even small teams will be able to manage the support functions of the client-facing services of the construction business by streamlining both small and large chores in the back office.

Improve productivity 

When admin work is under control, construction teams can focus on more important aspects of the construction programme. 

This also applies to business owners themselves, especially those with very lean teams. Having digital construction systems streamlines the work, allowing them to focus on growing their business.

Improve client relationships 

Better operations lead to better results, which leads to happy clients. 

As construction business owners take care of their workflows, their construction services improve too, resulting in higher client satisfaction. 

Keep in mind that happy clients are the best form of marketing for construction SMEs, especially for those who are still new in the industry.

Better cash flow management 

In business, cash flow is what keeps the organisation running. Without an effective cash flow management system, it can be difficult to manage budgets for the construction programme and other business needs (such as office space rent, supplies, etc.). 

Digital construction systems, paired with powerful accounting software, such as QuickBooks significantly improve cash flow management and make it easier to stay on top of all expenses.

Professionalise services 

Many construction SMEs struggle to present a polished image, even if they’ve been around for years. Often, smaller contractors and subcontractors do not have the time and resources to adopt technology and enhance their operations. 

Digital construction systems that are adaptable and easy to use can enhance residential and commercial construction management for SMEs, making it easier for small teams to embrace technology that works for them. Professionalising your services also boosts your chances for growth and long-term success 

Setting up the right digital construction systems for you—what should be considered? 

Many construction professionals and business owners are resistant to change, especially when it comes to adapting technology in their practices, which is one of the reasons why many construction SMEs fail to grow. 

But technology, especially in construction, doesn’t have to be intimidating. It’s all about finding the right tools for your business. 

When setting up your digital construction systems, consider the following points: 

• Costs – The expensive costs of commercial construction management software can deter many construction SMEs from fully embracing technology. Therefore, it is crucial to choose digital construction systems that fit your budget, without the added monthly costs of subscriptions. 

• Usability – Another issue that turns off construction SMEs from high-tech construction software is usability (or the lack thereof). When setting up your digital construction systems, it is important to use systems that are easy for everyone on your team, reducing the learning curve and making tech adoption smoother. 

• Adaptability – It is important to choose digital construction systems that can be easily integrated into your existing workflows to further empower your team and boost their productivity. 

Digital construction systems allow construction SMEs and start-ups to grow and thrive by providing solutions that will improve construction project planning, commercial construction management, and overall construction services. Finding the right systems and workflows for your business is key to future-proofing your services. 

Are you ready to give digital construction a try? We are giving away free templates to get you started. Sign up here.