According to reports by experts, construction is already one of the largest industry sectors in the world. But focusing on this high demand hides a more precarious reality. Most construction companies face several underlying challenges. This article highlights the most common problems construction companies have, such as productivity, profitability, performance, labor, and sustainability, which could disrupt the growth of the industry.

Low productivity and profitability

At present, barriers to entry into construction are low, creating a market saturated with stiff competition. This competition is reducing profit margins and restricting the essential reinvestment in new technologies and best business practices. The stagnation of labor productivity of construction is aggravating this problem. While other industrial companies have benefited from an increase in labor productivity, productivity in the construction industry has remained stagnant in the last 50 years.

The slow transition to a digital practice has made the construction industry perform poorly in terms of productivity versus growth in investment. A lot of direct work time in mega-building projects is invested in waiting for materials, making plans on how to get the job done, etc. This lack of productivity is reflected in the bottom line, where profitability is affected drastically. As a result, construction companies are caught between reduced profit margins and stagnant productivity, unable to generate the benefits needed to invest in critical technology.

Project Performance

Opportunities in construction are growing, but so is the complexity of the project. With companies already operating under very low-profit margins, a single production surprise can wipe out the profits of the entire company. The complexity of the design aggravates this problem. As designs get bigger and require more efficiency, construction companies struggle to keep up. The lack of projects on time and within the budget is telling.

Scarcity of skilled labor

The construction industry is preparing for a drastic reduction in the workforce. There is a lack of highly skilled construction professionals and it is becoming increasingly difficult to keep tabs on the work of employed labor workers.

A good solution to these problems is to make use of staffing apps such as uqrew.com. This app helps construction companies to monitor the efficiency of their employees which will ultimately lead to better productivity. It is much better to manage your workforce on the go, as it will benefit the construction company in the end with better project performance.


Contact us today, if you have any questions, and download the app for your device and allow us to help you “Join the right Qrew for you”.





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