COVID19 has hit the Construction and Engineering industries with both speed and strength, leaving only one thing for certain, and that is change.
Having not only put people’s health at risk, but the industry has also suffered delays with supplies, deadlines, demand, and cash flow, amongst others.
While many employees were forced to work from home during the pandemic, some companies realized this method worked in their favor and has opened up many opportunities. Designers and Engineers have discovered the power of digital tools and are working with contractors from 3D to 5D tools planning projects from concept to construction.
Contractors are even able to manage their staff online, control their supplies and have a better understanding of their expenditure, enabling them to consolidate, scale, and control their cash flow.
What’s changed since Covid:
Have you ever heard of “Vertical Integration” (or VI)? It’s a strategy that enables one company to take control over one (or more) stages in the production, distribution and execution of their services. I’m sure you’re already thinking fewer middlemen by now and you will be correct. To resurrect an old phrase, “less is more”.
VI uses the IT industry to gain more investment as processes get compressed and digitized, allowing innovation to take over.
See it as the construction industry undergoing a renovation, bringing the increase in off-site production.
Interior decorating, design and engineering have seen demands for multifunctionality as the trend. Asia has been at the forefront of this minimalist lifestyle for years and now, thanks to the pandemic it seems the rest of the world is catching up. The upside is decreased carbon emissions, saving energy and solving the water shortage issues.
What’s the future?
As we propel forward, a few things can be made certain, we are moving into a normal state, but rather than the normal state we used to know, this is one industry that needs to grasp the concept of the “new normal” and come to the realization that this is the future, there is no going back to how things used to be.
Here’s a guide to helping your business not only survive the impact of Covid19 but thrive into a healthy future:
1.) Identify the immediate challenges within your business- focusing on financial stability, specifically your cash management. The key is to get a grasp on data analytics and master this tool as it will be very resourceful in the future of your decision-making.
2.) Create a plan to scale your business as the virus (and other challenges) keeps evolving and thus impacts your business (speed and timing are key here). Other factors that should be incorporated into your planning is keeping your workforce compliant with the new regulations, safety, and upskilling your staff. Having employees work from home has it’s pros and cons, so make sure to have cybersecurity and regular communication.
3.) Try to reimagine the next phase of what “normal” may look like for your company both positively and negatively and plan for those situations as best you can. Lots of investors may not have survived the pandemic and that affects your contracts and supply chain.
4.) Keep up to date with the latest industry regulations and know your competitive environment as it shifts. The public and private portfolios are sure to change in the future as more people continue to work from home. This will open many spaces in the market, especially in IT, Telecommunications and Innovation.
May your company emerge from this global pandemic with a strong winning formula with tools to help you make adaptable decisions, maximizing new opportunities.