The global construction industry is working to use its resources more efficiently, and the Internet of Things (IoT) has proved to be a game-changer. Integrating people, processes, equipment, and job sites on one network can offer unprecedented monitoring and control capabilities. But how can we realize its full potential?

We’re already seeing the widespread implementation of IoT solutions in almost every area of modern life, and it’s not only large-scale enterprises that are making the most of it. From home thermostats to fitness trackers and smartwatches, IoT is rapidly making us all more connected. It is also emerging more as a necessity than a luxury for engineering firms, contractors, and other stakeholders in construction, but the full range of benefits from the Industrial Internet of Things (IIoT) is yet to be fully realized. While the IoT is more consumer and end-user focused, the IIoT is for industrial purposes. While both are similar in concept, it's the latter that is set to have massive implications for the construction value chain.

The new opportunities to drive efficiency across the construction value chain are huge. At Alfanar Projects, we help our clients and partners get ahead by deploying the latest cutting-edge technologies and transforming every part of their projects.

IoT and Construction

IoT is not a new phenomenon. The global market was worth $622 billion in 2020, and is predicted to surpass the $1 trillion mark by 2024. The global transition to a digital future was accelerated by the pandemic, with an increased demand for technologies that optimized safety and digital connectivity. But it is also a tool that will free up time and resources – two crucial factors in driving operational efficiency.

Meanwhile, the use of IIoT is still in its relative infancy, with a comparative global market value of $216.13 billion in 2020. However, we are already seeing routine, manual tasks being automated, creating opportunities to better utilize labor, and by 2028 its global market value is expected to hit more than $1.1 trillion. Measurement sensors and surveillance cameras allow the monitoring and controlling of machinery to take place remotely and can indicate any changes in the environment that require action. Issues like changing temperatures or excessive vibration will be tracked by sensors, sending warnings directly to operators who can act accordingly. Wearable devices can offer a real-time site map to locate workers or notify individuals if they get too close to dangerous areas. And importantly, maintenance systems can monitor the performance data of machines and vehicles, offering real-time performance monitoring and alerting users when they need maintenance. This monitoring data can also help the preemptive maintenance of on-site assets, faults or signs of wear and tear can be spotted before they are detrimental to operations, and repairs or replacements can be undertaken while avoiding any operational downtime.

A sector playing catch-up?

The digital transformation of the construction environment is moving at pace, but construction has historically been slow to adopt technological innovations. From the mid-1990s to 2014, labor productivity in construction failed to keep pace with the overall productivity of the wider global economy. At Alfanar Projects, we have been able to demonstrate the value of IoT on many large-scale projects.

But implementing innovative digital technology across the construction value chain certainly presents some challenges, not least because of the geographical dispersion of many sites. It may seem fairly simple to roll out digitalization across a single site, but consider achieving this on an oil pipeline that is hundreds of miles long and the challenges become clear.

Single platform. Multiple solutions.

Many companies are showing a willingness to face the upfront financial cost, scaling up to implement widespread operational overhauls that integrate digitalization.

According to KPMG’s 2021 Global Construction Survey, 43% of engineering and construction firms are intending to make high levels of technological investment a part of their business plans, with 41% planning moderate levels of investment. Why? Because IoT presents unrivalled opportunities to drive efficiency and fundamentally improves the entire construction value chain.

A more uniform approach to the adoption of digital technology can enhance project performance in construction from design and implementation all the way to on-site work. The financial benefits of on-site tech utilization are perhaps more tangible; operators will be able to fix or replace expensive machinery with minimal disruption, concrete curing sensors can speed up construction schedules by monitoring the maturity level of concrete and Just-in-Time (JIT) provisioning means that when supply units drop below a predefined level, an automated system can trigger a request to order more.

Building Information Modeling (BIM) hands engineers the tools to create a digital structure before something is physically built. Linking this to IoT-enabled devices during the construction process means engineers can evaluate and understand it, while the devices can trigger any material or environmental changes that may need addressing. Real-time tracking keeps things on schedule and can diagnose problems far enough in advance for them to be addressed without impeding a construction schedule.

How can we keep it secure?

As IoT grows and more devices are used, companies will also need to consider the vulnerabilities digital technology creates – the more ‘things’ there are, the greater the attack vector. While a large corporate network that operates outside of IoT may need to account for around 50,000 to 500,000 vulnerable endpoints, IoT may involve networks numbering the millions or tens of millions. It is such a hot topic that in 2019 the World Economic Forum formed the Council of the Connected World, which aims to minimize harm and strengthen global governance of IoT.

It is therefore critical to promote cybersecurity alongside IoT and IIoT. In an environment where technology can be used on-site as well as in an office space, it can be difficult to implement universal security policies. In addition, the nature of subcontractors means that there is often a revolving door of employees, making training more difficult – though not impossible.

As long as companies are willing to invest in optimizing their security systems, from risk audits to formal security policies, they can minimize risk. But alongside factors like efficiency and safety, it must remain a consistent priority.