Rise of the Jobsite Robot

How Automation Can Help Save the Construction Industry

How Automation Can Help Save the Construction Industry A Hilti report / JOBSITE AUTOMATION Rise of the Jobsite Robot

Despite the past years chal - lenges, the global construction industry is as robust as ever, consuming upwards of 10% of the global GDP and growing at a compound annual growth rate of 4.2% from 2018 to 2023, according to forecasts. 1 However, it still struggles with the same old challenges, par - ticularly low productivity and profitability. In fact, produc - tivity has barely grown over the past 20 years, 2 and profit margins continue to hover at around 2%, a tenth of what some other industries enjoy. 3 Boosting productivity is our industrys golden fleece. To find it, were going to have to change the way weve been doing things for the past 50 years. Take mechanical, electri - cal and plumbing installations, for example: Mistakes in planning and execution can lead to inefficient on-site improvi - sations and costly rework. Coordinating multiple play - ers with overlapping applica - tions can be complex and Wait, we need help? Introduction The robots are coming! Actually, theyre already here in their less sensational forms of digitization and automation and ready to help us tackle our industrys biggest challenges: inefficiencies, low productivity and labor shortages. Best of all, they can do it with technology were already using. expensive. Repetitive work can be time-consuming, error-prone and even demoralizing. Overhead work is particular - ly inefficient; it can also be physically demanding, which doesnt help ease the labor shortage and makes main - taining your employees health more critical than ever. Skilled labor shortages can result in poor-quality installations that need to be redone. Even a slight bump in pro - ductivity can translate to a significant amount of money, especially on multimillion-dollar projects. The World Economic Forum estimates that just a 1% rise in construction To boost productivity, were going to have to change the way weve been doing things for the past 50 years. JOBSITE AUTOMATION 2

productivity could save the industry up to $100 billion a year. If increasing productivity is key to long-term success, where do we start? By evaluating our workflows end to end from planning and design through execution identifying their inefficiencies and finding ways to optimize and then automate the processes. Digitization is already making an impact on the construction industry. Almost three-quarters of U.S. contractors report using Building Information Modeling (BIM) to create more accurate digital plans and develop more efficient processes. 3 Thanks in part to BIM, auto - mated and semi-automated technologies are also mak - ing inroads. In fact, these two technologies can work together to deliver even more value. BIMs digitized workflows, such as Hilti BIM-to-field solutions that layout drilling points and cast-in components like anchor channels, create a mine of construction data that robots can ac - cess and utilize. By simply following the BIM process, youre already creating a robot-friendly jobsite. Preparing for the future and the now Automated and semi-au - tomated machines are most useful when carrying out mundane, repetitive, or dangerous tasks that require accuracy or speed or that exceed reasonable human limitations. Using ro - bots to dig, drill, cut, weld, move heavy loads and pour concrete can help make jobsites more efficient, more precise and safer. Automation can help contractors attract digital-native candidates that otherwise wouldnt consider working in construction. The automotive and agricul - ture industries have already demonstrated that automation and digitization can signifi - cantly boost productivity. A similar transformation can benefit the construction industry, too. After all, its a relatively systematic and controlled industry, meaning its well positioned to take advantage of automation and digitization. JOBSITE AUTOMATION 3

There are always caveats. Some fear that automation will take jobs away from humans. But the industry is already facing a labor shortage and employment demand contin - ues to grow, with a shortfall of 430,000 jobs in 2021. 4 Automation could help ease that number, especially with low-skilled jobs that are hard to fill. The key is to combine human and robot talents, a concept known as collaborative robot - ics. For example, a robot still requires a human to manage its resources and program its tasks, even with BIM helping to streamline the process. Collaborative robotics can help extend the productivity of older workers who have huge experience but are strug - gling with the more physical aspects of construction. It can also help contractors es - pecially those competing for high-quality talent attract digital-native candidates that otherwise wouldnt consider working in construction. And as it stands, humans are still best suited for work that requires delicate, dexterous handling and improvised decision-making. Leave the tedious jobs that demand extraordinary speed, strength and accuracy to the robots. Sounds easy, right? 80 % of construction companies say they cant find the workers they need 5 30 % fewer young people working in construction from 2005-2016 6 45 % of construction professionals say they spend too much time on non-optimal activities 7 49 % of all construction tasks can potentially be automated 8 Specifically, automated and semi-automated robots can: allow humans to reallocate their time to more satisfying, high-value tasks perform strenuous or dangerous tasks that would otherwise threaten the health and safety of humans perform tasks in harsh conditions unsafe for humans reduce insurance costs by mitigating human risk work overnight to slash timelines help avoid rework due to human error Though the construction indus - try is typically a slow adopter of new technologies, automated and semi-automated robots are already in use around the world. Examples include: Boston Dynamics Spot, a mobile robot that easily navigates jobsite terrain to perform inspection tasks and collect data. Dusty Robotics FieldPrinter, which uses BIM data to print full-size floorplans straight onto the building deck. Canvas, an automated drywall finishing machine that has been used at San Francisco International Airport and Chase Arena. Hilti Jaibot, a semi-automat - ed cordless drilling machine for MEP and interior finishing installation work, especially overhead tasks, that can work for eight hours on a single battery charge. JOBSITE AUTOMATION 4

Acquiring a robot often means making a significant investment in both up-front costs and time learning how to use it and incorporate it into existing processes. When profit margins are low, spending hard-earned revenue on innovation seems risky. And when deadlines loom, no one wants to interrupt inefficient but functioning workflows even if the long-term benefits far outweigh a short-term need to just get it done. These fears could explain why only 25% of construction firms admit to having a digital strategy, and only 9% say theyre prepared for the digital revolution. 3 However, not embracing REFERENCES 1. Growth Opportunities in the Global Construction Industry. https://www.researchandmarkets.com/ reports/4439921/growth-opportunities-in-the-global-construction 2. Reinventing Construction: A route to Higher Productivity. https://www.mckinsey.com/~/media/ McKinsey/Business%20Functions/Operations/Our%20Insights/Reinventing%20construction%20 through%20a%20productivity%20revolution/MGI-Reinventing-Construction-Executive-summary.pdf 3. Technological Advancements Disrupting the Global Construction Industry. https://www.docu - mentcloud.org/documents/6838866-Ottinger-Minglani-and-Gibson-Technological.html 4. Construction Industry Needs Additional 430,000 Craft Professionals in 2021. https://www. contractormag.com/construction-data/article/21159144/construction-industry-needs-addition - al-430000-craft-professionals-in-2021 5. 80 Percent of Contractors Report Difficulty Finding Qualified Workers. https://www.agc.org/news/2019/08/27/eighty-percent-contractors-report-difficulty-finding-quali - fied-craft-workers-hire-0 6. Harnessing Automation for a Future That Works. https://www.mckinsey.com/featured-insights/ digital-disruption/harnessing-automation-for-a-future-that-works 7. Having Shed Young Workers, the Construction Industry Needs Change. https://www.buildzoom. com/blog/having-shed-young-workers-the-construction-industry-needs-change 8. Connected Construction: A Better Way to Build Together. https://construction.autodesk.eu/resourc - es/construction-connected/ 9. USG + U.S. Chamber of Commerce Commercial Construction Index - 2019 Q4. https://www. uschamber.com/report/usg-us-chamber-of-commerce-commercial-construction-index-2019-q4 10. Shaping the Future of Construction: A Breakthrough in Mindset and Technology. http://www3. weforum.org/docs/WEF_Shaping_the_Future_of_Construction_full_report__.pdf Its time to be bold technologies that can boost productivity is, well, not productive. Companies need to anticipate digital disruption and get ahead of it before their competitors do. Developing a digital strategy can begin with a simple ROI assessment any contractor able to analyze project data and predict costs can determine if a new tech solution has value. But companies also need to be bold, which means developing budgets and establishing KPIs that enable their project managers to try new technologies, like robotics, without fear of failure. Those that find ways to identify long- term productivity gains through automation will be far better positioned in the future. 29 % of construction companies report already investing in technology to supplement worker duties 5 $1.2 trn Within 10 years, full-scale digitization could save the non-residential global construction industry up to $1.2 trillion in the design, engineering and construction phases and $0.5 trillion in the operations phase 10 70 % of contractors say that advanced technologies could increase productivity (78%), improve schedule (75%), and enhance safety (79%) 9 JOBSITE AUTOMATION 5 FIND OUT MORE Hilti US | Hilti Canada US Customer Service 1-800-879-8000 | CA Customer Service 1-800-363-4458