Middle-market GCs and specialty trades are poised to drive contech adoption, alongside large-scale projects. At Krane, we’re committed to delivering simplicity, reliability, and ROI for all our customers. hashtag#contech hashtag#leanconstruction
Advancing Lean Construction and Innovation in the AECO industry | Magician 🎩🪄✨ | Contech Advisor | Target Value Delivery
Earlier this year, I did a post on the technology for IPD and PDB projects. And most people rolled their eyes because 99.9% of people will never work on a IPD or PDB project. Very few people will ever work on projects that range from 100M to 50B and that is okay. I think that the construction technology adoption will be driven by the middle market general contractors and specialty trades. Here is a rough definition of a middle market company. There are more than 10,000 middle market companies in the US that have between 50 and 500 employees. These companies sit below the ENR400 list. These GCs have less than 500M in revenue they typically do projects in the 50k to 30M range. These are regional companies that value their close nit culture and retain employees for years or decades. Projects at this range are simpler in nature. Most projects will be DBB or a negotiated GMP. 2D drawing still dominate this space and there are few 3D BIM models used. Some notable examples are O'Shea Builders, ANDRES Construction Services, and Shelco, LLC. These companies will be the main adopters of contech because they are at a scale where they need efficient software, want simplicity, and want a standard across all their projects. Some of the notable software categories that will be up for grabs are. 1. Estimating - Ediphi ZEBEL - Napkins To Numbers 2. Planning - Planera, Inc Outbuild Nialli Inc. Hoylu Touchplan inTakt lcmd Bosch RefinemySite Smartapp.com VisiLean Ltd Teamoty Touchplan 3. Supply chain - Krane 4. Work force management - Genda 5. Low code SOP - Quickbase 6. Reality Capture - Cupix FARO Technologies OpenSpace StructionSite (acquired by DroneDeploy) 7. White Boarding - Miro Mural 8. Project Management - Procore Technologies Fieldwire by Hilti Trello 9. AI meeting minutes - Cogram Otter.ai 10. Co-pilot AI - ChatGPT Perplexity Grok 11. 2D Coordination - Current Sets A company in the mid-market is seeking consistency, simplicity, and reliability. They do not have time to waste on fancy tech with an unclear ROI. They do not necessarily have a team technologically advanced enough for 3D or 4D modeling. The reason why this market will drive adoption and start-up growth is the sheer number of companies in this segment, over 10,000 scattered all across the US. I am very bullish on the "planning" market because I believe that there is enough meat for all of the companies listed above to do well. MS projects and P6 need to be replaced in this market and at this scale it is typically the superintendents that are ones doing the planning and running the project. Supply chain is especially critical in this market because the slim margins means that every delivery matters. Software tools for project management, estimating, workforce management, whiteboarding, reality capture, and AI all add a lot of value to this customer. #contech #innovation #leanconstruction
Advancing Lean Construction and Innovation in the AECO industry | Magician 🎩🪄✨ | Contech Advisor | Target Value Delivery
2wThe mid market is the long tail of the construction industry.