Opinion

Technology holds the key reducing risk and boosting efficiency

Paul Sheffield, Laing O'Rourke

I think everyone involved in designing and building infrastructure projects in the UK has been growing in optimism over the last two years.

But the memories of the devastating affects of the credit crunch in 2008 are never far away and there are constant reminders in the press of the things that could trip up the economic recovery that we are all enjoying.

Whether it is the looming election and the uncertainty that brings, or the renewed threat of  "Grexit" from the Euro, or the instability brought about by the fall in the oil price and trouble in the Ukraine, there are plenty of reasons to remain cautious.

"We have to find ways of doing more with less and for those of us who have continued to invest in technology such as BIM to design more efficiently, and to build off site in factory controlled conditions"

However, I think I can honestly say that I haven't seen as much opportunity in the UK marketplace at any time in the 32 years I have been in the industry. 

The fact that all the major political parties  are united in their support for infrastructure spending as an imperative for economic growth is a real bonus and the low interest rate environment that we have enjoyed (?) for a number of years is now encouraging the private sector to play catch up with the plans they have been holding back. 

The result is that for the first time in many years we have choices about who we want to work for and what terms we will accept - and this applies equally to consultants, suppliers, specialists and main contractors.  So, wo-betide those who abused the trust of their supply captain in the difficult years.

There is little doubt in my mind that the biggest challenge facing our industry in the next few years is a lack of skilled resources to be able to deliver the programme of work we see ahead of us. 

In the frantic years leading up to the credit crunch in 2008, we saw the same issues and a number of businesses were starting to research and invest in technology and modern methods of construction (aka - off site manufacture) but the crash came and in most cases investment dried up overnight - hastened by the near 50% fall in the cost of skilled labour on our projects.  We are now seeing strong growth in construction GDP with an even smaller pool of skilled people who are now costing more than ever. 

We have to find ways of doing more with less and for those of us who have continued to invest in technology such as BIM to design more efficiently, and to build off site in factory controlled conditions, we are starting to see that it de-risks our projects and we are (hopefully) seeing discerning customers prepared to pay for quality and certainty of delivery.

Paul Sheffield is managing director, European Hub at Laing O’Rourke