New research from Dodge Construction Network and Contruent, published in the Digital Maturity of Project Controls for Owners SmartMarket Insight, reveals that while owners are heavily invested in digital project controls and cost management, those advancing toward more integrated, real-time project controls are achieving significantly better cost, schedule and delivery outcomes.
The study examined the digital maturity of 10 owner project and program management functions, including preconstruction activities like estimating, procurement and contract administration, construction management functions like cost, schedule, resource and field management, and portfolio management activities like risk and change management, and reporting and analytics. The study only included owner organizations that spend at least $100M on capital construction annually, with a range of public and private owners included.
Digital Maturity Varies by Function
The study measured the digital maturity of each function based on the following criteria:
- General expertise
- Use of specific digital tools and processes
- Level of sophistication of digital systems being used (from spreadsheets to commercial tools to a platform solution)
- Degree of integration of processes and workflows across their organization
- Access to real-time data for that function.
Maturity scores range widely, with estimating, procurement, contract administration and resource management the least mature and cost management and reporting/analytics the most mature. The most important differentiators between the most mature functions and least mature ones are the degree of investment in institutionalized, enterprise-wide optimized processes, access to real-time data and the use of a platform solution to support both of those elements.
“Even for relatively immature functions, the scores for use of digital tools and processes are quite high, demonstrating that owners are increasingly relying on digital solutions,” says Dr. Donna Laquidara-Carr, Industry Insights Research Director at Dodge Construction Network. “But they are still operating in silos of excellence, rather than fully integrating their data, and that puts a ceiling on the benefits they can expect.”
Investment in Digital Maturity Leads to Better Processes and Outcomes
The study also created a score for the digital maturity of the respondent organizations, based on the same set of criteria. While most owners’ scores are at least at a moderate level, very few are widely integrating functions and systems or utilizing real-time data. Therefore, to better understand the impact of digital maturity, the respondents with the top-10 highest maturity scores were compared to the rest, and the findings are striking:
- Ability to Address Challenges Rapidly: 80% of the top-ten owners can generate data within hours (rather than days) when cost or schedule issues arise, compared with only 13% of the rest of the respondents.
- Staying on Budget: 90% of the top ten see 75% or more of their projects completed on/under budget, compared with 33% of the rest.
- Staying on Schedule: 40% of the top ten see 75% or more of their projects completed on schedule or earlier, compared with only 5% of the rest.
“Many of the factors that impact budget and schedule these days are outside the control of owners or contractors, including fluctuating materials costs and labor shortages,” says Jason Rupert, CEO of Contruent. “The unpredictability of these factors makes owners’ digital maturity even more important for achieving reliable project outcomes. Those with integrated processes and real-time data can react more quickly and keep their projects on track.”
Complexity of Implementation Is the Top Challenge to Increasing Digital Maturity
Fewer than 10% of owners believe that budget constraints prevent investment in technology, that suitable tools are unavailable, that leadership lacks support for digital maturity or that their current processes are adequate.
Instead, the greatest challenge is implementation itself: integrating disparate organizational workflows, overcoming staff resistance to change and connecting new tools with legacy systems.
“The technology is only half the battle. What we’ve learned from our customers is that successful digital transformation depends just as much on implementation expertise,” says Karl Vantine, Chief Customer Officer at Contruent. “Owners are often trying to connect complex workflows, legacy systems and multiple project teams all at once. That’s why we pair configurable, integrated project controls with a team that understands how capital projects operate. That combination is what helps owners get up and running faster and start seeing real results.”
About the Study
The Digital Maturity of Project Controls for Owners SmartMarket Insight is based on a nationwide survey of large owner organizations in the US.
For more information or to download the full report, visit www.construction.com.
About Dodge Construction Network
Dodge Construction Network harnesses data, analytics, and industry connections to be the leading source of insights and opportunities in the commercial construction industry. With five trusted solutions – DCC, The Blue Book, Sweets, IMS, and Principia – Dodge connects construction professionals across all stages of the building process. Designed for both small teams and large enterprises, these tools simplify complexity, empowering you to build thriving businesses and communities. With over a century of experience, Dodge Construction Network is the catalyst for modern construction. To learn more, visit construction.com.
About Contruent
Contruent is the lifecycle cost management solution that empowers owners and engineering & construction firms to deliver complex capital programs and megaprojects with greater precision and speed. Contruent integrates cost and scheduling into a connected project controls platform designed to improve visibility, forecasting and project outcomes across the full project lifecycle.
For more information, visit www.contruent.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260602410646/en/
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