Four months of 2024 have already passed us, but this does not mean that the construction industry has seen everything this year has to offer yet. If the sudden cross-industry adoption of AI has taught us anything, it is that innovative technology can make an impact at any time during the year. The construction industry specifically has reached a point where it must advance its digital adoption to meet profitability, efficiency and sustainability goals.
However, in the race to this adoption, the construction industry must not forget the potential risks associated with this technology. No matter how critical the adoption of these tools may be, their introduction has the potential to create new avenues for contract disputes, related to anything from planning permission to budget constraints.
So, while we highlight the 2024 technology trends still to come for the construction industry, I will also explore the potential legal implications of these trends, including the right protective action to take.
AI
AI’s versatility has already been proven within various industries. For construction, in particular, everything from design to health and safety assessments can be aided via artificial intelligence.
The main focus for 2024, however, is AI project management tools that can help track spending. Construction projects must keep track of direct costs such as labour and material costs, and indirect costs such as tools and equipment. AI can help to monitor these costs as they accrue and flag any errors before they impact the project.
In addition to this, there are many cases in which AI could prove to be very handy should disputes ever arise. For example, AI project management tools are able to keep a comprehensive record of contractual terms, if those terms are being adhered to and any other essential documentation that may be required to challenge a dispute.
Sustainable Materials
Substantial research and development are being invested in sustainable materials and methods in 2024. I have discussed in past newsletters how many ConTech start-ups are now beginning their journeys with a sustainable focus they hope to carry throughout the construction industry.
In aid of this, the construction industry can expect to see climate technology that is transforming concrete into carbon and storage solutions, creating reusable construction and building materials and wider adoption of 3D printing techniques. Technology is also being developed that will be able to provide real-time information about on-site progress.
There is the potential that these new materials could reshape legal approaches to commercial property, including sale and purchase and planning and environmental laws. With this in mind, it is vital that these sustainable materials and methods are adopted alongside the support of commercial property barristers and planning law barristers.
Industry Digitalisation
In some regard, every technology trend the construction industry should look out for in 2024 will come down to industry digitalisation. As previously mentioned, digital project management tools are already reducing risks and speeding up project completion. However, it goes far beyond this.
The construction industry is still one that relies heavily on paper records and documents. It goes without saying that this reliance has the potential to increase the risk of errors, the need for re-working and cost overruns, and that is without even going into the barrier it puts between the industry and sustainability.
Then, of course, there are the issues this can create should disputes ever arise. Having ease of access to all necessary documentation – including contract terms and communications – will significantly aid the adjudication process, as will having the right legal support.
At Mercantile Barristers, we have an in-depth knowledge and experience of commerce and industry. Our Direct Access Barristers specialise in Business Law, Company Law and Commercial Law that affect small businesses and are available to advise small enterprises on a broad range of business, corporate and commercial matters.