Investing in data strategy is key to unlocking AI in construction

AU Financial Review

29-05-2025

With projects increasing in complexity and scale, companies are turning to digital platforms to consolidate their data, improve workflow management and make better decisions.
But to reap the full benefits of AI, construction firms need more than just raw information - they need organised and accessible data that is seamlessly integrated into their daily operations.
'What we're doing now is using our learnings to add AI in a way that improves how our customers work, ensuring they have a robust data approach that underpins AI-driven decision-making,' says Skelton.
The ability to quickly access accurate project information is critical. Many construction teams still spend excessive time searching for documentation instead of focusing on core tasks.
Procore's industry transformation leader, Andy Rampton, says Procore research found that inefficiencies in data retrieval cost businesses valuable time.
'We surveyed over 1000 construction companies across all project types and stakeholders, and what we learned is that 18 per cent of their time was spent looking for documentation,' he says. 'That's almost a fifth of a working week that they effectively waste trying to find information.'
Much of this information sits across multiple platforms, including communication tools, such as email, finance systems, design applications and construction management software, making retrieval cumbersome.
'On a typical project much of the information is spread across multiple applications that have traditionally been used in parallel with construction management tools, like Procore's own platform,' Rampton says.
'So what we try to do in our approach to delivering AI to construction is solve the problem of wasted time spent searching for documentation in those multiple systems.'
Building a seamless data ecosystem
The success of AI in construction depends on the ability to, as far as possible, standardise data across different projects and then consolidate it within a central platform. Procore's approach ensures that information is captured in an organised way from the outset, allowing AI to extract meaningful insights without the need for manual intervention.
'Because we are built on a single structured data platform, every piece of information entered into Procore is automatically configured in a way that allows AI to extract insights without needing to clean or reorganise the data,' says Rampton.
Ensuring data is collected in a uniform manner also reduces errors and enhances collaboration across teams. Rampton says a key focus is making sure construction workers can easily input and access project information.
'We want to ensure that we can design a solution that allows construction workers to continue their work on-site or at head office without disrupting their process, making it easier for them to communicate, collaborate, and share data,' he says.
AI in action - practical benefits on site
While AI is often associated with futuristic applications, its real power in construction lies in practical, day-to-day efficiencies.
'As we're defining what the new world looks like for construction with the rapid acceleration of AI, we want to make sure that, first and foremost, it is practical, it is able to be used by our customers day in, day out,' says Rampton.
This means embedding AI into workflows in a natural and intuitive way, avoiding unnecessary complexity, and helping customers define the questions that AI will address.
Procore's AI tools are designed to surface critical information when and where it is needed, supporting accurate and efficient decision-making, without requiring workers to sift through vast amounts of data manually.
'We want to make sure that we can leverage AI to access key information on job sites, to surface information from various different data sources, and present that information in a way that saves time and helps deliver successful project outcomes,' Rampton says.
The role of mobile-first technology
One of the most significant shifts in construction technology is the move towards mobile-first solutions. Rather than relying on traditional office-based systems, workers can now input and retrieve data in real time using smartphones and tablets.
'Procore's mobile-first capabilities is one of the key ways the platform captures and uses data effectively. Workers on-site can use their devices to input and access data in real time,' says Skelton.
This shift is helping bridge the gap between office teams and on-site workers, ensuring data flows freely between all stakeholders.
'The way the industry builds is changing. People on-site and in the office need a system that allows seamless data sharing between both, and with the extended supply chain,' Skelton says.
By making AI-driven insights available on mobile devices, companies can make faster, more informed decisions without delays.
'Our mobile-first approach makes it easy for workers to capture data on-site, in real time, without slowing down their work or requiring additional tools or systems,' says Skelton.
A sophisticated data strategy is no longer optional in construction - it is essential for maximising AI's potential and driving better project outcomes.
Adrian Gilmore, contracts manager at Alchemy Construct, has seen firsthand how structured data can unlock AI-driven insights, transforming decision-making and efficiency on-site.
'AI is only as good as the data it's built on. A well-structured data strategy ensures that we're collecting, organising, and storing data in a way that AI can actually use. It's not just about having data; it's about having the right data and in the right format,' Gilmore says.
'This approach allows companies to move beyond reactive decision-making and instead use predictive analytics to anticipate challenges, optimise resource allocation, and improve project performance.'
Having a unified data strategy is particularly crucial in construction, where multiple stakeholders generate their own data. Gilmore says breaking down silos and making insights accessible to all parties is a game-changer.
'A comprehensive data strategy fosters a culture of data-driven decision-making. AI can integrate diverse data streams, providing a complete view of project status and performance,' says Gilmour.
Procore's data management framework has been instrumental in enabling Alchemy Construct to leverage AI-driven insights.
'Procore consolidates all our project data - drawings, budgets, quality reports, and more - into one platform,' says Gilmour.
'This centralisation is critical for AI because it eliminates the need to chase down data from isolated systems or spreadsheets. With Procore, we can feed clean, standardised data into analytic tools, which then deliver insights we can trust.'
Despite the benefits of AI and data analytics, Gilmore acknowledges the industry's challenges in standardising and integrating data.
'One of the biggest hurdles we faced was getting everyone using the platform. Subcontractors, for example, often have their own ways of tracking data, and integrating that into a centralised system can be a challenge.'
Alchemy Construct has tackled these challenges by focusing on training and change management. 'We've worked hard to create a culture where data is seen as an asset, not a burden,' says Gilmour.
Looking ahead, Gilmore is excited about AI's potential to automate decision-making in construction. 'AI agents are a game-changer. These systems don't just provide insights but take action on your behalf - whether it's adjusting schedules, ordering material, or flagging safety risks,' says Gilmour.
'This level of automation will make how we manage projects significantly more efficient, freeing up time for strategic decision-making.'
AI's integration into design, estimating, and procurement is another development Gilmore is closely watching.
'Once fully integrated with AI, these areas will vastly improve the accuracy and efficiency of the construction lifecycle. We'll see fewer delays and more stable project costs,' says Gilmour.
'Right now, these aspects require significant manual input, which naturally leads to human error under tight deadlines. The old saying still holds true - time is money - and AI will help us save both.'
Emerging technologies like augmented reality (AR) will also have a major impact, Gilmore says.
'AR allows workers to visualise project plans in real time on-site, minimising errors and clashes. That means cost savings and fewer delays. The potential is enormous,' says Gilmour
Gilmore believes that companies investing in data strategies and AI today will have a significant competitive advantage in the future. 'The construction sector has been slow to adopt technology, but the tide is turning,' he says.
'Companies that invest in data strategies and AI now will be ahead of the game. It's not about replacing people; it's about empowering them with the tools to do their jobs better.
'At Alchemy, we've seen firsthand how adopting technology improves our everyday tasks, and I encourage others to take the leap.'