Business

3 Technology Gaps Holding Back Contractors in 2025

For customers looking to hire construction contractors in 2025, speed, precision, and cost are more important than ever.

Now that technology has opened up new opportunities and offers a greater scope for projects, customer expectations have risen rapidly. In fact, 87% of construction business owners agree that their projects are coming under greater scrutiny.

This change in landscape has been impossible to manage for construction businesses that are still using traditional strategies, as they are simply not able to compete with their more tech-savvy competitors.

In this article, we’ll share three of the biggest technology gaps that are holding contractors back in 2025 and what needs to be done to overcome them.

How Technology Gaps are Restricting Construction Growth

The gaps between tech-savvy construction firms and traditional ones are becoming more and more noticeable. Failing to adapt to the modern day can quickly become problematic, yet many businesses are still holding back.

Let’s discuss three of the most notable technology gaps that are being seen in 2025…

1. Lack of tool integration

One of the biggest challenges faced by construction businesses is the amount of administrative tasks that consume their day. Having to file paperwork, fill in spreadsheets, and plan schedules can quickly take contractors away from their main duties and cause delays. As well as being time-consuming, having to keep on top of various tools and software is bound to result in human error.

Nowadays, using construction management software is highly recommended. By combining workflows, construction businesses are able to manage all aspects of a project in one central place. From planning the project schedule to communicating with the client, managing everything in one software takes a lot of pressure off.

Switching to an all-in-one construction management software means that time is saved every day on those admin tasks that eat up time and create miscommunications across the team. If everyone is able to log in and have access to all of the timelines, documents, and conversations they need, the entire process will run much smoothly.

2. Unwillingness to change

Traditional construction processes are quickly becoming outdated and leaving businesses falling behind those who are adapting to the modern way of working. If they are not keeping up with technological advances and showing no interest in onboarding tools that can help streamline everyday processes, it will not take long for them to lose customers.

For many construction businesses, one of the biggest obstacles standing between them and the tools they need is the mindset of their employees. Many construction workers are so used to doing things the way they have always done them that it leaves them closed off to change.

Trying to find the right balance between employee satisfaction and technology implementations can feel like a mission impossible for construction businesses. Although it is important to make sure their workforce is happy at work, 91% of firms agree that their employees need to possess digital technology skills to be successful.

When it comes to implementing change, businesses need to make sure they manage their workforce correctly. By involving employees at every step of the way to get their feedback and discuss the benefits that the new technology could bring to their everyday duties, people are more likely to respond positively and see why the change is being made.

3. Not utilizing AI technology

Artificial intelligence (AI) is becoming a staple in almost every industry, and the construction industry is no exception. From making data-driven decisions when budgeting for a project to planning out the project schedule in the most efficient way, there are endless ways that AI is being used within construction businesses nowadays.

The time and cost-saving capabilities are becoming undeniable, and 47% of leaders in the construction industry now say AI proficiency will be a top hiring priority in the next few years. Having employees who are able to utilize the technology in their everyday duties means that they can speed up their daily operations, increase accuracy, and maximize productivity.

To close the gap and encourage more contractors to adopt AI practices, consistency needs to be established within a business. By managing all aspects of a project in one central place and ensuring that any time logs are submitted through the right tool, not only is the process more efficient, but AI tools can be integrated to make data-driven decisions and adjust schedules based on the real-time progress of a project.

Why Technology is So Important for Contractors in 2025

As technology becomes more prevalent in all aspects of life, customer expectations are rising, and competition becomes tougher. Within the construction industry, there has become a notable gap between the capabilities of companies that are utilizing the tools available to them and those that are not.

For contractors, now is the time to adapt to the new standard, or risk falling behind. As well as maintaining a competitive service offering that attracts new customers, it is a way to transform the way the business operates. It gives the option to save time and money every day while being able to make data-driven decisions in seconds – a no-brainer, right?

 

Hillary Latos

Hillary Latos is the Editor-in-Chief and Co-Founder of Impact Wealth Magazine. She brings over a decade of experience in media and brand strategy, served as Editor & Chief of Resident Magazine, contributing writer for BlackBook and has worked extensively across editorial, event curation, and partnerships with top-tier global brands. Hillary has an MBA from University of Southern California, and graduated New York University.

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