Report: Heavy building materials sector lagging behind in digital transformation

Updated Dec 20, 2018

Command Alkon Construction Is Lagging In Digitization - Let's Get Unstuck white paperAccording to a newly published white paper from Command Alkon and Adelante SCM, the heavy building materials sector is lagging behind other industries in digital transformation, Aggregates International reports.

The paper, Construction is Lagging in Digitization – Let’s Get Unstuck, defines digital transformation as taking action to: eliminate waste from the value chain; break down the silos between functional groups and IT systems; integrate electronically with all trading partners; treat data as an asset; and leverage network-based business intelligence, optimization, and analytics tools to convert data into actionable intelligence.

It assesses the challenges of digitalization, strategies for successful process changes, and recommendations and guidance for companies that want to move into the digital age.

“The Heavy Building Materials industry has unique challenges for contractors, DOTs [departments of transportation], haulers and material suppliers, with added complexities ranging from new tariffs on building materials, higher customer expectations, and increased regulations and compliance,” said Command Alkon Chief Revenue Officer Craig Tate, according to the news agency. “Paper-based processes can slow the job cycle, leading to missed deliveries and untimely payments. We are in an age where processes involving ordering, delivery, and payment of materials need to be automated to drive efficiencies and provide visibility to all stakeholders.”

“It’s important for trading partners to integrate electronically to provide a shared, common platform to digitally capture information that can be analyzed for what is happening to make continual improvements across the HBM supply chain,” said Adelante SCM President Adrian Gonzalez, according to the news agency. He added that the opportunities digitalization offers for improvements in cost savings, productivity, and customer service are greatest in the heavy building materials industry because of the amount of manual, paper-based processing that takes place.