Contractors, Insurers Expect IoT Tech to Improve Construction Risk Management

Study by Dodge Data & Analytics and Triax Technologies shows top
drivers for IoT adoption are reduced costs, greater employee
productivity, improved safety records

NEW YORK–(BUSINESS WIRE)–A new study released by Dodge
Data & Analytics
, in partnership with Triax
Technologies
, a leading provider of technology for the connected
jobsite, finds that while contractors continue to struggle with
construction site risks, they recognize the benefits of using IoT to
mitigate them. According to the report, Using
Technology to Improve Risk Management in Construction SmartMarket Insight
,
nearly three-quarters of respondents believe IoT will help them
control occupational risks, and about half expect it to reduce risks to
the public, as well as financial risks and those related to property
damage and construction defects.

The study found that the top motivator for adopting IoT technology is
the possibility of lowering insurance premiums (67 percent), followed by
recovering lost time due to incidents and winning more work because of a
strong safety record.

“These findings are encouraging and confirm what we’ve suspected: that
contractors and insurers alike see the value in leveraging IoT
technologies to help collect, analyze and act on risk management data,”
said Pete Schermerhorn, President and CEO, Triax Technologies.

“Contractors are often a skeptical audience, keeping a close eye on the
bottom line,” says Steve Jones, Senior Director of Industry Insights
Research at Dodge Data & Analytics. “But when they see something that
will improve their projects and their profitability, they embrace it.
Their enthusiasm for IoT technologies suggests that we may see the
project jobsite become much smarter in the next few years.”

Respondents report that they are actively collecting key data, and more
importantly, using the insights to further their safety and risk
practices. More than half of the participants report that they digitally
gather (54 percent) or analyze data (59 percent), while 77 percent
report that they act upon key safety and risk insights.

However, the study revealed budgetary challenges to tech adoption. Only
10 percent of contractors report a dedicated innovation budget and when
it comes to funding new risk-reducing technologies, most contractors
either plan to absorb the costs in anticipation of long-term gains (44
percent) or pass on the costs (32 percent).

“These findings highlight an important opportunity to shift the industry
towards reliance on objective, empirical data,” said Schermerhorn. “The
ability to measure risk is fundamental to managing it, especially in the
fast-moving construction environment. It’s essential that contractors
dedicate budget and resources to unlock actionable safety and risk
insights that can drive improvement in these areas.”

As part of the study, in-depth interviews were conducted with insurers,
who agreed that real-time site monitoring can have a high level of
potential for reducing risk onsite but that reductions to contractors’
premiums based on technology adoption are unlikely until there is enough
actuarial data on the impact of those technologies. However, instituting
a cost-sharing program with clients for specific technologies was raised
as a possibility, as well as potential savings that contractors could
realize from reduced deductible costs and fewer claims.

Download the full SmartMarket Insight for free at www.triaxtec.com/riskreport.

About Triax Technologies, Inc.: Triax Technologies, Inc. develops
and delivers Internet of Things (IoT) solutions for the construction
industry. Its flagship Spot-r system connects workers, equipment and
managers through a proprietary, minimal infrastructure network, sensors
and a cloud-based dashboard. By providing real-time, data-driven
visibility into daily site operations and safety incidents, Spot-r is
changing the way construction companies manage resources, information
and risk. Triax develops intelligent, actionable solutions that address
the complexities of an active jobsite, and helps firms streamline
processes and build safer and smarter. More information can be found at www.triaxtec.com.

About Dodge Data & Analytics: Dodge Data & Analytics is North
America’s leading provider of analytics and software-based workflow
integration solutions for the construction industry. Building product
manufacturers, architects, engineers, contractors, and service providers
leverage Dodge to identify and pursue unseen growth opportunities and
execute on those opportunities for enhanced business performance.
Whether it’s on a local, regional or national level, Dodge makes the
hidden obvious, empowering its clients to better understand their
markets, uncover key relationships, size growth opportunities, and
pursue those opportunities with success. The company’s construction
project information is the most comprehensive and verified in the
industry. Dodge is leveraging its 100-year-old legacy of continuous
innovation to help the industry meet the building challenges of the
future. To learn more, visit www.construction.com.

Contacts

Media:
Nicole Sullivan
AFFECT Public Relations & Social Media
+1-212-398-9680
[email protected]

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