5 mins to read
Fleet Management for the Construction Industry 2024
Transform efficiency and productivity with fleet tracking technology...
Read moreThe construction industry is a key player in the global economy. In Australia, the construction sector represents the third largest industry, employing more than 1.2 million people and contributing a decent share, 9%, to the Australian GDP. (1)
This industry is facing important changes, along with opportunities that require a swift green and digital transition to get businesses ready for the upcoming challenges.
In the journey towards decarbonisation, the role of construction is crucial. This industry contributes to “6.8% of greenhouse gases (GHG) emissions globally” (2) and in Australia, “the construction industry is responsible for 18.1 per cent of the national carbon footprint, or more than 90 million tonnes of greenhouse gas emissions every year”. (3)
Additionally, the building sector in Australia “is responsible for one fifth of all emissions”(4) and “Australia’s building stock is estimated to double by 2050 based on the 2019 level” (5) therefore, construction companies have to make this sustainable switch to tackle the “climate emergency in Australia” (6).
With this in mind, leaders in the construction industry need to focus on reducing emissions, improving sustainability, productivity and efficiency. This will enable them to not only meet the carbon neutrality roadmaps, but also contribute to the competitiveness of their businesses. Innovative technologies such as asset tracking can make a huge impact to help improve results.
Let’s dive into what the future of the construction industry looks like:
Trend #1: The sustainable transition of the construction industry
One of the main focuses of the construction industry is reducing greenhouse gases. In fact, “the world’s built environment is responsible for 37 per cent of global energy-related greenhouse gas emissions. In Australia, it is responsible for one-fifth of all our emissions”(7).
In this sense, fleet management technologies like asset tracking can help reduce CO2 emissions and improve key areas of construction businesses. The large number of heavy diesel-engine equipment involved in the construction industry requires monitoring and a detailed overview of equipment utilisation and idling times to be able to improve fuel efficiency, utilisation and sustainability.
Small changes around fuel consumption can make a huge difference. According to research, “decreasing one hour idling time of middle-size construction equipment reduces approximately 3.8 Liters fuel consumption and around 6.85 kg CO2 emission production”(8). Additionally, it can support a large construction plant to help save fuel, reduce emissions and follow a sustainable roadmap to decarbonise the business.
The help of asset tracking technologies can further compound this positive impact. Our latest survey about Fleet Technology Trends in Australia and New Zealand 2024 revealed that:
51% of users of asset tracking technology in the construction sector improved sustainability and 33% of surveyed reduced CO2 emissions.
Trend #2: Reinforcement of team safety at the core of the business
The construction sector is one of the most challenging workplaces in terms of safety. This is as many teams, machinery, vehicles and tools work in the same area. Unfortunately, this also means that accidents are common.. According to Safe Work Australia’s research “in 2022, 14% of worker fatalities occurred in the Construction industry, a total of 27 fatalities” (9) and “in 2023, a total of 31”(10).
Findings of this research also highlighted that “in 2022 machinery operators and drivers accounted for the highest proportion of worker fatalities (38%). They also recorded the highest fatality rate at 8.4 fatalities per 100,000 workers”. (11)
Therefore, safety has to be a core focus for companies in the construction industry. Raising the bar on safety standards has to be a priority to mitigate the risk of accidents at the workplace. Fortunately, GPS asset tracking technologies can help. Here’s how:
Technology can help you to be proactive by monitoring daily operations, in near real-time, to remotely accompany your team, and in case of any emergency and eventuality, take action quickly, all which helps to keep your team safe.
Also, by setting geofences, we establish perimeters that can protect others from entering an area while other machinery is working or an area that is considered hazardous, contributing to a safe work environment.
The innovative technology of asset tracking can impact safety directly. In fact, our latest survey about Fleet Technology Trends in Australia and New Zealand 2024 revealed that:
59% of users of asset tracking technology in the construction sector improved safety.
Trend #3: Smart data of performance is a priority, not an option
Digitalisation of the construction industry is not an option for strong businesses that want to maintain their competitive position.
Technologies like GPS asset tracking can help streamline your fleet’s operations, making decisions based on smart data of your assets such as monitoring engine hours, see what assets are being used, which ones are unproductive and relocate them in order to help improve productivity, and avoid unnecessary equipment rentals.
In that sense, GPS asset tracking technology impacts key areas of construction businesses. In fact, the latest survey about Fleet Technology Trends in Australia and New Zealand 2024 revealed that:
59% of users of asset tracking technology in the construction sector improved equipment and asset utilisation and 62% improved efficiency/ productivity for drivers/workers.
Sources:
-
(1)https://labourmarketinsights.gov.au/industries/industry-details?industryCode=E
-
(2)https://www.unsw.edu.au/news/2023/09/embodied-carbon-in-buildings--a-new-frontier-in-greenhouse-gas-r
-
(3)Source)(https://www.unsw.edu.au/arts-design-architecture/our-schools/built-environment/our-research/clusters-groups/high-performance-architecture/latest-news/race-to-net-zero-carbon--a-climate-emergency-guide-for-new-and-e
-
(4-5-6)(https://www.unsw.edu.au/arts-design-architecture/our-schools/built-environment/our-research/clusters-groups/high-performance-architecture/latest-news/race-to-net-zero-carbon--a-climate-emergency-guide-for-new-and-e
-
(7)https://newsroom.unsw.edu.au/news/art-architecture-design/net-zero-australias-built-environment-possible-2040
-
(8)https://www.sciencedirect.com/science/article/pii/S1877705817317903?ref=pdf_download&fr=RR-2&rr=85132689fd5a4c52
-
(9)https://data.safeworkaustralia.gov.au/insights/key-whs-stats-2023#:~:text=The%20Agriculture%2C%20forestry%20and%20fishing%20industry%20recorded%20the%20highest%20fatality,9.5%20fatalities%20per%20100%2C000%20workers).
-
(10)https://data.safeworkaustralia.gov.au/interactive-data/topic/preliminary-fatalities-2024
-
(11)https://data.safeworkaustralia.gov.au/insights/key-whs-stats-2023#:~:text=The%20Agriculture%2C%20forestry%20and%20fishing%20industry%20recorded%20the%20highest%20fatality,9.5%20fatalities%20per%20100%2C000%20workers).