This post is an excerpt from the paper, “Industrialization of the Construction Industry,” by Dr. Perry Daneshgari and Dr. Heather Moore of MCA Inc.
A monumental and historical study conducted by the National Research Council of the National Academies on behalf of NIST outlined the challenges and obstacles facing the construction industry.
Fragmentation of the Industry
“The sheer number of construction firms (760,000 in 2004) and their size—only 2 percent had 100 or more workers, while 80 percent had 10 or fewer workers—make it difficult to effectively deploy new technologies, best practices, or other innovations across a critical mass of owners, contractors, and subcontractors.
The industry is also segmented into least four distinct sectors—residential, commercial, industrial, and heavy construction.
Click to tweet: “Construction is fragmented: only 2%
have 100+ workers while 80% have 10 or fewer.”
