2023 Q3 Quarterly Insights
At IBC, we’re always looking to what’s ahead to help drive the success of our projects and the growth of our company. The construction industry in Kansas City is experiencing steady growth, driven by several key trends. In this report, we’ll discuss the top trends shaping our industry in 2023 and beyond.
#1 Emphasis on Safety
Safety has always been a top priority in the construction industry, but recent years have seen a renewed emphasis on safety practices. In Kansas City, we’re seeing construction companies—IBC included—implement stricter safety protocols, such as increased use of personal protective equipment (PPE) and worker training programs. Additionally, wearable technology, such as smart helmets and safety vests, are becoming more common on job sites to monitor worker safety. By prioritizing safety, construction companies can create a safer work environment for their employees and minimize the risk of accidents and injuries on the job site.
Stricter Safety Protocols
Increased Use of PPE
More Training Programs
Wearable Technology
#2 Focus on Skilled Labor Shortage
The construction industry in Kansas City, like many other regions, needs more skilled labor. This shortage has led to increased labor costs and longer project timelines. However, things are looking up. According to a recent economic impact analysis released by AGCA, the region is seeing an uptick in jobs thanks to a spike in construction activity in the metro area. Local construction employment jumped 16% from April 2020 to a record high in April 2022, accounting for 6.3% of the total employment in Kansas City.
The AGCA’s analysis also found that the KC construction industry directly employed 58,800 people and supported an additional 83,000 jobs in the bi-state region.
Although the labor shortage situation shows signs of improvement, today’s construction companies must continue to invest in their employees and seek innovative solutions to gain and retain skilled workers.
#3 Increasing Use of Technology
The construction industry is becoming more tech-driven, and companies that fail to adopt technology risk falling behind. In Kansas City, we’re seeing a growing use of Building Information Modeling (BIM), drones, and other technologies to improve efficiency and accuracy in construction projects.
Augmented Reality (AR) and Virtual Reality (VR) technologies are increasingly used in construction to enhance project visualization, improve collaboration, and streamline communication.
The global AR and VR in the construction market was valued at $1.22 billion in 2019 and is projected to reach $10.19 billion by 2027, according to a report by Allied Market Research. By leveraging these technologies, construction companies can streamline operations, reduce costs, and deliver projects faster and more precisely.
#4 Growing Demand for Sustainability
There’s a growing demand for sustainable building practices, and companies that embrace sustainability will likely have a competitive advantage. In Kansas City, we’re seeing more green building projects that use environmentally friendly materials and construction practices to minimize environmental impact. The number of buildings certified under Leadership in Energy and Environmental Design (LEED), a green building certification program, is growing exponentially.
As of 2021, there were over 100,000 LEED-certified commercial buildings in the U.S., and more than 2.5 million square feet of space were certified daily, according to the U.S. Green Building Council. These statistics confirm the growing demand for sustainability in construction. By adopting more green practices, construction companies can reduce their environmental footprint and appeal to clients who value sustainability.
So, what’s the takeaway?
Overall, the construction industry is evolving to become more efficient, sustainable, and safe, focusing on innovation and technology to meet future challenges. By staying current on these trends and adopting new technologies and practices, construction companies can remain competitive and succeed in the marketplace.
