Tracking Infrastructure

The globe faces three major problems that impede the construction of adequate infrastructure over the next 20 years:

1. $94 trillion of investment is needed.
2. The construction industry is not presently equipped to address the need.
3. Government budgets are constricting investment and maintenance funding.

The construction of smart infrastructure will address these problems head on. It will also provide public benefit that will make 'dumb' infrastructure obsolete in the not-so-distant future.

There is a lot of talk about "smart" things, infrastructure included. But what does that really mean? We have recently released a new web report entitled The Promise of Smart Infrastructure. In it we answer this question and present the opportunity that smart infrastructure provides for addressing the investment gap that exists between current spending on global infrastructure and the (much greater) need for new investment over the next 20+ years. During the next few weeks we will offer a series of blog posts presenting sections of the report.

At the Smart Cities Connect conference in Denver last week there was discussion about how to make the most productive use of the enormous amounts of data that will be connected as cities implement smart city initiatives. Dell EMC's Chief Technology Officer, Rob Silverberg, said that cities should consider creating a singular data platform for collecting all data rather than  creating information silos that will ultimately need to share data. He suggested a "system of systems" strategy for creating a holistic smart transportation system rather than a series of individual initiatives... such as smart parking, smart lighting, etc.

This strategy is not unique to smart cities. With data collection and analysis becoming central to improved productivity, data centralization is critical to most industries these days. This includes the manufacturers that provide cities with their infrastructure.

Seattle just completed its SR 99 tunnel, a project that replaced the aging Alaskan Way Viaduct with a tunnel that runs under the city and offers substantially more protection to motorists against the effects of an earthquake. The Washington State Department of Transportation (WSDOT) bills the tunnel as "one of the smartest tunnels ever built".  It's no surprise, therefore, that WSDOT required that product data for the segments manufactured for each ring of the tunnel be captured and transmitted to the DOT in digital form. 

In its 2017 report, Reinventing Construction: A Route to Higher Productivity, the McKinsey Global Institute estimates that inefficiency costs the global construction industry over $1.6 trillion per year, primarily as a result of industry fragmentation. Diving a bit deeper, MGI further estimates that collaboration issues, supply chain management inefficiencies and lack of technology adoption combine to create about one-third of this inefficiency... about $500 billion dollars annually. These factors suggest that a reinvention of the construction supply chain will make a large impact on improving productivity.

This is the third post of a 3-part series that discusses how technology will affect the infrastructure product manufacturing industry. In the first we discussed why the construction industry will embrace the Internet-of-Things. In the second we presented the role that smart infrastructure products will play in the future of civil projects. In this we provide our vision for how technology will enable the industry to reinvent itself as new, more efficient competitors enter the market.

The movement toward 'smart cities' has developed momentum in the past few years as forward-looking city planners recognize that connected devices can provide value and create efficiency that was not possible previously. This will quickly become a driver for the construction of 'smart infrastructure' that collects the data. Of course, it will not only be cities that become 'smart'; states, regions and nations will all need smart infrastructure in order to take full advantage of the potential of connected devices... the Internet of Things (IoT).

This is the second of a 3-part series that discusses how the evolution of technology will affect the infrastructure product manufacturing industry. In the first post we discussed why the construction industry will embrace IoT. In this we discuss the role that smart infrastructure products will play in the future of infrastructure. In the third, we provide our vision for how technology will enable the reinvention of construction manufacturing in response to new, vertically integrated mega-firms.

IoT (the Internet-of-Things) has become a buzz-phrase that is thrown around a lot. It seems to be one of those phrases that is easy to shake off as a pipe dream offered by 20-something techies that will likely take decades to reach the floor of an infrastructure product manufacturing plant. (Perhaps, but don't get complacent.)

This is the first of a 3-part series that will show how the evolution of technology will affect the infrastructure product manufacturing industry. In this post we discuss why the construction industry will embrace IoT... and soon. In the second, we will discuss how smart infrastructure products will be demanded for projects. In the third, we will provide our vision for how technology will enable the reinvention of construction manufacturing in response to new, vertically integrated mega-firms.

It is the new year, a time that we all take stock about what has been and think about the future.  As we gave pause and reflected, a very clear (and, in hindsight, obvious) picture emerged: Before we know it, the manufacturing environment will experience the same relational shifts that we've seen with consumers since the early 2000s. (In this age of consumer technology, consumer adaptations always precede business adoption.) Here is what this means.

One of the most enjoyable elements of our work is that we get to visit precast plants. It is always enlightening to talk to the principals about how they manage their businesses and learn what they do to continually improve. Most often we hear about time- and cost-saving practices being applied to help their companies make more money in very tight bidding environments. Last week I traveled to AJ Foss (Farmington, NH), a very innovative, family-run company with a story of a slightly different twist.

GS1 is one of the most important underpinnings of commerce that you've likely never heard of. Over 5 billion scans are performed each day using GS1 standards for product tracking. GS1 is an international standards board with over 1 million members in 100 countries. We benefit from its impact with almost every product we purchase. And yet, it seems to work 'under the radar' for most of us. It's influence is now quickly moving into infrastructure product manufacture so we thought we would shed some light.