Challenges In Construction Sector
Challenges In Construction Sector
The construction industry is the second largest industry of the country after agriculture. It makes a significant contribution to the national economy and provides employment to large number of people. The use of various new technologies and deployment of project management strategies has made it possible to undertake projects of mega scale. In its path of advancement, the industry has to overcome a number of challenges. However, the industry is still faced with some major challenges, including housing, disaster resistant construction, water management and mass transportation.
1) Lack of Transparency:
Construction sector is known for its lack of transparency. Anyone who wish to construct a house-fears for felling in trap of being cheated. Construction sector being mostly unorganized, there exists no proper system for pricing with builders charging customers with unfair prices without any rationale. Also, there exists huge price gap between initial estimated cost and the final actual amount.
2) Lack of Digitisation:
Construction sector is largely run by contractors who relies on one-to-one meetings and do not use digital medium. This created digital and knowledge gap among contractors. Also, there is loss of potential clients in terms that the customers who lives at different location from their plot has no means to connect to the builders for construction.
3) Lack of Client Satisfaction:
business. But the construction sector faces trust deficit by customers on
builders. This is mainly because the builders do not deliver what they
promise in terms of quality, time and money. Also, there is no involvement
of the stakeholders during the construction of project. Neither there is
proper information system about the progress of the projects. So, there is a
need of clarity and customer awareness by trust building and timely
delivery of projects.
4) Sub-optimal Material:
the strength of buildings and also its longevity. But this in India is mostly
left on the mercy of builders. Builders in turn use sub-optimal material to
lower the cost of construction and increase their profit. Compromising
with the material leads to poor construction of building and cracks and
leakages at early stages. This ultimately leads to unsatisfied customers
who feel cheated even after spending huge amount of money.
5) Delays in Construction:
is a major failure of Indian construction industry. This leads to escalation
in cost as well as dissatisfied customers. The delays maybe due to various
reasons including lack of funds expenditure, labor delays, lack of
mechanization or government approval delays. But ultimately this leads to
extension in delivery time. Also, the customer is not able to track the
progress of completion of buildings on regular basis and remains in dark
about the construction time.
6) Reduced Investment in The Real Estate Sector:
several job losses and a reduction in wages. Consumers of the real estate
sector are hesitant to invest in construction projects. The number of buyers
has reduced considerably. Besides the need for commercial buildings has
lessened due to the “work from home” policies enforced by the majority of
the companies and firms.
7) Environment Preservation:
project is to ensure the preservation of the surrounding environment. In
India, it is tough to maintain soil erosion and degradation. The reason
being mainly floods, droughts, soil alkalinity, aridity, and salinity. Besides
air and water pollution levels are still not within controllable limits in the country. Urbanization in major cities has decreased the soil quality, impacting the environment.
8) Effect Of Natural Disasters:
Natural disasters and hazards are unpredictable and uncertain in the climatic conditions of India. Hence site selection is an important factor in construction projects. Even if sites are in close proximity of raw materials the fact that they are located on a flood prone or earthquake prone areas, reduces the chances of being shortlisted for construction. Moreover, buildings need to be planned, designed, and constructed in such a manner enabling tolerance of natural disasters. Cumulatively this increases the expenses and costs of the constructions.
9) Skilled Manpower:
The availability of skilled manpower at different stages of construction is sometimes a concern. Especially during pandemic situations, the crisis rises leading to delay in the proposed deadline of the projects. Besides lack of training provided to the construction workers further hampers the timeline and quality of the constructions. Focused attention is needed to speed up the skills and knowledge level of the workers.
10) Need of Multiple Clearances:
demands multiple clearances from various designated authorities. Electricity, pollution control, environment preservation, land, services, and utilization, etc. are the various areas where clearances are mandatory. Even if the builders complete the construction work within the planned time-frame yet delay in obtaining the clearances may need to delay in handing over the projects to the buyers.
Conclusion:
The above challenges have been impacting the progress of the construction industry in India. The need of the hour is to mitigate the challenges by introducing modernization and scaling up the labor force. In the years ahead, the construction industry in India has to overcome various challenges - be it with respect to housing, environment, transportation, power or natural hazards. Technocrats associated with the Indian construction industry need to employ innovative technologies and skilled project handling strategies to overcome these challenges. The gains of large investments in the mega-projects eventually will give it back to the construction industry itself in the form of better economy and improved work conditions.
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