As the demand for sustainability, efficiency and cost savings increases, methods of purchasing building materials are evolving
The success of any construction project depends on the availability of the right materials at the right time, and building materials procurement will need to overcome the challenges it currently faces, integrate new technologies, and adopt effective supplier management to ensure the continued success of the industry. .
Although many contractors are already adopting digital solutions to address these issues, this adoption must accelerate to secure the future of the construction industry and ensure seamless project delivery.
Current challenges in purchasing building materials
Ongoing industry challenges include delays, cost overruns, and inefficiencies. A lack of transparency within the supply chain, coupled with manual processes, negatively impacts project timelines and causes costs to escalate. These challenges highlight how important innovation is in material procurement.
Technology will transform the material purchasing process
Incorporating new technologies into the material procurement process will address many of the challenges facing the construction industry. Digital technology has the potential to enable seamless collaboration, real-time data insights, and improve efficiency across the supply chain.
Technology integration will replace traditional, paper-based, manual, and time-consuming processes with centralized procurement dashboards, greater visibility into procurement activity, cost savings, and enhanced reporting capabilities.
At The Build Chain, we have created a digital procurement solution for UK SME contractors and housebuilders that is quick and easy to implement. It is designed to move procurement professionals away from traditional methods of sourcing materials to improve efficiency and better prepare construction companies for the future.
Digital technology will support increased sustainable purchasing practices
There is increasing pressure on construction companies to prove what they are doing to reduce their environmental impact, and legislation relating to reducing carbon emissions is likely to be introduced in the coming years.
Therefore, building materials procurement has the opportunity to adapt and play a major role in the sustainable transformation of the industry. There are two main areas where changes will occur: the nature of the materials themselves and the distance the materials must travel to reach the site.
Going forward, construction companies will need to do more to choose local suppliers on their sites to reduce the carbon emissions associated with delivering materials to site.
Sustainable products will also increase in popularity. This includes things like recycled or reclaimed materials, renewable materials, and high-performance insulation.
Again, digital solutions will make a big difference in this area. At The Build Chain, we use mapping technology to connect contractors with suppliers local to their locations so their materials don't have to travel far.
We have also built a platform where manufacturers can showcase the work they are doing to improve the sustainability of their products, as well as showcasing any certifications they may have in this area, such as EPD ratings.
Using digital technology to manage supplier relationships and flexible supply chains
Effective management of supplier relationships is a critical component of material purchasing. Contractors who invest in robust supplier relationship management strategies will reap benefits such as timely delivery, access to high-quality materials, and greater security in difficult economic environments.
Transparent communication and shared goals will contribute to a more reliable supply chain, ensuring the smooth operation of construction projects.
We are already seeing a shift toward local sourcing, diversified suppliers, and contingency planning to mitigate risks and ensure continuity in the face of unexpected disruptions.
By adopting digital procurement solutions, contractors can accelerate their efforts to improve supplier relationship management and build resilient supply chains. Solutions like The Build Chain can be used to quickly and easily find new suppliers to remove reliance on a small number of existing suppliers, and with features like live chat within the platform, it's possible to build those important buyer-supplier relationships.
Looking to the digital future
The future of construction materials procurement will see contractors adopt new technologies, build strong supplier relationships, and prioritize sustainability. Efficiency, transparency and cooperation will improve. Organizations that embrace digital technology will be better positioned to thrive in the ever-evolving construction industry.
At The Build Chain, we are proud to play a role in helping the construction industry shift towards digital ways of working to improve the industry's resilience and help it meet current and future challenges.