The Impact of AI on the Construction Industry

Technology

September 8, 2025

AI hype was immense at the end of 2022 with the launch of OpenAI’s GPT-3. At that time, much of the excitement came from expectations of what future generations of these large language models might achieve. Since then, AI capabilities have continued to develop and improve, but the mainstream hype has dropped away.

That doesn’t mean AI is less useful, far from it. It simply means the world has gone back to business as usual, while those working at the cutting edge are still pushing forward with development.

What Can AI Currently Do?

Right now, AI tools excel at tasks that are:

  • Process-driven – following clear workflows.
  • Repetitive – tasks done the same way, over and over.
  • Data-heavy – searching, sorting, analysing, or generating content from large datasets.

For example:

  • Documentation: drafting method statements, reports, or meeting minutes.
  • Data analysis: processing safety records, schedule updates, or budget variations.
  • Design support: generating concept alternatives, running clash checks, or testing optimised layouts.
  • Communication: writing emails, producing progress summaries, or translating technical notes into plain English.

These aren’t future promises – these capabilities exist now. The limitation isn’t technology, but the industry’s readiness to adopt it within existing systems, regulations, and workflows.

What Do I Think?

I’ve shifted back and forth in my views on AI’s value to project management and construction. The reality is that our industry is slow to adopt new systems. External accreditation, regulatory requirements, and pre-qualification processes lock in old ways of working. Overhauling them for untested technology is risky.

On top of that, people in construction are already working 50-60 hours a week. They don’t have the headspace to lead major process changes, even if the payoff could be significant. That’s why I believe AI won’t meaningfully change construction until new entrants adopt it at scale and its economic benefits become impossible to ignore.

That said, I see very little risk of AI displacing on-the-ground project managers or engineers in the foreseeable future. Why? Because these roles are not just about following process. They’re about judgment, coordination, negotiation, and leadership in complex, dynamic environments. AI can support those roles with better data and faster reporting, but it cannot replace the human awareness and decision-making required on a project site.

Yes, AI may reduce the admin burden. You may need fewer PMs or engineers to manage the same portfolio of projects. But that simply lowers overheads and allows more projects to be delivered; it does not mean a wave of mass redundancies.

The AI Revolution Will Follow the Template of Past Industrial Revolutions

I read a blog recently titled The Many Fallacies of “AI Won’t Take Your Job, But Someone Using AI Will”, which challenged that cliché.

The reality is more nuanced.

White-collar automation is already underway and will follow the template of the IT revolution. Before word processors, there were specialist typists. Once the software became mainstream, typists weren’t replaced by “typists with word processors” – the role disappeared because everyone became a typist.

AI will do the same for process-driven, repetitive white-collar tasks. It won’t just make specialists more efficient; it will make the specialism trivial. The role itself will dissolve into the broader workforce.

Blue-collar construction automation, by contrast, is much further off. Robots replacing on-site trades won’t happen until after fully automated vehicles have replaced truck, delivery, and taxi drivers, and even that is still years away.

What Do I Foresee?

For decades, construction has equated volume and thoroughness with quality – the longer the report, the more valuable it must be. But if AI can produce a 50-page report in minutes, the equation changes. The value shifts from length to clarity, from producing information to interpreting it.

And that’s exactly the pattern I foresee for the wider construction sector.

AI will first sweep through specialist back-office functions: Safety Assurance, Document Control, and PMO reporting. Consultants delivering these services will see short-term productivity and profit gains by adopting AI.

But businesses will quickly catch on. They’ll incorporate AI tools in-house and spread those tasks across existing staff. The economic value of those specialist functions will collapse, and those jobs will disappear.

That’s not necessarily a bad thing. It’s how capitalism and entrepreneurialism work. When a role stops creating value, resources are redeployed into areas the market still values, which in this case includes many roles in design, engineering, and construction that will still require human problem-solving, creativity, and coordination.

What Can You Do Now to Take Advantage?

If you’re in construction or project management, the key is not to ignore AI – it’s to start experimenting now.

  • Learn the tools: Familiarise yourself with ChatGPT, Copilot, or industry-specific AI platforms. Don’t wait until your company mandates it.

  • Automate admin: Use AI to handle repetitive tasks like drafting reports, preparing meeting notes, or producing client updates. Free yourself for higher-value work.

  • Integrate gradually: Start with low-risk applications, summarising lessons learned, cleaning up documentation, or creating standard templates.

  • Upskill strategically: The value isn’t in competing with “someone using AI.” It’s in making sure your expertise evolves as roles change. Learn how AI strips away admin so you can double down on the leadership, judgment, and problem-solving that will always matter.

You don’t need to rip out your entire system overnight. But you do need to build fluency with AI now, so that when adoption accelerates, you’re already ahead.

Wrapping Up

The hype may have cooled, but the technology has not slowed down. For construction, the change will be slower than in other industries, but it will come. Process-heavy specialist roles will be the first to fade, while leadership, engineering, and on-the-ground problem-solving remain critical.

The winners won’t be those who fear AI, nor those who blindly ignore it. They’ll be the ones who learn early, experiment with purpose, and position themselves as leaders in how AI is applied to construction.

AI won’t be building skyscrapers for us anytime soon. But it will change how we use data, how we reduce waste, and how we elevate people into roles that genuinely create value.

The question isn’t whether AI will change construction. It’s whether you’ll be ready to lead when it does.