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The State of Construction Operations in 2025
What's top of mind for contractors in 2025? We wondered the same thing. That's why we went to the World of Concrete tradeshow and spoke directly with construction professionals. Their answers uncovered the biggest operational roadblocks to watch out for and the strategies they’re planning to implement to get ahead. And we've compiled our findings into our comprehensive 2025 State of Construction Operations report.
Packed with actionable insights, this report will help you understand the construction landscape today and see how you can make moves to improve your operations this year. So let’s jump right in.
What's holding construction teams back?
When we surveyed contractors last year for our 2024 Construction Trends and Challenges survey, it revealed that tool and equipment loss was the number one operational challenge for the industry. And this year? It keeps its spot at the top. But it looks like things are changing for the better.
Last year, 41% of folks flagged asset loss as their biggest operational problem. Fast-forward to this year, the number has been nearly halved to 22%. The sharp decline suggests many businesses faced the issue head-on and adopted solutions such as wireless tracking or GPS to monitor inventory.
Resource Having a hard time keeping track of your tools and equipment? Check out the four best asset-tracking technologies from last year and find out which one is right for you. |
But with progress, the spotlight is now shifting. Real-time visibility and workforce productivity have now taken the silver and bronze medals for the biggest operational challenge in 2025. Here's why:
Gaps in real-time visibility
Construction at all stages relies on precision. However, it is hard to keep track of all the moving pieces across the field, warehouse, and back office. From our experience working with construction businesses for over thirty years, we've seen two big things come in the way of operational visibility:
1. Paper-based processes: the act of manually documenting project information leads to inevitable human error and doesn't give access to the information crews need immediately. Instead, they need to call up managers to find critical information needed to get the job done.
2. Disconnected technology: many contractors have built out their tech stacks. But when software isn't properly integrated, information can easily become siloed and inaccessible to the people who need in.
Operational blind spots can easily add up to costly delays as crews try their best to find answers to their questions. In fact, when looking at delays, we learned that for most businesses, 10-30% of projects are affected by delays, disrupting timelines and budgets.
Workforce productivity issues
Your crew is arguably your most valuable resource. And nowadays, what matters more than hiring is learning how to increase the productivity of your team safely. The numbers speak for themselves: 50% of contractors report that their crew spends 1-3 hours a week on non-productive tasks such as waiting for assets, searching for information, or dealing with communication breakdowns.
Doesn't seem like a lot? Well, here is an example of what this time loss could mean for your bottom line:
Lost a day for one worker
Worker working Monday to Friday in one year
Lost for one worker each year
Number of people on your crew
Hourly salary
Dollars lost per year for a 20-person crew
Small issues such as an hour lost here or there can add up pretty quickly. Construction businesses are actively looking for solutions. Luckily, for every construction problem, there is a technology solution. Let's take look at what contractors' tech stacks look like today and their plans for improvement in 2025.
Resource Want to keep track of your crew's time digitally? See how you can get advanced data insights into your crew's productivity on the clock with busybusy. |
The plan for construction technology
It's no secret that contractors lean on technology. But it is no longer a nice-to-have in construction. It's a must-have. From tracking assets to managing project tasks, digital tools have elevated how projects are planned, analyzed, and executed. Here is what you should know.
Contractors are adding new software to their tech stacks
Most contractors we spoke to are already using seven or more tech solutions to manage their operations. These tools address a variety of needs for their teams, from scheduling and equipment tracking to safety monitoring and compliance reporting. It all can be done digitally today.
But here’s the trend: construction businesses aren’t done yet. The majority of contractors are actively exploring new technologies to add to their tech stacks in 2025. Why? Because the industry’s challenges are evolving—and staying competitive means staying ahead with the help of technology.
For many, the focus has shifted from solving yesterday’s issues to addressing today’s—and tomorrow’s—challenges. Contractors are prioritizing tools that can handle:
- Real-time tracking of assets and equipment: This minimizes delays, reduces costs, and helps teams maximize resource utilization.
- Advanced communication tools: With projects spanning multiple locations and teams, streamlined communication is crucial for maintaining alignment and efficiency.
- Data analytics and insights: Platforms that can provide real-time reporting on productivity, safety, and resource allocation are becoming non-negotiable for strategic decision-making.
- Workflow automation: Automating repetitive tasks, such as scheduling and inventory management, allows teams to focus on higher-value work and boost overall productivity.
Contractors aren’t just solving problems —they’re proactively optimizing their operations. This shift reflects a growing awareness of the importance of “future-proofing” their businesses by investing in scalable, adaptable solutions.
What you should consider before buying new tech this year
We are excited about the continuous trend of technology adoption. But we also understand that there is a lot to consider before introducing new tech to your team. Based on our survey results, the top barriers to implementing construction software include: costs and an internal resistance to change.
This is why more contractors are looking for technology partners—not just software providers. A true partner will:
- Ensure seamless integration with your existing systems and full support getting you set up
- Provide ongoing training and support to help teams adopt the tools effectively
- Offer a clear implementation plan that minimizes downtime and operational impact
Investing in technology isn’t just about the tools themselves—it’s about the long-term ROI and the ability to navigate future challenges with confidence. So, take your time as you evaluate your technology options this year to find the best fit for you and your crew.
Resource Looking for a construction operations management solution? Check out the top features contractors are using and loving today to streamline operations. |
Where contractors are focused in 2025
Efficiency is the name of the game in construction this year. And contractors are laser-focused on making the most of their operations. When asked what they could do to work smarter in 2025, here's what they said:
Consolidate tech stacks
The biggest priority for contractors in 2025 is consolidating their tech stacks to simplify operations for their team. With the average contractor already using multiple tools, they are on the lookout for solutions that integrate or merge their tools to provide one place to manage it all.
An integrated tech stack would help teams to:
- Share real-time data seamlessly across departments, reducing redundancies
- Improve visibility into operations, from equipment usage to workforce productivity
- Make faster, data-driven decisions that keep projects on track and under budget
Improve data collection and reporting
Contractors are prioritizing data collection and reporting to gain a clearer understanding of their operations and identify areas for improvement. But it’s not just about gathering more data—it’s about gathering better data.
Top metrics contractors want to track more closely in 2025 include:
- Asset utilization: How effectively are tools and equipment being used? Tracking this metric helps prevent underutilization, identify bottlenecks, and maximize ROI on expensive assets.
- Costs: With rising material and labor expenses, contractors are scrutinizing every dollar spent to maintain profitability while delivering quality work.
By investing in systems that offer real-time data visualization and reporting, contractors can shift from reactive problem-solving to proactive planning. These insights don’t just inform daily decisions—they shape long-term strategies.
Take control of your operations
Taking a proactive approach to your construction operations means not only recognizing the potential obstacles facing the industry but also actively seeking solutions and implementing strategies to overcome them. To learn more about the solutions and strategies available to you, check out our Resource Center to see how you can operate smarter this year.
About AlignOps
At AlignOps, we make construction safe, productive, and profitable. As the construction industry's first and most comprehensive operations management platform, AlignOps’ suite of powerful tools delivers operational visibility and control that drives results. Formed in 2024, AlignOps is powered by four innovative market leaders: ToolWatch construction management software, Safety Reports mobile safety and compliance, FleetWatcher construction fleet management software, and busybusy time tracking.