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Digital Transformation in the Construction Industry: Lessons and Challenges from the Journey of Brazilian Construction Companies

Year: 2025
Type: article
Abstract: Digital Transformation (DT) is a strategic challenge that reshapes the way companies operate. Nevertheless, its adoption in the construction industry remains slow. This paper analyzes the DT process in Brazilian construction companies through two phases. Initially, an exploratory study was conducted with 17 firms using semi-structured interviews with their Technical Directors. Second, three companies were selected for case studies involving 14 in-depth interviews, observation, and document analysis. Data underwent content analysis. In the exploratory phase, DT was found to be mainly pursued to improve construction efficiency. Barriers were strongly associated with individual aspects, especially limited knowledge about technologies and resistance to change, reinforced by difficulties in implementing organizational changes. Most problems that DT seeks to address are concentrated in the technical department and construction site. Companies adopted approaches such as technology investments, open innovation, organizational restructuring, and training, but the success of these strategies depends on top management engagement and employee acceptance. Besides cultural barriers, technological obstacles, system integration and digital delay were identified, along with process difficulties such as the complexity and costs of the DT journey. Indirect sustainability objectives also emerged, indicating that DT is perceived as both technological advancement and a means to transform the sector. Finally, based on the empirical findings, a multi-level framework comprising 12 strategies for DT in the construction industry was proposed. Overall, the empirical field investigated remains in the early stages of DT, with experimentation with technologies and a focus on efficiency, characteristics of digitization, a step prior to total transformation. The study provides a valuable diagnosis of DT to support the digital transition and informs policymakers in designing initiatives that foster DT, contributing to sector sustainability and SDG9.
Language: English
Open Access status: gold
Estimated APC paid: $2,896
OpenAlex ID: W7117668182
FWCI: 2.986
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Cited by: 7
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