The Perceived Cost of Tech vs. the Real Cost of Inefficiency
27 March 2025
by Jon Arnott
Reading time: 5 minutes
In the ever-evolving built environment, architects, engineers, contractors, and those who develop and operate it (AECO) often face the daunting perceived costs associated with adopting new technologies.
I have seen this repeatedly throughout my two decades in the industry. I hear statements like, "The software licences are too expensive," "We're getting no value out of having this software," or "This software is rubbish. Why are we even using it?"
Yet, I believe it is often not the fault of the solutions being used that are causing companies to not see the value or return on investment; rather, it lies with poor implementations, bad software choices for the problem at hand, or simply the tools being used today might've been the best choice when chosen but are now superseded by more suitable alternatives.
With that in mind, it's also crucial to understand the costs and inefficiencies that may persist from outdated workflows and manual processes. This article not only explores the barriers firms face in embracing digital solutions and highlights the hidden costs of inaction but also provides insights into effectively leveraging technology for improved efficiency and savings. It's a call to action for continuous improvement in our industry.
Why many firms fear the cost of digital adoption
Despite the growing recognition of technology's benefits, many firms hesitate to adopt digital technology due to perceived costs.
Fears often stem from the initial investment, concerns about the staff learning curve, and the potential disruption to existing workflows. These anxieties can result in firms sticking to familiar manual processes, believing that avoiding new technology saves money and resources.
However, this perspective often overlooks the long-term financial and operational gains that digital tools can provide.
In a highly competitive and globalised market, remaining apprehensive about technology can inadvertently disadvantage firms, locking them into inefficiencies that stifle growth. However, embracing digital solutions can open up new opportunities for efficiency gains, increased profitability, and the ability to enter new markets without significantly increasing overheads. This is particularly pertinent in the current economic climate, where growing businesses through such strategic advancements is crucial.
It is worth noting that many firms are now subcontracting work to other parts of the world where labour is cheaper. This seems a roundabout way to do business when, in some instances, automating processes or embedding more appropriate tools or simple workflows could significantly improve a firm's productivity without the need to buy "bums on seats."
I know this to be true, having worked with a few clients over the last few years and in recent months who have admitted that they had planned to outsource work to India, Vietnam and other regions because they need as many hands as possible to achieve their growth plans or looming deadlines.
But what if there was another way?
What if, with adeptus. digital's help, you can automate manual processes, implement best-practice or maximise the features from your existing tools with our guidance and support? This is not a far-fetched idea but a practical and feasible solution that we can help you achieve.
The hidden cost of manual processes and outdated workflows
While the initial investment in new technologies can appear significant, the hidden costs of manual processes can be far more critical. Labour inefficiencies, errors, wasted materials, and time delay accumulations create substantial financial burdens that firms may not immediately recognise.
For instance, a construction project that relies heavily on manual workflows may experience scheduling misalignments, leading to costly delays and rework.
Furthermore, outdated processes can result in lost opportunities for collaboration, reducing overall project quality and client satisfaction.
Exploring the total cost of inefficiency, rather than just the upfront tech costs, is essential for firms to make informed decisions about digital adoption.
Imagine a world where a manual four-week process can be turned into a thirty-minute process by creating custom automation tools that deliver your exact information production needs. That's a 300x saving!
It seems ridiculous and unattainable, but it's possible.
We know because we've done it.
If you could achieve similar outcomes, how much would you be willing to invest for such a return on investment (ROI)?
How to calculate ROI on digital tools before investing
Determining the ROI for digital tools is essential in justifying the technological shift.
Firms can begin this calculation by identifying the key areas where efficiencies can improve, such as time savings, reduced errors, and materials costs.
By quantifying the time taken to undertake the process/workflow as it is today versus the time saved through automation and comparing it against the cost of implementing the technology, firms can develop a more tangible understanding of potential ROI.
Additionally, measuring qualitative benefits, such as improved team collaboration, reduced team stress and burnout trying to hit deadlines or not having to work late nights and weekends and enhanced client satisfaction, provides a more comprehensive view of the gains from investing in digital solutions.
A detailed ROI analysis helps to alleviate fears and highlights the strategic value of technology in the built environment.
Affordable tech solutions you already have but aren't using fully
Many organisations underutilise the software tools they've already paid for.
Instead of fully exploring the capabilities included in their licences, they stick to familiar tools and invest in alternative solutions simply because that's what they've always done. This approach often leads to unnecessary costs and missed opportunities.
Software collections like Autodesk's AEC Collection or Adobe's Creative Cloud frequently introduce new tools that firms overlook.
For example, I worked with a company that had the Autodesk AEC Collection but only used about 25–30% of its available tools. While some might argue that not every tool is relevant, they were paying for features they didn't even realise existed and spending money on separate solutions that performed similar functions.
After running pilot tests on these underused tools, the company found several could improve their workflows. At the same time, one was ultimately incompatible with their existing systems. This highlights the importance of assessing your software's full potential before investing in additional tools.
By conducting a thorough audit of your current software, you can:
✔ Identify underutilised features that improve efficiency
✔ Reduce unnecessary software spending
✔ Streamline workflows and enhance team collaboration
Unlocking the full value of your existing tools is a cost-effective way to strengthen your digital capabilities and create a smoother path to adopting more advanced technology in the future.
How small process changes can lead to immediate savings?
Recognising that small process changes can significantly impact overall efficiency is essential.
Implementing straightforward strategies, such as standardising documentation practices, utilising templates, or automating repetitive tasks, can yield immediate and huge savings. Something that adeptus.digital is excellent at supporting AECO businesses with.
Establishing a culture of continuous improvement encourages teams to regularly assess their workflows and identify areas of inefficiency. This is relatively easy to do through the enablement of pilot programmes and post-project reviews that look at lessons learnt so that tweaks to software and processes can be made moving forward or serious discussions can be had about whether the technology is fit for purpose.
If you are already an ISO 9001 accredited business, the above might be second nature, but I know many out there who don't implement this feedback loop.
A simple check-in at the completion of a project can be the difference between future failure or success.
By taking incremental steps towards digitisation and efficiency, firms can gradually reduce operational costs while enhancing their competitive edge in the marketplace.
Conclusion
Understanding the disparity between perceived technology costs and the actual costs of inefficiency can encourage firms in the built environment to embrace digital solutions.
By overcoming fears related to digital adoption and recognising the hidden costs of manual processes, firms can position themselves for growth through improved workflows and efficiency.
Ultimately, adopting a proactive approach to technology enhances operational performance and fosters a culture that values innovation and adaptability in a rapidly changing industry.