The preference for lowest cost over innovation, especially in government projects, dampens the enthusiasm that leads to wider diffusions of digital technology in the industry at large
Nepal invests around 12 per cent of its GDP in infrastructure projects, and tangible economic multipliers are very clear from these investments. A series of problems keep recurring for the construction industry, such as the delay factor, the inability to complete work on time, and-most crucially – a project overrunning beyond its budget. There are many factors at the root of these problems; one significant contributor is the slow pace at which the industry is adapting to digital methods.
According to research by Paneru et al. (2023), there are partial findings of the adoption of digital practice, and yet it is still partial and scanty over many parts of the sector. Increased digitalisation within the construction industry can allow for improved communication and the management of contracts and safety while leading to better project efficiency and results. While this is the case, the sector would still fall back to traditional methods, with only about 5 per cent of the professionals having advanced digital skills and the general maturity of those skills applied remaining low. Furthermore, a substantial educational and training gap further makes the integration of digital tools difficult within the industry, especially for new members of the workforce.
An industry survey showed that only 28 per cent of professionals have a medium level of knowledge with regard to digitalisation in construction, while another 26 per cent were beginners. This would clearly indicate that unless substantial efforts are made to enhance the skills, productivity cannot be effectively increased.
Various challenges are there that are connected with the wide adoption of digital tools, including Building Information Modeling (BIM), in Nepal. A very important factor is improper knowledge and training among industry professionals. While there are no standards required for digital tools for both architects and engineers, the absence of any law protecting the intellectual rights further discourages investment in learning. This creates an unenthusiastic environment for adopting new tools. Even large-scale contractors remain sceptical about the benefits of 3D models and digital drawings, believing they do not enhance productivity or profitability noticeably. That is where it becomes a vicious cycle: firms do not want to invest in learning and development, especially on projects which are already suffering from delays and thin resources. BIM is not integrated into the educational curriculum at universities and colleges. Thus, the market experiences a shortage of BIM-trained professionals, and firms cannot manage to implement digitalisation smoothly.
This lack of skilled experts usually results in resistance to change. One other serious obstacle might be the high cost of BIM software and the apparent financial burden of adopting digital workflows. Without the same protocols or guidelines concerning the implementation of BIM, no one is uniform in implementing the BIM concept. Because of this fact, expectations and capabilities related to BIM depend largely among project stakeholders. There is an issue of low demand for BIM from clients, especially for government projects. Contracts are given on lowest bidding, while the technological capability of a firm is often never considered in the selection of winning bids. This obscurity and preference for lowest cost over innovation dampen the enthusiasm that leads to wider diffusions of digital technology in the industry at large.
Notwithstanding the existing challenges, there are substantial opportunities for digitalisation of the Nepalese construction industry. The universities can, along with experts from the industry, develop detailed modules for training to impart skills related to digital. Moreover, continuing professional development through workshops, seminars and certification courses will also be required to be in place in order to enhance the prevailing professionals' proficiency level. Digital tools like BIM integrated into the curricula of programmes related to architecture, engineering and construction (AEC) will prepare the professionals of tomorrow to meet the changed industry expectations. This would also be hugely helped by the government, where it lays down clear standards and guidelines for its projects, and tax incentives to encourage digitalisation.
Pilot projects using digital tools can demonstrate their merits and help valuable lessons learned among all concerned stakeholders in the process. Such projects may serve as case studies, proving cost savings, increased efficiency and value to project outcomes, potentially generating wider drives towards industry-wide adoption. Success stories regarding how such digitalization – from design to construction – can lead to better project outcomes, reduced costs, greater efficiency and transparency in the private sector.
In this context, digitalisation of the Nepalese construction industry is no longer an option but an obligation towards competitiveness and sustainable growth. Whereas there are still considerable barriers to uptake, the potential for modernisation through tools like BIM is huge. If the challenges in education and training, cost and standardisation are resolved and full collaboration across the industry is promoted, then it will be a way forward for Nepal towards an efficient, productive and innovative construction sector. The future vision for the AEC industry encompasses digital transformation, and it is time all stakeholders – government, educational institutions and private firms – come forward to make this vision real.
Ghimire is an expert in AI, innovative project delivery methods, resilient-built environment and digital technologies while Paneru specializes in thermal resilience, decarbonization and machine learning