Yet construction professionals underestimate the importance with only a third of seeing the benefits of digital solutions for ESG certification, according to PlanRadar research.
Dubai, UAE, 24th June 2024 – PlanRadar, a leading platform for digital documentation, communication, and reporting in construction, facility management, and real estate, has released an analysis on the impact of digital platforms on ESG due diligence. The main finding indicates that only one-third of construction industry professionals believe digital tools are useful for ESG certification management, yet customers of PlanRadar report significant gains when utilizing digital tools, highlighting the opportunity still to be seized by the industry.
To achieve environmental certification, companies must implement energy-efficient practices, reduce emissions, have an efficient use of natural resources, reduce waste production, and preserve natural habitats. The key insight that emerges from PlanRadar’s survey is the perception gap in the use of digital tools to achieve environmental compliance:
⦁ The analysis shows that only 60%1 of industry professionals recognize the reduction in paper use that digital tools have made possible. However, among PlanRadar’s customers, this recognition rises significantly to 90%.
⦁ Only 34%1 of industry professionals believe that these IT solutions contribute to reducing material waste. In contrast, a more optimistic 60%2 of PlanRadar customers report substantial benefits in minimizing rework and conserving resources through the use of digital platforms.
Recent data from PwC forecasts ESG investments to surge to $33.9 trillion by 2026, with three in five institutional investors reporting superior performance from ESG-compliant investments compared to their non-ESG counterparts. For construction companies, this translates into a growing market for projects meeting ESG standards, unlocking significant scope for sustainable growth.
Digital platforms like PlanRadar simplify the path to compliance with documentation, communication, and reporting that seamlessly integrates ESG practices into construction, real estate and facility management operations. Key features include:
⦁ ESG Data Collection: Detailed logging of each build stage with geo-tagged photographic evidence for ESG and technical due diligence.
⦁ Automated Reporting: Converting data into comprehensive reports for audits, supplier management, client communication, and documentation.
⦁ Waste and Rework Reduction: Efficient documentation and tracking to minimize rework, saving time and resources.
⦁ Risk Reduction: Quick assessment of risks and costs, facilitating informed decision-making for sustainable and energy-efficient practices.
⦁ Safety and Quality Control: Implementation of inspections, QR codes, and NFC tags to enhance job site safety and quality, appealing to investors.
Commenting on the findings and why choosing the right tool for the job is so important, Ibrahim Imam, CEO & Co-Founder at PlanRadar adds, “Contrary to industry perceptions, digital platforms offer substantial benefits in achieving ESG compliance, as this analysis shows. The path to compliance does not have to be complex. Our carefully developed digital platform offers a user-friendly experience, enabling teams to log and record every stage of the build, demonstrating that ESG and technical due diligence have been meticulously followed. With high demand and substantial ROI, the opportunity for construction companies is clear: align practices and projects with ESG criteria to achieve a competitive edge.”
PlanRadar’s whitepaper provides valuable insights on ESG Due Diligence as one of the steps towards compliance. You can read more here .
