Indian CONSTRUCTION INDUSTRY and SKILL DEVELOPMENT

The construction industry in India is one of the primary drivers of economy. It employs a workforce of around 32 million people and its market size is around Rs 2,48,000. After the agricultural industry, it is the second-largest contributor to India’s GDP. It also stimulates growth in other industries such as cement, steel and manufacturing. This in turn drives the demand for raw materials boosting the production of cement and allied industries.

Why is skill development essential?

The construction sector is a dynamic combination of engineering skills, design and final execution. Hence, essentially it is a service industry. The people associated at the core of this sector bring ideas to life. And hence, for the workforce connected to this domain, skill development is of utmost importance, whether it is about carpentry, project management, supervisors, contractors or the equipment operators. Skill development is essential not only for addressing the critical and the ever-evolving needs of the industry, but also for creating masterpieces that will catapult India’s real estate sector to the pinnacle. India’s construction industry is projected to grow at an annual growth rate of more than 10% CAGR from 2022 to 2027. So, it is not surprising that the demand for a skilled workforce goes up even further.

Evolving with the changing times

The construction industry is evolving with the changing times. New materials, new technologies evolve and so does the complexity of the overall project. In such a situation, if the experts are not upskilled to handle complex tasks, it can put the entire project in a difficult situation.

With so much at stake it is crucial that upskilling is the need of the hour. Skill development will lead to a plethora of advantages for the construction industry such as:

Mitigating the risks: As projects become advanced so does the level of risks and perfection. The risk of error increases and so does the cost overruns. Upskilling makes sure that the professionals are equipped with the latest knowledge and technical skill to manage these complexities effectively.

Enhancing the overall efficiency: Upskilling helps in enhancing the overall efficiency and productivity of the work. Along with this it also enhances the overall quality of the output.  For e.g. training employees in BIM can drastically improve the co-ordination between different teams, reduce the occurrences of reworks and streamline the process.

Ensures the compliance with standards and regulations: The construction sector is heavily regulated with new technologies and new regulations coming into the market. They mostly come with new compliance requirements. In such a case, upskilled professionals are better equipped to handle these rapidly changing regulations if they themselves are aware of the latter. This is especially true in areas of sustainable buildings where the regulations are continuously changing.

Making way for innovation: In a sector that thrives on new technologies and designs, skill development is like another feather in the hat. The equation is pretty simple, if the professionals are aware of the latest technology and know-how, they are more likely to experiment, take calculated risks that will eventually lead to innovation. The result? It will take the said project a class apart and stand out from the rest along with creating a solid reputation for the builder.

Competitiveness: Any industry in today’s times is extremely competitive. The construction sector is no exception. If one does not upskill or stay in sync with the changing times, chances are you may lag. Skill development is the only way to adapt to the industry changes, deliver top-notch quality work, and meet the demands of the changing consumer needs.

We now look at some of the Government-backed initiatives for skill development in the construction sector:

The Pradhan Mantri Kaushal Vikas Yojana (PMKVY) and the National Skill Development Mission are the two pivotal programs that have successfully trained people.

PMKVY has trained (2022-23) over 1.1 crore people and 21.4 lakh people have been placed over the Government’s flagship scheme.

The National Skill Development Mission has been established with a view to boosting skill development across sectors. Its aim is to create convergence across the sectors and states and co-ordinate the skilling efforts.

The Public Private Partnerships have emerged as the key mechanisms to enhance these initiatives. Such mergers with Government bodies and private sector have led to the creation of specialized training programs suitable to the construction industry.

For e.g. upskilling startup Novatr has partnered with National Skill Development Corporation and design software maker Autodesk that offers professional courses in Architecture, Engineering, and the Construction industry for career advancement. This partnership aims to train over 40,000 individuals and address the skill gap.

The impact of technology on skill development

Technology has played a significant role in upskilling workers, reshaping the industry landscape and addressing the skill gaps.

For e.g. there are several online courses available on different websites that provide accessible and flexible learning opportunities that cover a wide range of construction related skills, for e.g., Courseera offers several online courses from Construction Management, Construction Project Management, and Sustainable Design Practices in Building design.

The integration of AI in the construction industry includes increased level of efficiency, increased level of safety, notable cost reductions and overall budget management.

It can also be used for project planning and designing, quality control and predictive maintenance.

Where does India stand in the use of integrating technology?

In staying ahead of the curve in the construction sector, companies and institutions need to provide toolbox training, and on the job, training videos for graduate engineers and site engineers. Such innovations can transform India’s construction landscape and enable the economic growth trajectory with a skilled workforce.

Challenges to be addressed

It is a harsh truth however that skill development initiatives in the construction sector are still grappling with challenges. One of the most significant challenges is the digital divide.

There are several workers in the rural areas that do not have access to necessary devices and internet connectivity that hamper their chances to take part in digital training programs.

Data privacy concerns further blur the landscape. It only enhances the problem of data breach and security how training programs are extremely crucial to ensure security of information.

Skill development is extremely important in the Indian construction sector. It serves as the foundation stone for embracing rapid technological advancements and the ability to handle complex projects. In a sector that thrives on efficiency, innovation and safety, it is crucial that upskilling will lead to the transformation of India’s construction landscape along with empowering the workforce on the global stage.

Dr. Anil Kashyap
President, Chancellor, NICMAR University Pune & Hyderabad