Innovation & Technology, production tracking, Subcontractor —

The True Cost of Construction Rework and How to Prevent It

PeritusDecember 13, 2024 • 3 min read

Construction rework is one of contractors’ most significant and costly challenges. Industry studies show that rework can account for 3-12% of a project’s total costs. Beyond financial implications, it creates delays, erodes client trust, and disrupts schedules.

But why does rework occur, and how can contractors effectively prevent it? With the right tools, like Rhumbix’s field-first solutions, you can mitigate these risks and keep projects on track.

What Causes Rework in Construction?

Rework stems from a variety of issues, including:

  1. Incomplete or Inaccurate Data: When field data isn’t accurately captured or communicated, costly mistakes can happen. For example, missing timecards or incorrect materials tracking can lead to misallocated resources.
  2. **Poor Communication**: When the office and the field do not communicate well, problems can arise. Teams might use outdated designs. They may also follow unclear instructions.
  3. Unrealistic Scheduling: Tight timelines can increase the risk of cutting corners, leading to errors that require fixing.
  4. Quality control problems happen when there is not enough oversight during construction. This can lead to mistakes that people find later. These mistakes can greatly increase costs.

The Financial and Time Impacts

Rework affects budgets and disrupts schedules. A study by Navigant reveals that projects experiencing rework see an average schedule overrun of 10-15%. This impact is especially acute in larger projects, where coordination challenges amplify delays.

The financial toll can also balloon quickly. For example, addressing a mistake in the design stage is far more expensive than fixing it during construction.

How Rhumbix Helps Reduce Changes

Rhumbix offers construction technology solutions designed to address the root causes of rework. Here’s how:

  1. **Real-Time Data Collection**
  2. Rhumbix helps field teams gather accurate information. They can track time, materials, and progress directly from the job site. With digital tools like Timekeeping and Production Tracking, contractors eliminate errors associated with manual entry, reducing the likelihood of rework.
  3. Enhanced Communication: Rhumbix bridges the gap between the field and the office. Digital forms and automated workflows help teams share important updates in real time. This ensures everyone has the latest information.
  4. Better Quality Assurance: With Rhumbix’s Custom Forms and Compliance solutions, contractors can easily track inspections and quality checks. This helps catch safety issues before they become bigger problems.
  5. Streamlined Change Management: Change orders are a significant source of rework. Rhumbix’s platform enables contractors to document and track changes efficiently, preventing miscommunication and ensuring alignment among all parties.

5 Best Practices to Prevent Rework

Beyond adopting technology, here are additional strategies to minimize rework:

  • Invest in Training: Properly train your workforce to use new technologies and adhere to best practices.
  • Prioritize Pre-Construction Planning: Comprehensive planning reduces the likelihood of surprises during construction.
  • Use Integrated Solutions: Make sure your technology connects field data with project management and ERP or accounting systems. This will create a smooth flow of information.
  • Conduct Regular Quality Checks: Consistent oversight helps identify errors early before compounding into significant issues.

Success Story: Preventing Rework with Rhumbix

A leading general contractor recently leveraged Rhumbix’s Timekeeping and Production Tracking solutions on a large-scale commercial project. They used real-time data and improved worker communication. This helped them reduce rework a lot. They finished the project two weeks early.

The ROI of Preventing Project Rework

Investing in tools and strategies to prevent rework delivers substantial returns. According to FMI, the construction industry loses $177 billion annually to inefficiencies, including rework. Adopting a platform like Rhumbix reduces costs and improves productivity, safety, and client satisfaction.

Conclusion

Rework in construction is a costly challenge, but it’s not inevitable. Contractors can stay on budget and on time. You can address the main causes of issues with careful planning and quality checks. New technology, such as Rhumbix, can also help.

Click here to learn more about how Rhumbix can help you prevent rework.