93% of leaders in the construction sector continue to be optimistic about the industry’s future over the next five years, despite ongoing economic challenges, Kennards Hire’s annual Construction Confidence Check has revealed.
The equipment hire company’s annual survey, which for the first time included New Zealand business leaders, showed that confidence was strong on both sides of the Tasman.
Responses from 205 mid- to large-sized New Zealand construction businesses revealed that almost all (99%) decision-makers were either actively adopting or considering cost-saving strategies to stay competitive.
68% of businesses planned to increase investment in technology to enhance planning and project management, while 47% intended to hire additional staff.
Operational inefficiencies were hindering project delivery and profitability, with 96% reporting extra costs due to delays or decreased productivity.
Factors contributing to delays or decreased productivity included insufficient quality or availability of materials, a shortage of skilled labour for certain tasks, outdated equipment, and regulatory hold-ups.
Furthermore, 94% reported being negatively impacted over the past year by tariffs, shipping delays, and changing trade regulations.