Addressing Australia's construction productivity crisis: Accelerating construction and energy efficiency through product innovation

The construction productivity crisis in Australia is a multifaceted challenge impacting economic value delivery, emission management, and workforce appeal. Research indicates an alarming decline in productivity, with rates regressing to levels not seen since 1990. This drop has been hindering the progress of construction projects and nation-building initiatives, and leading to labour shortages and inefficient industry practices.

While the productivity of industries such as manufacturing and transport has grown at 0.8% and 0.9% per annum respectively since 1990, construction has been experiencing a yearly decline of 0.1% in the same time period. That’s a staggering $47 billion opportunity cost, which – compounded by the fact construction generates 18.1% of Australia’s carbon footprint – is a sign that urgent modernisation is critical.

Modular construction, considered pivotal to productivity enhancement, promises a 20% cost reduction through digital methods, progressive attitudes and innovative materials. Insulated sandwich panels are one such material. Readily used throughout the cold chain, the products boast outstanding thermal performance, rapid buildability, and minimal waste, offering instant productivity gains.

Bondor Metecno have been manufacturing thermal building materials for over 65 years, and their insulated sandwich panels bring efficiency and sustainability to residential and commercial construction. The panels reduce both the carbon footprint of the building and the operating cost over the life cycle, contributing to the construction of more energy-efficient buildings. For instance, a recent Queensland University of Technology study, conducted in collaboration with Bondor Insulated Panels, showcased a dwelling with a 48% reduction in electricity consumption, achieving net zero for lighting, heating, and cooling, and a 9.5-star practicality rating.

Australia's construction productivity crisis demands an urgent paradigm shift. And while an ongoing dialogue about solutions that can augment productivity is imperative, there already are materials like the insulated sandwich panels from Bondor Metecno, which can help improve energy and construction efficiency, advancing the efforts to address the sector's broader productivity struggle.

Download this whitepaper to explore the current state of construction productivity, discuss how this has come to be, and identify innovative materials and methods that exist today that can be used to improve productivity in construction.