A Pseudo ConTech Feature

I normally don’t speak of Property Technology (#PropTech) platforms as they stand apart from integrated construction technology and digital infrastructures connecting build, operation and management of real property.

So speaking to vendor compliance solutions isn’t really about the PropTech as it portends to be a pseudo ConTech feature “offering incremental revenue to the bottom line and incremental #ROI efficiencies for clients”. Boy it really hurts to repeat incremental in the client part . . .

As Construction Technology (#ConTech) these platforms are woefully inefficient and far too demanding for[on] its target market(s) and quickly dismissed by service providers for the high price absent any real value for the expense.

That said, I’m a critic on PropTech pricing models that follow real estate business models. One of the core tenants of cloud technology platforms is the ability spread development cost across the customer base to embrace its full potential. Pricing the use of PropTech based on square footage conceals the real cost and value of the technology. Its software dude, and dumb software at the moment !

Monthly and annual subscription models are also common but what do you really get out of digitizing the O&M Manual. Copy and paste transfers antiquated analog technology and processes into the digital age. Compliance platforms need to hire an army of industry experts who won’t try to stuff a square peg into a round hole because income (back in the 60s) didn’t justify the legal expense of customized boilerplates across all service provider ecosystems.

Cloud Services must offer substantially greater value and ‘tangible human efficiencies’ at a much lower price. Property investments are wrapped around a service based industry. That means man-power and time are the greatest expense [and rarity].

Further, current compliance solutions as an example fail to meet any definition of confidential computing.

More often, this PropTech feature is a duplication that adds expense spreading mayhem across service provider supply chains requiring more man-hours to complete the simple task of COI exchange.

There are two moments in construction when the COI of a contractor, service provider or AEC professional requires verification. Verification only is suitable prior to participating in a construction bid and validates contractor qualifications. A hardcopy as they exist today is necessary at the point of inking an agreement during contract execution. In the near future, insurance companies will return a digital COI as no more than a certified digital verification. Pre-bid verification will be a simple and confidential yes or no.

Anything more is an added expense and duplication of document requests that may be outdated at the time of use. A substantially higher expense since digital verifications and delivery will cost less than a dollar and complete in seconds.