FMI’s State of Global Preconstruction Report Reveals Significant Upside from Investment in Effective and Digitized Preconstruction

Rhea-AI Summary

Procore Technologies (NYSE: PCOR) and FMI Corp have released the State of Global Preconstruction Report, surveying 979 construction industry stakeholders. Key findings show that organizations with above-average preconstruction practices experience higher client satisfaction, greater profits, and fewer delays. Only 20% of surveyed entities reported such practices. Those outperforming in preconstruction are 52% more likely to report higher profitability. Despite this, only 46% expressed satisfaction with current preconstruction technology, indicating potential for improvement.

Positive

• Above-average preconstruction practices lead to significantly higher client satisfaction and greater profits.
• Organizations with strong preconstruction are 52% more likely to report higher profitability compared to their peers.
• Procore's focus on enhancing preconstruction solutions reflects its commitment to driving better project outcomes.

Negative

• Only 46% of above-average organizations are extremely or very satisfied with their preconstruction solutions, indicating dissatisfaction with existing technology.
• -

CARPINTERIA, Calif.--(BUSINESS WIRE)-- In partnership with Procore Technologies, Inc. (NYSE: PCOR), a leading global provider of construction management software, FMI Corp. released the results of The State of Global Preconstruction Report. This report discusses the current environment for preconstruction and the characteristics of organizations that do it well, including what constitutes above-average preconstruction processes and the effects of efficient and digitized preconstruction.

(Graphic: Business Wire)

This report, sponsored by Procore Technologies, is authored, researched and published by FMI, a leading consulting and investment banking firm dedicated to serving companies working within the built environment.

This year, Procore partnered with FMI to survey 979 construction industry stakeholders worldwide. Participants were asked to describe the preconstruction practices in their organizations, tools and technologies, project experiences and outcomes. Key takeaways include:

• Above average preconstruction shows significantly higher client satisfaction, greater profits and fewer delays. The report finds that fewer than one-in-five are conducting above-average preconstruction, based on five key factors for preconstruction.
• Effective preconstruction can make a big difference. Above-average organizations are 52% more likely to report higher profitability than below-average organizations. Above-average organizations are 52% more likely to report higher profitability than below-average organizations.
• The use of technology in construction. Above-average organizations are 44% more satisfied (extremely or very) with their preconstruction solutions than below-average organizations. However, with only 46% extremely or very satisfied, it shows that more than half of above-average organizations are still not satisfied with their current solutions and construction technology has some opportunity to improve.

In light of these findings, FMI recommends the following:

• Review preconstruction processes
• Start the preconstruction process early
• Invest in dedicated preconstruction resources
• Involve all project stakeholders
• Leverage technology to streamline the preconstruction process

“The results from the State of Preconstruction survey are clear: investing in preconstruction can provide tangible returns on profit, schedule and client satisfaction,” said Tooey Courtemanche, founder, president and CEO of Procore. “Many of the most successful contractors around the world focus their efforts on preconstruction because ultimately, better planned projects drive better outcomes. Data shows that organizations are willing to invest in preconstruction, and construction is not slow to adopt technology but waiting for the right tech for their businesses. We’re proud to invest in Procore's Preconstruction solution, which can help users manage designs, estimates, bids, and budgets across projects on one, integrated platform.”

To learn more, download The State of Global Preconstruction here.

About Procore

Procore is a leading global provider of construction management software. Over 1 million projects and more than $1 trillion USD in construction volume have run on Procore's platform. Procore’s platform connects key project stakeholders to solutions Procore has built specifically for the construction industry—for the owner, the general contractor, and the specialty contractor. Procore's App Marketplace has a multitude of partner solutions that integrate seamlessly with Procore’s platform, giving construction professionals the freedom to connect with what works best for them. Headquartered in Carpinteria, California, Procore has offices around the globe. Learn more at Procore.com.

About FMI

FMI is a leading provider of consulting and investment banking services to the built environment. We provide services in the areas of strategy, leadership and organizational development, performance, technology and innovation, mergers and acquisitions, financial advisory and private equity financing.

PROCORE-IR

View source version on businesswire.com: https://www.businesswire.com/news/home/20220920005451/en/

Media Contact

Raelle Alfaro

press@procore.com

Investor Contact

Matthew Puljiz

ir@procore.com

Source: Procore Technologies Inc.

FAQ

What does the State of Global Preconstruction Report by Procore Technologies reveal?

The report highlights that above-average preconstruction practices lead to higher client satisfaction, greater profits, and fewer delays.

How many construction industry stakeholders participated in the Procore survey?

The survey included 979 stakeholders from the construction industry globally.

What percentage of organizations practice above-average preconstruction according to the report?

Fewer than 20% of organizations reported conducting above-average preconstruction.

What is a key recommendation from the State of Global Preconstruction Report?

One recommendation is to start the preconstruction process early for better outcomes.

What stock symbol is associated with Procore Technologies?

Procore Technologies is listed under the stock symbol 'PCOR'.