Hyderabad Startup Uses AI to Cut Construction Delays & Costs
The construction industry has long been plagued by inefficiencies, with delays and cost overruns being all too common. However, a Hyderabad-based startup, ProcureX, is tackling this issue head-on by harnessing the power of artificial intelligence (AI).
Launched on May 9, 2024, ProcureX is a one-stop solution for material sourcing, project oversight, and planning. The startup, co-founded by Aravind Maroju, Narsi Reddy, Thej Kiran, and Bharath Reddy, has already made significant inroads in the construction sector, with 10 companies and 150 suppliers onboard.
So, how is ProcureX using AI to cut construction delays and costs? Let’s dive in and find out.
The Problem with Construction Projects
Construction projects are notoriously complex, with multiple stakeholders, materials, and timelines to manage. However, despite the best efforts of project managers, delays and cost overruns are all too common. A study by the McKinsey Global Institute found that up to 30% of construction projects are delayed, with 20% of projects experiencing cost overruns.
The reasons for these delays and cost overruns are numerous. They can include:
- Inefficient communication and collaboration between stakeholders
- Poor material sourcing and planning
- Lack of visibility into project progress and timelines
- Inadequate risk management
How ProcureX is Using AI
ProcureX is addressing these issues by leveraging AI to streamline material sourcing, project oversight, and planning. The startup’s platform uses machine learning algorithms to analyze data from various sources, including project plans, material specifications, and supplier databases.
Here’s how ProcureX’s AI-powered platform works:
- Material Sourcing: ProcureX’s platform uses AI to match project requirements with available materials, ensuring that the right materials are sourced at the right time. This reduces the risk of delays and cost overruns caused by material shortages or substitutions.
- Project Oversight: The platform provides real-time visibility into project progress, enabling project managers to identify potential delays or issues early on. AI-powered analytics help to predict potential risks and provide recommendations for mitigating them.
- Planning: ProcureX’s platform uses AI to optimize project planning, taking into account factors such as material lead times, supplier capacity, and weather conditions. This ensures that projects are planned and executed efficiently, minimizing the risk of delays and cost overruns.
Impact on the Construction Industry
The impact of ProcureX’s AI-powered platform on the construction industry is significant. By reducing delays and cost overruns, the platform helps to:
- Improve project timelines and milestones
- Increase transparency and visibility into project progress
- Enhance collaboration and communication between stakeholders
- Reduce waste and improve material utilization
- Increase profitability for construction companies
Expansion Plans
ProcureX is not just stopping at Hyderabad. The startup plans to expand its operations to Dubai and Saudi Arabia, where it sees significant potential for growth. With 10 companies and 150 suppliers onboard, ProcureX is well-positioned to make a significant impact in the construction industry.
Conclusion
ProcureX is a shining example of innovation in the construction industry. By leveraging AI to address inefficiencies in material sourcing, project oversight, and planning, the startup is helping to cut construction delays and costs. As the construction industry continues to evolve, it’s likely that we’ll see more startups like ProcureX using AI to drive efficiency and productivity.
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