EYE Consulting's Business Insights: Spotlight on the Construction Industry
Setting Sail for the Future: Heading towards Digital transformation!
The Construction and Public Works (CPW) sector has experienced numerous upheavals in recent years, driven by a series of major economic and health crises. Some of these disruptions now provide an opportunity to question existing practices and move forward. This is particularly true for certain large-scale projects initiated in response to the challenges facing this sector, whose resilience suggests brighter days ahead. Through this article, we aim to share with you our insights into the current state of affairs, which reflect the ongoing transformation of this sector. We have divided our discussion into three parts for clarity:
1/ Status Update on the CPW industry
2/ Project Focus - BatiSolid: Improving Construction in the Caribbean with Locally Adapted Standards
3/ Project Focus - LAKOUDIGITAL Launch: Digitalization Support Program for CPW Companies
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1/ STATUS UPDATE ON THE CPW INDUSTRY
A Sector Facing Significant Challenges
In 2020, the CPW industry in Martinique included over 4,000 business owners, craftsmen, and freelancers, along with over 5,800 employees and 400 temporary workers, totaling substantial workforce*. Although there has been a slight increase in the number of active participants over the past fifteen years, the sector, dominated by a majority of very small businesses (less than 10 employees), struggles to generate wage employment due to the large number of artisans.
Additionally, as early as 2017, INSEE highlighted the "pronounced aging" of the construction sector*. Coupled with the notoriously difficult working conditions, the sector's aging workforce and precariousness may explain its ongoing lack of attractiveness.
A Sector Dependent and Vulnerable
Between 2016 and 2020, an estimated 1,500 jobs were lost in the industry in Martinique. The Covid-19 epidemic emerged while the Construction industry was still grappling with the aftermath of the 2009 crisis in the Caribbean. Activity reportedly plummeted by 75% during the lockdown*. However, the demand for construction and renovation remains high in the overseas territories, far exceeding the national average.
Nevertheless, the resumption of activity entails significant additional costs that our overseas companies cannot bear. Consequently, CPW stakeholders now suffer from their heavy dependence on public procurement and large-scale public projects, which are becoming increasingly scarce, as noted by Yann HONORÉ, General Manager of Caraib Moter and President of the CERC (Regional Economic Cell for Construction) Martinique:
"Today, there is a major issue, whether in construction or public works, concerning public procurement. We have public procurement that is too low, losing momentum, and deserving of revitalization, upgrading, as there are infrastructure needs on the territory, both in buildings" — listen to the podcast episode.
The health crisis has at least led to the consideration of new perspectives and the identification of necessary changes to initiate a sustainable economic recovery.
A Sector Undergoing Transformation
Until now, the CPW sector, known for its precariousness and aging workforce, struggled to renew itself. Today, as the end of the crisis looms, many Martinican entrepreneurs seem to agree on the importance of integrating digital technologies into their future strategies. This sentiment was echoed in a survey conducted by QualiStat for the Chamber of Commerce and Industry of Martinique*, in May 2020.
Aligned with this trend towards structuring and development, EYE Consulting is fortunate to participate in initiatives that will be the subject of the next two sections of this article:
Project Focus - BatiSolid: Improving Construction in the Caribbean with Locally Adapted Standards
Project Focus - Launch of the Digitalization Support Program for CPW Companies by LAKOUDIGITAL
2/ PROJECT FOCUS
BatiSolid: Improving Construction in the Caribbean with Locally Adapted Standards
2019 — 2023: BatiSolid, Adapting Construction Standards
This adaptation project, funded by the CTM, the DEAL, and Action Logement through the Ministry of Ecological Transition and its two programs, the Overseas Housing Plan and the Convergence and Transformation Contract, stemmed from a simple but significant observation: French technical standards rarely account for the climatic specificities and vulnerability of the overseas territories.
Thus, since 2019, the CERC Martinique, with the support of the CERC Guadeloupe, has been working on adapting existing standards and co-creating new construction standards with the main objective of strengthening buildings to achieve territorial resilience, at an estimated cost of 1.6 million euros.
Launched in July 2021 for a duration of 30 months, the second phase of the project involves 14 working groups, comprising nearly a hundred local volunteer experts from various construction trades. It is led by the members of the CERC Board, directed by Gwladys BAUDEL and Yann HONORÉ, and supervised by Jean-Yves BONNAIRE, President of the Contact-Entreprises association and Secretary-General of the Syndicat des Entrepreneurs en Bâtiment et Travaux Publics de Martinique (SEBTPAM), supported by a team of experts from Advici Conseil and EYE Consulting — read the press release.
Our Contribution: Equipping, Training, Energizing, and Unifying a Community of Professionals
The main challenge lies in the fact that managing a project of this scale requires coordination of various locations, resources, and skills, which directly impacts its smooth operation. This is where we come in.
Our mission revolves around advising and implementing a "Digital Workplace," a digital and collaborative work environment aimed at tracking, centralizing, and streamlining exchanges. This workspace serves as both an entry point and a foundation for the growing community and the continuation of the project.
Through this initiative, a new approach is emerging: collaborative work based on the pooling of expertise that was previously isolated, and a journey toward digital literacy, necessary for efficiency and competitiveness.
Indeed, the BatiSolid initiative embodies a logic of co-construction and continuous improvement beneficial to the entire territory, in line with the values we uphold, namely supporting the development of the local economic fabric by working with and for the collective, as confirmed by Élodie EUGÉNIA-CHARLOTTE, co-founder and director:
"This challenge, which we are tackling with great commitment, offers us the opportunity to contribute to a significant project in terms of its stakes, stakeholders, and expected results for the territory, a project that will ultimately benefit all Martinicans and Guadeloupeans, even the Caribbean population."
To go further: newsletter — website — LinkedIn.
To take part in this project by joining the community of contributing experts, please contact contact@cerc-martinique.fr for further information.
3/ PROJECT FOCUS
Launch of the Digitalization Support Program for BTP Sector Companies by LAKOUDIGITAL
2022 — 2023: Action Logement Support Program. The BTP sector reinvents itself!
As the winner of the call for projects launched by Action Logement as part of the Overseas Voluntary Investment Plan, LAKOUDIGITAL, the first innovation hub in the Caribbean, initiated the first phase of its support program's action plan on July 1st. This initiative involved issuing a call for applications to recruit 12 BTP directors — launched the initial phase of its support program's action plan on July 1st. This phase involved issuing a call for applications to recruit 12 BTP directors — a project backed by key sector stakeholders such as FRBTP, SEBTPAM, DEAL, ILOM, and skills operators OCAPIAT and CONSTRUCTYS.
This program, conceived and specially designed to address the challenges of the Construction and Public Works sector, is based on the following observation: BTP companies constantly seek to increase their productivity, production capacity, and/or identify technical, design, or usage innovations, as well as to reduce costs to enhance competitiveness.
With this coaching and training program, LAKOUDIGITAL places immersive and exploratory methodologies at the heart of director support, relying on Design Thinking, prototyping, prospective design, and open innovation. These methodologies are divided into 5 competence modules:
1- Planning construction sites and managing stakeholders (employees, suppliers, subcontractors);
2- Managing stocks and supplies according to different construction sites and territorial constraints;
3- Finding new clients in line with specific skills and abilities (specialization);
4- Clarifying market positioning, structuring, and training employees;
5- Drawing inspiration, innovating, and developing new products or services to generate additional revenue.
At the end of this support program, directors will possess the keys to:
Increase production capacity by 30%;
Reduce instruction/contracting lead times by 50%;
Improve cash flows to reduce the Working Capital Requirement (WCR) by 15%.
Our Contribution: Facilitating Digital Culture and Fostering an Innovation Approach
We've designed this training-action program with one goal in mind: to support BTP sector directors in their quest for efficiency and performance by introducing them to methods aimed at structuring and stabilizing existing practices, ultimately creating a fertile ground for constant and sustainable growth through digitalization.
For small businesses in our region, initiating a digital transformation process is particularly challenging, especially if a continuous improvement mindset has not been established beforehand. We expect this experimentation to help us find the right method to kickstart the development of participating companies, paving the way forward. It's worth noting that this support program is fully funded. In this sense, it represents a real opportunity for business leaders to test and learn new things, under optimal conditions, alongside seasoned professionals.
This step marks a true turning point for the profession. While it valorizes our small businesses, it also addresses a major challenge of image and modernization for the BTP sector, often perceived as archaic and sedentary. For the sector to attract a diverse and ample pool of young talent, it must renew itself.
This collective intelligence-based program has two essential components: director support and training, as well as instrumentation, which involves testing new techniques to improve the quality, comfort, and energy efficiency of structures, for example, by adopting resilience in the early stages of construction. The goal here is twofold: to address existing gaps and learn to do better while saving time. We hope this pilot project resonates with a wider audience and doesn't remain an isolated initiative.
A press conference to kick off this support program was held on July 12th at LAKOUDIGITAL, a training-action program fully funded and led by seasoned local professionals familiar with the sector's challenges and pedagogical engineering for personalized peer support. Selected directors will commit for a period of one year starting in September 2022.
Latest News: Countdown initiated!
On Wednesday, December 14th, the launch event for the digitalization support program for BTP companies took place. This was an opportunity for laureates and partners to meet and exchange views on their respective expectations. Élodie EUGÉNIA-CHARLOTTE, co-founder and director of EYE Consulting, was invited to present the program and share her thoughts on the selected laureates:
"I had the chance to speak with three-quarters of the 2022 cohort, and I must say I am very pleased. The goal is to build, to construct together. You are pioneers! I see before me business leaders with a vision and the necessary ambition to make it happen. Our aim is indeed to contribute to making the BTP sector more attractive through collective strength. We will be demanding and challenge throughout this program — be ready."
On this occasion, the name and logo of the program, created by the LAKOUDIGITAL team and its partners, were unveiled. The 2022-2023 cohort of the "BTP Lab, building responsibly and sustainably" is launched! We hope this pilot project will be continued in the future.
To go further: website — LinkedIn.
For inquiries, please contact Zied Dahmane at zied@lakoudigital.com.
In 2018, the IEDOM presented in its report "seismic and cyclonic standards compliance," as well as "the development of the digital sector," as opportunities to seize at the local, national, and even international levels. The relevance of training offerings was also questioned and placed in perspective with the continuing lack of interest associated with the professions. These were identified as avenues to initiate the revitalization of the sector. Four years later, we can only rejoice in the efforts made in this direction.
*Sources:
https://www.cerc-martinique.fr/wp-content/uploads/2020/05/PRSA-BTP-Martinique-29-avril-2020.pdf
https://www.insee.fr/fr/statistiques/fichier/3294160/ma_ind_07_p3.pdf
http://www.senat.fr/rap/r19-620/r19-6206.html#fnref93
https://www.cerc-martinique.fr/wp-content/uploads/2020/05/QS_Impact-e%CC%81conomique-COVID_CCIM.pdf
ABOUT:
Based in Martinique and founded in 2019 by three partners, EYE Consulting is a consulting firm specializing in organization, management, and digital strategy, dedicated to organizations in overseas territories of all sectors and sizes. With its modern approach adapted to the challenges of local actors, EYE Consulting works to improve the performance of leaders and managers by helping them work more efficiently, increase their turnover, optimize their cost structure, and get the most out of their human resources. EYE Consulting is working to reinvent consulting standards and the operating methods of local organizations to enable them to become more efficient and adapt to the new needs of their clients and the market..
To go further: newsletter — website — LinkedIn.
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Press Contact: Laëtitia JURAVER, marketing@eyeconsulting.fr
