Global State of AI in Construction Project Management
Arlene Hidalgo
Senior Content Writer
See the current state of AI in construction management, how it’s transforming projects, the challenges, benefits, and future trends with expert insights.
The construction industry is approaching its day of reckoning, where outdated processes and inefficiencies will just be too slow, require too many people, and be too expensive for us to build.
This is a familiar story. For too long, teams have been bogged down by spreadsheets, manual reporting, and fragmented communication.
With Artificial Intelligence (AI), things have changed. The future is brighter, better and I believe we’ll be able to build more, better and faster!
At Mastt, we believe that automation, AI-driven insights, and digital transformation are the keys to unlocking efficiency, reducing risk, and delivering projects on time and within budget. AI in construction empowers professionals with smarter tools to make better decisions and focus on what truly matters: building.
TL;DR
This report examines the evolving role of artificial intelligence in the construction industry, revealing key insights and emerging tensions:
AI is beginning to reshape processes and work practices across the sector.
There's a noticeable gap between AI's long-term potential and how it's currently being used.
Many stakeholders view AI primarily as a tool to address short-term operational issues.
Strategic, future-focused adoption of AI could deliver far greater value.
It also raises a provocative question: could some traditional roles eventually become obsolete in an AI-driven construction landscape?
Global AI Statistics in Construction Project Management
AI in Project Management Market Growth
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AI in Project Management Market Growth (2023-2028)
The AI in Project Management market is experiencing rapid growth, expanding from $2.5 billion in 2023 to a projected $5.7 billion by 2028, representing a 17.3% CAGR. This growth is driven by cost reduction initiatives, efficiency gains, predictive analytics capabilities, and automation of routine tasks.
Construction Spending & Market Size
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$14.7 TrillionTotal Industry Spending
Construction spending is expected to reach $14.7 trillion in 2025, creating massive opportunities for AI-driven optimization. The industry is experiencing 382,000+ monthly job openings, with rising demand for skilled labor in data centers, semiconductor plants, and energy projects. This scale makes the construction industry a prime candidate for AI transformation.
AI's Impact on Construction Productivity
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Projected Productivity Increase by 2030
+31%
AI-powered digital solutions could increase construction productivity by 31% by 2030. Technologies transforming construction include BIM, digital twins, robotics, and automation, which optimize project management, collaboration, and decision-making. This productivity boost represents one of the most significant potential impacts of AI in the construction sector.
Cost Reduction Through AI
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Projected Cost Savings Through AI Implementation
AI implementation is projected to reduce construction project costs by 20% while maintaining or improving quality. Predictive analytics helps anticipate delays, budget overruns, and equipment failures. Combined with the productivity improvements, this cost reduction makes a compelling business case for AI adoption in construction project management.
This research report set out to offer the industry a deep first look into the current state of AI in construction project management. What follows is opportunities, challenges and as you explore these insights, I encourage you to really open your mind to consider how AI can change our world as project managers.
For the construction companies and individuals that embrace AI today, will be the ones leading the industry tomorrow.
The AI Moment for Construction Project Management
Artificial Intelligence (AI) is reshaping industries worldwide and everyday we see and hear bold new claims of efficiencies and breakthroughs. This will happen to all industries, and construction is no exception. From predictive analytics to AI Agent automation, AI project management will be replacing humans, enhancing efficiency and reducing costs.
But how widely has AI for construction been adopted? What are professionals' sentiments toward using AI, and what are the biggest barriers to adoption?
To answer these questions, Mastt surveyed 150 leading professionals in construction project management across the globe. Respondents included experts from government bodies, major consultancies, and boutique project management firms, providing a comprehensive view of the industry's outlook on AI.
This report provides insights into AI adoption, its perceived benefits and challenges, and how it is expected to shape the future of construction project management.
Q1 - AI Is Gaining Ground in Construction, but the Industry Isn’t All In—Yet.
We asked construction project professionals whether they had used or experimented with AI tools in their role within the past year.
Have you used AI in your role within the past year?
AI adoption is rising, with 52.4% of respondents actively using AI-driven solutions. However, a sizable 47.6% remain hesitant, highlighting an industry still in transition.
Key Takeaways From AI Usage
52.4% of professionals have used AI tools in their role in the past year. But how does this compare to other industries? It lags behind several sectors:
Industry
AI Adoption Rate
Manufacturing
93%
Financial Services
91%
Marketing
90%
Healthcare
90%
Real Estate
75%
HR
60%
Insurance
59%
Construction
52.4%
While construction is making strides, there's still much opportunity to advance alongside other leading industries:
AI adoption is steadily increasing, though barriers still exist.
Professionals who have adopted AI report higher efficiency and improved decision-making.
Exponential Market Growth
Market grows from $1.8B to $12.1B by 2030
572% total market expansion
31% compound annual growth rate
Key Growth Drivers
Labor shortage mitigation
Rising costs & efficiency demands
Regulatory & safety requirements
Sustainability initiatives
Advanced digital technologies
Innovation Acceleration
Project planning & scheduling optimization
Real-time safety monitoring
Predictive maintenance
Automated construction processes
Energy-efficient design support
AI Tool Showdown – Who Really Wins the Adoption Race?
We asked construction project professionals what AI tools they used the most. ChatGPT leads the pack, but others are catching up.
AI Tool Showdown – Who Really Wins the Adoption Race?
From reducing admin overhead to enhancing decision-making, ChatGPT serves as a powerful assistant across all project phases.
The table below breaks down key ways the respondents shared it adds value and the specific tasks it can support daily:
Answers about contract clauses, ISO standards, earned value formulas, procurement strategies
Improves Communication
Drafts clearer emails, simplifies site instructions, translates technical terms for stakeholders
Boosts Tender & Bid Writing
Creates first drafts for methodology statements, schedules, risk registers, scope clarifications
Supports Training & Onboarding
Trains junior staff on tools, workflows, and project control concepts with tailored prompts
Enables Risk Brainstorming & Analysis
Helps identify risks, explore what-if scenarios, and suggest mitigation strategies
Q2 - The Future of AI in Construction Project Management Looks Bright!
We asked respondents to rate their feelings about AI’s growing role in construction project management, on a scale from 0 (Scared) to 5 (Excited).
How do you feel about AI's growing role in construction project management?
Sentiment Towards AI Survey Highlights
Strong Positive Shift: Nearly 65% of respondents rated AI's role in construction project management favorably (ratings 4 & 5), showing a clear industry-wide shift toward AI adoption.
Minor Resistance: Only 13.5% of participants (ratings 1 & 2) expressed skepticism, indicating that concerns about AI’s impact remain but are not dominant.
Neutral to Optimistic Trend: With over 20% rating AI neutrally (rating 3), the data suggests that many are still forming opinions, but the trend leans toward acceptance and integration.
Drivers of AI Adoption in Construction Industry
Labor Shortage & Costs
Persistent shortages and high costs drive automation needs.
AI-driven robotics and automation fill gaps by performing labor-intensive tasks.
Solutions Component segment expected to reach US$8.0 Billion by 2030 with 30.5% CAGR.
Productivity & Efficiency
AI tools boost productivity with fewer staff.
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AI algorithms analyze historical project data to create realistic timelines and anticipate delays.
Services Component segment is set to grow at 32.1% CAGR over the analysis period.
AI streamlines project management and automates repetitive tasks, enabling faster completion and helping enhance productivity.
Safety & Regulatory Pressure
Stricter regulations drive AI adoption for safety.
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Heightened health and safety regulations push companies to adopt AI for proactive safety management.
AI-based monitoring improves compliance with evolving standards and enhances on-site safety.
Growing focus on sustainability driven by regulatory requirements is propelling AI adoption.
Why are Project Managers Neutral?
Many project managers remain neutral about AI in construction due to practical concerns and industry habits:
Change Resistance: Traditional workflows and uncertainty about AI’s benefits slow adoption.
High Costs: Upfront investment and unclear ROI make AI a tough sell for some firms.
Data Issues: Fragmented or poor-quality data limits AI effectiveness and raises privacy concerns.
Skills Gap: A lack of AI expertise makes implementation feel risky and complex.
These hurdles leave many PMs in “wait and see” mode as they weigh AI’s potential against real-world constraints.
Q3 - Construction Reporting & Document Management Benefit Most From AI
We asked which areas of construction project management could benefit most from AI-driven solutions.
Which construction project management areas could benefit most from AI?
Key Insights on AI in Construction Project Management
Top Areas for AI Impact: Reporting (23.4%) and Document Management (21.3%) lead, showing demand for automation in data handling.
Scheduling & Risk Management: High interest (19.9% & 17.7%) highlights AI’s role in optimizing planning and risk prediction.
Efficiency-Driven Adoption: Focus on reducing manual work and improving decision-making in data-heavy areas.
How AI is Transforming Key Areas in Construction Project Management
AI in Reporting
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Automates data collection and report generation.
Uses natural language processing (NLP) to summarize project updates.
Provides real-time dashboards for performance tracking.
AI in Scheduling
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Predicts delays and suggests optimized schedules.
Uses machine learning to adjust timelines based on real-world variables.
Automates workforce and equipment allocation.
AI in Risk Management
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Identifies project risks through predictive analytics.
Monitors safety compliance using AI-powered video analysis.
Analyzes historical data to prevent cost overruns and safety hazards.
AI in Document Management
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Uses OCR (Optical Character Recognition) to digitize and organize files.
Automates version control and compliance tracking.
Extracts key insights from contracts and legal documents.
AI in Change Management
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Detects changes in project scope through automated comparison tools.
Predicts cost and time impact of changes.
Suggests optimal responses based on past project data.
AI in Payments
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Automates invoice processing and approval workflows.
Uses AI-driven fraud detection to prevent overpayments.
Forecasts cash flow and payment schedules based on project trends.
Q4 - Challenges in Construction Project Management & AI’s Role in Addressing Them
We asked construction industry professionals what are the top challenges project managers face in their job.
Top challenges construction project managers currently face in their profession.
Key Takeaways on Construction Project Challenges
Budgeting & cost management is the top challenge, highlighting financial constraints. Cost tracking, overruns, and profit control are major challenges. Teams struggle to integrate actuals, estimate early, and stay on budget
Communication & collaboration remain critical pain points for project success.
Task prioritization, stakeholder management, and resource allocation are key hurdles, while compliance and scheduling pose more minor but relevant issues.
💡 Did You Know?
0of projects came within 10% of budget in the past 3 years
Risk Management: AI models predicting safety hazards and delays.
The Data Edge: Why AI's Top Impact in Construction Market is Insights
Surfacing insights from the sheer volume of project data—spanning budgets, schedules, safety reports, and supply chains—is one of construction project management's most challenging and time-intensive aspects.
AI is uniquely equipped to tackle this challenge. Its capacity to quickly process, connect, and interpret massive datasets enables project managers to uncover hidden patterns, make sharper forecasts, and take proactive actions.
Q6 - If Project Managers Had a Magic Wand, AI Would Magically Optimize Data, Risk, & Cost
We asked project managers what AI tools they would like to see explicitly developed if they had a magic wand.
Hover to discover:
If you had a magic wand, what AI tools would you like to see developed specifically?
What Construction Professionals Want Most
1. AI to Solve Data Integration Challenges (28.6%)
Teams are struggling with siloed systems, double-handling, and the disconnect between actuals and cost trackers. These inefficiencies drain time and obscure insight. AI has the potential to eliminate this friction—automating data flows, syncing platforms, and unlocking value through true integration across cost, schedule, and risk.
AI for predictive risk management and cost estimation shows moderate demand, reflecting a desire for AI-driven insights to identify project risks, prevent overruns, and improve financial accuracy. These tools would be key in optimizing resource allocation and reducing uncertainties.
3. Lower but Notable Demand for Collaboration & Construction Contracts
While Collaboration Tools (7.1%) and Contract Analysis (5.7%) have smaller bubbles, their presence indicates interest in AI tools for enhancing teamwork, automating document review, and improving project governance. These areas may not be the top priority, but AI-driven improvements could still increase project workflow efficiency.
4. Other Responses
Marketing Automation AI: AI tools to attract quality leads and enhance business development.
Facilities & Asset Management AI: Tools for monitoring infrastructure, aligning with risk management, and predictive analytics.
Comprehensive AI Suite: Smart Data Manager, Document Quality Checker, Risk Predictor, and Visual Dashboard Creator, covering data integration, contract analysis, and risk prediction.
Q7 - Why AI Adoption is Stuck: Gaps in Knowledge & Integration
We asked project managers about the biggest barriers to adopting AI in their projects.
What are the biggest barriers to AI adoption for construction PMs?
Top Barriers to AI in Construction Adoption: Key Insights
Data Privacy is the Biggest Concern: Data privacy concerns (25.7%) top the list, emphasizing the need for stronger cybersecurity measures and clear data protection policies in AI adoption.
Integration Challenges Slow Adoption: Lack of integration with existing tools (22.8%) and lack of understanding (20.8%) highlight technical barriers and knowledge gaps, making seamless AI implementation difficult.
Cost Remains a Major Obstacle: High initial cost (18.8%) remains a significant concern, particularly for smaller firms, despite AI’s long-term efficiency gains.
Other Barriers For AI In Construction
Ethical and Governance Concerns
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Ensuring AI compliance with industry regulations, addressing bias, fairness, and accountability in decision-making.
Unpredictable Environment and AI Adaptability
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Construction sites are highly dynamic, making it challenging for AI to adapt to changing conditions and unexpected events.
Learning Curve and Training Needs
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Even when AI tools are available, project managers and engineers need training to effectively integrate AI outputs into their workflows.
Industry Collaboration and Knowledge Sharing
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Larger firms and industry groups are increasingly sharing case studies and guidance to help smaller companies adopt AI more efficiently.
"From Mastt's point of view, data sovereignty and security is a big concern for our customers in adopting AI. People want to know their data is not leaving their database, not being used for training, and not going offshore. Safe and trusted AI is needed, for the industry to fully adopt."
AI adoption in construction project management comes with significant challenges. Here’s how to overcome these hurdles and drive innovation.
Barrier
Strategy
High Costs
Start with pilot projects, use cost-effective AI tools, seek financial incentives, and plan for long-term ROI.
Lack of Technical Expertise
Upskill workforce, hire AI experts, collaborate with tech providers & universities, and create interdisciplinary teams.
Regulatory and Legal Challenges
Stay informed on regulations, develop AI policies, engage with industry bodies, and ensure robust cybersecurity.
Cultural Resistance to Change
Ensure leadership support, involve employees early, educate staff, start with small wins, and use structured change management.
Q8 - More Productivity, Fewer Surprises
We asked how project managers see AI transforming construction project management.
How Construction Professionals Expect AI to Impact Their Work
Negative
Neutral
Positive
Key Insights on AI’s Impact in Construction Project Management
Efficiency Gains Lead the Way: The top response, "AI will save me time" (23.2%), highlights how professionals see AI as a productivity booster, reducing manual tasks and streamlining workflows.
Risk and Data Insights Drive Value: "AI will alert me to risks/issues earlier" (21.6%) and "AI will unlock data insights" (20.8%) show a strong demand for AI-driven predictive analytics and data-driven decision-making.
Uncertainty and Resistance Exist: While only 2.4% fear replacement, 12% remain unsure about AI’s impact, suggesting that education and clearer implementation strategies are needed to drive adoption.
Q9 - AI’s Expected Long-Term Impact on Construction Industry
We asked construction project managers how they believe AI will transform construction project management over the next decade.
Below are the top 10 responses to the survey question:
How will AI transform construction project management over the next decade?
Looking ahead 10 years, the most transformative AI-driven innovations are expected to include:
Efficiency: AI-powered tools will take over repetitive, manual tasks—like data entry, progress tracking, and reporting—saving time for people and reducing administrative overhead. This time gets reinvested into higher-value work, accelerating delivery and cutting project delays.
Data Accuracy & Insights: Real-time data collection and AI-driven analytics will improve accuracy across the board, enabling smarter, faster decisions. No more chasing spreadsheets—teams will work from a single source of truth that updates automatically.
AI-Driven Forecasting: Predictive models will become more precise, drawing on historical data and live project inputs to anticipate delays, cost overruns, and resource needs before they happen—turning reactive firefighting into proactive control.
Risk Management: AI will help monitor site conditions, track compliance, and flag safety issues in real time—minimizing human error, improving worker safety, and helping teams stay ahead of regulatory requirements.
Summary & Conclusion
The future is AI-Driven: smarter, faster, & more efficient construction project management. The global construction industry stands at a turning point where AI is no longer a future concept but a present-day necessity. As this report highlights, AI-powered tools are already permeating construction project management by enhancing efficiency, improving decision-making, and reducing risks.
"Positively in ways I don't yet envision." - Anonymous Participant
While challenges like data security, integration barriers, and change resistance remain, the industry’s sentiment toward AI is positive and shifting more so. Nearly 65% of construction professionals view AI as a positive force, indicating that momentum is building. The companies that invest in AI today will lead the future of tomorrow.
However, from this research, it is clear that the construction industry has not developed or thought broadly about the great opportunity that AI can present. Most respondents still see AI as a way to fix a problem they have for a job today, when that job might not even need to exist.
"The construction industry needs to open its mind and think much more seriously about the application of AI. This will take time, and it's Mastt's job to help move thinking in this direction."
Companies that embrace this thinking and push to expand use cases, automate work, and develop deep AI capability will gain a serious competitive edge. In an industry where margins are tight, timelines are critical, and inefficiencies are costly, leveraging AI in construction can drive out-of-this-world 100x improvement on the competition.
Research Methodology
The survey gathered 151 qualified responses from professionals across the globe between October and December 2024. Respondents were recruited through a range of Mastt-owned and partner channels, ensuring a broad reach within the industry.
Recruitment channels included:
Industry newsletters
LinkedIn outreach
Professional networks and webinars
Direct email invitations to Mastt's user base and subscriber list
Some multi-select responses are displayed as a percentage of total unique respondents, rather than total frequency, to provide more accurate insights.
Respondents came from a globally diverse range of organizations within the construction project management space, reflecting perspectives from both public and private sectors.
Organizational types included:
Government agencies overseeing capital and infrastructure projects
Large global consulting and engineering firms
Mid-sized and boutique project management firms
Technology vendors and platform providers within construction
This diversity ensured the results captured a broad view of industry sentiment toward AI adoption.
The majority of participants held senior and mid-level roles directly involved in project delivery, planning, and oversight within capital works and infrastructure.
Common roles included:
Project Managers
Program Managers
Project Controls Specialists
Directors and Executives in Delivery and PMO roles
For the purpose of this survey, a "construction professional" was defined as anyone actively engaged in planning, managing, or executing capital or infrastructure projects.
Arlene is a content marketing expert with over a decade of experience helping construction project management professionals build authority. She creates impactful content that simplifies complex concepts, engages stakeholders, and highlights industry expertise. Her work ensures your projects, insights, and innovations stand out in the competitive construction landscape.
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