2026 Construction Industry Trends: 8 Problems Owners and GCs Can Solve Now
It’s 2026, and we still don’t have flying cars or live in circular orbit around the planets of the inner solar system.
But many predictions about the future get ahead of themselves. Early indicators and first-generation technology are not a promise of immediate results. It’s hard to know what to expect as a business, and even harder to predict the timeline of advances.
However, there are a few things in the coming new year that we at Kahua CAN predict with confidence. We’re always watching industry trends and paying close attention to our customers’ problems and needs.
We have identified eight persistent problems in the industry, how these issues will improve over the coming year and how owners and GCs can benefit and start getting ready for the near-term future today:
- Spreadsheet sprawl
- Email-as-a-Process (EaaP! See what we did there?)
- Cashflow pressure
- Inconsistent PM practices
- Siloed organizations
- Manual A/P flow
- Tool fatigue
- Asset handover
1. Spreadsheet Sprawl
Most large organizations have some kind of software in place to track capital planning at the corporate level; but for many, the day-to-day tracking of budgets and project tracking still live in spreadsheets, where info must be entered manually and version control is a big problem.
2026 Industry Trend
In 2026, we expect a concerted movement toward shared dashboards and common data environments (CDEs) instead of one-off spreadsheets. As a result, organizations will have better access to data visualization and forecasting tools at both the project and portfolio level.
This will be a boon for owners who bear the greatest risk in the form of outdated portfolio forecasts.
GCs will also be able to improve financial tracking and spot trends using historical data to root out inefficiencies, like using a vendor for multiple projects who is consistently late. Dashboards and CDEs also give field teams the mobile tools they need to work quickly.
Read it: Ready or Not: 7 Ways to Format Construction Spreadsheet Data for AI in 2026
2. Email-as-a-Process
Does this sound familiar? You have hundreds or thousands of emails in your inbox with submittals, RFIs, invoices and approvals. When you respond to one, it starts a chain reaction of replies as people CC other approvers, start one-off threads and add PDF attachments.
Enough with the emails, already!
2026 Industry Trend
We may not have flying cars or orbital outer-space living, but this one is big! Email is out, and structured communication is in.
We anticipate the new year will mark a shift toward structured communication channels, digital approval workflows, structured data and (thankfully) clearer audit trails. Structured communication also lends itself to more mobile-friendly tools that improve collaboration between the field and office, as well.
We want to call attention to structured data in particular, because quantitative information is critical for AI training and decision-making. Unstructured information from emails, chat logs, images and PDFs, for example, is inconsistent and difficult to analyze, both for humans and for AI.
Program owners will gain the obvious benefit of not missing approvals or change orders buried in an inbox; they will also see improved accountability and documentation for compliance audits and funding oversight.
GCs will see the benefit of faster submittal and RFI turnaround times, and more consistent documentation among subcontractors.
3. Cash-Flow Pressure
Do your cashflow ins and outs match your planned budget and burndown chart? As difficult as this is to track at the project level, it’s even harder to balance expense projections and funding from multiple sources to the program level.
2026 Industry Trend
In the coming year, we think there will be increased scrutiny on portfolio-level forecasting. And with that, we anticipate greater integration between financial planning and project delivery data.
As AI continues to mature and become more trustworthy, more organizations are likely to invest in AI and predictive analytics related to spending vs. schedule.
Owners can benefit from clearer long-term funding outlooks for boards and leadership. This will be especially important as disruption from global tariffs and conflict is likely to continue roiling manufacturing supply chains, materials prices and the U.S. economy in general.
GCs can look forward to more accurate estimating and resource planning in 2026.
4. Inconsistent Practices Across PMs
Every construction project manager wants things to be done in a certain way.
The problem arises when project managers in a complex organization, working on different teams and projects, do not often use the same systems, processes or even the same technology as their fellow PMs.
2026 Industry Trend
We expect a greater emphasis on standardized workflows across departments and simplified tech interfaces. We also expect stronger top-down enforcement of consolidation and consistent use and adoption, especially considering the federal mandate to become leaner and more efficient.
Related to the increased use of AI, we also expect to see more role-based digital practices that support different levels of comfort with AI and other technologies.
Owners can benefit from more consistent tech processes because the related project governance and documentation are more predictable. This will also reduce friction when projects change hands between departments or PMs.
GCs may see greater consistency in field reporting and faster, easier training for subcontractors and employees using field/mobile tools.
5. Organizational Silos
It's not just PMs who like things done their way. The problem described in #4 above is multiplied when departments operate in silos and lack systematic visibility. Schedules, contractors, budgets, timelines and profit are all at risk.
2026 Industry Trend
We've all heard the “siloed data” talk; now it’s time to walk the walk. In 2026, we think cross-department data sharing will be expected and required more frequently: table stakes for large organizations.
We think organizational dashboards (see trend #1 above) will make departmental discord more obvious to leadership teams. This increased visibility and scrutiny will give organizations the opportunity (and motivation) to boost interoperability between construction, engineering, operations and other project functions.
In owner-led organizations, leadership teams will gain insight into their entire capital portfolio, which will ultimately lead to better long-term strategies. They will also be able to reduce redundant spending and better coordinate complex infrastructure.
GCs will be able to schedule work more reliably and see better coordination between field, engineering and project teams.
6. Manual Cashflow Management
Is your finance and accounting team struggling to keep up? Entering invoice information manually, sending invoices via email, coding and re-entering information into the accounting system is very error-prone and slows down approvals and payment.
2026 Industry Trend
Your A/P team may get lucky in 2026: We’ve already observed a growing interest in automated coding and routing practices—and we expect more choices and better use of digital invoice intake methods. With an increase in automation in the A/P process comes better communication between project documentation and financial systems
For owners, better accounting automation will result in accurate, up-to-date visibility into overall capital spending and project health; not to mention more efficient data entry and fewer accounting errors.
The benefit to GCs may be even greater, in terms of faster payment cycles and less need to assume the financial burden of the project while you (and your subs) wait for payment. Contractors should also see more accurate job cost records with less manual reconciliation.
7. Customization Fatigue
Legacy in-house software systems, and even some low-code tools, require constant custom development and are hard (read: expensive and take forever) to update.
2026 Industry Trend
In 2026, we expect simpler no-code development to configure systems for complex organizational requirements. That means fewer IT tickets, faster updates and the ability to pivot system workflows in response to new regulations or requirements.
We also expect to see a greater emphasis on ease of adoption across diverse user groups, as development moves beyond the hands of IT.
This ain’t your grandma’s software customization.
Project owners will be less dependent on custom scripts or the IT ticket backlog. Additionally, systems and processes will have greater longevity because they can be more easily updated on an ongoing basis.
GCs will be able to lighten up on the training for field employees and subs and will experience less downtime when internal experts aren't available.
8. Project Handover
Every organization thinks long and hard about the project, beginning to end. But the critical project handover to operations and maintenance—or to the owner, if you’re a GC—tends to get much less consideration, even though it is arguably the most important step in construction!
Warranties, model numbers, manufacturer specs, operating and emergency procedures, asset location: All of this critical data is collected inconsistently, or not at all, during the construction process. Finding this information takes 6-12 months on average and can delay operations significantly.
2026 Industry Trend
Kahua has built its reputation on asset centric project management, and we expect this approach to increase alongside the use of structured assets during project handover in 2026. It presents a huge opportunity to boost efficiency and cut costs without sacrificing anywhere.
Data will be collected and linked to assets throughout the project design and construction project, in a consistent digital format, rather than assembled at the end. Additionally, asset information—in a consistent, structured format—can be integrated with other related systems like BIM, CMMS, ERP and GIS.
Owners will see lower lifecycle costs, since they can give O&M teams everything they need to be operational on day one. They will also save time and heartache by skipping the “project after the project”
GCs will get the benefit of a better owner relationship with a cleaner, more complete closeout. Even better, they’ll field fewer calls after closeout, because the owner will have everything they need to reference in a consistent, logical format.
Many advances in technology still seem like science fiction today, and as far away as Mars; but it’s comforting to remember that our more immediate future is also getting better all the time: in terms of efficiency, communication, collaboration and our day-to-day work.
Whatever else 2026 may bring, we predict that the construction industry will be at the forefront, and we’ll pave the path together.
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