87% of contractors say AI is nearing a tipping point for construction, but most haven't adopted it yet

Contractors say AI is moving from hype to jobsite value, with 87% expecting real change. Early users already report big wins-92% on proposals and 86% on contract risk review.

Published on: Dec 05, 2025
87% of contractors say AI is nearing a tipping point for construction, but most haven't adopted it yet

Contractors See AI Moving From Hype To Jobsite Value

A new report from Dodge Construction Network, in partnership with CMiC, points to a clear trend: optimism is high, adoption is early, and results are already showing up where it counts. 87% of contractors say AI will meaningfully change their business. Early users report 92% effectiveness in automated proposal generation and 86% in contract risk review.

"For decades, construction firms have lacked the tools to transform the data they've collected into action. AI-enabled solutions are changing that," says Gord Rawlins, president and CEO of CMiC. "What makes these findings truly remarkable is that they represent real outcomes our customers and peers across the industry are experiencing today."

From task-doers to decision-makers

Contractors expect AI to pull project leaders out of busywork and into higher-value calls on schedule, cost, and quality. The focus is shifting from reactive updates to predictive insights that prevent problems before they hit the field.

  • 85% expect to spend less time on repetitive, mundane tasks
  • Over 70% believe AI will improve decisions by surfacing insights they might miss
  • 75% want to mine historical project data to learn faster and avoid repeat mistakes

Readiness: progress, but uneven

Adoption is still limited, but many firms are getting their house in order. Pilot programs and team prep are underway across the industry.

  • 40% have a dedicated AI budget
  • 38% are building implementation teams
  • 19% are adapting legacy workflows for AI
  • 51% are evaluating multiple AI-related changes across teams

Adoption gap vs. satisfaction gap

Awareness that specific project and company functions are AI-enabled ranges from 20% to 50%. Actual use is even lower-20 of the 23 functions studied are used by fewer than 15% of contractors.

Yet among those using AI features, 70% or more say they're highly effective compared to previous methods. That's a strong signal for faster rollout in 2026.

What contractors want AI to do next

Interest is strongest in practical, ROI-focused use cases that tie directly to risk, cash flow, and schedule.

Project management

  • 81%: Automated constructability analysis to catch field issues during design
  • 80%: Intelligent permit submission with automatic compliance checking
  • 79%: Autonomous project optimization that updates schedules and resources in real time

Company management

  • 76%: Dynamic pricing optimization based on market conditions and risk
  • 92%: Automated contract creation and management
  • 79%: Intelligent bid/no-bid decision support

Barriers: data comes first

Two concerns lead the list: data accuracy (57%) and security (54%). More than a third cite cost and internal resistance. Only 26% rate their current data quality as high.

"We designed this study to look at AI in the digital tools contractors already use because that may be the best route to address data quality," says Steve Jones, Senior Director, Industry Insights Analytics at Dodge. "It's also good to see many firms recognize the key challenges and the need for a rigorous approach."

Practical next steps for GCs, subs, and owners

  • Fix the data inputs: consolidate systems, standardize fields, and retire duplicate spreadsheets. Treat your PMIS/ERP as the source of truth.
  • Start with high-yield use cases: proposal automation, contract risk review, change-order drafting, and schedule variance alerts.
  • Pilot on projects with clean histories and clear success metrics (cycle time, win rate, margin protection, RFIs avoided).
  • Integrate with what you already run: connect AI features to scheduling, estimating, and document control-don't bolt on another silo.
  • Address security and access early: least-privilege permissions, audit trails, and vendor security reviews tied to your policies.
  • Upskill your team: short, role-based training for PMs, estimators, supers, and accounting to turn features into daily habits.
  • Measure impact: track hours saved, risks flagged, rework avoided, and cash conversion improvements.

Why this matters for real estate and development teams

Owners and developers benefit directly as schedules stabilize, change risk drops, and documentation tightens. Expect faster approvals, clearer bids, and earlier visibility into cost and scope issues-especially when contractors use AI inside tools you already share.

The bottom line

High awareness, strong interest, and real wins from early adopters suggest the industry is near a tipping point. The firms that clean their data and pick focused pilots will convert optimism into margin protection and fewer surprises on site.

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Skill up your team

If you're building internal capability for estimators, PMs, and back-office teams, browse AI courses by job to accelerate safe, practical adoption across roles.

About the study

Dodge, in collaboration with CMiC, surveyed contractor views on AI adoption, readiness, and impact across 24 project and company functions. Steve Jones summarizes it well: with strong interest and validation from early adopters, contractors look set for meaningful expansion in AI use.


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