Technologies – Cemex Ventures

5 Keys to Boost Construction Productivity

Cemex Ventures Marketing — Tue, 05 Aug 2025 08:41:14 +0000

What is Construction Productivity?

Construction Productivity is more than just a buzzword. It’s the lifeblood of any project, the deciding factor that can mean the difference between a resounding success and a financial headache. In the competitive world of building, have you ever wondered why some projects finish on time and on budget, while others drag on endlessly? The answer often lies in one key idea: efficiency.

If you’re an industry professional, a construction company owner, a site manager, or an architect, you’ve likely asked yourself why your projects aren’t progressing as fast as you’d hoped. Does the feeling of watching deadlines stretch and costs skyrocket sound familiar? You’re not alone.

The construction industry, vital for economic development, often faces challenges that slow productivity.

In this article, we’ll explore how productivity isn’t just a metric but a strategy to optimize every brick, every hour of work, and every machine. From Cemex Ventures, we’ll share 5 essential keys to transform the way you manage your construction projects and supercharge productivity.

Dive into this article full of tips!

From the Stone Age to the Digital Age: Poor Planning is Your Worst Enemy

Did you know the first lesson in project management was learned the hard way in the Stone Age?

Imagine the first clans trying to build a stockade for protection. One of them, instead of choosing thick logs and setting them in solid ground, opted for thin branches and leaned them against the soft riverbank. The result: the first storm washed their “masterpiece” away without a trace, and they had to start from scratch.

This primitive example reminds us that, even in the age of technology, a bad choice during the planning phase can cause a project to literally disappear before it even begins.

An alarming 60% of construction projects suffer delays and cost overruns due to poor planning. For decades, the industry has clung to outdated, manual planning methods that are prone to error. The solution, however, is within our grasp: leveraging new solutions in the industry will significantly help us achieve more precise planning.

Building Information Modeling (BIM) is a perfect example. This technology allows you to visualize the project in 3D, detect design clashes, and optimize the construction sequence before a single brick is laid. By moving problems from the construction site to the office, you can save a significant amount of time and money. Additionally, project management software allows all team members to collaborate in real-time, efficiently allocate resources, and track progress from a single dashboard.

Ride the AI Wave: Artificial Intelligence Isn’t Just Science Fiction

Just as the T-800 famously promised in the iconic movie Terminator, “I’ll be back,“ artificial intelligence (AI) has delivered on that promise, not as an apocalyptic threat, but as a new and transformative reality.

In recent years, AI has evolved from a futuristic concept into an indispensable tool across various industries, and the construction sector is no exception.

Beyond Intuition: Data-Driven Decision-Making

Traditionally, on-site decision-making has often been based on the experience and intuition of seasoned professionals. While this wisdom is invaluable, it can also lead to costly mistakes and a lack of objectivity.

This is where AI steps in, not as a luxury but as a fundamental tool to optimize processes and enable smarter, data-driven decisions.

Key Applications of AI in Construction

AI is revolutionizing the industry in multiple ways:

Predictive Analytics: Using historical data from past projects, AI algorithms can accurately anticipate potential delays, unforeseen risks, and material needs. This enables project managers to shift from a reactive to a proactive approach, thereby mitigating problems before they occur.
Safety and Automation: Jobsite safety is a top priority, and AI enhances it significantly. AI-equipped drones monitor progress and detect deviations from the original plan, while robots automate repetitive and dangerous tasks like welding or heavy lifting. Furthermore, AI-powered safety systems can monitor the environment in real time to detect risks (such as the absence of personal protective equipment or the presence of intruders in high-risk zones) and alert workers instantly.
Design and Planning: Generative design software with AI can optimize architectural plans to maximize energy efficiency or minimize material waste, exploring thousands of options in minutes. This not only accelerates the design phase but also contributes to the sustainability of projects.

In short, AI is not here to replace construction professionals but to empower them, making jobsites more efficient, safer, and profitable than ever before.

Material Waste: Your Wallet and the Planet Will Thank You

Material waste is a global problem. It’s estimated that between 20% and 30% of construction materials are wasted on-site. This doesn’t just have a negative environmental impact; it also directly affects your profitability. Adopting Cleantech solutions is the answer.

Using sustainable materials, such as low-carbon concrete or recycled materials, not only reduces your carbon footprint but can also lead to long-term savings. Furthermore, using AI and inventory management software can help you predict exact material needs and drastically reduce waste. And let’s not forget the importance of waste management, with tools that help you sort and recycle construction waste.

Communication Disconnect: Traditional Methods Aren’t Enough

One of the main causes of project delays is a lack of effective communication among on-site teams, the office, and subcontractors. While useful, traditional methods aren’t enough to manage the complexity of a construction project. The solution is to implement specific communication and collaboration platforms for construction.

Mobile applications allow you to share plans, photos, reports, and updates in real-time, ensuring all team members have the most current information. Digital twins, which are virtual recreations of the project, allow all stakeholders to have a unified view of the progress. Finally, platforms that integrate data from BIM, project management, and inventory eliminate information silos and ensure a seamless workflow.

Human Talent: Training and Technology Are a Winning Team

Technology is a powerful tool, but without the right people to use it, its potential is wasted. Resistance to change and a lack of staff training can be a brake on the adoption of new technologies. That’s why investing in staff training and fostering a culture of innovation is crucial.

Offering Contech and Cleantech training to your workers will give them the skills they need to use new tools effectively. Additionally, you can create an incentive program to reward teams that achieve greater efficiency and productivity by using technology. Fostering a culture of innovation where experimentation and learning are valued is the best way to ensure your team is prepared for the future.

The technology is there, but are we preparing to use it?

Productivity in construction is no longer an option; it’s a necessity. Adopting technology isn’t an expense; it’s an investment that will allow you to reduce costs, shorten deadlines, and build more sustainably.

At Cemex Ventures, we are committed to finding and supporting the most innovative solutions. Join this movement and let us know about your solution or startup.

Machine Learning Applications Across the Project Lifecycle

Francisco Javier Osete — Tue, 29 Jul 2025 10:35:21 +0000

In the world of construction, infrastructure, and climate tech, the project lifecycle is a foundational framework that spans from initial concept to long-term asset management. It is typically divided into five critical phases: design, planning, construction, operation, and maintenance. Each of these stages presents unique challenges, ranging from resource allocation and scheduling to environmental impact and system efficiency.

In the nascent stages of machine learning, there was Moravec’s Paradox, an idea that in retrospect seems quite naive: it was thought that machines would struggle more with logical and computational tasks (like those used in structural design or resource optimization) than with skills that humans find “easy,” such as recognizing visual patterns on a construction site or understanding the complexities of a team conversation. As it turned out, computers quickly mastered the former, while the latter, incredibly complex computationally, posed a much greater challenge.

This paradox reminds us that, even in a sector as structured as construction, true innovation lies not just in automating what we already know how to do, but in the machines’ ability to “understand” and adapt to the complexities of the real world, where every brick and every decision has multiple implications. Today, machine learning allows us to optimize planning with complex algorithms and, at the same time, analyze drone images to monitor progress or predict infrastructure failures, tackling those very challenges Moravec’s Paradox taught us to underestimate.

The Project Lifecycle and the Role of Machine Learning

As the industry faces increasing pressure to deliver smarter, greener, and faster projects, Machine Learning (ML) is quickly becoming a transformative tool. ML, a subset of artificial intelligence, enables systems to learn from large volumes of data and make accurate predictions without being explicitly programmed. In construction and cleantech, this means optimizing timelines, minimizing waste, and proactively anticipating system failures before they occur.

AI and machine learning could generate $1.2 trillion in annual savings for the global construction industry by 2030, largely by enhancing productivity, minimizing delays, and improving asset performance

Rather than relying solely on past experiences or manual processes, forward-thinking startups and contractors are increasingly turning to data-driven decision-making across the entire project lifecycle.

In this article, we’ll explore five high-impact applications of Machine Learning across each stage of a project’s lifecycle, and how these innovations are reshaping the future of construction and sustainability.

Smart Design and Architectural Optimization

The design & planning phases are where key decisions are made that influence the cost, efficiency, and sustainability of a project. Machine Learning algorithms, especially those in the generative design field, allow architects and engineers to explore thousands of design permutations in seconds, optimizing layouts for energy performance, material usage, and cost.

Additionally, Machine Learning is being used to evaluate materials and construction techniques, identifying those with the lowest carbon footprint. According to the World Green Building Council, the building and construction sector accounts for 39% of global CO₂ emissions, highlighting the urgent need for intelligent design.

By integrating ML in early design decisions, firms can significantly reduce embodied carbon, improve energy efficiency simulations, and comply with environmental certifications more easily.

Real-Time Construction Management

The construction phase is often where projects face the most volatility, weather, labor, materials, and logistics all contribute to unpredictability. Here, Machine Learning, combined with computer vision and IoT sensors, provides powerful real-time insights that help project managers stay ahead of risks.

Through camera feeds, drones, and LIDAR scanning, ML models can identify deviations from plans, detect safety risks, and predict delays or equipment failures before they occur.

According to a study by Deloitte, AI-powered solutions can reduce construction delays by up to 15% by proactively addressing errors in scheduling, planning, or execution.

Data-Driven Operational Efficiency

Once a project is completed, the focus shifts to ensuring efficient and sustainable operation of the asset, be it a building, energy plant, or urban infrastructure. Here, Machine Learning offers a continuous optimization loop.

ML algorithms ingest real-time data from IoT-connected systems to automatically regulate consumption, improve comfort, and lower operational costs. This approach is key to achieving net-zero energy goals and complying with green building standards.

For example, smart buildings that implement ML for energy management can reduce energy consumption by up to 30%, according to the International Energy Agency.

Additionally, smart grids powered by ML allow for real-time forecasting of energy demand and supply, improving the reliability and resilience of renewable sources such as wind and solar. Some companies are leading this innovation, providing predictive analytics for grid optimization and asset dispatch.

Predictive Maintenance and Continuous Improvement

The final stage of the lifecycle, maintenance and asset management is where Machine Learning delivers long-term ROI. Instead of scheduled or reactive maintenance, ML enables predictive maintenance: systems that anticipate failures before they happen and recommend the optimal time for intervention.

This is particularly valuable in critical infrastructure, such as solar panels, wind turbines, or large mechanical equipment. ML models trained on sensor data can detect micro-anomalies—vibrations, temperature shifts, voltage drops—that signal degradation long before a breakdown.

According to IBM, predictive maintenance powered by ML can reduce unplanned downtime by up to 50% and cut maintenance costs by 25%.

Startups like SAALG Geomechanics, Concrete Sensors, and Optimitive, backed by Cemex Ventures, are already being adopted across the construction and infrastructure sectors to automate maintenance processes, enhance safety, and extend asset life. These solutions leverage real-time data and machine learning to optimize performance, reduce operational risks, and deliver measurable efficiency gains throughout the asset lifecycle.

In the long term, this translates into lower OPEX, improved system reliability, and enhanced sustainability performance driven by continuous learning from data.

Let’s Connect!

If your startup is innovating with cutting-edge AI or ML and has a vision to disrupt the status quo, get in touch today!

The Growing Impact of Data Center: Building the Future of Construction

Francisco Javier Osete — Mon, 07 Jul 2025 07:57:19 +0000

We live in a world powered by data. Every click, transaction, and digital interaction generates information that needs to be processed, stored, and protected. Behing all this digital activity lie data centers: The invisible backbone of our increasingly connected lives. While they may not be the most visible elements of the tech revolution, their impact on sectors like construction is both profound and growing.

In this blog, we want to explore how data centers are reshaping the construction landscape, driving innovation, sustainability, and efficiency across the board.

The Rise of Data Centers: A Digital Infrastructure Boom

Data centers have experienced explosive growth over the past decade. Gobal data center IP traffic is expected to reach 20.6 zettabytes annually by 2025, up from 6.8 zettabytes in 2026. This surge is largely due to cloud computing, the Internet of Things (IoT), Artificial Intelligence, and the massive amounts of data generated by businesses and consumers alike.

In response, the demand for a higher performance, energy-efficient, and scalable data center infrastructure has skyrocketed, presenting new challenges, and opportunities for the construction sector.

Data Center and Construction: A New Design Language

“That’s one small step for man, one giant leap for mankind.”

Neil Armstrong’s famous quote perfectly encapsulates the magnitude of the advancement that hyperscale data centers represent in cloud infrastructure. Just as the moon landing transformed our perception of space, these technological giants are redefining cloud computing, and of course, the construction industry.

Constructing a data center is no small feat. These facilities require highly specialized designs that balance energy efficiency, cooling requirements, physical security, and future scalability. Traditional construction methods have had to adapt quickly to meet the pace and precision these projects demand.

The Silent Revolution: How Data Centers Are Reshaping Construction

Data centers are profoundly impacting the construction sector. Their erection is no conventional task; it demands designs that meticulously consider energy efficiency, advanced cooling systems, robust physical security, and the capacity for future expansion. This demand has driven significant innovations in construction techniques:

Modular construction: This approach can slash build times by up to 50%, accelerating the deployment of critical infrastructure.
Prefabrication of components: Manufacturing components off-site ensures stringent quality control and enables faster, more efficient assembly on-site.
Digital Twins and BIM (Building Information Modeling): These advanced digital tools facilitate real-time monitoring and informed decision-making throughout the entire construction process, from planning to operation.

In essence, constructing a data center is akin to building a digital fortress. It must be secure, sustainable, and meticulously engineered for continuous, uninterrupted operation, often under extreme conditions. This specialization isn’t just transforming construction techniques; it’s also generating significant economic opportunities, fostering a strong demand for skilled workers proficient in high-tech systems and digital planning tools.

The Importance of Stored Data in the Construction Industry

Beyond the physical infrastructure, the data residing within these centers is equally revolutionary for the construction industry. A data center isn’t just an information warehouse; it’s the digital brain that drives efficiency, innovation, and strategic decision-making at every stage of a construction project.

This meticulously collected and analyzed data ranges from detailed BIM (Building Information Modeling) models and energy performance simulations to real-time progress tracking, supply chain analysis, and machinery fleet management. By centralizing and processing this vast amount of information, data centers enable:

Optimized Design and Planning: Architects and engineers can access historical and real-time data to optimize designs, predict material behavior, and simulate building performance before the first brick is even laid. This minimizes errors, reduces costs, and accelerates delivery times.
Efficient Project Management: From resource allocation and task scheduling to inventory control, data provides complete visibility and proactive management. This leads to increased productivity, reduced waste, and better allocation of labor and machinery.
Predictive Maintenance and Operations: Once construction is complete, the stored data from the building’s digital twins allows for predictive maintenance, identifying potential failures before they occur and optimizing energy consumption. This extends building lifespans and significantly reduces operational costs.
Continuous Improvement and Sustainability: Data analytics on past and present project performance offer valuable insights for continuous improvement. This is crucial for developing more sustainable practices, reducing buildings’ carbon footprints, and meeting increasingly stringent environmental regulations.

Energy and Efficiency: The Green Imperative

Data centers are notoriously energy-intensive. In fact, they consume about 1% of global electricity use, according to the International Energy Agency. However, modern designs are prioritizing sustainability, integrating renewable energy sources, advanced cooling systems, and more efficient hardware.

For construction companies, this shift means adapting to new sustainability benchmarks and integrating green materials and systems from the outset. The design and delivery of environmentally conscious data centers is no longer optional, it’s expected.

The Economic Impact: New Jobs, New Skills

The rapid expansion of data centers is also generating significant economic opportunities. The Uptime Institute estimates that the data center industry will require more than 300,000 new professionals globally by 2025 . For the construction industry, this translates into demand for skilled workers familiar with high-tech systems, energy regulations, and digital planning tools.

Additionally, regions that attract data center investments often see an uptick in infrastructure projects such as power grids, fiber optics, and transport upgrades. This creates a positive ripple effect across multiple sectors.

In the U.S. alone, data center construction spending surpassed $20 billion in 2023. That number is only expected to rise as cloud adoption deepens.

Challenges Ahead: Speed vs. Sustainability

As with any booming industry, data center construction faces its share of hurdles. Striking the right balance between rapid deployment and long-term sustainability remains a challenge. Some of the key obstacles include:

Land and energy access in urban centers

Cooling innovation in warmer climates

Compliance with evolving regulations on carbon emissions and energy usage

Construction companies must navigate these complexities while delivering projects on tight timelines and budgets.

Future Outlook: AI, Edge Computing, and Hyper-Scale

Looking ahead, the next wave of data center evolution will be shaped by trends like:

AI-powered data management: Requiring even more robust physical infrastructure

Edge computing: Leading to the rise of smaller, decentralized data centers closer to end users

Hyperscale facilities: Spanning millions of square feet and demanding entirely new approaches to construction

Conclusion: Building the Digital Age

Data centers may be invisible to most people, but their presence is increasingly felt in every facet of modern life. For the construction industry, they represent a new frontier of complexity, creativity, and opportunity. As the digital economy grows, so does the responsibility of builders, engineers, and developers to create infrastructure that is not just functional, but also future-proof.

Cleantech VC: The future of innovation

Francisco Javier Osete — Thu, 05 Jun 2025 08:14:43 +0000

Have you ever heard of cleantech? In 2024 alone, EU cleantech investment reached €23.4 billion across 76 deals—nearly tripling the previous year’s total. A historic first quarter accounted for €16.9 billion of that investment, fueled by mega-deals and increased backing from public financial institutions. Notably, cleantech venture capital (VC) activity spanned 23 of the 27 EU member states, highlighting the growing traction across the continent.

In the same year, €8.8 billion in venture capital was directed towards clean technologies, sparking a wave of sustainable technology innovations that are set to revolutionize various industries, including construction. In this article, we’ll explore how clean technologies are being applied in the building sector and why VC investment is essential to driving the next generation of green infrastructure. Let’s go!

What is cleantech?

First things first. Before we get into cleantech investment and what it all involves, let’s take a moment to break down what this term really means.

Cleantech (Short for “clean technologies” has grown beyond niche sustainability circles in recent years and is now gaining more traction than ever across mainstream industries. In simple terms, this concept refers to a broad range of technologies and companies focused on improving environmental sustainability. We’re talking about innovations and business models that tackle global challenges like climate change and resource depletion.

The cleantech umbrella covers a wide variety of products (such as solar panels and low-carbon cement), services, and processes across different sectors (energy, construction, transportation, materials, and chemicals, among others), all designed to:

Provide superior performance or decrease costs

Greatly reduce (or eliminate) environmental impact

Maximize the productive and responsible use of natural resources

The role of cleantech in the construction industry

As the construction industry intensifies efforts to reduce carbon emissions and lessen its environmental footprint. Cleantech is emerging as a key driver of sustainable transformation. Startups and leading construction firms are actively investing in and adopting clean technologies that promote eco-friendly building practices.

Cleantech in construction focuses on improving energy efficiency, reducing waste, and lowering emissions across the entire building lifecycle—from design and material selection to construction methods and operational performance. By integrating these solutions, the building industry is not only addressing environmental challenges but also unlocking new opportunities for cost savings and long-term value.

The evolution of venture capital in cleantech

In our recently published Top 50 Contech 2025 Report, the investment experts at Cemex Ventures shared some of the most valuable insights on the trajectory and outlook of cleantech investment throughout 2024. Amid a slowdown in venture capital activity, construction-related clean technology also saw a 15% drop compared to 2023 (2023: US$54B, 2024: US$46B). While this decline reflects ongoing market challenges, it also points to a window of opportunity for the adoption of breakthrough technologies in 2025. The Cleantech sector within the building environment has shown adaptability with a growing influx of investment driven by substantial public subsidies and increasing private sector interest in this field.

Fast forward, let’s dig into the information about the intersection of Contech and Cleantech in Q1 2025 — that is, solutions applicable to Contech which, due to their sustainability angle, CO2 mitigation, etc., can also be considered Cleantech. During this period, the sector reached an invested amount of USD 466.44M across 23 deals — a 93% and 44% increase, respectively, compared to 2024 (USD 241.19M invested across 16 deals).

Due to the positive start of the year in the investment activity in the Contech ecosystem, Cleantech-related transactions (applied to the built environment) have also experienced a considerable increase, compared to the same quarter last year.

Top Deals Q1 2025: Contech + Cleantech

Terra CO2 closed US$82M in Series B: Terra CO2, a leading US-based low-carbon building materials company, secured US$82 million in Series B equity commitments from a mix of financial and strategic investors. Read more!

Ana received US$50M from S2G Investments: Ana, a Henderson, NV-based mobile power and air solutions company, received a $50M investment from S2G Investments. Read more!

Reneo snapped €600M: Reneo, a Hamburg-based real estate technology and investment platform, has secured a €600 million capital platform. The funding will support the decarbonization of Germany’s residential real estate sector. Read more!

The latest (and most compelling) takeaways on cleantech investment

The European Commission’s Clean Industrial Deal, unveiled in February 2025, aims to boost the EU’s cleantech and heavy industries with €100 billion in funding over the next 10 years. Read more!

In 2024, China invested $940 billion in clean energy, approaching the $1.12 trillion spent globally on fossil fuels. Read more!

Since the Inflation Reduction Act, clean manufacturing has become the fastest-growing area of clean energy investment in the U.S., with quarterly funding jumping from $2.5B in Q3 2022 to $14B in Q1 2025. Read more!

In 2025, green hydrogen is emerging as a key pillar of India’s cleantech push, driven by the National Green Hydrogen Mission and rising private investment, positioning the country as a future global leader in green hydrogen production. Read more!

Asia-Pacific is emerging as a cleantech investment hotspot, with the region set to drive 60% of global GDP growth in 2024 and consume half the world’s electricity by 2025.

The International Renewable Energy Agency estimates that at least $150 trillion in global cleantech investment is needed by 2050 to keep warming below the 1.5°C threshold set by the Intergovernmental Panel on Climate Change (IPCC). Read more!

2025 trends in Cleantech

Energy appetite for AI

The computational power required to support AI’s rapid growth is doubling roughly every 100 days. This surge is driving a sharp rise in the number of data centers being built around the world, along with the energy needed to run them. As a result, AI and data centers are becoming major drivers of global electricity demand.

But it’s not just about how much energy is used, it’s also about when and where it’s needed. Data centers require a constant, stable power supply 24/7, which puts pressure on efforts to reduce emissions. This is sparking a global race to secure data center locations that offer abundant, clean, and reliable energy at scale.

Over the past year, major tech companies have ramped up investment in advanced nuclear technologies, from small modular reactors to fusion. These long-term solutions show promise, but most won’t be ready to deliver energy until the 2030s.

Google plans to increase capital investments to $75 billion in 2025 as part of its effort to expand AI and cloud capacity.

Transitioning to greener construction

The construction industry is shifting toward a more sustainable approach. Low-carbon construction aims to make building processes less harmful and more aligned with the environmental goals of the Paris Agreement.

Several startups are also embracing cleaner, more sustainable materials—commonly known as green building materials—such as hemp-based concrete, bamboo, precast concrete, mycelium, and recycled plastic, among others.

The global precast concrete market is expected to keep growing, with projections reaching USD 247.5 billion by 2035.

Continued focus on innovation on clean energy

The clean energy sector has been consistently innovating, and this momentum is expected to accelerate even more in 2025. This trend is evident in the growing investments and increased public funding for energy research and development, aimed at improving technical performance and efficiency, reducing costs, advancing emerging technologies, and inventing the solutions of the future.

Mature technologies like solar photovoltaics and wind turbines have already undergone this transformation over the past decades. Now, emerging technologies such as batteries and carbon management solutions are following their own innovation trajectories—driven by even greater urgency and rapid growth.

In 2024, global investment in clean energy reached a record $2.1 trillion, representing an 11% increase over the previous year and more than double the levels seen in 2020.

Cemex Ventures and Cleantech: A Strategic Match

Yes, at Cemex Ventures, we’ve totally clicked with cleantech. We’re all in on leading the construction industry’s shift toward a greener, cleaner future. Our team of investment pros is constantly on the lookout for the most disruptive clean technologies that can cut CO2 emissions and boost the circular economy. That’s why our investment portfolio proudly showcases what green construction is all about.

If you’re an entrepreneur with a breakthrough cleantech solution that could shake up the construction world—we’ve got great news for you! Construction Startup Competition (teamed up with industry giants like Caterpillar, Hilti Group, Ferrovial, VINCI Group’s Leonard, Haskell’s Dysruptek, and Zacua Ventures) is open for applications until June 22.

This is your chance to skyrocket your startup into a top-tier ecosystem of investors and major companies!

APPLY HERE

Cement & Concrete Substitutes: Sustainable Alternatives for Construction

Francisco Javier Osete — Wed, 21 May 2025 08:27:28 +0000

Concrete and cement have been the cornerstones of construction for centuries. They form the skeleton of our cities, from towering skyscrapers to critical infrastructure like bridges and tunnels. However, the construction industry is currently advancing at a dizzying pace, not only with new options and improvements to what we already know, but also with truly surprising sustainable alternatives for construction that are environmentally responsible and boast amazing quality and durability.

With the global population projected to reach nearly 10 billion by 2050, the demand for construction materials is set to skyrocket. This anticipated growth presents an exciting opportunity: how can we continue to build while embracing even more sustainable practices? Fortunately, researchers, engineers, and innovators around the world are developing sustainable alternatives to traditional cement and concrete. These substitutes not only lower emissions but often enhance performance, reduce costs, and open up new possibilities for greener architecture.

Curious about sustainable alternatives in construction industry! Keep exploring with us!

Why Look for Cement and Concrete Substitutes?

Transitioning to greener materials is no longer just an environmental choice—it’s an economic and structural one too. That’s why many major players in the construction sector are now focusing on researching alternatives, analyzing startups committed to sustainability and the industry, and implementing new technologies and alternatives that will lead us to that greener future.

What are the reasons for seeking these substitutes?

Reducing Carbon Footprint Traditional Portland cement production involves heating limestone and clay to extremely high temperatures, a process that releases massive amounts of CO₂. Alternative materials either produce less CO₂ during manufacturing or even sequester carbon.

Lowering Construction Costs: In many cases, industrial byproducts like fly ash or slag are cheaper than virgin materials. Reusing waste materials also reduces disposal costs and can attract tax incentives or sustainability grants.

Improving Material Performance: Some substitutes offer superior durability, greater resistance to chemical attack, and lower permeability, resulting in structures that last longer and require less maintenance over time.

Popular Cement Substitutes

The growing awareness of sustainability and the need to improve sector performance have driven the search for alternatives. Today, several very popular substitutes exist that not only offer environmental benefits by reducing CO₂ emissions but also can significantly enhance concrete properties.

Below, we present some of the most popular:

Fly Ash:
A byproduct of coal-fired power plants, fly ash is rich in silicon dioxide and calcium oxide, making it ideal for replacing a portion of cement in concrete. It enhances workability, reduces water demand, and significantly improves durability.

Ground Granulated Blast-Furnace Slag (GGBS):
Produced during the steel manufacturing process, GGBS provides high resistance to chemical attack and sulfate exposure, extending the lifespan of concrete structures.

Silica Fume:
A byproduct of silicon and ferrosilicon alloy production, silica fume increases the strength and impermeability of concrete, making it ideal for bridges, tunnels, and other critical structures.

Rice Husk Ash:
A renewable material generated from burning rice husks, it’s rich in amorphous silica and provides excellent pozzolanic activity, improving concrete’s compressive strength.

Limestone Calcined Clay Cement (LC3):
A revolutionary blend of limestone and calcined clay, LC3 reduces CO₂ emissions by up to 40% compared to traditional cement, without sacrificing performance or durability

Innovative Concrete Alternatives

As we told you before, the innovation in construction doesn’t stop with cement! As the industry continues to evolve, we’re seeing incredible advancements in concrete itself. Beyond the popular cement substitutes we’ve discussed, new types of concrete are emerging with enhanced properties and exciting applications. Some of these groundbreaking alternatives include:

Geopolymer Concrete:
Made by activating industrial byproducts like fly ash or slag with alkaline solutions, geopolymer concrete emits up to 80% less CO₂. It also offers excellent resistance to fire, chemicals, and shrinkage

Hempcrete:
A lightweight bio-composite made from the woody core of hemp plants mixed with lime. Hempcrete is naturally insulating, breathable, and even carbon-negative over its lifecycle, making it ideal for energy-efficient residential buildings.

Recycled Aggregate Concrete:
Instead of using virgin aggregates, crushed concrete from demolished structures can be reused, reducing demand for new mining operations and lowering transportation emissions.

Magnesium-Based Cements:
Magnesium oxides react with atmospheric CO₂ during curing, sequestering carbon instead of releasing it. These cements offer significant promise for carbon-neutral construction.

Bacterial Concrete (Self-Healing Concrete):
Self-healing concrete incorporates bacteria (such as Bacillus species) that produce limestone when water enters a crack, sealing it naturally. This innovation could extend the lifespan of structures and reduce maintenance costs dramatically.

Advantages and Challenges of Using Substitutes

Advantages:
– Environmental Benefits: Lower carbon emissions, reduced resource extraction, and less waste.
– Durability: Some alternatives outperform traditional concrete in resistance to chemicals, fire, and extreme temperatures.
– Cost Efficiency: Industrial byproducts and recycled materials can be cheaper and qualify for green building incentives.

Challenges:
– Regulatory Hurdles: Many building codes still prioritize traditional materials, requiring additional certifications for substitutes.
– Availability: Some materials like fly ash are region-specific.
– Performance Variability: Not all substitutes perform identically across different environments and project types.

How to Choose the Right Substitute for Your Project

Choosing the right eco-friendly material depends on several factors:

– Climate and Environmental Conditions: Materials like hempcrete perform exceptionally in temperate climates but may be less suitable for extremely wet environments.

– Structural Requirements: For high-load structures, materials like geopolymer concrete or GGBS mixes are often better suited.

– Local Availability: Using materials that are locally sourced, such as recycled aggregates or region-specific fly ash, reduces transportation emissions and costs.

Conclusion

The construction industry is at a turning point. Transitioning to eco-friendly substitutes for cement and concrete isn’t just about saving the planet—it’s about creating stronger, more efficient, and cost-effective buildings for the future.

Innovations like geopolymer concrete, hempcrete, and magnesium-based cements represent the frontier of sustainable architecture. Every decision to adopt greener materials contributes to a cumulative positive impact on our environment.

The future of construction is sustainable—and every material choice counts.

Ready to build a greener future? Participate now in our 9th edition of Construction Startup Competition 2025 and build the new construction rules! It’s your opportunity!

Biomass Energy Made Easy: Pros, Cons & How It Works

Francisco Javier Osete — Tue, 15 Apr 2025 13:13:17 +0000

Biomass energy is one of the oldest forms of energy used by humans – think of burning wood for warmth – yet it’s also a modern clean-tech solution. In today’s push for greener construction and sustainable power, biomass energy offers a way to turn organic waste and plant materials into useful electricity, heat, or fuel.

This post breaks down what biomass energy is, how it works, and its pros and cons, in a friendly and easy-to-understand way. We’ll explore why cleantech and construction professionals are giving biomass a fresh look as part of the clean energy mix.

What is biomass energy?

Biomass energy is a form of renewable energy derived from organic materials (biomass) like plants, wood, and animal waste. In simple terms, it’s energy from stuff that was recently living. This includes materials such as:

Wood and forestry residues
Agricultural crops and waste
Organic portions of garbage
Animal manure and sewage

These biomass sources can be used to produce heat, electricity, or even transportation fuels. For example, corn and sugar cane can be fermented into ethanol (a biofuel), and used cooking oil or soybean oil can be processed into biodiesel for trucks.

Did you know?
Landfill gas—mainly methane produced from decomposing waste—can actually be captured and burned to generate energy in certain projects.

Disadvantages & Challenges of Biomass Energy

While biomass offers many benefits as a renewable energy source, it’s not without its drawbacks. From environmental concerns to economic and logistical challenges, it’s important to understand the limitations that come with using organic material for power. Here are some key disadvantages and hurdles to consider when evaluating biomass energy.

Resource-Intensive (Land & Water):

Growing biomass can require large land areas and water use.
May compete with food production or harm biodiversity if not managed properly.

Emissions & Air Pollution:

Burning biomass releases pollutants like smoke, particulates, and gases.
Without modern controls, it can harm indoor and outdoor air quality.
Burning contaminated waste can release toxic emissions.

Lower Efficiency:

Biomass-to-energy conversion is often less efficient than fossil fuels.
Requires more fuel volume and handling for the same energy output.
Wet or low-density biomass further reduces efficiency.

Higher Costs (Currently):

Collection, processing, and transport can be expensive.
Biomass energy can cost more than solar, wind, or even fossil fuels in some cases.
Higher upfront investment may be a barrier for small businesses or startups.

Not Always Carbon Neutral:

Cutting forests for fuel releases carbon instantly; regrowth takes time.
Emissions from machinery and transport can reduce the overall climate benefit.
Biomass is only green if the supply chain is sustainable.

In summary, biomass energy’s downsides revolve around environmental trade-offs and practical challenges in sourcing and burning the fuel. It’s renewable, but only if we renew the resources. It’s cleaner than coal, but not emissions-free.

And it’s potentially low-carbon, but not automatically so – good practices and policies are needed to make biomass a truly sustainable part of the energy mix.Why is biomass considered renewable?

Because new plants and organic waste are continually growing or produced. Unlike fossil fuels which take millions of years to form, biomass can be replenished on human timescales – trees regrow, crops are harvested annually, and waste is continuously generated. In fact, biomass has been a major energy source throughout history and still accounts for a significant share of renewable energy today.

Globally, bioenergy (energy from biomass) is the largest renewable energy source, making up about 55% of all renewable energy and about 6% of total world energy supply. In the European Union, biomass accounts for ~59% of renewable energy consumption (as of 2021). Even in the United States, which relies heavily on fossil fuels, biomass provided about 5% of total primary energy in 2023

This shows that biomass energy is not a fringe idea – it’s a major player in the renewable energy mix worldwide.

How does biomass energy work?

Biomass contains stored chemical energy that originally came from the sun. Through photosynthesis, plants convert sunlight, CO₂, and water into organic matter. When we use that biomass as fuel, we’re releasing the sun’s energy that the plants stored. There are a few key ways this conversion happens:

Direct combustion is the simplest method: solid biomass (like wood, pellets, or agricultural waste) is burned to produce heat. This heat can directly warm buildings or generate steam to spin turbines for electricity. It’s used in biomass boilers, power plants, and combined heat and power (CHP) systems that supply both heat and electricity.
Thermochemical conversion involves heating biomass in low-oxygen environments to produce fuels. Pyrolysiscreates bio-oil, syngas, and charcoal, while gasification produces syngas (carbon monoxide and hydrogen), which can generate electricity or be converted into liquid fuels like renewable diesel using the Fischer–Tropsch process (A process that converts gases into liquid fuels). These methods allow for more flexible energy products than direct burning.
Biochemical conversion uses microbes to break down organic matter. In anaerobic digestion, bacteria produce biogas (mainly methane) from materials like manure or food waste. Fermentation converts plant sugars into ethanol. Both processes create renewable fuels that can replace fossil sources.

In all methods, the goal is the same: release energy from biomass to generate electricity, heat, or fuel. Modern biomass plants often resemble coal plants but use renewable inputs instead of fossil fuels.

Waste-to-energy is a related approach, where municipal solid waste is burned to produce power. The biomass portion of garbage (like food, wood, and paper) contributes to energy output while reducing landfill use. Proper pollution controls are needed to manage non-organic materials like plastics.

In short, biomass energy turns natural materials into power—whether through burning, chemical conversion, or microbial processes—offering a renewable alternative to fossil fuels.

Advantages of biomass energy

Biomass often comes up as a promising clean energy solution. Here are some key advantages, especially relevant for startups and construction industry professionals looking at cleaner energy alternatives:

Renewable & Sustainable:

Biomass is replenishable — plants regrow, and waste is constantly produced.
If managed properly, it can be a carbon-neutral energy source.
New plant growth absorbs the CO₂ released by burning older biomass.

Waste Reduction (Two Birds, One Stone):

Uses agricultural waste, wood scraps, and organic trash to produce energy.
Reduces landfill use and methane emissions from decomposing waste.
Turns waste into power — cleaner disposal and energy generation in one.

Energy Security & Local Jobs:

Biomass is often sourced locally (wood chips, crop residues, manure).
Less dependence on imported fuels.
Supports rural economies and creates jobs in farming, forestry, and waste management.

Reliable & Storable Power:

Unlike solar energy and wind energy, biomass can provide steady, on-demand energy.
Fuels like pellets or biogas can be stored and used when needed.
Ideal for industry, construction, and as backup for intermittent renewables.

Lower Carbon Footprint (Potentially):

Biomass recycles recent carbon from the atmosphere.
When sourced sustainably, it can cut greenhouse gas emissions.
With BECCS (Bioenergy with Carbon Capture and Storage), it can even become carbon-negative.

Versatile Use:

Can produce electricity, heat, liquid fuels (like biodiesel), and biochemicals.
Useful for powering equipment, heating buildings, or making materials from plants.

Disadvantages & Challenges of Biomass Energy

Resource-Intensive (Land & Water):

Growing biomass can require large land areas and water use.
May compete with food production or harm biodiversity if not managed properly.

Emissions & Air Pollution:

Burning biomass releases pollutants like smoke, particulates, and gases.
Without modern controls, it can harm indoor and outdoor air quality.
Burning contaminated waste can release toxic emissions.

Lower Efficiency:

Biomass-to-energy conversion is often less efficient than fossil fuels.
Requires more fuel volume and handling for the same energy output.
Wet or low-density biomass further reduces efficiency.

Higher Costs (Currently):

Collection, processing, and transport can be expensive.
Biomass energy can cost more than solar, wind, or even fossil fuels in some cases.
Higher upfront investment may be a barrier for small businesses or startups.

Not Always Carbon Neutral:

Cutting forests for fuel releases carbon instantly; regrowth takes time.
Emissions from machinery and transport can reduce the overall climate benefit.
Biomass is only green if the supply chain is sustainable.

And it’s potentially low-carbon, but not automatically so – good practices and policies are needed to make biomass a truly sustainable part of the energy mix.

FAQs

Below we address some frequently asked questions about biomass energy:

Q: Is biomass energy really carbon-neutral?

A: In principle, yes. Biomass energy can be carbon-neutral because the CO₂ released by burning is offset by the CO₂ absorbed during the growth of the biomass.

Q: What are some common uses of biomass energy in the construction industry?

A: The construction and building sector can use biomass in a few ways. One common use as a generator that runs on biodiesel (from vegetable oil) instead of petroleum diesel to reduce their carbon footprint.

Q: Does biomass energy cause pollution?

A: Biomass combustion does produce emissions, so it’s not as pristine as solar panels or wind turbines. The level of pollution, however, can be much lower than with fossil fuels, and there are ways to minimize it.

Q: Is biomass energy cheaper or more expensive than other energy?

A:This depends on the situation. If you have access to cheap biomass waste, then using that for energy can be very cost-effective – sometimes even essentially free fuel. For instance, many sawmills burn their sawdust to generate their electricity and heat, saving on energy bills. However, if you have to purchase biomass feedstock, the costs can add up. As of now, in many places, generating electricity from wind or solar is cheaper per kWh than from dedicated biomass power plants.

CONCLUSION

Biomass energy might not be as trendy as solar panels or electric vehicles, but it’s a powerful ally in the quest for sustainable energy. For cleantech innovators and construction industry professionals, understanding biomass opens up opportunities to reuse resources, cut emissions, and maybe even save costs by turning waste into energy. As with any solution, it’s important to weigh the pros and cons. Biomass teaches us a broader lesson: sometimes the old ways can be reinvented in new, cleaner forms to help build a greener future.

7 Ways Workforce Management Software helps dealing with Labor Shortages

Francisco Javier Osete — Tue, 18 Mar 2025 14:48:39 +0000

According to AGC 2024 Construction Workforce Survey in America, 92% of firms face trouble in filling opening positions. In this context, efficient construction workforce management is no longer a luxury—it’s a necessity. With projects growing in complexity and deadlines becoming tighter, how do you ensure you make the most out of your team?

In this post, we will explore the current labor shortage situation, the main aspects of construction workforce management, and seven benefits you will gain from its implementation, revolutionizing your approach to managing your most valuable asset: your team.

What’s happening with Labor Shortages in Construction?

If you’re in the construction sector, you’ve surely felt the squeeze.

The labor shortage is a fact that has been affecting the industry for years; there’s a decreasing demand from the population to join sectors that require physical effort.

Furthermore, this lack of professionals is a problem that’s affecting us all. Delayed projects? Skyrocketing costs? Sounds familiar, right? It’s not just that there are fewer workers, it’s that those we have are overwhelmed, with little time to update themselves at the pace of emerging construction trends and techniques in robotics, AI, and others… Making finding new people with the necessary skills like finding a needle in a haystack. And make no mistake!

This isn’t a passing phase; we need to find creative solutions and tools to help us better manage what we have. This is where construction workforce management software comes in…

What’s happening with Labor Shortages in Construction?

If you’re in the construction sector, you’ve surely felt the squeeze.

The labor shortage is a fact that has been affecting the industry for years; there’s a decreasing demand from the population to join sectors that require physical effort.

This isn’t a passing phase; we need to find creative solutions and tools to help us better manage what we have. This is where construction workforce management software comes in…

What is Construction Workforce Management Software?

And you might be wondering, what exactly are we talking about?

We define construction workforce management software as a specialized tool designed to optimize the planning, tracking, and allocation of labor resources within construction projects.

It serves as a central hub for project managers to efficiently plan their workforce needs and coordinate them, ensuring projects are completed on time and within budget. Valuable tools include features such as:

Scheduling and Dispatch: Allows for the creation of work schedules, assignment of tasks to specific workers, and real-time dispatching to job sites.
Time and Attendance Tracking: Enables accurate tracking of worker hours, including overtime and breaks, for payroll and compliance purposes.
Resource Management: Provides visibility into the availability and allocation of workers, skills, and equipment, preventing overbooking and ensuring optimal resource utilization.
And you might be wondering, what exactly are we talking about?
We define construction workforce management software as a specialized tool designed to optimize the planning, tracking, and allocation of labor resources within construction projects.
It serves as a central hub for project managers to efficiently plan their workforce needs and coordinate them, ensuring projects are completed on time and within budget. Valuable tools include features such as:
Scheduling and Dispatch: Allows for the creation of work schedules, assignment of tasks to specific workers, and real-time dispatching to job sites.
Time and Attendance Tracking: Enables accurate tracking of worker hours, including overtime and breaks, for payroll and compliance purposes.
Resource Management: Provides visibility into the availability and allocation of workers, skills, and equipment, preventing overbooking and ensuring optimal resource utilization.

7 Benefits of Using Construction Labor Management Software

Implementing construction labor management software can transform your operations and lead to significant improvements in efficiency and profitability. Here are some key benefits:

Increased Productivity: Streamline scheduling, reduce manual tasks, and optimize resource allocation.
Reduced Labor Costs: Minimize overtime, eliminate payroll errors, and improve time tracking accuracy.
Improved Communication: Enhance communication between office staff and field workers for better coordination.
Enhanced Compliance: Ensure adherence to safety regulations and labor laws with automated tracking and reporting.
Better Project Management: Gain real-time insights into project progress and workforce performance.
Improved Employee Satisfaction: Provide workers with easy access to schedules, job updates, and communication tools.
Data-Driven Decision Making: Leverage analytics and reports to make informed decisions about workforce management.

You may be interested in: What is construction management and how does it work?

FAQs About Construction Management Software

Here are some frequently asked questions about construction workforce management software:

What is construction workforce management software?
- It’s a software solution designed to streamline and automate workforce-related tasks in the construction industry.
How does it improve productivity?
- By automating scheduling, time tracking, and communication, it reduces manual tasks and enhances efficiency.
Is it suitable for small construction companies?
- Yes, many solutions are scalable and can be tailored to the needs of small businesses.
Does it integrate with payroll systems?
- Many solutions offer seamless integration with popular payroll systems.
What are the key benefits for field workers?
- Mobile apps provide easy access to schedules, job updates, and communication tools.
How safe is my data?
- Reputable software companies utilize secure data storage and encryption methods.
What is the average cost of this type of software?
- Costs vary widely depending on features and the size of your company. It is best to request quotes from vendors.

Investing in the right construction workforce management software can significantly improve your operations, reduce costs, and enhance productivity.

Conclusions

By understanding the must-have features, evaluating available solutions, and considering the benefits, you can make an informed decision that drives your business forward. Embrace technology to stay competitive and achieve project success in today’s dynamic construction industry.

Construction Industry Trends for 2025

Francisco Javier Osete — Thu, 06 Feb 2025 10:13:07 +0000

We don’t have a crystal ball to read the future but one thing is clear: The construction industry is rapidly transforming, driven by technological advancements, environmental concerns, and changing consumer demands.

Can you imagine a world ruled by robots? Well, in some way it’s happening and of course, it sounds out of a sci-movie but no. The future of construction is already here!

As we look ahead to 2025, It´s clear that several construction industry trends will shape the way we know the built environment. From the Cemex Ventures team, we want to explore some of the most significant developments, from the increasing adoption of robotics and AI to the growing focus on sustainable materials and new construction methods and how they affect the final customer. And of course, make you part of the change for a greener future and a more efficient construction industry.

2025 has arrived, but…What’s next in Contech? Keep reading to know more!

Market Forecast and Growth Situation

The Contech sector is in the midst of significant changes, with a number of 325 transactions exceeding expectations, increasing by more than a third compared to 2023, and with a future full of innovation opportunities. This indicates that the sector will follow the upward trend in investments, which will help the industry face significant challenges that must be addressed to reach its “maximum potential”.

So, what can we expect for 2025 in the Contech environment? The answer is clear: The growth of the industry is fueled by the increasing need to enhance construction productivity, reduce costs, improve worker safety, and minimize environmental impact. Technologies such as Artificial Intelligence (AI), Building Information Modeling (BIM), Virtual and Augmented Reality (VR/AR), 3D printing, and data analytics are being rapidly adopted.

However, the building sector faces challenges, including resistance to change, a shortage of skilled labor, and the need for greater interoperability between different technologies.

Labor Market Trends and Workforce Challenges

The construction industry is facing a growing labor shortage, making it more difficult to find and retain skilled workers.

Here are some of the key workforce challenges impacting the construction industry include:

An aging workforce: The average age of construction workers is increasing, and many are approaching retirement.
Lack of interest from younger generations: Construction is often seen as a less desirable career path compared to other industries.
Skills gap: There is a shortage of workers with the necessary skills and training to meet the demands of the evolving construction industry.
Competition from other industries: Other sectors, such as manufacturing and technology, are also competing for skilled workers.

To address these challenges, construction companies need to adopt proactive strategies for attracting and retaining talent. Some effective approaches include:

Embracing technology: Investing in innovative technology can make construction jobs more efficient and appealing to younger workers.
Investing in training and development: Providing opportunities for employees to upskill and learn new technologies can make them more valuable and engaged.
Improving workplace culture: Creating a positive and inclusive work environment can help attract and retain top talent.
Offering competitive compensation and benefits: Competitive pay and benefits packages are essential for attracting and retaining skilled workers.
Promoting the industry: Highlighting the rewarding aspects of construction careers can help attract new talent.

Digital Transformation and Smart Construction

The construction industry, traditionally considered a sector with slow technological adoption, is undergoing an unprecedented revolution that has been palpable in recent years. Digital transformation is impacting all aspects of construction, from planning and design to project execution and management. This transformation materializes in intelligent construction, where the integration of digital technologies allows optimizing processes, increasing efficiency and productivity, and improving safety on site.

One of the pillars of this revolution is the growing incorporation of robotics and automation, which are transforming the sector, making repetitive and dangerous tasks easier, and freeing workers to focus on higher-value activities. And at the heart of this transformation is artificial intelligence (AI). Which is driving automation, data analysis, and intelligent decision-making in construction.

In this context, we will explore how robotics, automation, and AI are redefining the construction industry, creating a future where technological innovation is key to the success of Contech.

The Rise of Robotics & Automation

Once upon a time, by 2016 Sophia the robot said “Ok, I will destroy the humans” but nothing could be further from the truth. So don’t be afraid.

Robotics trend is helping to accelerate processes, increase efficiency, and improve safety in construction projects. Moreover, as the shortage of skilled labor increases, robots can help workers increase their output and productivity, an alternative to the current construction methods that not only update the industry but also complement it.

Here are some of the benefits of robotics and automation in construction tech:

Increased efficiency: Robots can help teams work faster and more accurately, reducing time and costs. An extremely important factor that will help to solve the problem of construction demand.
Improved safety: They can solve problems by performing dangerous tasks, such as working at heights or in confined spaces, protecting workers from potential harm.
Enhanced precision: Robots can achieve levels of precision that are difficult for humans to match. For example, autonomous vehicles are used in BIM construction projects to capture and process 360-degree panoramic views to create accurate 3D models for analysis, optimization, and tracking of volume, material flow, and location in just a few seconds.

The Role of AI in Construction

AI has been the standout player of 2024 – yes, even in construction – and will be one of the key tech trends in 2025. AI is a dynamic concept revolutionizing the construction industry by enabling data-driven making and automating processes. Some applications of AI in construction include:

Productive analytics: AI can be used to predict project delays, identify potential problems, and optimize resource allocation.
Design optimization: AI-powered algorithms can generate design options that meet specific performance requirements.
Construction management: AI can be used to monitor construction progress, track materials and manage schedules.

The market for artificial intelligence surpassed $184 billion in 2024, a significant increase of nearly $50 billion from 2023. This trend is expected to continue, opening new horizons and possibilities for our sector, making it more efficient.

The AI software market is projected to reach $257.37 billion in 2025, with a 21.43% CAGR through 2034.

Sustainable and Green Building Practices

There is an increasing demand for the application of sustainable measures and eco-friendly practices in the construction of buildings and no, we are not talking about setting a vertical garden in your living room. That doesn’t help to reduce the 40% of global CO2 emissions that buildings are responsible for.

Sustainable construction has established itself as one of the main trends last year and It is based on minimizing the environmental impact of buildings, using efficient materials and processes that reduce resource consumption and emissions.

There are a lot of new startups on the market working and developing sustainable materials and processes that are coming to replace the current ones, helping to create a more green industry.

Bioclimatic design, energy efficiency, new sustainable materials, indoor environmental quality or even the integration of buildings with the environment are collaborating to reduce the CO2 index in the atmosphere and therefore contribute to the project of a greener future in the sector.

Innovation in Construction Materials

Construction materials, such as cement, have been used for centuries. Increased pressure to reduce embodied carbon, reduce the amount of resources and energy, and implement circular practices is pushing the industry to find new alternatives to traditional materials, such as:

Recycled materials: Recycled concrete, steel, and wood can reduce the demand for virgin materials and lower carbon emissions.
Bio-based materials: Materials derived from renewable resources, such as bamboo and hemp, offer a sustainable alternative to traditional building materials.
Smart materials: Smart materials can adapt to changing conditions, improving the energy efficiency and durability of buildings.

Case Studies of Successful Construction Projects

At Cemex Ventures, we are fully convinced of the importance of seeking out, promoting, supporting, monitoring, and developing new disruptive startups that represent a revolutionary shift towards a more sustainable and environmentally friendly future for construction. A great example of this is the last edition of our Construction Startup Competition, where we were able to witness the great talent of the coming generations in the sector.

Another great example is our portfolio companies, among which we find great examples of robotics solutions such as COBOD, and of course, the emergence of startups like Obralink and DroneDeploy that go a step further through the development of AI.

Each new project helps us to continue working with enthusiasm to achieve all the sustainability and zero-emission goals that we have set for ourselves. We cannot deny that the biggest trend is and always will be to achieve a greener, more efficient, and safer world.

Does your startup have a procurement solution that has the potential to revolutionize the construction industry?

Value Engineering in Construction: Maximizing Value without Sacrificing Quality

Francisco Javier Osete — Tue, 08 Oct 2024 13:56:08 +0000

What can we use instead? — That’s the question that kickstarted the concept of value engineering.

This breakthrough process maximizes efficiency and value — just as its name suggests— and can be applied to almost any sector, from logistics and healthcare to building. Keep reading to discover what value engineering in construction is & how it is revolutionizing the industry!

What is value engineering in construction?

If this is your first time hearing about this concept, let’s start with the basics. Value engineering (VE) is a systematic & organized approach to providing the necessary functions in a project at the lowest cost. In short, it’s a method that ensures the owner or client isn’t overpaying for quality when there’s a more cost-effective option that performs just as well.

To understand value engineering in construction, you should think of it like a team sport. For example, a group of stakeholders — including architects, designers, engineers, contractors & project leads — work together to score the most wins possible by analyzing and redesigning building elements to cut costs, reduce time, and boost a building’s efficiency and sustainability while keeping quality intact.

Here’s a brief real example: In Torre Reforma project in Mexico City, the value engineering method was utilized to reduce costs and improve structural and energy efficiency. This approach is based on a methodology that aims to minimize costs without compromising quality or functionality and involves analyzing the building’s materials, structural elements, and energy systems to discover more efficient and sustainable solutions. It resulted in substantial savings on materials and the incorporation of sustainable systems such as high-efficiency glass and rainwater collection.

As a result, a seismic-resistant structure with elevated sustainability standards was achieved at a reduced cost.

The origins of value engineering

In the 1940s, American design engineer Lawrence D. Miles was responsible for purchasing raw materials for General Electric when manufacturing was at its peak. However, at the time there were severe material shortages, like copper & rubber, which posed serious threats to General Electric’s production chain.

To tackle this challenge, Miles had to search for suitable alternatives that could fulfill the function of unavailable materials. He discovered that some substitutes – like aluminum – weren’t only cost-effective, but actually better suited for his purpose. This realization was the origin of a new technique called “value analysis,” more commonly known today as value engineering.

Difference between value engineering & value analysis

When the VE concept emerged, these two ideas were used interchangeably, but today their main difference comes down to timing.

VE is applied before a product is created, focusing on preventing unnecessary costs, primarily during the design phase.

In contrast, value analysis is performed after a product is already in use, aiming to enhance its value by reviewing existing costs and benefits.

In a nutshell, while value engineering optimizes right from the start, value analysis deals with issues later, making tweaks throughout the product’s lifecycle as needed.

How it works?

Here is the step-by-step VE methodology applied to construction:

Gathering data

This first step is all about collecting information and getting a clear understanding of the project and its purpose. A value engineering team will examine the materials, schedule, costs, drawings, and specs until they are fully familiar with the project concept, who will be using it, and what is expected.

For example, in this phase, data is typically collected on the building’s location, its intended users, the type of building material required, and other relevant factors.

Thinking creatively

With the core expectations for the project documented, it’s time to explore new and different ways to develop it. This includes trying innovative approaches, taking risks on untested ideas, or creatively applying existing processes.

This phase is the “idea-generation” stage, where the team brainstorms potential design solutions to help the project achieve its required functions. It’s smart to focus on the big-ticket items like the structural system, heating, ventilation & air conditioning (HVAC) as they often represent significant costs and offer the most opportunity to deliver value.

Evaluating ideas

With a bunch of innovative ideas now on the table, it’s time to decide which are feasible and which are not. Experts, such as consultants in sustainability or logistics, may be brought in to help evaluate the feasibility of the potential options depending on the project type.

During this phase, ideas that are not viable are discarded. By the end of the evaluation phase, only the strongest options will remain.

Developing top contenders

Once ideas are ranked, the strongest options are selected for further analysis. The development phase is the next step in the value engineering process for building design & construction.

In this stage, each idea that passes the evaluation stage undergoes additional testing, including:

Availability

Pricing

Long-term costs

Required maintenance

The ideas that meet these criteria are considered viable and will then be developed into a proposal, which will be presented in the final stage of the project.

Presenting findings

With plans prepared and presentations ready comes the fifth and final step: presenting findings to the project owner or client.

This phase offers an opportunity to explore the final alternatives and determine if the proposal effectively meets the project’s needs as it progresses. The goal of the presentation phase in value engineering is to secure approval for the project.

Value engineering techniques

Let’s explore the techniques & technologies used to conduct value engineering.

Life Cycle Cost Analysis (LCA)

LCA is a technique that evaluates the total cost of ownership of a product or service over its entire life span. This analysis includes expenses such as initial costs, operation, and maintenance, among others. LCA helps make decisions that may have higher upfront costs but lead to lower total costs over time, which is beneficial in the long run for the project in which it is applied.

Pareto analysis

This method is used to identify the most significant factors contributing to a cost. This technique categorizes them to focus on the areas with the greatest impact. By addressing the critical factors that contribute most to costs or inefficiencies, teams can aim to achieve significant improvements with little effort.

Benchmarking

Benchmarking involves comparing a project’s processes and costs with those of similar projects or industry standards. This technique helps teams identify best practices and performance benchmarks, enabling them to set realistic targets and pinpoint areas for improvement.

Benefits

If you’re wondering how VE can benefit your construction business, here are 3 advantages that will make a difference:

Increased efficiency

By reassessing design decisions, construction techniques, and operational processes, value engineering streamlines workflows, removes bottlenecks, and optimizes resource use.

This translates into smoother project execution, shorter lead times, and higher productivity. With greater efficiency, projects stay on schedule, stay within budget, and adapt flexibly to changing needs, maximizing overall output.

Reduced costs

Cutting costs is one of the main perks of value engineering. This approach takes a close look at every part of a project and spots where money can be saved.

Trimming expenses improves the company’s bottom line, boosting profits and eventually making it more competitive.

Increased sustainability

Value engineering plays an essential role in promoting sustainability. By making cost-optimizing decisions that are also eco-friendly, such as choosing sustainable materials or improving energy efficiency with alternative fuels, VE helps align projects with green principles and improve their environmental impact.

Emerging trends & innovations in VE

Artificial intelligence (AI)

Artificial Intelligence (AI) is a hot topic rapidly transforming the construction industry. Value engineering will increasingly rely on AI to automate and optimize various processes. By integrating AI with value engineering, professionals can make more informed decisions and enhance the accuracy of their evaluations more quickly and comprehensively.

Building Information Modeling (BIM)

One of the key trends shaping the future of value engineering is the integration of digital technologies such as BIM. Building Information Technology is a tool that streamlines value engineering in construction projects by allowing project managers to assess various rendered model images and select the best value engineering alternative based on the project’s goals. This also allows these objectives to be evaluated in real time at every stage, from design to maintenance.

Cemex Ventures seeks innovative value engineering solutions in the construction industry

As the corporate venture capital and open innovation unit of Cemex, we’re always looking for next-gen solutions that have the potential to transform the construction industry. Through Construction Startup Competition, the largest startup competition in the sector, search for innovative solutions that make construction more sustainable, efficient, timely, and disruptive. We’ve just published the shortlist of the finalists’ applications. Stay tuned for all the latest updates by following us through our different channels below!

Whether you are a startup, SME, corporate, building professional, media journalist, or just want to find out more, we encourage you to contact us through our website or follow us on LinkedIn & X.

Cleantech: Understanding clean technologies and their impact

Francisco Javier Osete — Tue, 10 Sep 2024 07:24:09 +0000

The impact of clean technologies, also known as Cleantech, is already a tangible reality — for the first time, wind & solar energy made up 30% of the EU’s electricity generation in the first half of 2024, surpassing fossil fuels. These new key players are significantly reducing our carbon footprint, and transforming businesses, communities, and our lives toward a cleaner future.

Did you know that the world’s largest offshore wind farm, located in the North Sea, generates enough electricity to power over 2 million homes annually? Even more impressive is that it can capture nearly 4 million tons of CO₂ each year — equivalent to taking 2.3 million cars off the road.

So, how does Cleantech impact the construction sector? Read on to find out!

What is Cleantech?

Put simply, refers to any technology designed to reduce or optimize environmental impact by minimizing or eliminating pollution, waste, and energy consumption. It has three main goals:

Reduce the negative impact on the environment and promote sustainability.

Improve the use of natural & renewable sources.

Create more efficient products or services.

Fun fact: The origin of this term is traced back to the venture capital (VC) investment community, which began using it in the late 1990s & early 2000s. It was notably popularized by Nick Parker and Keith Raab, who founded the Cleantech Group in 2002, one of the first companies dedicated to identifying innovative companies in the sustainability sector. Today, references to this concept continue to be popular in financial, VC, and business circles.

What is the difference between Cleantech, Greentech & Climate tech?

Let’s set the record straight — these 3 terms are often used interchangeably, but each one has its unique focus within sustainability:

Greentech or green technology, is the broadest term of all. Without a clear set of definitions, it refers to technology designed to enhance the environment by reducing the adverse impacts of human activity or even reversing those effects.

Cleantech primarily targets technologies that reduce pollution and emissions associated with traditional industrial processes and energy production. These solutions often aim to “clean up” existing systems and make them more sustainable.

Climate tech — short for climate technology — specifically refers to technologies specifically designed to reduce greenhouse gas emissions or mitigate the effects of global warming. Unlike Greentech and Cleantech, which focus more broadly on environmental sustainability, Climate tech encompasses products and services that directly impact greenhouse gas emissions.
For instance, while wastewater treatment systems are considered Cleantech due to their environmental benefits, but since they do not directly address CO₂ emissions they are not classified as Climate tech. Roughly speaking, Cleantech and Climate tech can fall under the category of Greentech, but not all Greentech can be classified as Cleantech or Climate tech.

Though these 3 emergent approaches have different definitions, they often overlap because these technologies sometimes fall into multiple categories. For example, renewable energy like wind power can be classified as Green, Clean, and Climate tech since it reduces the adverse effects of human activity on the environment, offers a cleaner alternative to fossil fuels, and helps mitigate climate change by reducing CO₂ emissions.

Overcoming challenges in the industry

So why aren’t more Cleantech companies scaling up to become global category leaders in the net-zero economy? Below are 3 of their biggest challenges:

Capital challenges: Developing Cleantech solutions require significant time, money, and technical expertise, often leading to significantly higher costs than traditional technologies. These high capital costs, combined with the need for substantial initial investments, make it challenging for Cleantech companies to scale, especially in markets with insufficient government incentives. To overcome these obstacles, companies should explore alternative funding sources, such as private equity financing and public sector funding opportunities. It is crucial for these companies to tap into all available resources to secure the necessary support.

Technology maturity: Many clean technologies are not yet market-ready to replace current industrial processes that heavily rely on fossil fuels. A significant number of these technologies are still in the early stages of development and may not be fully mature for large-scale deployment due to issues such as efficiency & reliability.

Fragmented markets: These startups have a big scaling challenge because the market they sell into is very fragmented. Unlike software companies, which can find lots of potential buyers in major cities like San Francisco or New York, Cleantech startups operate in a market that is spread out and varied. For example, they must navigate different sectors, such as energy, agriculture, and construction. Each sector is divided into many industries and regions, each with different necessities, making it harder for them to find and reach their customers compared to other types of technology.

Lack of unified energy standards: Each state, region, and country has specific regulations regarding renewable energy. These differences, such as varying emissions limits and technical requirements, create challenges for the widespread implementation of clean technologies across different locations.

Popular Cleantech trends

If you want to know which Cleantech trends will impact your business going forward, here are 2 of the hottest ones:

Hydrogen

Hydrogen is the most abundant chemical element in nature. Hydrogen energy offers an alternative to fossil fuels and could provide a cleaner way to power our world.

Unlike methane, hydrogen does not produce CO₂ emissions when used in fuel cells to generate electricity or combusted to produce heat and power.

Its 3 key advantages over other energy sources are:

Renewable energy: Hydrogen energy can be considered renewable when made via electrolysis, which splits water into hydrogen and oxygen. If powered by renewable energy, this process has a near-zero carbon footprint. However, there are other methods of producing renewable hydrogen, including thermochemical processes and biological methods, such as biomass gasification.

Storable: This allows it to be stored for future use and deployed during periods of high demand.

Versatile: It can be converted into electricity or synthetic gas, making it ideal for commercial, industrial, or mobility applications.

The versatility of hydrogen technologies extends to the construction industry, where using it as a fuel source in the kiln can potentially reduce both energy consumption and greenhouse gas emissions related to the cement production process.

Carbon Capture, Utilization & Storage (CCUS)

CCUS means: Carbon Capture, Utilization, and Storage and it is the process of capturing carbon emissions for storage or upcycling the captured carbon, thereby reversing its negative impacts once emitted into the atmosphere.

CCUS technology is promising clean technology, especially in hard-to-abate industrial sectors such as cement, steel, and chemical production, which rely on processes that release a large amount of CO₂ emissions. CCUS has proven capable of reducing carbon emissions from gas and coal power plants, cement production, and other large emitters by up to 90%.

The Middle East has become a key player in this field, with CCUS technology growing as a robust and innovative tool to reduce carbon emissions and achieve net-zero goals. In 2023, initiatives in Saudi Arabia, Qatar, and the UAE contributed approximately 10% of global carbon dioxide capture, totaling an impressive 40 million tonnes.

Cemex Ventures backs Cleantech startups

According to S&P Global Commodity Insights, investment in Cleantech is projected to grow from US$800 billion in 2024 to US$1 trillion by 2030. This staggering figure highlights the crucial role that funding for these technologies plays in facilitating the energy transition & achieving the decarbonization goals set for 2050.

At Cemex Ventures, we’re committed to leading the construction industry’s shift toward greener and cleaner practices. Here are some Cleantech companies from our investment portfolio:

HiiROC

These hydrogen tech leaders have developed a novel process for low-cost, zero CO₂ emission hydrogen production called Thermal Plasma Electrolysis (TPE). Thanks to this clean technology, sectors like cement can reduce their reliance on fossil fuels and lower harmful emissions.

In 2023, Cemex significantly increased its investment in a UK-based startup to boost hydrogen injection capacity across its cement operations and reduce reliance on fossil fuels. The primary focus will be Cemex’s key cement plant in Rugby, UK, with plans to eventually extend HiiROC’s innovative technology to its EMEA operations, further deepening its partnership with the startup.

KC8 Capture Technologies

Our latest investment was in KC8, the Australian startup previously named a Top 50 Contech Startup for 2024 and featured in our Cleantech Construction Map 2023 under the CCUS vertical.

KC8 has developed an affordable carbon capture solution to reduce greenhouse gas emissions from fossil fuel use in heavy industries. Their innovative technology captures up to 95% of CO₂, improves energy efficiency by 15%, and cuts operating costs by 50% compared to current amine solvents. Cemex is partnering with KC8 to cost-effectively cut CO₂ emissions from its production processes. This partnership aims to elevate KC8’s technology through its largest project yet, supporting the startup’s goal of becoming a global leader in CO₂ capture techniques.

If you want to learn more about this topic, check out this video series, in which our Investment & Open Innovation Expert, Ibon Iribar, delves into the role of Cleantech in the construction industry on the Soil Link podcast.

If your startup has a clean technology that can revolutionize the construction industry, get in touch with us! We would love to hear more about your solution and feature your startup in our Cleantech Construction Map 2025!

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