By Ian Yeo, CEO of Operance
In today’s digital era, businesses are drowning in an overwhelming flood of information, giving rise to what I term as the ‘information tax.’ This concept revolves around the notion that information is not free; rather, it comes with a cost determined by its quality, quantity, relevance, and timeliness. The more information there is, the more challenging and expensive it becomes to unearth the right data and utilise it effectively.
The Construction Industry Information Overload
Large infrastructure projects, such as those in the construction industry, generate staggering amounts of data. According to Asite, an average project involves 130 million emails, 55 million documents, and 12 million workflows. Surprisingly, only a meager 4.5 percent of this data is actually utilized, leading to an immense waste of valuable information.
“Access to information (as data) of the right quality and at the right time, in a format that is trusted by all parties, is increasingly recognized as a critical enabler of the construction sector’s digital transformation, with the potential to both drive down costs in the construction and operation of built assets and drive up quality.” – KPMG and Atkins study
The Hidden Costs of Information Tax
The impact of information tax is both significant and multifaceted, encompassing time costs, financial costs, and opportunity costs:
- Time Costs: Knowledge workers spend up to 20% of their time searching for information, hindering productivity. – McKinsey & Company
- Financial Costs: Businesses may need additional resources or tools to manage information effectively.
- Opportunity Costs: Resources allocated to information management could have been used for more beneficial activities.
How to Mitigate the Information Tax
To tackle the information tax, businesses usually take several steps:
- Training Employees: Equip them with skills to manage and access information effectively.
- Establishing Clear Information Policies: Policies on information management ensure consistency in handling and organizing information.
…But what is Operance’s approach?
While these methods are beneficial, they don’t match the potential of embracing technology and software solutions. At Operance, we aim to drive the information tax down to zero using AI and structured data, providing efficient storage, retrieval, and organisation of information.
Benefits of Reducing the Information Tax
The advantages of mitigating the information tax extend beyond financial gains:
- Increased Productivity: Employees can focus more on core responsibilities, enhancing project aspects like quality control, risk management, and innovation.
- Improved Decision Making: Access to the right information leads to better, data-driven decisions.
- Cost Savings: Efficient information management reduces time and resource expenditure.
- Professional Development: Time saved can be invested in professional growth and learning opportunities.
- Well-being: Employees can allocate saved time to personal pursuits, fostering improved well-being and work-life balance.
- Trustless Protocol: Artificial Intelligence is a trustless protocol, meaning we do not have to trust its answer. Instead, we can verify it with appropriate measures in place to ensure complete compliance and transparency, such as logs and easily accessible information.
Join Operance on the Journey to Zero Information Tax
While the information tax may seem inevitable, Operance challenges this notion by combining AI and structured data. Join us on the journey to zero information tax, where increased productivity, improved decision-making, and cost savings await. Get your building onto Operance, and witness the transformative power of streamlined information management.