In this page, we discuss when mechanization for a project should be planned. The factors are given below:
- Manpower: Though manpower is cheap at initial stages as compared to machines, they are costly in operations when large amounts of same amount of work takes place. India is a developing country where labor cost are generally rising due to inflation and skill up gradation of people taking place due to new technologies. We had a crisis in 2002-2007 where mass people were flocking into IT industry creating a shortage of skills. In such scenarios, it would be better to avoid relying on casual labor.
- Completion period. Construction industry is an industry when the returns of an investment are being made after a project is successfully carried out. For example, tolls from a highway is collected only after the entire section of highway is completed. In that aspect, faster completion means not only better returns on investments but also earlier sources of income. In that context, it is advisable to use machines than labor.
- Nature of work: In some industries it is advisable to use labor instead of machines like creating tunnels, creating platforms on ports for ships etc. where dredging is required.
- Good equipment and service available: It is advisable to buy construction equipment from a supplier with good after sale-service. Breakdown machines means that equipment cannot be used. Also consider the scenario in which excavators undergoing breakdown on a ship, or wheeled equipment broken in the middle of an highway.
- Financial feasibility of a project: It is advisable to check whether a project will earn more returns from machines and also how loans can be available from a project. Thanks to the current government stance, many finances are present like SREI, magnum and various banks are present which provide loans to purchase construction equipment.
- Quality of work: Machines are known to create a better quality like levelled surface for roads, better compaction than labor required.