"I worked with technology for a long time from a strategic point of view until I started at Sbanken and was given responsibility for the bank's entire IT organisation and platform. There I disappeared down the tech rabbit hole, and there I have stayed. I don't think I'll ever get out of that hole because that's what I enjoy the most. Technology has been a common thread throughout my career.

Christoffer Hernæs is a familiar name to most people who work in technology and digitalization. After more than 10 years in banking and finance, he is now leading the digitalization initiative in one of the world's largest construction groups.

"We work according to a relatively broad toolbox to achieve our goals. My unit is responsible for digital development, whether it is through in-house development or the acquisition and introduction of off-the-shelf products, as well as the portfolio for investments in technology companies. In this way, we can work both organically and structurally and choose the approach that is "fit for purpose".

"One of our most important focus areas is the development of industrial software. We see that there is a gap between our needs and what is available of off-the-shelf products in the market. That is why we are now working purposefully to develop software as if it were commercially available to the entire industry," he adds.

Christoffer Hernæs is CDO at Skanska.

Reached a point of maturity

According to Hernæs, the construction industry has long been seen as a digital slowdown. He believes that the industry has now reached a maturity point where technology can be used on a large scale.

"Until recently, we have not had enough computing power in our pockets to take new technology to the construction site where it happens, and it has long been difficult to capture the physical world - where we actually work - and translate it into the digital world. With the advent of sensor technology, real-time data capture and cloud services, that has now changed. IT has gone from being a back-office function to becoming a central part of all construction projects. What is now happening in our industry is incredibly exciting.

Hernæs is clear that data is crucial for exploiting the potential of new technology. He believes we have only scratched the surface of what is the scope of opportunity in smart use of data.

"There are absolutely enormous amounts of data generated in a building and construction project. Historically, these have been stuck in various silos, but now we can process and look at this data to a greater extent across units and projects. That's when the magic happens.

Crucial with data platforms

According to a study by McKinsey, the construction industry is the world's largest industry, accounting for 13 percent of global GDP. Hernæs believes that new digital technology such as sensory, digital twins, artificial intelligence and machine learning will provide major benefits for the industry.

He points to establishing and managing a robust and scalable data platform as crucial for success. The importance of data quality and integrity can never be repeated too often.

"Like everyone else, we pay close attention to what is happening in artificial intelligence and machine learning. These are technologies that can provide obvious benefits in our industry as well, either as a tool for streamlining processes, processing large amounts of text or a tool for making better decisions. At the same time, technologies such as IoT, sensory science, and digital twins are making their way into the industry. Data is the most important resource we have to provide support for the automation of repetitive processes and not least to be able to explore extensive use of machine learning and artificial intelligence.

About data platform

A data platform is understood in this context as a flexible IT architecture that provides a framework for collecting, storing, analyzing, and managing large amounts of data in a company or organization. The platform can consist of several components, including databases, data warehouses, data storage systems, analytics tools, machine learning and artificial intelligence software, as well as data integration and management tools. These components are typically integrated into a holistic ecosystem that can handle large amounts of data from different sources and formats.

Don't forget the user experience

Hernæs was one of many speakers at Forte Digital's RELEVANS conference in 2023. Here he said that many people forget the user experience when talking about new technology and digitalization.

"Data and new exciting technology are of course important when working with digitalization. But one should not forget about the user experience. Many people can probably relate to the fact that you have an expectation of good user experiences in your private life, but when you come to work, everything should be so painful and difficult. This is particularly important to think about in our industry.

Hernæs explains that construction sites can be a demanding place to work and that we need to develop solutions that work in the field, both in practice and operationally.

"The solutions will most likely not be used in a meeting room and office like this one. They will be used out on the construction site. They will be used at heights, deep underground, where it may be dark, wet and noisy. Maybe in such settings you have to register the load of explosives on an app that we have made, while you have gloves on your hands. Then the user-friendliness must be completely "state of the art". We will create solutions that work seamlessly with the operations you do out there in the field.

In our industry, there has long been a kind of delusion that we are not an IT company and that we should only buy off-the-shelf products.

We will never be fully digitized

In the wake of Arendalsuka In 2023, you wrote the op-ed "We can't see our way to digital transformation". Here you wrote that digital transformation is not an acquisition, but a continuous process. What do you make of that?

"In our industry, like all other industries that are on the cusp of a digital revolution, there has long been a kind of delusion that we are not an IT company and that we should only buy off-the-shelf products. That is about to change. We need a different ownership of digitalisation. It cannot be the case that you go through a tender round, buy an off-the-shelf system, put the plug in the wall and expect that this will solve all your problems. Now it's about continuous development. Then we need to get the entire organization on board. We will not reach a point where we are fully digitalized.

Hernæs further explains that Skanska's ambition is for technology and digitalization to become a central part of the core business.

"Technology is no longer a support process that should be as cheap as possible, It is an integral part of how we run our business. The industry is not quite there yet, but this is a maturation process. Skanska will be at the forefront when it comes to digital maturity.

Understand the problem

What is your advice to other leaders who want to succeed with digitalization?

"I think it has to do with two important things. Firstly, one must understand the problem to be solved. Don't fall for the temptation of running around with a technical solution looking for a problem.

And what's the other?–

Get the people involved. Introducing new digital technologies without having sufficient momentum in the organization can be a painful exercise. You must be able to communicate what the benefits are for the individual who is going to use these solutions. It requires a good dose of patience, that you dare to push on and that you find a delicate balance between these modes. If changes only happen when you're in the room, you're doing something wrong. Change is about building momentum and should continue in the same strength even when you leave the room.