#ЕУзаТебе
Conflux AI: More Accurate Planning Before Construction Begins
How much will it cost to construct a building, and will the planned budget be sufficient? Answers to these questions are often needed before all the details of a project are known. Yet decisions made in the early stages can significantly affect the progress of construction work and the ultimate profitability of an investment. Inaccurate estimates can lead to unforeseen costs and make project implementation more difficult.
To help construction companies and investors plan more effectively, VPD Smederevo has developed Conflux AI, a software platform that uses artificial intelligence to estimate costs and plan budgets for construction projects. The solution was developed with European Union funding through a programme of the Innovation Fund of the Republic of Serbia, in collaboration with the Mathematical Institute of the Serbian Academy of Sciences and Arts.
The platform draws on data from previous construction projects, information collected in cooperation with contractors and suppliers of materials and equipment, as well as relevant market data. By analysing this information, Conflux AI aims to provide more reliable estimates even when details of a new project are limited. Experience gained from previous investments thus provides a basis for planning new ones.
“We focused on the early stages of major construction projects, when planning is particularly challenging because there is not enough data available. Estimates made at this stage can differ significantly from actual costs, which can later affect both profitability and the progress of construction work,” explains Nikola Matović of VPD Smederevo.
One of the platform's capabilities is the ability to consider different scenarios before construction begins. Investors and construction companies can compare projected costs, explore alternative solutions and identify potential budget deviations while there is still scope to make changes. In large-scale investments, such decisions can have a significant impact on how construction work is organised and carried out.
The platform is designed as a system that can be further refined as new data is collected. Information from additional projects and changes in market conditions can contribute to improving its models, allowing the system to adapt over time to different types of construction projects.
Collaboration with the Mathematical Institute of the Serbian Academy of Sciences and Arts plays an important role in the development of Conflux AI. By combining scientific knowledge with experience from construction practice, mathematical methods and algorithms are applied to data analysis and the development of a tool designed to meet specific industry needs. This collaboration demonstrates how scientific research can contribute to the development of innovative business solutions.
Beyond cost estimation, a clearer understanding of a project's financial requirements can facilitate procurement planning, resource allocation and the assessment of investment viability. Conflux AI therefore has the potential to support not only investment preparation but also the organisation of project implementation.
In the construction industry, the consequences of inaccurate estimates often become apparent only after work has begun. Conflux AI was developed with the aim of reducing this uncertainty at an earlier stage, when there is greater scope to adjust plans and decisions can be based on a broader range of data.
Direct Grant - Increased innovation capacity and growth of SMEs is signed between the Innovation Fund and Ministry of Finance - the Department for Contracting and Financing of EU Funded Programs (CFCU) provides funds for the continuation of Mini Grants Program, Matching Grants Program and Collaborative Grant Scheme Program. The total budget of the Direct Grant Agreement is EUR 26 million, of which EUR 16 million is from the European Union Pre-Accession Assistance for 2019 (IPA 2019) and EUR 10 million is from the budget of the Republic of Serbia, under the Ministry of Science, Technological Development and Innovation. The amount allocated for financing approved projects under the Mini Grants Program, Matching Grants Program and Collaborative Grant Scheme Program financed under this Direct Grant Agreement is EUR 20.6 million. More about the project can be found on https://www.inovacionifond.rs/en/