# The Role of Blockchain in Improving the Processes and Workflows in Construction Projects
## 1 Introduction  
Construction is a critical component of human development and occupies a significant portion of global spending. According to the McKinsey Global Institute, construction-related spending has reached 13% of global GDP, making the real estate, infrastructure, and industrial sectors the world's largest industries [1]. Thus, any improvements in construction management would be amplified by the facts. Construction industries are facing several challenges such as poor project documentation and construction delays [2]. Project documents are poorly prepared with inaccurate specifications, and owners have different expectations for what constitutes a successful project. Contractors fail to deliver if they are not qualified or if the contract is too vague. These bad practices may lead to inefficient work processes, including rework and re-planning, contract disappointment and owner dissatisfaction, unproductive workers that are engaged in activities that do not lead projects forward, and unproductive project managers that are engaged in appeasing stakeholders. In addition, construction delays are the most common causes of disputes globally [3]. All parties want to receive the money as soon as possible and are frequently unwilling to compromise. Most construction projectsare delayed not only because of a lack of funding, but also because of disputes between the contractor and the client. Some contractors argue that if the dispute is not resolved, no construction will be completed [3]. Examining projects in a conservative industry such as construction reveals a lack of innovation and a need for an improvement in quality, efficiency, accessibility, and sustainability. More specifically, aspects such as record keeping, arbitration, dispute resolution, contractual workflows, resources tracking, delivery confirmation, and post-delivery services can be plagued by different problems that impact the outcome or progress of the project [4]. Poor documentation and construction delays have resulted in inefficient collaborations between parties involved in construction projects. Due to its decentralized nature, blockchain technology promotes information sharing and empowers all parties involved in the construction industry. Blockchain technology has been realized as a pillar of the Industry 4.0 revolution and is considered as a disruptive innovation in a variety of industries and businesses, including construction [5]. Industry 4.0 has realized a paradigm shift in production from input-intensive to knowledge-intensive manufacturing. Increasing the emphasis on information technology and the digitization of business operating models, a framework emphasizing innovation, growth, and sustainability has emerged [6]. The technology of Industry 4.0 plays a crucial role in manufacturing industries and their long-term viability due to enhanced technologies, improved communication technology, a decreased lead time, an improved work environment, and product quality [6; 7]. Therefore, BCT adoption can be an effective solution for the better management of construction projects by providing transparent data, and a clear communication of requirements and expectations through smart contracts that clearly define the terms agreed upon by the involved parties. BCT has the potential to enhance the management and funding of public and private projects. For example, BCT could improve bidding processes, contract management processes, project management processes, risk assessment processes, and insurance processes [8]. It could also dramatically reduce the time and costs involved in transferring funds for international projects from days to seconds [9]. BCT disrupts many industries as transactions become more efficient, inexpensive, or completely automated [10]. The most promising implementations of blockchain are those that can improve construction processes and workflows by removing a number of existing barriers or inefficiencies.