Real Estate Has Centuries of Lead

The construction sector has much to teach the software world. Despite the high-tech image and artificial intelligence, some fundamental processes in software go terribly wrong. What are the 3 main problems we encounter? What are we doing wrong in ICT, and what lessons can we learn from the real estate sector?


Lesson 1: ICT Does Not Take the Time

In the construction sector, the entire process from concept to completion takes 5 to 10 years. A new software product must be ready within 1 year, at most 2 years; even though software is often far more complicated. The reason for this is financing; nobody wants or is allowed to pre-finance 10 years of software development.


Lesson 2: ICT Does Not Look Forward Enough, Does Not Plan:

In the real estate sector, people are accustomed to planning and working methodically, according to strict steps. It’s second nature. However, in the software world, people are often not professional and experienced enough, and therefore work without a plan or method. This leads to a zigzagging way of working, with fancy names like Agile and Sprints. And everyone in software is used to it, even thinking that’s how it should be!

Lesson 3: ICT Builds in Precisely the Wrong Order


Real Estate Has Centuries of Lead The construction sector has much to teach the software world. Despite the high-tech image and artificial intelligence, some fundamental processes in software go terribly wrong. What are the 3 main problems we encounter? What are we doing wrong in ICT, and what lessons can we learn from the real estate sector?

Lesson 1: ICT Does Not Take the Time In the construction sector, the entire process from concept to completion takes 5 to 10 years. A new software product must be ready within 1 year, at most 2 years; even though software is often far more complicated. The reason for this is financing; nobody wants or is allowed to pre-finance 10 years of software development.

Lesson 2: ICT Does Not Look Forward Enough, Does Not Plan: In the real estate sector, people are accustomed to planning and working methodically, according to strict steps. It’s second nature. However, in the software world, people are often not professional and experienced enough, and therefore work without a plan or method. This leads to a zigzagging way of working, with fancy names like Agile and Sprints. And everyone in software is used to it, even thinking that’s how it should be!

Lesson 3: ICT Builds in Precisely the Wrong Order In a construction project, you start at the bottom, preparing the ground and laying a foundation. In the software world, we usually don’t do it so logically, on the contrary. We focus first on satisfying the most important user. And that user wants results, for example, just a nice view from a penthouse. Pretty, but not very efficient.

We have taken these lessons to heart.

­čĺíRest assured, at Actoren, we spent 10 years on our product. We could do this because we financed the product ourselves. And of course, we went about it systematically: first the functional design, then the technical design, making plans, and only then construction. The construction also proceeded systematically and efficiently by starting with the foundation. And ultimately, this produces a high-quality product that stands solid as a house.

Scroll to Top