Kennards Hire: Assessing industry progress

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Kennards Hire’s Construction Confidence Check report has assessed optimism levels among key industry players, as productivity inefficiencies, delays, and labour shortages continue to impact the sector.

Accurate reads on the sector’s ambition and mood are often rare, but a relatively new resource from one of the nation’s largest equipment hire providers aims to change that.

Kennards Hire’s annual Construction Confidence Check (CCC) was developed to provide further insight into the industry’s sentiment towards future opportunities and challenges.

The 2025 report, the fourth CCC to be released, assessed the confidence levels of key senior leaders in the construction industry across Australia and New Zealand.

More than 600 senior leaders from mid to large-scale businesses were surveyed, with the CCC evaluating their outlook for the next five years. This included expectations for future projects, the overall project pipeline, broader macroeconomic conditions, and the main drivers affecting their businesses.

Tom Kimber, General Manager Sales – Kennards Hire says the CCC offers significant insight into the factors that are affecting decision makers, sector-wide.

“It’s really a barometer around the confidence of key players in the industry,” he says. “Among many things, what we’re looking for is validation of what we’re seeing from our own perspective in the market. That means mapping out what our expectations are, versus the reality faced by the construction segment, as well as looking at any current trends or highlights.”

Key findings

Kimber describes the overall feel of the sector as “cautiously optimistic” with the CCC painting a positive picture for the next half-decade. The CCC states that 91 per cent of business leaders have confidence in further growth in the construction sector, over the next five years.

The positivity is a far cry from the general mood felt across the past few years, says Kimber.

“It was surprising and pleasing to see such strong confidence and positivity, which we haven’t been hearing in the general media or in our general state of play over the past couple of years,” he says. “It seems as though we have come through the worst of it, and the outlook is definitely not as bleak as what we’ve had to manage in previous years.”

Despite this positive outlook, it’s clear challenges remain, with 99 per cent of participants saying that their business is currently exercising caution or looking at cost savings.

Among the biggest and lingering challenges are constraints around capital investment, with many in the sector facing difficulties committing to long-term projects or new equipment.

Persistent shortage of skilled workers has further constrained growth, while ongoing supply chain disruptions have continued to affect the industry, causing delays and operational challenges. Companies are also finding it increasingly difficult to be both cost-effective and sustainable, especially with project stakeholders demanding low-emission equipment and environmentally friendly solutions.

Importantly, the CCC provides Kennards Hire with greater context and understanding around these challenges.

“If you don’t listen to what your customers and the sector at large is telling you, then you can’t be informed on how to serve it in the best way,” Kimber says. “From that perspective, the CCC is a vital tool. It defines and influences our outlook and many of the decisions that we’ll make.”

Just one of these customers is Total Construction. Steve Taylor, Managing Director – Total Construction says the industry’s current challenge is managing increasingly complex projects across fragmented supply chains.

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“Juggling multiple suppliers, managing outdated equipment, and navigating material shortages isn’t just frustrating, it’s expensive,” he says. “To be on the front foot, the key is to stay agile, adapt quickly, and partner smartly. In today’s shifting economic environment, it’s not just about managing costs – it’s about building a more resilient and scalable business.”

Again, reflecting the key findings and importance of sustainability within the CCC, Taylor adds that companies must adapt and embrace modern construction techniques to ensure successful project outcomes.

“Today, success in construction isn’t just about delivering projects, it’s increasingly about how you deliver them,” he says. “The old ways of working simply don’t cut it anymore. Prioritising ESG (Environmental, Social, and Governance), outsourcing, equipment hires, and investing in our people has made a real difference in our ability to deliver on time and at scale.”

It’s here that Kennards Hire’s solutions come to the fore. As Kimber explains.

“We’re always looking to innovate and ensure that our customers have the right solution for the right project,” he says. “Kennards Hire doesn’t just supply gear; it provides a suite of solutions that can create greater efficiency. We pride ourselves on having quality and reliable gear, which if you don’t have access to, can lead to downtime and disruptions.

“We play a significant role, I feel, in alleviating those issues.”

Kennards Hire’s model allows companies to access equipment as needed, reducing the need for large capital investments and supporting cost-effective project management.

By providing the right equipment, Kennards Hire can help customers save time and reduce the need for additional labour, a critical aspect that can help to minimise the impacts of industry-wide skills shortages.

This model also promotes sustainability by maximising asset utilisation, while reducing the environmental impact of ownership.

Kennards Hire’s constantly updated fleet also ensures customers have access to the latest, most efficient, and lowest-emission technology.

“Hire equipment has always been rooted in sustainability,” Kimber says. “It provides a ‘use as needed’ scenario, without any hidden costs. It’s all about staying close to our customers and understanding where they’re at, as well as making sure that we’re agile and able to adapt, to service them as best as possible.”

And Kennards Hire provides much more than just equipment and machinery. With a dedicated division and vast experience in project management, Kennards Hire can provide a dedicated team that works with project stakeholders to deliver optimal outcomes.

It’s potentially a “game-changing” service, especially with 35 per cent of CCC participants saying that they struggle to attract project management expertise, and a further 36 per cent saying that time is often wasted when managing multiple suppliers and project stakeholders.

Kimber believes that with Kennards Hire’s support behind it, the outlook for the sector is brighter, with significant projects ahead and a renewed willingness to invest.

“We’ve got a number of significant projects in the pipeline that will stimulate construction and infrastructure,” he says. “I see a much brighter outlook for the 2026 calendar year and beyond.”

To learn more, visit: https://www.kennards.com.au/latest-news/construction-confidence-check-2025

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