In simple layman’s language, Enterprise Resource Planning is business management software that integrates managing functions such as technology, business services and human resources. All growing and established companies have adopted it to improve their efficiency and to fulfill the goals set for productivity and growth.

Construction is that evergreen industry where managing a large base of manpower and contractors is the biggest concern. More and more builders have now started using the construction ERP software as it offers a plethora of convenience features. Right from managing the worker lobby to managers and customers, it involves a hell-bound strata of efficiency to manage this mammoth organization.

Here are 4 strong reasons why ERP is a must for builders

1) Increased operation efficiency – As medium or larger construction organizations it becomes increasingly arduous to track, control and manage various processes. Such organizations have countless workflows, hundreds of employees and numerous processes and procedures. When one resort to handling them all manually, most of the time that could have been utilized in doing productive things goes off in unnecessary activities

Here comes the role of ERP – it helps to integrate various processes, track them and document them on regular – hourly and daily basis. Associated operating and overhead costs are reduced.

The ERP software automatically designates task to the employees and alerts the manger when it is accomplished. There is more efficient handling of manpower and each employee’s work details and accomplishments are tracked.

2) Enhanced consistency and accuracy – ERP streamlines the information from various departments and stores it consistently in an accurate format. With the multiple departments that a builder or construction company has to manage, information has to be stored in a format that is legible to all. Inter-departmental miscommunication is the most common hazard that these industries face and by clubbing this gap, they can increase productivity by leaps and bounds.

The most common scenario is that each department stores information in a different format, and while reporting to the manager the same information is often interpreted in a wrong way. This leads to miscommunication and wrong decision making. Though not significantly, but indirectly it does end up in losing revenues in the long run.

Having an ERP is beneficial as it maintains all records in a consistent format across various departments and it is stored in a common document, thus enabling easy and accurate inference. We had tremendous feedback on this article : signs you need construction management software

3) An add-on for employees – Since ERP assigns work to all employees, the time wasted each day in reporting and knowing the task is reduced. They feed the information as and when the task is completed, so it becomes easier for the managerial board to analyze individual performance and reward the best performing employees.

By being regularly updated about the workflow, the managers are constantly updated on the overall performance of their company. The status of all major tasks assigned is known to the builder and this aids in making strategic decisions quickly.

4) Improved service level – Automated billing along with all relevant information and improved customer service leads to happy customers and retention of customers.

All these benefits highlight the importance of Real Estate ERP for builders. The benefits can easily recover the investments you would make in purchase and implementation of the erp software.

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