
Although Enterprise Resource Planning (ERP) software is still relatively new in the market, most major companies have taken the step to embrace technology and
implement an (ERP) solution in preference to stand alone software packages for each
of their departments. This has allowed them to better manage and streamline their
operations by integrating the systems and databases in use and create an aligned
and seamless end to end process.
The notable exception to this pattern is within the
construction industry where early ERP Systems were not fit for purpose. The early
versions were designed with traditional businesses in mind and not able to deal the
complex asset based focus of the construction industry. This resulted in early
attempts to utilise ERP being less than successful for contractors and constructors.
As with all aspects of technology, the pace of development and change is rapid. Now
Construction ERP systems, designed by and for the construction industry, are
available and becoming essential for contractors to stay ahead in the market.
Construction Software that can manage the entire contract process from Estimating
and initial bidding, right through cost control, project management, variations, sub-
contracting, plant and equipment hire (the list of features handled by Construction
Software is exhaustive) up to and including hand-over, sounds almost too good to be true. But it is true. It is real and it has been tried and embedded into the operating procedures of some of the most prominent and successful construction companies around the globe.
But what does it cost? The answer to that question is multi-layered. The cost of the
software itself will depend on its features and scope of operation and whether you
are buying outright or leasing it. The actual cost, however will need to consider the
following factors over and above the software price itself:
- Implementation
- Training
- Customisation
- Process Alignment
- Updates
- Technical Support
Implementation
Your construction software is going to need professional installation and
configuration. If you have already begun your research into the scope of
construction software applications, you will know that they are extremely complex
and you will most likely need to carry out a review of your current operating systems
and servers as well as the suitability of existing hardware and software applications
in use. The cost of this is going to need to be factored into your overall cost
estimate. If you are dealing with one of the market leading construction software providers, they will have solutions and alternatives for you to explore to minimize these impacts and will represent a genuine real time saving in the long run rather than pursuing a lower budget option.
Training
We have already highlighted that Construction Software is extremely complex. That
doesn’t mean that it is not user-friendly, more that it has extremely wide ranging and
comprehensive functions that will require training for the Users. Your employees will
need to take the time to absorb this training. As with implementation assistance, an
experienced software provider will have the resources to provide this training and
should be discussed and agreed with them when sourcing your software solution.
Customisation
One size is unlikely to fit all and an ‘off the shelf’ product for construction is likely
going to be a poor fit for everyone. True Construction Software has the flexibility
and functions to be tailored to fit your business like a glove in terms of operational
processes and business intelligence (it will provide bespoke reporting in a way that
your business requires). Speak to your software providers about bespoke tailoring
and what they can offer in terms of customisation either by them or in terms of
training for your own IT teams should that be more appropriate for the scale of your
business.
Process Alignment
Although Construction Software can be tailored to fit how your operations are run,
there are going to be significant changes to how your current staff will operate once
the systems are embedded. Consider how many manual processes are currently
performed within your teams. It is hard to comprehend before having seen these
systems in action but the level of integration and intuitive process enhancements can
be breathtaking. Some of the most significant benefits of using Construction
Software come from the amount of time freed up by removing manual processes and
increased accuracy (human error is all but eliminated). The impact (although positive)
will likely require that the processes in place are going to be redesigned through
maximised efficiency.
Updates
Technology advances at a rapid rate (just look at the how the new iPhone can be launched, only to be succeeded less than a month later by an even more advanced version) and your
software should follow suit. Consider the benefit of having a rental type agreement
(software lease) that includes upgrades and enhancements as part of the offering
rather than what may look like a cheaper purchase option. Building in growth and
development to your package is always a good way to ensure you stay ahead of the pack
and constantly up to date with the very best and cutting edge facilities and
functionality.
Technical Support
Make sure your software provider has a strong and verifiable track record in
delivering outstanding customer service and product support. Construction Software
in a necessary investment but one that should deliver unparalleled return on
investment (ROI) if done correctly. Having specialist support available to deal with
any technical issues will ensure your ROI is protected and that the enhancements
and efficiencies available from the software are delivered and sustained within your
business. Don’t forget, you will have adapted to the process changes and intuitive
automation, it would be a shock to have it taken away suddenly and without
warning.
Interested in more? See "The Importance of Construction Software in the GCC Market"