The operations and management required to run a successful and profitable construction or real estate business are complex and varied. These days, business decisions, actions, and communications are nearly instant, which means everyone within your company or team has to be to on the same page at the same time in all situations. One of the most practical ways to achieve this level of comprehensive information sharing within a company is with an Enterprise Resource Planning (ERP) system. Most big names in the industry use such a software system to manage their day to day operations as well as evaluate past projects and ensure everyone is on track to meet deadlines, maintain infrastructure and real estate, inventory and much more. If you’re a small to mid-sized real estate or construction company, you’ve most likely considered purchasing an ERP system. However, the system can be considered costly in terms of price and time required to learn this “new way” to do business. That being said, you’d be remiss to write off ERP considering the many benefits it offers businesses including (but not limited to):
- Real time reporting: If one person updates the ERP system, everyone is alerted immediately.
- One system for the whole company: Management can choose what each individual on their team can and cannot see within the ERP system to ensure everyone is on the same page and up to date with the information about clients/projects/etc. that pertain to them. By giving everyone access to the same ERP, it’s easier for every individual employee to feel like part of a team and understand the big pictures needs of the business.
- Inventory and projections: ERP systems tailored for the real estate and construction markets (such as Assets One from ZIV Systems) also offer inventory and projection modules to help you save money by negating waste, seeing where your money is used most effectively, and keeping projects running on time.
This is just a handful of what an ERP system offers, however some people are still not convinced. It might see easier to use a simple and unfocused software such as Excel or the old fashioned pen and paper, or a SW system like MS Accounting. The thing about these “quick fix” systems is they lack to the all-inclusive aspects of an ERP System and the expense of mistakes, excess ordering, confusion between employees, and more will always be more expensive than investing in a high quality ERP.