According to a 2021 survey by Associated Builders and Contractors, 35% of contractors are expecting decreases in project profitability, furthering the need for stakeholders to identify ways to cut costs and increase productivity. Construction project management solutions are the tools and processes used to efficiently manage the planning, scheduling, budgeting, and overall execution of a construction project. These solutions can range from complex software applications to simple project-planning documents.
Construction project management solutions are becoming increasingly important in the construction industry. They help ensure that projects are completed on time, within budget, and to the highest quality standards. These solutions provide a wide variety of benefits discussed below.
Improved project planning and scheduling
With the steadily rising costs of construction, more attention is being paid to how to improve project planning and timeline. While streamlining project planning and scheduling can be a challenging task, the right tools, techniques, and strategies can increase efficiency.
Construction Project Management Software allows stakeholders to break down the project into smaller, manageable tasks and assign them to different teams. It then provides visibility into whether these tasks are being performed on time and on budget, allowing stakeholders to foresee roadblocks and other potentially costly problems. Integration of these solutions improves accuracy in project schedules and insights into realistic deadlines for each task, and creates a detailed timeline for the entire project that can update as tasks are completed faster or longer than expected.
Enhanced visibility, collaboration, and communication
Just as Construction Project Management Software can help track the lifecycle of a project it can also help to keep the lines of communication open between team members. Improved communication can be achieved by detailed notes, change orders, and roadblock tracking. Utilizing construction project management solutions establishes designated channels of communication to ensure everyone is on the same page and aware of job site status.
These tools not only allow you to see job site notes in real-time but allow for real-time collaboration in the sharing of documents, job site photos, asset/tool tracking, and supply procurement status, keeping everyone up to date and accountable.
One of the common concerns of construction stakeholders is the visibility of the office to see what is going on at job sites during the week in between site visits. Construction project management solutions take the concern away by allowing regular and real-time visibility into job site conditions. This allows company stakeholders to hold job site foreman accountable for timelines, lapses in communication, and project profitability.
Better cost management
Estimating is the first step in setting a project up for success and profitability. Construction project management software improves cost estimation and budget control by creating a budgeting system that carefully tracks your expenses. This real-time tracking of costs provides detailed reports that make it easy to stay on top of your project budget and identify if you are going to end up over or under budget With a proactive approach to estimating and budgeting, you are able to identify areas where you can reduce non-essential costs, streamline operations, and implement cost-saving initiatives, as well as focus on boosting productivity and efficiency, which can help reduce costs.
Improved risk management
Identification of potential risks and mitigation strategies in order to prevent any unexpected issues or problems from occurring is essential for construction executives. When you know the potential risks, you can create plans to avoid or reduce the likelihood of them occurring. The creation and ease of access to the project risk management plan helps to reduce job site accidents and improve compliance tracking. While your field team is working on execution and quality control the management team can look ahead and identify potential problems in the next phase of the project.
Increased productivity and efficiency
Streamlining processes and reducing manual labor can be beneficial for any business, but in construction it is a growing necessity. Construction project management software can help by automating processes, thus reducing manual labor and allowing your team to focus on higher-value work. Add to that improved reporting and documentation and you are not just saving time and resources, but also helping to ensure accuracy and compliance.
This improved resource utilization is achieved not just with back-office staff but also with field staff as you are able to better outline job site staffing needs day to day, ensuring the right number of team members with the right skills are onsite each day.
Contact Hartman to learn how to optimize your projects
The impact of construction project management solutions in the construction industry has been significant. From the increase in efficiency and accuracy to providing project teams with more accurate and reliable data to inform decisions, the benefits are vast. But the question is, what is the right solution for you? Hartman Executive Advisors helps construction companies improve utilization of their current systems, and select new software to meet their business needs. Contact us today to learn how we can help you improve your project lifecycle, accountability, and profitability.