{"id":94430,"date":"2021-06-07T10:09:54","date_gmt":"2021-06-07T09:09:54","guid":{"rendered":"https:\/\/www.pbctoday.co.uk\/news\/?p=94430"},"modified":"2023-06-13T16:28:38","modified_gmt":"2023-06-13T15:28:38","slug":"erp-technology-construction","status":"publish","type":"post","link":"https:\/\/www.pbctoday.co.uk\/news\/digital-construction\/construction-technology-news\/erp-technology-construction\/94430\/","title":{"rendered":"How cloud-based ERP technology is changing the construction industry"},"content":{"rendered":"

With the ever-evolving world of technology, cloud-based ERP<\/a> such as EasyBuild<\/a>, has seen a massive uptake by organisations. 78% of organisations<\/a> consider the cloud to be a critical part of their business strategy. So why is this the case? What benefits does a cloud ERP technology offer and how is it changing the construction industry?<\/h2>\n

What is cloud-based ERP technology?<\/h3>\n

ERP stands for enterprise resource planning. Simply put, it is a form of software used by companies to manage information across their organisation. It is used by on-site construction managers and contractors to manage day-to-day activities throughout a project. Software like EasyBuild<\/a> streamlines the accounting<\/a>, payroll<\/a>, the supply chain<\/a> and project management<\/a> business functions, integrating them all into one solution.<\/p>\n

Cloud-based software is managed off-site by a third-party provider<\/a>. When connected to the internet, authorised users are able to access information on a shared project wherever they are – whether they are customer-facing, on the construction site or in the office.<\/p>\n

This flexible access to the software is only one of the many benefits cloud-based ERP technology offers for construction workers, managers and contractors.<\/p>\n

Top 10 benefits of cloud-based ERP for your construction business<\/h3>\n

1. Increasing ROI<\/h4>\n

Research has shown that 21% of companies<\/a> that implemented cloud ERP technology saw an improvement in profitability over a two year period. This was compared with 5.4% of other companies that had used a standard in-house system.<\/p>\n

This shows how many opportunities adopting cloud-based ERP presents to reduce business overheads. Having an in-house system comes with a number of expenses, including IT staff salaries, hardware costs, data security and infrastructure maintenance.<\/p>\n

Standard ERP software requires ongoing management in order to run effectively. With cloud-based ERP software<\/a> managed off-site by a third-party provider, the costs of hardware, infrastructure and staff are dramatically reduced.<\/p>\n

An industry shift towards cloud-based ERP subscription models shows businesses positively improving their bottom line.<\/p>\n

2. Improving efficiency<\/h4>\n

Companies who integrate cloud ERP technology, like EasyBuild, into their business model see efficiency gains of up to 400%<\/a>. Some in-house ERP systems can take months, even years, to deploy, a large project investment to any business. Selecting and buying hardware, training up IT staff to use the new system and implement new processes with data security and maintenance is costly.<\/p>\n

A cloud-based ERP solution offers a simpler process, making it quicker and easier to implement as it\u2019s carried out remotely by the software provider.<\/p>\n

An in-house system requires regular maintenance and update which strains resources and leads to downtime, impacting the construction project delivery<\/a>. Updates being managed remotely reduces workflow interruptions and ensures business continuity.<\/p>\n

The streamlined nature of cloud ERP technology will strengthen working relations across any construction project, improving business efficiency as well as enabling seamless supplier collaborations.<\/p>\n

A reliable cloud-based software solution will boost efficiency, leading to timely project completion, within budget, avoiding delivery penalties and disgruntled clients.<\/p>\n

3. Accurate reporting<\/h4>\n

When it comes to reporting and analysis<\/a>, you won\u2019t get much more accurate information than what cloud ERP technology offers. Systems will offer you real-time information ready for you to review at any time. A good cloud ERP software will have an intuitive interface that makes it easy to dissect data, with information being provided from across the construction project. Throughout a construction project, inevitably issues will be presented to the decision-makers. Accurate reporting allows you to make decisions quickly throughout the project safe in the knowledge that they are being made with the best information available.<\/p>\n

4. Scalability<\/h4>\n

As a successful construction company, you\u2019ll always be looking at ways to scale up. Cloud ERP technology, such as EasyBuild, will integrate well with new systems and components. It gives growing businesses the opportunity to handle the additional workload while managing project costs. With the ability to access information from anywhere in the world, cloud ERP won\u2019t get in your way as you look to expand into other territories.<\/p>\n

5. Supply chain management<\/h4>\n

Supply chains have been increasingly more volatile in recent years. While most strategies are built upon stability and consistency, more companies are moving to a cloud-based system to cope with disruptions. Cloud ERP technology enables a steady flow of goods based on real time data – leading to a more precise supply chain management<\/a> system.<\/p>\n

The visibility that cloud-based ERP software, such as EasyBuild, offers improves the relationship across the supply chain – allowing for a more collaborative effort. It always makes the end-to-end communication between the supplier and the management team much easier. This ensures that a project doesn\u2019t suffer delays as a result of not having sufficient resources.<\/p>\n

6. Cost control<\/h4>\n

Brexit, increased shipping costs and the coronavirus pandemic have all had their hand in the increased price of raw materials<\/a>. Yet, as we head on the road to recovery, the construction industry is picking up more and more projects<\/a>. An increase in demand will only go on to further raise costs. Cloud ERP technology is useful in highlighting areas where costs can be cut. In fact, it has even been attributed to a 23% reduction in operational costs<\/a>. This makes it much more likely to finish a project within budget.<\/p>\n

7. Secure data<\/h4>\n

Any good cloud-based ERP software will have security tools built-in. Providers like EasyBuild have a lot on the line when it comes to security – any fault can be hugely damaging to their reputation. So if there\u2019s a data breach, whether it\u2019s the customer\u2019s fault or provider\u2019s, it\u2019s ultimately the software that will take the fall. With this in mind, vendor\u2019s will have invested a lot into protecting the accessible data on their system. Things to note when looking for a secure cloud solution are;<\/p>\n