Why is Construction Project Management Software Important?

Project management software can be extremely beneficial for contractors looking to

• Improve communication
• Manage budgets
• Centralize documentation
• Keep track of employee assignments

It can act as a digital tool to give insights as you drill down into the details of your construction projects.

But how do you know if software is the right means of management for you? We’re here to help. In this article, we’ll navigate the benefits of project management software and detail how implementing a solution can help keep your construction projects on track.

Article Highlights:

• Construction project management software automates and optimizes key project management tasks
• Project management software allows project managers to analyze historical resource data to better optimize the tools and resources
• Reporting and analytics provide data-driven insights into project performance
• Other software, like accounting software, is compatible with construction project management software streamlining the budgeting process
• ProjectHQ a construction project management app that is designed to help project managers take control of their projects

What is Construction Project Management Software

Construction project management software is a specialized digital solution used to help facilitate the planning, coordination, and execution of construction projects. By utilizing this type of technology, construction project managers can effectively distribute and monitor a project’s resources (which includes labor, materials, and equipment).

With a variety of functionalities, construction project management software automates and optimizes key project management tasks. It also allows supervisors to use this software to schedule and track assigned tasks and billing. This assists companies in staying within their budgets and timelines by tracking financials and deadlines.

Whether it’s internal communications, project scheduling, or document management, software helps bridge the gap between the onsite construction crew and administrative personnel.

Benefits of Construction Project Management Software

Using software for project management streamlines the construction process because you gain up-to-date insights into productivity. Let’s look at some ways this software can help your projects.

Project Planning and Scheduling

Project scheduling involves the listing of activities, deliverables, and milestones within a project. A schedule includes start and finish dates throughout the duration of the project as well as the labor hours and resources assigned to each activity.

Project managers can use construction project management software to simplify the project scheduling process by giving them the power to create detailed plans that can be tracked by the minute.

Most project management software will contain a feature that helps project managers schedule employees, resources, and equipment in a project. This level of project planning can help companies with back-to-back deadlines, or multiple contracts prevent project delays.

Resource Allocation

Resource allocation is the delegation of resources throughout a project. Construction project management software stores the schedules of all resources and tools in a centralized calendar — coordinating their usages across project timelines. Software helps in assigning and managing these resources efficiently, ensuring that labor, materials, and equipment are utilized effectively across the project.

Project management software allows project managers to analyze historical resource data so managers can use past information to better optimize the tools and resources. Software can also help contractors manage and track the day-to-day use of tools, equipment and materials so a maintenance schedule can be created based on usage.

Communication and Collaboration

Ensuring that a team is communicating and collaborating effectively at any given job site is crucial to the success of a project. Managing projects as they grow and change is difficult, but for companies that have team members across town or even across the country, it gets even harder to keep everyone on the same page.

This software can help managers boost efficiency and profitability. Acting as a single communication hub, construction project management software reduces

• Misallocations
• Duplicate entries
• Inaccurate data

Project managers can be confident that they have the appropriate documentation for purchase orders, requests for information (RFIs), change orders and subcontracts.

With a construction management software in place, every team member has access to a centralized point of communication no matter where they’re working. This can ensure real-time communication and collaboration between clients, consultants, contractors, and project managers. This real-time collaboration allows team members to share updates, documents, and progress reports instantly, keeping everyone on the same page.

Document Management

Documentation that is uploaded into the software allows a company to have a secure location for important paperwork. It also gives project managers and team members an easy way to access documents, reducing the chances of information gaps and errors.

Whether it’s contracts, blueprint drawings, or project specifications, construction project management software provides a protected source for easy document storage, retrieval, and control.

Risk Management

Identifying potential risks early in the project lifecycle is crucial so mitigation strategies can be implemented to keep the project on schedule. Project management software measures changes, such as an incorrect budget quickly. This allows it to be documented and addressed quickly, keeping the entire team informed and up to date.

By offering task and schedule management, software can have a clear view of the project timeline to better identify where potential risks may occur. This software also creates an audit trail for your documents so team members can easily access all recent information.

Data analytics and reporting capabilities are often available in construction project management software. Through data analysis, project managers can generate customized reports to highlight specific risk areas. Identifying and reducing various risks can also help increase a project’s productivity and keep expenses low.

Field Management

Field staff can use construction project management software to update project progress and input critical jobsite data. The software helps track

• daily logs
• labor hours
• equipment usage
• expenses

This information is digitally sent back to the office so decision makers know what’s happening at all times.

This can also ensure that project managers and field and office staff are all aligned on project statuses and communications. Project managers can set up and track project milestones, monitor job resources, and view actual vs. estimated costs at any moment to help them make more informed and effective decisions.

The software can also assist in creating and managing checklists and inspection protocols, ensuring that construction work meets quality standards.

Reporting and Analytics

Reporting and analytics are crucial in construction project management software as they provide data-driven insights into project performance. Some construction project management software is equipped with more robust reporting functionalities that offer data visualization tools, such as billing expenses and invoices, to align with your reporting needs. These functions can help users analyze project data, compare performance metrics, identify trends, and gain valuable insights into project progress and performance.

Integrations

Other software, like accounting solutions, is often compatible with construction project management software — streamlining the budgeting process. Connecting the two can help accurately track expenses and revenue on different projects.

These integrations allow you to easily transfer data such as labor costs, change orders, and purchase orders. This data flows directly to provide the most up-to-date accounting and financial information for reporting. An effective accounting integration in construction management software will also help automate accounts payable and accounts receivable processes by digitizing invoice management, payment processing, and billing.

Choose ProjectHQ For Your Project Management Software Solution

Project managers need an effective way to centralize information across projects. Whether it’s change order management, scheduling, or resource allocation, construction project management software can help a team improve communication and collaboration.

And if you’re looking for a project management solution, ProjectHQ® is here to help. ProjectHQ is a construction project management app that is designed to help project managers take control of their projects and keep all of your data in one place.

If you’re ready to see how our software can help you, book a demo with our construction project management software experts today!