Materials account for a substantial proportion of construction costs due to which material management in construction becomes the most value-added process. By definition, material management is a process that helps streamline numerous tasks related to the purchase and flow of materials. This includes assessing the material requirements, procurement, storage and tracking of materials across multiple projects. It also aims at reducing material wastage leading to cost reduction, thus, increased profitability. However, most construction organizations deal with challenges such as inventory mismanagement that hampers the construction process, eventually leading to delayed project delivery. Thus, a tailor-made methodical approach is required for effective management of the construction materials.
Material management involves correct estimation of material requirement, effective procurement of the materials, budgeting, inventory control and proper material handling. In order to achieve the aforementioned objectives, a reliable construction material management software is required. From budget to indents, RFQs to purchase orders, this software can help plan, organize and execute numerous key functions crucial to material management.
If you run a real estate or construction business, it’s best to invest in construction material management software. Below-mentioned are the top reasons why you must consider construction material management software for your organization:
- Effective Material Procurement
The construction material purchasing process can be a cumbersome task when it comes to negotiating with suppliers for effective pricing and quality. A construction material management software facilitates quote comparison owing to the availability of multiple suppliers at a single integrated window. In this, supplier viability is mapped with material requirements and suitable suppliers are brought on-board. Moreover, it is capable of issuing multiple purchase orders online leading to precise and documented communication of material requirements.
- Inventory Management
Challenges like ineffective tracking of materials, material consumption level, material wastage etc. are quite common for construction projects. By using a construction material management software, managers are able to plan and supervise inventory movements and establish appropriate inventory levels. This reduces inventory ordering and carrying costs. Moreover, a planned approach to inventory management helps bring down the material wastage.
- Easy Project Management
For an on-going construction project, inaccurate bill of materials, ineffective procurement and tracking, improper issuance of inventory from stores to sites & inventory reconciliation etc. are some of the major challenges that surface. A construction material management software encourages a systematic approach to solving these problems. It can manage multiple site stores and also helps keep track of multiple project sites that provide construction managers with real-time data, thus, enabling them to make informed, well-timed decisions.
- Enhanced Communication
With a construction material management software in place, communication amongst individuals involved in multiple projects can be advanced significantly. Since the software allows the site engineer, store manager, project manager, and even the management to be on a single platform, exchange of information and documents becomes hassle-free. For instance, it enables users to accept the RFI requests to which access can be granted in no time as everyone working on the project can get access to vital information and approvals through a centralised system.
- Real-time order tracking & stock traceability
An effective material management software helps in aggregating material quantities across various sites. It also enables inventory tracking from supplier to site on a real-time basis. This keeps the process of inventory reconciliation in check by smoothening the flow of inter-project material transfer processes. For instance, if there are more than one on-going projects and surplus material exists at one site, it can be issued directly to the other site(s) where there is an urgent requirement of the same material. This saves upon unnecessary procurement costs.
- Cost-effectiveness and improved project delivery
It is necessary for the real estate and construction business owners to complete the project within the stipulated budget. Material and equipment cost account for around 70% of the total cost of the project. A construction material management software helps calculate the exact order quantities besides calculating the buffer stock levels. This, in turn, maps material procurement in accordance with delivery timelines, stock size and the procurement costs. Consequently, purchasing and inventory holding costs can be reduced, thus, enabling cost-effectiveness.
Taking complete control of the material lifecycle from estimating material requirement, raising indents, procurement to consumption, a construction material management software improves all the core processes. These processes include project material management at the virtual site store, creation of a central repository depicting aggregate material quantities across multiple sites etc. Thus, it becomes easier for the workforce to collaborate in an efficient manner, ensuring better material management at anytime from anywhere.
If you are looking for the best construction material management software, you can go ahead with BuildSupply Material Manager and enjoy its many benefits including the addition of unlimited users and projects, automatic stock updation, quick creation of bill of materials, raising multiple purchase orders, real-time order tracking, single easy-to-use dashboard, etc. and help streamline your entire material lifecycle.
Technology has made things far easier for construction enterprises and it’s the best time to leverage it to your advantage.