Beginners guide to ERP implementation for Contractors
You may have heard about how ERP software for contractors is revolutionising various industries. But what exactly is ERP for contractors and how can it impact your business? Understand the basics with this beginners guide to ERP implementation specifically for the needs of contractors.
What is ERP?
In simple terms, ERP, also known as Enterprise Resource Planning is a business process automation solution that integrates several business functions such as supply chain, finance, payroll, etc. using software and innovative technologies to minimize costs and increase operational efficiency.
Types of ERP solutions
There are different tiers of ERP solutions that are available in the market based on revenue of your business and the number of users who will utilise the solution. ERP software for small businesses is readily available with standard features. Enterprise ERP comes with standard features and customisable modules to suit the needs of growing and large-scale businesses.
Benefits of ERP
Some of the major advantages of using a well-designed ERP solution are as follows:
- Instead of using multiple software to access data or perform tasks, your teams can utilise a single dashboard with integrated processes and centralised database to operate efficiently.
- Your team members may be working on different project sites. They can use their smartphones to post real-time updates of work progress and fulfil their responsibilities on the move.
- Track the progress of the work done by sub-contractors easily.
- A well-planned ERP will minimize your operational costs, mitigate risks and take care of all the tasks that can cause a project delay.
- You’ll be able to track your expenses and keep your costs in control.
- Prevent losses due to material mismanagement.
- Forecast project estimates and completion dates.
Specialised ERP implementation for contractors
When it comes to contractors, they are bound by contracts with specific contract value and timelines. For a profitable contract fulfilment, contractors need to make optimum use of their resources, time and costs. A delay in accomplishing tasks as per schedule or expenses exceeding the budget can lead to financial losses which can even cause a dent in the finances of the business. Therefore, it is important to choose the best software for EPC contractors or other specific contractors to meet their specialised needs.
Choosing the right vendor
Automation in some manner is offered by ERP vendors. For contractors, it is best to choose vendors based on their expertise in serving domains that involve their line of work. For example, construction contractors may need project management features along with standard features of HR, payroll, finance and accounts, etc.
Planning is the key phase where all the details of your ERP are discussed by the vendor with your team and the implementation routes are finalised. The solution will be constantly tweaked along the ERP development process for customised ERP but once it is implemented across the divisions, any tweaks can be costly. A vendor who serves you with a readymade ERP that can be quickly set up but it will be similar to serving you with a solutions palate that isn’t fit your business appetite.
While standard software may be good enough for small businesses, large businesses will have to get an ERP solution desired as per their unique business workflow. Implementation of an ERP can be complex for widespread businesses. In such cases, ERP is tested in stages with personnel wherein the normal functioning of the business faces minimum impact. The personnel is trained with the new ERP system and any glitches in the process are fixed at this stage. That’s why testing is a crucial phase during ERP implementation.
Once the Enterprise ERP solution is successfully tested, the solution is implemented in phases across divisions. Choose an ERP vendor who understands your industry and your specific needs extremely well.
There are several vendors who will approach you with a solution for designing ERP for contractors. Mumbai-based companies are capable of providing flexible ERP solutions such as OMNI ERP that is ideal for EPC contractors, construction and infrastructure companies, labour and machinery suppliers and other contract-based business owners. If you seek ERP solutions for your contract-based business, you can connect with OMNI ERP experts at ______