1. Gathering All Financial Information Together in one Database
The main aim of the all projects is to earn money. This is also the same for construction companies. This is why a project manager must mainly focus on the general status of the project to determine a route to the end of the project rather than a single activity. Also the upper management of the company must mainly focus on the general status of the company by getting brief and detailed enough reports instead of focusing on the general status of the single project.
Infact all units have detailed enough reports mentioning the results of the operations executing by their functional unit. But the problem is these reports cannot come together under a single media, thus they have no coordination. ERP systems gather the data resulted from the operations of functional units of head office and projects, thus producing more detailed and coordinated reports. In brief ERP systems produce very detailed reports for highlighting the facts of the general status of the project or the company as the managers wish.
2. Making all Staff Doing Their Own Jobs in More Standardized and Efficient Ways..
All the operations done by all the units are gathered in one database and reported from this database in ERP systems. By this way the managers have a chance to compare the results with the previous days, weeks, months or years in a very short period namely in seconds. Besides the managers get the chance to compare the results based on costs schedule or scope and can easily take necessary precautions for not to let the project get away from the baselines. It becomes very easy to determine what percent of the money spend return to the company as production and what percent of money is sunk because of poor management or loss of resources. In brief with ERP systems Human Resource Management also becomes easy.
3. Taking Procurement Management Under Control and Lowering the Warehouse Costs.
One of the main expense items of a project is Procurement. Though procurement procedures are linked to very rigid rules, it is still a procedure going on such a way bounded to some staff in the company. It is not a surprising event to find many unused materials in warehouse at the end of the project or not having the necessary material during the execution in the warehouse. Employers try to sell the excess materials at the end of the project or try to use them in new projects where as in lack of material in warehouse during execution, employers have to procure the mentioned material with over costs. A good procurement management must be integrated with the warehouse and the work schedule. It must not permit to buy anything existing in the warehouse or it must show the necessity schedule of the material to be procured.
In approving the procurement, the system must permit to give a cost range which depends on previous procurement of the same type material or which depends on the realities of the project. With ERP systems all these mentioned details can be managed very easily even in seconds.
4. In ERP Systems Data is used as input only for one time, it can be shared and referential integrity can be easily checked.
5. With the produced reports, the company can evaluate its processes and can make some developments or can completely change the processes.
6. The company will get an integrated information system in which all the processes of the company can be managed.
7. All the operations and their results will be recorded and documented with the fastest, reliable, and a low cost way.
8. Any kind of operational or analytic reports which are true, consistent, real time, detailed as wished, consolidated as wished and etc. can be produced.
9. Creating lessons learn documents for future projects.
The thing that is not to be overlooked is not to forget the reality that ERP Systems do all these operations by differently interpreting the operations done always. As mentioned before no matter how complex the job is done behind the scene, the things that are executed in front of the scene are the jobs that the companies are obliged to do. The only changing thing is the tool used during the execution. Here the prior choice of the companies must be to choose an ERP system tailored to their sector rather than a general ERP System. A sector specific ERP system can be an absolute tool for the company with small tailoring. Today all over the world many ERP systems exist serving from banking systems,, marketing companies, hvac companies, defense industry, factories and etc. Construction sector is the most complex, comprehensive and difficult sector of production sector. That is why ERP systems for construction sector have to have more detailed content. The projects in the construction companies are generally not repetitive, the geographic conditions, the staff, the client are mostly changing from project to project. Both the changing working conditions, developing technologies, and the changing needs makes the ERP Systems for construction companies to be updated regularly. Regularly updating the solution based on these constraints makes the return of the investment maximized. The shortest time for gaining the benefits of adopting ERP systems is in construction sector. Thus ERP systems must be adopted to all projects of the construction company as soon as possible. Construction companies who have to manage thousands of activities at the same time, controls their system and executing projects by the aid of the ERP Professionals.

utku - 2010
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