Construction accounting software does more than just handle invoices. It is an invaluable tool for subcontractor management, and can be used to automate vital processes to free up staff time for for more complex tasks. The current construction industry skills shortage means more and more companies are re-evaluating their workforces and looking to increase automation where possible. We consider the main advantages of construction accounting software against such a backdrop.
Automating processes such as invoicing, accounts reconciliation, job costing and product orders means less margin for human error. Human error can have a knock-on effect, as clients may see delays in their service and subcontractors may not be paid on time, while the legal costs associated with errors are high. Construction-specific software helps to negate the risk of human error, as its easy to use interface makes staff training quick and easy. Having systems in place to reduce human error minimises the time required by staff to correct mistakes, so they can focus on their core duties.
From subcontractor verification to job costing to contract management, there are many ways in which construction software can benefit companies seeking a way around the skills shortage. Using modules designed specifically for the industry means processes are set in place to make orders and contract management as smooth and simple as possible. This reduces staff time required for software training while simultaneously streamlining subcontractor management processes, such as using standard contracts or submitting job costing reports electronically.
In addition, applications designed as part of the construction software enable users to monitor subcontractor performance with great accuracy, allowing companies to assess their efficiency against submitted costs. This function enables construction companies to discover which skills are in demand, and determine whether additional subcontractors are required to complete projects.
Invoicing and accounts reconciliations
Skills shortages extend to accounting staff, who are the backbone of any business. Having specific software designed for the construction industry means typical processes, such as managing bills from subcontractors and submitting invoices to clients, can be done electronically. Accounts reconciliation is much simpler, with easy reporting and analysis available with a few clicks – leaving more time for accounts staff to follow up with debtors and ensure a steady cashflow for the business.
Construction-specific software: speed, save, survive
Using software designed to manage contractor business administration has a threefold benefit. First of all is speed: simple processes are automated to make administration much faster. This added speed in turn saves staff time, allowing them to focus their skills where they are most needed – which is of great benefit during skills shortages. Being equipped with the means to manage subcontractors, improve account reconciliation accuracy, manage cash flows and use reporting analysis all help your firm to survive and thrive. Adapting to industry needs and demands is easy, simple, and obtainable without the need to bring in additional staff.
To find out more about transferring from your generic accounting system to construction-specific accounting software, speak to us today.