Construction firms gain edge using ERP for project controls and crew management

United States, August 28, 2025

News Summary

New industry studies find construction firms using enterprise resource planning (ERP) software outperform peers relying on spreadsheets or standalone tools. ERP users report stronger data-driven decision-making, tighter project controls and improved crew time management. Key findings include significantly higher satisfaction and effectiveness scores for general contractors and specialty trade contractors, greater integration of external data for real-time insights, and cloud deployments lowering barriers for smaller firms. The research highlights common adoption barriers — integration complexity, training and culture — and recommends phased rollouts, sustained training and executive commitment to realize measurable operational gains.

New studies show construction firms using ERP software pull ahead on project controls, crew time and data use

Two new industry studies find that construction firms using enterprise resource planning software are outperforming peers across several key areas. The research shows general contractors who use ERP are more than twice as likely to describe their firms as highly data-driven, and specialty trade contractors on ERP report much better crew time management than peers using other tools.

Top-line findings

  • General contractors using ERP are more than twice as likely to say they are highly data-driven than non-users.
  • About 71% of specialty trade contractors on ERP report effective crew time management, versus 43% for trade firms using alternative tools.
  • Nearly nine out of 10 general contractors using ERP report overall satisfaction with their system; roughly eight out of 10 trade contractors on ERP report satisfaction.
  • Seventy-nine percent of general contractors on ERP rate their project controls as highly effective, compared with 38% for firms using alternative tools.
  • More than half of trade contractors integrate external data into ERP for most core functions; a majority of GC ERP users bring outside data into their systems.

What the studies measured

The two complementary reports focus on ERP value for general contractors and for specialty trade contractors. They measure things such as project controls, crew time management, data-driven decision-making and overall satisfaction with ERP systems. The reports show consistent gaps in performance between firms that use ERP as a central system and those that rely on spreadsheets, manual processes or disconnected third-party tools.

How long firms have used ERP and what that shows

Among general contractors that use ERP, a majority have been on these systems for years: a notable share report seven or more years of ERP experience. That long-term adoption is linked in the studies to stronger project control, more routine integration of external data and greater overall satisfaction. The research also notes trade contractors are narrowing the gap as more adopt ERP.

Market context

The construction ERP market was reported at about USD 3.7 billion in 2024, with forecasts projecting steady growth at roughly 7.7% CAGR through the early 2030s. In 2024 the cloud-based segment accounted for the majority of the market, and software made up more than 70% of total market share. Observers point to cloud delivery, SaaS pricing and mobile access as major drivers that make ERP more attainable for small and midsize contractors.

Why integration and data matter

The studies reinforce a common theme: ERP becomes more valuable as more project and external data are fed into it. Centralizing information—scheduling, budgeting, procurement, workforce time, equipment status and subcontractor data—delivers faster answers and clearer, real-time insights. Firms that connect ERP with external sources and field systems report better control, faster decisions and fewer delays.

Technology trends and tools

Cloud ERP, mobile data capture, IoT sensors and integration with building information modeling are highlighted as tools that expand what ERP can do on projects. Cloud delivery helps with remote management and lowers upfront IT costs. IoT and BIM offer richer, near-real-time feeds from site sensors and models, while mobile and first-generation site ERP tools improve time capture and communication from the field.

Common barriers

The studies and related market analysis note the same obstacles many firms face: leftover reliance on spreadsheets, manual handoffs, integration complexity, training needs and organizational commitment. Without integrated data flows and worker adoption, ERP systems can fall short of delivering the promised, real-time workflows.

Practical steps for firms considering ERP

Industry guidance suggests focusing on a few high-value use cases, planning phased rollouts, investing in user training and making ERP the central operating system rather than an isolated tool. Integration capability, strategic training and strong organizational backing are repeatedly cited as critical to capturing the full value of ERP investments.

Where to find the reports

The two studies on ERP value for general contractors and specialty trade contractors are available for download on the study sponsor’s public site.


Frequently asked questions

What did the ERP studies measure?

The studies measured project controls, crew time management, data-driven decision-making, system satisfaction and the extent of data integration in firms using ERP versus those that do not.

How much better do ERP users perform?

ERP-using general contractors were more than twice as likely to report being highly data-driven. Specialty trades on ERP reported 71% effective crew time management compared with 43% for trades using other tools. ERP users also report higher satisfaction and stronger project controls.

Is cloud ERP common in construction?

Yes. The cloud segment led the market in 2024, driven by lower upfront costs, subscription pricing and easier remote access and scalability.

What barriers should firms expect when adopting ERP?

Common hurdles include legacy spreadsheet use, integration complexity, staff training needs, and the need for a clear organizational commitment to treating ERP as a core operating platform.

What quick wins should firms aim for first?

Target a few signature use cases such as time capture, project cost control or procurement workflows, pilot them, then scale while investing in integration and user training.

Where can I download the full studies?

Both reports are publicly available on the sponsor’s website and can be downloaded for full details and methodology notes.

Key features of construction ERP at a glance

Feature What it does Why it matters
Project controls Tracks schedule, budgets, change orders and forecasts Improves on-time delivery and cost management
Crew time and labor Captures field hours, assignments and productivity Boosts labor efficiency and reduces payroll errors
Data integration Brings external schedules, BIM, IoT and procurement data into one platform Enables fast, data-led decisions and fewer handoffs
Cloud and mobile access Provides remote access from site and office devices Supports distributed teams and lowers IT overhead
Financials and procurement Combines accounting, purchasing and vendor tracking Helps keep projects within budget and improves cash flow
Analytics and reporting Delivers dashboards, KPIs and trend analysis Turns data into actionable insights for managers

Deeper Dive: News & Info About This Topic

Additional Resources

Author: Construction CA News

CALIFORNIA STAFF WRITER The CALIFORNIA STAFF WRITER represents the experienced team at constructioncanews.com, your go-to source for actionable local news and information in California and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Rose Parade, Coachella, Comic-Con, and the California State Fair. Our coverage extends to key organizations like the California Building Industry Association and Associated General Contractors of California, plus leading businesses in technology and entertainment that power the local economy such as Apple and Alphabet. As part of the broader network, including constructionnynews.com, constructiontxnews.com, and constructionflnews.com, we provide comprehensive, credible insights into the dynamic landscape across multiple states.

Construction CA News

CALIFORNIA STAFF WRITER The CALIFORNIA STAFF WRITER represents the experienced team at constructioncanews.com, your go-to source for actionable local news and information in California and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Rose Parade, Coachella, Comic-Con, and the California State Fair. Our coverage extends to key organizations like the California Building Industry Association and Associated General Contractors of California, plus leading businesses in technology and entertainment that power the local economy such as Apple and Alphabet. As part of the broader network, including constructionnynews.com, constructiontxnews.com, and constructionflnews.com, we provide comprehensive, credible insights into the dynamic landscape across multiple states.

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