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What Returns does Construction Software Yield on Initial Investments?

April 16, 2018
By Simon De Brito
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What Returns does Construction Software Yield on Initial Investments?

The digital age has brought many benefits to the construction industry, including project management software, customer relationship management (CRM), and enterprise resource planning (ERP). These pieces of software dramatically cut the time that your employees spend creating documentation and preparing estimates, but they are not without their costs. One of the best ways to analyze whether or not to choose a particular software innovation is to calculate the return on investment (ROI) of that particular technology.

Evaluate the Costs of your Construction Software

Many of the costs are upfront and clear; licenses to use software are an ongoing expense. At the same time, the implementation phase brings the need for installation, setup, or training on the software, as well as some lost productivity time while employees become adept with the software. 

Lastly, many programs require ongoing support contracts, and accessing these services also cost money. When you tabulate all of these elements, you learn a more accurate cost over the life cycle of the product.

Evaluate the Returns of your Construction Software

One of the main advantages of modern software is that new packages often offer so many features that one software can replace multiple older systems that were more single-function services. Every license and support contract you can cancel because of the new investment counts toward your returns.

Many new software packages also allow you to more quickly progress clients through the many stages of the construction process, which increases the efficiency of your workers and gives you more hours of productivity for them to work with new clients. Enough gains in productivity can even allow you to have a leaner team, not needing to hire on extra help. All of these gains also can contribute to the overall reputation of your company, allowing you to increase your prices in the long run for what becomes a better, quicker-turnaround project. It can also provide the tools and processes to keep your construction projects within budget.

Some of these gains are aspirational, and some of the costs, like support needs, can be hard to discover until you have a contract to use the software. To estimate your ROI on new construction software accurately, it can be helpful to have experienced consultants to look at your particular case and help you make the best possible call for the future of your construction firm.

In the meanwhile, have a first glimpse of how much return your company could yield with our ROI Calculator.

Calculate your Return-on-Investment:


About Author

Simon previously supported Marketing Operations at ABIS, Inc. We are making businesses smarter by automating their processes to gain productivity, increase margins and generate more profits.


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