The most vital resource for a construction company is its equipment. All construction projects must be completed on schedule, which requires the use of construction equipment. In actuality, one of the most expensive long-term investments a construction company can make is in equipment. Construction-related expenses have a significant impact on the amount and type of earnings or losses the company will report on its balance sheet. At enterprises that manufacture construction equipment, managing the equipment and associated costs takes precedence over all other considerations to maintain the company’s Financial viability.
For contractors, purchasing construction equipment may be an extremely expensive investment. Therefore, for the best return on investment, you need competent management. Damaged equipment might cause downtime that can leave customers unhappy and make it harder to earn new contracts.
To maximize the productivity of your construction equipment and extend its lifespan, it is crucial to implement effective tactics. What you need is to use construction equipment management software to help you run your firm more productively.
Let’s Understand first what Construction Equipment Management is.
What is Construction Equipment Management?
The management of construction equipment includes maintaining and planning worksite equipment. Effective managers accomplish this in a way that boosts production by making sure the necessary equipment is always available and in the proper shape.
In a broader sense, the objective is to guarantee that equipment investments continue to be profitable. This requires ongoing work, particularly because any active construction company’s equipment requirements change frequently as projects advance and new opportunities materialize.
Resource management includes the management of equipment. Contractors and businesses who rent out construction equipment both use it.
Drawbacks of Ineffective Construction Equipment Management
1. Reduced Return on Investment
It can be pretty expensive to buy, store, and maintain construction equipment. When managed poorly, these expenses may even outweigh the fleet’s financial gains.
2. Delayed Project Turnovers
One of the most evident signs of bad management is equipment that isn’t where it should be.
Imagine personnel on the job site filling time with low-importance jobs while they wait for the delivery of equipment so they may continue the project on schedule. This is a major resource wastage. While in motion, the equipment is not providing any economic benefit. Instead, as the project stalls, economic value is being destroyed.
3. Unjustified Opportunity Cost
Any investment entails a loss of opportunity. Companies need to think about where their capital would be better used. However, this is exceedingly difficult to ascertain fleet management of construction equipment, this using the cost of ownership of the equipment is a crucial component of asset management. Informed decisions about equipment scheduling and new investments can be made by businesses thanks to this.
These drawbacks justify the need for a well-designed system that helps you manage your heavy construction equipment systematically. Here comes the Construction Equipment Management Software.
What is Construction Equipment Management Software?
A project management platform called construction management software aids businesses in several operations, including budget management, communication, decision-making, and task scheduling, to mention a few. Its objective is to greatly simplify business operations in the construction industry through automation.
Importance of Construction Equipment Management Software
Every construction project requires the use of heavy machinery. But operating this machinery might be a difficult chore. Software for managing heavy construction equipment can help with that. You can schedule repairs, keep track of your equipment’s maintenance history, and more with the aid of this software. It can also enhance the overall project management of the building projects carried out by your business. Construction firms must complete projects fast and effectively while minimizing expenses. They must always have up-to-date knowledge of their heavy construction equipment to accomplish this.
Heavy construction equipment management software offers that information by tracking the location, condition, and performance of every piece of heavy machinery involved in the company’s projects. Managers can use this information to decide more effectively how to use their equipment, whether to fix or replace it, and whether a project is possible. Additionally, it enables construction firms to accurately charge customers for the work completed.
Benefits of Construction Equipment Management Software
1. Making Equipment Management Simpler
The primary objective of every construction management software is the adoption of a methodical management approach. As a result, personnel can use this solution to guarantee that projects go according to schedule. Additionally, it enables staff to create expert information requests, transmittals, and submittals, among other things. It enables essential personnel to exchange crucial information and project budgets, which can be tracked concurrently.
2. Systematic Equipment Maintenance
Any business engaged in the construction sector must prioritize heavy equipment maintenance. An equipment malfunction could cost you and your clients a lot of money. However, armed with the appropriate information from construction equipment tracking, you may design a successful construction equipment maintenance program that could guarantee the health of your equipment.
3. Comprehension of Equipment Utilization
Making your equipment available or choosing the best refueling plan may benefit from knowing what equipment is being utilized, when, and where. Whether you own the equipment or rent it out to other people, understanding how your fleet is being used can assist you to make equipment available.
You can reorganize the assets as you see fit by determining whether ones are being used too much or too little. Both you and your clients will gain if you let consumers know that they can no longer use a rented machine and cancel the rental period.
4. Document Management
Many files and papers are processed by and stored by construction companies. In the past, businesses managed tangible documents and kept them in file cabinets for security. But with the advent of construction management software, this method is no longer relevant. Document management systems, which are part of construction management software, are currently used to handle and store documents that have been processed electronically.
5. Information Sharing and Access
With all project management data kept in one location, it only takes a mouse click to access important data. In addition, audit log records that include the creation and change of dates and times of documents make it simple to monitor such papers and prevent their loss. Instant access to crucial information is available to any employee who is pertinent to a project at any time.
6. Construction Risk Evaluation
Construction management software assists managers in identifying and resolving potential problems before they even arise by keeping project records structured.
7. Reduced Administrative Expenses
The expenses related to fleet management go beyond just the expenditures of operating your equipment. In the construction sector, manual procedures like inspection checklists and billing are common.
However, these administrative expenses can be reduced by utilizing a construction equipment management system. In addition to monitoring the number of drivers using your equipment, you can also remotely save checklists and make them accessible to anyone who wants to utilize them.
8. Effective Service Delivery
Construction management software is frequently combined with construction accounting tools and is seen by many as the key to corporate success. It enables managers to finish projects on schedule and within the most reasonable spending limits. It successfully unifies the staff, encourages productivity, streamlines operations, and, in the end, guarantees revenue.
9. Possibility for Business Growth
The usage of construction management software helps hasten project completion by supporting effective business procedures. Accepting more contracts might lead to corporate growth. Since more business equates to an effective marketing effort, more jobs will increase market share.
10. Quality Enhancement
Construction security is encouraged by construction equipment management software, which improves project planning and management. Additionally, it reduces project delays and fosters communication, which helps to avoid expensive mistakes.
Wrapping it up:
Heavy Machine and Equipment is a crucial part of the construction business as doing the construction work involves various types of machines and equipment that are not sometimes replaceable by humans due to the nature of its process and the heaviness of the material. Also, it makes sure that the process happens in the way it needs to be and even on the time without the minimalistic level of human error. That’s where machines are unavoidable in the construction business.
But, the biggest challenge would be handling these machines and equipment with great accuracy and that is where we need a well-organized system to manage construction equipment. Construction Equipment Management solution is the technology that helps you keep your construction business flawlessly flowing with its unique features. To know more about how it helps you take your construction business to new heights, connect our experts at contact@terotam.com or schedule your call now.
