How to improve job costing with the help of technology?
Job costing is the backbone of any construction project. Construction job costing is a method that helps in tracking expenses related to projects. To track specific areas of the construction project, the job costing method helps you break down the project into smaller pieces of the project. This is good for contractors as they can view the expenses related to each phase of the project at the micro and the macro level.
The step to improve job costing with technology is learning how construction software can lead to efficiencies and produce accurate and generate fast reports in a firm. Moreover, software helps to calculate quick and correct job costs.
Relying on technology in job costing can reap significant returns since the implications of inaccurate job cost will be poor profits. In construction situations where false reporting is created,when profits are headed in a downward slope but you as a contractor are led to believe profits are moving in a positive direction can be disastrous. Therefore, having an all-in-one construction software can help you strengthen control over your organization's projects and increase visibility.
You can assess financials for all stakeholders and keep your processes transparent with a single, connected software solution. So how to improve job costing with the help of technology:
Leverage technology to create a better job costing process
The path to better job costing is through collaboration and getting real-time insights via a single connected software system that updates all job costs and is accessible to all stakeholders whenever needed. This is the most efficient way of managing information and reliance on manual tasks that can lead to costly job costing errors. Hence, working on a single system will keep all project-related data within access and increase visibility into operations.
A single source of truth allows you to generate quicker job costs and you can trust or assess if the numbers are accurate. Overall, it helps you get a better sense of your construction projects and what is actually transpiring on your projects.
Deploying construction software is the fastest way to improve job cost. You can get accurate reporting because construction software like ProjectPro with Business Central provide correct job cost due to modern and digital capabilities that are in-built in it.
Say yes to faster and accurate job costing capabilities and approve purchase orders and billing as quickly as possible. With the help of technology you can import estimates directly into the software. You can also include all information related to units, schedule of values, phases and so much more. With the help of the job set up, expenses and time for a particular cost code can easily be charged from the field.
With the help of technological solutions you can get accurate, real-time job costing at your fingertips. This will assist you measure profits with the help of integrated construction specific software solutions.
Importance of Construction Job Costing
Accurate job costing is imperative to calculate profit margins in an industry where margins are already thin. It helps in estimating project costs, avoiding cost runs and assists with the bidding process so that there are no cost overruns in the construction business. So job costing assumes supreme importance and choosing technology is the right step in the right direction.
If the purchasing data is wrong or there are discrepancies with labor entries from the field, it will generate inaccurate reports. This is why your firm needs to analyze and deploy strategies to improve your job costing method. You can start with electronic timesheets and improve your systems to obtain reliable data from the job site.
To improve job costing, you must eliminate paperwork and manual bookkeeping. By implementing a simple software system, you can get more accurate and much easier job cost reports. This will improve productivity, decrease administrative costs and follow up work such as reviewing data entries manually and entering them on your system. Get ready to access accurate labor data whenever you need it.
Why choose ProjectPro with Business Central for Improved Job Costing?
ProjectPro with Business Central, our construction accounting software assists you with more timely job costing. As your construction business evolves, so should the tools you are using to serve your customers. Our cloud-based ERP software, ProjectPro powered by Microsoft Dynamics 365 Business Central- enables you to scale your construction business seamlessly, anticipate what's ahead and easily adapt to change where job quotes are concerned.
ProjectPro empowers you to view expenses at both the micro and macro levels. Track expenses and gain better visibility on projects. You can easily define cost breakdown and see budgeted costs for categories such as labor, materials, equipment, and subcontract, and more.
How ProjectPro will simplify Job Costing for you?
Say GoodBye to time-consuming job costing reports
Streamlines your job costing process
Allows you to focus on balancing budgets
Empowers you to make data-driven decisions as you track costs more efficiently
Access integrated, accurate data in real-time on Financials and Job Costs
When you are dealing with construction-specific challenges, ProjectPro is here to help you meet them. Entrust your job costing responsibilities to a construction specific dedicated software.
With ProjectPro, you have the ability to create job quotes based on Packages (Templates), Bid Items (Job Segments), and Job Tasks. Our software enables you to carry out an accurate profitability analysis by helping you understand how the project is progressing. This will ensure you can predict how much cash you can expect in any given week.
Now you can easily plan tasks, create better estimates, and get better control of your job costs. What’s more, with construction technology you can improve productivity and increase profits. With better reports you will be able to make better forecast job costs and this will help you with more accurate bids, and generate return on investment.
Call us today to help your team achieve higher profits, scalability, and improved productivity +1 647 696 4534.
Want to learn how ProjectPro with Business Central can improve job costing for your firm? Schedule a demo with our construction experts now!