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 industry studies show firms using construction ERP systems gain clear edge on project controls, crew management and data use
Top line
Recent research released on August 27, 2025 finds that construction firms that use enterprise resource planning software (ERP) are outperforming peers that rely on spreadsheets or stand-alone tools. The studies compare general contractors and specialty trade contractors and show strong advantages in data-driven decision-making, project controls and crew time management.
Most important findings
– General contractors using ERP are more than twice as likely to describe themselves as highly data-driven compared with GCs not using ERP. Nearly 9 out of 10 GC ERP users report overall satisfaction with their systems.
– Among specialty trade contractors, 71% of firms using ERP report effective crew time management; by contrast, trade contractors using alternative tools report that figure at 43%.
– 79% of general contractors who use ERP rate their project controls as highly effective, versus 38% among GCs using other tools.
– Half or more of ERP-using firms are integrating external data into their systems for multiple functions, and study authors say higher levels of integration produce more valuable, real-time insights.
What the studies measured
Two companion reports looked separately at general contractors and specialty trade contractors. They measured self-reported effectiveness across areas including project controls, crew time management, data use, integration of external data and overall satisfaction with ERP. The reports also tracked ERP tenure: a majority of GC ERP users—about 53%—have seven or more years of ERP experience.
Why it matters
The research signals that ERP is moving beyond early adoption and into mainstream operations for many construction firms. Firms that centralize scheduling, budgeting, procurement and resource allocation under a single platform can reduce the time wasted pulling information from many sources and give teams faster access to updated information. The studies link that centralization to better project monitoring, quicker decision-making and tighter control of costs and schedules.
Market context
Market research indicates the construction ERP market was valued at about USD 3.7 billion in 2024 and is expected to grow steadily. Cloud-based deployments have become dominant—holding roughly 62% of the market in 2024—helping smaller firms access ERP through subscription models. Analysts expect software revenues to rise further, with the software segment projected to exceed USD 5.4 billion by 2034. Leading platforms and an expanding vendor list offer more options for different firm sizes and project types.
Technology and adoption trends
The studies and market reports describe several enabling technologies: cloud ERP for remote access, first-generation mobile ERP for field data capture, and emerging links with IoT and Building Information Modeling for richer site and asset data. When ERP is combined with integrated sensors or BIM, teams can track equipment use and project progress more closely, which can feed predictive models and safety alerts. Still, many firms continue to rely on spreadsheets, manual workflows or disconnected third-party tools, which limits the benefits of real-time, integrated workflows.
Common barriers and what helps firms succeed
The research and industry advisors note common obstacles: integration complexity, training needs, cultural resistance, upfront cost and data security concerns. Firms that extract the most value tend to focus on three practical areas: strong integration across systems, sustained user training, and clear organizational commitment to using ERP as the central operating system for operations and finances. When these elements are in place, ERP users report higher satisfaction and more consistent performance gains.
Implications for contractors
For contractors deciding whether to invest in ERP, the findings point to measurable business benefits in routine operational areas. Expect a phased approach: pilot the platform on a subset of projects, integrate key external data feeds, and run ongoing training so field and office teams use the system consistently. In competitive markets, firms still operating mainly from spreadsheets may face a widening performance gap on jobsite coordination, cost control and timely decision-making.
Where to get the reports
The companion studies covering general contractors and specialty trade contractors are available for download from the sponsoring organizations’ websites. The broader market report referenced here was published with base year 2024 data and provides long-range projections of growth, deployment trends and vendor market shares.
FAQ
What is construction ERP?
Construction ERP is software that brings together project scheduling, budgeting, procurement, accounting and resource planning into a single platform so teams have one source of truth for project and financial data.
How does ERP improve crew time management?
ERP systems capture time and attendance data, link it to specific jobs, and provide supervisors with near real-time reports so adjustments to staffing and sequences can be made faster.
Is cloud ERP better than on-premises?
Cloud ERP typically offers lower upfront costs, easier remote access, and faster updates. On-premises can still make sense for firms with strict data policies or legacy investments. Choice depends on cost, security needs and integration plans.
How long does it take to see benefits?
Benefits vary, but firms with long ERP experience report clearer gains. A phased rollout with focused training and integration can deliver useful improvements within months; deeper, enterprise-wide value often appears over several years.
What are common pitfalls?
Pitfalls include underestimating integration work, inadequate training, lack of executive buy-in, and trying to replace all processes at once. A stepped approach reduces risk.
Key features and headline stats
| Feature / Metric | Value or finding |
|---|---|
| GC data-driven advantage | GC ERP users more than twice as likely to be highly data-driven |
| Crew time management (trades) | 71% with ERP vs 43% with alternative tools |
| Project controls rated highly | 79% of GC ERP users vs 38% of non-ERP GCs |
| GC ERP satisfaction | About 90% report overall satisfaction |
| Trade ERP satisfaction | About 80% report overall satisfaction |
| ERP market size (2024) | USD 3.7 billion |
| Cloud share (2024) | Approx. 62% of deployments |
| Software segment projection | Expected to exceed USD 5.4 billion by 2034 |
Reports referenced in this article were released in 2024–2025 and include separate studies for general contractors and specialty trade contractors, plus a market forecast covering 2025–2034. For firms evaluating ERP, consider vendor capabilities, integration needs, training plans and a staged rollout to realize the operational benefits shown here.
Deeper Dive: News & Info About This Topic
Additional Resources
- GMI Insights: Construction ERP Software Market
- Wikipedia: Enterprise resource planning
- Appinventiv: Digital transformation in construction
- Google Search: Construction ERP software
- Solutions Review: The best ERP solutions for construction companies
- Google Scholar: Construction ERP
- Deloitte: ERP selection and vendor criteria
- Encyclopedia Britannica: Enterprise resource planning
- Risk & Insurance: Workers comp, ERP changes and proactive risk mitigation
- Google News: construction ERP
Author: Construction FL News
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