For any company to succeed, the most effective way is to track certain Key Performance Indicators (KPIs). For contractors looking to improve their processes or efficiency, more and more of them are turning to reliable general contractor software to finish work faster and with less errors. How are these two related? Let’s look deeper.
For general contractors, it would help to measure their effectiveness during the whole construction phase of projects, ensuring that key metrics are being defined, tracked, and measured all the way upto project completion. Constantly measuring all this would give general contractors a good idea of what is going well, what could be going better, and what needs drastic improvement. This exercise, performed consistently over time, will result in general contractors becoming more efficient at their work, opening room for better business and cash flow.
One way to ensure this happens consistently is to adopt a robust general contractor software. Why? Two main reasons - it improves the efficiency of teams, and the data collected is easily retrievable. Just by adopting a suitable software, there will be an organic improvement in certain KPIs as inherently, software makes people more efficient. General contractors also get to see data of current and past projects and measure their KPIs easily. This ease of tracking and measuring KPIs will accelerate their time to better efficiency and profits, as the alternative would be to gather information manually, which is both time-consuming and error-prone.
Let us now look at some KPIs that would improve with the adoption of general contractor software:
Project schedule adherence measures the percentage of tasks completed on time compared to the scheduled project timelines. General contractor software helps keep all team members aligned with the schedule, thereby reducing delays and improving this metric.
Budget variance monitors the difference between the planned budget and actual spending. With real-time expense tracking, financial management, and time tracking features, contractor software helps maintain financial control.
Workforce productivity measures the output of work per labor hour. The software provides insights into workforce efficiency, helping to optimize labor use and improve productivity. In fact, products like KYRO come with a Copilot that can retrieve this data within seconds, allowing managers to instantly get insights into productivity of teams across projects.
This provides the percentage of time that your employees did not do work. Ideally, this is as close to 0% as possible, but that is impossible given holidays, illness, and other reasons. A robust software with accurate time tracking can provide this data immediately, allowing for better review of attendances and PTOs.
Safety incidents record the number of accidents or near-misses on-site. With proper safety checklists and inspection forms, combined with a quick and easy way for escalation and resolution, a good general contractor software can help improve these KPIs effectively.
Quality control issues monitor the number of defects or rework required. With better quality reporting tools such as simple forms for daily field reports, contractor software effectively captures incidents of defects and rework, allowing for better decision-making in the future, ensuring higher quality outcomes.
RFI response time tracks the average time taken to respond to RFIs. Software can streamline the RFI process by shortening the approval cycles, ensuring timely responses and reducing project delays.
Issue resolution time tracks the time taken to identify and resolve issues or conflicts on-site. The quickest way to resolve issues is to reduce the time taken to report them, and reduce time taken to get the resolution approved and executed. This is possible with communication workflows, such as alerts from the field reaching the right peoples’ inboxes on time, followed by a quick flow to reduce approval flows.
Equipment utilization tracks the usage rates of machinery and equipment. The software helps manage equipment schedules and maintenance, maximizing utilization and minimizing downtime.
Material wastage measures the amount of material waste generated. By optimizing material orders and usage, contractor software reduces waste and saves costs.
Subcontractor performance evaluates the performance and adherence to schedules by subcontractors. The software tracks subcontractor activities, ensuring they meet project requirements and deadlines.
Client satisfaction gauges client feedback and satisfaction levels with the project's progress and quality. Contractor software helps maintain clear communication with clients, ensuring their expectations are met.
General contractor software is a vital tool for improving key performance indicators in construction projects. By enhancing these 15 KPIs, the software helps ensure projects are completed on time, within budget, and to the highest quality and safety standards. Implementing this software can lead to more efficient, productive, and successful construction projects.
