Why Manual Methods Are Costing You Money

Construction is a risky industry where managing projects means managing risk. According to the Construction Industry Institute, there are as many as 107 top project risks. With so many moving parts and managing risk, it’s essential to ensure that people have the correct information to do their job effectively so that a project can be successful.

But what does a successful project look like? Everything on time and on budget seems like the right answer. Not really. A successful project is achieved when the customer is satisfied. The job was completed to their satisfaction, and you were profitable. If you stick to “on time and on budget,” you won’t achieve success because as soon as a project starts, change orders happen.

Construction risks include incomplete contract documents, communication breakdowns, poor document tracking, and information silos. Using manual methods in construction for project management isn’t the best solution because it can cost you money and time to find the correct information to deliver to team members for projects.

What are Manual Methods in Construction?

Manual methods in construction have long ruled the construction industry as the standard way of getting things done. It’s the old way of handling project management but is now being tested with modern technology. As a result, construction software is becoming more popular in the industry and has proven to be more effective, efficient, and beneficial for construction companies. Here are five of the most common manual methods in construction and how they can harm your project workflow.

Memory

Having conversations and not recording the discussions can significantly impact the timeline and budget of a project. Remembering when to produce daily reports, create documents, send out invoices, and much more is a considerable risk. Then if there is a dispute, it all comes down to who said what when and a “he said/she said” approach.

Notebooks

Notepads are commonly used and easily lost or damaged. This is seen as a way to document information, but as easy as it is to record data, it’s even easier to lose notepads or damage them– especially on a jobsite.

Whiteboards

Even more organized than a notebook/notepad is a whiteboard. This is the most common manual method, as seen in almost every trailer on a job site. However, it is also dangerous because information can easily be erased without looking back on the data.

Excel Sheets

Excel is another method used by many contractors that creates risks because it leaves room for error in the data. With many team members managing formulas and user errors, there can be multiple truths that no one knows what the correct information is.

Emails

We like to say that emails are like a flying piece of paper in the back of a truck because it’s easy to open one and never look at it again. What happens to lost emails with important attachments? Documents can be lost right after being sent.

These methods make it seem like documents and information are organized, but they don’t offer the complete organization and control needed to do successful projects.

So how do you organize, control, and manage risk in construction projects?

Managing Risk and How Software Can Help

Managing risk is always top of mind in construction. You ensure the safety of your team and any budget, material, documentation, and other issues that can arise on a project. It can sound daunting and difficult to handle, but it can be much easier to do with the right tools. Here are three steps to follow when managing risk.

Assess Exposure to Risk

Project risk assessment is the process used to identify, assess, and manage risks on a project and is an effective method for determining the degree of project risk. Doing this can help you evaluate the project risk exposure and help indicate its potential impact of risk during the project’s lifecycle.

Plan for Risk

This involves developing plans to minimize high-impact risks. While some environmental risks can’t be avoided, proactively planning for risk response can reduce the project’s impact.

Monitor for Risk

Regularly assessing projects and scanning for risk surfaces the information needed to adapt strategies as conditions change and make more informed decisions on moving the project forward.

We think manual processes are unreliable and lead to inevitable consequences. That’s why we created a construction project management software to help seamlessly organize information on and off the field.

RedTeam Software addresses incomplete contract documents, communication breakdowns, poor document tracking, and information silos by providing a comprehensive platform.

Template management, document formation, and permission controls help avoid incomplete contract documents. Our interactive sharing and integrated workflows features improve communication. The collaboration console, metadata capture, and robust reporting reduces cost by allowing everyone on the team to know the status of all documents and their history. RedTeam also has accounting software, unlimited data, and access control, allowing full integration for everything in one place.

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