The Growing Need for Modular Construction Software

Modular and prefab construction companies operate in a complex and fast-paced environment where efficiency, cost control, and collaboration are key to success. However, managing the details of both manufacturing and construction within a single project often exposes challenges that traditional methods and outdated systems cannot address.

This article summarizes the Modular and Prefab Construction Solution Brief that explores how adopting advanced modular construction software, like Acumatica ERP, can streamline operations, enhance project management, and drive business growth. Gain insights into how your can leverage modular construction software to stay competitive and profitable.

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The Rise of Modular Construction in Canada

Since 2020, there have been calls to increase the number of modular construction projects as an effective way to not only cut the carbon emissions associated with standard building projects but to provide much-needed residential supply to a housing market under stress.

In 2024, Federal sights were set on the sustainability element, with the Construction Sector Digitalization and Productivity Challenge program specifically addressing the use of technology in digitizing key areas of the construction sector, like modular construction, in order to decarbonize the sector. The 2024 Federal Budget also proposed a Homebuilding Technology and Innovation Fund, intended to “scale up, commercialize, and promote adoption of innovative housing technologies and materials in Canada’s homebuilding industry”, like modular or prefabricated homes.

Modular construction companies in Canada are poised to play a key role in the modernization of the construction sector and solve real social issues. That is: if their business technology can keep up.

The Impact of Outdated Technology for Modular Construction

Relying on outdated technology in modular construction can significantly undermine a company’s efficiency, profitability, and overall competitiveness. As the industry evolves and customer expectations rise, the continued use of these antiquated approaches hamper day-to-day operations and severely restricts a company’s ability to grow, innovate, and stay competitive in a rapidly changing market.

Without modern tools and integrated systems, modular construction firms risk falling behind, struggling to meet the demands of an increasingly sophisticated and demanding industry.

7 Tell-tale signs that your Modular Construction Software is Outdated

1. Inefficient Processes: Traditional methods often rely on manual processes that are time-consuming and prone to human error. This inefficiency can lead to delays in project timelines, increasing labour costs and reducing overall productivity.
2. Data Silos and Poor Collaboration: Outdated technology typically lacks integration capabilities, leading to data silos where information is trapped within different departments or systems. This fragmentation hinders effective communication and collaboration across the organization, resulting in misaligned goals, project delays, and costly mistakes.
3. Inaccurate Forecasting and Planning: Without modern tools for real-time data analysis and project management, companies struggle to accurately forecast demand, estimate production costs, and plan material resources. This can lead to inventory shortages, overproduction, and budgeting errors, ultimately eroding profit margins.
4. Inflexibility and Slow Adaptation: Legacy systems are often rigid and difficult to adapt to changing business needs or industry demands. This lack of flexibility hampers your ability to respond quickly to market opportunities or challenges, putting them at a disadvantage compared to competitors using more agile, modern solutions.
5. Increased Costs and Waste: Inefficient processes and poor resource management typically result in higher material waste, increased labour costs, and inefficiencies that drive up overall project expenses – impacting profitability and reducing your ability to offer competitive pricing.
6. Compliance and Quality Issues: Adhering to evolving industry standards and regulations is challenging without modern tools for quality control and compliance management. Traditional methods often fall short in tracking and documenting compliance, leading to potential legal risks and compromised project quality.
7. Customer Dissatisfaction: In a market where clients demand quick turnaround times and high-quality outcomes, relying on outdated methods can lead to project delays, cost overruns, and lower-quality results, ultimately harming customer satisfaction and damaging your company’s reputation.

Learn more about how Acumatica can transform your modular construction business. Contact us today for a free consultation!

Acumatica for Prefab Construction Success

Why Acumatica ERP is the Ideal Choice for Modular Construction

To overcome the challenges in modular construction, businesses need an integrated Construction ERP solution that provides visibility, control, and collaboration across all operations. Lower modular production costs by using the Manufacturing Production Dashboard, with drilldowns into orders, projects, WIP, labor costs, and more.

Acumatica Construction Edition is purpose-built for the construction industry and designed to meet these needs by offering:

1. Enhanced Collaboration: Real-time data access and CRM integration facilitate better communication across all project stages, from design to production to construction. Acumatica’s self-service portals enable your clients to submit requests and track their status, fostering transparency and client satisfaction.
2. Flexibility: Acumatica’s comprehensive platform includes payroll, CRM, inventory management, and customizable workflows. This flexibility allows your business to adapt quickly to changing demands and maintain a unified view of all operations.
3. Faster Project Completion: Streamlined project material management and advanced planning reduce construction timelines. Acumatica’s Warehouse Management automates critical processes such as picking, packing, shipping, and physical inventory, ensuring efficient material handling.
4. Cost Reduction: Efficient resource management and waste minimization lead to lower material costs. Acumatica’s Material Requirements Planning (MRP) module helps mitigate shortages and stock-out scenarios, reducing the need for costly changeovers and rush orders.
5. Quality Control: Automated processes and compliance management ensure high-quality production. Features such as lot and serial tracking, barcode scanning, and mobile apps enhance accuracy and traceability.
6. Risk Management: Comprehensive safety tools and compliance features help mitigate on-site risks and ensure adherence to regulatory requirements. Acumatica’s risk management capabilities support employee training documentation and compliance initiatives.

Cross-Industry Functionality Boosts Modular Success

Unlike many other construction sectors, modular or prefabricated construction teams need to be skilled in not just building but also off-site manufacturing, supply chain and inventory management, and field installation. These elements are key to their success.

Acumatica operates exceptionally well in a few industries, with purpose-built tools for construction, manufacturing and distribution. This means that the system can be built to your business – construction project management, MRP, product configurator and Shop Floor controls, intelligent inventory management and automated shipping for materials and finished products. All of this in a user-friendly, cloud-based system that can be accessed on any device, at any time.

Acumatica, too, is modular, meaning functionalities can be added into the tech stack when you need them.

The Answer Company: Your Expert Technology Partner

Leveraging Expertise in Acumatica and Modular Construction

The Answer Company is the leading Canadian Acumatica ERP consulting group specializing in solutions for the construction industry. Named Acumatica Construction Partner of the Year 2023, we bring unparalleled expertise and experience to your modular construction projects.

• Proven Track Record: Satisfied clients in the modular and prefab construction industry.
• Expertise: Deep understanding of both Acumatica ERP and the unique needs of modular construction.
• Comprehensive Support: From implementation to optimization, we ensure your ERP system meets your business needs.

Partnering with The Answer Company means gaining a trusted advisor committed to your success. Our tailored solutions and dedicated support help you maximize the benefits of Acumatica ERP, ensuring your modular construction business thrives.

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