Cost/schedule data needs and processes for construction ERP

Andrew S. Chang, Kuan Pei Lee

Research output: Contribution to journalArticlepeer-review

Abstract

Enterprise Resource Planning (ERP) systems are developed to enhance business operation performance. But research indicates that construction ERP implementation has yielded more failure than success. One reason is that the data needs are not specified for the most frequently used financial/accounting module. This study made explicit that project cost and schedule information should be the focus and the prime need for the construction ERP, by comparing the characteristics of manufacturing and construction as well as analyzing the project-based construction business. A cost/schedule information system and four processes were established. To better implement ERP, the data and their linkages have to be well defined in the system's four units: schedule activities, contract line items, cost accounts, and work in progress. Five construction-related companies using ERP were interviewed to better understand the data reality of construction ERP and verify certain viewpoints expressed in the established data system and processes. The value of the established system is in the integration of cost and schedule components, especially in linking the project cost with corporate accounting.

Original languageEnglish
Pages (from-to)721-731
Number of pages11
JournalJournal of the Chinese Institute of Engineers, Transactions of the Chinese Institute of Engineers,Series A
Volume34
Issue number6
DOIs
Publication statusPublished - 2011 Sep

All Science Journal Classification (ASJC) codes

  • Engineering(all)

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