JD Edwards for construction companies

How does ERP Play a Vital Role in Engineering and Construction Industry?


After its contraction due to COVID restrictions, the construction industry is showing signs of recovery. It is growing worldwide, as well as in the MENA region. Real estate prices started thriving in Q1 2022. However, growing engineering companies are searching for ways to revolutionize their industry by using advantageous software to improve their workplace resilience.

This article will discuss everything related to ERP in the EPC industry, what it offers, and how it helps companies to grow and improve their competitiveness in the market.

What is ERP?

Enterprise Resource Planning (ERP) is cutting-edge technology that every company can use to manage and integrate its core business processes. Some key business processes that can be controlled or automated through ERP are:

  • Accounting
  • Supply chain
  • Operations
  • Project management
  • Risk management
  • Procurement
  • Enterprise performance management

It helps EPC companies eliminate multiple “touch-points” by collecting and aggregating financial, field, and HR data between systems and work sites. Consequently, it will decrease errors and security risks and offer complete visibility to execute decisions based on full information, to help companies realize the ROI of large-scale investments.

Key Business Processes That Can Be Managed or Automated Through ERP

What Are the Main Challenges in the EPC Sector?

Before discussing how an ERP can help Engineering and construction companies, we should start tackling their main challenges. The engineering and construction work usually requires managing many complex processes simultaneously, from equipment to inventory, bids, and subcontractors. Therefore, they have a unique need for efficient project management. Especially for companies with many employees, in many sites, or even in many countries.

Fragmented information over different software will result in decreased visibility on project status and cash flows, which might lead to neglecting strict regulatory compliances needed to run the business successfully.

Thus, every construction company requires a feature-rich ERP that can handle all its processes and provide visibility over all sites, projects, and costs to improve decision-making.

Challenges of EPC Companies

What Are the Benefits of ERP in the Construction industry?

In every construction company, manual processes consume a lot of time and resources. Executing its projects within budget and on schedule is key to its success. The Cloud ERP can help in different areas, from project planning to execution, and it can also minimize the impact of the fluctuation of raw material prices. It also helps manage the workforce and inventory.

According to research by McKinsey Global Institute, digital transformation can result in productivity gains of 14% to 15% and cost reductions of 4% to 6%. However, using different systems for different purposes by construction companies can lead to a lack of standardization between the systems. Here comes the central role of ERP, it connects all data to keep them on the cloud, where every employee can access, at any time, the information that he needs.

Some of the main benefits of an ERP in the EPC sector:

  • Connected Data: ERP software collects data from different software and platforms used in E&C companies’ daily activity securely and efficiently.
  • One source of truth: Instead of sorting through isolated data in spreadsheets, all employees have access to the data they need, which can increase collaboration.
  • Increased Visibility: through quick access to information from all stakeholders. This will improve their decision-making.
  • Increase efficiency and productivity: an increased
  • Reduce project cost: by having the exact data about their construction material stock, forecast, and market prices.
  • Decrease lag time: due to increased visibility of their resources.
  • Speeding up the time of closing books: ERP helps connect all processes and eliminate the use of spreadsheets which can accelerate closing books.
  • Efficient Use of Time, Resources, and Energy

As a result, ERP software can offer many advantages to EPC companies, we can summarize them in 6 main areas.

What can ERP offer to Engineering Purchase and Construction Companies

To sum up, having the main processes automated will not only accelerate the work and help use all the resources efficiently, it will also free some time for CEOs, CFOs, or other strategic members of the team to focus on more strategic decisions.

Why JD Edwards Is the Ideal Solution for Construction Companies?

Many industries recognized the need for ERP to manage their processes. The work nature of EPC companies involves many operations, which makes investing in technology for sustainable growth a necessity. It helps them improve the efficiency and transparency of their processes, ensuring long-term cost management and control. This will increase their competitiveness in the market and help them achieve significant growth and profit.

JD Edwards is specially designed for construction companies to help them manage their operations through different sites and overcomes all the challenges (from the workforce, costing, and raw materials shortage…etc)

Its most important features are:

  • Delivering Real-Time Project Performance
  • Complete Project Lifecycle Management
  • Visibility Across the Project Lifecycle
  • Achieving Operational Intelligence

Real-time data: ERP helps remote workers and employees in the field to stay connected to all the information they need in their work (job costs, contracts, budgets, payroll

Single source of truth: This will avoid double entry for the field employees, as they can enter their data from anywhere, and be synced to the cloud.

Complete Project Lifecycle Management
JD Edwards EnterpriseOne Engineering and Construction Solution Footprint
Oracle is
nbr one
in Engineering and Construction
More than
9 T
in project value managed in engineering and construction
of the top 10 Fortune’s “America’s Most Admired” E&C firms run Oracle Applications

Why Choose Global Technology Solutions

Every construction company needs a partner to understand its work’s complexity.

Global Technology Solutions is an Oracle Platinum Partner with more than 18 years of experience and 100+ successful implementations throughout the MENA region. Our expertise and dedication will ensure you deliver your project on time and within your budget while maintaining high standards.

After all, an ERP transformation is a business transformation. You need a partner with innovative technologies to help you establish long-term, cost-effective outcomes that add real value to your business.

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