Construction projects contain lots of moving parts, people, materials, and processes with very tight margins. Thanks to COVID, the industry is facing serious challenges like work restrictions and supply chain disruptions. Business continuity is critical in these uncertain times.
Construction and building materials are critical during the pandemic and for our recovery. McKinsey research shows that construction represents 13% of global GDP. To ensure continuity in your construction business, we suggest adopting digital tools that will help your business manage information – from anywhere.
Most construction companies weren’t prepared for or lack experience working remotely, Robert Yuen tells Construction Dive. How do you keep business operational? How will you quickly transition daily functions? There are many restrictions and economic conditions for general contractors and subcontractors to grapple with during this challenging time. One way to enable your team during the unpredictable times is to leverage construction-technology automation for success.
Technology Drives Pay Apps Forward
Remote work may seem impossible for construction finance and administration teams who are accustomed to manual processes. A typical day included updating spreadsheets, printing documents, and cutting paper checks. Since subcontractors still submit applications for payment and lien waivers through the mail and receive payment by paper checks, they may be waiting for their physical checks to arrive in the mail. In some cases, subs may have to go to a public, central location to pick their checks up.
Those manual processes go away after construction companies invest in an automated payment application system that streamlines work and limits person-to-person contact.
Technology that’s suitable with a work-from-home lifestyle will help you keep track of jobs and provide you access to data at anytime.
General contractors turn to SaaS pay app functionality so they can quickly and easily collaborate with their subcontractors.
GCPay automates the application for payment (AFP), lien waiver, compliance and payment processes all on one platform. Schedule of values, change orders, AFPs, lien waivers and other compliance documents – all of these can be submitted, reviewed and approved online. No need to mail anything in! GCPay also integrates directly with most construction finance systems, so contract, payment and other information does not require double entry and is up-to-date at all times across both platforms.
Built-in email notifications also help subcontractors and project teams stay on top of their important billing dates and project requirements. General contractors can dictate when to set these reminders so deadlines are maintained and things keep running smoothly.
GCPay can also handle electronic payments, ensuring your money arrives quickly, when and where it is intended, without requiring human intervention. If you’ve been considering moving to electronic payments, there is no better time than now to take a closer look.
Systemizing and streamlining manual processes has never been so critical in ensuring business continuity and operating “business as usual” in these uncertain times.
This article from Construction Dive highlights how several general contractors are managing the uncertain situation.
If you’re a CFMA member, we’ve found their collection of resources to be incredibly helpful. Click here to access their COVID-19 Resource Center.