Module for Managing Construction with ERPNext
A Full Digital System for Building, Contracting, and Running Projects
The ERPNext Construction Management Module is a complete system made for:
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Construction companies
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Contractors
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Builders & developers
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Interior design firms
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Infrastructure & civil engineering agencies
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Project-based businesses
It helps you manage projects, job costing, materials, labour, equipment, subcontractors, procurement, billing, and progress tracking in one central system.
ERPNext provides a single platform to plan, execute, monitor, and control construction operations with full accuracy—removing the need for spreadsheets and manual processes.
This module helps you:
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Improve efficiency
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Reduce delays
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Control project costs
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Manage resources
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Deliver projects on time
1. Project Setup — The First Step in Planning a Construction Project
Create a Complete Project Master
You can create and manage projects such as:
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Residential buildings
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Commercial buildings
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Roads, bridges & infrastructure
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Housing societies
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Industrial structures
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Interior projects
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Government contracts
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Private construction projects
Each project includes:
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Project name
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Site location
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Start & end dates
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Project type
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Project manager
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Estimated cost
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Project status
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Client details
This ensures proper planning and clear structure for every project.
Define Project Stages / Phases
Break down a project into smaller phases:
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Excavation
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Foundation work
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RCC / structural work
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Masonry
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Electrical & plumbing
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Finishing
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Painting
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Final handover
This helps track cost, progress, and timeline for each stage.
2. Budgeting and BOQ — Controlling Costs from the Start
Create Detailed BOQs (Bill of Quantities)
You can prepare BOQs for:
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Material quantities
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Labour requirements
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Equipment usage
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Subcontractor work
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Consumables
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Machinery hours
Each BOQ item includes:
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Description
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Quantity
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Unit of measure
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Rate
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Amount
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Cost category
Monitor Budget Health
ERPNext allows you to track:
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Estimated cost
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Actual cost
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Variance
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Cost overruns
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Category-wise cost breakups
This ensures complete cost control from beginning to end.
3. Job Costing — The Core of Construction Accounting
ERPNext automatically tracks all job costs, including:
Material Costs
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Cement
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Steel
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Bricks
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Tiles
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Blocks
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Plumbing & electrical items
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Concrete & aggregates
Labour Costs
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Skilled labour
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Helpers
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Supervisors
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Daily wage workers
Machinery & Equipment Costs
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Cranes
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Mixers
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Loaders
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Generators
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Scaffolding
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Tools
Subcontractor Costs
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Plumbing contractors
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Painting contractors
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Excavation contractors
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Finishing contractors
Everything stays connected to the job costing system for full clarity.
4. Material Management — Never Run Out of Supplies
Construction needs continuous material availability.
Material Requests from Site
Site teams can request:
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Cement
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Sand
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Steel
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Aggregate
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Tiles
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Pipes
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Paint
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Fixtures
Restocking and Reordering
The system ensures:
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Minimum stock level checks
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Auto-reorder generation
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Material transfers between warehouses & sites
Project Material Issue Tracking
When materials are issued, ERPNext tracks:
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Project
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Site
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Item quantity
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Source location
This prevents misuse, theft, and wastage.
5. Procurement & Subcontracting — Smooth Vendor Operations
Procurement Workflow
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Request for Quotation (RFQ)
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Supplier quotation
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Quotation comparison
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Purchase order
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Material receipt
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Purchase invoice
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Payment
Subcontractor Management
Manage all subcontractor operations:
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Work orders
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Quality checks
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Progress claims
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Payment terms
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Subcontract agreements
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Milestone tracking
This reduces disputes and improves collaboration.
6. Timesheets & Labour Tracking — Monitor Productivity
Daily Timesheets
Track:
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Working hours
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Overtime
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Task-based work
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Cost per worker
Labour Allocation
Assign workers to:
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Tasks
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Sites
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Stages
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Work locations
Productivity Analysis
Monitor:
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Hours vs. output
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Team performance
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Cost efficiency
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Delays due to manpower shortages
7. Equipment & Machinery Management — Maximise Utilisation
Equipment Usage Logs
Track usage for:
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Excavators
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Loaders
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Cranes
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Mixers
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Generators
Running & Fuel Cost Tracking
Record:
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Fuel consumption
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Daily running cost
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Maintenance cost
Preventive Maintenance
Schedule routine service:
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Engine check
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Oil change
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Electrical system check
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Safety inspection
This reduces breakdowns and avoids project delays.
8. Construction Billing — Easy and Accurate
Types of Billing Supported
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Progress billing
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Milestone billing
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BOQ-based billing
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Customer billing
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Subcontractor billing
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Retention tracking
Progress-Based Billing
Generate invoices based on:
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Percentage completion
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Work done
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Certified work
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Engineer/consultant approval
Retention Money
Track:
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Retention amount
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Release date
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Adjustment entries
Payment Tracking
Monitor:
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Received payments
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Outstanding amounts
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Advance payments
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Security deposits
9. Quality & Site Inspections — Ensure Compliance
Quality Checks
Inspect:
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Material quality
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Workmanship
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Structural checks
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Safety compliance
Site Inspection Reports
Add:
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Photos
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Notes
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Status
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Pass/Fail
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Required actions
This ensures every stage meets quality standards.
10. Reports & Dashboards — Real-Time Construction Insights
ERPNext provides powerful dashboards such as:
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Project cost summary
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Cost vs. budget comparison
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Material consumption analysis
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Labour cost report
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Equipment utilisation report
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Subcontractor performance report
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Project profitability
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Site progress dashboard
These help managers make smart and informed decisions.
⭐ Conclusion — Build Faster, Smarter & More Profitably
The ERPNext Construction Management Module gives businesses full control over every part of a construction project—from planning to execution, budgeting to billing, materials to manpower, and subcontractors to machinery.
It helps you:
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Reduce delays
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Control project costs
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Improve team coordination
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Maintain quality
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Increase profitability
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Deliver projects on time
ERPNext empowers builders, developers, contractors, and engineering companies to run their operations with confidence, accuracy, and complete transparency.