CONSTRUCTION ERP
The problem
In most contracting companies finance and operations reconcile monthly and disagree permanently. The site knows work was done; the ledger knows an invoice was posted; nobody owns the accrual in between.
Construction accounting is not general accounting with projects added. WIP, retention, advances, revenue recognition on progress and multi-project cash flow are structural — and they only work when the project data is the accounting data.
Core workflow
Project activity to profitability.
01
Project activity
Quantities, hours, deliveries and certifications.
02
Cost
Posted to the project, the cost code and the ledger at once.
03
Revenue
Recognised on certified progress, with WIP and accruals.
04
Working capital
Retention, advances, payables and receivables by project.
05
Cash flow
Forecast from certification, payment terms and commitments.
06
Profitability
Per project, per division, per company, consolidated.
What it covers
Accounting
General ledger and journalsPayables and receivablesBanking and reconciliationVAT and statutory reportingFixed assets and depreciation
Project accounting
Cost centres and project ledgersWIP and accrued incomeRetention receivable and payableAdvance payments and recoveryRevenue recognition on progress
Group
Multi-company and multi-branchMulti-currency and translationIntercompany transactionsConsolidation and eliminationBudgets and cash-flow forecasting
Connects with
Operational outcomes
−42%
Days to close the month
0
Journals typed from project reports
Weekly
Cash-flow forecast by project
Live
Project profitability
Ranges observed on Al Jawad engagements. Targets agreed in assessment.