Enterprise Resource Planning (ERP) is now being hailed as a foundation for the integration oforganization-wide information systems. ERP systems link together an entire organization’s operationssuch as accounting, finance, human resources, manufacturing and distribution, etc. Moreover, they alsoconnect the organization to its customers and suppliers through the different stages of the product orprocess life cycle. There are very few studies conducted about the implementation of ERP systems inthe construction industry, particularly for the construction contractors. The focus so far has been onclient organizations, engineering and design firms. The objective of this paper is to investigate thesuitability and the implementation status of ERP systems in contractor firms. The methodologyemployed is a mix of literature review, case studies and detailed questionnaire survey. It was foundthat the majority of contractor firms have awareness about ERP but very few organizations have so farimplemented an internal system. The major reason is that the implementation of an ERP systemrequires a large investment in time, money and resources. However, when implemented to solve theright problems, these ERP systems can be a powerful tool for business improvement. This study shedslight on the barriers to the implementation of ERP systems in the construction industry and alsohighlights valuable lessons learned and benefits gained by companies that have such systems in place.
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