Originally published in On-Site, ARB’s Construction Industry newsletter.
In technological parlance, “digital transformation” refers to many businesses’ ongoing efforts to digitalize all their processes. One area of your construction business you may have yet to digitally transform is how you manage contact information related to customers and other parties. For many years, companies in other industries have used customer relationship management (CRM) software for this purpose. But can contractors? You bet!
Centralizing data
The purpose of CRM software is to enable users to put all customer- and prospect-related data in one central repository. That way, the most current version of this information is accessible to everyone authorized to see it. The software eliminates having redundant or outdated bits and bytes of customer and prospect data scattered across multiple systems or hidden in employees’ email or phone contacts.
Construction companies, however, tend to have far more contacts than just customers and prospects. Your business may also interact with government agencies, real estate developers and agents, architects, engineers, subcontractors, suppliers and vendors, lenders, investors, professional advisors, inspectors, and consultants. (Did we miss anyone?)
By centralizing all that data, CRM software eliminates the information silos that often happen when, for instance, estimators work with some contacts and project managers work with others. Everyone has access to the same comprehensive, regularly updated data set.
Contact information can include more than the basics of name, address, phone number and email. You also might add project history, email exchanges and notes about conversations. Individual contacts can be grouped however you choose — including by project, company and subcontractor specialty.
Plus, most CRM solutions are now cloud-based, allowing users to remotely access information via a mobile device anywhere, any time. This can automate processes and speed up all phases of construction, from estimating to bidding to completing the work itself.
Finding your sweet spots
CRM software is more than just a digital storage depot. It can serve as a library of past bids and projects that estimators can reference when writing up proposals. You may be able to use it to form project teams more quickly and easily. And all the while, you and your leadership team can run various reports to identify key strategic points such as:
- The most fruitful lead sources, and
- The most winning and profitable project types.
Some construction businesses even retain their employees’ contact information to track and leverage those relationships if staff members change employers.
Shopping smart
There’s no doubt CRM software could do a lot for your construction company. But that doesn’t mean it’s a must-buy item. If interested, shop smart by researching various products, evaluating the total cost (including training, maintenance and cybersecurity), and ensuring compatibility with existing systems.
This publication is distributed with the understanding that the author, publisher and distributor are not rendering legal, accounting or other professional advice or opinions on specific facts or matters, and, accordingly, assume no liability whatsoever in connection with its use. ©2025
Construction and Real Estate Team Spotlight
Nate Marcet is a Senior Tax Manager with ARB whose specializes in professional services, real estate, real estate development. and construction. Nate helps clients in matters of multi-state income tax compliance, streamlining tax efficiency through entity structuring, maximizing tax benefits on business and real estate transactions, and harvesting and capitalizing on historic tax credits for real estate syndicates.
