It’s the first week of 2026, and for many organizations, distribution issues are already creating bottlenecks across the business. A buyer is reconciling conflicting spreadsheets. A customer is asking why an item that showed “in stock” yesterday is suddenly unavailable. Someone on the warehouse floor insists a pallet received overnight has vanished.
This isn’t a crisis. It’s what happens when distribution-related disconnects, visibility gaps, and manual workarounds finally catch up. The problem is timing. These issues are surfacing earlier than expected, with very little buffer to absorb them. For many teams, it’s not a great start to the year.
In 2026, organizations that depend on getting product in and out the door are learning that visibility is the difference between planning ahead and scrambling to keep up.
In the sections ahead, we take a closer look at the operational pressures driving these issues, including labor constraints, margin pressure, and unpredictable lead times, and why visibility gaps make them harder to manage.
Labor constraints continue to be one of the first pressure points to surface in businesses where moving product is central to the business. Warehouse, logistics, and fulfillment roles remain difficult to staff consistently, and turnover means operational knowledge disappears faster than teams can replace it.
The issue is not just headcount. It is how much day-to-day work still depends on individual experience, manual steps, and informal knowledge. When even a few people are out, processes slow down, errors increase, and workarounds multiply.
This pressure is compounded by limited upstream visibility. McKinsey’s research shows that most organizations can see their direct suppliers, but not further upstream, which means problems often appear only after plans are already underway. By the time disruptions surface, teams are left compensating with manual effort rather than adjusting in advance.
As a result, labor challenges quickly turn into operational bottlenecks. Receiving backs up, order processing slows, and inventory accuracy suffers, even when demand itself has not changed.
What Leading Teams Are Doing Differently 👉 Organizations handling this better are not trying to hire their way out of the problem. They are simplifying workflows, standardizing processes, and reducing reliance on manual intervention so work can continue even when staffing is tight.
Margin pressure is tightening across organizations that depend on moving product, leaving far less room for inefficiency than in previous years. What used to be manageable friction now shows up directly in profitability. Small misses that once went unnoticed are becoming real losses.
These losses rarely come from a single, obvious problem. They build through dozens of small breakdowns. Inconsistent purchasing cycles, excess handling, freight variability, slow inventory turns, and safety stock added to compensate for uncertainty all quietly inflate cost to serve. When visibility is limited, these inefficiencies compound before anyone can correct them.
Deloitte’s research on supply chain resilience highlights this exact dynamic. Ongoing disruption and volatility have reduced organizations’ ability to absorb operational shocks, increasing sensitivity to cost leakage across procurement, inventory, and fulfillment. When margins are already tight, even minor deviations in demand planning, replenishment timing, or vendor performance can erode profitability faster than expected.
As a result, margin pressure shows up operationally. Purchasing teams chase price instead of total cost. Inventory buffers grow to offset uncertainty. Manual workarounds multiply, adding labor cost on top of shrinking margins.
What Leading Teams Are Doing Differently 👉 Organizations managing this better tend to focus on reducing variability rather than reacting to it. Clear demand signals, tighter replenishment logic, and better visibility into true cost drivers help prevent small misses from turning into lasting losses.
Lead times used to be stable enough that teams could plan around them. In 2026, that assumption no longer holds. Variability in supplier performance, transportation delays, and upstream disruptions means inbound timelines shift more often and with less warning.
Deloitte’s research on global supply chain resilience highlights how ongoing volatility has reduced organizations’ ability to absorb these disruptions. Even when demand remains steady, uncertainty upstream makes it harder to rely on fixed lead times or static planning models. The result is a planning environment where assumptions break faster than teams can update them.
When lead times swing unexpectedly, the impact spreads quickly. Forecasts lose accuracy, available-to-promise dates drift, and purchasing teams are pushed into manual overrides. Receiving schedules become uneven, inventory buffers grow to compensate for uncertainty, and customer commitments become harder to manage with confidence.
Over time, this turns planning into a reactive exercise. Instead of anticipating needs, teams spend their time adjusting to late or early arrivals and working around gaps after the fact.
What Leading Teams Are Doing Differently 👉 Organizations managing this pressure more effectively rely less on fixed timelines and more on systems that can adapt as conditions change. When lead times are volatile, plans need to move with them, not fight against them.
None of these pressures are new. What has changed in 2026 is how quickly they surface and how little tolerance there is for working around them. Labor constraints, margin pressure, and unpredictable lead times are no longer isolated issues. They intersect, compound, and show up earlier in the year, often before teams have time to adjust.
Organizations that struggle tend to experience these pressures as constant disruption. Those that manage them well treat visibility as a stabilizing force. They see issues sooner, adjust plans earlier, and avoid turning small problems into operational fire drills.
In a year where uncertainty is baked in, the difference is not eliminating volatility. It is seeing it clearly enough to stay ahead of it.
The importance of understanding KPI tracking in distribution cannot be overstated. When someone references the term KPI, most often we think about financial data, the good old bottom line of profitability.
This is for good reason. Business leaders need to closely monitor financial health by reviewing past performance and using those insights to guide future decisions. 
According to Deloitte, organizations that actively measure and manage supply chain performance are significantly more likely to outperform their peers in efficiency and scalability. In fact, Deloitte research has found that data-driven supply chain leaders are better positioned to respond to disruption and sustain long-term growth.
At the same time, operational KPIs are no longer optional. APICS research shows that metrics such as inventory turnover, order accuracy, and on-time delivery are among the most commonly tracked indicators across high-performing distribution organizations, reflecting their direct impact on customer satisfaction and cost control.
But monitoring KPIs is no longer just for giving you financial data or only a good fit for giant distribution companies. In order to keep up and get ahead, small and medium–sized distributors also need to think seriously about how to harness KPI data to move the company forward.
• Historical KPI Data: Examining past business performance is typically referred to as historical KPI data.
• Predictive KPI Data: Looking into the future is typically called predictive KPI data.
👉 This means distributors need to move from simply collecting KPI data to actively using it to support everyday decisions. In plain terms, that starts with giving the right people access to the right data at the right time.
Many modern distribution ERP platforms now come with a pre-defined set of KPIs to help teams get started. Increasingly, these systems offer role-based, interactive dashboards that allow users to tailor what they see based on their responsibilities, ensuring each person has access to the information they need. Industry research shows that real-time, role-specific visibility is now a standard expectation of ERP systems, not a differentiator.
While a strong starting point, once you’ve established your base KPI sets, you can begin tailoring them to reflect the metrics that matter most to your specific distribution operations. Treat this as a transparent, cross-functional process so department leaders are invested and have access to the data they need to streamline how their teams perform. The dashboards and views you put in place can help teams work more effectively and, in turn, drive stronger operational and financial results.
Many distribution teams focus heavily on inventory-related KPIs. Real-time visibility into where inventory sits, how quickly it moves, and what it costs to replenish is critical to day-to-day decision-making. Tracking profitability at both the product and warehouse level also helps distributors better control costs and manage performance across the broader supply chain.
Beyond inventory, there are several other operational areas that distributors should be able to track closely, including:
At its core, KPI tracking is about visibility and alignment. When teams have access to meaningful, role-specific metrics, distributors are better equipped to manage performance, control costs, and adapt as the business evolves.
In today’s fast-paced business environment, your ERP system should help you scale—not slow you down. For many organizations using Microsoft Dynamics GP/SL, they have reached their limits. While it may have worked well in the past, its aging architecture and lack of true cloud capabilities are prompting companies to look for a more modern solution.
That solution is Acumatica.
Built for the cloud from the ground up, Acumatica offers the flexibility, scalability, and long-term value that Dynamics GP/SL simply can’t match.
What Makes Acumatica Different?
Unlike GP/SL, Acumatica is a true cloud ERP. That means you can access the system from any browser, on any device, without the need for remote desktop tools or third-party hosting. There’s no complex infrastructure to manage—just fast, secure access wherever your team works.
Built to Grow with You
Acumatica uses a resource-based pricing model, which means you’re not charged by the number of users. Whether you have 5 or 500 employees, the cost remains based on usage—not headcount. This makes it a future-ready option for companies planning for growth.
Easier and Less Costly Customization
With Acumatica, you’re working with widely used technologies. That makes it easier—and more affordable—to customize your ERP or integrate it with other platforms. Dynamics GP/SL, by contrast, relies on proprietary tools that often require specialized developers and increase costs over time.
Fewer Add-ons. More Built-In Value.
Acumatica comes with a wide range of features out of the box, including modules for payroll, document management, field service, and warehouse management. Many of these capabilities require third-party add-ons in GP/SL, adding cost and complexity. With Acumatica, everything is integrated, streamlined, and accessible from day one.
Planning an ERP Upgrade?
If your organization is still running on Dynamics GP/SL, it’s time to evaluate whether it’s still supporting your goals—or holding you back. Acumatica offers a modern, scalable, and cost-effective ERP platform that meets the needs of growing businesses across industries.
At Aktion, we help companies make the move from GP/SL to Acumatica with minimal disruption and maximum return. Our experienced team can guide you through the full process—from evaluation to implementation. If you have questions or want to discuss this transition further, feel free to contact Aktion .
The Microsoft Dynamics GP (Great Plains) and SL (Solomon) end of life and support is a subject that has gained significant attention in the Enterprise Resource Planning (ERP) industry. This translates to the discontinuation of essential security updates, technical assistance, and bug resolution, leaving your business exposed and impeding its capacity for growth. The pressing issue of transitioning to newer, more agile systems is at the forefront of this support end.
For GP and SL users, this presents a crucial decision: migrate to a new ERP system or risk falling behind. While Microsoft suggests Dynamics 365 Business Central as a replacement, there’s another powerful contender in the arena – Acumatica.
Why Acumatica Shines as the Future-Proof Choice:
The sunsetting of Microsoft Dynamics GP and SL marks a pivotal moment in the ERP landscape. Businesses are increasingly turning to Acumatica for its modern architecture, cloud-native design, and unparalleled flexibility. As companies embark on the journey to digitize and streamline their operations, Acumatica emerges as a robust choice that not only meets but exceeds the expectations of the modern business environment.
If you have questions or want to discuss this transition further, feel free to contact Aktion . We’re here to assist you in making informed decisions for the success of your business.
In the dynamic world of commercial roofing, staying ahead of the competition requires more than just superior craftsmanship. The key to sustained success lies in effective operations, streamlined processes and business workflows, and a robust financial backbone. Introducing Acumatica, the innovative ERP solution driving roofing companies to unparalleled success.
In this blog, we will dive into the compelling reasons why roofing companies are emerging as winners with Acumatica.
Acumatica empowers roofing businesses with comprehensive and adaptable solutions for thriving in a competitive landscape. From effective project management to real-time financial insights, Acumatica equips companies with the tools for sustainable growth and success. Embrace Acumatica’s transformative power and elevate your roofing business.
To learn more about the features and functionality Aktion and Acumatica provides roofing companies, check out our brochure!
In today’s digital age, the way we work has changed significantly. The new generation of digital natives, who have grown up with technology, want tools and systems that are user-friendly, have seamless integrations, and accessible from anywhere. This shift is why businesses are turning to cloud-based software to streamline their operations and stay competitive. Cloud-based software is user-friendly and supports the way the new generation likes to work. In this blog post, we will explore the four key benefits of Infor CloudSuite Distribution, the cloud-based software that makes growing your business in a digital age such an important asset.
Modern User Interface (UI)
One of the significant benefits of cloud-based software is its User Interface (UI). The modern UI makes the software easy to navigate, with colorful charts, graphs, and dashboards that make it easy to view and understand your data. If constructed properly, it can be highly intuitive and user-friendly. This ease of use encourages users to seek out more information and engage in the decision-making process actively.
Embedded Business Intelligence (BI)
Many cloud-based software interfaces allow businesses to leverage embedded Business Intelligence to extract insights from data. BI helps users make informed decisions and identify trends, making it easier to adapt to market changes and stay competitive. The data analysis and reporting capabilities of cloud-based systems are more effortless and faster than traditional methods, as the data is stored on the cloud and can be accessed in real-time.
Accessible from Any Device
Remote access is becoming the norm and cloud-based software allows users to access the system from any device with internet connectivity. This feature is vital for the new generation of the workforce as it eliminates the need to be tied to a desktop or office, providing users with the flexibility to work from any device.
Easy to Scale
Scalability is vital to manage changes in business needs. As businesses grow, need to add new users, and functionality, cloud-based software can easily be expanded to support those needs. This scalability reduces the overhead costs associated with purchasing and implementing new software.
In conclusion, with its modern UI, embedded BI, device accessibility, and scalability, cloud-based software, Infor CloudSuite Distribution provides businesses with the tools they need to stay competitive.
This platform particularly resonates with the new generation of workers who seek tools that make their jobs more accessible and efficient. Infor CloudSuite Distribution, with its intuitive interface and comprehensive capabilities, embodies this trend. By adopting such cloud-based software, businesses benefit from increased efficiency, greater productivity, and reduced costs. This is especially crucial for IT managers, CFOs, warehouse managers, and B2B businesses who are looking to streamline their operations and stay ahead of the competition. Infor CloudSuite Distribution, with its specialized focus on the distribution industry, offers a tailor-made solution that aligns with the dynamic needs of modern businesses.
As we enter the new year, it is essential for manufacturing companies to stay updated on the latest trends that are shaping their industry. In 2023, significant transformations unfolded, we are seeing advancements that are continuing to have a profound impact on the manufacturing landscape as we move into 2024.
In this blog post, we will explore the prominent trends that emerged and their potential influence on manufacturing companies in the upcoming months.
Manufacturing companies that embrace these emerging trends and take proactive steps to adapt to the ever-changing landscape are primed to flourish in 2024. The transformative power of digitalization, the resilience of supply chains, the imperative of sustainability, the advancements in robotics, the focus on reskilling the workforce, and the integration of 3D printing are all crucial elements that will define the future of the manufacturing industry. By staying ahead of these trends, Aktion is helping companies not only overcome challenges but also unlock boundless opportunities for growth and innovation in the dynamic realm of manufacturing.
If you have your own custom code extensions or common libraries that are generic enough for sharing across Acumatica modules, customization projects, or even instances; this solution is also a great option for reusing your own Acumatica custom extended libraries by creating NuGet packages for them.
Introduction
Seasoned developers are probably aware of the benefits of using a package manager tool for installation and updates of packaged reference files and libraries. Such packages contain reusable code that are published to a central repository for consuming by other programs. The advantages to using such a tool is to maintain any common code in a common location, rather than needing to copy the individual files around and maintain their versions separately and manually. There are many public package managers available for different languages, frameworks, and platforms; such as the popular NuGet, npm, Bower, and yarn. This article focuses on the usage of NuGet because it is the standard package manager for Microsoft.NET – the platform used for Acumatica and its customizations.
Since I began developing customizations in Acumatica five years ago, and also coming from a deep .NET and client/server full-stack background, I’ve always wanted the Acumatica common libraries to be available as a package and have wondered why such packages weren’t already readily available. I have long wanted to fill this void myself in order to simplify the referencing of these libraries for our own custom code extension libraries. I recently was able to set this up for our company, Aktion Associates (an Acumatica VAR and Gold Certified Partner), and I’d like to share with you how this can be accomplished.
What is NuGet?
Stepping back for a moment, NuGet is a .NET package manager that’s integrated with Visual Studio.NET – the Microsoft development environment integrated and recommended for use to author code extensions for Acumatica customizations. NuGet is used to create and share reusable packages from a designated public or private host. https://www.nuget.org/ is the main NuGet Gallery repository to which public packages can be published, and from which .NET projects can consume. Popular packages such as Json.NET – a JSON parser and serializer – can be found here, as well as Microsoft.NET framework packages, and many others. Instead of searching the web for an installation program or the specific download file you need for a third-party library, NuGet can be used to retrieve and install the appropriate package of files and the version required simply by selecting it from its public host. NuGet can also be used for packages hosted privately for use internally for yourself or your company. Since Acumatica libraries are not available publicly via nuget.org, this article explains setting up these common libraries as private packages for use in your own customization projects.
There are many more guidelines for using and configuring NuGet that can be found within its documentation found at https://docs.microsoft.com/en-us/nuget than what is described here.
Using NuGet with Acumatica
To reference a NuGet package in your own customization extended library’s Visual Studio project, open your project in Visual Studio, right-click on the project’s References node in the Solution Explorer, and select the Manage NuGet Packages context menu option. This will open a window like the image in Figure 1, which displays NuGet packages already installed, and those available for install. If you Browse for “Newtonsoft.Json”, for example, from nuget.org, it should display that package in the results. When you select a package, you can then choose a specific version available from the specified package host and install it. That package will then show under your project references and its files can be referenced within your extended code. See Figure 2 for an example of referencing the Json.NET library in a C# Visual Studio project after installing it via NuGet.
Figure 1: NuGet Package Manager in Visual Studio
Figure 2: Referencing Json.NET after installing as a reference
The advantage to referencing libraries via NuGet like this is the simplicity, and allowing it to manage libraries and their versions without needing to do so manually. To then install a newer version of the library, you open the NuGet Package Manager again in Visual Studio from Figure 1, change the version to another available version, and Update. This is how I’d like Acumatica common library references to behave, and which is now possible with the solution outlined below.
Creating a NuGet Package
The first step is to create a NuGet package containing common Acumatica libraries. These common libraries are the most often used when writing a code extension in an external library. They include the following:
I also like to include PX.Data.BQL.Fluent.dll because I prefer using Fluent BQL syntax within code.
The Package Manifest
A NuGet package manifest is created by defining the contents in a .nuspec XML file. The schema for a .nuspec file can be found within its documentation at https://docs.microsoft.com/en-us/nuget/reference/nuspec. The following XML shows an example of the contents of a .nuspec file (e.g. Acumatica.nuspec) for the Acumatica libraries mentioned above.
(Acumatica.nuspec contents)
GIST: https://gist.github.com/tlanzer-aktion/e76f8bc275cc3415344a1183666e59b5
Within this XML, the package is supplied a name (<id>) and a version (<version>), the files to reference in the destination Visual Studio project (<references>), and the source files to include in the package (<files>). Notice in this example that I’m naming the package Acumatica.PX.Main, and I’m including Acumatica build version 22.100.178 of its libraries.
Creating the Package
The next step is to create the package from the .nuspec package manifest. You can download nuget.exe from https://www.nuget.org/downloads, which is a command-line program used to create a NuGet package from a NuGet manifest. On the command line, the syntax to create the example package using nuget.exe is:
nuget pack Acumatica.nuspec -NoPackageAnalysis
This syntax assumes that both nuget.exe and Acumatica.nuspec is accessible within the current path, so if not, the path for one or both should be specified. The resulting package created from the example should be Acumatica.PX.Main.22.100.178.nupkg.
Additional Package Versions
Now that we have one build version of Acumatica’s common libraries packaged, you can continue creating additional versions as needed or as they are released by Acumatica. To create a new package for the following build version – 22.101.85 – you can repeat the instructions above but replace the version number and include that version of the libraries. You should then end up with a new package named Acumatica.PX.Main.22.101.85.nupkg, and so on.
Setting Up a NuGet Feed
To make a package available for project reference, it needs to be published to a NuGet feed. Since the package is meant for your own consumption, you’ll want to create a private feed for yourself or your organization. A private feed can be a local file share or server, or a remote private hosting service like Azure Artifacts or GitHub Package Registry. At Aktion Associates we use Azure DevOps as our source control repository, so we use Azure Artifacts as our feed host, and this will also be used for examples in this article.
Creating the Feed
To create a NuGet Feed in Azure Artifacts, open the Azure DevOps project in which you want to create a feed and choose Create Feed on the main Artifacts page. The dialog shown in Figure 3 should open. After naming and configuring the feed according to the visibility and scope of your needs, create the feed.
Figure 3: Create New Feed dialog
Publishing to the Feed
Now that you have both a NuGet package and a NuGet feed set up, you can publish the package to the feed. On the main Azure Artifacts page, choose Connect to Feed, then select NuGet.exe as the connection type, and copy the new feed URL shown. Then, on the command line, the syntax to publish the example package using nuget.exe is:
nuget push -Source <feed url> -ApiKey <any string> Acumatica.PX.Main.22.100.178.nupkg
This syntax assumes that both nuget.exe and Acumatica.PX.Main.22.100.178.nupkg is accessible within the current path, so if not, the path for one or both should be specified. The specified package should now be published to the feed and be accessible for referencing according to the configuration of your feed. Figure 4 shows an example private feed and package inside Azure Artifacts after creation and publishing.
Figure 4: Feed created in Azure Artifacts
Using Your NuGet Feed
After publishing your packages to your NuGet feed, you should be able to then reference the package and version from your feed inside your Visual Studio project as described in Using NuGet with Acumatica. In the NuGet Package Manager, add your new package source (i.e. the NuGet feed you created) from the Options dialog opened from the gear icon next to the Package source dropdown. After adding the feed, the published package should display in the list of available packages. Select the package in the list, and then the different published versions should be available in the Version dropdown to choose for installation or update. See Figure 5 for an example of what the Package Manager shows after selecting the package (e.g. Acumatica.PX.Main) in your new NuGet feed.
Figure 5: Selecting a NuGet package and version
Once you choose a package and appropriate version, installing or updating it creates reference to that package’s library versions in your Visual Studio project. See Figure 6 for an example of a C# Visual Studio project after installing the Acumatica.PX.Main NuGet package from a NuGet feed.
Figure 6: Visual Studio project after package installation
Other Acumatica Libraries
You can take this solution further and create additional NuGet packages for other commonly used Acumatica libraries like PX.Api, PX.Caching, PX.Web, etc. and repeat the steps mentioned above for these. Once those packages are created and published to your feed, you will also be able to reference these in the same manner.
Your Own Packages
If you have your own custom code extensions or common libraries that are generic enough for sharing across Acumatica modules, customization projects, or even instances; this solution is also a great option for reusing your own Acumatica custom extended libraries by creating NuGet packages for them. For example, Aktion has our own API custom library which adapts the existing Acumatica API to our own best practices for integration and communication, and we share it across projects via our own private feed.
Summary
I hope you find this solution for setting up a NuGet feed for Acumatica library packages useful, and I’d love to hear from you and how you’ve put it into use or adapted it for your own needs. It does require a bit of maintenance to keep package versions updated in your feed, but the efficiency gained by easily referencing and consuming an appropriate library version for your customizations and upgrade needs is substantial and valuable.
Happy Coding!
A new retail delivery fee took effect in Colorado on July 1, 2022. Retailers will have to collect the $0.27 fee every time they deliver taxable goods to a Colorado address. This will add a layer of compliance complexity for both in-state and out-of-state retailers.
The $0.27 fee, which will be adjusted for inflation, applies to retailers selling taxable tangible goods for delivery by motor vehicle to Colorado consumers, no matter who owns or operates the vehicle used to make the delivery, and whether the delivery originates in Colorado or another state.
Given the number of Prime (and other) delivery trucks zipping around neighborhoods daily, this could be quite lucrative for the state. In fact, it’s expected to generate $16.8 million during fiscal year 2022–23 and $18.8 million in FY 2023–24. Serious online shoppers may feel it the most; though collected and remitted by retailers, the fee is imposed on purchasers.
Businesses subject to the new retail delivery fee — i.e., any retailer registered to make taxable retail sales in Colorado that makes sales for delivery — must register to collect and remit the fee. If you don’t make any sales of taxable tangible property for delivery into Colorado, you’re not required to register.
The Colorado Department of Revenue has confirmed that a person who does not have nexus and therefore does not meet the requirements to collect sales tax is also not required to collect the retail delivery fee.
There’s no license or registration fee, but retailers will need to add a retail delivery fee account through the Colorado Department of Revenue. Information on how to do that will be forthcoming.
Every retailer with a retail delivery fee account will need to separately report the fee on a retail delivery fee return (form DR 1786). Returns are due every reporting period, at the same time as the state sales tax return, even if no deliveries into the state were made during that time.
If there are any silver linings, it’s that only one return will be required for the entire state and electronic filing and payment options will be available.
Fee must be separately stated
Retailers must separately state the retail delivery fee on all customer invoices and receipts.
The fee doesn’t apply when otherwise taxable goods are delivered to a purchaser exempt from the state sales tax, such as a government or charitable organization.
Likewise, the fee doesn’t apply to deliveries of nontaxable goods, including wholesale sales, so long as all the property delivered is exempt from the state sales tax. If a delivery includes both taxable and exempt goods, the delivery fee will apply.
The retail delivery fee is just one of several new fees created by the enactment of Senate Bill 21-260. Others include:
“Funding highway and road construction and maintenance comes mostly from taxes on motor fuel and fees imposed on motor vehicle ownership,” says Scott Peterson, vice president of Government Relations at Avalara. “The tax on motor fuel isn’t a long-term option given the ever-increasing use of electric vehicles and miles per gallon. Many states are studying and talking about how to solve the problem, but Colorado may be the first state to broaden the revenue mix to provide long-term funding. The challenge is the administrative cost it imposes on the businesses that must collect the fees.”
Automating tax collection and remittance can help reduce the burden on businesses. If you currently use Avalara AvaTax and want to learn how it will support the Colorado retail fee, check out the Avalara Help Center.
Accounting and financials for a construction company brings a unique set of skills and demands to the table. Today’s modern contractors have enough to worry about. But the good news is there are some easy solutions to avoid having to add financial stress to that list. Below, you’ll find a couple of tips to take the stress and worry out of those construction-specific accounting challenges.
Job Costing in Real-Time
Today’s construction site is filled with things that cost money. It might be tempting to try and tally all those job costs and expenses once the project is complete, but it’s only going to open you up for error and hassle – and time, lots and lots of time spent. Labor, equipment and supplies all need to be planned for and accurately tracked. But we’re just talking about one job site here. Most construction companies work on multiple projects at the same time.
Best practice for your modern construction company is to require people to record expenses daily. If you wait and figure out job costs and expenses once a project is done, you’ll find it’s inaccurate and way too time-consuming to figure out. Each job needs to have the costs attributed correctly in real-time. Therefore, you’ll want to give your job site crews the ability to clock in and out remotely and report on tools and equipment used. Suddenly your accounting team back at the office has the ability to see exactly what’s happening on each job site each day.
The Reality of Change Orders
In addition to job costing, change orders are an inevitable reality in construction. Complex construction jobs usually mean that changes will have to be made on the fly. Without a formal change order approval process, you’re opening yourself up to customer contract disputes. Setting realistic expectations with the customer before a project has even started, and securing their approval, is the best way to avoid incurring costs that will come out of your profits. We all know how tight those margins already are, so contracts with the prospect of a change order process can avoid taking on that financial risk.
Technology can again save the day for everyone involved in this ever-changing project. Empower both contractors and the accounting team to see change orders in real time. The approval process happens in minutes rather than days and any additional costs associated with the change order get allocated to the correct job immediately. Software tools should be able to give everyone from your customer to your foreman a clear picture of costs, changes and project progress.
If you’re worried about construction projects that depend upon time-consuming manual entry and physical documentation, it’s a perfect time to look at a comprehensive, cloud solution that connects everyone in real-time from anywhere. There are some excellent choices today for modernizing your construction operations. We’ve found that growth-oriented contractors understand the need for seamlessly reporting everything back to the accounting team. Make life so much easier for your accountants and truly everyone company-wide with the help of one connected platform.
