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Top 5 Purchase Order Software For Construction Industry

  • By ProcureDesk
  • May 18,2023
  • 10 min read

Top 5 Purchase Order Software For Construction Industry

Top 5 Purchase Order Software For Construction Industry

Today, there are 168 different purchase order software for construction companies. In this guide, we spent 40 hours comparing the top 5 purchase order software to find the five best you can use to improve your purchasing process and track purchase orders.

Purchase Order Software For Construction: What Is The Definition?

Purchase order software for construction companies covers the software products specifically designed to cater to the purchasing process of construction companies.

The purchase order software covers the basic purchasing functionality and allows companies to track spending against various projects so that you can bill accurate expenses to your customers.

Whether you are an electrical contractor, roofing contractor, property management company, or any other construction company, you can leverage purchase order software to gain efficiencies and accurately track purchase orders.

Purchase Order Software for Construction

  1. ProcureDesk – Best for construction companies serving commercial customers
  2. Procore – Best for companies that are looking for one solution for all their needs
  3. Procurify – Best for companies that need a simple purchasing process
  4. Kissflow – Best for companies that need flexible workflows
  5. Fraxion – Best for property management companies.

 

1. ProcureDesk

Our Verdict — Best for construction companies that serve commercial customers.

Price: Starts at $380/month

ProcureDesk offers a best-of-breed procurement solution for construction companies. Not only does it make it easier to create and track purchase orders. It also allows companies to track spending against different projects so that they can accurately bill the invoice to their customers.

With the job project budgets, companies can track budgets at the granular line item level. For example, tracking purchases for materials and labor Spent for subcontracted labor.

If you want to see ProcureDesk in action, click the link below to schedule a product tour with one of the product specialists.

ProcureDesk Demo

 

Best For

ProcureDesk is best suited for construction companies with a job costing model that want to associate cost with granular job-level budgets.

Top Features

Here are the top features of ProcureDesk purchase order software:

  • Request for a quote (RFQ): ProcureDesk offers the ability to get quotes from different suppliers quickly. This allows procurement teams to get better value for their money by finding the suppliers that best meet the organization’s needs. You can get the RFQ feature to get vendor quotes, whether for raw materials or other supplies.
  • Flexible purchase order software: With custom fields and a flexible workflow engine, you can easily replicate your current purchasing process in the system. The workflow tool can be easily configured to support the workflow for routing purchase approvals. Whether it is construction supplies from Home Depot or a large capital purchase, the tool can easily adapt to different purchase approval processes.
  • Strong catalog support: ProcureDesk makes recurring purchases a breeze. With its built-in integration with 100+ vendors, employees can easily access different websites for purchase and easily collate all the purchasing data into a single cart. Purchasing managers can create internal catalogs for recurring purchases not listed on a website, including lists for purchases.
  • Mobile app for purchase requests: One of the main issues is that employees are on the site and not in the office. Most companies use a purchasing process such that employees must be in the office to raise a purchase request, making it challenging. Employees can conveniently create a purchase request from the field with the mobile app.
  • Link cost to Job projects: Track spending against specific projects by tagging your purchase to the customer or specific job projects for that customer. ProcureDesk imports customer job projects from your accounting system, so you don’t have to upload the data into ProcureDesk manually.
  • Detailed job budgets and costing: Sometimes tagging the job projects is not enough, and you need a detailed break up of job projects to track the spending against a specific budget line. ProcureDesk provides a way to define granular project budgets and then associate the purchase to a project or project budget line.
  • Track purchase orders: One of the main challenges with construction procurement is the sheer number of purchase orders. That makes it difficult to track the status of each order. What is ordered, what is shipped, what is back-ordered, and so on. ProcureDesk provides an easy way to track the purchase order status through the entire lifecycle.
  • Receipt for purchase orders: Receipts allow the foremen and site coordinators to confirm that the product has been received. This allows you to track when the product was received and serves as a confirmation for the Accounts Payable (AP) team that it is ok to pay the invoice. ProcureDesk allows an easy way to create receipts using the Mobile app.
  • Inventory management: Do you have projects where you have overordered the products? Inventory management allows you to track where your unused inventory is. Rather than just ordering from the vendor, you can easily check if the item is already in Inventory before ordering. This saves costs and makes it faster to complete small projects.
  • Mobile app for approvals: With mobile approvals, you can approve the purchase request on the go.
  • OCR for Invoices: The invoice sent by the supplier is automatically matched to the relevant purchase order and receipt using the OCR(Optical Character Recognition) process.
  • Automated 3-way matching: Since all the documents are in ProcureDesk, the system automatically matches all the documents for you. With built-in workflows, any exception in the matching process is routed to the appropriate stakeholder for approval.

Pricing

ProcureDesk has three different pricing models.

Procuredesk_latest_pricing 2

  • Purchasing automation can automate the purchase requisition, approvals, and purchase order process.
  • Accounts payable provides the ability to match the invoice with the purchase orders and manage any exceptions for invoice approvals.
  • The enterprise plan is for large companies needing more support and features like SSO.

Book a Demo and See it in Action

2. Procore

Our Verdict — All-in-one solution for construction management

Price: Please reach out to the vendor

Procore is a cloud-based construction management software that provides tools designed to help construction professionals manage projects, communicate with team members, and streamline workflows.

It’s a complete solution that helps construction professionals manage bids, convert them into contracts and manage purchase orders against those contracts.

Procore offers a variety of features for managing projects, including scheduling, document management, and financial tracking.

The purchase order functionality is basic at best, so if you want to use Procure or plan on implementing an integrated construction management software, Procore is a great choice.

Best For

Best for companies looking for all-in-one construction management software with purchasing capabilities.

Top Features

  • Create purchase orders using the mobile app: This is very helpful for teams in the field because they don’t need to be in the office to place purchase orders.
  • Allocate budget codes: You can easily link existing project budget codes or create a new budget code for a project and assign it to a new purchase.
  • Convert bids to purchase orders: When choosing a winning bid, you can convert it to a purchase order or a subcontract. If you choose to convert it to a purchase order, you can then send it by email to the vendor who was awarded the job.
  • Create an invoice against a supplier contact: invoices related to accounts payable are called “subcontractor invoices.” These invoices are generated in the Commitments tool within a project’s purchase orders and subcontracts. Subcontractor invoices are created by downstream collaborators who request payment for work they have completed on the project or by the user who submits the invoice on behalf of the downstream collaborator.

Pricing

Procoro provides customized pricing based on the company type.

The pricing is customized on the following parameters:

  • Type of business
  • Revenue of the company
  • Type of the functionality you are looking for.

 

3. Procurify

Our Verdict — Best for companies that need purchasing and vendor scorecards

Price: Please get in touch with the vendor for pricing.

Procurify is a cloud-based spend management software designed to help organizations manage purchasing processes, track expenses, and gain insights into spending patterns. The platform is primarily geared towards small and medium-sized businesses but can also be used by larger enterprises.

With Procurify, users can create purchase orders, approve invoices, and track spending in real time. It is a complete spend management solution that can help businesses improve their purchasing processes and reduce costs.

Best For

Procurify is a complete spend management software, and it is best suited for construction companies with an Indirect large spend and needs the ability to track vendor performance through scorecards.

Top Features

  • Purchase order automation: Procurify provides an easy way to automate the purchase requisition process for employees. The purchase requisition can be created from a catalog or just free text. After approvals, the purchase request is converted into a purchase order.
  • Purchase approvals: With an automated workflow engine, the purchase requests can be routed for purchase approvals to the appropriate stakeholders. Suppose you want to route a request to a site coordinator; you can easily do that using ProcureDesk.
  • Standard budgets: With Budgets, you can track purchases against specific budgets. Procurify doesn’t allow granular project budgets, but you can create budgets using fields like GL, class, and departments.
  • 3-way invoice matching: The invoice can be matched to the purchase order and receipt. The exception can be managed in the system before the invoice is sent for payment to the accounting system.
  • Vendor scorecards: Procurify allows you to track vendor performance using a scorecard. You can rate vendors against different criteria like delivery performance and order fulfillment.

Pricing

Procurify doesn’t mention pricing on their website; please contact the vendor to get the pricing information.

 

  • The website mentions all-in-one pricing. So we believe that you got all the features for one price.
  • There is additional add-on integration and additional punchouts.

 

4. Kissflow

Kissflow
Source: Kissflow

Our Verdict — Best for companies that need an all in one workflow solution

Price: Starts at $1990/month

Kissflow is a cloud-based business process management and workflow automation platform that allows organizations to streamline their workflows and automate their business processes. With Kissflow, users can design and customize their workflows, set up approvals and notifications, and monitor their progress in real-time.

Kissflow offers pre-built workflow templates for various business functions, including HR, IT, Finance, and more. These templates can be customized to fit an organization’s specific needs, or users can create their workflows from scratch using Kissflow’s visual workflow designer.

Best For

Kissflow is best for companies that need an all-in-one workflow tool that can be used for different types of workflows in the company.

Top Features

  • Purchase orders: The purchase order feature allows users to create purchase order requests and submit them for approval.
  • Approval workflow: Kissflow is a workflow automation software at its core, soit has strong approval workflow capabilities. You can easily create the required workflows through an easy rule engine that can handle different approval workflow scenarios.
  • Custom forms: Custom forms are probably the strongest differentiation feature for Kissflow. With this functionality, you can easily create all the fields you need to capture on a purchase order form. Whether it is a list of projects or other elements you need for job costing, it is easier to create fields and track spending against them.
  • Vendor management: Vendor management provides the ability to onboard vendors and then track vendor performance through vendor ratings. Vendor onboarding makes it easier to collect vendor data during onboarding so that the A/P team doesn’t have to collect the data manually.
  • Inventory management: Inventory management allows you to track all your inventory and gives you visibility into stock locations. With greater visibility, you can ensure you don’t run out of stock at any location.
  • Purchase invoices: Automate the invoice matching process with this feature. Kissflow allows you to upload invoices and match them with relevant purchase orders. You can also set up a workflow to ensure that exceptions are reviewed and approved by the appropriate stakeholders.

Pricing

Kissflow pricing starts at $1990/month.

kissflow pricing

  • Pricing is based on different factors, which include features, transaction volume, and number of users.
  • Inventory management and supplier portals are add-on modules not included in the core pricing.
  • We recommend checking with the vendor for custom pricing based on your usage scenarios.

 

5. Fraxion

Fraxion

Our Verdict — Best for property management companies

Price: The vendor doesn’t provide pricing on their website; please get in touch with the vendor for pricing.

Fraxion provides an integrated spend management solution for businesses. It allows companies to manage their expenses, travel, and invoices from one central location, making tracking spending easier and maintaining compliance with financial policies.

The solution can be deployed on-premise or use their cloud management platform. This could be a good option for companies who want to host their procurement solution behind the firewall.

Best For

Fraxion is best suited for property management companies that manage multiple properties and need visibility for supplies. Spend across different locations.

Top Features

Here are the top features of Fraxion spend management software

  • Purchase request creation: Employees can easily create new purchase requests using the web or mobile app.
  • Catalog support: Supports punchout catalogs to make it easy for employees to create purchase requests easily. It also supports internal catalogs maintained by buyers or anyone else in the organization.
  • Approval workflow: Offers a flexible approval workflow for purchase approvals based on purchase amount, department, or location.
  • Purchase order creation: Allows buyers to convert purchase requisitions into purchase orders and dispatch the purchase order to the supplier.
  • AP workflow management: Fraxion’s procurement automation streamlines purchasing, vendor management, and invoice approval to fast-track payments. The platform simplifies 2 or 3-way matching processes and provides customizable workflows for invoice approval and payment processing.

Pricing

Fraxion has two pricing models:

  • There is an on-premise option and a cloud version of the software.
  • The pricing is unavailable on the website, so please work with the vendor to get the pricing.
  • There is a comprehensive list of features, but it is not clear what features are included in which module.

 

FAQ:

What is the best software for purchase orders for businesses?

Many software options are available for purchase orders, and the “best” one will depend on the specific needs and requirements of the business.

We have compiled a list of your 7 best purchase order software options. Read more here

What are the procurement systems for construction?

We have covered five procurement systems for construction in this blog post. Procurement and purchase order software is used interchangeably.

Some procurement systems might include additional capabilities like contract management and the ability to run RFP’s.

Here it the list for easy reference:

  1. ProcureDesk – Best for construction companies serving commercial customers
  2. Procore – Best for companies that are looking for one solution for all their needs
  3. Procurify – Best for companies that need a simple purchasing process
  4. Kissflow – Best for companies that need flexible workflows
  5. Fraxion – Best for property management companies.

How do I make a construction purchase order?

To create a construction purchase order, there are a few things you’ll need to do. First, you’ll want to determine exactly what materials, equipment, or services you need for your project.

Then, it’s time to contact your suppliers and request a quote. Ensure you include all the important details, like how much you need, how much you’re willing to pay, and when you need it.

Now it’s time to create your purchase order! You can use a template to make things easier – fill in the supplier’s information, delivery address, and item details, including the quantity, unit price, and total amount.

But wait! Before you hit that send button, take a minute to review and approve the purchase order to make sure everything is accurate and good to go. And once you’ve given it the thumbs up, send it to the supplier.

Who prepares a purchase order?

So, you’re wondering who prepares a purchase order? Well, in most organizations, the purchasing department or procurement team takes care of it. They’re the ones who are responsible for managing the procurement process, which involves identifying the need for materials, equipment, or services, sourcing suppliers, and creating purchase orders.

Now, when it comes to a construction company, it’s pretty much the same thing. The purchasing department or procurement team is usually in charge of creating purchase orders for construction-related items. They work closely with the construction project manager or site supervisor to ensure that the items needed for a particular project are procured promptly.

Of course, every company has its way of doing things, so it’s always a good idea to check your organization’s procurement policies and procedures to see who is responsible for creating purchase orders. But generally speaking, the purchasing department or procurement team is the go-to group for all things procurement-related.

Our Top Three Picks

Here’s a quick summary of our top three picks:

ProcureDesk – Best for construction companies serving commercial customers

Procore – Best for companies that are looking for one solution for all their needs

Procurify – Best for companies that need a simple purchasing process

 

What you should do now

Whenever you’re ready… here are 4 ways we can help you scale your purchasing and Accounts payable process.

  1. Claim your Free Strategy Session. If you’d like to work with us to implement a process to control spending, and spend less time matching invoices, claim your Free Strategy Session. One of our process experts will understand your current purchasing situation and then suggest practical strategies to reduce the purchase order approval cycle.
  2. If you’d like to know the maturity of your purchasing process, download our purchasing process grader and identify exactly what you should be working on next to improve your purchasing and AP process.
  3. If you’d like to enhance your knowledge about the purchasing process, check out our blog or Resources section.
  4. If you know another professional who’d enjoy reading this page, share it with them via email, Linkedin, Twitter.