Young woman worker during inventory construction materials
Young woman worker during inventory construction materials

Construction Inventory 101 – Common Terms You Need To Know


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Inventory management is considered a fundamental building block to a company’s longevity.

If you run a general contracting company, a sub-construction company specializing in specific trades, or even a service professional, your inventory is everywhere. It will be located in the warehouses, in the back of the delivery trucks, in storage units, in the client’s garages, or even on-site. The bottom line is this: when it comes to tracking and managing construction inventory, the world is your job site.

Wondering how you can streamline this process? The right inventory management tool can not only help you cut losses in your timeline and your budget, but it can also improve your delivery times by a mile.

Construction Manager

Top 3 Inventory Management Mistakes


When your inventory is organized correctly, you can expect the rest of the supply-chain management to fall into place. However, without it, you risk your company to a litany of mistakes like out of stocks, mis-shipments, mis-picks, overstock, and so on. Proper inventory management is critical and can be considered a baseline a project could have and key to solving this problem.

  • Mis-picks are brought about by disorganized shelf labels. Incorrect paper pick lists, or just a messy warehouse in general. 
  • Mis-shipments, on the other hand, results from mis-picks at the start of the inventory process and can also result from the lack of quality control and quality assurance procedures.
  • Out of stocks and overstocks happens when a company incorporates manual methods to place orders without keeping an updated quantity or a full grasp of the state of their supply inventory. This is a lousy predictor for inventory forecasting and concludes in too little or too much stock. The latter means a delay in the construction activities, while the former means money down the drain.

All of these inventory mistakes will cost you valuable resources in construction– time and money– and costs you wasted labor that will be spent in correcting the errors in the future. When you fail to implement inventory management tools, the risk of human mistakes increases by the minute. Additionally, your customer service reviews and loyalty take a negative turn as well.

16 Common Terms Construction Inventory You Need To Know


That being said, it is established that inventory management tools are only as powerful as the way you use them.

It is sure worth the time and money to implement an inventory management software set up by the same construction professionals who also use it on the job site. One of the front runners in the construction industry, Pro Crew Schedule, where we just launched the inventory management feature in our project management software.

To properly familiarize yourself and your team in terms of

1 thought on “Construction Inventory 101 – Common Terms You Need To Know”

  1. List me all building items for these categories.
    1. Electrical cables, lights and switches.
    2. Power tools & equipment
    3. Bolts, nuts & fixtures
    4. Paints & paint products
    5. Plumbing – fittings pvc copper
    – pipes/pvc water rolls/septic/water tanks etc.
    6. Kitchen taps/fittings
    -sink units/hand basins
    7. Hardware
    8. Tiles & adhesives.

    Thank you
    Sam Kandiki

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