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How Digital Dockets and Forms Can Speed Up Payment in Construction

Written by Mark Shepherd-Smith | Sep 9, 2024 11:18:00 PM

The construction industry often faces delays in payments due to paperwork errors, missing documentation, or disputes over completed work. Digital dockets and forms can streamline this process by automating and digitising the proof of work, improving accuracy, and providing real-time updates.

Why are paper dockets and forms such an issue?

Firstly, its 2024 and everything is online - except construction dockets. They are still mostly paper-based. These paper dockets are the most important document in construction - because they are the basis by which everyone is paid.

Paper dockets are fraught with problems - including errors, omissions and written data entry mistakes. They come from the field - usually in far-flung places, and are created by operators. They are then physically signed by the site manager. Once this laborious process occurs, they must be sent in duplicate and original back to head office to be reconciled and invoiced.

If there is one error in the original docket, it must be recreated and signed. It's then matched to a purchase order, which has to have the correct number and details. Once all the dockets associated with that purchase order are collated, it must be invoiced. There are multiple points of failure in these processes, as well as the process being prone to fraud, which is why all construction companies (big and small) have teams of administrators dealing with this.

This was a process that no-one thought was strange or difficult for the last 100 years - however in the context of the digital age, it seems positively archaic. All of this physical to-and-fro can be replaced instantly by a digital dockets solution.

Benefits of Digital Dockets and Forms Dockets

  1. Increased Accuracy: By digitising dockets and forms, construction businesses can eliminate errors associated with manual data entry. This ensures that all records are accurate, reducing disputes and speeding up the approval process (ultimately leading to faster payment).

  2. Real-Time Documentation: Digital systems allow workers to capture and submit forms and dockets in real time, whether they’re on-site or remotely. This immediate access to information helps avoid delays in approvals, making it easier for contractors and subcontractors to submit claims for progress payments.

  3. Improved Workflow Integration: Docketbook’s system integrates seamlessly with other business management tools, allowing for easy tracking of submitted dockets and forms. This connectivity ensures that the necessary documents reach the right individuals, further accelerating the payment process.

  4. Simplified Record Keeping: With digital dockets, all documentation is stored securely in the cloud and has an immutable digital audit trail. Construction firms can quickly access, track, and retrieve dockets and forms when needed, eliminating the hassle of misplaced paperwork and ensuring smoother communication with clients and suppliers.

Faster Payments with Digital Dockets and Forms

The use of digital dockets and forms, including specialised dockets for plant hire, labour hire, survey and services, bulk materials delivery and dry hire operations, improves transparency across the payment chain. Since all relevant data, such as delivery records, proof of work and project completion are available instantly, there’s less need for back-and-forth communication to resolve issues. This speedier reconciliation helps businesses in Australia avoid delays and ensures payments are processed without unnecessary holdups.

For construction companies looking to enhance their operations, construction docket management software is essential. This not only ensures better accuracy and record-keeping but also drastically speeds up payment processes, helping businesses maintain a healthy cash flow. By implementing solutions like Docketbook, construction firms can leverage real-time tracking, improve communication, and ultimately get paid faster.