Choosing an ERP system is one of the most important technology decisions a building material distributor can make. Your ERP doesn’t just track inventory—it touches every part of your business: sales, logistics, pricing, purchasing, finance, and customer service. Get it right, and you’ll gain control, visibility, and efficiency. Get it wrong, and you’re stuck with costly workarounds, frustrated staff, and missed opportunities.
This guide will walk you through everything you need to consider when selecting the right ERP for your business.
- Understand Your Operational Needs
Before looking at features, get crystal clear on what your business needs from an ERP. Consider:
Do you manage inventory in multiple locations or yards?
Do you sell products by piece, pallet, ton, or linear foot?
Do you offer contractor pricing, bulk discounts, or job-specific pricing?
Are you handling special orders or mixed-load deliveries?
Do you need mobile access for yard and field teams?
Make a list of pain points in your current system—these will guide your must-have features.
- Look for Industry-Specific Features
Generic ERPs may look good on paper but often fall short in the real world of building material distribution. Your ideal ERP should support:
Multi-unit inventory management (e.g., selling by bundle or cut length)
Tiered or contract pricing for contractors and builders
Integrated quoting and order processing
Dispatch and delivery coordination with route tracking
Purchase planning tied to supplier lead times and seasonal trends
Return handling and damaged goods tracking
The more features that are built-in (rather than custom-coded), the faster and smoother your implementation will be.
- Evaluate Deployment Options: Cloud vs. On-Premise
Cloud-based ERP systems are increasingly popular because they offer:
Lower upfront costs
Remote access for sales, warehouse, and management teams
Automatic updates and backups
Easier scalability for growing businesses
On-premise ERPs may appeal to companies with in-house IT teams or specific compliance needs, but they typically come with higher long-term maintenance.
- Make Sure It Plays Well With Others
Your ERP isn’t the only system you use. It should integrate with tools like:
CRM systems for customer tracking
eCommerce platforms for online orders
Barcode scanning and mobile apps for inventory handling
Delivery and logistics software
Vendor portals and supplier systems
Accounting software or payroll tools
Clean integrations reduce double entry, data silos, and costly delays.
- Check User Experience and Training Support
Your ERP will only succeed if your team adopts it. Look for:
Clean, easy-to-navigate user interfaces
Role-based dashboards for sales, warehouse, and finance users
Customizable workflows to match how your business operates
Built-in help tools, training videos, and documentation
Strong vendor support and onboarding services
The easier it is to use, the faster your team will get value from it.
- Consider the Total Cost of Ownership (TCO)
Don’t just compare sticker prices. Your real ERP investment includes:
Licensing or subscription fees
Implementation and customization
Training and change management
Support and upgrades
Hardware or infrastructure (for on-premise systems)
Future scaling (adding users, modules, or locations)
A cheaper system that doesn’t scale or fit well will cost more over time than a properly matched solution.
- Choose the Right Implementation Partner
The software is only half the equation. A great implementation partner:
Understands your industry
Helps map and optimize your processes
Provides training and post-launch support
Helps you plan for future growth and system upgrades
The right partner can mean the difference between a smooth rollout and a painful, costly delay.
Final Thoughts
Choosing an ERP system for your building material distribution business isn’t just about ticking off features. It’s about investing in a platform that can grow with you, support your operations, and give you the visibility to make better decisions every day.
Take your time, involve the right stakeholders, and choose a solution that’s built for your industry—not just any industry.
