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Project-Based Production in Fabrication, Offsite Construction, and Shipyards: How BoQ-Driven ERP Unlocks Real Efficiency

Timelines are faster, budgets are tighter, and fabrication requirements are more complex than ever. As a result, project-based production has become the dominant model across industries like shipbuilding, offsite construction, and heavy metal works. Unlike traditional batch manufacturing, project-based production centers on unique, high-value deliverables. A Bill of Quantities (BoQ), cost control, and milestone-based planning govern each one.

This blog explores how this production model functions across shipyard workshops, modular construction facilities, and custom metal fabricators. It also shows how ERP systems built around the BoQ, like ProjectVIEW ERP, help integrate operations and enhance control. In turn, they optimize every project from estimation to delivery.

 


 

What is Project-Based Production?

Project-based production (PBP) refers to a non-repetitive, engineer-to-order (ETO) or make-to-order (MTO) method. In this method, each job has its own design, cost, and delivery as a discrete project. For example, companies widely use it in:

  • Shipyard Fabrication Shops: Steel hull components, piping, and structural assemblies that follow vessel-specific designs.
  • Offsite Construction: Modular units, pre-cast panels, and MEP skids that teams manufacture remotely and then assemble onsite.
  • Industrial Metal Fabrication: Similarly, bespoke stairs, frames, and steel components tailored to unique engineering drawings.

Therefore, PBP requires a high level of integration between engineering, procurement, and production. Only then can teams track scope, cost, materials, and workforce across shifting project variables.


Challenges in Project-Based Fabrication Environments

 

  • Constant scope and drawing revisions
  • Multi-disciplinary coordination (steel, piping, electrical, painting)
  • Difficulty in linking BoQ items to actual cost and progress
  • Lack of real-time visibility across fabrication units or project locations

Without a centralized system, teams rely on spreadsheets and disconnected planning tools. Consequently, errors, cost overruns, and missed deadlines follow.


The BoQ-Centric ERP Advantage

We purpose-built ProjectVIEW ERP for project-driven industries like ship repair, modular construction, and metal fabrication. At its core is the BoQ, the digital DNA of every project.

In practice, here’s how it creates value:

  • BoQ-Driven Estimation & Costing: Define work packages by measurable units, quantities, and resource breakdowns. As a result, accuracy and profitability improve.
  • Integrated Procurement: The system links material requirements to BoQ items. It then automates requisitions, tracks deliveries, and helps avoid material shortages.
  • Production Planning & Scheduling: Planners schedule shop floor tasks based on BoQ lines. Meanwhile, the system tracks labor hours, completion percentages, and work center loads in real time.
  • Progress & Billing Integration: As fabrication progresses, actual vs. planned metrics update dashboards. These updates then trigger milestone-based invoicing and performance reviews.
  • Multi-Project Control: Finally, shipyards or offsite factories often run multiple projects in parallel. For them, ProjectVIEW provides visibility and control at both the project and enterprise level.

Seamless CAD Integration: TEKLA and Beyond

Direct integration with leading engineering and CAD platforms is a critical enabler of BoQ accuracy and real-time project coordination. These include TEKLA Structures, AutoCAD, SolidWorks, and Revit. In fact, ProjectVIEW ERP supports seamless data exchange with these systems to:

  • Automatically extract quantities, material lists, and drawing references into the ERP
  • Also maintain traceability between model revisions and fabrication tasks
  • Eliminate manual data entry errors and speed up BoQ generation
  • Finally, keep engineering and production teams aligned on the latest approved versions

This integration reduces rework. It also ensures that the ERP always works from the source of truth that the engineering model defines. For shipyards, the same applies to marine design tools such as AVEVA Marine, CADMATIC, NAPA, ShipConstructor and Maxsurf: see Shipyard Management Software & Shipbuilding ERP.


Real-World Example: Shipyard Steel Shop

For instance, in a shipyard steel fabrication unit, ProjectVIEW ERP can:

    • Capture the vessel-specific BoQ for steel works
    • Then assign each part to drawing revisions and work orders
    • Track cutting, forming, welding, and assembly stages
    • In addition, allocate labor and materials against each block or module
    • Integrate with QA/QC and issue traceable documentation packages
    • Finally, sync directly with TEKLA Structures to reflect updated quantities and drawing modifications

 

George Tsolakis

About the author

George Tsolakis

Chief ERP Architect, DANAOS Projects

George (Georgios) Tsolakis is Chief ERP Architect at DANAOS Projects and a subject-matter expert in construction ERP architecture, engineering economics, cost accounting and construction cost control. With more than 30 years of experience building construction-specific enterprise technology, he conceived ProjectVIEW ERP and remains its principal architect and lead developer, directing business analysis, product architecture, advisory, implementation and support for project-based…