Project engineers and managers involved in construction spend a disproportionate amount of time collecting and processing construction data. This processing of data typically causes the construction manager to be distracted from the more important task of supervising and controlling the project. Current trends indicate that the quantity of construction data will most likely continue to expand in the future, creating more of a burden on the construction manager. New, innovative data management systems that use the latest in computerized and automatic identification technologies should be developed to solve this impending problem. This paper offers recommendations for developing such a system for state departments of transportation. The goal of the system is to create, as much as possible, a "paperless" environment for DOT personnel involved with the construction program. This system will provide better data organization and flow, resulting in reduced paperwork processing time and more time for managing the construction process.