In every construction project, there is involvement of multiple team-players and their individual efforts have to be coordinated in a timely manner. Sharing and synchronizing information exchange among diverse team players requires a comprehensive project management and collaboration system that is easily accessible and manageable. Web-based or web-enabled project management and collaboration software offer several opportunities for this purpose. In the last decade, the construction industry has realized the necessity of adopting project management and collaboration systems but experienced adaptation and implementation problems. The major reasons were the required software knowledge, training and comfort level of the users. These issues can be addressed by utilizing a software package that provides a familiar user interface and flexible customization options. Microsoft Groove provides an alternative for web-enabled project management and collaboration with comprehensive and customizable tools, while maintaining the familiar Microsoft Office look and feel. This thesis compares the features of Groove software to commonly used project management and collaboration systems in the construction industry. A sample Groove workspace is developed and demonstrated with customized modules and templates for a typical construction project.