Pavement management systems have proven to be an effective tool for managing large cities and metropolitan pavement networks, assisting decision-makers in finding optimum strategies for maintaining pavements. According to Bahir Dar City Road Authority asset management representatives, most maintenance strategies applied to poor and less integrated pavement management systems. Road maintenance and rehabilitation were carried out reactively once surface and structural failures occurred. The objective of this research was to develop a web-based pavement management system for Bahir Dar City by identifying the challenges of PMS implementation and automating the manual pavement condition index (PCI) based condition rating process and validate the system. The research methodology consisted of a positivist research philosophy, a mixed-method approach, and a case study strategy. Qualitative and quantitative choices were used, and data was collected through interviews, documents, and visual surveys. The findings shows that the major problems of implementing PMS was Lack of well-organized PMS, insufficient budget, limited skilled manpower system top three factor‟ whilst the least ranked is the lack of standard PMS manual. The system was developed with three main components: inventory, pavement condition, and life cycle cost analysis. It automatically calculated the sample unit pavement condition index (PCI), section PCI, provided a rating scale, and suggested maintenance strategies based on section PCI while conducting a life cycle cost analysis. The system could also add, store, and delete inventory, Pavement condition, and life cycle cost analysis data and generate sample unit reports. The system was validated by comparing deduct values, corrective deduct values, sample unit PCI and section PCI values to manual methods. To avoid the manual method, accurately converting distress deduction curves into mathematical functions was a challenge that was overcome by digitizing the graphs and using Origin Pro software to create the equations. The results showed a high level of correlation with an R-squared value of .99. The system provided real-time data through the internet and was developed using Angular, Nodejs, and PostgreSQL software tools. Geographic Information Systems (GIS) were used to create maps and visualizations of pavement condition data. Key terms: Pavement management system, Pavement Condition Index, Life Cycle Cost Analysis, Database management, system development.