Let’s face it, selecting new accounting software is hard. The wrong decision, or no decision, can leave your organization without accurate and timely information, impact employee productivity, and allow competitors to move ahead. On the other hand, the right decision can deliver vital information to key decision makers, automate processes, and increase profits.
Mistake #1: Premature Consultation
Unprepared buyers often call a sales representative before doing their homework - and lose control of the buying process. “I’ll call a sales representative and get some information!” That’s often the first step buyers take in searching for a system and partner. It’s also the worst thing you can do.
Mistake #2: Passing the Buck to a “Selection Consultant”
It can be tempting to “pass the buck” for the selection decision to an outside consultant or the recommendation of the IT department. However, relying solely on a consultant’s recommendation or failing to get input and commitment from a broad internal base can yield an unbalanced, unsupported decision.
Mistake #3: Journey to Nowhere
An undefined timeline and unstructured decision making process can cause companies to squander time and resources - and end up where they started. Without a clearly defined process to guide the evaluation and selection, organization tend to be more confused than ever.
Mistake #4: Too Many Tiers
There are four tiers of accounting systems software and the functionality and cost of the systems vary greatly. Refusing to make a decision early on regarding the tier of products you want to consider can be an early warning sign of a poorly thought-out process.
Mistake #5: Setting the VAR Too Low
There are roughly 5,000 value added resellers, or “VARs”, of accounting systems in the United States and about 95% have fewer than six employees, and about half are struggling financially. By failing to properly qualify their choice of valued added reseller, or “VAR,” buyers can undermine an otherwise well-reasoned software selection process.
Better Way: Know Your Business Partner!
Even if you make all the other mistakes, you can still be successful if you chose the right VAR as a business partner. The right VAR will help you beyond business software and towards a business solution. Remember, the important thing is not how your accounting software cuts checks, but rather how it helps your organization relate to your customers and partners.