Questions to Ask Before Buying New Software
Purchasing new software is a major investment and one of the biggest decisions you will make for your business. You want to be certain your money is well spent and that you select a solution that best meets your needs. As you consider your options, you will certainly want to look at product functions and features, but there are other factors that can dramatically impact your success with a new solution. Here are some questions you should be asking as part of your evaluation process. Click on each one to learn more about how the answer might impact your business and your selection.
Design
Think of the platform as the framework for the software—kind of like the framework for a house. You want to know what framework your software has because it will impact the way it looks and performs. Software built 30 or 40 years ago will have the tools and features available 30 or 40 years ago. If you are looking for a modern solution that takes full advantage of recent advancements in technology, you’re most likely looking for a system created in 2005 or later and built on a web platform.
If remote access is important to you, a web-based platform is your ideal choice. Solutions more than 10 years old are usually installed directly on hardware like servers or computers, which can make remote access challenging, or even impossible. At the very least, you will need a virtual private network (VPN), a desktop app that establishes a connection between your home computer and your server or computer at the office. Because of the multiple layers involved in a VPN connection, it is often slow and cumbersome. And it is at the mercy of other systems, like the office server, computer, and network. If these things go down, the VPN connection also goes down. With a web-based solution, you can access your software any time, anywhere, from any device—all you need is a web browser and internet connection.
The advent of the cloud and APIs has revolutionized the way software programs integrate, or talk, to one another. In the past, integrations required code changes, which meant accessing every piece of software on every server or computer on which it was installed and coding the integration. This was an expensive, time-consuming process, and the integrations themselves were very sensitive, easily broken or overwritten by upgrades to the parent software. If you are considering an older solution, it may be challenging to get it to talk to the other programs you use to run your business.
One benefit of modern software is the elimination of software silos. Software of the past might have come with individual applications that each had to be installed on separate servers or otherwise didn’t integrate with one another. This meant moving data between applications was a manual process, exporting data from one application and importing it into another. More recent software programs take advantage of API integrations to allow the free flow of data between solutions and/or applications within the same solution.
“Real time” means up-to-the-minute information moving between your back office system and your drivers or technicians in the field. “Built in” means it was included in the software from the beginning, or built as a separate application with an integration to the main software. Some older solutions were actually built before modern cell phones took over the world, so while they may have a mobile solution now, it’s probably clunky and ineffective because it was bolted onto the system after the fact, and it’s asking older technology to work with much newer technology. Other solutions may offer a mobile component, but one that requires devices to be connected to the software on-premise to download information. Modern solutions take advantage of internet connection and cellular data networks (the same ones you use for your cell phone) to pass information between the software and mobile devices instantaneously, without any need for drivers to come to the office and plug their device into a server.
Software of old typically requires an on-premise installation, which involves hardware like servers or computers. The software may even need specialty hardware, which is often very expensive, and may only be available directly through the software provider. Some modern solutions can still be installed on-premise—this may be important to you for security or so your IT team can have direct access. Modern web-based software can also be hosted in the cloud, which means there are no hardware requirements for you. All you need is your everyday computer, an internet connection, and a web browser to access it. Think of it like TurboTax. You go to the website, log in, and your information is right at your fingertips, no hardware required. The important takeaway is that with modern software, you have the choice, you are not backed into hardware requirements by your software provider.
Data
Your software will house data that is essential to you and your business, so it is crucial to know how that data will be cared for by your new software provider. Most providers believe that any data put into the software is yours and you own it, but there are some who claim ownership over the software and everything in it. They may try to prevent you from pulling data out of the system or transferring it to a new solution if you decide to switch providers.
Databases are not all structured the same way, so a data conversion is not just a matter of pulling from one field in the old system and putting it into the corresponding field in the new system. For example, your old software might have one field for a customer’s first and last names together, while your new software might have separate fields, one for first name, one for last name. While much of a data conversion can be automated, it’s important that someone oversees the conversion and ensures that the data is transferred correctly and makes adjustments if it is not. Confirm that any software provider you are evaluating will ensure your data is converted correctly.
While it is important to have human eyes overseeing a conversion, a conversion touches thousands of data points. Once your data has been moved into your new solution, verification scripts can be used to check all of those data points and confirm that the right data has gone to the right place.
Once data is loaded into your new system it’s important to know how easy it is to get it out again in a readable format. For business insight, you’ll likely want to run a variety of reports to track your sales, profitability, k-factors, etc. Be sure to evaluate the reporting capability of any solution you are considering.
Database backups are another way to get data out of software easily, but they’re also an important failsafe to ensure your data is always safe and secure, even if something goes wrong.
Implementation
Implementation is the process you and your software provider will follow to roll out your new solution. Implementation spans the entire period from when you sign the contract to purchase your new solution to the day you go live on the software. It includes steps like evaluating your business processes, configuring the software to match your workflows, data conversion, training, testing, and the actual system go-live. A poor implementation can be incredibly disruptive to your business, take a long time to complete, and ultimately prevent you from realizing the full benefits from your new solution. Your software provider should have a standard process they use as the framework for all implementations. They should be able to walk you through it and also adapt it to your unique needs.
When it comes to implementations, experience goes a long way. Not everything will go according to plan, and companies with a lot of implementation experience will be prepared to handle unexpected challenges. They should be able to back up their process with statistics about their success rate and customer success stories.
Talk to other customers to get their honest assessment of how the software provider’s implementation process went for their businesses.
Implementations can be done in a “big bang” where everything is rolled out at the same time, or they can be done in phases, with various elements rolled out over time. The right approach for you depends on your business and your unique needs. Your software provider should be able to walk you through the pros and cons of each option so you can make an informed decision about which is right for your business.
An implementation is a team effort, involving multiple people from your software provider, as well as your organization. The software provider will typically assign a project manager and a systems consultant to handle your implementation. Some software providers will ask you to assign members from your team to be part of the implementation process, like an executive sponsor, project manager, or steering team. Understand how your implementation team will be structured and how you will need to contribute to the process.
You’ll want to stay informed about the progress of your implementation throughout the process, so you’ll want to know how your software provider plans to communicate with you and how often. Some may want to schedule regular phone calls or meetings or will give you access to shared documents or databases outlining progress.
A crucial part of any software implementation is ensuring your team knows how to use the new system as effectively as possible. The training available from your software provider could range from a printed handbook to a comprehensive training program. There are usually a variety of options including in-person training, remote training, and online training through videos and digital content. If you are a large company, you may want to consider a “train the trainer” option, where your software provider trains key employees from your company who then train the rest of the team. Be sure to discuss training options with your software provider before making a purchase and ensure there is an option that works for you.
The day your software goes live is a huge milestone, and you want to be sure it is successful. The week leading up to your go-live date will require a lot of effort on the part of your team and your software provider. Be sure you understand how your provider will handle the final preparations for your go-live. They may intend to handle everything remotely, or they may be planning to have a team on site.
Support
Continued support after go-live is essential to ensure you get the most out of your solution You want to know your software provider is committed to offering you the resources you need to achieve success. Continuing support comes in many different forms, with a variety of pricing models. For many providers, support is unlimited, but some might charge you each time you pick up the phone to submit an inquiry. Be sure you know what your support entails and what your support costs look like up front.
Support comes in many different forms, including ongoing education, user support for questions about using the software, and technical support for problems within the software itself. Some providers may have a dedicated in-house support team, while others may outsource this work. Be sure you know which type of support your software provider offers.
Software providers may offer different levels of support, with specific issues covered under each level. Be sure you know what is and is not covered under your support plan.
If you experience a problem, you want to know your software provider will resolve it quickly. Be sure you understand the hours your provider’s support team is available, how they handle emergency situations, what their average response time is, and what their average resolution time is.
Some providers handle support via email or a ticketing system, while others are available over the phone. Some will manage support claims through a tracking system that will allow you to check the current status of a claim and also reference it later if needed. Understand how your software provider’s support process works and if it will be the right fit for your needs.
At the end of the day, customers like you are the ones using the solution, not the software provider. This is why many providers foster an online and/or in-person community of users to share information, best practices, and ideas related to their software. You may be able to get some great support for your solution through a customer community. Robust, healthy customer communities often indicate a good product and provider.
Upgrades
Technology changes all the time, and software providers are constantly making upgrades to their solutions. Upgrades have the potential to impact your business and how the software works, so it is important to understand how your provider manages them.
Most providers offer upgrades on a regular schedule, such as quarterly or twice a year. As problems are uncovered and resolved through the support process, additional “fixes” may be released as needed. Understanding your provider’s upgrade schedule will help you understand the impact upgrades may have on your business.
Some providers may require you to pay for each upgrade. Be sure you know up front if future upgrades are part of your yearly licensing fee or if you will need to pay for each one individually.
Depending on the type of software you have, upgrades may require an on-site installation with downtime for your business. Cloud solutions can deploy upgrades through the cloud with little or no impact on your day-to-day operations. Understand how your provider deploys upgrades, how long the upgrades take to install, and how disruptive they will be to your business. See if your provider is willing to do upgrades during off hours to minimize impact.
You’ll want to be notified when upgrades and fixes are coming so you are not taken by surprise. It is also helpful to know what will be new or different when the upgrade is installed so you can start preparing your team for the change. Understand what type of information your software provider is willing to share about upgrades and how much advance warning they will give you. If the changes are significant, some providers will offer training for the new version of the software.
Provider
Although you are ultimately looking to purchase a piece of software, your relationship with your software provider can affect how successful you are with your new solution. If your provider is not able to guide you through a proper data conversion or implementation, or if they cannot provide a high level of training and support, you may never benefit from the full functionality of your solution. If your software provider can offer you a true partnership, you will feel set up for success now and in the future.
Do some research to find out how long your provider has been in business, how long they’ve been working with the software you are considering, what their experience level is, and what their other capabilities might be. You may feel more confident working with a provider who’s been in business for several years than with a startup tech company.
Try to learn a bit about how your provider runs their business, including who the owner is and what the corporate structure is like. Based on your interactions, try to get a feel for employee engagement and satisfaction.
A good relationship with your software provider can make all the difference. As a customer, you want to feel valued and have positive connections with your software provider’s team. Be mindful of the interactions you have with your software provider and gauge how easy you think it will be to maintain a positive relationship in the long term.
If you are making the investment in a new software solution, you want it to last for years, which means you want your software provider to be around just as long to support the solution you purchased. Every business and business owner is different. Some have built their businesses from the ground up and plan to pass them on to the next generation. Some have invested in a startup and will be looking to sell in the next few years to recoup their investment. Inquire about your provider’s future plans, including whether they are built to last or built to sell.
Purchasing new software requires finding the right solution for you, but it also requires setting your business up for success using that solution. A proper data conversion and implementation, as well as ongoing support and training from the right partner can make all of the difference. Cargas is an employee-owned company that has been in business since 1988. We’ve managed 1000 implementations and have a 98% customer success rate. Contact us to learn more and evaluate if we might be the right fit for your business.