Most companies don’t fully comprehend the cost of implementing a new accounting system. You can get a quote on outside consulting but most people miss the hidden costs. Implementation costs can include:
- Outside Consultant Fees.
- Lost productivity due to employees having to learn a new system.
- Internal time (Overtime) for converting data.
- Inefficiencies due to implementing new processes.
- Lower customer satisfaction based on potential late shipments and inventory issues while learning the new system.
- Higher Employee frustration as they must continue their old processes while learning the new processes.
Remember that innately people resist change making it even more difficult to implement a new system. Changing Accounting Software is like having surgery. Your company hurts but you keep putting it off till you can’t stand the pain. Then you have the surgery and for a while it hurts even more, then finally one morning you realize how good you are. And you think why did I wait so long.
To properly utilize the capabilities of a new system it is important to review and possibly change old processes to become more efficient. Having Joe run around the warehouse to see what to order will be replaced by a Replenishment Report/Process in the new system. The result will be better inventory control while reducing overstocking.
Some Ways to reduce cost and mange employee expectations:
- Define you Project Manager – a single person who is responsible for the implementation. He or she must have the ability set internal goals, define internal responsibilities and dictate deadlines.
- Share Implementation Goals – It is important for everyone in the company to understand why the company is putting in a new system, the benefits and the process to get it done. It is important that they “buy in” to the new system knowing it will help them.
- Staff Displacement - On of the greatest fears in implementing a new system are employees feeling like their job will be eliminated. In my experience a new system does not eliminate people unless they were not needed before. A new system should let staff spend more time “in the numbers” vs “on the numbers”, letting them really add value to the company.
- Set an aggressive but realistic deadline – It is important to set deadline for an implementation, the longer the timeframe the more time is spent in meetings and coordination of staff and resources. Shorter timeframes may cause a little more stress but can reduce your overall cost.
- “We don’t do it that way” – It is important to be open to new ideas and business processes. Most systems are built on a “best practices” paradigm. Be open to adopting new ways of doing business that can make your company more efficient while still maintain the process that make your company great.
Gravity Software can help, with its open, easy to learn and implement architecture your company can become more efficient. Gravity’s overall ownership cost can be less than 1/3 of larger enterprise applications. Gravity Software cloud-based accounting software is written on the Dynamics 365 platform. One database, one platform. Gravity Software - the technology just works!