Is it time to upgrade from QuickBooks, or from spreadsheets, or from any other level of system no matter how advanced?
I believe the answer to the “When” lies in the answers to these questions:
- What information do I really need to run my business?
- How do I get that information and how much does it cost?
- How much does it cost to do without it?
Your accounting system needs to help you truly manage your business, not be simply a tool of compliance. That “system” can be either a robust, fully functioning ERP (Enterprise Resource Planning) with management information, or it can be a ledger, spreadsheets, or QuickBooks … along with lots of time spent by the controller, accountant or owner finding the needed information -- day after day or month after month.
The point is that all businesses find a way, at some cost, to get the information needed, or they have to make their important business decisions lacking the necessary information.
So, it’s time to do a little brainstorming. Ask yourself these questions:
- What are my biggest pain points (about the information I need)?
- What about the business keeps me awake at night? How much is this costing me?
- Can I see the operating metrics that I need to see, when I need to see them?
- Are our processes efficient, or am I using way too much valuable personnel time and dollars doing tasks over and over?
- Is my data accurate? Is it good enough and timely enough for me to rely on it? Are my customers satisfied?
- Can I see my revenues and costs soon enough to make the decisions I need to make?
- How much of this information am I doing without, or effectively doing without, because I get it so late that it isn’t relevant?
- How many times are my really strong management members “too busy” to do what we really need them to do? How much is that costing me?
There are many answers to these questions. Sometimes, the existing platform is right, but the system or process needs to be tweaked. Sometimes a new system is the way to go. But in each case, the decision should be driven by the business needs and an evaluation of the ROI for the business.
There is always a cost of implementing a new accounting system. But remember, there are also costs of the status quo. Be sure that you fully analyze the costs of “no decision.”
BTerrell Group, a consultancy specializing in ERP, CRM and HRMS systems implementation for Intacct, Sage and MISys, can help you work through whether a new accounting system is right for you, and, if so, what system is ideal for your business. Contact us for a FREE 30-minute consultation.