If you are looking to invest in an IT system, there are some important steps you can take to ensure you’re making the right choice for your business. Take a look at these 7 top tips to help you get started with the procurement process!
Plan ahead
Review your business plan to assess which departments or functions require IT support and when, as well as the type of information needed by each. Decide on a set of common standards for all systems to ensure that any new systems and people will be able to communicate with each other effectively.
Define your system requirements
Put together a list of functional requirements – things that the IT system must do for the business - and describe the business benefits of each. Rank requirements from most critical down to ‘nice to have’ and determine the level of support needed from a supplier. Be aware of the risks associated with the introduction of a new system and make sure that the option you select is capable of meeting your likely future requirements.
Explore all the options
There are often many ways of acquiring the same functionality from different types of IT systems, so make sure you consider the different options that are available in each category – from free, open source software and ‘off the shelf’ packages, through to a fully bespoke system. There are also different commercial options available, such as leasing expensive hardware or making use of cloud-based solutions.
Check out the market
Trade magazines can be a good source of information on IT systems for specific market sectors and other businesses in your local network will often help with information and recommendations for individual suppliers. There are many sources of advice available for small businesses looking to make IT or software purchases, including expert business advisers.
Be systematic
There may be many suppliers with suitable software offerings and it can be a lot of work to evaluate all of them, so it is important to be systematic. When obtaining quotations you should ensure that each supplier receives the same list of requirements and priorities. Demonstrations can be helpful and you should always consider a suppliers’ track record. Make sure you have a full understanding of the level of support provided, as well as any other terms and conditions involved.
Think about implementation
A new IT system will typically replace an existing manual system, or an older IT system, which means that there is usually some data that must be ‘migrated’ across and made available. This process also needs to be properly planned and you may need to run both systems in parallel for a while. Training staff on the new system is another very important part of the process that needs to be factored in to the cost and timing plan.
Get your paperwork in order
The cost associated with procuring new IT systems can be significant and should be properly recorded. Businesses can claim tax allowances and may want to make further investment in future systems, so it is important that all negotiated contracts are preserved, along with notes made on the experience of dealing with individual suppliers.