Making everyday business processes more productive: a challenge that can be mastered relatively easily with the help of smart software tools (e.g. https://www.mckinsey.com/business-functions/organization/our-insights/unlocking-success-in-digital-transformations). But which tool is right for whom? This article is about the right selection and a budget-efficient purchase. The potential is impressive: Digitization can make processes more effective, increase product quality and customer satisfaction, and drive up sales and revenue - at least that is the promise of numerous providers for the corresponding measures and solutions. What usually remains unspoken is the amount of the costs, above all the "flexibility" with which they can develop over the course of the project. Wrong tools and complicated implementation processes are often the strongest cost drivers. How can medium-sized companies ensure that they use their digitization budget purposefully and select the most suitable business software for themselves? Some instructions how to handle it the right way are described in four following steps:
1. Check the necessasity
When asked whether a new tool would make sense, managers should rely on the assessment of their employees. It's very easy: A direct inquiry to the team about possible optimization potential in their everyday work. It is important to inquire about the specific needs of the different departments - different areas of the company may have different needs. Not every tool is suitable for company-wide use.
2. Make the attached cost transparent
The most important cost blocks when purchasing new business software should be clarified with the relevant providers in advance of purchasing a tool. In addition to the actual costs, the preparation time that employees and managers need for research and preparation, but also for the selection and implementation phase in the company, should be considered. Two cost models have now become established for the usage costs of business software. The Software as a Service (SaaS) model is a subscription in which payments e.g. are due monthly or annually. All software updates are already integrated in the price and the user always has automatic access to the latest - and therefore most secure - version of the software. With the classic one-time payment model, the company supposedly pays once - the update to the latest version then costs extra and also has to be carried out manually. With the SaaS model, there are also no hosting costs because the software is hosted by the manufacturer in the cloud. In both cases, manufacturers often offer free resources in the form of entry-level webinars. A company should expect license costs of 50 to 60 euros per month for each employee who should use the tool.
3. Important note for the selection process
One of the most important questions: which features a business software should have. Does multifunctional software make more sense or is it a tool that is limited to a few core functions? There is a rule of thumb to answer this question. For small teams, where each employee takes on a wide range of tasks, an all-in-one tool may be a more suitable option. However, if specialists are used in the department, a correspondingly specialized tool should be selected that optimally covers the specific requirements. If you choose a new or several individual tools, there is another tried-and-tested procedure to keep track of things: A tool for creating and managing shared documents (such as Google Workspace or Microsoft 365) and software for task management is useful (e.g. asana) and in larger teams’ software for internal communication (e.g. Slack or Microsoft Teams). In addition to team colleagues, department heads and management, IT experts and data protection officers should also be at the table in the selection process from the start. In this way, companies ensure from the start that the new software meets all requirements.
4. Implementation – test in small teams
Once the software has been selected, the next big step is: implementation. It has paid off in many companies to first test in small teams before rolling out the new software throughout the company. The careful test phase of the implementation is worthwhile in order to increase the speed of introduction and the acceptance of the tool in the workforce. Training should not be missing, especially with complex tools or special usage rules set by the company. Even if companies want to save resources here and prefer to work directly in the tool: These training courses have a major effect on how much new software actually increases the productivity of colleagues.
Further important things to keep in mind - Common mistakes when using the digitization budget
Data security not clarified: In addition to compliance regulations to be clarified in advance and individual requirements of the works council, which software must meet, the server location Germany is very relevant for many companies so that a web or cloud-based tool meets the requirements for data protection.
Scalability not checked: Ideally, once a tool has been purchased, it should remain suitable for the company for as long as possible and “grow” with the company. The keyword scalability is therefore something that should be considered from the outset when choosing the right business software. The solution must be able to be flexibly integrated into everyday work, and the onboarding of new colleagues and expansion to other departments as well as the setting up of additional accounts must be straightforward. Only in this way does smart business software contribute to the future viability of a company.
Forgot access rights for external parties: Should external service providers or partners be able to access the tool? A question that many companies ask themselves too late. If the software allows external access, a clear regulation of the access rights should be made. Certain information and, in particular, protected company internals must remain hidden from unauthorized persons even with shared access. If the internal and external team then work in the shared tool, this can increase productivity and reduce coordination loops via email.
Especially in the digital age you will not be able to track the productivity of your employee because they are not around you physically anymore. There is software on the market that helps you compensate this lack of attraction and gives you the chance to see if they are really working on that assignment that you handed to them or if they are just wasting time. Wolfeye is a really easy and cost-efficient tool that can help you and your workforce to stay less distracted (e.g. wolfeye.us)
Scalability not checked: Ideally, once a tool has been purchased, it should remain suitable for the company for as long as possible and “grow” with the company. The keyword scalability is therefore something that should be considered from the outset when choosing the right business software. The solution must be able to be flexibly integrated into everyday work, and the onboarding of new colleagues and expansion to other departments as well as the setting up of additional accounts must be straightforward. Only in this way does smart business software contribute to the future viability of a company.
Forgot access rights for external parties: Should external service providers or partners be able to access the tool? A question that many companies ask themselves too late. If the software allows external access, a clear regulation of the access rights should be made. Certain information and, in particular, protected company internals must remain hidden from unauthorized persons even with shared access. If the internal and external team then work in the shared tool, this can increase productivity and reduce coordination loops via email.
Especially in the digital age you will not be able to track the productivity of your employee because they are not around you physically anymore. There is software on the market that helps you compensate this lack of attraction and gives you the chance to see if they are really working on that assignment that you handed to them or if they are just wasting time. Wolfeye is a really easy and cost-efficient tool that can help you and your workforce to stay less distracted (e.g. wolfeye.us)
