You have a problem: your software just isn’t cutting it anymore. You know the solution: new software. However, it’s not that simple, because you now need to figure out how to convince your boss that the business needs new software. Here are a few suggestions on how to make that process much easier.
1. Quantify Your Pain
Whether your boss is the business owner, accounting manager, or an executive, the language of numbers is part of the lexicon. This means the boss spends time quantifying problems, cost savings and investment returns for any project — especially software.
For example, it is one thing to say that a new system will “save you a lot of time”. Instead, focus on how much time is wasted on current processes. Perhaps it takes you 3 hours each week to compile important reports. A software system that allows for automated creation and delivery of reports can then save over 150 hours of work a year, for you alone.
2. Qualify the Investment
An appropriate distribution ERP system, for example, may cost tens of thousands of dollars. However, the cost of not getting an appropriate software system can be much greater. What else costs tens of thousands of dollars? Labor.
Appropriate software can frequently save a business at least one, if not several, salaries in many cases. As a result, the ROI can be very rosy indeed. Consider a company with 2 order entry people who are falling behind due to manual lookups and processes, so the company is considering hiring 2 additional employees. Let’s say they cost $25,000 per year each. That’s $50,000 in annual recurring costs that could be saved by a software system which could make the existing employees far more productive instead. So for example if the new software costs $60,000, then in just 14 months it’s paid for itself, and thereafter the bottom line keeps improving.