There are thousands of business technology tools today. For every need, there is a SaaS solution. With all these options, how do you choose the right technology for your business?
What Factors Should Be Considered When Selecting a Business Tool?
What are the main elements to consider when purchasing ready-made software for an organization? There are several, but what it comes down to is profitability. If all seven of the following factors line up, then the software is likely to be a profitable investment. If not, then your organization is better off skipping it.
1. The Need
The old saying, “If it ain’t broke, don’t fix it” applies here. It’s wise to be conservative when using funds to implement more technology. Aside from the standard costs of buying the product, there are many others, including the time and other expenses of integration and implementation. While the outcome may be worth the costs, you’ll usually only want to go through the process if there is a real need for improvement.
2. Time, Money, and Productivity
Another cost of implementing new software can be a temporary decrease in workflow. Are the eventual savings of time and money, along with the increase in productivity, large enough to justify the upfront inconvenience? Figuring this out may take some calculations, but you don’t want to jump in without knowing the numbers for sure.
It doesn’t usually pay off to be an early adopter, so due diligence is important. Are other respectable companies using similar solutions? Do they have positive things to say about the services and outcomes? These can be signs of stability and longevity. You may want to use the same software so you aren’t left behind the competition.
4. Customizability, Adaptability, and Scalability
Agile innovation is required in these fast-evolving days of doing business. Does the software company use the latest technology and release updates regularly? Can the software integrate seamlessly with your other systems? Will it be able to grow with your business and adapt to its changing needs?
5. Employee Buy-In
Whenever change is introduced, expect some resistance from employees. However, you can reduce it if you have buy-in from the majority of those whom the change will affect. Solicit opinions and listen to suggestions. Ultimately, it’s not their choice to make, but involving them in the process will not only make it run smoother but also grant invaluable insight that otherwise may have been overlooked.
6. The Cost and Time for Training
Even if you have employee buy-in, the cost and time it takes to train on new technology can be significant. This hidden cost must be accounted for so you can have a budget and backup plan ready. Optimum efficiency takes time and may require ongoing training to gain the full benefits from new software.
7. Transition and Tech Support
Having the vendor’s support during the transition and after implementation is crucial. You’ll need help with installation, upgrades, troubleshooting, and security. This should be provided through training and support to your staff as well as support to your IT department.
Factors to Consider when Selecting Supply Chain Technology
As companies become more sophisticated in their supply chain qualification and management activities, they’re quickly discovering limitations in the information systems they rely on to keep track of supplier information. For example, some qualification and supply chain risk management solutions rely on generic “one-size-fits-all” questionnaires to screen all suppliers. This approach can be problematic because such solutions do not accommodate varying levels of information detail and the diversity of your suppliers.
Here are some important factors to consider when contemplating a supply chain management system:
Expertise-driven compliance program implementation
Avetta employs some of the most experienced veterans of supplier qualification and management representing numerous industries. They can help you meet industry safety standards, support your unique business requirements, and address your risk thresholds, without setting extreme requirements that could alienate a portion of your supply chain. They will also help you to develop and implement a program that aggregates and optimizes the “sea of data” you gather as part of a supplier qualification and management program.
Configurable contractor & supplier screening
Avetta also provides configurable question sets that can be adapted to your business needs. Your organization can screen suppliers against the specific criteria that are most important to your business. Avetta consultants can help you figure out the best approach for your goals, corporate values, and supplier population.
Avetta can help you to develop your supply chain qualification and management program in several key program areas:
- Health & Safety
- Employee-level compliance
- Corporate Social Responsibility
Avetta also helps you understand and measure contractor performance, based on criteria you select during program implementation.
You can track and assess supplier information from your entire supply chain such as:
- The demographics of your suppliers and contractors
- Contract, project, or site-specific requirements
- EMR (Experience Modification Rates)
- Annual injury/illness statistics
- Citations and violation histories
- Safety programs/policies
- Employee training programs/participation
- Drug and alcohol policies
- Supply sourcing
- Anti-corruption practices
- Child labor violations and prevention
- - Many others
Defining program parameters
In addition to providing expert advice on industry standards, Avetta will help you to define your system implementation, including:
- Types of data elements that should be in your database
- Benchmark thresholds for each of these elements
- Regulatory requirements pertinent to your industry
- Insurance policies and limits
- Contractual terms and conditions
- Health and Safety policies
- Sustainability best practices
Avetta can be updated or expanded at any time to incorporate new screening assessments, new geographies, new suppliers, or changing regulatory requirements.
Without a configurable technological platform capable of handling vast amounts of data securely and reliably, companies are constrained by a lack of detail to truly measure supply chain compliance. Avetta arms you with critical information to make sound business decisions and mitigate risk throughout your supply chain.
To learn more about finding and implementing the right technology solution for your business, download our Ultimate Supplier Qualification Guide.
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