Requirements Definition Made Easier! A properly organized, well written Request for Proposal (RFP) can eliminate the unforeseen accounting software requirements that cause many complex projects to go over-budget and behind schedule, yet the RFP itself requires that all requirements be defined in detail, taking large amounts of time. This article describes the techniques that can be used to identify this detail correctly in the shortest amount of time.
Project Domain definition, Cost/Benefit analysis, Planning, and other techniques used to identify RFP requirements are addressed below. Links to informational whitepapers and "How-To" articles about specific accounting software application areas follow after that.
Considering all the things that MUST be done when in the accounting software selection phase of any project, correct Request for Proposal (RFP) preparation is the most important! The following techniques must be used to create an RFP reflecting the needs of your organization:
Project Domain - Clearly defining the boundaries of a new accounting system, and exactly where and how it will integrate with other systems, procedures, and departments is known as establishing the "project domain" of a new system project. Having this up-front will help you select the system best for your immediate and long-term needs, manage the entire project more effectively. Establishing the correct Project Domain is one of the most important benefits of preparing a request for proposal (RFP)!
You might hear that a Request for Proposal is a waste of time, that a knowledgeable vendor will answer questions such as - What should a new system do? Should legacy systems be integrated or replaced? Not true at all!! How could a vendor answer these questions without first having spent a good deal of time examining your operations? And if they did, how do you know their suggestions aren't biased to their own offerings? A request-for-proposal puts you in control of your own destiny, due to the good
project planning made possible with a detailed RFP! And if you feel there is not enough time, or need assistance, there are reliable accounting rfp software tools that make it easier!
Cost/Benefit Analysis - Request for Proposal (RFP) preparation sets the stage for good cost/benefit analysis, and ensures the best product or system is selected! Why? Only after all departmental needs are identified, and how these needs affect other units in your company, is it possible to reliably forecast future savings. Proper RFP preparation ensures accurate financial analysis of all vendor responses!
Without an accurate future savings forecast, it is impossible to calculate the financial impact of a proposed product. Creating a meaningful RFP ensures all operational and procedural needs and related efficiency improvements are identified. This enables you to enjoy the benefits of full weighted grade point score suitability and cost/benefit analysis when evaluating vendor RFP responses!
Project Planning - Done correctly, an RFP becomes a mission critical tool for successfully planning any project! Why? Ideally, the department or procedure to BEGIN the system implementation with should be the one that offers, if improved, the biggest return on the initial investment of time, people, and money. This sounds deceptively simple, but in actuality becomes very complex when data conversion, user training, and accounting system software issues come into play. The required accounting system features and business priorities identified during the request for proposal preparation and rfp response evaluation processes are extremely helpful when deciding just where and when to begin system implementation!
Vendor Proposal Evaluation - Without a Request for Proposal to use as a yardstick, it is impossible to evaluate vendor RFP responses in a QUANTITATIVE manner that ensures all responses are reviewed in a consistent, objective, unbiased manner. Each vendor proposal would be different if there was no common measuriong stick - the request for proposal!
System Implementation - accounting project planning does not stop when system implementation begins - it is an on-going part of any good project management formula! The criteria established when creating a properly organized RFP are vey helpful in determining the best training options, answering the many minor system configuration questions that will come up, and in making major decisions about what to do if a completely unforseen business situation develops (like buying a competitor, or a new product line) halfway into the implementation.
System Expansion - Your Request for Proposal, and the vendor RFP response of the vendor you selected as your partner, become very useful in determing the right path to take when system expansion becomes necessary, on either an unplanned or planned basis.
In short, an Request for Proposal (RFP) is not just a one-time use tool for preparing just one type of RFP, but a project management tool useful over and over again for many different applications!
(NOTE: More detailed information about the above topics is available in the Optimized RFP Guide included free with every Infotivity Ready-to-Use RFP. To view the guide's Table of Contents, or order this guide separately, please see the Optimized RFP Guide TOC.)
More detailed information about selecting accounting software for the following application types is available at:
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