how to Choose a SOFTWARE VENDOR

A 12-point checklist for finding the right product from the right company

By Darci Yeo

If your facility or district is ready to make the move from paper-based business processes to computerized ones, or is ready to upgrade its existing software systems, you want to be sure your investment will pay off. As with any smart purchase, do your homework before choosing a vendor.

This 12-point checklist covers just about all you need to know. Consider the following, and then add any additional questions that are particular to the situation at your park district, recreation agency, forest preserve or municipal recreation department. The more you know, the more comfortable you will be moving forward.

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Internet registration for a program offering provides a new level of convenience in today's busy world and also reduces time-consuming work for staff.

Determine Your Goals

Determine both your immediate and long-term goals. Do you need to consider just your facility or a district system? What are you trying to achieve by making the switch? Who and what are you trying to impact? Plowing ahead with new technology without really knowing why you are doing it can send you off in the wrong direction. What technologies are most appropriate for your customers in the near and long term? Choose your priorities. You may have to budget for only one project at a time.

Do you want full transactional functionality so you not only provide information but also process payments quickly, accurately and efficiently? Internet registration for a program offering provides a new level of convenience in today's busy world and also reduces time-consuming work for staff. But touchtone phone registration reaches the broadest customer group, so if the population you serve is less computer literate, this may be a good first step. If you operate a number of facilities, viewing facility availability online may be a priority.

There is a myriad of software applications and services available, so determine what really makes sense for you and your market.

Check References

No matter what software is appropriate for you, you need to check for references. A vendor will present itself in its best light when selling. However, what really happens when it comes to implementation? There are always issues when it comes to software, so the real question is how are they handled? Call several references, not just the top five references a vendor offers you. If you call five customers who give rave reviews, continue to call until you find a customer who has had a problem. Some of the best references will show how the company deals with problems that may arise. Ask for a complete list of the vendor's customers.

Consider the Level of Support

Even the most knowledgeable staff members may need help with new applications, and when your customers are counting on you, timeliness is key. Determine if there is a toll-free line, Web support or e-mail support. Is incident tracking available to you via the Web? What are the hours of operation, and do you get a real person when you make contact? Who is allowed to contact technical support? Also, find out if you will get immediate help or if you will have to leave a message that will be returned at an undetermined time.

The cost of support will vary from vendor to vendor. Many will charge an annual maintenance fee, which is calculated from a percentage of your software's price, to provide support. But not all support services are created equal. Since you're buying a sophisticated piece of software, ensure support for it is just as sophisticated. Do some research and ask what kind of support you will receive. One vendor may only support its own product, while others will have support team members who are also certified to assist in areas like database management, Microsoft technology, hardware troubleshooting, network configuration and functionality, and general network support.

Also, some vendors will offer a discount for support under special circumstances, such as if you have someone on staff who is trained to be an "expert" in the software and can be an on-site consultant.

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Anticipate Upgrades

Technology changes quickly. You don't want to be stuck with an outdated system. Determine how often you will get upgrades, how much they will cost and what is included in an upgrade. Generally, patches that are used to fix minor software problems are offered free of charge since they only update one area of your software. New releases, on the other hand, introduce new functionality and are handled differently depending on the vendor. Some will make you pay each time a new version of the software comes out, which can become costly depending on how often the products get updated. Other vendors have an "evergreen policy," meaning that you will never have to pay for new versions of the software as long as you pay your annual maintenance fees.

Also, find out if you are allowed to skip a generation of the software without having to upgrade to previous versions. For instance, let's say you have version 3.0 of the software and the latest version out is 5.0. Some companies will let you upgrade to the newest version without having to implement anything in between that you might have missed.

Ask your list of vendors how often they upgrade their software. Some might do it infrequently, while others are constantly adding new functionality and will have new releases available on a regular basis, e.g. a few times a year or annually.

Training

Training will get your operation off to a smooth start. Your information technology or recreation staff will have various levels of knowledge and comfort with new applications. Many applications that are tailored to the parks and recreation field are different from those found in general office software. Find out what topics are covered, where the training is done, who is trained, how long it takes, what qualifications the trainers have and whether the vendor provides a training database.

A training database is one that comes with dummy data that can be changed without consequence and won't affect your own department's valuable data. The advantage of having a training database is that it allows users to become familiar with the software without having to use (or abuse or lose) real data.

Each vendor has a different policy when it comes to charging for training, which is seldom offered for free. Expect to pay a fixed amount for each day of training, but beware of possible hidden costs. Find out who pays for travel, accommodations, car rental and per diem expenses. These added costs could quickly add up and turn what seemed like a bargain into a cost overrun.

Budget accordingly for training because you want your staff to know how to use all the functions of the software. A well-trained staff ensures what you buy does not become shelfware, forcing you to make another software purchase in the future.

In addition to training your staff to use the software, some vendors will also train a core group of users at your site so that they become trainers themselves and are able to assist future employees and help troubleshoot problems on site.

Think Implementation

Before you buy the software, think about how it has to run with your existing systems and business processes. Maybe you have in-house expertise that can handle it. If you don't, determine whether the vendor offers implementation support and how long implementation takes.

Your new software does not have to work In isolation of other district departments, in fact, It should work with them.

Some agencies may choose to hire an outside consultant to handle implementation, but keep in mind that parks and recreation is a niche industry. You might find someone who knows a little bit about a lot of things but does not specialize in anything specifically. A good vendor will have consultants who are experts in the parks and recreation industry. A consultant should be familiar with all aspects of your organization and provide you with a fit analysis to ensure that the new software will integrate seamlessly with your existing systems. Ask vendors if their software is certified to be used with other vendors' software, e.g. finance, maintenance, work-order management, event management, and desktop publishing.

Ask about the vendor's implementation methodology. Some companies may charge you a separate fee for implementation but most will roll implementation into the training costs. For instance, if a consultant is on site to train your staff for three days, he or she might take half a day to install the software. Again, ensure there are no

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hidden costs: Find out exactly what the fee covers and if there are other expenses.

Expandability

It is rare that a municipal parks and recreation department or a single facility in a park district can get budget approval all at once to completely update its software and services. Perhaps you have just invested in one aspect of software that is working fine. Does the vendor give you the option to purchase only the modules you need? Also, can you leverage your investment across other city departments or district facilities later on?

Vendor Stability

There are several issues to investigate when verifying vendor stability. Find out how long a company has been in business, how many employees it has, and who is dedicated to various responsibilities such as support, development, quality assurance and testing. Don't be afraid to ask if the company has any debt and what its annual revenues are. Finish off by finding out what the company's goals are and compare these to market demand to determine if the management's direction should sustain or grow the company.

If the vendor is a public company, you can review its annual report. But if you're dealing with a privately held company, you can ask for a letter from its accountant to certify the company is adequately financed. You can also check the company's history with the Better Business Bureau and credit agencies or bureaus to see if the bills get paid on time.

Cost

Does the cost fit your budget? What is included in the quote? Are there any hidden costs? How much will you pay in taxes by dealing with different vendors? Look at the long-term return on investment. Ask the vendor to do a return-on-investment analysis for the next 3 to 5 years. Determine what the costs of future upgrades are.

But don't forget about cost savings. Automating your department or upgrading to a new software package should bring you savings in time and money. Taking program registrations via the Internet will mean a reduction in the number of customers who normally phone in or use the counter to register. Other time-consuming tasks, such as cash reconciliation and generating reports, will be streamlined. This should free up staff members to work on other projects.

Buying new software is a big investment and it is OK to want a safety net in case you are not pleased with the product. See if the vendor offers a money-back guarantee or some other incentive.

Functionality and Technical Requirements

Does the solution meet your needs? Is it user friendly? What security features are included? Find out if the technology is modular.

Modular software gives you great flexibility when it comes to expandability. The benefit of modular design is you can replace or add any one component without affecting the rest of the system. This allows you to buy modules to add functionality to your existing software depending on your organization's growth, so you only buy what you need when you need it. Does the software use a graphical user interface (GUI) like Microsoft Windows? Is it designed and certified for the latest version. Windows XP? Products that are certified for Windows XP must meet stringent specifications set by Microsoft. The certification ensures that the application is designed specifically to take advantage of all the latest features in Windows XP and reduce the number of problems users might have with their computers.

Hardware and Network Foundations

Determine what kind of hardware is needed and whether it meets your IT department's standards. Also determine who will support it. Find out who supplies databases, who supports them and whether they are an industry standard.

Make certain that any vendor you select is flexible and can work with SQL, Oracle or MSDE. Beware of proprietary databases since they can cause confusion. Also, it is very important to note that vendors must have certified experts in whichever database platform the client chooses because it will help when support is required.

Impact on Other Departments

Your new software does not have to work in isolation of other district departments. In fact, it should work with them. For example, you may be able to determine what reports are available that will help the accounting office with its objectives.

Having the ability to export information from your recreation management software system using an application program interface (API) to a best-of-breed financial vendor is the best option. Make sure that all of the financial information from your organization is transferred to the financial system, e.g. Great Plains, through a text file in whichever format is needed. Ensure the vendor has extensive experience in doing this with various financial vendors. Also, determine if the new software can comply with the reporting requirements of the Governmental Accounting Standards Board Statement''No. 34 and whether it has ever failed an audit.

A miscellany of final questions includes asking what reports will be the most informative for the executive director and board of trustees (or the city council if you are in a municipal park and recreation agency), if there is a technology committee that will be involved in the process, how your information technology department will be affected and what marketing and public relations measures are available to support the introduction of the new technology.

With so many issues to consider, choosing a new software vendor should be done carefully and thoroughly. However, if you cover the above points, you should be able to make a sound decision.

Darci Yeo has been with Class Software Solutions, based in Burnaby, B.C., since 2000 and has a bachelor of commerce degree. She started as a market-relations specialist with Class and is currently an account manager specializing in parks and recreation agencies.

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