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The professional services industry is constantly worried about time. Business managers and owners are concerned with the amount of time employees spend on a an individual task or on the bench. They are also concerned with the amount of time before the next sale and the total time spent in meetings. One thing managers and owners should also consider is whether or not it is the right time to purchase professional service automation software. Due to the cost and time commitment necessary for a proper implementation, the decision needs to be weighed carefully. To help in this process, we offer some advantages and disadvantages of PSA software for your consideration:
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Advantages: One of the core benefits of professional service automation software is that it brings together disparate pieces of information and makes it available to everyone. For example, all firms track customer contact information. This information is used by the sales team, the billing group and the customer support team to send and receive information from the customer. In firms without a PSA, this information may be tracked in three different databases within each separate department. If it were to change, three different employees would have to be contacted and told to make the change. With a PSA system, there is only one instance of the address. If it changes, only one person needs to make the change and the other two groups are automatically informed.
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Another core benefit of a PSA system is the ability to track and improve the company’s margins. PSA solutions come equipped with business intelligence tools that allow managers to identify the most profitable projects. As managers are able to identify and understand these projects, they are then able to sell more of them.
Disadvantages: Although we at Bi101 believe that the advantages of a PSA usually outweigh the disadvantages, we also are not immune to the drawbacks of these systems. One of the most difficult areas for firms to navigate when considering a PSA implementation is the instances when the new system clashes with an established enterprise system. For example, PSA’s usually come installed with an expense management system. However, most firms have already implemented an expense tracking system. This can lead to conflicts with employees that may not be ready to change their ways.
Another difficulty for some firms is the amount of rigor that PSA systems require around each process. Most PSA software will standardize processes and procedures which usually helps with consistent execution and delivery. However, this standardization tends to cause problems for firms that are focused on shorter projects and “quick-hit” implementations. Smaller projects need more flexibility in execution and should not be standardized. If a firm does not have nor need standardized processes , then PSA solutions are harder to implement.
In business, there are no easy decisions. Although professional service automation software allows for significant advantages like increased margins, they also cause problems in terms of change management. However, like we have noted previously, we at Bi101 believe that their strengths far outweigh their weaknesses. If you are interested in learning more about PSA systems, please contact us.
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