Business Analysed

Observations from a Business Analyst

Getting Accountant Buy in

with 4 comments

As a person and as a career I investigate various ways in which new technology and new ways of working can be implemented within the modern business environment. In the past I have investigated using handheld devices, home working, computer based training and a whole raft of other solutions that have been implemented.

Currently the flavour of the month is collaborative working and how to use web 2.0 theory within the work place with tools such as VOIP / mobile phone convergence, rich content websites to deliver messages and the use of wiki and blogs for project working.

As you are no doubt saying to yourself, these tools have been around for sometime, however in some organisations these are either unknown or seen as dark arts. This is where the problem lies.

Today’s organisation is risk adverse and is driven by the need to save money and you don’t have to be a genius to realise that the the first area to be hit by this thinking is ICT. So how can I get buy-in from the accountants!

There are plenty of papers published almost all saying the roughly same story “Innovate or die!” and we all agree with the theory but how do we get over that first hurdle; how do we convince the accountant that this is a risk worth taking.

There is a popular saying amongst accountants – “Show me the business case and I’ll think about it”. Which after the work is done is closely followed by a second popular saying “It’s a great idea, but I just don’t think that the business is ready for it”.

The business case is one of the most important elements of the equation, not so much for the accountant to see that you have done your sums, but also for yourself to ensure that you have asked all the right questions and challenged yourself in the process. I see the business case as a check list or a reality check to justify that the project you wish to embark on is as sound as the glittery wrapping the salesman gave it to you in.

A second key point is knowledge and understanding. The ICT department is in a difficult position, they cannot start a project without a business sponsor or need, however the business is not expected to fully understand all the tools that are available to complete the task, hence catch 22. To encourage your accountant to agree that the risk is worth it, they need to understand what it is you wish to do. Example – try explaining SharePoint to someone who is not in ICT and has never heard of it before (if you want to make it more difficult, add in the fact that they are a Mac disciple!) – if you can convince them that it is more than a website then your 1st step is in the right direction – and we have not even got to the collaborative working quickstep.

In short – it is important that your accountant knows the product and has seen it in action to be convinced by its benefits.

Risk – it is amazing that a four letter word (not including swearwords) can make an accountant breakout in a cold sweat. It is vital that you explain the risk in the way that they want to hear it. Don’t assume that you know what they want to hear – they will always ask something else. Try to include them during the initial discussions so that you can get them ‘on-side’ earlier.

Partnership working – How do you eat an elephant..? In small chunks! – if you can look to the business areas to take a share of the risk your accountant will be happier. A possible route for this will be partnership working, it is easy to see this when dealing with infrastructure based projects but when dealing with business unit solutions this may prove more tricky. It might be that other local organisations may wish to join your project, or possibly local colleges or universities may wish to achieve the same goals.

Cost – it cannot be ignored and your accountant will be staring intently at you till you mention it. The important part is understanding what is included in the cost. In this savings driven world all costs have to be accounted for, down to the penny. This could include: software, hardware, maintenance, consultancy, internal charges, replacement costs, training, upgrades, revenue implications – you name it, put a cost to it!

Savings – this is the word that makes your accountant smile. Savings can come in many forms, but the bottom line will be that the savings will outweigh the costs. Savings could include, software licenses, headcount, management information – try to make it as tangible as possible but intangible savings are also good. In addition to listing the potential savings it is important to justify them and indicate when your accountant will get his paws on the cash.

Finally 3 key questions…

When trying to convince your accountant that this project is the next best thing, make sure that you can answer these questions…

What is the total cost of ownership..?

What is the challenge of delivery..?

What is the benefit to the organisation..?

Think of these on a scale of Red, Amber & Green – the more green the better, the greater the amber the greater the risk to be accepted, the more red the more chance that your accountant will be telling you… “It’s a great idea, but I just don’t think that the business is ready for it”.

Till next time.

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Written by Paul Jennings

October 9, 2008 at 9:22 am

4 Responses

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  1. Maybe in your next post(s) you’ll be able to write about your experience on Web 2.0 for Project Collaboration. It’ll be interesting to know different opinions about such products.

    PM Hut

    October 9, 2008 at 4:25 pm

  2. […] previous post (ICT – Getting Accountant Buy-in) made me think more than I had originally anticipated, and I have concluded that, in a way, I put […]

  3. I noticed that this is not the first time you write about this topic. Why have you chosen it again?

    Liza

    April 24, 2009 at 11:24 am

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    Mose Missey

    April 20, 2010 at 5:06 am


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