Are accountants wary of embracing e-business?

Interprise Suite has a fully integrated eCommerce solution that normal users can update in the ERP system.

Create a stock item, click show on web, refresh the web page and its there with pictures and description etc. Specials, featured items, matrix type items, kits etc

If a customer creates an order on the website then the customer account and order are in the ERP system. NO Synchronisation its the same database and business logic. Normal users with no knowledge of the Web can keep it updated and configure it.

At the moment a website has to be updated by a web designer and is separate from the ERP accounts system. This means its difficult for a user to add products on the fly. Those that embrace eBusiness will benefit while those that do not have to accept they will loose out.

Want to offer your clients a real solution for eBusiness. Most of the old systems in the market place were designed before the Internet. If you want to take advantage of the Internet then take a look at Interprise Suite. www.interprise.co.uk .

Tony Parsonage
Interprise Solutions LLP
0845 032 7000

When Star launched its ePayslips service last year, a lot of partners in firms were wary of getting involved in an 'e' solution, that 'fear of the unknown' that is such a feature of human nature I suppose. Also they may not feel comfortable talking to clients about something they feel they may not fully understand.

However, once firms decide to put a toe in the water, they soon find they like the temperature and month on month we see a steady growth in the number of firms providing this service to clients, and the number of clients they are providing it to.

The opportunity to make some money out of it may have something to do with them overcoming their intital reservations, along with the fact that it is no longer considered to be 'bleeding edge' technology!

I don't blame accountants for failing to embrace e-commerce. To do so would lock them into processes that would be inflexible and costly to maintain. Always a bottelneck when things go wrong.

Another factors is that automation is only good when a task is repetative. Accountancy at best is creative not repetative.

Ken makes some good points, but, while emailing PDF payslips can be a good move there is an inherent security risk that the sender cannot be sure who is opening the email PDF at the other end. With other systems the employee has to logon to a secure web site site using the same security systems as if they were logging into their bank account on line. Much safer.

Paper bills are not essential, some Practice Management systems can now generate eBills as an alternative to paper bills, just not the one he has. Ditto statements.

In reply to DH:

> How does ecommerce lock people into 'inflexible processes?'

I accept that when implemented properly an e-commerce solution appears to be cost effective.

However, how many accountants actively measure the TCO [Total Cost of Ownership] of a given software solution or do they even know how to do this? Do they even do this for their existing non e-commerce business?

If new streams of business are to be considered and accepted the first hurdle to overcome is whether the existing e-system will accomodate the change.

Often solutions are third-party and don't lend themselves to customisation. If change is possible third party charges come at a premium as their product is no longer standard.

These systems produce an inordinate amount of information and a company has often to employ specialists to collate the data into presentable forms. The alternative is to pay the provider for such reports. Ad hoc reports present a special problem in this respect.

The e-commerce your customer sees is a web page; behind the scenes is an information system that requires maintenance. These systems degrade over time and you either hire and train your own labour, off shore it, or pay a premium to the third party for upkeep.

If one is contemplating an e-commerce solution then a stab at a TCO figure should be high on the agenda. One should measure the existing TCO of the manual system and compare it with the prospective new e-system. Costs have to be borne at all times as the business will no longer depend on flexible people but inflexible machines. It is not unkown for management to feel disappointed or trapped by a system that fails to meet expectations.

A really good point of e-commerce is that it allows you to scale your business. This is the only scenario for me that justifies the investment as most businesses are just happy to tick along doing what they do best. None of this comes cheaply!

I, for one, have been trying to do more electronically for years. But it is only recently that the software suppliers have given us better products that are "e-enabled". I.e. Quickbooks with the faciltity to email a sales invoice only arrived a couple of years ago. We use the ACCA practice manager software which has very poor facilities for electronical storage, email, etc. - it still assumes that all output is to paper! Earlier this year, we switched payroll supplier to Moneysoft and the transformation has been remarkable - seemless e-filing of P45s, P35, P11d etc at the touch of a button, payslips and payroll reports converted into pdf files at the touch of a button - we are now completely "paper free" with client payroll within just a few months. I think it is the traditional accountancy support products that are behind the times - give us the products and we'll do the "e" thing!

@John S: you say:
I don't blame accountants for failing to embrace e-commerce. To do so would lock them into processes that would be inflexible and costly to maintain. Always a bottelneck when things go wrong.

Another factors is that automation is only good when a task is repetative. Accountancy at best is creative not repetative.

Are you kidding? Most transaction recording is repetitive. If it wasn't then we wouldn't have a software industry dedicated to doing just that.

How does ecommerce lock people into 'inflexible processes?'

Sorry but I just don't get what's being said here, especially given the benefits I've seen enjoyed by many companies.

This is something we are finding our members only starting to grasp.

Many accountants do use technology and the internet in most aspects of their business... but usually there is little attention given to how it is used or can be used to operate more effectively and efficiently.

We are only discovering now the opportunity of managing simple tasks like payroll processing via online job management systems. Currently this sort of e-business enables accountants to store entire jobs including all correspondence, in one place.

Unfortunately business is moving at such a rapid pace, it can become difficult for accountants to keep up with everything e-business has to offer. With only so many hours in the day, and probably even fewer capable staff available it is through utilising more efficient business practises that will open up more of the e-business opportunity.

David Toohey
The Accountants Circle