Building relationships for the future: Why conducting software due diligence is crucial for schools

Due diligence. A word usually associated with the worlds of business, finance and commerce, is now becoming more relevant to the world of education. The Independent education sector has always had autonomy to interact with a ‘free market’ of goods and services for their schools, particularly in terms of IT services. Now, with the rise of Academisation and the diminishing ties to local authority, schools within the State sector can also enjoy the benefits that a ‘free market’ can present.

Conducting thorough due diligence has never been more important. With the constant developments and innovations to software products for education, it is so important to use the opportunities for due diligence as a means of keeping up-to-date with the developments and whether they would be suitable for your school. If this is the first time the school has conducted a process like this, use due diligence checks as an introduction to the products and services available on the market.   

Conducting thorough due diligence is a hefty task in itself, which is why we have broken the process down into five categories: functionality, installation, training, support, and suitability. By considering these categories when looking at new software, particularly a new MIS, the outcome of the process will be more beneficial for the school.

Functionality. The main indicator not only of the credibility of the software, but also how viable the software is for your school. Don’t be lead by software providers into thinking that functionality is simply the operations that are included in the package. Functionality links the operations together, enables integrations to take place, and transfers of data that make the automation you are expecting possible.

If you are thinking of adopting a modular system, the kind where you only pay for the functionality you need, be vigilant in making sure that the functionality you require to carry out necessary tasks is included within the same module, as you may have to pay extra for the necessary function to be able to carry out the task. For example, you may pay for the ‘Exams’ function, but may wish to link your exam timetable to the ‘Calendar’ function. The ‘Calendar’ function may well be included within another module, which you will have to pay extra for.

Some questions to think about;

• Does the software have the range of functionality you require available to you?

• Have you seen the functionality work successfully within a live version of the software?

• Did the software company provide an adequate demo of the live software during which you received satisfactory answers to your questions? Have they provided a demo login for you to try the software?

• How do parts of the system link up? Do all of the modules and functions coexist harmoniously and integrate well together?

• If you do not want a particular module, what happens to the existing data relating to that module? Where is it stored whilst not in use?

Be sure to scrutinise every area of functionality used during the day-to-day activities within the school. Will they aid your processes and procedures? Will you have to implement work-arounds to carry out your tasks? Be meticulous in viewing each function as a means to make your work life easier, not more difficult.

Let’s now imagine that you have chosen the software, negotiated terms and signed the contract. Now it is time to begin the project management phase of your journey and successfully install the product within your school. Arguably, this phase of the operation is the most important, as so much can be revealed about the integrity and validity of the company. If they genuinely want to help you get the most out of the software, they will work with you to make sure the installation phase is seamless.

‘If it’s too good to be true, it probably is too good to be true’. Consider this advice when carrying out due diligence for this part of the process. If a company promises that they can set up a system within a matter of hours, what happens if they exceed that time limit? Do you have to pay extra? Can the system be utilised as it is? Logically, with the amount of data to import and the configurations to set up, is it even possible to launch a system within a matter of hours?

Look for a detailed development plan. Will the company be prepared to work with you to develop a detailed plan of action, with every stage clearly stated and a realistic deadline attached? Can they manage your third-party integration requirements? Do they publish their API for free, if at all?

Some questions to think about:

·        How does the data transfer process work? Who carries out the work, and how easy is the process if your IT team have undertake the work?

·        Is the data transfer process automated, or does it deal with CTF files and Excel spreadsheets? Do you have to import data manually at any point during the process, and can your provider undertake this task as a paid service?

·        Does your software provider offer a data cleansing or auditing service? If so, how much does this cost and will it help make the data transfer process more swift?

When carrying out due diligence on training provisions, think of the software as an investment. Any adoption of software is a financial commitment, which is why a successful implementation and training phase is crucial. However, think about the broader context of the investment. How is the software going to aid staff, students and parents? With rigorous and successful training, the software will be an asset to the school.

Do not assume that adequate training will be provided for you as a matter of course. Most companies charge for training as standard; vigilance is required when investigating the extent of training for the price you pay. Will the company provide an extensive training programme, or ad hoc courses? Do they provide online resources, such as webinars and training videos, to boost your knowledge? Find out from others how responsive are they in organising training and contacting you when new courses and resources become available?

Some questions to think about:

·        Are you able to contact your trainer or account manager at any time to ask questions relating to the training courses?

·        Can you book product trainers to deliver sessions at your school? Alternatively, do you have to attend sessions at another venue?

·        Does the company offer user group meetings or symposiums as part of their training programmes?

·        Will the company work to devise a personalised training plan as part of your onboarding, or do you follow a generic, structured plan?

So, you’ve found the perfect software. The functionality needed for the school is present and the result of the technical due diligence are positive. Now consider the inevitability that the software may require support from the company at some stage. Software is unpredictable, and the guarantee that support will be granted when needed is necessary.

Consultancy is also an important factor to consider when assessing the effectiveness of a provider’s support provisions. Can the company offer bespoke report and form writing services? Do they offer cloud hosting for the software? Can you request specific development for the software? If so, what are the cost implications? You may not require these services as soon as the software is installed, but remember that you may need these services in time and if they are not available, or up to standard, problems may occur. Do not rely completely on testimonials from the company regarding support and consultancy. Contact schools who use the software to ask for a genuine opinion on the support and consultancy provisions offered by the company.

Some questions to consider:

·        What sort of support is offered to clients generally? Can you gauge whether or not the support offered changes over time as you become an established customer? Do you have to pay for any form of support provision when you require it?

·        Does the software provider offer support over the phone, by email, by online portal, or in person? Can the provider offer insight into what is included as part of their support? Can they provide existing client evidence of their response times in the form of a testimonial or cast study?

·        Will account management be offered as part of the company’s customer service? Can you gather any feedback in terms of the effectiveness of the account management services available?

·        Can the company offer Professional Services? If so, what is the extent of these services and what are the costings? Can the company provide testimonials for successful Professional Services projects?

It’s very easy to become disillusioned with the due diligence process, particularly when a software company performs an extravagant demo of their product, or they produce a client list full of household names. It almost seems irrelevant to fully engage with the due diligence process if you think you have found the right software, and if reputable schools use the software.

Always take time to consider the due diligence process and remember, just because the software appears to be suitable for the ‘big name’ schools, it does not mean that it will be suitable for your needs. Don’t be fooled by an effective piece of marketing and a client list! Ask the technical questions that concern your day-to-day use of the system; you will soon see if the system can actually fulfil your needs.

As has been mentioned, consider not only the software but also the set-up process, the timescales, the costings throughout the process, the training and support provisions available. Can the schools who use the software provide feedback on these aspects as well as the product? Your investment stretches far beyond the software, which is why considering the bigger picture when carrying out due diligence is so important.

Generally speaking, two groups usually form when a school begins a software review. The first group focus only on the product, the scope of the functionality available, and whether or not the product can perform the tasks that are required day-to-day. The second group tend to focus on the aesthetics, the look and feel of the software, how intuitive it is and whether it will reflect the image of technological modernity projected by the school. The two groups need to confer with one another throughout the process. The first group needs to realise that intuitiveness is just as important as functionality, and the second group needs to realise that the software may look good but it technologically advance the school. Settle on software that best combines the requests of the two groups, as this will promote sustained internal communication and the success of the software for the long term.