How to implement modern factoring software successfully?
This was the topic we discussed with Karol Leszczyński today during dedicated to that topic webinar – one of the numerous we did on the topic of digitalization of factoring.
We’ll continue discussing that topic as this is the only possible way to cover SME customers with factoring products and give them actually a tool to cover their cash flow gaps.
So, how to change factoring software and switch vendors, what to expect, and how to make it successful.
The most favorable situation is when you launch a factoring product from scratch and choose the software that suits you the best (not the easiest task as well, I guess, but still). And if nothing suits you and you know what you want you can build on your own, but of course it requires way more recourses.
If the task is to choose from the existing providers, which one you choose? What are your criteria?
Price? Functionality? Cloud? Partner’s name (brand)? Trust? What’s the key for you? Probably the mix of all mentioned above.
According to Karol, here are the key elements of the factoring system you should consider:
- Latest technology in use. Now this is all about microservices infrastructure.
- Well thought user experience and app interface. The cooperation of an experienced UX team is a must during new system implementation. And probably after. It’s an ongoing process.
- High-performance cloud infrastructure. Cloud-based services give you scalability.
- Quick product delivery. As quickly as possible. Karol mentioned with Comarch that 3-6 months is a realistic term.
- Effortless expansion with new features. Here we need to be sure that the implementation of new features brings better user experience and not vice versa.
- Cyclical releases(no impact on customers). It’s cool to know when the next release is and what is included in it.
Of course, cooperation with the vendor is not only about the delivery of the technology itself. It should include the following:
- Close cooperation with customers while creating new functionalities.
- Building exclusive features should be possible within the implementation.
- Employee training will be needed to minimize usual resistance to changes.
- Cyclical workshops with the customers, which allows to understand the process factors face on a daily basis.
Before you start the project check with the vendor which methodology they use when running the projects (most probably it’ll be an agile one), and how exactly you will cooperate within your project.
When switching to the new software a migration strategy should be prepared.
Karol recommends migrating first the most loyal customers (friends & family), up to 30% of your customer base, try and learn, and implement changes if needed. And after that migrate the main part of the customers.
For more details watch the video recording of the webinar below, and contact Karol or me, if you have some questions.
