Managing multiple software and IT vendors

The finger-pointing problem

A typical small office deals with a surprising number of technology suppliers: an internet provider, a phone system vendor, Microsoft or a Microsoft partner, the accounting software company, a specialist industry application vendor, a printer leasing company, a website developer, an alarm and access control company, and possibly a separate IT support provider. Each is responsible for their own piece.

Trouble starts when a problem sits between them. The practice management software is slow; the vendor says it's the network, the IT provider says it's the software, the internet provider says the connection is fine. Meanwhile staff can't work, customers are waiting, and every vendor is technically correct that their own piece looks fine on their side. Without someone coordinating, the business ends up as the go-between, passing messages back and forth and losing days in the process.

Build a vendor register

Start with a list of every technology vendor the business uses. For each, record what they supply, the account or customer number, the support contact and how to log a request, their support hours, the contract term and renewal date, and what they are and aren't responsible for. Note which staff member is the usual contact and who is authorised to request changes on the account. Many vendors require an authorised contact before they'll make changes or discuss the account, so make sure at least two people, or your IT provider, are listed with each. Store the register with your IT documentation, where it can be reached even if the office systems are down.

Name a coordinator

Someone needs to own the relationships. In a small business that may be the office manager or general manager, who knows the vendors and can make decisions. Alternatively, many businesses ask their managed IT provider to coordinate on their behalf: staff report all IT problems to one place, and the provider works out which vendor is responsible and chases them.

If your IT provider does this, agree in writing what's included and how they'll be authorised to deal with each vendor. Give them a letter of authority or add them as a technical contact so vendors will talk to them. That arrangement is what Office IT offers managed clients, and it removes most of the go-between work from staff.

Know where each vendor's responsibility ends

Many disputes happen because nobody knows where one vendor's job stops. The internet provider is generally responsible up to their equipment, the IT provider for the network inside the office, and the software vendor for the application itself. Write these boundaries down, even roughly, so you can direct a problem to the right party quickly. For important systems, ask vendors for a clear statement of what their support covers. Does the software vendor support the server their application runs on, or only the application? Does the phone vendor support the handsets, the network or both? Clarifying this before a problem arises saves hours later.

Consolidate where it makes sense

Fewer vendors mean fewer gaps. If you have three different suppliers for internet, phones and mobile, consider whether one could do all three. If several software tools overlap, look at consolidating onto the one you use most. Microsoft 365, for example, can sometimes replace separate tools for file sharing, chat, video calls and simple forms that the business pays for separately. Don't consolidate just for neatness, though. A specialist industry application may be worth the extra vendor relationship, and sometimes keeping internet and IT support with different suppliers gives a useful second opinion. Aim for a sensible number of vendors, each clearly responsible for something.

Review vendors regularly

Once a year, look at each vendor relationship: what it costs, how responsive they've been, whether the product still fits, and when the contract renews. Note recurring problems and raise them with the vendor while you still have leverage before renewal. Check that authorised contacts are still current and that former staff are removed.

Keep vendor contracts and key correspondence in one place. When a dispute arises, being able to show what was agreed, what support was promised and when problems were reported makes it far easier to get a fair outcome. Good vendor management is quiet, unglamorous work that pays off every time something goes wrong, and it gives you a much stronger position whenever you renegotiate or decide to switch supplier.