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Know when your firm needs to upgrade

Having consistent tech issues or constantly bumping up against an invisible growth ceiling can be frustrating for any firm, especially if owners think "this is just how it has to be."  

Like most firms, the tone gets set from the top and as such, a stagnant mindset can have a ripple effect across all staff, often leaving them frustrated or underproductive. Conversely, the firms that are able to work more efficiently, and with fewer issues, have comparatively better processes and software architecture. In this article we'll take a look at both and, more importantly, focus on the key signs your firm's tech stack is ready for an upgrade.

First off, processes are the lifeblood of a business's ability to deliver to its clients. For the purpose of this article, we can view a process as a collection of time-vetted steps that your firm uses to serve clients a predetermined end result. 

Your firm's processes are often the only thing that separates it from others. Without these processes, there is no scalable business growth, especially in a market that doesn't support "throwing more bodies at it" as a strategy. 

With processes being the foundation of success for your firm, the software that you use is the vehicle used to execute those processes. Understanding this relationship is the key to having a firm that outperforms regardless of market trends. 

This is because a myriad of issues arise when the tools your firm uses are not aligned with the ways you have already determined work best for delivering results to clients. Moreover, this is why the conversation on tech stack is so critical; any software implementation in your firm must be developed thoughtfully and strategically in order to serve your business and not hinder it.

A tech stack is a very valuable asset to any firm looking to start and scale quickly. For firms that are just starting out, it provides a container in which the firm's processes can be developed without having to depend exclusively on spreadsheets. 

Tech stack components can help firms quickly add software support for processes or services that they did not already offer or could not previously offer at scale. However, the tech stack can become a problem as a business begins to mature and grow. Over time, many of the benefits of the stack begin to diminish and morph into hindrances to further growth.

The reason that your tech stack eventually becomes a problem is actually identified in the name. You may remember the wooden alphanumeric building blocks from childhood. You probably were able to stack those pretty high.

Architecture vs. 'The Stack'

The natural ending to anything "stacked" is for it to be toppled, especially if we stack too high. Where building blocks could be stacked several times over with a fair amount of stability, disjointed and independently designed pieces of software cannot be. And as the number of "blocks" grows, so does the degree of instability.  

The better solution is software architecture, not stacking. This is what firms that run most efficiently and with consistency have in common. They operate on software that fits their processes, often like a glove. These systems are specifically architected to match the processes that the firm deems best for delivering to clients, not vice versa. 

The architected stack

Granted, architected software systems aren't for every firm. While these systems are the best at helping firms do the most with the least amount of hours spent, there are some situations where they may not be the best choice.  

Here are three indications to know when your firm is ready to be upgraded with an a custom architected "stack":

1. Teetering systems

When your current stack is riddled with problems and support calls are a daily/weekly occurrence, it's time to consider an architected stack. Usually when this is the case it eventually gets to the point where you feel like if you or anyone else at your firm makes one wrong move, the whole stack will come toppling down. Obviously, this isn't a good long-term situation to be in. And the "it's always worked before" mantra isn't a recommended technology strategy either.

2. Growth vs. systems 

For growing firms there comes a point at which the tradeoff between systems and the ability to scale by new hires becomes more noticeable. Eventually it becomes clear that the more employees you add to your current systems, the more issues you will encounter with tech.  You might think that this pattern is to be expected. However, with a system that is built for your business to scale, the volume of tech issues wouldn't increase to any significant degree as you add new users. In fact, with the proper care of this type of system (because it is custom and issues can be resolved more quickly and permanently), the number of issues should decrease over time.

3. Mature processes

Businesses that have been in operation for five or more years and only make new changes to processes  on a monthly basis (or less frequently) are the most ideal candidates for software architecture.  While newer businesses with less-vetted processes could benefit from better integration and maybe a small degree of architecture, ultimately they would likely do better waiting until their processes are mature before investing in fully architected software. This way, when they do invest in an architected system, it can easily morph and grow with them.

Ultimately graduating from the tech stack and investing in an architected software solution for your firm is a step that can restore the productivity of your team for years to come. And with the right solution, many companies are able to reach ROI-positive in six to 12 months.

Conclusion

Uncertainty is the ever-present companion of firm leaders today. Moreover, with so many influences outside your firm's control, how much more apt is it to use the levers that can make the biggest contributions to the success of your firm?  

Switching your firm's tech from the common "stacking" model to the architecture model will create more time margin in your firm and make it more nimble for sailing through whatever the future brings.

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Technology Hardware and software Practice management Managing Technology in Your Practice
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