Comparison
A spreadsheet against a procurement system
A spreadsheet is a good tool, and that is exactly why it survives long past the point where it stops being enough. It manages a list beautifully. It does not manage a chain.
What a spreadsheet does well
It is available, everybody knows how to use it, and it obliges nobody to learn a system. A business starting out with one supplier and five orders a month needs nothing else.
Where it breaks
- No link between documents: the order is in the sheet, the delivery note is in a binder and the invoice is in email, and nobody compares them
- No permissions: whoever can see can also change, and whoever changed is not recorded
- No stop: a spreadsheet cannot hold a payment, because it does not know that something is wrong
- No single source of truth: there are three versions of the same file, and one of them is right
What a system adds
| In a spreadsheet | In InPlace |
|---|---|
| A row somebody typed | A document with a status and a link to the order it came from |
| A manual comparison, if somebody remembers | An automatic comparison of order, receipt and invoice |
| Anyone who has the link | Three roles and separation of duties |
| Partial change history | A record of every sensitive financial action |
What happens as the business grows
A spreadsheet does not break in a day. It breaks slowly: a tab is added, a column is added, a second file appears for the second location, and then somebody sends a version over WhatsApp and from that moment there are two truths.
The clearest sign is not the size of the file but the question “which version are we working from”. Once it is asked, the spreadsheet has already stopped being the source of truth.
What does not transfer from the spreadsheet
The habit of “I will remember to check”. A method that rests on one person’s memory works perfectly until the day he is on holiday, and stops working without announcing it.
InPlace asks nobody to remember. The comparison of order, receipt and invoice runs every time, and an invoice that arrived on a busy day is checked exactly as closely.
When it is worth moving
When more than one person touches the same purchase. The moment an order passes between procurement, whoever receives the goods and the accountant, the spreadsheet no longer describes reality but only a part of it.
You can start with one supplier and leave the spreadsheet open beside the system. Comparing the two after a month is the most honest test available.
Start with one supplier, and watch the chain work on your own business.
Open a free accountNo credit card. Start with one supplier.