The acquisition of new technology is often a perilous event for firms. The successful acquisition and implementation of new systems require much more than merely purchasing hardware and software. For example, expenditures for a typical installation of a new financial system are split as follows:
|
Presales consultancy and advice |
11.74% |
|
Software |
37.64% |
|
Implementation |
28.27% |
|
Training |
14.12% |
|
Other services |
14.24% |
a. Why is it necessary that training be included as a cost of the technology acquisition?
b. How can the finance function of a business improve the internal process of technology acquistion?