Wayne Schulz’s Cool Stuff

FOR IMMEDIATE RELEASE Important Announcement from DSD Business Systems November 23, 2009 Dear Sage MAS 90/200 Business Partner, As you may have heard, Sage has made a series of announcements regarding the Extended Solutions catalog for Sage MAS 90 and 200. You may or may not know that DSD Business Systems, a Sage Gold Development Partner, already has developed enhancements of our own that are identical to, or exceed the functionality of, the most popular Extended Solutions enhancements. We are busy right now creating conversion programs that will allow your customers to seamlessly convert to our versions of the ES enhancements. Our goals are two-fold: To provide most of the ES enhancements, for little more than your customers are now paying for their ES maintenance. To provide ES functionality in a way that allows your customers to be able to smoothly upgrade to Version 4.4 of Sage MAS 90 and 200. There have been, and will be, other developers who will offer these same solutions. Here are a few reasons to use DSD Business Systems: DSD has experience writing ES-type enhancements, similar to those titles that Sage is retiring. All you will need is our conversion program to begin using the DSD version of the enhancement. Our goal is to provide identical or enhanced functionality, compared to the current ES titles, at close to the same price as your end-user is now paying for ES maintenance. DSD has been a Sage MAS 90/200 developer since 1988, and we are among the most trusted developers in the channel. We also publish and sell programming utilities that many of the other Development Partners use. When you want the right answers, come to the experts. You will soon be getting questions from your customers about how this affects their MAS 90/200 system and their maintenance plan. DSD is reaching out to help you answer those questions. Please e-mail or call Jon Reiter, our Vice-President of Development, for those answers. He will be happy to talk to you about how you can put DSD, one of the most reputable, recognized and knowledgeable Sage MAS 90/200 Development Partners, to work for your customers. Jon is available by e-mail at JonR@DSDinc.com or by phone at (858) 550-5900, extension 118. Sincerely, Doug Deane President

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NOT AFFILIATED WITH SAGE

BlackBerry has just released an update to their BlackBerry Messenger software that is included on every BlackBerry device. This program allows for instant messaging between BlackBerry users. One of the new features which they added is an ability to create groups to facilitate group discussions and sharing of common items like pictures, tasks, and calendars.

For our purposes the ability to group chat may be handy for technical questions and answers.

Here's how to join.

First, you need to be running BlackBerry Messenger 5.0.

This is a free download that you can obtain by visiting the following link on your BlackBerry browser:

http://www.blackberry.com/messenger

Second, once you have BlackBerry Messenger 5.0 setup you can join by opening the BlackBerry Messenger menu and selecting "Scan a Group Barcode"

Then point your BlackBerry at the barcode below and you'll be added automatically to the group:

Open to anyone with an interest in Sage discussion - chat, technical, updates

NOT AFFILIATED WITH SAGE

Here's a full rundown on what has been added into BlackBerry Messenger 5

http://www.blackberry.com/btsc/dynamickc.do?externalId=KB19738&sliceID=1&command=show&forward=nonthreadedKC&kcId=KB19738

Wayne Schulz
v: 860-516-8990
w: http://www.s-consult.com

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I wish I could say that this was a joke.....just received this from a local competitor

At what level do these people have no shame...

I've had similar inquiries (multiple) from stock brokers wanting "a quick minute" of my time so they could ask me a "quick" question about Sage Software for a report they undoubtedly were paid to prepare for a client.

Morons

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It doesn't get much stranger than this.

Over the weekend we were tipped (as apparently was at least one other person as evidenced by this Twitter message) that MIS Group was going out of business.

For those who may not know MIS Group - they are Sage North America's Business Partner of the Year for 2007 and 2008. That means they sold more software (Sage MAS 90, MAS 200, Sage Timberline, SageCRM, etc) than any other partner in Sage's North America channel.

   

Click here to download:

MIS_Group_Dallas_Texas_Closes_.zip (97 KB)

At first I thought I read the message wrong and that the person meant the company would break up and each partner would leave with  their clients ensuring at least some continuity for the customer.

Apparently the message was correct. Subsequent information which came out today said the locks were changed, Voice mail message updated to say "call Sage if you have a problem".

Unfortunately there's no indication of where clients with support contracts or questions can turn. There's a number to call for Sage Support. I've reached out twice to Sage asking for any information which could be passed along and it seems they are still trying to determine a plan of attack to service these customers left behind by the sudden and unexpected demise of MIS Group.

And ultimately the web site was changed to be a one page press release:

 
FOR IMMEDIATE RELEASE


July 6, 2009
Management Information Services, Inc./MIS Group
5310 Harvest Hill Rd., Suite 200
Dallas, TX 75230
www.misgroupusa.com

July 6, 2009-Management Information Services, Inc./MIS Group announced today that effective July 6, 2009 it will cease all business operations. "As a result of the current economic crisis, the lack of available credit and market circumstances beyond our control, we unfortunately are not able to be viable as a business and continue to service our customers", stated Robert Muir, Chief Executive Officer. "Although the company has attempted to manage and restructure itself to remain solvent, regrettably after considering all available alternatives, the company determined this as the only course of action. We appreciate the long-term relationships with our employees, customers and partners and are saddened by the outcome and hardship on all parties involved. We also want to recognize everyone’s efforts in working through this difficult period", said Muir.

MIS’ senior secured lender will assume control and responsibility over the assets of the company.

MIS Group provides business process services, data management services and business applications published by Sage® Software including Sage MAS 90 ERP, Sage MAS 200 ERP, Sage MAS 500 ERP, Sage Timberline Office, Sage Master Builder, SageCRM, Sage SalesLogix and Sage Abra HRMS. In order to provide continuity to its customer base, MIS is advising all Sage customers to initially contact Sage directly at
866-996-7243 for assistance. Additional customer and vendor information will be provided over the next several days as it becomes available at the MIS website at www.misgroupusa.com.

About MIS Group
MIS Group is a technology services organization that provides a unique blend of business process services, business software applications and data management services, giving you a single source for your technology needs. Based in Dallas, Texas, with offices in Houston, Denver, and Phoenix, MIS Group serves customers throughout the central and western United States as well as Canada and Mexico.

Wayne Schulz
Schulz Consulting, LLC

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Over the years I've heard that my social media marketing model doesn't work. That I'll never be able to vacation and supporting all those client is impossible without a receptionist, account manager, salesperson and a hefty (if ineffective) traditional marketing budget.
 
Curiously a number of those Sage VARS who told me how stupid my business model was are no longer in business. They've merged, consolidated or just left the business altogether.
 
And while the label "social media" is a bit faddish -- I'm still convinced that non-traditional marketing that keeps you in constant touch with your prospects and clients is THE way to go.
 
For those Sage VARS/Consultants who haven't figured this out - keep on using those tired tactics and ridiculing those that you've yet to try. Makes life easier for the rest of us.
 
 
 
Wayne Schulz
http://www.s-consult.com
cell - 860-516-8990

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I've received the question  "How do I convert clients to a support plan instead of hourly billing" several times during the Sage Insights 2009 conference. Outside the conference I've also received several email inquiries.

Rather than repeat myself (and run the risk of forgetting something) - here's my mega answer to the question along with actual examples of agreements that I use (feel free to re-use them though I take no responsibility for their content and do not provide any warranty or guarantee that they will do anything for you other than serve as an interesting starting point to form your own agreement. Do not call if you are sued, a client leaves or have your family dis-own you after using any of these forms - everything is provided as-is and I make no claims these are legal in your state or will produce any results whatsoever).

Here's the way that I converted my entire client base to prepaid annual phone support plans (we do NOT accept any new clients not on a prepaid plan). I do not claim that this will work for you or will produce any results whatsoever. In case you've missed the point above - use this information along with your own good judgement to craft a plan that works for you.

I do prepaid annual support (exclusively) for several reasons:

• People paying hourly were constantly negotiating answers that they deemed "quick questions" and arguing that since it only took a few seconds for us to answer their question that they did not expect to get a bill.
• Allows me to reserve more time for paying clients who are seeking a long term relationship.
• There's less of a billing and recordkeeping task with a prepaid annual plan
• It properly assigns a value to the knowledge (and the speed with which we respond to questions)

In my opinion the biggest success factor for implementing a new way of billing for support is ..... you have to start it immediately for all NEW clients (be it new deals or orphans).

These people will join a plan. I guarantee you.

KEY POINT: IF you give a client the option of:

1. Stay as-is (aka - pay in 1/4 hr increments only when they call and then dispute 75% as "quick questions)
   
2. Go on plan with a prepaid annual agreement that covers all questions at a fair price
   

Guess which one they choose?

Offering the plan is a CHANGE in the way you do business. It's not just another option. If you offer "stay as is" (aka - client continues disputing the bulk of the calls as "quick questions" and therefore shouldn't be billed - then you will get nowhere).

And you cannot offer any exceptions. 

You must absolutely be prepared for clients to try to negotiate you to hourly.

I guarantee they will try. And when they do I immediately apologize and tell those new customers/orphans that we don't bill that way and our plan is the only method we offer.

I will (and do) walk away from support opportunities that don't want to go on plan.

YES- WE WALK AWAY FROM CLIENTS WHO DO NOT AGREE TO OUR PLAN TERMS.

I would guesstimate I walk away from 2 in 5 (and those two would have been lousy clients anyhow).

Here's the agreement that I use -- and I think I've had a client ever refer to it exactly zero times in the last five years (in other words I think the plan is pretty clear and fair):



I also re-designed what "pay as you go" means to Schulz Consulting...

You'll hear clients say "we just want to stay pay as you go"...

What the clients WANT pay-as-you-go to mean ---

• 1/10th of hr billing
• at your best rate,
• respond within an hour
• don't bill for quick questions (these are the 90% of their calls that start "hey, quick questions"

YOU CAN RE-DEFINE PAY AS YOU GO. PROVIDE CLIENTS WITH YOUR DEFINITION. THERE'S NO LAW THAT SAY'S PAY AS YOU GO MEANS STAY AS IS. USE A NEW DEFINITION.

My definition (which I provide anyone wanting to go that way -- and we only offer it for clients coming OFF our unlimited plan)  -- basically a $375 per incident pre-paid fee (an incident is 1 hour max) with minimum on-site of $1,000 half day or $2,000 full day. I'm not sure I have that document here but I'll send it to anyone who requests it -- wayne@s-consult.com.

UPDATE: I've uploaded the Pay As You Go plan that I provide to clients wanting to leave my unlimited plan and just pay for what they use. A copy is below. Note that we do NOT provide pay as you go to any client who was not already on our unlimited plan. This pay as you go (aka Bronze) is only for existing clients looking to downgrade their level of service. The plan is NOT offered to new clients or those never on a support plan with us.

You could use the pay as you go as your base level plan.

The current school of thought is to offer three options - usually leaving the middle option as what you want people to pick.

For me the middle is my $2,800 unlimited phone support which I've included above. I think I'm probably low on the number because I don't have people trying to negotiate it or complaining about the $$.....so your number probably could be higher.

Renewal rates are amazingly high. If people drop they usually are companies that found us on the Internet and had a crisis so they joined our plan for the year and then they went on their way (or found someone in their local area).

Do not get hung up on whether people will call too much/little. You can always start invoicing them (assuming the calls are billable  and in a gray area) or telling them you have to go on-site (which we always bill for).

My memory is that for the first two years that I moved clients to support I did not force everyone to do so. Rather I had my plan together. Implemented it for every new clients. Converted some existing clients to the plan (only a couple).

Rule of thumb is given "stay as we are" - the client will chose to stay unless the alternative is obviously cheaper or has a bigger advantage. They will always do the math so expect if you were to go to them and say the support is going to be $2,800 per year that they pull your invoices and check them to see they only paid $150 last year for support.

Some of the things you could do to incent people to move toward plans:

- Not include remote support in any of your present hourly agreements -- make them move to a plan to get this highly valuable service
- Lengthen the guaranteed call back time for those not on plan  so that you get to them slower (I've phrased this as "the level of service they've chosen")
- Make contacting Sage (for support or any reason) on their behalf a part of the plan -- otherwise it is billable (and contacting Sage can be a project in itself)


My advice would be to implement this immediately for all orphans and new clients.

Roll it out gradually to your installed base via soft offers (where clients do not have to select a plan but are made away) --- then as you get more clients on plan you will become more comfortable increasing the demand that clients join a plan or not be able to obtain support from your company.

This is the exact way that I did it -- and I eventually converted most of my clients. The ones that dropped were truthfully dormant people using old 2.x or 3.x versions who we invoiced once every three years. In other words what drops off are typically not active clients.

Wayne Schulz
Schulz Consulting, LLC

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