Have you gone down a similar path of hunting for software, only to be back to square one?
Gloria finally sits at her desk after a long day and opens her notebook.
She flips the pages to where she has a bunch of notes scribbled down. She tries to make sense of them but doesn’t know where to begin.
Red-cheeked, with hope in her heart, she tries to recall each software she has demo’d and researched. One by one, she scans her notes for each to figure out which one she likes most.
Slowly she loses her sense of optimism. These notes are no good ..
Do you recognize the feeling?
Despite the excitement of the green rush, the cannabis industry is rife with challenges ranging from compliance to taxes to human resources. And central to these management efforts is the software you select. When making a selection on which cannabis distribution software to use for your operation, it’s important to think thoroughly about each step of the process, from getting executive buy-in all the way to making a decision.
To make this journey less daunting, we’ve put together this step-by-step guide to help you pick the best cannabis distribution software.
Getting Buy-In From Your Team
Picking the right software results in increased operational efficiency, personnel productivity, compliance and a myriad of other benefits. What you want to do is to hone in on the specifics you and your team care about and use those during the evaluation process.
Check in with Key Stakeholders
The first step is to ensure that the senior management is on board with getting new software. Regardless if you are using an existing cannabis software vendor or just spreadsheets, it is important to get team members on board with the plan of adopting new software because everyone has their concerns and preferences.
Follow a Process and Set a Deadline
As you begin your journey, let the influencer(s) and decision maker(s) know that you are going to follow a specific process to short-list 2-3 vendors before finalizing a selection. You can either keep them in the know or loop them in, depending on what they prefer. Also let them know that you have a particular date by which you want to make a decision so that you are incentivized to run this process diligently.
Researching Software Vendors
Cannabis distribution software is quite niche, with a small list of cannabis software vendors specializing in distribution, especially for California.
Whether doing a Google search or looking in a directory, the following are ways to quickly distill your cannabis distribution software options down to 4 choices.
- CHECK OUT THE METRC VALIDATED SOFTWARE PROVIDERS LIST
- On this link you will find an official list of Metrc approved integrators who have passed Metrc’s test. The list is on a PDF document which contains their name, website, location, contact information and the functionality they cover such as Plants, Packages, Strains etc., which will give you insight into what license types they cover.
- ATTEND CANNABIS CONFERENCES AND EVENTS
- Events are a great way to connect with people who work at these companies, pick their brains, and see if they are the right fit for you. Oftentimes they have monitors and computers hooked up so you can get a quick demo or give your contact info so that they can follow up with you to set a demo.
- Although events have recently been put on the back burner due to COVID-19, many trade shows have turned virtual such as MJBizCon. NCIA’s California Cannabis Business Conference is also a great way to connect with software vendors ranging from ERP companies such as Microsoft Dynamics to seed-to-sale software companies such as Distru (shameless plug), Trym, Confident Cannabis, etc.
- USE GOOGLE SEARCH AND DIRECTORIES
- Research wouldn’t be complete without doing a search in Google to help you learn about what else is out there. Although you will only see the popular companies near the top of the search results, there are software comparison sites or cannabis publications out there with directories that have many software vendors listed, like the Metrc list, with a blurb that describes what they do.
- ASK OTHERS IN THE SPACE AND YOUR OWN TEAM
- Nothing beats connecting with existing operators in the space and asking what they use, how they like it, and if they would recommend the software they are using or any other to you. This may seem like a no brainer, but it is important to also ask your on-the-ground workers what they may have used in the past. It is also equally important to connect with end users in other companies, not just executives, and seeing what they prefer because they are the ones spending most of the time using software, and their productivity is vital to the success of your company.
Set Up Demos
Invite Teammates to Attend
If your team members showed interested in joining, loop them into any demos so they can dig into any particulars that concern them. Keep your stakeholders informed and let them know what you are up to. Sometimes team members will fully entrust you to ask questions on their behalf or they may want to join themselves. Each team is different.
Ensure Rep Covers Key Workflows
Each rep will have their own style of demoing where some may take you through a high level product tour covering all major features whereas others may tailor the demo more to your business’ or role-specific workflow after asking you key questions. Be sure to have the rep cover the following areas which are important for cannabis distribution software:
- Products
- CRM
- Permissions
- Intake
- Production
- Lab testing
- Sales
- Fulfillment
- Reporting
Have the sales rep walk you through a real world example which is typically much easier to understand than just hearing, “clicking this will do this.”
Ask Useful Questions
This is where the meat of your notes will come from, which you will later use to evaluate software vendors against each other. To help, we’ve compiled a list (not exhaustive by any means) that can guide you. While not every question is important, it is critical you learn enough about each software you demo so that you can have a basis to compare them on.
You can also make a copy of this Google doc with demo questions pre-filled, and then you can add your own.
General Questions
- How long have you been around?
- How many companies do you currently work with?
- Do you cover distribution or other licenses as well?
- What’s the product roadmap like?
- What is your uptime / reliability?
- What’s your software’s tech stack?
- How does your software work on mobile?
Customer Success and Support
- How long does the implementation typically take?
- Do you help with data uploading?
- How quickly does support respond?
- What hours are they available?
- Is your support staff on shore in the United States or off-shore?
Distribution Features
- Does the software cover all key features ranging from intake to packaging to selling to fulfillment?
- How does test results tracking work?
- Can payments be tracked?
- Can my drivers use the system?
- Can permissions be configured to give varying levels of access to different personnel?
- How does the software show live inventory? How does it show what’s been sold?
- Is there sufficient reporting functionality
Metrc Integration
- What does the integration entail?
- Is it a one way sync or a two way sync?
- How quickly can I get my packages ready?
- How streamlined is the ability to make transfers?
Accounting Integration
- What software do you integrate with?
- What’s the integration like?
- Is it a 1 way sync or 2 way sync?
This list is by no means exhaustive and we encourage you to come up with your own questions and write down responses. After the demo be sure to review your notes and if anything is glaringly missing, reach back out to the sales rep with your questions. It’s important you understand the pros and cons of each system so that you can effectively compare them against one another in the next phase of evaluation.
GET REFERENCES
In addition to reviewing your notes, ask for a few references who are willing to speak on the phone to give insights into their experience thus far, especially around the honesty of the sales rep. Be sure to ask anything you may be unsure about. Once you are done, feel free to revise your score card or just take what the references into account as you look to finalize your selection.
As humans, we don’t simply rely on score cards, so you’ll have to do a gut check and discuss with your team members to make sure you are making the right decision.
Close the Deal
Overall it’s not easy to truly know what the experience with a software vendor will be like, but hopefully you have asked enough questions during the demo, on follow up calls, and with references to have a good base for comparison across these key categories. Software evaluation is not a linear process, because you may already be in negotiations. It may be that you really want to work with a particular vendor but they lack something or their terms aren’t amenable to your business.
If the contract doesn’t clearly state so, be sure to have a way out if things just aren’t working out for you. In this industry you will find most software vendors willing to provide favorable terms when it comes to contract cancellation so be aware of the conditions just in case you need a way out.
Next Steps
It might have been a grueling and tiring process but well worth it. Once you’ve reviewed the contract carefully, it’s time to lock in the vendor. Be sure to understand what the onboarding process will be like and set a date for your next meeting. Unless the vendor already does so, we suggest having the sales rep you worked with send an intro email to your customer success rep outlining any expectations you may have set.
Good luck and happy hunting!
SEE ALSO: CAN I MANAGE MY BUSINESS WITH METRC AND SPREADSHEETS ALONE?
Distru is a no-bullsh*t software solution for cannabis manufacturers and distributors. Consider us the central hub for your whole operation, from inventory management and order fulfillment to sales and distribution, all while keeping you compliant with Metrc. Ditch the spreadsheets, keep your teams aligned (pro tip: accountants love us) and focus on growing your market share.
