Questions
Compare vendors after you freeze the test
Two vendors, two polished demos, and two proposals that each claim to be the obvious choice. The fair way to compare them is to decide what you are testing for before either one presents, then hold both to the same test, including the costs that appear only after you sign.
Write the test before the demos
List your requirements and split them in two. Must haves are gates: a vendor that fails one is out, however good the rest looks. Everything else becomes a weighted criterion, with weights that total 100 and are agreed before anyone sees a demo.
Demos are built to impress, and a confident presenter can make a minor feature look central. A test written beforehand keeps the comparison on your needs rather than on the vendor's best ten minutes.
Count the whole cost
The price on the proposal is the smallest part of most vendor decisions. Add the cost of implementation, training, integration with your existing systems, internal staff time, and the yearly increase the contract allows.
Then add the cost of leaving: data export, notice periods, early termination fees, and the months of running two systems side by side. A vendor that is cheap to join and expensive to leave is often the dearer choice over five years.
Test the claims
Treat every line in a proposal as a claim until something confirms it. Ask for references from customers of your size and in your industry, and call at least one you found yourself. Ask each reference what went wrong in the first six months, not just whether they are happy.
Where it matters, ask for a paid pilot on your own data with success measures written in advance. A free pilot tends to measure enthusiasm, and a paid one with a clear target measures the product.
Two vendors in a Decision Room
Argumont gives each vendor its own Champion, so both are argued at full strength, and your current arrangement can sit on the table as a third option where staying is realistic. The Craftsman tests whether each can actually be carried out with your team and timeline. The Inspector marks which vendor claims are supported by references or evidence and which still rest on the vendor's word. The Human Decision is yours, and the Decision Passport keeps it beside the Verdict.
Two payroll vendors over five years
Vendor A quotes $48,000 a year and Vendor B quotes $41,000, so B looks $35,000 cheaper over five years. Add implementation: $12,000 for A, and $30,000 for B, which needs a custom integration. Add the yearly increases each contract allows, 3 percent for A against 7 percent for B. Over five years A costs about $267,000 and B about $266,000, close to even. The tie breaker becomes exit cost and the references: A's two references report clean migrations, while B's only reference is a customer the vendor chose.
Questions
- Should I choose the cheaper vendor if the totals are close?
- Not if the cheaper one is harder to leave or less proven with customers like you. When totals are within a few percent, the deciding factors are usually risk, support and exit terms.
- How many references should I check?
- At least two per vendor, and at least one that you found rather than one the vendor supplied. Ask specific questions about problems, response times and renewal increases.
- When does a pilot make sense?
- When the vendor's core claim can be tested on your own data in a few weeks, and the decision is large enough to justify the effort. Agree the success measures before it starts.
Bring Argumont a Decision worth challenging.
Start with a paid 60 day pilot on your own real Decisions.