ADA News

What can you buy for $23?

For ADA members next year, $23 for a one-time special assessment could mean $2.5 million in critical information technology infrastructure improvements that have been deferred to the point of risking an IT slowdown in the Association.

Five years is the maximum length of time a customer can go without upgrading key business operations software. After that, support usually dwindles or disappears—or comes at a very high price. The ADA Board of Trustees is seeking the one-time special assessment to raise the $2.5 million to pay for the purchases.

Seven items comprise the special assessment for expenditure in 2011, as detailed in Board Report 2:

• PeopleSoft Human Resources Upgrade, $40,000 (additional future costs for this software are anticipated to be built into 2012 budget proposal);
• PeopleSoft Financial System Upgrade, $489,400 (this will mark the completion of a project started in 2010);
• Business Objects Software Licenses, $20,050;
• Hyperion Budget Module, $201,800;
• Association management software, $1,600,000;
• Content Management Data Bridge Software, $18,900;
• E-mail forwarding system, $130,300.

As reported to the Board, the PeopleSoft systems are fast approaching a point where it is critical that an upgrade be made. If it isn't done, the vendor will discontinue maintenance and support for both PeopleSoft products. The upgrade for both products has been delayed for five years in order to continue to use one version and delay upgrade costs as long as possible. Without the upgrade and new support, federal 1099 and other required forms may not run properly, and the Association will face higher costs for allowing software support to lapse and then later upgrading. In addition, auditor recommendations for greater encryption and other security cannot be implemented if upgrades are not made.

The Hyperion purchase, which will run with PeopleSoft, will support the Association in its zero-based budgeting efforts, offering a financial analysis tool not currently available. The PeopleSoft Financial software is transaction based; Hyperion will allow budget managers to run through various scenarios for better financial forecasting and analysis of ADA resources.

The association management software will replace the current Siebel relationship management and commerce software, which was chosen eight years ago when there were relatively few solutions available to associations. Siebel's greater strengths are in the commercial sector, and it required extensive customization for ADA purposes.

Currently there are viable software solutions that are applicable to associations. A purchase of one would offer a scalable, workable e-commerce solution that provides integrated relationship management as well as a platform for other applications such as event management, campaign management and other Association-specific activities. These include the ADA Catalog and management of conferences and meeting registration.

More information on the ADA's proposed 2011 budget can be found here.