The Current State of CRM Integration with Time & Billing

A common discussion within accounting firms centers around the integration of front end tech stacks like CRM and marketing automation and back-end systems like time and billing. Firms of all sizes have integrated and are seeing significant benefits to operational efficiency and growth initiatives.

There were once significant operational challenges to integrating these systems. That was when there were insurmountable technological issues in having these systems talk. Also, the publishers of time and billing software were resistant to allowing robust integration because of security and data integrity concerns. However, we have moved on from where we were 20 years ago, albeit slowly.

There are still a few technical challenges today. That’s because time and billing software from publishers like Wolters Kluwer (CCH Axcess and ProSystem Fx), Thomson Reuters (Practice CS), Iris (Star and Practice Engine), and Karbon have varying capabilities when it comes to integration capabilities and different application programming interfaces (APIs).

Why Integration Makes Sense

As you contemplate integrating, it’s important to first understand the most common use cases for integration and the implications to your firm:

• Operational efficiency is one of the major benefits, streamlining client intake, collections, and reporting that can be best achieved through CRM with the right data integrated from the back office.
• The ability to gain insights and knowledge of clients that can be used to increase cross-sell efforts and growth initiatives. Back-office systems have critical information about what services a client has purchased, as well as potentially complimentary services. Interestingly, these differ significantly across the industries a firm serves.
• A positive effect on client experience (CX) had been shown after integration. When combining financial data with relationship and CRM data, a firm can better visualize the entire end-to-end process of how clients are acquired, the onboarding experience, and the ongoing business relationship as it expands or contracts based on the actions of partners and staff.

Now that we know the value of integrating these systems, we need to look at the approach that firms are taking in creating these connections.

Considering “Real Time” Data

The need for “real time” integration has its time and place, but in many instances, it is not critical. This is important because the implications of real-time integration can be expensive and technologically demanding depending on the time and billing system used.

The most common real-time integration is when there is an event in CRM, like signing a new client, and the client needs to be setup in time and billing so work can begin. A major benefit here is that much of the information needed for the setup is learned through the pursuit process. Eliminating secondary data entry is efficient and it also eliminates human error.

Information coming back from time and billing can often be done once a day or in a much less expensive fashion based on the amount of data and the systems being used. That’s because the data is often partitioned into custom objects/entities that can be mapped to existing objects. That decision will also have financial implications.

How CRM Uses Time and Billing Data

The final piece of the equation is those areas in time and billing that firms have pushed back into CRM. Cross-selling is an important CRM use case for marketers and business developers. Yet, the data needed for this is in time and billing. When staff record their time, they use service codes to describe the work they are doing. This information, especially when segmented across a client’s industry, is often available in CRM. It can then be used to create workflows and lists in CRM that will help the firm market additional services that will interest clients.

Another area of integration that has become more common is invoicing data. Many time and billing systems have limited reporting and dashboards. Bringing financial data into CRM enables firms to organize and present this information based on individual client performance, industry groups, and practice areas. This same data can also be used for collections activities on individual invoices.

When the capabilities exist, firms are also leveraging CRM for processes and visibility related to engagements (projects). Some are launching feedback surveys for CX when projects complete or generating other activities relating to project updates or follow up actions.

Start with a Business Case

While there are many valuable ways to make the systems of today talk to each other, there is no one way they can or should speak to each other.

As you start the path of integration, understand your business case for doing so. From there you’ll want to work with reputable firms that have history with your CRM and time and billing system. Focus on a process to test, evaluate, and enhance whatever you build. That’s how you’ll bring significant value to the integrations you build.