Hang on a sec…is your company still running on spreadsheets? Don’t worry, you’re not alone! Let me explain:

Over the years, I’ve come to discover some really sweet things about spreadsheets. Let me show you: Spreadsheets are intuitive, and cost-effective tools capable of handling tasks like analysis, data organization, and reporting. In addition, spreadsheets require minimal training for basic use and offer easy-to-use and flexible templates for various needs. 

With spreadsheets, data combination as well as visualisation with charts and graphs for quick insights is possible. This makes spreadsheets a valuable tool for many common business functions. But what exactly makes spreadsheets better than custom applications for companies and businesses?

Reasons Companies Prefer Spreadsheets

90% of companies use spreadsheets for financial reporting, and Excel or Google Sheets are ubiquitous in almost every organization across departments. Why? Below are some of the reasons why companies prefer spreadsheets:

1. Familiarity and Ease of Use

If you’re like me who enjoys trying out new things, how would you rate your experience handling an important task with a tool/software you’re not familiar with? For me I prefer working with familiar tools especially when I have a tight deadline to meet. The reason is simple: I work faster and more efficiently with tools that I’m familiar with. The same reason as I, is why people prefer to handle tasks using tools that they’re familiar with. In fact, most employers prefer to train their employees on familiar software like Microsoft Excel. This is because it is easy to adopt and use for basic tasks with or without extensive training. 

2. Cost-Effectiveness

Unlike building custom applications, spreadsheets are generally inexpensive, making them a good choice for companies, businesses, and startups that are budget-conscious. In addition, the process of building custom applications sometimes takes longer, depending on features, team size, complexity, expertise, and the technology stack of the application. Sometimes custom applications require several revisions, which can be challenging. 

3. Flexibility and Versatility

In business, flexibility and versatility of business tools are some of the most sought-after factors. Companies and businesses prefer spreadsheets because they are highly flexible. This means that Spreadsheets allow users to customize them to suit different purposes over a wide range of applications. From basic CRM functions to budgeting to complex calculations and to inventory management, the versatility of spreadsheets is endless.  

4. Easy and Ready-to-Use Templates

Nowadays, people prefer jumping on templates for their day to day operations because they save time, bring efficiency, consistency and reduce errors. Spreadsheets offer ready-to-use templates available for different tasks. From business reports to invoices to presentations and project planning, templates help users unfamiliar with complex tools.

5. Data Visualization & Integration

One thing I like about Spreadsheets is that they include features like tables, charts and graphs. These features often make my work a lot easier and faster because they allow me to visualize data and trends. Additionally, they also help others to quickly understand and analyse my work. Furthermore, users can import and export data from one platform to another through spreadsheets. Consequently, it becomes easier to combine information from various systems or sources into a single, consolidated view. 

6. Little Expertise is Needed

One of my teachers of blessed memory (God rest his soul) used to reiterate a popular saying, “Don’t be a jack of all trades, master of none”. He always wanted his students to spend weeks, months (or even years if need be) learning a skill. On the other hand, I had a professor who believed anyone could learn anything in the shortest possible time. Indeed, spreadsheets are everywhere and for a good reason: They’re easy to use  and require little to no training. Anyone can input data, create a quick table, or perform basic calculations. Because of this simplicity, many companies and businesses have adopted spreadsheets as their go-to tool.

7. Productivity

The last and final reason for choosing spreadsheets is the question of productivity. What do you really want to accomplish? Let’s face it: you can achieve a lot with spreadsheets as long as you have a good mastery of the different range and variety of their uses. Once you understand this, you are sure on your way to increased productivity while improving your decision-making capabilities. Whatever your business needs are, spreadsheets can handle it. From financial planning and product development to compliance, your businesses can make certain decisions from data stored on spreadsheets.

That said, does this actually rule out the need for custom applications for companies and businesses?

When to Choose Custom Applications

Custom applications also have their advantages, and they are preferred when: 

1. Large Datasets Must be Handled: 

When companies have very large amounts of data to handle, they turn to custom apps. They are specifically designed to manage and process large amounts of data efficiently.

2. Complex, Integrated Workflows are Required: 

Custom apps are built for specific business processes, unlike spreadsheets that are generic. This helps to streamline them with automated workflows. In this way, custom apps are better.

3. Real-time, Centralized Collaboration is Needed:

Users can work simultaneously across different devices in spreadsheets. However, the custom apps supersede spreadsheets in terms of collaborative features. Custom apps provide a single source of truth while supporting simultaneous access.

4. Data Security is Paramount: 

When security of data is important or when data is protected from public access, then custom apps are a better choice. They outshine spreadsheets with robust security features like encryption and user authentication.

Conclusion

In conclusion, companies mostly prefer spreadsheets over custom applications because they are immediately available, budget-friendly, familiar, and flexible. Even as a data entry specialist, spreadsheets can handle your work needs. Even a novice with minimal experience can access spreadsheets and perform simple tasks. 

However, custom apps would do better when there is a need for large, complex datasets, robust collaborative networks, and data security. In addition, custom apps are less prone to errors, more suitable for larger, more critical operations.