In 2025, a number of schools moved away from using SIMs FMS as their school finance system – one of the main reasons being that the school changed to a new Management Information System (MIS). It was understood that to keep SIMs FMS, there would be a need to pay for SIMs MIS as well as the new MIS that the school had changed too. And why would you pay for an MIS system that you wouldn’t be using?
But the truth is that schools can keep and pay just for SIMs FMS, if deciding to move away from SIMs MIS. The only data that links from SIMs MIS to SIMs FMS is the staff contract information for finance purposes and commitments on the finance system if this is used.
The only way a new MIS system will link to a new school finance system is if both were purchased from the same provider. In reality, what schools have currently purchased is a new MIS package and finance system from two different providers, so the salary information will not link. But there is no need to worry, as salary projections can be managed through the Access Budgeting Software that is purchased with your School Finance Support Service Level Agreement.
What happens with commitments for salaries on the new school finance system? You will find that there won’t be any committed expenditure, the monthly payroll costs will be input using a journal so you will see actual costs against the cost centre only. Forecasted expenditure will form part of your budget monitoring and the information will be obtained from the Access Budgeting Software.
Checking actual monthly payroll against current contracts will all be managed through Access Budgeting Software and similar ‘salary variation check’ reports can still be run by your School Finance Consultant so you are still adhering to audit processes.
It is important to note that the Access Budgeting is just a projection of your staffing costs. In your new MIS system, you will need to ensure that staffing contracts are up to date and accurate as per the current contract with your payroll provider as it will be the report from your new MIS system that is used in your workforce census submission.
If you still decide you wish to move away from SIMs FMS and procure a new school finance system, please consider the following:
Essential Steps for Moving to a New School Finance System
- Evaluating the current system
It is useful to chart not only the downsides of your current school finance system, but what it does well. You want the new finance system to enhance what you already have and add value, such as being able to complete finance processes easier and quicker, more interactive reporting, and better visual representation of data – to name a few.
With this in mind, compare the drawbacks of your current system with the proposed new finance system to make sure that it can improve in these areas.
It would be useful to write down a list of key tasks that you currently complete and discuss with the potential new provider to find out how they are implemented on the new system. Make sure the service provider understands your requirements. Each local authority is different in how they pay the monthly funding into the school’s bank account. Find out how easy this is to manage on the new system.
Here is an example of key tasks to consider and evaluate:
| New Provider ‘A’ | |||
| Better | Same | Not Better | |
| Entering purchase orders and invoices | X | ||
| Process for entering direct debits | X | ||
| Process for entering cash income | X | ||
| Adding cash book journals | X | ||
| Correcting errors | X | ||
| Reporting | X | X | |
| VAT returns | |||
| Bank Reconciliation | |||
| Adding an advance from the L.A. | |||
- Word of mouth
Speak to other schools and arrange a visit to see how the proposed new system works in their setting. Find out how the implementation process went and if the new system meets their needs and they are happy with their choice.
- Users
Remember it’s not just the headteacher’s decision. You need to consider the staff that are going to use the new school finance system. They need to be included in any demonstrations of the new system, so they have the opportunity to ask key questions about how to use it.
Find out what training is available for staff and how comprehensive it is, whether there is enough guidance and resources available to support the training. Think about the time you need to allocate for staff to be able to complete the training.
Clear communication with staff is key – keep them informed about the reasons to move systems, when you plan to implement it, and what their role in the process will be. You may need staff to be involved in data cleansing. It should be a whole team approach. Change can be stressful for staff, but keeping them up to date as you go through the process will help to ease the transition.
- Time
Don’t underestimate the amount of time staff will need to implement the change. Don’t assume the service provider will do everything for you. They will need information from the team in an agreed timeframe – if this isn’t met, it will affect the whole changeover.
You will need to set aside time for staff to be able to complete the training. Of course, this is difficult in an already busy school day. Can they complete some training after work hours and pay them overtime? This may seem like an unnecessary expense, but if staff are trained effectively, without interruptions, they will be able to use the school finance system more quickly and effectively when it is ready to be implemented.
- Cost
Are you clear about the full cost implication of the new software? If your service provider has agreed an introductory reduced first year cost, are you aware of the full cost implications in future, including on-going support?
Check whether you will get a fully operational setup of the software or whether you will need to buy additional add-on’s to be able to carry out certain tasks, such as a reporting suite. Check the cost of the additional extras.
- Support
Continued support for your staff is key, especially in the first few months of using the new system. Find out what support is available during the implementation and training stage, but also in the longer-term.
If, three weeks into using the system you need support, what does it look like? Does the service provider have a dedicated support telephone line or is it web-based? Being able to talk to a member of the support team on the telephone is essential to get queries resolved quickly.
- Data cleansing
This is essential. The system you are currently using will hold a lot of information that is no longer needed. You don’t want to move everything to the new system without proper cleansing first.
Focus on the importing and implementation of your cost centres and ledger codes.
Your new provider will ask for a number of reports which detail codes already set up on your existing system such as cost centres, ledger codes, and mappings.
This is an ideal time to cleanse your cost centres and ledger codes and ensure that you start on your new system with a streamlined version of what you have currently been using. You really need to have a think about what you want to report on in the future.
Another main consideration is that ledger codes need to be mapped to a CFR code.
Cost centres can be re-numbered to follow sequentially. Ledger codes need to remain the same as it is these codes that the local authority pick up on when you submit your VAT return. You can change the description of ledger codes to make it easier to code transactions to.
- Implementation and Testing
If possible and if budget allows it is advisable to run the new system, whilst still having access to the old system to ensure that you have time to test the new software and iron out any teething problems.
If you can still use your old system to carry out key finance tasks this is advisable so that there is no loss in finance productivity if the new system is not ready.
Set aside adequate time to test your software. Meet with other staff to see how they are getting on and if they have had any problems that need to be ironed out.
Our School Finance team has over twenty years’ experience supporting schools and trusts, with extensive knowledge of FMS6, Access Education and SIMS.
For further advice on school finance systems and procedures, please get in touch.
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