Spreadsheets are good tools. They are flexible, familiar and quick to change, which is why so many businesses run on them. The question is not whether spreadsheets are bad. It is whether this one is still doing a job a spreadsheet can do well.
Signs a spreadsheet is under strain
One or two of these is normal. Several at once usually means the spreadsheet is carrying more than it should.
- Two people edit at once and one overwrites the other.
- Several copies exist, with names like "final" and "final v2", and nobody is sure which is right.
- The same details are typed into the sheet and into another system.
- You cannot tell who changed a number, or when.
- Some people should see prices or personal details, and others should not, but everyone with the file sees everything.
- Answering "what is the status of this job?" means searching several tabs.
- One person understands the formulas, and everyone else is afraid to touch them.
What a spreadsheet does well, and where it struggles
| Need | A spreadsheet | Purpose-built software |
|---|---|---|
| Quick analysis and one-off calculations | Excellent | Usually more effort than it is worth |
| One or two people, low stakes | Works well | Often unnecessary |
| Several people editing the same records | Conflicts and overwrites are likely | Designed for it |
| Different people seeing different data | Hard to control reliably | Permissions are a standard feature |
| A trail of who changed what | Limited, depends on the tool | Can be built in |
| Rules such as "no booking without a deposit" | Possible but fragile | Enforced consistently |
| Flexibility to change your mind | Very high | Changes need to be planned |
A decision checklist
Tick the statements that are true for you. Then read the result below the list.
- More than one person needs to update the same records regularly.
- A mistake in the data would cost you money, time or a customer.
- The same information is entered in two or more places.
- Some information must be restricted to certain people.
- You need to know who did what, and when.
- There are clear rules, such as approval steps, that the sheet cannot enforce.
Zero or one ticked: keep the spreadsheet and tidy it. Two or three: improve the spreadsheet and look at existing software built for your kind of work. Four or more: existing software or a small custom app is worth a serious look, but check existing software first.
Try these first
Many spreadsheet problems have a cheaper fix than replacing the spreadsheet.
- Give it one owner who decides how it is structured and who may change it.
- Keep one row per thing, such as one row per job, and one tab per kind of thing. Avoid a new tab for every month or customer.
- Use validation and drop-down lists so people pick from set choices instead of typing free text.
- Protect the formulas and keep the data entry areas separate.
- Use shared, cloud-based editing rather than emailing copies around, and learn where your tool keeps its version history.
- Check that backups exist and that you know how to restore one.
Existing software before custom software
Before you consider a custom app, look for software built for your kind of work, such as job management, booking or customer records. It already handles the common cases and someone else maintains it. Make a short list of the things you cannot compromise on, then test each product against that list rather than against its marketing page.
A custom app starts to make sense when your process is genuinely specific, when off-the-shelf tools force awkward workarounds, or when the cost and limits of several subscriptions add up. It also brings responsibilities: someone must keep it secure, updated and backed up. The guide to life after launch explains what that involves.
When the problem is bigger than the spreadsheet
Ask someone experienced when:
- Your data is messy and must be moved into something new without losing history.
- People handle sensitive information, so permissions need careful design.
- The sheet is linked to other systems, as covered in stopping duplicate data entry.
- You are not sure what the first version should do. A scoped first version keeps the project small.
Whichever way it goes, settle it before anyone writes code: a tidier spreadsheet, an existing product and a small custom build are very different commitments.