IT Manager how-to

How to Evaluate a New Software Vendor

Careful vendor selection prevents costly mistakes.

Updated By the Career Education Institute Curriculum Team
Quick answer

Careful vendor selection prevents costly mistakes. In short: define; shortlist; run, then complete the remaining steps below.

Step by step

  1. Define requirements and success criteria.

  2. Shortlist vendors.

  3. Run demos and reference checks.

  4. Review security and compliance.

  5. Compare total cost of ownership.

  6. Negotiate contract terms.

Safety reminders for IT managers

  • Maintain tested backup and disaster recovery plans
  • Enforce strong security practices
  • Protect sensitive data and privacy
  • Manage team workload to prevent burnout

IT strategy · ITSM · SLA · Incident management · Change management · Disaster recovery: see the full IT manager glossary.

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