Spreadsheets have been around since the first 'killer app', VisiCalc, was developed for the Apple II in 1979. The easy user interface with its rows and columns similar to an accountant's paper spreadsheet lead to its rapid adoption as the computer tool of choice for many non IT professionals. Over the years spreadsheets have developed with Microsoft Excel now virtually dominating the market, but the basic concept of cells and formulae has remained very much the same.

Spreadsheets nowadays are used for a lot more than just accounting. They are often used within an organisation for critical decision making analysis. Such use involves significant quantitative modeling or business analytics. However, although easy to set up and use, spreadsheets are intrinsically unsuited for such business critical applications.

There have been a number of surveys and papers on the error-rate of business critical spreadsheet applications, notably the work of Professor Raymond Panko (you've got to do something in Hawaii!) . A study of business critical spreadsheets by some of the major consulting companies showed that an alarming 91% of spreadsheets had significant errors.

Spreadsheets require a lot of user involvement to keep the figures updated and to incorporate modifications to the data model. This becomes an issue as the number or complexity increases, i.e. the spreadsheet model does not 'scale' well. There is a problem getting data in and a problem getting data out. This can be a restriction on growth of an organisation as it finds itself unable to take on more work due to the complexity of the work it is currently handling.

Spreadsheets are not structured in a way that enables data to be easily updated and retrieved. Often the same item of information needs to be entered in each individual spreadsheet or in multiple places. Also there is a wealth of information lying in spreadsheets, that if it was stored in a structured way, could readily be retrieved for analysis and reporting.

Designkey has had years of experience in helping clients overcome the deficiencies of spreadsheet dependency, by developing bespoke solutions or by linking spreadsheet 'calculation engines' to the flexibility and power of database storage. This huge improvement in efficiency has often enabled our clients to dramatically increase the amount of business that they are able to handle with either no increase in work load or even a reduced workload.