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When Christopher Columbus was thinking of sailing west to reach the east, he had to overcome some disturbing myths of his time regarding distant off-shore sailing. These myths included ships being swallowed by sea monsters, getting entangled in vast islands of floating seaweed, the lack of off-shore winds, etc. Just like Christopher Columbus, you must get a grip on the difference between reality and fiction. Getting a grip will help to eliminate the intimidation and fear behind making difficult decisions. The same is true when companies set sail into the vast and complicated ocean of enterprise software selection. There are plenty of myths as well. Enterprise software includes ERP, SCM, CRM, WMS, PLM, etc. for all industries.
The intent of this document is to identify and dispel some of the myths surrounding the selection of enterprise software. These myths have been around since the dawn of enterprise software and are by-products from years of struggles between users and suppliers. It is important to understand these myths, because when you understand the difference between fiction and reality, you can make a more rational and balanced purchasing decision. The truth will free you from the entanglement created from years of rumors and misconceptions.
ENTERPRISE SOFTWARE SELECTION MYTHS
The following is a list of myths that have been passed around for years regarding the selection of enterprise software along with some thoughts to help dispel these misconceptions:
Myth 1: The more functionality the better
I will have to confess, I have assisted many clients into the functionality trap. Most companies start off looking for enterprise software products with vast functionality. You would think selecting an enterprise software product with a boatload of functionality would be a good decision, right? Not necessarily. In the past this seemed to be a good idea. But now with thousands of business processes, the products have grown out of control. We are now in the age of monolithic software. At one time we could get our arms around enterprise software and take ownership. This is not necessarily the case anymore. Software has become gigantic and complicated. Keep in mind, the more functionality, the larger the product and the more it will cost to own, operate, implement and maintain. Bigger software translates into bigger hardware, bigger staff and more effort to upgrade, patch and maintain. You must manage every line of code. The more code in the product, the more you will need to maintain. Therefore, if the decision is a monolithic product, prepare appropriately. Or, find one or more products to satisfy your specific needs. Several little products may work better than a serious overkill.
Myth 2: Bigger is better
A lot of companies are making the safe decision to purchase enterprise software from one of the top tier suppliers. Big software suppliers may seem safer, but not necessarily better. There is a dilemma to large software suppliers. It’s the age-old question: “Do you want to be a big fish in a little pond or a little fish in a big pond?” The bigger the software supplier, the bigger the pond. Big ponds translate into less input to the product direction and functionality, an impersonal relationship, more people to deal with, difficulty in getting attention and the cost it takes to deal with all the red tape. On the other hand, there could be some real advantages when you are a large fish in a little pond. These considerations should be clearly understood up front before you make any purchasing decision.
Regardless of how much these big suppliers assure you, remember, you are just one of thousands. Trying to get attention on a critical problem with gigantic suppliers is like a mosquito on the back of a dinosaur. Unless the owner is a good friend, plan on being treated like one of thousands.
When making an enterprise software selection decision, don’t forget the little suppliers. They can bring some real value to the equation. And, it may just turn out to be a great relationship. Don’t forget, all big software suppliers were small at one time. Someone took a chance when they were small long before they became big. Imagine being an early adopter of one of the big guys 20 years ago—now that would have been a great decision.
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