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Could the Recession Be Good for Enterprise Software?

Posted February 20, 2009 10:49 AM

From PC World:

The recession has companies worldwide scrambling to rein in technology costs with desperate vendors responding in turn, offering deep license discounts, providing low-cost financing and proclaiming ever more shrilly that their products in fact save customers money.

But there is more than trench warfare going on, according to a range of observers. When the economy turns around, a number of changes, many that benefit users, will have come to the IT industry.

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Re: Could the Recession Be Good for Enterprise Software?

02/20/2009 11:50 AM

Anything that will force companies to re-examine the entire ERP issue will benefit the planet.

These packages are always sold as turn-key, they do everything, and we will be onsite to make sure.

Well they are on-site - for up to a year after, on the customer's dime, still trying to finish the integration to make it do anything, much less everything. SAP has been one of the worst for project run-on. I have friends who have made careers of *fixing* ERP installs.

If tighter budgets make companies look at the experience of their fellows rather than listen to sales pitches, perhaps the ERP dream will be forced to come true.

But ERP transition has bankrupt companies, who rarely ever have a Plan B. Just piss-poor planning over all. Were these deals done through a department rather than at the top, better planning would have been demanded, penalties for performance would have been designed into the integration, and running side-by-side and other error mitigation plans would have been laid.

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Re: Could the Recession Be Good for Enterprise Software?

02/20/2009 1:25 PM

If they don't get bailed out by the government, the bloated companys would stream line their operations if they want to survive.

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