Business software. What it is and how to choose
About what a BPMS system is , i.e. programs for business management, I already wrote earlier. I also considered in detail what CRM systems are and how to choose them correctly . And now I want to talk about business software in general. About which programs fall into this category and which ones do not, how to distinguish them and what to look for when choosing.
A clear definition of business software probably does not exist. So try to create it yourself.
Business is created, first of all, for profit. And any software product created for the solution of various business issues, which at the same time directly or indirectly contributes to an increase in profits, is a product for business. And also, if the program does not affect the company's profit in any way, it can be attributed to any category other than business software. Below, I will demonstrate this difference with examples.
Increasing profits can be obtained in two ways:
Now we will consider the rules of choice for the business in more detail, based on what situations you may encounter.
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It is obvious that various gaming and entertainment programs, utilities for computer maintenance, screen savers, optimizers, widgets have nothing to do with business software.
A little harder with other kinds of programs. For example, electronic diaries designed for personal use, all kinds of instant messengers and many other software products can directly or indirectly increase profits, but in fact, they have nothing to do with business programs, since they were created for completely different purposes.
What programs are most often “disguised” as products for business, but are they not?
There are software products that were created really for profit, but their work is effective in a completely different segment.
For example, various specialized helpdesk and project management systems designed for IT companies sometimes try to adapt to accompany sales in quite different sectors of the economy.
Personally, I have seen more than once how the Microsoft Project software product is being used to control sales of a wide variety of goods, ranging from the B2B sector and ending with consumer products. It would seem that everything is very similar: the beginning and the final of the transaction, the customer, the responsible manager, etc. But if this program is ideally suited to accompany projects, because it was created for this purpose, a significant list of shortcomings appears in sales. For example, in Microsoft Project you will not be able to fix the price and amount of the transaction, as well as the different stages and interactions that occur in the process of concluding a transaction for the sale of goods.
The result of such inappropriate use:
It is also extremely difficult to estimate how such a system can improve business efficiency. Along with the pros, there are many drawbacks, and therefore such a use of the system cannot be called a business program.
Now a variety of systems designed for managing tasks, storing files and many others offer business tariffs. They position their product in this way: tariffs for individuals and legal entities.
In fact, this business model is based on the usual delusion, the roots of which go into everyday life.
Remember how an ordinary meat grinder differs from an industrial one? Sizes, power, use of more durable materials, etc. A similar rule applies to domestic and professional power tools and in many other cases.
Software developers transfer the same habitual rule to tariffs in their products. So, when buying a business tariff in the password storage service, you get the opportunity to save more sites, connect other users to your account. And when choosing a business tariff for storing files, you are given more disk space “in the clouds”, no restrictions on the maximum file size, a higher data exchange rate.
In fact, this is all - nothing more than a marketing ploy, designed to draw attention to advanced packages. In reality, it would be correct to call the premium option “Premium” tariffs, since they have very little to do with business, all these functions simply allow more efficient use of the product.
For example, many organizers and task planners, the free versions of which are used for personal purposes, write that if you purchase a business tariff you will be able to manage a team.
When choosing such a planner, you need to understand that any business is, above all, money. And any actions related to cash flow should be clearly regulated, logged and controlled.
The scheduler must have a high degree of data protection, a system of access rights for different users, monitoring and reporting tools, etc. If all this is not, then the program should not be used in business, it is just a toy that is perfect for a team of friends, a student team and other similar goals.
When choosing any software, you need to very clearly understand what tasks it must solve without fail, what criteria to meet, what parameters are key for you.
Let's see, on the basis of which parameters are most often made the choice of software, and what "pitfalls" can wait when choosing by one or another parameter.
When choosing any software, it is very important to choose, first of all, not a beautiful or interesting program, but to seek a solution to one or another problem. This may be the automation of sales management, production management, the creation of a convenient accounting system for goods, the automation of the work of the accounting department, etc.
It is important to understand that to solve different types of problems, you should use different software products. So, if you are faced with the task, to receive at any time the current balances of goods and make sales from the warehouse, you will need a system of warehouse and commodity accounting. If you want to optimize work with clients, you need to implement a CRM system. Accounting will require software to automate the movement of funds and reporting. And to get the actual analytics of production process management, choose a production accounting program.
Here it is very important to understand what exactly you need and limit the choice of software products that belong to the appropriate class of systems for your purposes.
It is important to understand that there are no effective software systems that would perfectly combine everything at once. Some large projects try to position themselves as universal systems, but in reality, attempts to unite too many directions in themselves reduce the quality and flexibility of work with each individual task.
Of course, you can include such “universal” products in the list of suitable programs, but you should always remember that they have their own limitations.
A striking example of such programs is the popular service LastPass, the popular online password storage. The free version is available to everyone, and in 99% of cases it is more than enough for convenient work. Premium gives a bit more features and is required only for lovers of mobile Internet. But the service went further and created LastPass Enterprise - a service for corporate clients that allows you to combine all corporate passwords into a shared storage, where different users only have access to their passwords, and management can assign, change passwords or pass through access rights. It would seem convenient. But, as practice shows:
Of course, there are times when LastPass Enterprise can become a business application. For example, for a large company that is engaged in the creation and filling of sites. The ability to create large quantities of access from one place to content managers and other specialists saves the project manager time, which, of course, increases the efficiency of the company and the company's profit. But these cases are isolated. Most often, the application of LastPass Enterprise is an extra cost.
Another vivid example of such software is not for business - it is also a popular Dropbox repository, which also has a paid package for business. Yes, the storage itself is convenient, many people like it. But it’s very difficult to imagine such a business that needs to keep terrabytes of information “in the clouds” on foreign servers and share it in such volumes. T ... e. All the opportunities coordinated by the buyers of Dropbox business packages can be implemented in the free version or through some other services that are already available to the company.
Consider another example, this is Asana Task Manager. In a certain period of time, I ran into this service, as the business manager needed the means to work together and monitor the implementation of various tasks, and for these purposes I considered three options: Asana, Bitrix 24 and Redmine. Moreover, the customer was inclined to Asana simply because he liked the interface.
In fact, the use of this system in a business environment is highly undesirable. Yes, in the paid version this task manager allows you to work as a team. But there is no high-quality and well-thought-out logging, there is no possibility to somehow modify the system and adapt it for the particular business, there is no API, i.e. opportunities to integrate the system with other software products. As a result, I convinced the company management that Asana is not suitable as a business software. And we as a result introduced Redmine.
By this stage you should have already made a certain list of software products that may be suitable for solving the problem. There can be a lot of selection criteria for a program; I will talk about them a little below.
It is best to choose business software based on the factors that are most important for your team. For example, if many of your employees already know how to work with a particular program, special attention should be paid to it, since you will save time and money on training.
It is also very important that the program without any modifications could solve as many tasks as possible within the framework of the problem set before you. In addition, it is worth paying attention to the price, because business is, above all, money, and no businessman will pay more if you can get the same for a smaller amount.
Many companies make a big mistake by delaying the process of choosing business software almost indefinitely. Of course, I want to choose the best. It is clear that it is difficult to make a choice, if you do not understand the question. But in fact, if you carried out the selection by the method that I suggested to you in this article, i.e. moving from problem to solution, no matter what product you choose from the list, it will be an assistant in your business. And it is better to realize the necessary, even if not the ideal solution and get more profit with it, than to spend time on numerous comparisons, consultations, reflections, and every day, losing real profits.
The most important thing that you should understand: the choice of the product itself and the choice of the artist for its implementation are equivalent. If you choose a good software product and an not very competent service provider, you may encounter various unpleasant situations, for example, you cannot fully implement the software and adapt it to the working conditions of your business. As a result, it turns out that the funds for the purchase of the program have been wasted, since you cannot use it.
And if you chose a good performer, but the software product was chosen incorrectly, the costs that you incurred in purchasing the program are also likely to be unnecessary, since a good conscientious executor will explain to you what the disadvantages of this or that system are for your business and will offer the best option.
Therefore, when choosing a performer, one should be guided, first of all, by his knowledge and experience, which is confirmed by his reputation. In addition, it is very important that this specialist knew the chosen software product well and was able to configure it so that the system could solve all the tasks you need.
If you are going to introduce some specific system, it would seem that the optimal solution would be to use the services of a specialist from among the developers or partners of this product, simply because these people know the program and are able to configure it. In fact, this is not always true.
In Russia, there is a paradoxical situation, one might say, “Asian”. When choosing an artist, businessmen very often are guided by icons (medals) that studios post on websites and in a portfolio: a partner of that partner, a gold silver partner. But you have to understand that the company receives the badge, and a certain person passes the exams. And it's far from a fact that it is the one who passed the exams will work with you. This means that the risk of contact with an incompetent person is high.
Popular software products are studied by a wide range of programmers, here the choice of good specialists will be wider. And nevertheless, be sure to clarify whether there is in the portfolio of the executor a successful experience in implementing the system of your choice, knowledge of the desired program and experience are
the main components of success.
As I already mentioned, the software is chosen according to various parameters, starting from the list of specific possibilities and ending with the price and method of payment for the software product. But before dealing with each criterion separately, I would like to save you from some common mistakes.
Today, English abbreviations have become very popular, which are used both in the names and descriptions of software products. When it comes to business automation, most often it is:
At the same time behind the beautiful names with these popular abbreviations can be hiding anything. Thus, under the heading "CRM-system", a software product is often hidden, which combines a system of project planning and data exchange between employees, i.e. a kind of virtual office, in which not so much attention is paid directly to the work with sales, as is supposed in this CRM system.
And when they write about the choice of the ERP system, in many cases they generally imply a multi-disciplinary accounting system in which CRM, project management and other functions are combined, despite the fact that all this has nothing to do with the concept of ERP. As follows from the above definition, the ERP-system is designed for analytics and general business management at the enterprise level as a whole.
And if a business manager can choose a convenient CRM system from several products of similar functionality, then a competent ERP system can be selected only by an experienced specialist.
Any software systems are divided into several categories:
Personally, I consider the most impractical systems to be a closed code, in which only a developer can make edits. Even if you now have a program that perfectly fits your needs, you will have to change the software product for any, even the smallest changes in the operation of your business.
The most convenient way to work with open source software systems. Such programs can be perfectly tailored to the peculiarities of this or that business, and if necessary, you will also have access to any adjustments, for which you simply select a good performer.
I came across such systems when working with foreign partners. In recent years, I actively worked with the Finns, Italians, Germans. And everywhere I watched very old business automation systems. At first I was horrified, because in comparison with domestic developments, which are updated several times a year, these programs did not look very attractive and seemed “outdated”.
The real reason for the use of such old systems, I did not immediately understand. But it is simple and completely subject to the requirements of expediency:
And it doesn’t matter how modern the software interface looks, how long the company started using it, and how much the employees like it. It is important that the system is ideally suited to all the needs of the company, and management receives all the necessary information for effective management.
Partially open source is the most common option. Many systems allow you to customize transactions, processes, tasks, integrate the software product with other systems and much more. This approach allows developers to control the sales and distribution of the program, i.e. make a profit and fight against “piracy”, and buyers have enough flexibility to customize the program for the needs of the company.
Any software today is divided into two types according to the type of license and features of further work with the product:
To calculate which of the software products will be more profitable, it is necessary to take into account not only the cost of the program, but also possible associated costs, among which when choosing a Standalone solution, it is necessary to include the purchase or rental of servers, as well as equipment and program maintenance (backup, database integrity check, etc.). As a result, the monthly payment for Saas solutions is often more attractive. However, the cases are different, and not always the decision depends only on the price. Sometimes confidentiality is important, the ability to work without an Internet connection or some other considerations.
This parameter is largely due to the presence of open source, but still it should be separated separately, since integration is very important. The bottom line is that you can work together and automatically exchange data between different systems that you already use and plan to use in the company. It can be the exchange of a list of clients, as well as information about orders between the CRM system and the 1C accounting system, it can be the receipt of requests from the site in automatic mode, work with telephony through the CRM system, etc.
It is best to choose one of the well-known software products that have their own history. The younger the program, the higher the likelihood that it will be many not detected errors. The more people use the software, the fewer shortcomings in it remain, the more errors have already been fixed.
Any business software must have a custom access level for different employees, as well as be highly secure in storing and transferring data. Today, a significant number of users transmit information via the Internet and use “cloud-based” SAAS solutions for solving business problems. And because security issues should be one of the first places.
Any management reporting is necessary for decision making. And the ability to generate all the necessary reports, as well as create new ones in a short time, which will help to look at the company's work from another point of view, is very important for effective work. Even the most convenient system, which does not provide a wide range of reports, will lose less colorful, but with well-developed analytics.
Any modern software product should work effectively not only on stationary desktops, but also on various mobile devices. This requires a modern rhythm of life and business style. Of course, in certain cases this requirement is not mandatory, but it is better that the mobile version is already today.
Quality software usually has a well developed community. Having a community allows you to quickly find a specialist if necessary, as well as get advice and solutions to many problems.
Business software must make a profit either by increasing sales, or by reducing the costs of the company. That is why competent implementation of such programs always pays off and even becomes profitable.
It is very important not only to choose a good system, but also to set it up qualitatively so that it really helps automate the business processes inherent in a particular company.
Many systems are not bad in themselves, but bad in that they are not fully implemented. Therefore, whatever system and contractor you choose, you must always plan all the stages of implementation and bring the process to the end. Only in this case, your cost of work automation will pay off and make a profit.
What is business software?
A clear definition of business software probably does not exist. So try to create it yourself.
Business software is any programs and services that make the company that uses them profit.
Business is created, first of all, for profit. And any software product created for the solution of various business issues, which at the same time directly or indirectly contributes to an increase in profits, is a product for business. And also, if the program does not affect the company's profit in any way, it can be attributed to any category other than business software. Below, I will demonstrate this difference with examples.
Increasing profits can be obtained in two ways:
- Increase turnover at constant costs. Such software includes, first of all, various CRM systems, as well as ERP programs. As a result of competent implementation of CRM, the sales department starts to work more efficiently, applications and requests from customers are not lost, the average bill is growing simply by improving the quality control of each manager. And the introduction of software helps the manager to identify "thin" places in the construction of business processes, eliminate duplication of functions, optimize work, increase the efficiency of all processes and ultimately increase profits at constant costs.
- Reduce costs while maintaining turnover. Here, the most vivid example will be helpdesk systems, the introduction of which allows working more effectively with clients and partners, automating the processes of filling out applications, creating a package of documents, etc. As a result, fewer employees can successfully cope with the same amount of work as before. And even with an increase in sales, additional jobs will not have to be created.
Now we will consider the rules of choice for the business in more detail, based on what situations you may encounter.
')
What is NOT business software
It is obvious that various gaming and entertainment programs, utilities for computer maintenance, screen savers, optimizers, widgets have nothing to do with business software.
A little harder with other kinds of programs. For example, electronic diaries designed for personal use, all kinds of instant messengers and many other software products can directly or indirectly increase profits, but in fact, they have nothing to do with business programs, since they were created for completely different purposes.
What programs are most often “disguised” as products for business, but are they not?
Usefulness specifically for your business, or what will happen if you use software not for your business
There are software products that were created really for profit, but their work is effective in a completely different segment.
For example, various specialized helpdesk and project management systems designed for IT companies sometimes try to adapt to accompany sales in quite different sectors of the economy.
Personally, I have seen more than once how the Microsoft Project software product is being used to control sales of a wide variety of goods, ranging from the B2B sector and ending with consumer products. It would seem that everything is very similar: the beginning and the final of the transaction, the customer, the responsible manager, etc. But if this program is ideally suited to accompany projects, because it was created for this purpose, a significant list of shortcomings appears in sales. For example, in Microsoft Project you will not be able to fix the price and amount of the transaction, as well as the different stages and interactions that occur in the process of concluding a transaction for the sale of goods.
The result of such inappropriate use:
- The control of the sales department is not sufficient, as the management cannot receive and track full information on each transaction in a timely manner. No reports needed, some important information is missing.
- The manager (seller) is forced to manually enter into the system or record separately important information. Insufficient automation leads to inefficient use of working time and to various problems associated with human factors.
It is also extremely difficult to estimate how such a system can improve business efficiency. Along with the pros, there are many drawbacks, and therefore such a use of the system cannot be called a business program.
Products that position themselves as business software but are not
Now a variety of systems designed for managing tasks, storing files and many others offer business tariffs. They position their product in this way: tariffs for individuals and legal entities.
In fact, this business model is based on the usual delusion, the roots of which go into everyday life.
Remember how an ordinary meat grinder differs from an industrial one? Sizes, power, use of more durable materials, etc. A similar rule applies to domestic and professional power tools and in many other cases.
Software developers transfer the same habitual rule to tariffs in their products. So, when buying a business tariff in the password storage service, you get the opportunity to save more sites, connect other users to your account. And when choosing a business tariff for storing files, you are given more disk space “in the clouds”, no restrictions on the maximum file size, a higher data exchange rate.
In fact, this is all - nothing more than a marketing ploy, designed to draw attention to advanced packages. In reality, it would be correct to call the premium option “Premium” tariffs, since they have very little to do with business, all these functions simply allow more efficient use of the product.
For example, many organizers and task planners, the free versions of which are used for personal purposes, write that if you purchase a business tariff you will be able to manage a team.
When choosing such a planner, you need to understand that any business is, above all, money. And any actions related to cash flow should be clearly regulated, logged and controlled.
The scheduler must have a high degree of data protection, a system of access rights for different users, monitoring and reporting tools, etc. If all this is not, then the program should not be used in business, it is just a toy that is perfect for a team of friends, a student team and other similar goals.
How to choose business software
When choosing any software, you need to very clearly understand what tasks it must solve without fail, what criteria to meet, what parameters are key for you.
Let's see, on the basis of which parameters are most often made the choice of software, and what "pitfalls" can wait when choosing by one or another parameter.
What problem will you solve
When choosing any software, it is very important to choose, first of all, not a beautiful or interesting program, but to seek a solution to one or another problem. This may be the automation of sales management, production management, the creation of a convenient accounting system for goods, the automation of the work of the accounting department, etc.
So, the first thing you need to clearly formulate the task that will solve the software product.
Determine the class of the system
It is important to understand that to solve different types of problems, you should use different software products. So, if you are faced with the task, to receive at any time the current balances of goods and make sales from the warehouse, you will need a system of warehouse and commodity accounting. If you want to optimize work with clients, you need to implement a CRM system. Accounting will require software to automate the movement of funds and reporting. And to get the actual analytics of production process management, choose a production accounting program.
Here it is very important to understand what exactly you need and limit the choice of software products that belong to the appropriate class of systems for your purposes.
It is important to understand that there are no effective software systems that would perfectly combine everything at once. Some large projects try to position themselves as universal systems, but in reality, attempts to unite too many directions in themselves reduce the quality and flexibility of work with each individual task.
That is why it is best to limit the choice to programs that are designed to solve the task you set, and not to chase versatility or a wide range of functions.
Of course, you can include such “universal” products in the list of suitable programs, but you should always remember that they have their own limitations.
A striking example of such programs is the popular service LastPass, the popular online password storage. The free version is available to everyone, and in 99% of cases it is more than enough for convenient work. Premium gives a bit more features and is required only for lovers of mobile Internet. But the service went further and created LastPass Enterprise - a service for corporate clients that allows you to combine all corporate passwords into a shared storage, where different users only have access to their passwords, and management can assign, change passwords or pass through access rights. It would seem convenient. But, as practice shows:
- If you disable employee access to certain resources, you will also need to delete the account or change the password on this resource, since any LastPass user can view and copy the available passwords, i.e. a simple shutdown in LastPass does not provide the desired level of security. As a result, the use of corporate LastPass not only does not reduce, but even increases the workload of the person responsible for information security.
- LastPass Enterprise is a paid application, i.e. the company itself pays for the program, which requires additional time spent by the responsible specialist, but does not give any advantages in comparison with the usual scheme: the password is created in the desired program and transferred personally to the employee, who, in turn, decides, he remembers this password, writes to notepad or use the free version of LastPass.
Of course, there are times when LastPass Enterprise can become a business application. For example, for a large company that is engaged in the creation and filling of sites. The ability to create large quantities of access from one place to content managers and other specialists saves the project manager time, which, of course, increases the efficiency of the company and the company's profit. But these cases are isolated. Most often, the application of LastPass Enterprise is an extra cost.
Another vivid example of such software is not for business - it is also a popular Dropbox repository, which also has a paid package for business. Yes, the storage itself is convenient, many people like it. But it’s very difficult to imagine such a business that needs to keep terrabytes of information “in the clouds” on foreign servers and share it in such volumes. T ... e. All the opportunities coordinated by the buyers of Dropbox business packages can be implemented in the free version or through some other services that are already available to the company.
Consider another example, this is Asana Task Manager. In a certain period of time, I ran into this service, as the business manager needed the means to work together and monitor the implementation of various tasks, and for these purposes I considered three options: Asana, Bitrix 24 and Redmine. Moreover, the customer was inclined to Asana simply because he liked the interface.
In fact, the use of this system in a business environment is highly undesirable. Yes, in the paid version this task manager allows you to work as a team. But there is no high-quality and well-thought-out logging, there is no possibility to somehow modify the system and adapt it for the particular business, there is no API, i.e. opportunities to integrate the system with other software products. As a result, I convinced the company management that Asana is not suitable as a business software. And we as a result introduced Redmine.
Important: when choosing a software for business, nothing can replace the experience of a specialist who is familiar with different software. Even an IT specialist, if he has not studied various software options for various business tasks, may fail to notice in time important shortcomings for future work. Therefore, in case of any doubt, it is better to get professional advice. This is more profitable than reinstalling another system..
Selection of software
By this stage you should have already made a certain list of software products that may be suitable for solving the problem. There can be a lot of selection criteria for a program; I will talk about them a little below.
It is best to choose business software based on the factors that are most important for your team. For example, if many of your employees already know how to work with a particular program, special attention should be paid to it, since you will save time and money on training.
It is also very important that the program without any modifications could solve as many tasks as possible within the framework of the problem set before you. In addition, it is worth paying attention to the price, because business is, above all, money, and no businessman will pay more if you can get the same for a smaller amount.
No matter what principles you follow when choosing a specific program, remember the most important thing: the time to implement this stage should be strictly limited!
Many companies make a big mistake by delaying the process of choosing business software almost indefinitely. Of course, I want to choose the best. It is clear that it is difficult to make a choice, if you do not understand the question. But in fact, if you carried out the selection by the method that I suggested to you in this article, i.e. moving from problem to solution, no matter what product you choose from the list, it will be an assistant in your business. And it is better to realize the necessary, even if not the ideal solution and get more profit with it, than to spend time on numerous comparisons, consultations, reflections, and every day, losing real profits.
Selecting a performer or company
The most important thing that you should understand: the choice of the product itself and the choice of the artist for its implementation are equivalent. If you choose a good software product and an not very competent service provider, you may encounter various unpleasant situations, for example, you cannot fully implement the software and adapt it to the working conditions of your business. As a result, it turns out that the funds for the purchase of the program have been wasted, since you cannot use it.
And if you chose a good performer, but the software product was chosen incorrectly, the costs that you incurred in purchasing the program are also likely to be unnecessary, since a good conscientious executor will explain to you what the disadvantages of this or that system are for your business and will offer the best option.
Therefore, when choosing a performer, one should be guided, first of all, by his knowledge and experience, which is confirmed by his reputation. In addition, it is very important that this specialist knew the chosen software product well and was able to configure it so that the system could solve all the tasks you need.
Do not make the mistake of many businessmen: do not make castings and do not try to choose a performer, focusing solely on price.
If you are going to introduce some specific system, it would seem that the optimal solution would be to use the services of a specialist from among the developers or partners of this product, simply because these people know the program and are able to configure it. In fact, this is not always true.
In Russia, there is a paradoxical situation, one might say, “Asian”. When choosing an artist, businessmen very often are guided by icons (medals) that studios post on websites and in a portfolio: a partner of that partner, a gold silver partner. But you have to understand that the company receives the badge, and a certain person passes the exams. And it's far from a fact that it is the one who passed the exams will work with you. This means that the risk of contact with an incompetent person is high.
Popular software products are studied by a wide range of programmers, here the choice of good specialists will be wider. And nevertheless, be sure to clarify whether there is in the portfolio of the executor a successful experience in implementing the system of your choice, knowledge of the desired program and experience are
the main components of success.
Remember: quality is not cheap, and you are not so rich as to buy services at reduced prices.
Criteria for choosing business software
As I already mentioned, the software is chosen according to various parameters, starting from the list of specific possibilities and ending with the price and method of payment for the software product. But before dealing with each criterion separately, I would like to save you from some common mistakes.
Abbreviations: trust but verify
Today, English abbreviations have become very popular, which are used both in the names and descriptions of software products. When it comes to business automation, most often it is:
CRM (Customer Relationship Management) - application software for organizations designed to automate strategies for interacting with customers (clients), in particular, to increase sales, optimize marketing and improve customer service by storing customer information and history of relationships with
these, establish and improve business processes and then analyze the results. Wikipedia
ERP (Enterprise Resource Planning, enterprise resource planning) - an organizational strategy for integrating production and operations, human resource management, financial management and asset management, focused on continuous balancing and optimization of enterprise resources through a specialized integrated application software package that provides a common data model and processes for all areas of activity. ERP-system - a specific software package that implements the strategy of ERP. Wikipedia
At the same time behind the beautiful names with these popular abbreviations can be hiding anything. Thus, under the heading "CRM-system", a software product is often hidden, which combines a system of project planning and data exchange between employees, i.e. a kind of virtual office, in which not so much attention is paid directly to the work with sales, as is supposed in this CRM system.
And when they write about the choice of the ERP system, in many cases they generally imply a multi-disciplinary accounting system in which CRM, project management and other functions are combined, despite the fact that all this has nothing to do with the concept of ERP. As follows from the above definition, the ERP-system is designed for analytics and general business management at the enterprise level as a whole.
And if a business manager can choose a convenient CRM system from several products of similar functionality, then a competent ERP system can be selected only by an experienced specialist.
Open and closed code
Any software systems are divided into several categories:
- Closed system, i.e. software product, improvements in which are possible only by the developers.
- An open source system, i.e. a program that any programmer can modify.
- A partially open source system, i.e. a product in which the kernel and some key components have a closed code and can be updated only by developers, and most of the user components can be improved by any programmer.
Personally, I consider the most impractical systems to be a closed code, in which only a developer can make edits. Even if you now have a program that perfectly fits your needs, you will have to change the software product for any, even the smallest changes in the operation of your business.
The most convenient way to work with open source software systems. Such programs can be perfectly tailored to the peculiarities of this or that business, and if necessary, you will also have access to any adjustments, for which you simply select a good performer.
I came across such systems when working with foreign partners. In recent years, I actively worked with the Finns, Italians, Germans. And everywhere I watched very old business automation systems. At first I was horrified, because in comparison with domestic developments, which are updated several times a year, these programs did not look very attractive and seemed “outdated”.
The real reason for the use of such old systems, I did not immediately understand. But it is simple and completely subject to the requirements of expediency:
Each of these old systems is perfectly tailored to the requirements of a particular business.
And it doesn’t matter how modern the software interface looks, how long the company started using it, and how much the employees like it. It is important that the system is ideally suited to all the needs of the company, and management receives all the necessary information for effective management.
Partially open source is the most common option. Many systems allow you to customize transactions, processes, tasks, integrate the software product with other systems and much more. This approach allows developers to control the sales and distribution of the program, i.e. make a profit and fight against “piracy”, and buyers have enough flexibility to customize the program for the needs of the company.
Price and type of software: Saas and Standalone
Any software today is divided into two types according to the type of license and features of further work with the product:
- Saas is a "cloud" technology, in which the software product is on the servers of the developer. Most often, there is stored and customer data. In this case, the payment is made on a monthly basis in small amounts. In this case, you get ongoing maintenance and updates from the developer, help, server space, etc.
- Standalone is buying a “boxed” solution, i.e. you buy a software product once, get full access to it, but installing the program on computers, purchasing and supporting servers for data storage becomes the responsibility of the buyer. Also, possible modifications are made either by the buyer, or - for a fee.
To calculate which of the software products will be more profitable, it is necessary to take into account not only the cost of the program, but also possible associated costs, among which when choosing a Standalone solution, it is necessary to include the purchase or rental of servers, as well as equipment and program maintenance (backup, database integrity check, etc.). As a result, the monthly payment for Saas solutions is often more attractive. However, the cases are different, and not always the decision depends only on the price. Sometimes confidentiality is important, the ability to work without an Internet connection or some other considerations.
System Integration Capabilities
This parameter is largely due to the presence of open source, but still it should be separated separately, since integration is very important. The bottom line is that you can work together and automatically exchange data between different systems that you already use and plan to use in the company. It can be the exchange of a list of clients, as well as information about orders between the CRM system and the 1C accounting system, it can be the receipt of requests from the site in automatic mode, work with telephony through the CRM system, etc.
Software Reliability
It is best to choose one of the well-known software products that have their own history. The younger the program, the higher the likelihood that it will be many not detected errors. The more people use the software, the fewer shortcomings in it remain, the more errors have already been fixed.
Security and Access Configuration
Any business software must have a custom access level for different employees, as well as be highly secure in storing and transferring data. Today, a significant number of users transmit information via the Internet and use “cloud-based” SAAS solutions for solving business problems. And because security issues should be one of the first places.
Reporting
Any management reporting is necessary for decision making. And the ability to generate all the necessary reports, as well as create new ones in a short time, which will help to look at the company's work from another point of view, is very important for effective work. Even the most convenient system, which does not provide a wide range of reports, will lose less colorful, but with well-developed analytics.
High-quality work on mobile devices
Any modern software product should work effectively not only on stationary desktops, but also on various mobile devices. This requires a modern rhythm of life and business style. Of course, in certain cases this requirement is not mandatory, but it is better that the mobile version is already today.
Having a product community
Quality software usually has a well developed community. Having a community allows you to quickly find a specialist if necessary, as well as get advice and solutions to many problems.
Summary
Business software must make a profit either by increasing sales, or by reducing the costs of the company. That is why competent implementation of such programs always pays off and even becomes profitable.
It is very important not only to choose a good system, but also to set it up qualitatively so that it really helps automate the business processes inherent in a particular company.
Many systems are not bad in themselves, but bad in that they are not fully implemented. Therefore, whatever system and contractor you choose, you must always plan all the stages of implementation and bring the process to the end. Only in this case, your cost of work automation will pay off and make a profit.
Source: https://habr.com/ru/post/299036/
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