Is your new software providing new value?

Many software suppliers claim to have the better answer, but is it just more of the same? When a business implements new software, they encounter reductions in productivity caused by the lack of familiarity with the software, the learning curve, the increased stress due to the change.

A business needs to get value from this type of change. In a blog on ZDNet, the writer sates that software companies cannot continue to focus on new whiz bang features, but must contribute real business value, something that is shown on the bottom line.

I agree. But how does a small business assess that business value from all of the statements that are made by the software suppliers? How do they know what contributes to business value?

The first stage is to understand the real business need. Every business runs on its business processes. If value is to be contributed, the business process must improve. Improvements can come in terms of cost reduction (less to deliver existing returns), productivity (more work for the same cost), quality (less returns or more sales), cash flow, etc.

The first question is: "Can your existing software be used to deliver that value?". If it can, then use it! That delivers increased value for a flat software cost and no loss of productivity. That value alone may be enough to stay with the current software. If your current software can't do it all, but can do some, then you must evaluate the additional value possible against the cost of not only the new software, but also the loss of productivity.

To check out that writer's perspective, click here.