Business software and nightmares

I just read a blog by Michael Krigsman called "7 common lies told by enterprise software sales people". Not surprisingly, the problems that he identifies also are common to small and medium sized businesses. The differences are that most small and medium sized businesses don't have the money to waste on massive failures. Their failures are typically much smaller (or they would go out of business). They also tend to be more cautious because the money is often coming out of the owners pocket.

However, the problems that he identifies are virtually identical for small businesses. For example:

• Some software may be better than others (mostly the supplier), but unless significant time is spent understanding your business, don't trust anybody who says theirs can best support your needs.
• If they tell you it will not take much of your resources, run for the hills. It is your business. It will take your resources.
• My solution is supported well.
• My solution will save you time and money. That may be true, if you invest the time to understand what the software can do for you.
• Don't focus on enhancements. They cost you time and money.
• The cost of purchase is a small part of the overall cost. Most suppliers are willing to negotiate a deal on purchase. The real cost is ongoing costs and most businesses don't manage this very well.
• Most large software companies have a rigid structured contract. Many software contracts are poorly written and often not reviewed by a lawyer.

And we wonder why many software projects fail? Check out my article on the cost of software on my website.