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He then oddly goes on to talk about the buy vs build argument for things like Oracle/SAP financials/ERP - which are deeply hated by those that use them (granted
by michaelneale 17y ago
He then oddly goes on to talk about the buy vs build argument for things like Oracle/SAP financials/ERP - which are deeply hated by those that use them (granted, may not be able to make that kind of BigCo HR/financial stuff fun !) - but what is interesting is that those systems are not really off the shelf. They are usually multi-million dollar "implementations" and sometimes (seriously!) "re-implementations" of them - which cost orders of magnitude more then most IT bespoke projects - often due to licencing costs. This makes me think that the numbers make things look better then they are. For example: if the cost of an setup for SAP financials is 2mil, and 400K "implementation", then a blow out of 100% in the "implementation" cost is not, percentage wise, as big a deal as if it was a bespoke project (ie sans the licence cost) - as the bulk of the cost is a fixed licence.
This is also why building (as in skyscraper style) blow outs don't appear as huge - they labour cost is generally a relatively smaller portion of the project cost then the materials compared to IT projects.