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If you're in logistics and have an ARR in the $200-$300M range then you are not a big player. Logistics is a massive field with a lot of variation. It would hel
by radicalbyte 2y ago
If you're in logistics and have an ARR in the $200-$300M range then you are not a big player. Logistics is a massive field with a lot of variation. It would help if you could share at least some details: where in the chain do you sit?
My experience is in the car industry with factory-to-dealer and some of the supplier-to-factory. The core systems were built by SAP, they were very expensive but they were reliable thanks to some smart architectural choices. Those were supported by various bespoke solutions to solve very specific requirements over the company.
In general, at your size, and assuming that you're doing something with retail-like margins (1-2%) then you're almost always going to be better off buying and running some COTS solution. The time look away from that is if there is nothing suitable on the market and if there is a strategic move on the table. Software systems can give you a big competitive advantage. It could even be a way to build a sister business - I can give you a number of examples where companies have "scratched their itch" and then spun off their software as a product company.
So what do you do? You know your business. Can you afford to waste ~1M EUR a year (3-4 really good freelancers in Europe + cloud/license costs) for a couple of years next to what you're already doing?