In this three-part series I will discuss:
- The differences between Commercial and Custom Software
- The differences between Configuration, Customization, & Integration
- And finally Total Cost of Ownership
How to tell Commercial from Custom Software
What is Commercial Off the Shelf Software?
Commercial Off the Shelf Software, or COTS, is a term that refers to software that has been developed and refined for resale. These commercial platforms are designed to accomplish specific tasks within their area of expertise and are often built to be somewhat generic. By generic, I mean that they can span many different industries and verticals of customers. As a result, these platforms can sometimes do many things that you do not require for your business, but they support other industries that also use the software. Some COTS platforms may allow customization through scripting or integrating while others may only allow configuration of predefined functionality.
Some of the reason you would lean towards this approach include:
- If you have seen a product that follows best practices and general market strategies to drive results
- If you have a strict budget
- If you have shorter timelines that cannot be extended
- If you pre-built features direct from the vendor
COTS software comes in many different packages today. The most popular of which is Software as a Service or SaaS. SaaS platforms are web-based applications that you subscribe to, and which host your data on their servers.
What is Custom Developed Software?
Custom Software is software that was developed for your unique use case and specifications. It involves hiring developers/software engineers, architects, user experience (UX) analysts, project managers, and more, to build a solution from scratch.
Some of the reasons you would lean towards this approach include:
- If you have exhausted all COTS options and found nothing suits your business and user requirements
- You have strict workflows that cannot be altered nor adapted to fit existing systems
- You have found suitable COTS solutions, but the amount of “customization” required is cost prohibitive
- You require complete control over customization
Depending on your business model and budget, you may decide that hiring a software development company with all these resources has a better ROI than hiring employees directly. Building a detailed design specification that explicitly outlines all the functionality, workflows, and the user interface is crucial to a successful project to ensure you get what you are asking for. While this will be much more time-intensive than most COTS solutions, the result will be tailor-made to your business.
Pros & Cons
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Commercial Software
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Custom Software
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Pros
- Meets general needs of business
- Shorter implementation timelines
- Easier to research based on other user experiences
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Pros
- Meets exact needs of business
- You own the source code
- You can work with any developer/firm
- Provides a competitive advantage due to uniqueness
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Cons
- Sometimes requires changing business processes
- Dependent on Software Vendor for enhancements/new features
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Cons
- Longer implementation timelines
- Scope can easily creep and expand
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Next
Stay tuned for Part II, where I discuss the differences between Configuration, Customization, and Integration when talking about COTS and Custom Software.
About the author
Chad Ross is a Senior Business Analyst with our User Experience & Design practice and is based in Edmonton, Alberta. He is a seasoned professional with 17+ years of IT related experience and has knowledge in both the technical and business aspects of technology. He is an avid science fiction fan and enjoys seeing how sci-fi has introduced new technologies which have also become realities. From Star Trek communicators (mobile phones) to Artificial Intelligence, he is excited to see what advancements are yet to come. Connect with him on LinkedIn!
About the artist
Jennifer Forth is a freelance Illustrator from Edmonton, Alberta. She works mainly digitally but enjoys working in a traditional art medium from time to time. Her work is generally of the fantasy genre and she enjoys seeing where her imagination will take her.
For this piece she writes, "I just let all of the things I think of when it comes to software and computers flow onto the canvas and just let myself have fun with it."
