Last week I read a press release announcing a merger between two manufacturing software companies. The goal of the new product – a combination of the offerings from both companies – was to deliver functionality neither company had previously been capable of offering.
Dangers of Software Mergers
Joint offerings like this rarely deliver the expected benefits. With no real focus on customer needs, these business mergers lead to expensive, inefficient and ineffective product offerings propped up by the promise of innovation. Too often, the real goals are either opening another revenue stream or fixing existing flaws in each developer’s software. Purchasing a competitor’s technology and marketing it under a unified brand isn’t innovation. For companies looking at a patchwork software solution, here are a few thoughts to consider:
- Lack of Product Support
Ask how support for the “collaborative product” will be managed. Who will be responsible for support? Many times, the merger will completely change the support dynamics leaving users in customer support limbo. There will be lengthy and frustrating growing pains as the merger develops. Over time, the companies move on to other initiatives, with customers left struggling with unsupported software.
- Functionality and Complexity You Don’t Need
Software acquisitions add functionality without thought to workflow. Continually cramming functionality into a software product creates complexity and inefficiency. The shop floor will ignore these systems. Additionally, consider the cost increase as users pay for functionality they don’t need and won’t use.
- Expensive and Flawed Product Integration
Many product collaborations result in a lowest-common denominator solution for users. Software products developed independently, with different architecture and design, can’t be easily combined. There will be significant costs passed on to the customers to tightly link and connect the products. Some features can’t be linked, resulting in product flaws your shop floor will have to overcome.
The Power of Partnerships
Manufacturing software is critical for modern manufacturing. For companies struggling to support production with paper-based word documents, spreadsheets or modules tacked onto their existing ERP, the answer is not in the latest software partnership.
You’re not going to find a long-term, sustainable manufacturing solution with the “flavor-of-the-month” products developed in these partnerships. Unnecessary complexity, higher costs, support issues and flawed design elements eliminate any user benefit from the partnership.
Look for a software supplier ready to partner with you and your production team for a solution, and willing to focus on your unique business needs. The focus of any partnership should be your production needs and the growth of your business; not just the business of the software partners. CIMx Software has never purchased another product to increase our functionality footprint. Quantum was developed completely in-house, with a focus on empowering manufacturers to eliminate problems and increase output. Companies using Quantum know the focus is their production needs and supporting their business goals.
In our next CIMx manufacturing blog, we’ll take a look at how market consolidation is hurting manufacturers, and what you can do to find the right manufacturing software partner for you. Let us know if you have any questions, or would like to learn more about what modern manufacturing software can do for you.