What Microsoft, Oracle, IBM, And SAP Don't Tell Customers
- Microsoft mainly wants to protect Windows and Office. Microsoft
is a platform company, and its main goal is to protect its highly
lucrative Windows and Office monopolies, while establishing other
platforms that will be hard for customers to break away from later. New
functionality is "drip fed" to users of those core platforms, but new
products exist to protect the core. He advised extreme caution before
moving to Office 365, and said not to slip into an "all-Microsoft"
mentality.
- Oracle products don't really work well together. Oracle's
sales force is extremely aggressive about pushing a suite of products,
but has much fewer integration points than SAP. In fact, integration is
usually left entirely up to the customer. Oracle is also very reluctant
to talk about product roadmaps for fear that future products will
cannibalize existing ones. The company makes more than 90% of its
profits through maintenance fees, and will do whatever it takes to keep
those fees flowing in. Gaughan also expressed some surprise that so many
customers keep working with Oracle despite reporting that Oracle is
"the most difficult vendor to deal with."
- IBM wants to take over your IT strategy. IBM bills
itself as a thought leader, but its real business is selling consulting
services. To thrive, IBM account managers try to take control of a
company's IT strategy so they can keep pushing new products. Gaughan
recommends taking a collaborative or partner approach.
- SAP confuses customers with pricing. A lot of SAP
customers ask Gartner for help figuring out SAP's pricing and licensing,
as SAP has unusual terms for billing data going into and out of
systems. Gaughan also said that a big technology transition that was
driving SAP revenue for the last few years -- moving existing customers
from the old R/3 system to the newer Business Suite -- is almost done,
which means SAP will have to be more aggressive with maintenance fees.
He recommended locking in maintenance prices now.
Read more:
http://www.businessinsider.com/what-microsoft-oracle-ibm-and-sap-dont-tell-customers-2011-11#ixzz1eb7zDGB9
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Peter Muchemi
Software Developer/Entrepreneur
http://www.software.co.ke
+254 722 320986