Cookies help us display personalized product recommendations and ensure you have great shopping experience.

By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
SmartData CollectiveSmartData Collective
  • Analytics
    AnalyticsShow More
    sales and data analytics
    How Data Analytics Improves Lead Management and Sales Results
    9 Min Read
    data analytics and truck accident claims
    How Data Analytics Reduces Truck Accidents and Speeds Up Claims
    7 Min Read
    predictive analytics for interior designers
    Interior Designers Boost Profits with Predictive Analytics
    8 Min Read
    image fx (67)
    Improving LinkedIn Ad Strategies with Data Analytics
    9 Min Read
    big data and remote work
    Data Helps Speech-Language Pathologists Deliver Better Results
    6 Min Read
  • Big Data
  • BI
  • Exclusive
  • IT
  • Marketing
  • Software
Search
© 2008-25 SmartData Collective. All Rights Reserved.
Reading: It’s Not the Tool, but How it is Used
Share
Notification
Font ResizerAa
SmartData CollectiveSmartData Collective
Font ResizerAa
Search
  • About
  • Help
  • Privacy
Follow US
© 2008-23 SmartData Collective. All Rights Reserved.
SmartData Collective > Big Data > Data Warehousing > It’s Not the Tool, but How it is Used
Business IntelligenceData Warehousing

It’s Not the Tool, but How it is Used

RickSherman
RickSherman
4 Min Read
SHARE

A research note from the 451 Group “Open source is not a business model” discussed that selling open source is a tactic rather than a business model. They then went on to discuss the various business strategies of 114 open-source…

A research note from the 451 Group “Open source is not a business model” discussed that selling open source is a tactic rather than a business model.  They then went on to discuss the various business strategies of 114 open-source vendors.

I’ve got a couple of thoughts on this, but I’d also really like to hear your take on this in your comments.

More Read

Want to Disprove a CEO’s Wishful Thinking? Use Analytics.
Can Data Determine How Learning Happens
Information Cascades, Revisited
Mercer Total Compensation Management Analytics Help Retain Talent
Dashboards: A Kite with a Broken String?

First, there are other technologies that are also tactics, not business models. These include on-demand or software-as-a-service (SaaS) software and cloud computing. There are many people who hope that all three will change how software is distributed and used in our industry. All claim to have a lower TCO (total cost of ownership), but whether that is true depends on the specific business strategies employed by each vendor.

The advocates of these technologies proclaim that they are the wave of the future.  This may indeed be true, but just as PCs, client server computing and the web took years to become “mainstream,” it may take a while for these technologies too. Keep in mind that the leaders in these technologies, especially if they are small vendors, may not be the leaders (or even exist) by the time these technologies “cross the chasm.”

Second, and more important, is the underlying fact that it is the business use of these technologies that will drive their adoption and spread not the tool itself. There has to be a business use for the software before it is adopted. If a business does not need the required application then it does not matter whether it is offered on-demand versus on-premise, proprietary versus open source, or just hanging out on a cloud.

We have been experiencing a bear market and a recession lately. In general the stocks in our On-Demand Software and Business Intelligence indexes have fared poorly. When these stocks and companies rebound, besides the usual stock fundamentals, one of the key ingredients to success both in the marketplace and the stock market will be whether the vendors have the business applications that corporations are willing to pay for. Companies that are laying off people and have hiring/expense freezes are probably not going to adopt salary or expense management software regardless of the cost. Software targeted at new automobile or real estate sales will also get a lukewarm reception. Software oriented towards health care, particularly helping health care providers operate more efficiently, are likely to sell well.

Selling is always about meeting someone’s needs. Technologists too often think it is about the tools. Early adopters, often other technologists or companies with deep pockets, reinforce the Technology is King mindset. Sometimes it takes a bear market and a recession to highlight that it is not about the tool, it’s about how it’s used.


Link to original post

Share This Article
Facebook Pinterest LinkedIn
Share

Follow us on Facebook

Latest News

sales and data analytics
How Data Analytics Improves Lead Management and Sales Results
Analytics Big Data Exclusive
ai in marketing
How AI and Smart Platforms Improve Email Marketing
Artificial Intelligence Exclusive Marketing
AI Document Verification for Legal Firms: Importance & Top Tools
AI Document Verification for Legal Firms: Importance & Top Tools
Artificial Intelligence Exclusive
AI supply chain
AI Tools Are Strengthening Global Supply Chains
Artificial Intelligence Exclusive

Stay Connected

1.2kFollowersLike
33.7kFollowersFollow
222FollowersPin

You Might also Like

A simple Data Transformation example…

5 Min Read

Should We Monetize Personal Energy Consumption Data?

6 Min Read

American Recovery Act Business Intelligence

9 Min Read

A Big Cryptographic Boost for On-Demand BI and Extranets?

7 Min Read

SmartData Collective is one of the largest & trusted community covering technical content about Big Data, BI, Cloud, Analytics, Artificial Intelligence, IoT & more.

ai is improving the safety of cars
From Bolts to Bots: How AI Is Fortifying the Automotive Industry
Artificial Intelligence
ai chatbot
The Art of Conversation: Enhancing Chatbots with Advanced AI Prompts
Chatbots

Quick Link

  • About
  • Contact
  • Privacy
Follow US
© 2008-25 SmartData Collective. All Rights Reserved.
Go to mobile version
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?