Thursday, May 24, 2012

SMEs should stick to their Core competency

The subject of Small to Medium sized Enterprises (SMEs) is discussed at "Knowing Your Core Competencies" on http://toolkit.sme.com.ph/

We at O4BO believe that many if not most SMEs will not have any IT staff nor the general IT skills needed to take advantage of Open Source Software.  It is not uncommon for someone even with IT Skills to download one of the Open Source Software (OSS) applications and spend four or more hours trying to just get it installed and running.  As we stated in a previous blog, some 90% of all OSS downloads result in abandoning the software.

There is a term called "right sourcing" as decribed at http://searchcio.techtarget.com/ is selecting the best way to procure a service and deciding whether a company is best served by performing a business requirement in-house (insourcing) or contracting it out to a third-part service provider (outsourcing).  Rightsourcing literally means "choosing the correct source."

Combining these two concepts will tend to say that unless a particular business requirement is part of your core competency, you should consider outsourcing it.  So unless you are a software company that is building and maintaining software as your core competency, you probably will be better off outsourcing the Open Source Software you need to someone like O4BO that's OUR Core Competency.

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