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Topic : Open Source CRM Solutions
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Oracle CRM

Industry : IT Services Functional Area : Application Software
Activity:  0 comments  179 views  last activity : 07 06 2010 20:18:04 +0000
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Last year we have seen a great wave of CRM vendors moving from On-premise CRM to On-demand CRM.

So what will be the next move ??

OPEN SOURCE  obviously!!!

One aspect in particular that may have been overlooked, according to a recently published report from Gartner, is the extent to which open-source technologies are used in the infrastuctures of SaaS offerings.

The report -- "Open Source in SaaS, 2008" --  written by Robert DeSisto, a Gartner vice president and a distinguished analyst specializing in applications strategies and government, explains the role of opensource in SaaS offerings.

 

WHO ALL ARE ALREADY IN IT?

Several CRM vendors -- in particular Salesforce.com, RightNow Technologies, and SugarCRM -- all use open source in one form or another. Salesforce.com uses an open-source database on its laptop disconnected version, while RightNow and Sugar use an open-source infrastructure stack on the server side.

 

While particular vendors may use open source differently,  infrastructure isn't becoming a competitive differentiator -- and that is a good sign.Vendors are not looking to differentiate on infrastructure. They are looking to differentiate on other elements on what they're providing.

 

When we see the advantages of opensource, its huge. Leveraging open-source technology has its value propositions, which may explain why the Gartner report predicts that 90 percent of SaaS providers will utilize some form of open-source technology by 2010.

 

Leveraging open source, a dissected view of the word means  open source can help vendors lower software development costs, which in turn could lower acquisition costs to end users.

 

BENEFITS TO CUSTOMERS:

Lower costs might be one. User communities, these self-forming groups can sprout up around application and platform providers, especially those utilizing open-source practices, often to share best practices or even entire applications.

According to  research, by 2010 open-source applications will make up at least 30 percent of a platform-as-a-service (PaaS) provider's ecosystem of available applications built on its native platform.

This statistic, however, is dependent upon the mass adoption of PaaS--and there is a chicken-or-egg kind of challenge that may impede this adoption. It is seen that while some companies have the platform (such as Salesforce.com's Force.com) for this type of community, other companies (such as Microsoft and IBM) have the developers necessary to build out the application ecosystem. Having the combination of platform and developers is essential.

 

TIME FOR OPENSOURCE?

Open-source CRM products have matured rapidly over the last few years. They offer true benefits in terms of a base set of features at a very low cost, which can be subsequently enhanced to meet very specific needs without the limitations inherent in proprietary products. Thus, open-source CRM opens up many new possibilities for addressing specific business issues in a cost-efficient manner, either as a standalone CRM solution or as building blocks in more-complex solutions. The approach is suitable for the SMB segment, as well as for the large enterprise, and offers the required business agility to compete in an increasingly fast-paced and competitive market space.


 

 
 
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