Avoiding Vendor Lock-in and Capture

16 August 2024 | Business

Kitbag Consulting posted an article about the challenges experienced when navigating the challenges when implementing an ERP solution in government and large corporates.

Using their 40 years Industrial Engineering experience and 15 years of recognised consulting excellence to the Australian national security and Defence environment, they have taken their lessons learnt and built their own Integrated Business Support System – DOLIUM.

Introduction

Many organisations experiencing high staff turnover or organisational complexity rely heavily on software suites to manage daily operations. Essentially, many executives align organisational processes with the software's design, inheriting systems and processes developed externally.

In doing so, both government and corporate sectors often fall prey to vendor lock-in and capture by software providers which pose significant operational and strategic risks to the achievement of commercial and policy objectives.

How DOLIUM Prevents Vendor Lock-In and Capture

• DOLIUM is a platform to model and document organisational activity and then use those activities to deliver against an organisational mission and objectives. Modelled and interconnected activities are used to; perform daily tasks, optimise business or regulatory activity, coordinate the various business functions that connect to meet organisational outcomes. Essentially DOLIUM links critical data resident on discrete systems. It permits organisations to develop a diverse portfolio of fit-for-purpose technologies to address various commercial or policy needs and reduce technology risk.
• DOLIUM is built with an open architecture design approach which emphasises modularity, flexibility and interoperability will allow those technologies to be fully integrated to achieve cohesive outcomes. This approach ensures that different systems, applications and components work together seamlessly, regardless of the underlying technology or vendor.

Benefits of Avoiding Lock-In and Capture

• Seamless Integration with Existing ERPs: While traditional ERPs manage transactional activities such as sale orders and inventory movements, DOLIUM focuses on managing higher- level management activities. It complements existing ERP systems like SAP or Oracle by keeping management processes separate expensing with requirement for significant modifications to the ERP itself. This means that organisations can change their ERP systems without wholesale changes to their business.
• Enhanced Precision and Efficiency: DOLIUM helps optimise resource allocation and ensures precise management which combined with management activity, transforms ERP systems from mere operational tools into strategic assets. This leads to reduced waste, improved resource management and better alignment with strategic objectives.
• Activity-Centric Integration: Instead of customising ERPs, DOLIUM emphasises refining and standardising management activities. This approach enhances decision-making speed and transparency across organisational boundaries, resulting in significant productivity gains and improved satisfaction.
• Reduction of Operational Disruption: DOLIUM’s activity- based support system integrates with existing ERPs by focusing on departmental processes and minimising modifications during ERP integration. This allows for routine technical upgrades with minimal operational disruption and no additional costs.
• Self-Sufficiency and Adaptability: By embedding governance frameworks and aligning with legislation and policy, DOLIUM ensures that organisations maintain control over their processes. Agencies can adjust processes to meet evolving legislative, policy and business changes without relying on external vendors.

DOLIUM provides a robust solution for managing and optimising organisational activities while seamlessly integrating with existing ERP systems. This approach not only avoids vendor lock-in and capture but also enhances operational efficiency and strategic management.