Custom Software vs ERP: The Fight That Costs $80M to Many Companies

Manager calls me: "Bro, we bought a $70M ERP 8 months ago, nobody uses it, we are back in Excel, can you rescue us?"

That call comes 2 times per month. Always same story.

The problem is not that ERP is bad. SAP, Siigo, Alegra, Odoo are good. The problem is they sold you an XL size suit when you are size M, and now you have to use belt, fold sleeves and still it is big and ugly.

The Real Difference, No PowerPoint

Generic ERP: You adapt to it. If your process is different, you have to change your process to fit ERP.
Custom software (what you do): It adapts to you. If your process is to produce urgent first even if not most profitable, system respects it.

Generic ERP: You pay for 100 features, use 15.
Custom: You pay only for the 15 you use.

ERP: Implementation 6-12 months. Needs consultant, 200-page manual, 3-day training.
Custom: Implementation 4-8 weeks. Your operator learns in 2 hours because it is same as how he already works, just digital.

When DOES ERP Work and When Is It Wasting Money?

ERP works when:

- You bill more than $10,000M per year and have 100+ employees.
- Your process is standard, same as everyone.
- You have IT department of 3-4 people.
- You do not mind adapting to how ERP says you must work.

Custom software works when (your ideal client):

- You have production, transformation, assembly, workshop. Not just buy and sell.
- Your real cost is your pain. Need to know if each order wins or loses IN THE MOMENT.
- Your process is different. You have your tricks that make you competitive.
- You have 10-60 employees. No IT department.
- You want to grow without hiring 5 more people in admin.

The Account Nobody Does: "Cheap" $15M ERP vs $30M Custom

$15M "cheap" ERP:
Annual license $15M + Implementation $20M + Training $5M + Minimal customization $15M + Annual support $8M + 3 new reports per year $6M
Total Year 1: $69M. Total Year 2: $29M. Total 2 years: $98M

$30M Custom software:
Discovery + Dev + Implementation $30M + Support 3 months included + Perpetual license (no yearly pay) + Reports included
Total Year 1: $30M. Total Year 2: $0 (optional support $6M). Total 2 years: $36M

Which is cheaper? $30M one ended $62M cheaper in 2 years.

Are you between ERP and custom and do not want to regret in 6 months?

At TotalSys Solutions we make production and costing software that is actually used at 7am on Monday without your people complaining.

Book 20 minutes and I tell you the truth, not what suits me to sell you →