Globalization and the corresponding rise of incomes in many countries led to an unprecedented expansion of demand for various consumer goods on the international market. Increases in consumption result in better productivity, leading to even larger incomes that renew the cycle. In this light, competition for consumer attention reached a phenomenal level, with millions of companies trying to attract customers’ attention through the ever-increasing quality of their products and corresponding competitive pricing. This constant need for improvement led to the establishment of a large productivity-centric software market that targets manufacturing companies. Hundreds of off-the-shelf, pre-developed products vie for attention from manufacturers, promising vast increases in their ability to enhance production practices. In many cases, they deliver on their promises. However, off-the-shelf software is not always enough: this article will help you understand when custom software is more appropriate.
Case 1. Cutting-edge production
The rise of income levels across the globe inevitably results in the corresponding expansion of consumer needs. This factor creates a significant incentive for all businesses in the manufacturing sector to introduce new products. Firstly, a new product can help create a temporarily uncontested market, allowing the pioneering company to dramatically elevate its profits. Secondly, the ever-changing nature of consuming markets means that many established products can quickly lose relevance with the appearance of new product types. For example, the introduction of the iPhone and, slightly later, Android smartphones completely upended the dominance of traditional feature phone companies like Nokia between 2007 and 2012. In this situation, most companies cannot focus solely on traditional, well-established markets. They need the assistance of a custom manufacturing software development company to ensure their long-term profitability.
Here is where the problem with off-the-shelf software becomes obvious: in many cases, it is geared towards very particular markets, so adapting the existing software to new products is often impossible. In the case above, the research and development departments in the mobile phone sector had to switch away from the then-traditional software and hardware platforms overnight; off-the-shelf software was simply incapable of adapting to that change. For this reason, many solutions had to be developed from scratch and customized to meet the emerging needs of those companies. Cutting-edge production is often incompatible with off-the-shelf software and, thus, greatly relies on custom software producers instead.
Case 2. Niche processes
One of the most significant limitations of off-the-shelf software is its focus on the general market. Off-the-shelf software developers must target hundreds of companies, even in relatively small markets. As a result, they simply cannot take the most minute aspects of production, which tend to differ across regions, into consideration. Some companies are close to the raw material sources they need for production; others may be far from them. Certain companies have access to complex automation tools, and others have to rely on manual workers, emphasizing strong organizational standards and employee ingenuity. All this means that production conditions in one sector can be vastly different even if they all function in one country. While general off-the-shelf software may be sufficient for them as a basis for operating factories, it is often not enough to cover those minute details.
Custom software exists to cover this gap and help manufacturing companies in the digital transformation of their niche, time- and region-dependent processes. By working with custom software developers, those companies can empower their already-existing off-the-shelf software by automating procedures outside their functions. For example, a company operating near raw material producers can create unique just-on-time procedures and digitalize them to gain an empowering market advantage and deliver better customer services. Custom software should not always be presented in opposition to off-the-shelf products. In many cases, a combination of those tools and a rational allocation of industry- and region-specific tasks to them is the best way forward for manufacturers.
Case 3. Personalized, custom production
While mass production represents and will likely continue to represent the most significant portion of the manufacturing sector, one must not forget that specific consumers sometimes want personalized, custom production. For example, many AI researchers need custom personal computers, often requiring many custom configurations that mainstream hardware producers do not offer. The unique workloads of those computers create a demand for custom cooling systems and even hardware components, such as RAM. In this light, manufacturing tools aimed at the general market are insufficient. One needs custom product configurators to help consumers make complex product requests and may employ unconventional production processes based on unique and often complex math equations. More importantly, manufacturers must consider data security as customers usually have to share personal, sensitive information to place their orders. While software aimed at the general market is typically very secure, certain products may call for additional measures beyond the mainstream levels of security system complexity. The only solution in those cases is to have in-company custom software.
Conclusion
All in all, custom software is a strong way to enhance manufacturing performance above the existing levels. While cutting-edge and personalized/customized wares are typically seen as the main markets for custom software, they are not the only ones. Many companies work in conditions that are at least somewhat unique. In many situations, custom software targeting those unique production needs may be among the best ways to cut costs and increase product quality. Therefore, the work of companies like Keenethics, which focus on developing custom software for manufacturing companies, is essential for the long-term advancement of the manufacturing sector. The constant growth of this segment means that no off-the-shelf solution will ever be sufficient to offer its users a competitive advantage: custom solutions are usually the only way to disrupt the status quo in the market, where most companies are already digitalizing.
