What happens when an IT vendor convinces you to buy their overcustomised CRM solution when another vendor’s solution already meets your needs?
I was reviewing the solution design for a Not for Profit’s overcustomised CRM. It was clear that they had tried to build all the functionalities they needed into this single software application. This included a shopping cart and an event management capability.
The problem was that many of these functions were not native to this particular solution, and therefore, it was constantly breaking. The vendor support costs and operational frustration were hurting both staff and their stakeholders.
So, I had to ask the question, “Why didn’t you just buy a shopping cart and event management solution and integrate it with your CRM?”
Throwing their hands up in frustration, they exclaimed, “We didn’t know that was an option. The vendor partner said that building it in the CRM would be easy.”
I’ve seen this overcustomised CRM situation occur time and time again.
The client goes to a vendor or vendor partner with a list of requirements. The vendor has only one solution for that list of requirements. Let’s call it a hammer.
Because they only have a hammer, they – being good problem solvers—will figure out how to use that hammer to meet that client’s requirements, even if it creates significant complexity in the design of the CRM.
Unfortunately, what the client really needed was a screwdriver.
So, now the client has a solution that was “hammered” in place. To keep it going, it requires significant maintenance costs, and only one vendor partner can perform it.
Furthermore, due to the added complexity, the CRM is constantly breaking every time there is a change, even minor ones.
How to avoid overcustomised CRM solutions?
It’s really hard for Not for Profits to navigate the technology market when they seldom have strategic IT resources internally.
They ask for recommendations from their peers and vendors. If they have outsourced their day-to-day IT management, they may even ask that provider.
Due diligence comes in the form of a CRM selection process with referee checks.
Unfortunately, none of this works if you still go to vendors that have hammers when you really need a screwdriver.
What you actually need first is good strategic advice to help guide your investment direction. You can find that in IT strategy consultants who specialise in this area.
Just be sure to look for those who understand the Not for Profit sector. Otherwise, their advice may be more suited to a corporation or government entity with bigger budgets.
I regularly help Not for Profits with decisions about their IT investments. Let me know if you need some help.
P.S. If you found this article helpful, you might want to read these too:
Tammy Ven Dange is a former charity CEO, Association President, Not for Profit Board Member and IT Executive. Today, she helps NFPs with strategic IT decisions, especially around investments.
