When is it worth developing custom software for your company?
In some companies, a simple information update means opening several spreadsheets, swapping emails and confirming data with different people. The work does get done, but it depends on manual steps that use up time and make errors hard to spot.
Developing a custom internal application can centralize tasks and information. But it only pays off when existing solutions do not solve a relevant problem. First, you need to understand whether the company really needs one.
When do internal processes start to justify an application?
An internal application can be justified when improvisations have relevant costs and it becomes hard to keep control of the operation.
The same information passes through several people
A request arrives by email, moves to a spreadsheet and is recorded again in another program. This circulation makes it hard to tell which information is up to date and who should act.
The team depends on files that are hard to control
Spreadsheets work for simple processes, but make control harder when several people change and approve information.
There are signs that the spreadsheet is no longer enough:
- several people editing the same file, with different versions;
- approvals given by email, with no record of what was decided;
- no change history, so errors cannot be traced;
- data that is lost or becomes inaccessible when someone leaves the company.
If you recognize two or more of these signs, an external analysis helps work out whether an application pays off.
There is no clear view of pending work
Managers have to ask about the status of requests. Following the operation depends on messages and interruptions.
Growth requires repeating administrative work
If every new customer means more manual tasks, growing increases the pressure on the team. It is important to tell poorly defined processes apart from limitations of the tools.
What problems can an internal application solve?
A custom application can bring a company's specific tasks together in a single environment, with rules, permissions and information adjusted to the operation. The goal is to simplify a process, not to replace every program.
A company may need to follow requests through to invoicing or to manage approvals and deadlines without successive emails.
An internal application can make it possible to:
- Centralize requests and tasks, with defined owners and statuses.
- Record changes and decisions, making follow-up and the identification of errors easier.
- Create permissions by role, so each person accesses only what they need.
- Integrate existing information, reducing copying between tools.
- Consult operational indicators, without rebuilding reports by hand.
The solution should start with the most problematic process, without unnecessary features.
How to assess whether the investment pays off?
Compare the cost of the problem with the development and maintenance. Also consider errors, delays and lost opportunities.
Quantify the work you want to eliminate
Measure the time of a repetitive process, how many people are involved and which steps can be simplified.
Illustrative example: if four employees each spend 30 minutes a day on a task over 20 working days, that is 40 hours a month. At an illustrative internal cost of €15 per hour, that represents €600 a month of time allocated to the task.
It is not a guaranteed saving: tasks and costs remain, and the time freed up needs to be put to productive use.
Calculate the cost of maintaining and evolving the solution
Include hosting, security, fixes, updates and future adaptations.
Define who administers the application and how to recover the data when changing supplier.
Assess the impact on the process, not just on the budget
Locating requests and reducing communication failures also has value, even with few hours saved.
Internal application, automation or existing tool: which to choose?
Developing your own software should not be the first answer. Before that, it is worth checking whether a better configuration of the current systems or process automation removes the blockage.
Option | When it makes sense |
|---|---|
Existing tool | The process is common and the company can adapt its way of working without losing effectiveness. |
Automation between tools | The programs already do the job, but there are manual transfers of information. |
Custom internal application | There are rules, flows or control needs that the alternatives cannot adequately support. |
You can start by organizing processes and automating tasks before moving on to your own software. But when the rules or the control are specific, adapting the process to a generic tool usually costs more over time than an adjusted application.
What to define before developing an internal application?
Before asking for proposals, identify the process to improve and the expected result.
There are five points worth clarifying:
- Goal: which concrete problem needs to stop existing or shrink?
- Users: who will work in the application and which permissions do they need?
- Integrations: which programs and data does the process depend on?
- Continuity: who ensures maintenance, security and evolution?
- Control: how are access to the data and the possibility of changing supplier guaranteed?
Start with a small scope and test with the people who carry out the tasks. An application nobody uses is a bad investment.
Frequently asked questions
Does an internal application replace the company's management software?
Not necessarily. It can work alongside the existing systems, handling only the processes they do not cover. Replacing essential programs increases complexity and should be a separate decision.
Is it possible to develop an application from spreadsheets?
Yes. Spreadsheets can help identify the data and the steps of the current process. However, you need to review rules, access and the quality of the information before turning that way of working into an application.
Does an SME need an internal application of its own?
Not by definition. Many SMEs solve their problems with existing software and small automations. Developing your own is justified when those alternatives leave important limitations unsolved.
How to avoid becoming dependent on whoever developed the application?
Define in advance the conditions for access to the data, documentation, maintenance and continuity of the project. The company should know how to export the information and what conditions exist for another partner to take over the work.
Can Norde help decide whether it is worth developing an internal application?
Yes. We start by analysing the process, the current tools and the cost of the blockages. For many SMEs with specific needs, a Norde solution can pay off more than continuing to adapt processes to unsuitable tools; if a simple alternative is enough, we will tell you frankly.
How can Norde help your company?
Before developing an internal application, identify the process that most limits the operation and assess the alternatives available.
At Norde, we analyse the tools and the daily work to propose a solution proportionate to the problem, which for many SMEs with specific processes means a custom application.
If you want to understand whether an internal application pays off for your company, talk to us: we reply within 24 hours and the conversation is without obligation. We work without lock-in contracts and everything we build stays on your side.
Do your company's internal processes justify an application of your own?
We analyse the operational blockages and help decide which solution is most suitable.
