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Building vs Buying Software

Building vs Buying Software

As engineers, we like to solve problems by building solutions from scratch. Even though on some occasions it’s better to buy and integrate existing software. But how come? Are engineers who don’t always deliver from scratch real engineers? The goal of this talk is to answer all important questions about making build vs buy decisions. We’ll see how to define a clear strategy for making such decisions. And we’ll explore how to select and integrate existing software efficiently. Even if your company doesn’t have the habit of doing it.

Nikolay Stoitsev

October 16, 2022
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  1. Building vs Buying Software Nikolay Stoitsev Sr Engineering Manager @

    Halo Diagnostics stoitsev.com/openfest22
  2. People are reluctant to consider buying because… stoitsev.com/openfest22

  3. But we are special or in unique situation stoitsev.com/openfest22

  4. But it’s not invented here stoitsev.com/openfest22

  5. But are we real engineers stoitsev.com/openfest22

  6. Why buying? stoitsev.com/openfest22

  7. Opportunity cost stoitsev.com/openfest22

  8. stoitsev.com/openfest22

  9. Value for customers stoitsev.com/openfest22

  10. Value for customers Features sorted by value for customers stoitsev.com/openfest22

  11. Value for customers Features sorted by value for customers stoitsev.com/openfest22

  12. Value for customers Features sorted by value for customers stoitsev.com/openfest22

  13. Value for customers Features sorted by value for customers Focus

    here Don’t Focus here stoitsev.com/openfest22
  14. It’s often cheaper stoitsev.com/openfest22

  15. Faster time to market stoitsev.com/openfest22

  16. stoitsev.com/openfest22 Pitfalls when buying

  17. Underestimating the integration stoitsev.com/openfest22

  18. Over customizing stoitsev.com/openfest22

  19. Evaluating every option for every decision stoitsev.com/openfest22

  20. stoitsev.com/openfest22 You need a strategy

  21. 3 simple tests Is it core to your business? stoitsev.com/openfest22

  22. 3 simple tests Is it core to your business? Will

    you need to change it regularly? stoitsev.com/openfest22
  23. 3 simple tests Is it core to your business? Will

    you need to change it regularly? Does it need to adapt to changes quickly? stoitsev.com/openfest22
  24. Wardley Map stoitsev.com/openfest22

  25. Value chain Invisible Visible USER FACING FEATURES stoitsev.com/openfest22

  26. Value chain Invisible Visible INFRASTRUCTURE stoitsev.com/openfest22

  27. Value chain Genesis Custom Built Product Commodity Evolution Invisible Visible

    Unique and newly discovered
  28. Value chain Genesis Custom Built Product Commodity Evolution Invisible Visible

    Uncommon and still learning about
  29. Value chain Genesis Custom Built Product Commodity Evolution Invisible Visible

    Common and better understood
  30. Value chain Genesis Custom Built Product Commodity Evolution Invisible Visible

    Highly standardised
  31. Value chain Genesis Custom Built Product Commodity Evolution Invisible Visible

    Common and better understood Uncommon and still learning about Unique and newly discovered Highly standardised
  32. Value chain Genesis Custom Built Product Commodity Evolution Invisible Visible

    patient Start with your users
  33. Value chain Genesis Custom Built Product Commodity Evolution Invisible Visible

    patient scheduling scan prep info Define user needs
  34. Value chain Genesis Custom Built Product Commodity Evolution Invisible Visible

    patient scheduling scan modality calendar prep info sms notifications EHR
  35. Value chain Genesis Custom Built Product Commodity Evolution Invisible Visible

    patient scheduling scan modality calendar prep info sms notifications EHR PACS ITL viewer
  36. Value chain Genesis Custom Built Product Commodity Evolution Invisible Visible

    patient scheduling scan modality calendar prep info sms notifications EHR PACS ITL viewer BUY BUY BUY BUY BUILD BUILD
  37. Value chain Genesis Custom Built Product Commodity Evolution Invisible Visible

    patient scheduling scan modality calendar prep info sms notifications EHR PACS ITL viewer BUY BUY BUY BUY BUILD BUILD OPEN SOURCE EHR
  38. stoitsev.com/openfest22 How to pick what to buy

  39. Make a wish list stoitsev.com/openfest22

  40. There will be missing features stoitsev.com/openfest22

  41. You will never have a perfect picture stoitsev.com/openfest22

  42. Find your vendors and keep a scoresheet Feature A Feature

    B Feature C First Vendor Yes No No Second Vendor Yes No No, but possible Third Vendor Partially Yes No stoitsev.com/openfest22
  43. Example considerations • Company information • Company financial information •

    Features • Pricing • Risks - reputational, security, operational stoitsev.com/openfest22
  44. Vendor management is super important stoitsev.com/openfest22

  45. But my company doesn’t buy software stoitsev.com/openfest22

  46. Start with a small experiment stoitsev.com/openfest22

  47. Build a case stoitsev.com/openfest22

  48. Summary 1. You can buy and integrate ready-made solutions stoitsev.com/openfest22

  49. Summary 1. You can buy and integrate ready-made solutions 2.

    Think about opportunity cost and time to market stoitsev.com/openfest22
  50. Summary 1. You can buy and integrate ready-made solutions 2.

    Think about opportunity cost and time to market 3. Beware of the pitfalls when buying and integrating stoitsev.com/openfest22
  51. Summary 1. You can buy and integrate ready-made solutions 2.

    Think about opportunity cost and time to market 3. Beware of the pitfalls when buying and integrating 4. Have a strategy stoitsev.com/openfest22
  52. Summary 1. You can buy and integrate ready-made solutions 2.

    Think about opportunity cost and time to market 3. Beware of the pitfalls when buying and integrating 4. Have a strategy 5. Vendor management is super important stoitsev.com/openfest22
  53. Thank you! Q&A Nikolay Stoitsev Sr Engineering Manager at Halo

    Diagnostics Photos by ThisIsEngineering, cottonbro, mentatdgt, Pixabay, Steve Johnson, Daniel Reche, veeterzy, Ricardo Esquivel, picjumbo, Tima Miroshnichenko, and Christina Morillo from Pexel stoitsev.com/openfest22