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.

Transcript

1. Building vs Buying
   Software
   Nikolay Stoitsev
   Sr Engineering Manager @ Halo Diagnostics
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2. People are reluctant to
   consider buying
   because…
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3. But we are
   special or in
   unique
   situation
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4. But it’s not
   invented here
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5. But are
   we real
   engineers
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6. Why buying?
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7. Opportunity cost
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8. stoitsev.com/openfest22
   

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9. Value for customers
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10. Value for customers
    Features sorted by value for customers
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11. Value for customers
    Features sorted by value for customers
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12. Value for customers
    Features sorted by value for customers
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13. Value for customers
    Features sorted by value for customers
    Focus here Don’t Focus here
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14. It’s often cheaper
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15. Faster time to market
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16. stoitsev.com/openfest22
    Pitfalls when
    buying
    

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17. Underestimating
    the integration
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18. Over
    customizing
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19. Evaluating every
    option for every
    decision
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20. stoitsev.com/openfest22
    You need a
    strategy
    

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21. 3 simple tests
    Is it core to
    your
    business?
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22. 3 simple tests
    Is it core to
    your
    business?
    Will you
    need to
    change it
    regularly?
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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?
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24. Wardley Map
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25. Value chain
    Invisible Visible
    USER FACING FEATURES
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26. Value chain
    Invisible Visible
    INFRASTRUCTURE
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27. Value chain
    Genesis Custom Built Product Commodity Evolution
    Invisible Visible
    Unique and
    newly
    discovered
    

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

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

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

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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
    

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

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

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

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

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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
    

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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
    

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38. stoitsev.com/openfest22
    How to pick what
    to buy
    

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39. Make a wish list
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40. There will be
    missing features
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41. You will never
    have a perfect
    picture
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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
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43. Example considerations
    ● Company information
    ● Company financial information
    ● Features
    ● Pricing
    ● Risks - reputational, security, operational
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44. Vendor management is
    super important
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45. But my
    company
    doesn’t buy
    software
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46. Start with a small
    experiment
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47. Build a case
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48. Summary
    1. You can buy and integrate ready-made solutions
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49. Summary
    1. You can buy and integrate ready-made solutions
    2. Think about opportunity cost and time to market
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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
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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
    

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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
    

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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
    

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