Can you trust your VARs & Vendors ?

As I was eating a small dish of ice cream last night, I couldn't help but think that it is the simple things in life that are so enjoyable. And then I got to thinking about how the Information Technology industry works as a whole, and realized that while we all acknowledge that simple is better, we rarely achieve it. And I think I have a fairly good understanding of the reasons why...

As an IT customer, we are always looking for the solution that fits 100% of our need. Like a carpenter, we need tools that work well, are specifically suited for the purpose, and are straightforward to use. Whether it is a Customer Relations Management (CRM) solution, or an Enterprise Resource Planning (ERP) solution, the common goal remains the same. We need tools that fit the purpose, while not costing a small fortune.

So we seek the counsel of our Vendor and Value-Added-Reseller (VAR) partners. Our mis-guided expectation is that they are motivated to help us, and have sold & implemented these solutions before. But in both cases, they are NOT motivated to sell us the right solution. Their motivation is to sell us a solution which provides them with the most profit margin !

Adding insult to injury, the VAR is also motivated by a second level of greed. Not only do they want to sell you the solution, but they also want the Professional Services revenue associated with implementing the solution. So they are, in fact, motivated to make the solution complex enough to insure that the customer HAS to get the VAR to implement it for them.

But it doesn't stop there. Smart IT VARs recognize that they need to have "streams"of revenue, not just a series of projects. So they layer in Support & Maintenance contracts, which insure that they get further revenue from the ongoing operation of the solution !

So much for acting in the customer's best interests ! Instead of acting on the customer's behalf, and shortening the Return on Investment (RoI) and lowering the Total Cost of Ownership (TCO), the VAR is motivated by greed to generate ongoing revenue by adding complexity into every solution they sell. The more complex, the better the revenue.

Many advocates of Open-Source Software (OSS) will tell you that OSS can help you avoid vendor lock-in. This is because they cannot sell the software itself, so all they can sell is service & support. And because anyone can access the code, theoretically anyone can support it. While this may be the case, it is also true that finding VARs with the correct mix of skill-sets to help support your OSS investment could be a challenge.

So be wary of Vendors and VARs bearing contracts. Not all of them are that interested in helping you. In fact, they are interested in helping themselves - to your IT Budget !

The opinions expressed are purely those of the author. Opinions are like noses - everyone has one, and they are entitled to it !