Furntown Furniture Manufacturing and Sales Case Study

Introduction

Furntown is in the business of furniture manufacturing and sales. The organisation is currently considering implementing a mobile application for customers. With this new software application problem comes the question on whether to build or buy. The acquisition decision is a difficult one due to many competing interests and the different factors that affect the decision. This report aims to highlight the differences between the build and buy decision by providing an outline of the advantages and disadvantages which are inherent of each and finally deliver a recommendation for the course of action that will be best for Furntown.

The organization choosing the build or buy criteria would make such a choice depending on the size of the business, the complexity of its structure, the demands of its service and how its rendered. Applications differ in use according to how they are built to suit the organizations catered for. Small organizations usually use standardized commercially built software as they work efficiently for their model whereas bigger and more developed ones need specific software uniquely made for them to cater for the complex and more demanding models they serve.

A budget of any organization also forms a fundamental basis from which this choice can be made. Buying an Application from commercial vendors is more cost effective than building one as thorough research from each sector of the bigger organization needs to be made. Extensive research requiring time and professionals usually stretches the budget of any project before any implementation of the finished product is done. Implementation of an application requires test runs to ensure a quality product for the efficiency of the organization.

The Build Decision

The build decision refers to custom development of the software. This is when the organisation chooses to design and implement software that is expressly made to fit the unique needs of the organization. The building option can either take place internally, for in-house development, or be outsourced to external developers to carry out the job. It allows the organization to build the system that will cater to its specific needs. The level of customization is the biggest advantage of custom development because the system is moulded in a way that will fit the unique features, characteristics and requirements of the organization. This is a great choice if the organization's software requirements are considered to be complex or unusual.

Deciding to build the software gives the organization greater control in terms of the whole development process; the organization will not be at the mercy of external parties. It also allows for flexibility if the system needs to be modified at a later stage.In house developers have a better understanding of the business and will be sensitive to the organizational culture, in this