Written By Jeff Onesto, Director of Business Development, ASi (Originally released on MSDynamicsWorld.com)
This week Gartner analysts released findings that U.S. economic factors have deteriorated to the point where they are advising organizations to start considering reductions in IT spending. Cutting IT can be a double-edge sword for those responsible for annual Microsoft Dynamics AX (formerly Microsoft Business Solutions Axapta) IT budgets for the simple reason that what is cut today can have a severe impact on where an organization lands tomorrow.
This doesn’t mean executives can’t save money in their AX budgets. I have had the opportunity to work with many senior technology executives and have recommended a number of creative methods and practices for getting more from enterprise systems and partners. Following are just a few:
Review Shelfware Often
With Business Ready Licensing (BRL), Microsoft and most of the industry did away with Module Based Licensing (MBL). Many companies implement modules in logical phases and often forget about or assign less value to many of these non-implemented modules that I refer to as “Shelfware”. It may be worth a second look. One of the most overlooked modules in the Microsoft Dynamics AX Advanced Management Edition is Project 1. For mid-market organizations juggling capital projects this often ignored module can be easily implemented and will produce immediate and amazing value and insight into capital spending in the areas of R&D (innovation) and marketing.
Review VAR Performance
Microsoft requires each Microsoft Dynamics customer to be associated with one partner (VAR-value added reseller). Many customers do not know that a VAR can be changed without reason, 365 days a year. Just because you purchased from a particular partner does not mean you are locked to that partner indefinitely. Changing resellers has absolutely nothing to do with the renewal of annual software and should be reviewed often and separately. If you aren’t meeting with your Microsoft Dynamics AX partner routinely you are missing many opportunities. If your partner is NOT delivering value routinely consider working with one that does.
Review Software Enhancement Plans for Untapped Benefits
Microsoft offers customer software maintenance contracts starting at 16%. This plan provides customers with version upgrades/product updates i.e. service packs, tax updates, access to CustomerSource, Transformational Assurance, Transition Investment Credit, and System List Price Protection as well as access to publisher support plans. What many customers overlook is the benefit of unlimited, FREE, online training accessible from anywhere, available anytime at a self-directed pace.
Review Software for Automation Capabilities
Microsoft is delivering some great things around WWF (Windows Workflow Foundation) in the next version of Microsoft Dynamics AX (2009). An often overlooked way to do more with less is to automate with Workflow, enabling you to get more out of your systems. The most important aspects of any Workflow application are monitoring of required actions, escalation of overdue activities to various employees, managers and/or departments. Capture of data such as date, time, employee, and departmental response used within the defined process as well as assuring adherence to company defined processes can provide immediate value. Many directors have indicated that it is quite possible to receive additional funding for process automation projects when they can map them into larger enterprise-wide compliance initiatives such as Governance, Risk and Compliance (GRC) and Quality Assurance.
Finally, when you look at your Microsoft Dynamics AX budget for next year or review for possible cuts, remember that not all costs are equal. Special attention should be paid to costs that can excel the organization’s capabilities in the areas of product development and human capital. Speed-to-market and knowledge are two assets that will position the company well when the economy starts to heat up again and opportunities in the marketplace increase.
