Most of the conversation around commercial tech stacks focuses on features. Innovative AI technology, third-party integrations, built-in workflow customization, and other staple features are important, but many platforms offer similar features for small businesses but become either too complex or expensive to operate efficiently as your business scales.
For example, a small business CRM program with the limited features that a mom-and-pop shop needs may advertise third-party integrations as a “great way to scale” their feature set to meet your needs as you grow, but doing so will require you to pay for concurrent licensing fees for any application you want to integrate. So, this platform seems to meet your needs with modularity on the surface, but the reality of actually leveraging integrations as your primary vector of scalability can be pretty miserable.
So, to help businesses understand what makes a tech stack scalable, and how to build a scalable tech stack, this guide will cover:
- Metrics of scalability
- Out-of-the-box vs custom software
- The best deployment strategy
Let’s dive into each to better understand what makes a software stack scalable, and the next step to take to improve yours.
Metrics of Scalability
There are many different metrics that enterprise software can be measured by, but for scalability specifically, the following are the most important:
| Base Features | The base features of your chosen software should meet 80-100% of your business’s needs to avoid over-reliance on expensive and complex integrations. |
| Third-Party Integrations | To make up the remaining 10-20% gap in functionality, compatibility with common third-party apps is still helpful when financially viable. |
| Long-Term Affordability | Scalability is relative to both company size and age, meaning that the cost of continued use of a software tool is an important consideration many start-ups don’t consider. |
| Cloud Storage Capacity | Software providers almost always provide some amount of cloud storage, but will upcharge as your company requires more and more capacity over time. |
| Security | As your company begins to handle higher volumes of funds, client information, and sensitive documents, security becomes even more important. |
Considering all of the above is vital when determining whether a software tool– or stack of tools– is truly scalable for your business.
For many businesses, there is a genuine question as to whether an existing out-of-the-box (OOTB) software tool can provide scalable results. In these cases, it is important to consider whether custom software developed by a third-party developer may be a better option.
OOTB vs Custom Software
| OOTB Software | Custom Software | |
|---|---|---|
| Base Features | Base features are limited by what is available on the base platform, with some platforms offering upgraded functionality for an extra charge. | 100% of the features that currently available tech can accommodate as long as a quality developer is hired to create the software. |
| Third-Party Integrations | Vary depending on the platform, with bigger firms like Salesforce and Microsoft offering more third-party compatibility. | Custom developers can ensure that your tool is programmed to integrate with whatever other software your business would like to continue using. |
| Long-Term Affordability | Continued use requires perpetual licensing fees, including those for any third-party tools needed to reach 100% of your business’s needs. | Larger up-front investment, but no need to pay a continued licensing fee, and the value of the IP created is added to the value of the company purchasing it. The longer you use custom software, the more cost-effective it becomes. |
| Cloud Storage Capacity | Varies by provider | Varies by provider |
| Security | Varies by provider | Security protocols and features can be customized by a quality developer to comply with any industry regulations or other security best practices. |
When deciding whether or not custom software development is worth the investment in regard to scalability, consider all of the following:
Overall, getting custom software developed by a quality developer offers advantages in almost every metric of scalability. While the up-front costs tend to be larger, the guarantee of essential features included in your base software, lack of perpetual licensing fees, and increase in company value associated with custom software development make it a better option for long-term scalability.
Build a Scalable Tech Stack with 7T
At 7T, we use a “Business First, Technology Follows” approach to create CRM/ERP solutions for our clients across countless industries. Our custom-built platforms leverage machine learning and AI technology to deliver significant operational advantages with a robust ROI. Our team will audit your organization’s challenges, often showing up on-location to embed ourselves in your workflow to understand your needs from a first-person perspective. Then, we’ll architect a value-generating solution to transform your vital processes and meet your goals.
7T is based in Dallas, Houston, and Charlotte, NC, but our clientele spans the globe. If you’re ready to learn more about how to improve ERP systems, contact 7T today.
