In today's economic landscape, all CIOs are under the same pressure - to greatly reduce operational spend, but without increasing business risk.
The answer is a simple one, really. Go enterprise open source. Now, more than ever, open source should be seen as an attractive and even compulsory alternative to high-priced proprietary solutions.
These days, every piece of proprietary software and hardware has an open source option that is just as good - if not better.
Many proprietary products are lifting product and licence fees to in order to keep afloat in the economic downturn - some as much as 40%. It is up to the CIO to decide whether he is willing to go along with these radical new pricing structures, or whether to look at open source as a solution to help tide his business through this difficult time.
Saving staff
Not only are operational budgets being slashed, but many organisations are being forced to cut jobs to keep up with the current financial pressures. Moving to enterprise open source could mean saving jobs and retaining essential skills in many instances, benefiting both employee and employer.
Job losses as a result of the economic downturn is a worldwide stumbling block, and SA is far from being immune to it. As a country that has been struggling with a skills shortage for years, it would be wise for companies to hold on to their staff, particularly at this time.
These days, every piece of proprietary software and hardware has an open source option that is just as good - if not better.
Muggie van Staden is MD of Obsidian Systems.
The labour union Solidarity spoke to media close to the end of last year, stating that in the second half of 2008, unemployment stood at 23% - a number they predicted would increase by 25% in the first three months of 2009. Many unions are currently threatening strike action against the uncontrollable job cuts and the multiplicity of retrenchments.
Although mining and manufacturing are the hardest hit locally, all industries are being affected.
“There is an urgent need to respond to the challenges relating to job losses in many of SA's sectors,” stated National Skills Authority chairperson Silumko Nondwangu, at the first skills development conference in Johannesburg earlier this month. “The extent of the global crisis and its impact on SA called for bold and decisive action.”
What this comes down to is either getting rid of staff or decreasing operational costs to supplement many salaries. And with proprietary products and licences continuing to rise, this should not even be seen as an option.
Decisive action
I have seen a dramatic increase in interest in open source during the past three months, from larger corporations (especially the banking sector) and small companies alike. There are a multitude of enquiries from companies that want to move from Unix to Linux, and most of the current queries I have been receiving have been around the middleware space.
This escalation is indicative of many companies realising the cost-benefits of employing open source solutions, which are especially significant at this time. In fact, many of the organisations are saying that for the first time they are being forced to consider an open source alternative.
Changing mindsets
There are many reasons why people are still hesitant to move to enterprise open source solutions. From seeing open source as unstable and cheaply developed, to those that are just afraid of organisational change - none of these reasons are valid anymore.
Open source software is usually developed to open standards, allowing customers to integrate and migrate a lot easier. Not only are they guaranteed certified solution stacks, they enjoy enterprise-level support that can assist in managing any business risks. Enterprise open source provides a perfect blend of solutions to address all business requirements.
The current dim economic outlook is predicted to persevere for quite some time and constant changes - big and small - will continue to be experienced in all areas of business. Why not move to open source to save costs?
It's simple - open source builds better software. With better developed software at a better price, what more could companies ask for?
* Muggie van Staden is MD of Obsidian Systems.
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