A common dilemma that organisations face is the decision of whether to purchase software or develop it in-house

A common dilemma that organisations face is the decision of whether to purchase software or develop it in-house. With the option of purchasing software, depending on the number of licenses you need, the expenses can grow dramatically, and in some cases, costs extend beyond an initial purchase price (e.g. royalties from any products developed using a purchased development programe). Moreover, purchased software may not have all the features you need to accomplish whatever tasks your organisation is pursuing. Purchased software might only meet some software requirements. Nevertheless, building software in-house is a time-consuming process that could end up costing more than just a purchase. In order to aid in such decisions, many organisations hire information systems (IS) specialists. As you might expect, their expertise helps to address many of the noted quandaries. With all this in mind, for this Discussion, you will assume the role of a manager in a company that has a lot of in-house IS expertise. With this human resource at your disposal, your challenge is to devise a set of decision rules when it comes to purchasing a system/software versus developing it in-house.

 

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