An Open Source Alternative for Enterprise Records and Document Management:

It seems the market is ready for something new

Why Open Source?

• Enterprise software today– Long sales cycles– Huge Capital Outlay – Disconnect between license cost and

manufacturing cost…where’s the value?

• A huge proportion of new license revenue today goes to sales and marketing!– $5-10 for sales/marketing for every $1 on

R&D– You’re paying for a sales guy…not a

product

• While Vendor acquisitions provide new product features they also provide new maintenance revenues

Why Open Source?

Services/ Customization

Proprietary

License

FixedCost

Cost Reductions

Cost Reductions

100%Variable

Cost

Source: Larry Augustin (OSBC2004)

or

Proprietary Open Source Open Source

Services/ Customization

Services/ Customization

Services/ Customization

Hardware Hardware

Proprietary

License

Hardware

Support

Support Support

Is it really new?

• Today, 81% of companies have deployed or are considering deploying open source applications (CIO Insight, 2006)

• 72% plan to expand its use (CIO Insight, 2006)

• Open Source is not new at the infrastructure level, most organisations here today will be running Linux, Apache Webserver, JBOSS, PHP, MySQL etc somewhere

• AGIMO have a guide for Government Agencies looking to understand and make use of Open Source Software

• http://www.agimo.gov.au/infrastructure/oss

“Open source software solutions will directly compete with closed-source products in all software infrastructure markets.” (Gartner, 2005)

So what is new?

• For the first time Open Source is impacting at the Business level,

rather than at the IT infrastructure level.

• Open Source Enterprise Content Management (Alfresco) and

Customer Relationship Management (SugarCRM) applications are

two examples of this.

• Open Source Enterprise Content Management includes Records

Management, Document Management, Web Content Management,

Business Process Management just like all the other vendors…

• …only there is NO CAPITAL COST

So what does it mean for you?

• Open Source means you and your development team get the

source code…– you can fix bugs yourself instead of waiting till the vendor does…

lets face it Australia and New Zealand make up about 5% of global revenue for US software vendors, so how important is it really to them?

– You can develop features and localise applications to make them contextually relevant to your business…without shouting till you’re blue in the face.

• No capital outlay means more budget for building richer

applications…quicker

• “No vendor lock in” becomes a strategic reality

And who is using it now?

Records Management is Risk Management

• Managing your organizations' records is managing Risk.

• The lifetime of a record is longer than the lifetime of most

of the vendors?

• Commercial software is not an effective mitigation of that

Risk…too much control is maintained by the vendor.

• Open Standards and Open Source are the only way to

mitigate the Risks involved.

Records Management is Brand Management

• UBS Warburg fined $29.2 Million

• Lucent Technologies fined $25 Million

• Morgan Stanley fined $15 Million

• Banc of America Securities fined $10 Million

• Philip Morris fined $2.75 Million

• And each of these organisations endured public scrutiny and negative publicity

• …all because they destroyed or were unable to find records

The infrastructure for Enterprise Records Management

• Distributed Input – Capture content anywhere, capture it early

• Ease of Use– Don’t force the user to enter metadata– Don’t force the user to learn new work practices just for managing

compliance

• Automate– Use automatic categorisation– Use business rules to link users and business processes– Link pre-defined retention policies with pre-defined fileplan templates

• Federations– Lots of separate functional repositories joined in a loose federation– Federated Search (discover records across multiple repositories)– Federated Execution (manage records across multiple repositories)

So what does Open Source offer?

• Distributed Input– Integration with Imaging systems

(Kofax, Captiva, eCopy etc)– Web services, JCR APIs

• Ease of Use– Virtual File System (CIFS/SMB Network

Drive)– Rules driven folders

• Automation– Rules driven

classification/categorisation– Pre-defined retention polices linked to

pre-defined fileplan templates– Business process management and

worfklow

• Federations– Loosely coupled repository model– Federated Search– Federated Execution

• In short EVERYTHING…

(Including DOD5015.2 certification)

• So take it seriously…evaluate

it along side your proprietary

systems and see how much

money you can save while

making your users happier

• Come and see us at Stand 4

http://www.lateralminds.com.au