Wednesday, June 3, 2009

Open Source – A trend for the SMBs

Any business, be it small or large is because of People, Project, Process and Technology. Earlier the organization had more focus on People and Projects. People were hired and put into the projects. But today “technology” plays a vital role in the development of any business. This is because technology is applied onto a project to keep track on the processes and activities which in turn helps the people of the organization to achieve goals and success.

But today, so much has been spent on technology that there is a need to set up a secure, cost effective and at the same time productive IT infrastructure. Big brands like HP, Microsoft, Adobe, Oracle and many others who have created the tech market, also are leaving a big hole in our pockets. So where should the Small and Medium Enterprises (SME) look in for technology? The answer being simple is difficult for many to digest is “Open Source”.

According to opensource.org “Open source is a development method for software that harnesses the power of distributed peer review and transparency of process.” Let us understand what actually the above statement means.

Free Redistribution of license, distribution of original or modified source code under the same terms and conditions, the license may restrict source-code from being distributed in modified form only if the license allows the distribution of "patch files" with the source code for the purpose of modifying the program at build time, license must not restrict other software or be specific to a product.

Let us take an example, today when we buy Microsoft Office; we get the software license for usage for around Rs. 20,000 or more. This is renewable license but each up gradation of license would cost extra every year. If you do not renew then your software will expire and after that you would be using pirated software which is not legal.

At that time open source “Open Office 3.0” comes into picture wherein you get the license once you download. After this you have the power to use the software for as much time as you want and for no cost at all. You can also distribute the product for free in compliance with the terms and conditions. If the software has newer versions, all you have to do is download the latest version or update your existing patch code with new patch code.

So when one asks “how do I come to know about the open source alternative of a software”, I reply- with little knowledge, eagerness to learn and an Internet connection one can simply browse to learn the alternatives. Because they are easy to learn with available “help menu” and save you from piracy of software. Apart from this, open source awareness has led to online demo of many types of software on the net.

To actually help you understand, how open source would be benefiting you in terms of cost and usage, let us look at the comparison below along with available options:

S. No

Commercial S/w

Price (Rs.)

Open Source S/w

1.

MS Outlook

5,000/user

Zimbra

2.

Tally

36,000

GNU Cash

3.

MS Office

13,824/user

Open Office

4.

Adobe Reader

8000

PDF Creator

5.

Adobe Photoshop

5000

Gimp

6.

Video Uploading on your website

Kaltura

7.

Web Conferencing tool

Save travel cost

DimDim

8.

MS Proj

OpenProj

9.

Sales Force

3250/ user/month

SugarCRM

10.

Mc Afee/ Norton

2000+/user/year

ClamWin

11.

WinZip

1500

7 zip

12.

Nero

3200

InfraRecorder

13.

MySAP HR

OrangeHRM

14.

Windows XP

6500/desktop

Linux-ubuntu

15.

SAP ERP

10- 25 Lakh

OpenBravo

So you can actually total up your cost of commercial software and save that much amount by using open source model! For SMBs, this can be one suite for their organization IT infrastructure with which they can “develop relevant knowledge and sustain themselves with open source in these recessionary times”.

For more details on open source, watch the space on upcoming SME Portal- IT Solutions.

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