Claromentis Intranet Project Spend Comparisons
I am often asked by potential clients to provide information on how project funds can realistically be allocated across the spectrum of software licenses, services, support and custom design and development.
I think one of the best ways to think about this is to take an example small project and a very large one. So I did this for two recent projects – one a very standard example of a standard Claromentis Intranet product led engagement with a UK company of less than 50 staff, the other a recent deployment in the United States for an unlimited user system with a very significant custom development to provide specific sales related functionality, integration with third party systems and reporting through an Extranet.
Small Project Analysis
What we see with this project is that
- There are only 3 areas of spending – Software, Services and Support
- Software is 75% of the project spend
- Services and Support equally share the remaining 25%
Large Project Analysis
By contrast a large project has significant spending on Development and Design, as well as international travel and general expenses.
- Software licenses are one third of the spend
- Development and design are equal, totaling half of the project
Clearly these are just two examples, but comparing these to our license records for many projects does show that simple projects have a larger proportion of costs related to software licenses, and adding 25% for support and services give a good approximation to the total budget.
However when estimating budgets for larger deployments with more complex and custom requirements half of the project costs are concerned with the delivery of the custom functionality.
In my next post I will be comparing the customer costs for deploying intranets and custom frameworks through our cloud based SAAS offering, compared with a perpetual license model. I will be comparing these costs over a 2 year period.
Custom Development, Intranet-Extranet, Prod-Intranet, Products, Services, Solutions, The Framework



