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Venturing Into Cloud Computing

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Venturing Into Cloud Computing
Once again the implementation of new billing system & New Product Launch has reached another set of obstacle. The below paragraph summarizes the ongoing discussions.

The success of the implementation of our new system for billing and customer management, has been once again has been hit by another hiccup. This time in the form of hidden cost. This set of new cost were unknown to us till recently. I want to bring to your attention the importance that the new software has to me personally as well as to whole company as it has the potential of taking the company on a new level both locally and globally.

You all are familiar with most of the challenges of the implementation of new system. Since day one we have been hit by continuous issues. The increase in development costs is up to 50%, mainly due to oversight of some basic key functionality specifications. On one of the most recent communication we have been notified that due to staffing issues with the former outsourcing company, we have to renew the existing software license. All this gets translated to a cost of $10,000.

Another major communication from development is that: development team has decided that our current database platform was insufficient to meet the needs of the system and that it was absolutely necessary to develop the application on a more modern database MS SQL Server. Although in itself this is good news, the company has to swallow another unexpected cost of $25,000.

Now we are at point of no return. The investment is quite high and the project is well advance as well important/ crucial for us to back out. Even though you all are aware, I still want to point out that the new product cost are higher than expected. Our cash flows have taken a major hit by this implementation project.

Due to continuous increase in cost, the developer has proposed a “meet me in the middle” solution. Developer has proposed that we share his licensed copy. They have suggested that they can install

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