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Reduce your ECM Costs by 90%

                         Dr. Ian Howells
                      Alfresco Software
           ...
The
Focus
of
2009

●  More Content

●  More Users
●  More Productivity
                            8% Decline in ITSpend
●...
Goal of Webinar and White Paper
                                                          
●  Not a Flakey 5 Year ROI Stud...
Agenda
                           

●  ECM Pricing

●  Methodology
●  ECM Vendor Cost

●  ECM Stack Cost
●  Alfresco

●  S...
ECM
Industry


High Cost   High Complexity     Tie-In
Traditional ECM Pricing and Myths
                                                            


Pricing Model            ...
Methodology
                                                        

●  Basic System – Content Management for the Masses
...
Publicly Available Pricing
                                                            




●  quot;the price analysis GSA...
EMC/Documentum

●  1000 User
    $863,937

●  100 User
    $129,078

●  GSA Pricing




                          9
OpenText
                        

●  1000 User
    $637,304

●  100 User
    $196,754

●  GSA Pricing




             ...
SharePoint
                                  

●  1000 User
    $318,738

●  100 User
    $24,669

●  Pricing
    www.m...
SharePoint Pricing
                                                          

●  Complete Microsoft Stack

●  Basic Prici...
Alfresco
                                                    

●  All Products in One Subscription
    Document
         ...
Alfresco
                      

●  1000 User
    $33,500

    $46,250

●  100 User
    $18,500




               14
ECM Stack Costs
                                      

●  Application Server

●  Database
●  Operating System




       ...
Oracle Database &

                                        Application Server
                                            ...
Microsoft Database
                                                      

●  1000 User DB
    $17,210

●  100 User DB
  ...
MySQL
                                                               

●  1000 User Gold
    $2999

●  100 User Silver
  ...
Microsoft Windows
                                                      

●  1000 User
    $3201

●  100 User
    $2176
...
Red Hat Application Stack
                                                          

●  Stack
       Apache HTTP Server
 ...
Summary Year 1 Cost Savings
                                                   

●  1000 Users
    Save   85% to 96%
●  1...
Summary
      




 22
Open
Source
vs.
Enterprise

                              
So=ware
Model   

Annual Cost             Cumulative Cost




L...
Summary
                                                             


Late 1990’s and early 2000’s   Today
●  The ECM Su...
More Information
                                                        

●  White Paper – Total Cost of Ownership for
  ...
www.alfresco.com




          26
27
Reduce your ECM Costs by 90%
         Questions
                  Dr. Ian Howells
                   January 2009
Lessons in FUD

1.  Open Source doesn’t have Support                Of course you
                                        ...
FUD Repellant

                  Web 2.0 Runs on Open Source
                                            
●  Commoditize:
...
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Total Cost Of Ownership For ECM - Compares Documentum, SharePoint, OpenText and Alfresco

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This is not a flaky 5 Year ROI Study
●  It addresses costs in year one
●  It uses publicly available information – review it yourself
●  It provides tools to help you question your ECM vendors

●  Ask Vendor to Explain Specifically:
-  What are you Selling me
-  What am I Getting
-  What Extra Software do I Need
-  Can you Break Down the Cost
-  Why does it Cost this Amount
- Explain why is it so Expensive
Compared to Open Source

Published in: Technology
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  • This is not at all complete... reads like collateral materials. TCO is not just price, licensing, or what is mentioned here. How long was Alfresco around at the time this was published and what was their goal then versus now? Something important is revealed there.
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  • As far as I know, the comparable product to alfresco and sharepoint from emc is centerstage.
    and public price of centerstage is 250€ (all included) / user :/
    http://www.emc.com/products/detail/software/centerstage.htm
    More and more customers are moving to centerstage because it is full J2EE compliant + robust + not road-map-through-tunnel
       Reply 
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Transcript of "Total Cost Of Ownership For ECM - Compares Documentum, SharePoint, OpenText and Alfresco"

  1. 1. Reduce your ECM Costs by 90% Dr. Ian Howells Alfresco Software January 2009
  2. 2. The
Focus
of
2009 ●  More Content ●  More Users ●  More Productivity 8% Decline in ITSpend ●  More Compliance ●  Dramatically Less Cost 2
  3. 3. Goal of Webinar and White Paper ●  Not a Flakey 5 Year ROI Study ●  Cost in the Next Year ●  Publicly Available Information – Review it ●  Tools Customers to Question Vendors ●  Ask Vendor to Explain Specifically: What are you Selling me   Explain why is it What am I Getting   so Expensive Compared to What Extra Software do I Need   Open Source Can you Break Down the Cost   Why does it Cost this Amount   3
  4. 4. Agenda ●  ECM Pricing ●  Methodology ●  ECM Vendor Cost ●  ECM Stack Cost ●  Alfresco ●  Summary ●  More Information
  5. 5. ECM
Industry
 High Cost High Complexity Tie-In
  6. 6. Traditional ECM Pricing and Myths Pricing Model Cost ●  Complex ●  Per User 1000’s options 1 Hour per Year/24 Hours Per Day     Hidden Extras Pricing Model Type Content Accessed     ●  Lack Transparency ●  Usage Audit Implications Intranet, Internet, Extranet,     Website ●  SharePoint – Free WSS, MOSS Standard and   Enterprise 6
  7. 7. Methodology ●  Basic System – Content Management for the Masses Office Integration   Collaboration   Content Management   Workflow or BPM   Transformation/Rendition Management   Search   ●  1000 Enterprise Config and 100 Users Standard Config ●  Publicly Available Pricing ●  Year One Cost 7
  8. 8. Publicly Available Pricing ●  quot;the price analysis GSA does to establish the Government's Multiple Award Schedule (MAS) negotiation objective should start with the best discount given to any of the vendor's customers.quot; 8
  9. 9. EMC/Documentum ●  1000 User   $863,937 ●  100 User   $129,078 ●  GSA Pricing 9
  10. 10. OpenText ●  1000 User   $637,304 ●  100 User   $196,754 ●  GSA Pricing 10
  11. 11. SharePoint ●  1000 User   $318,738 ●  100 User   $24,669 ●  Pricing   www.microsoft.com 11
  12. 12. SharePoint Pricing ●  Complete Microsoft Stack ●  Basic Pricing ●  http://office.microsoft.com/en-us/sharepointserver/ FX102176831033.aspx ●  Microsoft Software Assurance ●  http://www.microsoft.com/licensing/mla/default.aspx “To be licensed for the Enterprise Edition functionality of Office SharePoint Server 2007, both the Standard and Enterprise client access licenses are required” 12
  13. 13. Alfresco ●  All Products in One Subscription   Document Management, Collaboration and Web Content Management, Records Management, Image Management ●  All Components included   BPM, Workflow, Transformation … ●  No CAL’s ●  No Extra for different Client ●  CPU based 13
  14. 14. Alfresco ●  1000 User   $33,500   $46,250 ●  100 User   $18,500 14
  15. 15. ECM Stack Costs ●  Application Server ●  Database ●  Operating System 15
  16. 16. Oracle Database &
 Application Server ●  1000 User DB   $59,950 ●  100 User DB   $21,350 ●  Pricing   http://www.oracle.com/corporate/pricing/pricelists.html 16
  17. 17. Microsoft Database ●  1000 User DB   $17,210 ●  100 User DB   $8,605 ●  Pricing   http://www.microsoft.com/licensing/mla/default.aspx 17
  18. 18. MySQL ●  1000 User Gold   $2999 ●  100 User Silver   $1999 ●  Pricing   http://mysql.com/products/enterprise/features.html 18
  19. 19. Microsoft Windows ●  1000 User   $3201 ●  100 User   $2176 ●  Pricing   http://www.microsoft.com/licensing/mla/default.aspx 19
  20. 20. Red Hat Application Stack ●  Stack Apache HTTP Server   JBoss Application Server   JBoss Hibernate   MySQL and PostgresSQL   Red Hat Enterprise Linux   1000 User Premium Enterprise Stack - $8499 100 User Basic Stack - $1999 20
  21. 21. Summary Year 1 Cost Savings ●  1000 Users   Save 85% to 96% ●  100 Users   Save 42% to 85% 21
  22. 22. Summary 22
  23. 23. Open
Source
vs.
Enterprise
 
So=ware
Model 
 Annual Cost Cumulative Cost Low Upfront Cost Increasing Savings Lower Project Risk Op Ex vs. Cap Ex
  24. 24. Summary Late 1990’s and early 2000’s Today ●  The ECM Suite ●  Short Approved Vendor Shortlist ●  Single Vendor Strategy ●  Cost this Year ●  Lock-In ●  Reuse Existing Hardware, Software and Skills ●  Choose per Project Cost   Functionality   ●  Review Renewals 24
  25. 25. More Information ●  White Paper – Total Cost of Ownership for Enterprise Content Management   Detailed Breakdown of ECM Vendor Pricing   Detailed Breakdown of Stack Pricing   Detailed Comparison Matrix   URL’s for all Pricelists   All calculations were performed in November 2008 25
  26. 26. www.alfresco.com 26
  27. 27. 27
  28. 28. Reduce your ECM Costs by 90% Questions Dr. Ian Howells January 2009
  29. 29. Lessons in FUD 1.  Open Source doesn’t have Support Of course you know it is more 2.  OK It does have commercial SLA’s but Open expensive really. Source is More Expensive Really 3.  OK it is Supported, Cheaper But it Doesn’t Scale 4.  OK It is Supported, Cheaper and it Scales to run Web 2.0 but it costs More to Configure 5.  OK, OK, OK 29
  30. 30. FUD Repellant
 Web 2.0 Runs on Open Source ●  Commoditize: ●  Scalability ●  RAS ●  Usability Do More with Less 30
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