Control is an interesting thing. It happens in life and business. Often, we think control guarantees us the life we want. We try to be in control because we want to to guarantee the outcomes. Obviously, the benefits to having control are very attractive. We think if we can achieve all our goals, create an idea environment and to be perfectly happy. Unfortunately, trying to create an ideal environment is more likely to create hell for everyone. Ironically, our efforts to be in control often cause us to be more out of control.
The need to control destroy people, relationships, businesses and even countries. So, what lies behind a "controlling behavior". Very often it comes from a fear and anxiety. At the core is a fear of not having all needs completely met. As a result, controllers are by a fear of failure, rejection, abandonment and disappointment. Controllers hate to be vulnerable, and therefore try to control all aspects of lives and business. They commonly assume that, “If I’m not in control, then someone else is,” – this is scary for controllers and they are trying to avoid it at any cost.
Control is one of the topics that often discussed in the context of relationships between CAD / PLM vendors and customers. Controlling CAD formats is just one example and it was a topic on the table for many years. In enterprise PLM, it was a topic of controlling database and data model. The most typical conflict is between customers’ demand for openness and competition between vendors.
Recent development of cloud technology created a new escalation of discussion about "control". Now it comes to the control of "software". For many years, customers were in a full control of software and licenses they acquired from vendors. It was true for desktop CAD packages as well as for enterprise software licenses. While desktop licenses were usually dedicated per computer, enterprise PLM licenses usually provided as a license to maintain a specific number of users in the organization. Cloud software is going to disrupt this status quo – CAD / PLM vendors are moving to sell subscriptions instead of perpetual licenses. It spurs lot of debates and discussions. In the past, I discussed business aspects of new subscription models.
My attention was caught by Cadalyst article – The Rising Resistance to Cloud-Based CAD. There are two parts in the article – Part 1 and Part 2. Robert Green brings an interesting perspective on CAD industry moving to the cloud (or how some of journalists call "server-based") form of software delivery and corresponding business models. The tagline of the article is following
CAD Manager Column: It’s in software vendors’ best interest to retain control of their customers’ CAD software and data — but what about the users that rely on that software? CAD managers share their perspectives, including concerns about security risks, control over data, and ongoing costs.
It represents the variety of arguments and comments about issues and problems related to the centralization of CAD software. Read an article and draw your own opinion.
There are two type of users here – CAD managers and actually engineers – CAD users. Although, their interests are the same, their perspective on the role of software vendor in delivery of software (and specifically cloud software) can be different. On the other side, there are software vendors. Cloud software and subscription business models are bringing changes to the world of vendors by forcing them to think more about every day user experience and services.
The article made me think about two things – (1) trust and (2) fear of change. One of the fundamental things in subscription business models is trust. In my view, it is something that helps customers to keep buying subscription and using services provided by vendors. You can apply it to any type of SaaS software and it will be the same. The second is "fear of change". This is why anxiety about the future CAD experience is coming from. The world was a good place until now – everyone knew their roles, behaviors and responsibilities. This is a fear about future disruption with unexpected behaviors and potential to lose control.
What is my conclusion? Cloud is here and it will disrupt industries and existing software business. The discussion about the change is very important. It is already happened in some domains – the time for CAD and PLM came. The change won’t be easier and won’t happen overnight. Some segments are more sensitive to the change. Regulated industries, defense contractors and large companies. But many segments are not and this is where change will start happen.It will also come from new people that are coming to CAD industry – the generation of people that formed their habits based on contemporary web software and tools developed for the last 10 years. Providing services is different from selling software. It will come down to responsibility of vendors and customer trust. Just my thoughts…
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