Inside Project Madeira | The Spotify of ERP Systems

I lost count of this series, but I think it is number five. If you want to read my thoughts on Microsoft project “Madeira” please us the inside project “Madeira” tag.

To write blog articles like this, one needs inspiration and since Dynamics NAV is more hobby for me than work I take it everywhere. Today I got inspired at my youngest daughters first public musical performance.blokfluit

Like most of us she starts on a recorder learning to read notes and play. She did a wonderful job and I was a proud dad.

After her performance some older kids from our little town played in a b-level orchestra which did not sound bad at all for their age. According to the condoctor they studied their instruments for several years.

Dynamics NAV, a live orchestra

A bespoke well implemented Dynamics NAV installation can be like listening to an orchestra in the Royal Concert building in Amsterdam. It takes a lot of physical elements to be in perfect harmony and a lot of experienced craftsmen that are working like a team and the result is more important than the individual performance.Concert

It takes many years of practice, discipline and team effort to have a good performance and the location has to be perfect too.

The audience that attends a concert like this enjoys every moment of something as special as this.

There are many Dynamics NAV installations that are like this. In the company who implemented NAV they realise that it is very special and the project gets the attention they need. These companies are succesful because they have something not a lot of other have and it attracts others who want to be part of it.

I am lucky to have a few customers like this.

Making Money

As a product, when you look at Dynamics NAV, the way partners get it from Microsoft is like the instruments of an orchestra. Potentially usable for a great result but it requires a conductor and experienced experts to get the best out of it. This has always been by design and (new) partners complaining that it was hard to make it work simply got a “try harder” advice from Microsoft.A keyboard with a green key reading Make Money

In an ecosystem which is not repeatable, making money is hard. If you overprice your concerts nobody shows up and if you perform with mediocre musicians the attendees will complain.
This is the problem for Microsoft. They don’t make a whole lot of money on NAV because it can only be used in special situations.

Make it more repeatable

To make music more repeatable you make an album and put in on a carrier like a CD. Then you pick a distribution channel and try to sell them.CD
Some Dynamics NAV partners were succesful in putting their solution on a CD. They started to repeat themselves. Most of them only had one song that a lot of people like and sold a lot of singles. This is what we call a horizonal solution, something everyone likes and needs.
Challenge with this is that it still does not help the greater ecosystem to be more succesful.
Other partners put their song on a large album and started to sell it localy. They are succesful in their own ecosystem but it requires a lot of marketing to break through with the big audience and be truly successful.
Software sold like this is relatively expensive and because of this, people start to make illegal copies to enjoy the solution without paying for it.

Project Madeira, ERP as Spotify

In IT, the cloud is an internet platform that makes shipping software easier but it needs to be easy to use and cheap.
This allowes volume business and the advantage of volume is that it allowes vendors to lower the price.
For music, Spotify is one of the most succesful platforms that allow people to enjoy different music for a flat fee rate which is so low that there is no real reason to buy a CD unless you realy are a fan.Spotify
Project Madeira has a potential to ERP into a repeatable business where everyone can enjoy listening to an orchestra without paying the price for a concert. To make this effort you need the experts only once and everyone can stream it.
What about the concerts
This will not mean going to a concert will die. It will be possible to attend one and enjoy the superb experience of live music which cannot completely be achieved with online streaming.




2 thoughts on “Inside Project Madeira | The Spotify of ERP Systems

  1. So NAV will require artists and Madeira consumers? 😉
    No matter what, then if, as expected, that the “Madeira Extensions” are going to become just as easy to use on standard NAV, then there is no doubt that Madeira will also change how future NAV implementations. That would still require a similar “App Store” for on-premise NAV customers, as for Madeira customers. These are truly exiting times….


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