Choosing Applications Software

Off-the-Shelf vs Bespoke (Custom) Software

When an organisation needs software, it must decide between purchasing ready-made software or having software developed specifically for its needs.

Off-the-Shelf Software

Off-the-shelf software is pre-made, mass-produced software available for purchase or download by the general public. It is designed to meet the needs of a broad range of users.

Examples: Microsoft Office, Adobe Photoshop, Sage Accounts, Google Chrome.

Advantages:

• Available immediately – can be purchased and installed straight away with no development time.
• Lower initial cost – the development cost is spread across thousands or millions of users.
• Well-tested and reliable – widely used software has been extensively tested by a large user base, so bugs are likely to have been found and fixed.
• Community support – tutorials, forums, and online help are readily available.
• Regular updates – the vendor provides patches, security updates, and new features.
• Training readily available – staff may already be familiar with popular software, and training courses are widely offered.

Disadvantages:

• May include unnecessary features – the software may have many features the organisation does not need, making it bloated and confusing.
• May lack specific features – the software may not include a particular feature the organisation requires.
• No competitive advantage – competitors can buy the same software.
• Licensing costs – ongoing subscription or licence renewal fees can accumulate over time.
• Dependency on vendor – if the vendor goes out of business or discontinues the product, the organisation may be left without support.

Bespoke (Custom-Written) Software

Bespoke software is specifically designed and developed for a single organisation or client to meet their exact requirements.

Advantages:

• Tailored to exact needs – every feature is designed specifically for the organisation’s requirements.
• Competitive advantage – the organisation has software that no competitor has.
• Ownership – the organisation owns the software and can control future development.
• Integration – can be designed to integrate seamlessly with the organisation’s existing systems.
• No unnecessary features – the software only contains what is needed, making it more efficient and easier to use.

Disadvantages:

• Very expensive – the full development cost is borne by a single client.
• Long development time – it takes months or years to analyse, design, build, and test bespoke software.
• May contain bugs – the software has not been tested by thousands of users, so undiscovered bugs may exist.
• Ongoing maintenance costs – the organisation must pay for any future changes, bug fixes, or updates.
• Dependency on developer – if the development company goes out of business, it may be difficult to find someone who can maintain the software.

Comparison

Feature	Off-the-Shelf	Bespoke
Cost	Lower (shared development cost)	Higher (single client pays)
Availability	Immediate	Months or years to develop
Customisation	Limited	Fully customised
Reliability	Well-tested by large user base	Less widely tested
Support	Vendor support, community forums	Dependent on developer
Competitive advantage	None (available to all)	Yes (unique to the organisation)
Suitability	General needs	Highly specific needs

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Open Source vs Proprietary Software

Open Source Software

Open source software is software whose source code is made freely available to anyone. Users can view, modify, and distribute the code under the terms of an open source licence.

Examples: Linux (operating system), LibreOffice (office suite), GIMP (image editor), Firefox (web browser), Python (programming language), Apache (web server).

Characteristics:

• The source code is publicly available and can be inspected, modified, and redistributed.
• It is usually free to download and use (though some companies offer paid support).
• Development is often done by a community of volunteers and contributors worldwide.
• It is governed by a licence (e.g. GNU General Public License, MIT License, Apache License) that specifies the terms of use and distribution.

Advantages:

• Free or low cost – no licence fee to purchase.
• Customisable – the source code can be modified to meet specific needs.
• Transparent – the code can be inspected for security vulnerabilities or malicious code.
• Community support – a large community of developers contributes improvements and fixes bugs.
• No vendor lock-in – the organisation is not dependent on a single company for updates and support.
• Innovation – rapid development driven by a global community.

Disadvantages:

• No guaranteed support – there is no company obligated to provide help; support depends on the community.
• Steeper learning curve – may not have the polished user interface of commercial software.
• Compatibility issues – may not integrate smoothly with proprietary software or file formats.
• Inconsistent quality – code contributed by volunteers may vary in quality.
• Hidden costs – while the software is free, the cost of customisation, training, and in-house support can be significant.

Proprietary Software

Proprietary software (also called closed-source software) is owned by a company or individual. The source code is kept secret and users are granted a licence to use the software under specific terms.

Examples: Microsoft Windows, Microsoft Office, Adobe Creative Suite, macOS.

Characteristics:

• The source code is not available to users.
• Users must purchase a licence to use the software.
• Development, updates, and support are provided by the owning company.
• Users cannot modify or redistribute the software.

Advantages:

• Professional support – the vendor provides official customer support, warranties, and service level agreements.
• User-friendly – typically has a polished, well-designed user interface.
• Consistent quality – professional development teams ensure a high standard.
• Compatibility – widely used proprietary software often has better compatibility with other mainstream products.
• Regular updates – the vendor has a financial incentive to keep the product updated and competitive.
• Documentation and training – comprehensive official documentation and training are usually available.

Disadvantages:

• Cost – licence fees can be significant, especially for multiple users.
• No customisation – the source code is not available, so users cannot modify the software.
• Vendor lock-in – the organisation becomes dependent on the vendor for updates, support, and compatibility.
• Opaque – users cannot inspect the code for security vulnerabilities.
• Vendor risk – if the company goes out of business, the software may no longer be supported.

Comparison

Feature	Open Source	Proprietary
Source code	Available	Not available
Cost	Usually free	Licence fee required
Customisation	Full (can modify source code)	None (code is closed)
Support	Community-based	Official vendor support
Updates	Community-driven	Vendor-driven
Examples	Linux, LibreOffice, GIMP	Windows, MS Office, Photoshop

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Licensing Models

A software licence is a legal agreement that governs how software can be used, distributed, and modified. Different licensing models suit different needs and budgets.

Single-User Licence

• Grants one person the right to install and use the software on a specified number of devices (typically one or two).
• The software cannot be shared with others.
• Suitable for: Individual users, home users, freelancers.
• Example: A single licence for Microsoft Office Home for one person.

Multi-User Licence

• Grants a specified number of users the right to use the software.
• Often sold in packs (e.g. 5-user, 10-user, 25-user).
• Cheaper per user than buying individual licences.
• Suitable for: Small to medium businesses with a known number of users.
• Example: A 10-user licence for an antivirus product.

Site Licence

• Grants an entire site (e.g. a school, office building, or company) the right to install the software on any number of devices at that location.
• Often the most cost-effective option for large organisations.
• Suitable for: Schools, universities, large businesses.
• Example: A site licence for a school allowing installation on all school computers.

Subscription Licence (Software as a Service)

• Users pay a recurring fee (monthly or annually) to access the software.
• Access is revoked if the subscription lapses.
• The software is often cloud-based and always up to date.
• Lower upfront cost but ongoing expense.
• Suitable for: Organisations that want predictable costs and always-current software.
• Example: Microsoft 365, Adobe Creative Cloud, Spotify.

Comparison of Licensing Models

Licence Type	Users	Payment	Best For	Example
Single-user	1	One-off purchase	Individuals	MS Office Home
Multi-user	Specified number	One-off or annual	Small/medium businesses	10-seat antivirus
Site licence	Unlimited at a site	One-off or annual	Schools, large organisations	Adobe for a university
Subscription	Per user, ongoing	Monthly/annual fee	Any size, cloud-based	Microsoft 365, Adobe CC

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Criteria for Choosing Software

When selecting software for an organisation, several factors must be evaluated to make an informed decision.

Functionality

• Does the software have all the features required to meet the organisation’s needs?
• Does it have unnecessary features that add complexity without benefit?
• Can it perform the specific tasks identified during analysis?
• Does it support the required file formats for input and output?

Compatibility

• Is the software compatible with the organisation’s existing hardware, operating system, and other software?
• Can it import/export data in formats used by other systems?
• Will it integrate with the organisation’s existing databases, email systems, or cloud services?
• Does it work across different platforms (Windows, macOS, mobile) if required?

Cost

• What is the total cost of ownership, including:
  • Purchase price or subscription fees
  • Installation and setup costs
  • Training costs for staff
  • Ongoing maintenance and support fees
  • Hardware upgrades that may be needed
• Is the cost within the organisation’s budget?
• What is the return on investment?

Support and Training

• What level of technical support is available (phone, email, online chat, on-site)?
• Is support included in the price or charged separately?
• Are training materials available (manuals, video tutorials, courses)?
• Is there an active user community for peer support?
• What is the vendor’s track record for responding to issues?

Hardware Requirements

• Does the organisation’s existing hardware meet the minimum system requirements of the software?
• Will hardware upgrades (more RAM, faster processor, additional storage) be needed?
• Does the software require specific peripherals (e.g. a graphics card, barcode scanner)?
• What are the implications for network bandwidth?

Usability

• Is the software easy to learn and use for the intended users?
• Is the interface intuitive and accessible?
• Will significant retraining be required if switching from existing software?

Security

• Does the software meet the organisation’s security requirements?
• Does it support encryption, access controls, and audit logging?
• Is the vendor responsive to security vulnerabilities?
• Does it comply with relevant data protection legislation (e.g. GDPR)?

Reliability and Performance

• Is the software stable and reliable under typical usage conditions?
• Does it perform well with the expected volume of data and number of users?
• What is the vendor’s reputation for quality?

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Cloud-Based vs Locally Installed Software

Locally Installed Software

Software that is installed directly on the user’s computer or the organisation’s local servers. All processing and storage happen on local hardware.

Advantages:

• Works offline – no internet connection needed after installation.
• Performance – processing is done locally, so speed is not affected by internet bandwidth.
• Data control – all data is stored on local machines or servers, giving the organisation full control.
• No ongoing subscription – one-off purchase with no recurring fees (for traditional licences).
• Privacy – data does not leave the organisation’s network.

Disadvantages:

• Installation and updates – software must be installed and updated on every machine individually (or via network tools).
• Hardware costs – requires sufficiently powerful local hardware.
• Limited access – can only be used on the specific machines where it is installed.
• Backup responsibility – the organisation is responsible for backing up data.
• Scalability – adding more users requires purchasing more licences and potentially more hardware.

Cloud-Based Software (SaaS)

Software that is hosted on remote servers and accessed via a web browser or thin client over the internet. Processing and storage happen on the provider’s servers.

Advantages:

• Access from anywhere – can be used on any device with an internet connection and a web browser.
• Always up to date – the provider handles all updates and patches centrally.
• No installation – no need to install software on local machines.
• Scalability – easy to add or remove users as needed.
• Reduced hardware costs – processing happens on the cloud, so less powerful local devices can be used.
• Automatic backups – the provider typically handles data backup and disaster recovery.
• Collaboration – multiple users can work on the same document or project simultaneously.

Disadvantages:

• Requires internet – cannot be used without a reliable internet connection.
• Ongoing costs – subscription fees accumulate over time and may exceed the cost of a one-off purchase.
• Data security concerns – data is stored on third-party servers, which may be a concern for sensitive information.
• Less control – the organisation depends on the provider for uptime, performance, and security.
• Performance – may be slower than local software, depending on internet speed and server load.
• Vendor lock-in – switching providers can be difficult, especially if data formats are proprietary.

Comparison

Feature	Locally Installed	Cloud-Based
Internet required	No (after install)	Yes
Access	Specific machines only	Any device with internet
Updates	Manual/pushed to each machine	Automatic by provider
Data storage	Local servers/machines	Provider’s cloud servers
Upfront cost	Higher (licence + hardware)	Lower (subscription)
Ongoing cost	Lower (maintenance only)	Higher (recurring subscription)
Collaboration	Limited	Excellent (real-time sharing)
Example	Microsoft Office (desktop)	Google Workspace, Microsoft 365

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Application Software Categories

Application software is software designed for end users to perform specific tasks. It can be categorised by function.

Productivity Software

Software that helps users create documents, manage data, and complete everyday business tasks.

Software Type	Purpose	Examples
Word processor	Creating and editing text documents	Microsoft Word, Google Docs, LibreOffice Writer
Spreadsheet	Organising data in rows/columns, performing calculations	Microsoft Excel, Google Sheets, LibreOffice Calc
Presentation	Creating slideshows for presenting information	Microsoft PowerPoint, Google Slides
Database	Storing, organising, and querying structured data	Microsoft Access, MySQL, LibreOffice Base
Project management	Planning and tracking project timelines and tasks	Microsoft Project, Trello, Asana

Communication Software

Software that enables people to communicate and collaborate.

Software Type	Purpose	Examples
Email client	Sending and receiving electronic messages	Microsoft Outlook, Gmail, Thunderbird
Video conferencing	Real-time video and audio communication	Zoom, Microsoft Teams, Google Meet
Instant messaging	Real-time text-based communication	Slack, WhatsApp, Microsoft Teams
Web browser	Accessing and viewing websites	Chrome, Firefox, Safari, Edge

Design Software

Software used for creating visual content, technical drawings, and multimedia.

Software Type	Purpose	Examples
Image editor	Editing photographs and creating digital artwork	Adobe Photoshop, GIMP
Vector graphics	Creating scalable illustrations and logos	Adobe Illustrator, Inkscape
Desktop publishing (DTP)	Creating page layouts for print (posters, magazines)	Adobe InDesign, Microsoft Publisher
CAD (Computer-Aided Design)	Creating precise technical and engineering drawings	AutoCAD, SolidWorks
Video editor	Editing and producing video content	Adobe Premiere Pro, DaVinci Resolve
Web design	Creating and editing websites	Adobe Dreamweaver, WordPress

Database Software

Software specifically designed for creating, managing, and querying structured data collections.

Feature	Description
Tables	Store data in structured rows (records) and columns (fields)
Queries	Allow users to search, filter, and extract specific data
Forms	Provide a user-friendly interface for data entry
Reports	Generate formatted outputs for printing or sharing
Relationships	Link tables together to avoid data redundancy

Examples: Microsoft Access (desktop), MySQL (server-based), SQLite (lightweight/embedded), Oracle (enterprise).