How to budget for your Blue Yonder (JDA) WMS project and key enterprise software pricing concepts to consider
Purchasing enterprise software is a strategic decision that requires thoughtful consideration across multiple factors, whether you are buying from a web-based SaaS provider or a dedicated supply chain software vendor.
What differentiates supply chain software vendors?
Enterprise software and services analysts commonly categorize solution providers by their capabilities and suitability for various levels of enterprise. At the various stages of growth, is the software capable of keeping up and adapting to the unique business challenges that will be encountered?
There are dozens of vendors that specialize in simple inventory management and tracking, like Fishbowl Inventory, Shipedge, and Accellos. These vendors can provide the basic processes you need to barcode and ship inventory, but they come with less scalable architecture and lower starting price points (as low as $5,000-10,000 for the software and $25,000-50,000 for no-frills implementation). While these solutions are commonly implemented for small 3PLs, recently funded startups, and craft beverage producers, it is very likely that a thriving business will outgrow the software or need more support in a few years time.
A dedicated supply chain software vendor, like Blue Yonder (JDA / Red Prairie), can handle more complex inventory management scenarios, labor-optimized storage and picking algorithms, and has a strong ecosystem that can provide the services and expertise you need to successfully implement the software and support your operation long-term. JDA WMS typically has a higher starting price point ($250,000-500,000 all-in for a medium-sized facility implementation).
What is included in software pricing?
As this blog post explains in detail, you will need to consider the pricing model (Software-as-a-service (Saas)/subscription or perpetual licensing) that is right for your company based on cash flow and term commitments. Depending on the vendor, the pricing will either bundle or add additional maintenance and support (find out more about these fees here). Finally, you will need to consider your infrastructure strategy, whether on-premise (in your data center), hosting in a vendor’s cloud, or hosting by a third-party. Infrastructure can be one of the biggest ongoing costs, which is why we have partnered with a leading private cloud data center to offer managed Accelogix Cloud as an alternative to AWS and vendor cloud.
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