CMMS Insight Blog

Why CMMS Software Price Matters Most of All

Feb 17, 2020 12:39:05 PM / by CMMS Insight Staff

Facilities managers often find that CMMS software is a versatile tool for managing assets, inventory, processes, and maintenance in complex and highly accountable sectors like utilities, higher education, public works, manufacturing, and more.

Typically, added features include scheduling, reports, and analytics for greater monitoring, insight, and decision-making, as well as mobile access for greater employee efficiency. And while facilities managers work hard to ensure they select CMMS services aligned with their specific industry needs, it’s essential to also consider price when looking at CMMS software solutions.

CMMS Software Subscriptions vs Licenses

Companies are likely to find that CMMS software price plans vary depending on whether they’re paying for a subscription or a licensing fee.

Subscriptions may cover a set number of users per month or per month access (often with a maximum number of users); these plans may also cover a predetermined suite of features.

Subscription fees are paid monthly, although discounts are sometimes offered when quarterly or annual subscriptions are paid in advance. Subscriptions generally cover cloud-based access.

A licensing fee is usually a single lump-sum payment that allows indefinite access to an organization and covers the on-premise installation of a CMMS solution. A licensing fee generally has a higher up-front cost than subscription services do; although sometimes they offer a more full-featured product.

CMMS Software Price Tiers

Many CMMS vendors offer customer pricing according to levels of access and service. Before signing a contract with a vendor, determine which features and limitations are included at each tier.

Are these pre-set packages or can they be modified to meet customers’ needs? Some vendors tailor their products to companies of a certain size – small, medium or large. Determine how easy or difficult it is to move among tiers; as your organization’s needs change, you’ll want a CMMS solution that changes with you.

Other Factors to Consider in Choosing the Right CMMS

Beyond the CMMS software price, there are other financial considerations.

Implementation costs can vary depending on whether you choose a cloud-based service or on-premise installation. Training and support costs can also vary widely. Vendors usually offer limited employee training during the roll-out of a new CMMS solution; however, continued training and development may not be included.

On-going employee support may be fee-based after an introductory period. The same is true for CMMS maintenance costs. The fees for upgrades, updates, and bug fixes may vary depending on the type of subscription or licensing fee paid for the CMMS. And on-premise installations may require a greater commitment from an organization’s in-house IT team to keep it running securely.

It’s not enough to simply choose the best CMMS to meet your organization’s operational needs. It’s also important to find the right CMMS based on CMMS software price.

What seems like a good deal upfront could have significant ongoing fees that end up costing the company more than a similar vendor with a different fee structure. Forecasting future costs can help resolve uncertainties in selecting a CMMS solution that meets performance needs as well as budget constraints.

Topics: CMMS, CMMS Software, Facility Management

Written by CMMS Insight Staff