Custom software

As explained in Think Like a CTO

Custom software is software developed specifically for the needs of a particular organization or client.

Custom software is developed specifically for an organization or its clients. It becomes strategically important when clients rely on it to receive what they pay for, or when it supports revenue-critical operations beyond routine back-office systems. section 1.3 section 8.2

The decision is not simply whether to build everything or buy everything. Use off-the-shelf tools and open-source libraries where they solve established problems; build where the organization’s intellectual property, secret sauce, or distinctive integration creates competitive value. Evaluate both options with equal thoroughness. section 8.2

Assess whether custom software warrants dedicated technology oversight by asking:

• Do clients depend on software developed for them or in support of their service? section 1.3
• Has a third-party platform such as Salesforce or Microsoft Dynamics been significantly customized? section 1.3
• Does the organization lack data about how clients use its systems? section 1.3
• Are security, compliance, client-facing servers, or safe testing environments being handled inadequately? section 1.3

Restaurant scale changes the answer

An average restaurant can use online services for common operations and integrations. A global franchise business such as McDonald’s has distinctive operational needs, making a custom solution—and leadership to run it—more appropriate. section 8.2

Figure 8.1 Build vs. buy

Compare build and buy decisions when deciding which capabilities deserve custom development. section 8.2

How Think Like a CTO covers it

How deep it goes

Defines strategic build criteria and evaluation questions but stops short of implementation or detailed cost analysis.

Examples

Uses client-support systems, Salesforce or Microsoft Dynamics customization, ordinary restaurants, and McDonald’s global franchise operations.

What it assumes

Assumes awareness of organizational operations and client needs while distinguishing routine software from enterprise-specific capabilities.

What you can do after

Evaluate whether custom development belongs in the organization’s distinctive value and technology oversight model.

How it connects

Connects custom software with CTO responsibility, build versus buy, third-party platforms, open-source libraries, and intellectual property rights.

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This explainer was generated by Manning's knowledge graph from the text of Think Like a CTO. The section links point to the parts of the book it draws on.