Updated: January 2026
Enterprise software decisions involve different calculus than startups: security compliance, integration with legacy systems, global deployment, and governance at scale. The stakes are higher, the procurement process longer, and the cost of wrong choices measured in millions. Here's what actually matters when evaluating enterprise software.
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SOC2, GDPR, HIPAA, FedRAMP—compliance requirements drive tool selection. Shadow IT creates risk when approved tools don't meet user needs.
Enterprise environments have decades of legacy systems. New tools must integrate with existing infrastructure, often requiring custom work.
Rolling out new tools to thousands of employees requires training, documentation, and change management. Adoption failure is expensive.
Long-term contracts and deep integrations create switching costs. Evaluating data portability is critical before commitment.
SSO/SAML, SCIM provisioning, audit logs, data residency options, and role-based access control are non-negotiable for enterprise deployment.
Enterprise support means dedicated success managers, guaranteed response times, and phone support. Verify actual support quality through references.
Ask for case studies of similar-sized deployments. Tools that work for 50 users often break at 5,000. Performance at scale must be verified.
License cost is just the start. Factor in implementation, integration, training, and ongoing administration. Enterprise deals often hide costs.
Enterprise software runs $20-200/user/month for SaaS, plus implementation costs often equal to 1-3x the first year license. Budget 6-12 months for full deployment of major platforms. The cheapest vendor rarely offers the lowest total cost of ownership.
Start with a pilot program in a single department or region. Define clear success metrics before rollout. Involve IT security early—discovering compliance gaps late kills deals. Get executive sponsorship for change management resources.
Simple SaaS tools: 1-3 months. Major platforms (ERP, CRM, HCM): 6-18 months. Complex custom implementations: 1-3 years. The timeline depends on integration requirements, data migration complexity, and organizational readiness. Always add 50% buffer to vendor estimates.
At minimum: SOC2 Type II. Additionally, GDPR compliance for EU data, HIPAA BAA for healthcare, FedRAMP for government, and ISO 27001 for international. Request penetration test reports and security questionnaire responses. Verify certifications are current.
Request demos tailored to your use cases, not generic presentations. Ask for customer references at similar scale and industry. Conduct a security review. Run a pilot with actual users. Negotiate contract terms before finalizing—everything is negotiable in enterprise deals.
Build only when: it's core to competitive advantage, no vendor solution fits, or regulatory requirements demand it. Otherwise buy—vendor solutions are cheaper, faster, and include ongoing innovation. The build vs. buy decision should heavily favor buy for commodity functions.