Every business strives to optimize its routine business processes related to customer interaction, increase efficiency in human resources management, financial reporting, or business analytics. That is why CRM and ERP solutions have become an integral part of business.
Due to their availability, russian business software such as Bitrix24, amoCRM, 1C, and Parus have become the most popular in Ukraine.
A recent market study showed that of all the companies in Ukraine that use CRM, Bitrix24 and amoCRM accounted for about 30% and 10% of the market, respectively. And about 70% of Ukrainian companies used 1C, if we count only legal copies.
Also popular in use were russian solutions such as Galaxy, Monolith, EnvyCRM, Prostoy Business, Boss HR or Okdesk.
Nowadays, many companies may not even know that their solution is Russian, because after the introduction of sanctions, clone programs of 1-C, such as BAS ERP, appeared on the market. This system is presented as an independent solution from Ukrainian developers with a familiar 1C architecture and programming language.
Also, a number of systems mimic Ukrainian developments, such as UBS, KBS and UA-budget, which run on the core of the russian 1C under sanctions. They do not guarantee that the aggressor state does not have access to business data.
Despite the ban, some Ukrainian companies are still trying to hold on to these solutions, looking for ways around them – buying software abroad, using pirated or cloned versions of the systems.
Before the sanctions, the advantage of russian solutions was their low cost and language availability, specialized range of services, and customization to the specifics of business in Eastern Europe. But now many companies are sticking with russian systems because they have already accumulated a large amount of data and automation settings there. Moreover, there are still enough specialists working with these solutions.
However, it will still be necessary to migrate, because any prospect of further work with russian products is at risk and will end without preparation or warning.
The risks associated with using Russian programs can be divided into three groups: security, operational, and reputational.
Security risks
Many companies underestimate the possible consequences of data leakage from their systems, especially in the absence of regular updates and a clear understanding of where your data is stored and who has access to it.
Customer databases that have been collected over the years, financial statements, employee information, and technical documentation are at risk. Attackers can easily access your information and use it for their own purposes.
For example, 1-C developers openly admit that their solution is vulnerable to DDoS attacks.
And if today this plays into the hands of Ukrainian and Western hackers, there is no guarantee that tomorrow this vulnerability will not start working against Ukrainian users.
If your company uses a boxed version of software, you are left without product updates. And the cloud version is even more dangerous, because usually the data of Russian programs is stored on the servers of a hostile country – in fact, in the hands of the occupier.
Operational risks
Changes in legislation. Ukraine is gradually integrating into the European financial space, which has different requirements for reporting, production control and consumer data protection. Pirated versions of systems that are not maintained and updated will not be able to ensure business compliance with these standards. The consequences for the business can be critical.
Support for business development. If a company wants to grow and move to new platforms, it needs systems that will meet the growing needs for functionality. From simple support for real-time marketing functions to setting up connectors with online retailers such as Amazon or eBay.
Reputational risks
If your customers and partners find out that you process their data in the unprotected space of banned systems or their disguised clones, they may refuse to cooperate with you. More and more specialists will consider the use and work with russian software unacceptable, which will mean the loss of employees for businesses.
Continued use of banned software in Ukraine will create even more problems until you need to replace the solution urgently, without proper preparation and with the possible loss of all data.
Migrating from one system to another is always a complex and difficult process, but it is necessary if you have been using russian programs. Postponing migration from russian CRM and ERP will simply lead to the fact that when you do have to switch to new solutions, there will be even more accumulated data and settings.
Before choosing a new system, identify the key features you need. Most offerings on the market offer additional flexible customizations. So, there is no need to look for a solution that has extensive functionality right out of the box. Take into account the company’s strategic development plans – entering the markets of other countries, developing e-commerce or international cooperation, etc. A scalable system will allow you to meet your needs no matter how they change.
Migration from russian CRM and ERP to other solutions requires for Ukrainian companies taking into account all local nuances. And OntargIT, as a certified Microsoft Gold partner, will help you with this. Information systems are constantly evolving. And the ability to work with them is the key to a successful business.
Contact us for a free consultation to find out how to choose the right business management solution for you.
