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Business Benefits- Customized or Configured Software?
Business Benefits- Customized or Configured Software?
Configured software or customized software – which type of approach is best suited to your company?

When you look at mission-critical software for your business enterprise, you have a choice. You can choose “out-of-the-box” software that can be customized as per your needs, or you can hire a company to design custom software from the very first line of code. 

Which approach then, is best suited for your company – configured software or customized software? That’s the question we look to answer in this one.

Key Pointers

  • Configured software

  • Customized software

  • Customized or configured software?

Configured Software


When you look between configured software and customized software, it helps in knowing exactly what you can expect. In reality, though, both software kinds have their benefits – and their shortcomings.


Configured software is any pre-existing application that contains tools and add-ons you can use to personalize the experience for your company’s needs, without writing any new code. You can use configured software to best match your business operations for integration with the other software you currently use. 


For example, KBMax’s 3D product visualization software can be easily configured for products that are offered by individual companies. There’s no customization needed – its CPQ products can be easily fitted according to the business needs through multiple options within the software itself. 


A few features of configured software include the abilities for:

  • Adding custom fields to all forms

  • Configurable dashboards

  • Template modification

  • Installation of plug-ins

  • Integration with present platforms

  • Modifying app properties

Working of Configured Software


Configured software is delivered to you “out-of-the-box,” all prepared for a standard installation. It also comes in a default configuration, pre-loaded with basic tools for common functionality. Your IT staff or consultant can then also configure the software to suit your specific needs.


Most of the configured software makes configuration pretty easy by using selectable options, pull-down menus, and also plug-ins and add-ons. Configured software does not need any programming to power a given configuration. All configuration tools are included with the software or also available from the software manufacturer, sometimes even at some added cost.

Benefits of Configured Software


There are many benefits of choosing configured software over customized software. They are:

  • Cost-friendly: Off-the-shelf configured software generally costs much less than customized software – and also has lower maintenance and support costs over the long term. 

  • Easy integration with other software: Most configured software work with your existing back-office systems (like your CRM or ERP) out of the box with no need for customization.

  • Quicker Operational Pace: Most configured software can be easily installed and configured in much less time than it usually takes to custom-build an application from the beginning.

  • Regular upgrades: Configured software gets regularly updated by the developer for all users; customized software has a less frequent and more personalized upgrade schedule.

  • More support options: Most off-the-shelf software are supported not only by the original manufacturer but also by many third-party firms, while customized software is only supported by the firm that designed the app.

Shortcomings of Configured Software


Despite many benefits, configured software is not suited for every situation. Some of the biggest setbacks of configured software are:

  • Limited functionality: An out-of-the-box configured solution may fall short of the functionality of custom software.

  • Limited customization: Configured solutions will not be as customizable as a custom-built solution.

  • Integration issues with custom software: If you’re already executing some custom software, a configured solution may not be easily integrated with a less-standard custom platform. 

  • Requires special skills to configure: Just because software is configurable doesn’t mean it’s easily configurable – you might still need to bring an experienced third-party agency for the configuration.

Customized Software


Unlike configured software, which is standardized and then sold to multiple users, customized software is developed for and marketed to one company at a time. Customized software needs to write new programming code for meeting the specific needs of a given business.

The goal of customized software is to deliver a solution that is suited to the needs of an individual business. Customized software is perfect for creating all sorts of custom elements, including:

  • Menus

  • Dashboards

  • Forms

  • Reports

Working of Customized Software


Some customized software may begin with a codebase that is then customized for individual clients. This software builds on established code that is tailor-made for specific needs and applications. The customization goes much beyond the basic options available with configured software and needs advanced programming. 

Other customized software is developed from scratch, specifically even for a single client’s needs. In either case, there’s a lot more work with customized software than it is with configured software, and it’s reflected both in longer development times and higher costs.

Benefits of Customized Software


There are many reasons why a company might want to choose a customized rather than configured software solution. The benefits include:

  • Better suits your business operations: By customizing all critical software elements, you can ensure that it perfectly suits the way your business works.

  • Integration with other solutions: Not all configured software can easily be integrated with custom software solutions. Custom software can be coded to integrate with any other software and platforms you use.

  • Completely customized reporting: If you have a specific manner you want things to be reported, developers can custom code the reporting solutions.

  • A truly unique solution to your company: With custom software, you receive a solution that no other company has – it's totally unique to you.

Shortcomings of Customized Software


While customized software might look like the perfect solution for your business, it has several drawbacks, that include:

  • High costs: Developing new software is expensive. The cost of developing custom software varies wildly. ConsultingWhiz estimates that the price of a medium-sized customer software can be between $10,000 and $50,000, while a larger and more complex project can cost up to $1 million or more. 

  • Long development duration: Unlike configured software, which can be up and ready to use in a matter of days, developing custom software is time-consuming. According to a GoodFirms survey, custom software takes, on average, 4 to 6 months to be developed. 

  • Issues with upgrades: Unlike configured software, which has a regular upgrade cycle, custom software is generally upgraded at the developer’s whim. 

  • Compatibility issues: Custom software does not work perfectly with all available platforms and apps unless a custom integration is developed.

  • Lack of documentation and training: Firms that design custom software are not always experts in creating documentation or providing training.

  • Support limitations: When you have a company develop customer software, they're the only company that supports it – you don't have the option of changing support companies later. 

Which is Best – Customized or Configured Software? 

Choosing between configured or customized software can be a challenge, but you can follow these general recommendations, however.


Go with configured software if:

  • You want to keep your costs reasonable,

  • You need the application quickly,

  • You want to stay assured of upgrades and support,

  • You want easy integration with most of the common apps and platforms.

Conversely, go with customized software if:

  • You work in a niche industry and need customized operations or reporting,

  • You need compatibility with the other customized solutions,

  • You want a unique solution that no other company can repeat, giving you a distinct competitive advantage.

The bottom line is that today's configured software is the better solution for most companies – it will cost less money, be available faster, and probably fit most of your needs.

However, if your needs are unique and you have the time and budget, a custom software solution might be the only way to go.