Personnel software specialist Midland Software Ltd, based in Ruddington, Nottinghamshire, will shortly complete its Delphi Freedom range of Unix-based applications software. It says it will launch its Delphi Freedom pensions application, the last in the suite of three, next quarter; the personnel and payroll applications are already in use. The absence function and report designer are near completion and the plan is to put them in beta sites in April. Managing director David Dryden says that eight diverse organisations in industry and local government are using the Delphi Freedom range of payroll and personnel applications. Environments supported by the range include IBM 370 and AS/400, ICL VME and 80386 personal computers. Delphi is an integrated suite of functions that can be used together as discrete functions that can be built up over time. John Mills, chairman and founder of the software house, says that personnel, payroll and pensions functions, traditionally independently managed within organisations, will increasingly become integrated under the ghastly human resources banner. He sees a direct correlation between cost of staff and a willingness on the part of management to organise this resource as efficiently as possible. Midland sees each sale encompassing a long-term service contract: customers pay UKP6,000 per Delphi Freedom application plus UKP600 a month rental. Mills believes that rental gives customers leverage should they experience any problems. A help-line and Dial-Delphi are included in each package, the latter provides consultancy on issues such as government legislation, social security and tax changes and forthcoming European Community legislation. Target is the top UK 500 companies.
Three-day conversion
Mills admits to a handful of rivals but claims that Midland is best placed to dominate the market as mainframe software companies are busy trying to move downmarket, while personal computer-based companies are trying to move upwards. Mills says that large companies are reluctant to buy through value-added resellers, preferring to deal with the originator of the product. He claims to have bagged the majority of new business in the marketplace last year, though he describes Midland’s market share as infinitesimal. Midland recently amalgamated with its sister company in the Ancaster group, Arcast. Zeda Ltd, a facilities management company is also part of the group and a third company is on the way, although Mills declined to give details. The expanded Midland has 160 employees and claims about 250 customers. The UKP9m-a-year Midland claims to have only once borrowed money, in order to move into its new premises. According to Mills, some 70% of profits are re-invested in research and development, which is currently focused on the enhancement of old products, such as linking Unix to VME systems. Midland aims to take about three days to convert proprietary systems to run under Unix. The variety of Unixes, he says, does not pose difficulties, whether Unix V.4, Santa Cruz Unix or IBM/AIX. Mills says Midland has no plans to go public, saying that independent companies are not subject to pressures from the City. Dryden says they can remain fleet of foot, absorbing new personnel gradually and thereby avoiding a sudden influx that would destabilise the company. Dryden adds that growth onto the continent is inevitable, though pensions and payroll are legislation-specific and so may limit growth.
