Government agencies today face growing pressure to streamline permitting and planning processes, enhance citizen services, and ensure regulatory compliance. As agencies look to modernize their systems, some jurisdictions may consider generic platforms built on popular customer relationship management (CRM) platforms, instead of choosing specialized, purpose-built permitting and planning software. While it may seem cost-effective or flexible to adapt a generic CRM platform for these purposes, there are significant pitfalls to this approach. These pitfalls not only hinder operational efficiency but can also lead to greater costs, security vulnerabilities, and system failures, especially in larger jurisdictions. Below, we delve into several key challenges, and discuss why agencies should strongly consider a dedicated permitting and planning solution to achieve optimal technical ownership value.
One of the most critical drawbacks of using a generic CRM platform for permitting and planning is the lack of pre-built workflows tailored to regulatory processes. Permitting and planning are highly specialized, often involving intricate, multi-step processes that vary depending on jurisdiction, type of permit, and the nature of the project. These workflows need to be able to handle submissions, reviews, approvals, and interactions with various stakeholders in an efficient and compliant manner.
A generic CRM platform is not designed with these complexities in mind. While highly versatile as a CRM and business management tool, a generic CRM platform does not come with pre-configured workflows specific to zoning applications, land-use reviews, or environmental impact assessments. As a result, agencies are forced to build these workflows from scratch, often leading to delays, errors, and unnecessary custom development. Furthermore, without these workflows being fully integrated, tracking the progress of a permit can become a time-consuming process that involves multiple systems or manually updating spreadsheets, which increases the risk of mistakes and regulatory non-compliance.
Every jurisdiction has its own set of regulatory requirements, policies, and business rules that must be adhered to when issuing permits and managing planning processes. A generic CRM platform, even if flexible, is typically not designed to incorporate these specific regulatory nuances. Government agencies are then faced with the task of adapting the platform to meet their specific legal obligations and organizational needs.
For instance, permitting systems often need to enforce specific workflows, automatically calculate fees based on local regulations, manage conditional approvals, and integrate with other governmental systems (e.g., tax, zoning, environmental databases). While some generic CRM platforms may be able to accommodate these needs with extensive customizations, it’s not always a seamless process. Agencies may find themselves repeatedly making complex modifications or integrating third-party solutions to support regulatory compliance.
In comparison, purpose-built permitting and planning solutions are designed with these requirements in mind. These systems come with built-in templates and configurations that reflect best practices and regulatory standards, ensuring a smoother experience for both users and administrators.
A generic CRM platform, even with powerful customization capabilities, can be more IT-intensive to maintain and modify over time. As permitting requirements evolve, or as new features are needed, agencies must rely on in-house IT teams or third-party contractors to implement these changes. This not only increases operational costs but also creates bottlenecks in the system—especially if the platform was not initially set up with scalability or customization in mind.
CRM-centric platforms typically require continuous involvement from IT specialists who are familiar with the platform’s architecture. Configurations, updates, and customizations can become time-consuming and costly, especially when those changes impact multiple departments or stakeholders. Furthermore, ongoing system updates often require manual intervention, which can be a drain on resources.
On the other hand, purpose-built permitting software solutions often come with a higher degree of flexibility built into the system, making it easier for non-technical staff to make adjustments. Updates, compliance changes, and feature enhancements are often handled by the software vendor, relieving agencies of an excessive IT burden.
One of the most common pitfalls of implementing a generic CRM for permitting and planning is that the solution can appear “feature-lite” when it is first deployed. Although some CRM platforms may offer a wide range of functionality, many of these features are unrelated to the unique needs of government permitting. As a result, agencies may find that their implementation does not include essential features such as real-time status tracking, workflow automation, or compliance reporting that would have been present in a purpose-built system.
Moreover, because generic platforms are designed to be multi-functional and adaptable, they may not offer the depth of features that a specialized permitting solution provides out of the box. As a result, agencies are often forced to engage in lengthy customization efforts, which can delay deployment and increase initial costs. Over time, it may take years and substantial financial investment to build out a feature set comparable to what a dedicated permitting solution would have delivered at launch.
While the initial costs of implementing a generic CRM-based permitting system may seem lower compared to dedicated solutions, the total cost of ownership over time is often much higher. The expense of ongoing customizations, upgrades, integrations, and maintenance can quickly outpace the cost of purchasing and deploying a purpose-built permitting system. Moreover, as the jurisdiction grows or the regulatory landscape becomes more complex, additional functionality may be required, necessitating further expensive modifications.
For example, agencies might need to add new modules for inspection scheduling, online payment processing, or advanced reporting. These modules may either require custom development or third-party solutions, both of which are costly and add complexity to the system.
Additionally, because generic platforms are not inherently designed for permitting, updates or patches that affect core functionality may break custom integrations or workflows, leading to further costs for troubleshooting and repair. Eventually, the cost of configuring a generic system to meet the full feature set of a dedicated permitting platform can exceed the cost of simply opting for a purpose-built solution upfront.
Generic CRM platforms are typically designed to serve a broad range of industries and organizations, not necessarily with scalability for large-scale government operations in mind. As jurisdictions grow in size or complexity—whether due to population increases, more elaborate permitting processes, or a growing number of permits—the generic platform may struggle to keep up with the demands. The platform might experience performance issues, slow down under heavy load, or require frequent manual interventions to maintain system integrity.
Larger jurisdictions often have unique needs, including managing thousands of applications simultaneously, dealing with complex workflows, or supporting a large number of departments and stakeholders. Purpose-built permitting systems are designed to handle the scale and complexity inherent in large government operations. These systems are optimized for performance and can handle high volumes of applications and user traffic without compromising speed or functionality.
Generic CRM platforms are often used as the central hub for various functions. However, when it comes to permitting and planning, these platforms frequently rely on “bolt-on” third-party solutions to deliver core features. This creates significant integration challenges, particularly when trying to ensure data consistency across various systems. For example, permit data might need to integrate with zoning databases, environmental impact reports, or public records systems. When these integrations are not seamless, data discrepancies can arise, and manual intervention may be required to ensure accuracy.
In contrast, dedicated permitting systems are designed with these integrations in mind. They offer built-in connections with other governmental systems and databases, ensuring that data flows smoothly between departments and that information is consistently updated in real-time.
While generic CRM platforms may seem like an attractive option for government agencies looking to implement permitting and planning solutions, the risks and challenges involved can far outweigh the initial benefits. From the lack of tailored workflows and regulatory support to the high long-term costs of customization and integration, agencies often find that such platforms do not meet their needs as efficiently as purpose-built software solutions. Ultimately, investing in a dedicated permitting and planning software solution not only saves money in the long run but also ensures that the system is better equipped to handle the unique requirements and challenges of government regulation and citizen engagement.
