May 17, 2021
Implementing a new business application system is more than getting the technical work successfully completed. You can have a technical beauty but if it does not meet the business needs, or if people do not adopt it, there’s little chance it will deliver the expected benefits.
Let us assume you purchased state of the art technology and/or application (maybe it is in the top right corner of Gartner’s Magic Quadrant), you have great technical people, a solid design and architecture and it is installed defect-free. But what really makes it successful? I will tell you what does not define success – being on-time and on-budget. Do not get me wrong, those are important must-haves, but they do not deliver or define success on their own.
Following are the additional four elements that are essential for a successful system implementation:
- Business Strategy
If you want results that truly matter, then the initiative must provide the needed capabilities that support the company’s business strategy and goals. Too many IT organizations maintain a separate (wish) list of IT initiatives in their pipeline which is usually filled with excessive demand and little ability to supply.
The business strategy should call out the necessary technology capabilities needed to execute the company strategy and achieve the desired business goals. Stop wasting time with separate IT lists and harmonize the technology needs with the business strategy. There should be only one strategy that includes not only the operational needs, the human needs, product/service capabilities, etc. but also the technical capabilities needed.
- Technology Selection
I admire salespeople because they are so convincing in helping their customers feel that their solution is exactly what the customer wants. I am not implying that they are untruthful but if you ask a vendor “if they can …” I guarantee the answer will be “yes.” But is it the best solution for your needs? Leaving it up the vendor to tell you whether they can meet your needs is risky – you need to do the due diligence for yourself.
I have seen smart, competent business leaders make decisions based on product demos. It is important to see the product, of course, but that should only be used to decide if the product should be included in your detailed evaluation and selection. You need to ensure a comprehensive, and objective evaluation occurs to validate if the solution is the best for you. Although not always possible, part of the evaluation should include having the vendor demonstrate the solution with your data (after signed NDAs, of course). This helps you better visualize how it will fit within your business.
- Process Improvement
Do not assume that implementing a new system will deliver a new or an enhanced business process. The tool and technology are only part of the business process. Even if the entire process is automated there are typically various personnel responsibilities that need to be reviewed, hand-offs between departments, efficiencies, and basic flow that needs to be defined. It is essential that the entire business process is re-evaluated and modified to ensure the new capabilities are delivered and that the expected benefits attained. It also provides the foundational information that people need to understand how things should work and what changes they need to apply when performing their jobs.
- Organization Change Management
You would not implement a new technology or system unless you wanted to achieve change. However, how do you know the changes you want will occur? Will people do things differently or will people resist? How will you ensure people know what to expect, and whether they are adopting the changes?
Organization Change Management is essential to success because you can implement a system perfectly, but it does not mean the business will adapt and embrace the changes. You must have a plan to understand what changes are truly needed (culture, organization, governance, skills, etc.) and how you are going to ensure they happen and are maintained over time.