I Love It When A Plan Comes Together

I love it when a plan comes together.
                    - John "Hannibal" Smith

So I had a really cool conversation with a long-time friend over the weekend.  The friend is CFO at a Fortune 2000 company…I won’t call him out here for privacy’s sake, but you would recognize the company name.

Anyway, friend was telling me their story in going to SaaS.  It’s worked out very, very well based on some decisions made early in the process.  We burnt the midnight oil together working through some of those decisions, so it’s always gratifying to hear that they worked out.  I thought I’d share a few here in the hopes it might help somebody reading this…

1. They knew what they wanted going in…much more specifically than simply “transforming the business”.  The desired end states were: a) an improvement in the speed of responding to market-driven changes, and b) a substantial reduction in IT operating expenses.  That’s it.
2. Their approach throughout the project was a strict application of Occam’s Razor:  the solution requiring the fewest assumptions was the right one.  They were passionate about keeping things simple.
3. Another thing this company was very passionate about:  letting go.  Very little data was converted to the new SaaS system.  They started with opening financial balances and historical queryable flat files from their legacy system.  They took a similar approach with their HR records.  Saved huge amounts of money and time in switching to SaaS.
4. More on the letting go thing:  they let go of all their old business processes, opting to use those baked into their SaaS applications suite.  At their first Conference Room Pilot, they came out with an 80 percent fit.  With careful planning and tailoring, they increased that fit to 90 percent by CRP 2.  The last ten percent?  Some of it they decided they didn’t need and some of it wound up on a small, on-prem server integrated with their SaaS apps…mostly at the reporting/BI level.

So the end results?  

First, I should mention that it took this particular company four months to implement and cut over; it could have been quicker, but they invested about one-third of the project effort in “kicking the tires” before going live.  Brilliant...and definitely not my idea.  The testing effort turn out to be a huge help with user adoption within the company.  

Second, they have reduced their IT operating costs.  According to the CFO, IT operating expenses dropped by over 60 percent, mostly due to eliminating the need to maintain their in-house applications suite.  Although my friend also cynically notes that most of the savings from software licensing and support fees was consumed by SaaS subscription fees: “all the SaaS vendors had already worked the numbers on that part of the deal.  Even so, the savings realized through reductions in infrastructure and in-house support were a little more than we expected.”  

Third, are they responding to market changes more quickly?  “The jury is still out.  We just don’t have enough data over a significant period of time to know for sure.  But we have made a few changes based on reactions from our customers and we’re responding in days and weeks rather than months.  We hope that continues."

Are there speed bumps in this story?  Of course.  There's always a little manure involved with the prettiest flowers.  But overall, it's a pretty gratifying story.  By understanding their desired end states before starting the project, by treating simplicity as a discipline, and by letting go of the past to embrace new things, they have some pretty solid early returns.

So, real life.  Somebody got it right.  I love it when a plan comes together.  Don't you?

An Old Trick From An Old Dog

Old dogs look you in the eye, they hold your heart, they never lie,
They bark at planes up in the sky and wish that they were fliers.
Old dogs dream about the past when they frolicked fields of golden grass,
And chased the icy winter's blast, to lie by home fires burning.

Old dogs wander off alone but old dogs know the way back home,
The slightest scent, the buried bone, the hunter home returning.

                                                   - From "Old Dogs" by Bill Staines

I was recently asked how I evaluate different enterprise applications systems.  In all honesty, it's pretty simple:  I use a conceptual chart.  Yeah, really, a single chart.  This is it:

So I look at three different layers of components:  business value, development and deployment.  And I consider the components listed above in each of those three layers.  

I may dig a little deeper in some areas.  And I may even get into some classic system engineering analysis, with figures of merit and all that, but this is the upshot of it.  No sales hooey, no trendy buzz terminology, no nothing.  This is it.  I also use it for solution evaluation:  it's a great little framework for peeling back the layers of the onion and exposing solution risks.

Been using this framework for around seven or eight years now, so I guess that it qualifies as an old trick from an old dog.  But it still works.

An Old Trick From An Old Dog

Old dogs look you in the eye, they hold your heart, they never lie,
They bark at planes up in the sky and wish that they were fliers.
Old dogs dream about the past when they frolicked fields of golden grass,
And chased the icy winter's blast, to lie by home fires burning.

Old dogs wander off alone but old dogs know the way back home,
The slightest scent, the buried bone, the hunter home returning.

                                                   - From "Old Dogs" by Bill Staines

I was recently asked how I evaluate different enterprise applications systems.  In all honesty, it's pretty simple:  I use a conceptual chart.  Yeah, really, a single chart.  This is it:

So I look at three different layers of components:  business value, development and deployment.  And I consider the components listed above in each of those three layers.  

I may dig a little deeper in some areas.  And I may even get into some classic system engineering analysis, with figures of merit and all that, but this is the upshot of it.  No sales hooey, no trendy buzz terminology, no nothing.  This is it.  I also use it for solution evaluation:  it's a great little framework for peeling back the layers of the onion and exposing solution risks.

Been using this framework for around seven or eight years now, so I guess that it qualifies as an old trick from an old dog.  But it still works.

You Can't Do This Backwards

Having returned from a stay-cation invigorated with new thoughts...

There was a time in the world of enterprise software when one could snap up some cool, interesting technology and figure out a way to leverage the new, shiny stuff in a way that benefited the enterprise.  Those days are long gone, if for no other reason than the enterprise software vendors are cranking out new applications, tools and technology far too quickly for a technology-centric user to keep up.  My own employer, Oracle, releases Cloud products at a rate of several per month.  Think about that for a minute:  we're not talking patches or releases, but entirely new products.  That's mind boggling.

In the age of fast and furious enterprise software development, you have to think the business results out ahead to time - what are your desired results or end states?  Then acquire the tech you need to make those desires reality (keeping in mind that you can often use what you already have).  

You can't do this backwards anymore, because it's so easy to get lost in a sea awash in products.