Choosing a Service Provider to Run Simple
In a recent discussion between SAP’s Richard Strattner and Michael Krigsman, industry analyst and host of CxO Talk, Michael and Richard discussed insights and perspectives on the issues companies face when choosing a service provider and how to be successful in reducing complexity to run simple.
The discussion started with developing an understanding enterprise services. This included a review of the role services plays in the successful outcomes of IT projects and more importantly, what customers require and even demand today from providers. Cost, risk mitigation, speed and measurable results were all goals explored.
Having a baseline defined, Michael and Richard dove headlong into the challenges associated with achieving these goals. They looked at the relationship between complexity in business and complexity in software and explored the idea that software does not need to be complex to solve complex problems and that complexity may be more People generated than system generated. They also looked at the fact that services providers do not need to mirror a company’s complexity to be highly effective in helping implement simple.
At this point the discussion swung to the service provider side on attributes required to drive successful outcomes. Several attributes were explored including technical competency, industry expertise and a level of Trust and shared values with the Customer.
Making customer engagements more straightforward was identified as a key to success. Packaged services, to avoid reinventing the wheel, separating commodity processes from those with strategic value or competitive advantage and an end to end focus on results were all highlighted as must haves. Michael highlighted that shortening implementation cycles adds to success.
The final segment focused on how large projects are rarely a one trick pony. Michael and Richard took on the need for the provider to be instrumental in managing a project’s partners and ecosystem. The pair agreed that steps to exert greater oversight, or influence, on the part of the provider over the services environment to benefit the customer is essential.
The discussion ended with a summary and final set of words of Wisdom from Michael
Watch the replay here:
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