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February 19, 2010

When Less is More in Case of Enterprise Applications

Enterprise Applications (Especially ERP packages) are meant to be rich in functionality and address a wide range of business processes addressing multiple business needs across an organization. The user set typically includes a core group of key users having a wide span of influence as well as control.  In addition, there are a large number of end users whose span of reference to the enterprise application is generally limited to their specific area of responsibility.

The overall appeal of the rich features and depth in functionality typically impresses the IT team as well as the core group of key users who would eventually have a view into the full system. On the other hand, for users at the other end of the spectrum like for example a warehouse receiver, the new system just means a change in the way he goes about doing his routine job of receiving shipments. From his perspective, does it make sense to be exposed to the actual package?

Going by Pareto principle, majority of the features/functionalities of the application would end up being used by just a bunch of people. Taking the application of this principle even further with respect to enterprise applications, majority of the daily transactions would be usually enabled by just using a limited set of features in an implemented package solution.

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Simplicity is an acquired taste. Mankind, left free, instinctively complicates life.

This is not a blog around a sermon on how we need to live as humans. I came across this quote today morning in a mail forwarded from a friend of mine who herself has 1 blackberry, 1 iPhone, an iPad, a laptop, a desktop at home and a desktop in office…and maybe more - that I do not know; what an irony!

However, most important point is that this triggered my thoughts around what we do in business day in and day out. Some of the thoughts here are disconnected and since I am myself not clear of the ‘right’ way; you will find certain level of cross movements.

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January 21, 2010

Percentage Fitment Anomaly – Gosh! Did I just over-sell/under-sell the product to my client?

Place: Could be anywhere in the world!

Actors: Consultant (Jerry) and Client (Tom)

The Conversation:

Tom: So now that you know my needs; can you tell me what is the percentage fitment for the product you are recommending?

Jerry: Well, this depends on how you see it; but I can assure you it’s a good fitment. Nothing will meet your needs out of the box.

Tom: Can you be more specific? What is the fitment in percentage terms – 40%, 60% or 80%

Jerry: Ok, let me get back to you on this by tomorrow

Jerry lists out all requirements and puts them in an excel sheet; gives a fitment of – ‘Out of Box’, ‘Customization’, ‘Not Applicable’ to each requirement line. And yes, here is the pivot with number of requirements in each bracket. Ready for next day

Jerry: Good Morning Tom; here is the analysis. As I had mentioned yesterday you have a 70% fitment; 20% will be met with customization and 10% are not possible with the product. Net-Net a good 70% fitment is what I see here.

Tom: Hmmn. Looks ok to me. Let’s discuss the statement of work.

Jerry: Sure, Drinks anyone??

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December 21, 2009

MMIX > MMX - The King is dead; long live the King (Year end musing on IT providers space)

This is probably my last post in this year and I feel like sharing my thoughts together at one go.

Yet another year is about to come to an end. Many would like to forget this year as one of the nightmare - job cuts, stagnation, closing businesses, struggling bottom lines, insecurity and unexpected falls. While several things may have gone wrong; there were some very thought through and meticulous business moves that will change the business paradigm in near future.

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X-factor in XRM

Many of the CRM solutions are tied towards relationship management but it is not essentially towards managing a customer. This is where XRM comes into play and X could be an employee, patient, Investor, Partner, or anything.  A typical CRM solution will have the lead to opportunity life cycle but in XRM it will vary depending on whom are you managing.  In short, XRM means extended Relationship management.

The CRM products that are flexible and allow the re-use of the below features will qualify as the XRM product. This is where Microsoft Dynamics CRM scores over its competitors.

1.       UI --> User interface is created by default in the dynamics framework. This can be easily modified and extended using .NET and Silverlight.

2.       Event-Driven --> Microsoft dynamics provides the handle for all the events that cab triggered though batch, integration or through user interface.

3.       Entity-based --> New entities can be created and the relationship can be established between these entities.

4.       Workflow --> User can manage the work flow through a user interface or a new work flow can also be published by the developer.

5.       Security --> Object-based and role-based security model provides the high flexibility to adopt the security requirements of any new processes and/or a new organization structure.

December 10, 2009

Dynamics Unbound - The ‘Clouds’ in ‘Azure’ Sky

Azure is the hue that is halfway between blue and cyan and is generally used for clear skies. With the cloud computing services being provided through the Microsoft Azure platform; am I missing a point. I guess Azure is the platform where the clouds can venture out and in this case in a positive way provide a lot of options to Developers, ISVs, SIs, IT teams and business community at large to end of day lead to “Incremental benefits” for all stakeholders viz. a familiar development experience, on-demand scalability and reduced time-to-market for applications. Microsoft Dynamics has also jumped on this bandwagon and this is what is the most interesting part – as they are one of the early vendors to talk about a hybrid environment of ‘on-premise’ and ‘cloud’ and certain scenarios in which this can work together.

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December 01, 2009

Can ERP be a “Plug and Play” Replaceable Engine?

Recently, I came across an interesting IT strategy of using the ERP solely as the processing engine keeping it largely independent of the end-user UI needs, the presentation layer and business specific customizations if any. The whole idea was to insulate the end users from any impact of future changes in the IT strategy of the organization in terms of changing the technology platform and/or the ERP vendor.

The strategy basically translates into having a common future proof platform for the end-users leveraging the core ERP functions such as GL/AR/AP etc. and incorporating  business logic level extensions in a client specific “Logic Layer”. The presentation layer is largely independent of the package except where it cannot be totally avoided.

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November 17, 2009

Defining solution in ERP: Ten Commandments - Thy shall not falter on them!

Life is never too simple! And who can know this better than consultants. Consultants have their own reasons to follow an approach for achieving a business need using any COTS solutions. However, in my personal experience I feel that any packages product should be used with utmost care and be modified after following some standard principles. There would be lot of pressure from some members of the client team to customize the product so that it has look and feel of the previous application and which lead to reduction of training needs. On the other hand, the IT teams would like to keep it simple to reduce the upgrade costs and the pains associated with it along with recurring cost of maintenance. The aim is to reduce the overall TCO (Total Cost of Ownership) and the APM(Associated Pain of Management). Well the second acronym is my brainchild. Smile

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October 30, 2009

Nano- Innovation : Is this the key to Mid-Markets?

Sometimes the inspiration for an idea is a ‘baby matter’. At least that is what inspired me for this post. There was  a post from Scott Anthony in Innovation Insights section of HBR titled Procter & Gamble and the Beauty of Small by Wins 

Today we are hearing a lot about Innovation and I do believe in the concepts around disruptive innovation and the way the industry has benefitted from the game-changing innovations. Disruptive innovations either create new markets or reshape existing markets by delivering relatively simple, convenient, low cost innovations to a set of customers who are ignored by industry leaders. However, is there a scope of little innovations bringing great benefits as well.

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August 28, 2009

The green colored ERP !

Recently while working on a solution for a client, I realized how important the Green house gas reporting has become for global organizations within a short span of time.  Typically, systems are put in place to increase efficiency/enhance ROI and eventually reduce cost.  With the legal and compliance requirements getting stringent post developments like Kyoto Protocol, global organizations have started noticing the financial costs w.r.t.to green house gas reporting. Although this might be insignificant in comparison to any other cost, solutions addressing the Greenhouse reporting requirements are catching the attention of organizations.

Other than the important driver of meeting compliance, one key factor that appears to me as a very significant reason for organizations taking seriously into GHG reporting is the prospect of trading Carbon Credits which is possible only if there is adequate traceability into the data for the GHG emitted or for that matter not emitted by a particular organization.

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June 12, 2009

Understanding an ERP implementation – Bridge Analogy

This is a simplistic approach of relating an ERP implementation to constructing a bridge (under Build, Operate and Transfer basis by a private contractor) due to the inherent nature of activities being the same in both the scenarios.

The making of a bridge entails site inspection to ground preparation to blueprinting ending with construction where there are tests in the intervening duration to ensure that this is safe and can serve the intended purpose without risking the lives of the users who are going to use this to go from Point A to Point B. The work is not limited to only bridge but also entails making approach roads and giving a complete end to end solution to the commuter needs.

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October 20, 2008

And it happens in a ‘snap’

From the complex setups/data entry forms for end users in the past to the modern day simplistic UI, the ERP applications have come a long way. Today, every organization wants a robust ERP with an easy-to-use user interface that encourage greater end-user adoption and acceptance. One of the major reasons for failure of an ERP implementation has been lack of user adoption. And there is nothing wrong with it. Everyone wants a simple approach to most complex of problems, especially when it comes to conducting day to day business transactions. Its all about getting the right data at the right place at the right time in the right format to meet the right needs.

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July 14, 2008

If everything could be hosted!

Today the buzz world in IT segment is “hosting” and “SaaS” where the clients can convert their CAPEX into OPEX and can use the application on a ‘pay as you use’ basis. Every vendor and service provider is joining the bandwagon to provide these services. The market segment for hosted services is huge, as the market says and there are sufficient buyers of the same. However, the segment, the type, the service, the criticality, the business type and the long term plan should be considered before weighing this option. Though it is a quick solution to implement, the acceptance of the processes, scalability and fitment is sometimes in question. It is widely known that plain-vanilla hosting is a low-margin, commodity business and unless you are the product company, you would not do it! The concept of S+S (Software + Service) as propagated by Microsoft takes a step beyond SaaS to describe the importance of System Integrators and ISVs in this emerging (if not already emerged) ecosystem.

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June 05, 2008

The “framework” conundrum in ERP/CRM

What is the optimum limit to which we should customize an “off the shelf” product to meet the client’s need?

Microsoft Dynamics products have been positioned as more of a framework with “optimal” business processes built into the products rather than “hard-coding” all the business best practices that had been the selling pointy for most of the established ERP in the market. When Microsoft Dynamics brand was launched in market, the idea was to enable companies bring their processes into the system rather than following what is already provided by the product.

There are always people commenting on this positively or negatively, and both are right!

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May 28, 2008

A “Dynamic” twist in ERP/CRM

In recent discussions with some of the IT heads and managers during new business possibilities, I realized that the way they conceive IT as a function in the organization has changed over the years. The IT honchos are now fully agreeing to the KISS (Keep It Straight & Simple) principle and have realized that bringing in greater complexity actually prevents the way organizations would like to respond in an environment needing “flexible” responses. This does not mean that robustness and scalability is not in their mind. However, right now it has moved from realm of “pure technology” based solutions to one that can help solve business problems and are acceptable to people who are going to use this.

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