the doctor was quite disappointed with this article over on the WorldBank Blogs on 10 success factors for implementing [an] e-Procurement System because all of these “factors” were generic success factors for the implementation of any technical system. Let’s look at them at a high level (and direct you to the article for a description of what the requirements are if they aren’t immediately clear to you):
- Governance Principles
- all projects need to be managed and governed, so this is pretty much a “d’uh!”
- Transparency on Legal and Regulatory Frameworks
- any platform that processes any personal, payment, or classified data HAS to adhere to Legal and Regulatory frameworks of ALL countries the corporation operates in, so this is obvious for any platform that requires it
- Strategy Ownership and Sustainability
- it’s classic project management, no owner, everything goes to cr@p
- Implementation and Integration Challenges
- preparing for this is just a given
- Technical Infrastructure and SaaS-based Systems
- all technology implementations need to integrate with the current infrastructure and SaaS systems that contain the necessary data, so this is pretty much a “d’uh!”
- Training & Capacity Building
- well, you need the capacity and the training regardless of the system being implemented
- Engage Stakeholders Actively
- without stakeholder support, it will be hard to get the resources for a timely, successful implementation of any technology
- Align with International Standards
- technology should always align with any regulatory standards in place
- Clear Communication and Change Management
- necessary for the success of ANY project, not just a technology project, so this is pretty much a super “D’UH!”
- Data Security and Privacy
- if the data is personal, payment, classified, trade secret, etc. etc. etc. then security and privacy is of more concern than the tech, so, another ‘d’uh!”
e-Procurement success goes beyond the basics. There are too many six, seven, and, for some multinationals locked into 5-year contracts, eight figure acquisitions that have failed to deliver on the promises made. This is because the selection, implementation, and utilization of such systems goes beyond most back-office tech to get right.
Selection
In our recent article on The Key to Procurement Software Selection Success: Affordable RFPs!, we noted that selecting the right vendor was paramount to success, and a critical requirement in this selection process was a GOOD RFP.
Furthermore, that RFP needed to specify, among a host of requirements:
- typical use cases
- target processes
- globalization requirements
- data migration requirements
- integration requirements
Why are we calling these out? Because these define the key factors for implementation success!
Implementation
Key Factors are thus:
- Primary Components / Modules
- … that are needed to support the critical use cases and target processes, that need to be implemented and demonstrated first
- Test Cases
- that must be passed, in priority order, to ensure the use cases and target processes can be accomplished
- … including multi-lingual use cases
- that support not only the customer organization requirements but the supplier requirements
- Data Migration Requirements
- spelled out in detail, as well as cut-over requirements
- Cross-System Bi-Directional Integration Requirements
- spelled it in minute detail, not just push to the ERP … and considerably more than just a high level holistic strategy … when it comes to tech, the devil truly is in the details and chaos emerges when you overlook even one
Utilization
A system not utilized is a failed system, even if the implementation and integration goes as well as can be reasonably expected. Utilization is critical, especially early on, or widespread adoption will never be reached. This is why it’s paramount that the functionality required for the critical use cases be implemented and tested first so that utilization of key capabilities can begin as soon as possible, leading to adoption.
In other words, the basic checklist for technology implementation is nowhere near enough for the successful implementation of procurement technology — that success requires going deep.