SAP ROI — Enterprise Architecture & Business Solutions

Strategic SAP & IT Program Development for Measurable Business Value

Screening and Interview Methods to Find the Right Consultant – Part 2

November 18th, 2009

SAP fake consultant and fake resumes

Previously I wrote on the subject of finding the right SAP consultant and how you can avoid getting ripped off, or worst case, having your business wrecked.  That previous article, Screening Methods to Find the Right SAP Consultant, has been widely read, well accepted, and I’m seeing some changes in the marketplace.  Companies are tired of being ripped off along with the lack of results or ROI from their large IT systems implementations. 

At the foundation of SAP or any IT consulting is communication –, clear, concise, easy to understand communication.  If your SAP candidate is unable to speak clearly, and in an understandable manner about the subject, you should immediately be suspicious.  If a consultant has some three (3), five (5), or more years of experience listed on their resume and even one full-cycle project then they must have demonstrated some basic skills or they are likely a fake and a fraud.

WHY would you hire a “consultant” who has a barrier to “consulting?”  And you really have to wonder about any prior ACTUAL experience they have with someone else who did hire them.

If they speak in technical “jargon” and can not “translate” that jargon to normal conversation then it is entirely possible they have never been on an SAP project. One of the key skills that every decent SAP consultant must master is the ability to help client counterparts understand and translate the SAP jargon into plain and understandable business terminology.  If they lack that skill they probably lack the critical experience to help ensure your project is a success.

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This is part of a series which explains the widespread FRAUD involved with SAP, Oracle, or other business software consulting.  I have no issue with H1B’s, student visas, etc., but these folks should be willing to work their way up just like many hard working folks rather than wreck your business and damage the industry through fraud.  For more extensive insight into the problem, AND specific methods for dealing with it, please see some of the other posts:

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Important Consulting and Business Analysis Skills

  • Facilitation skills
  • Meeting skills
  • Process mapping
  • Business case (or whitepaper) development
  • Problem solving
  • Organizational dynamics

If these skills are weak it may be due to personality differences, interaction styles, depth of experience, or other reasons.  However, if they are lacking altogether you are probably dealing with a fake.  Even if the consultant who lacks these skills is not a fake, you probably do not want them on your project anyway if you expect good results.  When it comes time to screen or interview them you might want to think twice if there are any type of language barriers to the employees you will be assigning to work with them.

Let’s look at them in detail one at a time: 

SAP Consultant Facilitation Skills 

On any large IT project, especially an ERP project which directly impacts so much of the business and organization there are:

  • requirements gathering sessions,
  • design sessions,
  • blueprint writing,
  • solution assessments,
  • problem resolutions,
  • fit / gap analysis,
  • business process design,
  • translation of SAP / ERP speak to business language,
  • knowledge transfer,
  • training,
  • and organizational change.

The ability to communicate clearly, in an understandable manner, and to be able to translate application processes and requirements into intelligent business language is a key to these activities. How else are you going to get any kind of a decent blueprint, specification documents, or potential whitepapers explaining your options? If they are in SAPanese or other technical jargon they are virtually meaningless to a business driven project. If there are language barriers or the individual is too technical and unable to speak in plain, non-techie type language how will knowledge transfer and critical change management activities be carried out?

The ability to ”extract” the key information (through facilitation skills) for all of these activities can not be underestimated.  The questioning skills, the language skills, the ability to verify understanding and re-frame the issues in terms that everyone understands are absolutely vital to performing all of these key functions.  On top of that, they are critical to knowledge transfer to your internal team.

Consultant and Business Analyst Meeting Skills

Strong communication skills and the ability to stay on task and on point are critical to a successful project.  It is imperative to have at least fair organizational skills and strong communication skills.  Without strong language specific skills it will be difficult or even impossible to understand, capture, and then summarize the key points of the meeting or to be able to keep it on point.  Together with the actual meeting process there are some meetings where the key point of the meeting must be “socialized” or shopped around even before the meeting ever takes place.  Sometimes you have to win over naysayers or get key supporters on board so that the meeting is more of a formal communication.  You may need to understand and be able to address any legitimate objections key stakeholders may have. This requires language dependent good listening skills, and strong communication skills to be able to try to persuade, influence, and address objections or concerns.  If there is a language barrier there is also some measure of an understanding barrier as well.  Meetings are likely to be unproductive wastes of time.

SAP and ERP Project Process Mapping

Start to finish, A to Z, you must be able to look at a sequence of events and understand their dependencies and any gaps.  This is a central skill for design, blueprinting, and business needs.  Disjointed or “shoe horned” patches of activities are not sufficient to develop a working process.  And you must have strong enough language skills to be able to understand the business terminology, and then translatae that into SAP terminology, and transfer that understanding to the client side participants.

Along with that you must have a decent level of insight to understand what can be enabled by technology and what are inherently manual processes.  After evaluating a process the key is to be able to simplify, streamline, and automate the complex.  Any comprehension or communication gap will negatively affect this ability. If there are technical development requirements do you think that language, understanding, and comprehension barriers will produce good specs for development?  How will they prevent going back and forth and wasting all of the high priced developer’s or other consultant’s time?  

Anyone can take the complicated and keep it that way, or worse, make it more complicated.  The mark of skill AND EXPERIENCE is the ability to take the complicated and make it understandable and workable; the sign of innovation and exceptional skill is the ability to simplify.

SAP Business Case or White Paper Development

Along with blueprinting this requires a significant amount of local language specific comprehension and writing ability.  If there is a language barrier you can forget about a detailed, thorough, and well-done blueprint document, business case for a scope change, or a white paper explaining the options. 

How will they understand all of the issues to present the appropriate pros or cons for an issue, or to explain it correctly?  How will they understand the complex inputs and outputs to translate that into formal requirements that make any sense?

Business and SAP Problem Solving

In the entire ERP space, whether it is ERP, CRM, BI, SRM, or other SAP applications the ability to understand how and where a particular business problem fits into the application space requires deep skill and experience.  That requirement goes beyond what you can get through some self-directed training, a certification program, or even a single project. 

Real problem solving skills require a level of knowledge and understanding of the business, the subject matter, the applicable technology together with a fair amount of creativity.  Language or communication barriers will make this a difficult process.

SAP Project Change Management and Organizational Dynamics

Along with all of these activities you must also evaluate the company or organizational counterparts.  These are often called “core team members” from the business.  You must be able to assess the business area the application will touch on and consider the affects of certain changes on that organization.  The deep understanding demands solid language skills to discern subtleties of the personalities in the organization.  Where there are language barriers the ability to assess and understand the cultural dynamics will be impaired.  When it comes time to evaluate the impacts of certain changes on the organization, and how much change they can absorb, this lack of understanding will create problems.  Where there are gaps here I see CONsultants constantly suggesting technical fixes, new application functionality, or scope changes where the organization is not ready to absorb the change.

Conclusion on Screening and Interview Methods for the Right SAP Consultant

SAP, ERP, and other large scale IT projects are critical to your business and its functions.  Done correctly you can see great results.  Done in the wrong way and the results can be damaging enough to your business that you might be better off taking your budget, withdrawing the money, putting it in a pile, and lighting it on fire. 

Some of these frauds can end up costing you so much that you would have been better off without the budget in the first place.  Few companies recognize the amount of damage and the hidden costs on the entire project that these con artists end up creating.

One other thing to consider in all of this is if the “consultant” lied or cheated their way into the project what else will they lie or cheat you out of?  How much is enough?  And where will it end?  Since they are clearly stealing from your company through fraudulent means, what else will they steal?

When you are interviewing, screening, or even considering your next SAP, ERP, or other Technology consultants shouldn’t you be sure you are getting what you pay those huge fees for?  Carefully consider the skills you need for success, and for Business to IT Alignment and you will be much happier with developing business oriented solutions.

Additional Resources About SAP Frauds and Fake Resumes

Some of the sites that give more insight on FAKES in the marketplace:

Screening Methods to Find the Right SAP Consultant

SAP World is FULL of Fakes and Stolen Resumes

Indian Firm giving advice and guidance on using their prep materials and developing a FAKE resume

Vendor implementation firm accused of using fakes, vendor responded from internal employees, maybe they are fakes?

Related Posts:

ERP Business Case: Do You Really Need a New System?

November 1st, 2009

ERP Business Case - Make the Right IT Decision

In many cases those pushing for a new ERP system are comparing the worst of the current environment to an idealistic ERP concept that is all things to all people.

Sometimes the best way to avoid a train wreck is not to get on the train. In other words, do you really need a new ERP system and, if so, is now the right time to proceed? Performing an honest and thorough assessment of business needs and alternatives is an important part of taking ownership in the ERP business case, the decision not to do ERP or any alternative solutions. 

It is understandable this question is not always popular among the ERP zealots; but for the organization, it is a very necessary discussion. There is an old saying that certainly applies: “when you have a hammer in your hand everything can look like a nail”.  That is, believe it or not every organization does not need a new ERP system. 

The problem is when the ERP bandwagon starts to roll and no one in management is asking the right questions, those with legitimate business concerns get steam rolled. It is often not even a fair debate. After all, in many cases those pushing for a new system tend to compare the very worst of the current environment to an idealistic ERP concept that at this stage is all things to all people. Make no mistake; there are plenty of good reasons to implement ERP including many “no brainers”. However, in most organizations the decision is not so obvious and one must objectively evaluate the validity of the proposed business case, timing and not shoot the messengers that raise the red flag. 

Therefore, an executive running a business in the real world must ask the following questions before spending millions of dollars on ERP.  Again, the intention is not necessarily to rain on your ERP parade; but perhaps bring some sanity to the decision-making process.

1. Are the business strategies and assumptions that drive the perceived need for a new ERP system valid?

2. Would an ERP project be one of the top two priorities within the organization (given other internal and external projects, initiatives, or probable events)?

3. What is really broken, the current software or our business processes? (Don’t attempt to automated the mess you already have!)

4. Has the organization attempted to fix the things it can without new software? (The point is bad policies, procedures,  work flows,  controls, cultural issues and measurement systems typically have little or nothing to do with software, but a lot to do with poor business performance).

5. Will the availability of “better information” actually result in better decision-making or make lousy managers more effective?

6. Does anyone understand the data or capabilities of the current software (that are not utilized)?

7. Is the promise of “new technology” always a good reason to throw out application software?

8. Do we have bad software or just bad data (garbage in, garbage out)?

9. Is everything about the current software terrible (or are there areas where a major step backward is inevitable with new software)?

10. Can a few customizations or enhancements to the current software satisfy 80% of the important needs for a fraction of the time and cost? (I know mods are a no no but sometimes they make perfect business sense).

11. Can a few purchased (and integrated) “bolt-on” applications do the trick vs. buying an entirely new package (that likely has a few bolt-ons of its own under the covers)?

12. Is the current software really on the brink of “not supported” by any vendor(after all, they have been saying this for years) and, if so, what are the other support options?

13. Before spending a fortune on software to implement a new operating philosophy or paradigm, should we first “prove out” the idea with a limited pilot? (even when a few software work-arounds are necessary to complete the pilot).

14. Are the perceived operational benefits and cost savings of new software real or fluff? (The history of ERP states they might be fluff)

15. Have we considered ALL the implementation and support cost in the ROI? (Many are not so obvious).

http://it.toolbox.com/blogs/street-smart-erp

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CRM, ERP, BI, and IT Investment — Where Do You Find the Business Benefit?

September 19th, 2009

CRM, ERP, BI, and IT investment, where is the business benefit?

Retool, retool quickly!

Most companies want to use CRM applications as a way to “supercharge” their sales forces.  They want to gain some advantage with customer retention and acquisition, to manage the sales pipeline and to have better market insight.  But few companies realize these goals. 

After going through some of the academic studies and literature about CRM implementation there is evidence to suggest that some companies see some limited benefit from their CRM implementations, but overall they are not happy.  These anecdotal accounts show the primary reasons companies benefit from their CRM implementations at all is because the project itself causes the company to look more closely at their customers.  Even then, with few exceptions, the way the CRM software is often implemented does little to provide significant market-focused benefits.

It doesn’t have to be that way, and you as a customer can change it. It’s not the SAP CRM application that is the problem.  Between CRM, ERP, and BI, the tools are all there, but an instrument in the hands of a journeyman musician sounds far different than the same instrument handled by the journeyman’s apprentice, or a novice.

Where Things Get Off Track on CRM projects – Why CRM Projects Go Bad

Most SAP CRM implementations relied on retooled, post-Y2K HTML and Java consultants who flocked to the CRM space. Because the SAP “New Dimension” products were new the screening was not sophisticated and the experience requirements were low.

These web techies had little or no business experience and certainly little (if any) understanding of competitive pressures, value propositions, business strategies to retain or acquire customers, or a whole host of key issues that a good CRM consultant must know.  They were (and still are) completely clueless about marketing, customer / sales conversions, product development cycles, solution databases, improving service cycle times, etc.  They might know how to set some switches, or make some coding changes, but they have little ability to help transform your business or in how to move you forward in the marketplace.  Basically they had little, if any business experience.  

These consultants learn to talk the application talk, and they can spout some of the tools available, but when you drill down deep into their experience you find they are an empty shell.  They are like apprentice “musicians” who can read a few notes on a page of sheet music but they lack the years of practice and do not have the musician’s “soul” to understand and appreciate business.  These application technicians lack the critical transformational understanding your business needs.  True CRM success stories require consultants who have some measure of business or marketing background, not just an IT background. 

If you’re running a Formula 1 race team you don’t go to your nearest garage with a great tune-up special and hire them to do your tune-up before a race.  They MIGHT be able to keep the car running but you have no chance of winning the race with their expertise.  Their garage serves an important purpose, and it fills a particular niche, but if you are looking for race winning results they are not the right folks for the job.

Do CRM Consultants or CRM Vendors Know What You Need? 

What are your goals, your reasons, or your business triggers for doing CRM, ERP, or BI applications?  Did your implementation vendor assessment or consultant review include a detailed exploration of exactly how they would help you achieve those goals? 

Does the vendor or their consultants have any real business change management experience to help focus the company on a commitment to the customer experience?  Do they have the critical communication skills to support a communication program to the larger organization about the crucial role the new CRM application will fill?  Can they help guide the business in understanding how each person’s job or responsibility affects the marketplace, how the ERP system extends into the supply chain, or how the BI system supports the key data for reporting on various goals and performance metrics?  Do they even have strong enough communication or language skills to have actually done the things they claim to have done before?

At the start of the CRM project, did they explore where you might gain value in customer retention?  Do they even understand general sales, marketing, business, or operations concepts around customer retention?  Did they ask the critical questions showing they know how to define what you need to improve the quality of your customer touch points? Does your CRM implementation vendor or their consultants have a clue? 

I find it funny that to this day I frequently receive calls from recruiters and companies who are interested in me helping them do a CRM project.  This is even though I make it clear that I have no SAP CRM experience and my resume does not list any SAP CRM experience.  However many customers are beginning to realize that the SAP Sales and Distribution background (SD), with its sales and marketing implementation focus helps to ensure good integration between the CRM application and the ERP product, as well as the business experience that a good SAP SD consultant has.  On top of that, many highly experienced SD consultants have developed customer focused reports and tools to address some of the customer issues.  As a result a solid SD consultant has a fair understanding of the types of data points and BI reports that are necessary to report on.  An SAP SD consultant who is skilled and diligent has also encountered many of the issues related to customer retention and customer acquisition.

First Things First – Basic Business Strategy 

The difference between an application technician and a business consultant who knows the application is in knowing what questions to ask to determine what the true underlying business need is.  Even when technicians learn the business need they often have no idea how to convert that into a solution outside of their very narrow focus.  For example, if you have service or repair requests that seem high, do you focus on solving a quality problem, or on shipping processes, or packaging, or other reasons? And to resolve these issues, do you have or need a solution database?  Do you need some form of Engineering Change Management process integrated within the Customer Service processes?  Do you need Quality Management (QM)?  Is full blown SAP style QM overkill?  Is there a way to promote customer self-service with solving some of their own problems, both to empower them and to reduce your own internal costs?  Did the ERP or CRM consultant have basic business and troubleshooting skills to ask such questions? If you want ROI for IT expenditures, if you want SAP ERP, CRM, BI, or SOA to deliver business related results, start asking business questions about why you are looking at any technology spend to begin with: 

  • How do you determine customer needs and wants?
  • How do you track changing dynamics in customer needs and wants?
  • How do you convince your customer base to execute a purchase based on their needs or wants? 
  • How do you anticipate new products or services your customers may need or want next? 
  • How do you track market spend to new customer or enhanced existing customer product spend? 
  • Do you measure, or need to measure cost per lead and then lead conversion rates? 
  • How do you compare to your competitors? 
  • Is, or should, opportunity tracking be embedded into the customer service process? 
  • Do you know what opportunities can be converted into new customers or into new (or enhanced) products or services? 
  • How do you track opportunity costs? 
  • Do you link complaints / repairs / service / opportunity reporting back to customer attrition? 

Does your BI consultant know what to ask or do they just ask you what reports you need?  In other words, what are you paying them for?  To make a few system settings or for some business benefit?  How often does a completely accurate order get to the customer on time?  How quickly are orders processed through to delivery, and then how long does delivery take?  Are order to receipt to cash cycle-times in line with your competitors, and can you beat your competitors without additional costs?

In other words, if you want ROI it is going to take a genuine focus on the business drivers for why you are even considering some IT application to begin with.  And if you want the greatest return, and the best competitive posture in the market it will take some effort in finding consultants who not only know the application but who understand business as well.  Without them all you get is another IT application when what you need is business transformation.

Even if your consultant or vendor did some homework and started asking you some of these questions, do they have the depth of experience or business insight to help you understand how to convert your answers into real solutions? Do they know how to help you bridge the entire supply chain process all the way to the customer whether it is in the “back office” ERP application and its direct or indirect connections to the CRM system?

Until you as a customer begin to demand that consultants and implementation vendors come to the table with real business experience nothing will change.  It’s time that IT decision makers started demanding that their short list vendors demonstrate an ability to SOLVE real market based problems that you are facing as a company.  SAP’s ERP products are mature, the consultants to implement and support them have been around for some time, start insisting that vendors present “A” list players to even be considered for a short list. 

Start asking the tough questions from a business perspective and be more proactive in managing the vendor resources you select.  You might finally see the results you’ve been looking for.  And in case you think you can ignore this, not only are you facing economic and global competition pressures, there are new pressures emerging as well with technology itself.

A Technology Change that will Force You to Work More Closely with Customers 

Recently Google announced the availability of “SideWiki,” it is a web browser add-on to Internet Explorer or FireFox that allows users to comment on any page, of any site, anywhere. It also allows others to see the comments that are left.  So if you think you can hide from the Internet or from your end customers any longer, perish the thought. 

If you don’t already have some type of online “customer community” you had better develop one right now.  You can no longer control the message and your PR or marketing departments can no longer cover for inadequate customer focus.

At least gain some ability to understand and address your customers before there is more widespread adoption of these kinds of customer feedback tools over which you have no control.  Do you need an online “customer community” to be able to more directly and more carefully address customer concerns before they get reported to some of the rating and complaint services?  Or, outside of the CPG (Consumer Package Goods) space do you need to move further into the value stream to find a way to get close to the end customer of your product or service?  Should this online community also support gathering marketing intelligence, new product or service ideas, and generally engaging customers?

Are there areas of your customer experience where you must rely on third parties who are not as focused on customer experience as you are?  How do you measure and track that interaction and then how do you change it?

Even if these consultants manage to ask the right questions, do they know how to convert the answers to those questions into real solutions that meet business needs?  After all, there is lots of great source material right here in this article, and much more on my web site.  But asking the right questions and converting the answers to those questions into business solutions, generating solution scope, determining the right technologies and then understanding what is needed to bring the organization along behind this type of strategic initiative is an entirely different matter.

In other words we’re back to the same issue as I’ve written about in doing ERP implementations, what is the business reason for the IT investment?  Why are you putting CRM in?  Do you need CRM at all?  Do you need a different solution?  Are you better off investing in BI or would you be better at working through process issues and using SOA to embed yourself further into the extended value chain? 

This and many other articles point out the importance of having a focus on business needs, market forces, and competitive pressures for finally realizing business benefit and ROI from your implementation.  This type of focus can’t be achieved by technicians, even skilled technicians who might be talented at setting up a particular application.  A system alone only processes information and no system will change your position in the market.  However, done properly, and with the right strategy focused direction, a well-deployed ERP, CRM, and / or BI system can empower your company to more aggressively and more effectively compete in the marketplace.

Additional Resources on ROI, TCO, Business Benefit, Revenue and Profitability with ERP Projects:

Tactics, Strategy, ROI, TCO and Realizing Business Benefit from SAP

http://www.r3now.com/tactics-strategy-roi-tco-and-realizing-business-benefit-from-sap

Using SAP to improve Revenue and Profitability

http://www.r3now.com/using-sap-to-improve-revenue-and-profitability

 

Technology Evaluation Centers Listing:

http://whitepapers.technologyevaluation.com/view_document/20088/CRM-ERP-BI-and-IT-Investment-Where-Do-You-Find-the-Business-Benefit.html

 

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