1. IS Consulting Process (IS 6005) Masters in Business Information Systems 2006 / 2007 Programme in Professional Information System Practices Fergal Carton Business Information Systems

2. MBS (BIS) / 6005 / IS Consulting Process Last week Role of consultants (cf. Wang & Chen paper) Freeman 5 concepts of IT advisory role: Managing the GAP: workshop with client managers Phasing discussion: big bang vs phased Replying to tenders

3. MBS (BIS) / 6005 / IS Consulting Process Role of consultants (cf. Wang & Chen) –Personal commitment: invest the time in getting to know the client –Winning trust –Significant “knowledge asymmetry” –Not doing, but advising : how to disentangle yourself from an operational role –Conflict resolution

4. MBS (BIS) / 6005 / IS Consulting Process Freeman 5 concepts of IT advisory role –Relationship “Some clients may be threatened or distracted by the consulting process” “Client need for re-assurance” Who is the client, the one who pays the bill? –Role Disentangle yourself from operational role Client availability –Visualise success Tag-line for project –You advise, they decide Give the criteria by which you would make the decision, rather than the decision Make the client look good –Be results oriented User oriented technology deployment

5. MBS (BIS) / 6005 / IS Consulting Process Managing the GAP: workshop with client managers –Off-site, phones off, informal, actual consulting team members present, start in “working together” mode –Company history and current challenges (get people saying yes) –Overview of ERP (education, building awareness, testing the water for resistance, …) –Requirements for ERP (generic and company specific) –Focus on benefits –Understanding the cost of the Gaps (alternative functionality, workaround, modification) –Addressing the functionality gap (get commitment for resources to work on B’s and C’s)

6. MBS (BIS) / 6005 / IS Consulting Process Phasing discussion: big bang vs phased –Business constraints or seasonality in business cycles (eg. Hershey) –Scale (# users, # countries, …) –Scope (# modules, # interfaces, level of customisation, …) –Timescale and cost (NB. PPARS still costing €21m. a year) –Different requirements between sites, resistance to ERP (get quick wins first)

7. MBS (BIS) / 6005 / IS Consulting Process Replying to tenders Format of tenders –Functional requirements might be by dept, process, module, … Analysis of data volumes (process flow for revenue and expenditure cycles) –# non-PO invoices (40%) –# debtor accounts –Research account maintenance

8. MBS (BIS) / 6005 / IS Consulting Process This week Gap management: think up an approach? Some scope definitions In-house vs. package question PCB case discussion IT Consulting profession Assessment dates: –4 th Dec 06In-class case study, individual –2 nd Mar 07Consulting proposal, group

9. MBS (BIS) / 6005 / IS Consulting Process Gap analysis: expectation mgt Describe existing processes –Document how things are currently done –Review inputs and outputs of current process (screens, forms, reports) –Outline problems with current way of doing things (speed, risk of error, …) –What improvements are expected from system (single point of data entry, faster reports, less manual work, …) How to design and communicate the proposed solution –Review requirements documentation: answer with –Walk-through solution –Get sign-off from users Good data migration and data maintenance plan

10. MBS (BIS) / 6005 / IS Consulting Process Gap analysis: preparing for change Moving in to a new house Moving to broadband A new set of tools … What are concerns likely to be?

11. MBS (BIS) / 6005 / IS Consulting Process Scope Robson Discrepancy Map Sammon and Adam, 2004

12. MBS (BIS) / 6005 / IS Consulting Process What is meant by scope? Reconciling technological necessities of the system with business needs ERP systems impose their own logic Balancing the way you want to work with the way the system will let you work 2 stage model for scope decisions –Choice of modules (Purchasing, AP, …) –Configuring the system to your way of working Davenport, 1998

13. MBS (BIS) / 6005 / IS Consulting Process All Homes Provide A roof over your head A floor under your feet A lock on the door Electricity, water, sewer All Homes Provide A roof over your head A floor under your feet A lock on the door Electricity, water, sewer

14. MBS (BIS) / 6005 / IS Consulting Process All Homes Provide A roof over your head A floor under your feet A lock on the door Electricity, water, sewer All Homes Provide A roof over your head A floor under your feet A lock on the door Electricity, water, sewer A starter home Uses standard blue prints Can be built with generic skills Requires much compromise Doesn’t have unique features Is very similar to the next house Is generic in style and function A starter home Uses standard blue prints Can be built with generic skills Requires much compromise Doesn’t have unique features Is very similar to the next house Is generic in style and function

15. MBS (BIS) / 6005 / IS Consulting Process Picture All Homes Provide A roof over your head A floor under your feet A lock on the door Electricity, water, sewer All Homes Provide A roof over your head A floor under your feet A lock on the door Electricity, water, sewer A starter home Uses standard blue prints Can be built with generic skills Requires much compromise Doesn’t have unique features Is very similar to the next house Is generic in style and function A starter home Uses standard blue prints Can be built with generic skills Requires much compromise Doesn’t have unique features Is very similar to the next house Is generic in style and function Your dream home Architect develops a custom plan Requires skilled craftsman Requires little compromise Is unique where you value it Is like no other house The style and function are specific Your dream home Architect develops a custom plan Requires skilled craftsman Requires little compromise Is unique where you value it Is like no other house The style and function are specific

16. MBS (BIS) / 6005 / IS Consulting Process Sales Customer Master File Product File Sales Lead DB + PriceBook + Product Configuration File Sales Quotation Sales Order Sales Order Book for Shipment Order Shipped Allocate Order from Production Invoice Generated Accounts Receivable Cash Received and Entered Invoice Matched Cycle Complete Current Process

17. MBS (BIS) / 6005 / IS Consulting Process What do PCB need to do? Integrate! –Order Processing –Inventory Control –Accounts Receivable –General Ledger –Overall Reporting functionality

18. MBS (BIS) / 6005 / IS Consulting Process ERP Why ERP ? –Automate and streamline sales/quote/order/invoice –Shorten order processing time –Better inventory control –Consolidates all sales information –Improve sales information on customers –Why reinvent the wheel, use best practice –Scalability –Robustness – one system, minimises repetition –Faster to implement –Clear upgrade path (linked to vendor): better expansion capability –Develop ERP skills in-house, useful for further projects –Ability to implement, large team required! –Quantifiable outcome & timescale

19. MBS (BIS) / 6005 / IS Consulting Process In-house More control over process design More adherence to specific requirements More programmers required Own processes may be better than ERP template Have we got the resources / experience –Design –Build –Support Cost of back fill Long term Support issues Time scale & cost

20. MBS (BIS) / 6005 / IS Consulting Process What is unique to this business? Product configuration details Orders are allocated to work in progress Not build to order! and Hockey stick Long lead times on orders

21. MBS (BIS) / 6005 / IS Consulting Process Action Plan Data clean up Data conversion Spec Vendor Selection Test Procurement H/W & S/W Training Time Line GO LIVE Business Simulation

22. MBS (BIS) / 6005 / IS Consulting Process Is IT consulting a profession? IT and “Consultant”

23. MBS (BIS) / 6005 / IS Consulting Process Is IT consulting a profession? IT and “Project Manager”

24. MBS (BIS) / 6005 / IS Consulting Process What do consultants do? Tell you what you already know? Guarantee project completion? Take ownership of issues? Energise an existing project team? Cost you a lot of money?

25. MBS (BIS) / 6005 / IS Consulting Process What do consultants not do? Give the answer up front Give their services for free Make a client look bad Replace client’s own staff Get involved in politics

26. MBS (BIS) / 6005 / IS Consulting Process Information Systems Types of assistance –High level strategy –Feasibility study –Requirements specification –Package selection –Understanding costs of IS operations –… Know-how that you bring to the table –Frameworks to present and prioritise requirements –Trading off requirements when you can’t do everything –Technology and business awareness: best practice –Project management skills –Communication skills –…

27. MBS (BIS) / 6005 / IS Consulting Process Consulting process Process of consulting –Understand the requirement Why is client using a consultant? –What is the value you can bring to project? –Writing a proposal –Estimating FTE’s Project management –Project phases and tasks –Project resources –Deliverables –Profitability of contract –Communication with client