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Using External Resources
Using
External Resources
There comes a time in every organization when a project is
presented that is so huge, so complex, or so undesirable to complete that it
makes perfect sense to outsource the project to someone else. In these
instances, no matter the reason why the project is being outsourced, it is of
utmost importance to find the right team to do the job correctly.
Outsourcing has been the buzz of all industries over the last few
years—and certainly IT has been a prevalent reason for companies to “get someone
else to do it.” There are plenty of qualified companies in the marketplace that
have completed major transitions and implementations of technology—but there are
also many incompetents that profess to know what they’re doing only to botch an
implementation. Don’t let that happen to you.
Finding an
Excellent IT Vendor
Finding a good IT vendor isn’t a problem. Finding an
excellent IT vendor is the problem. The tricky thing about finally finding
excellent vendors is that they keep so busy (because of their talented crew),
they are difficult to schedule time with. So what makes an excellent vendor?
Here are some attributes:
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Ability to complete the project scope on schedule
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Vast experience with the technology to be implemented
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References that demonstrate customer care and
satisfaction
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Proof of knowledge on the project team (experience and
certifications)
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Adequate time to focus on your project
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A genuine interest in the success of your organization
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A genuine interest in the success of your project
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A fair price for completing the work
Finding an excellent vendor to serve as your project team, or to
be integrated into your project team, is no easy task. Remember, the success of
a project is only as good as the people on the project team. It’s not just the
name of the integrator, but the quality of the individuals on the integrator’s
implementation team that make the integrator great (or not so great). Never
forget that fact. Figure 6-8
demonstrates how a vendor can be integrated into your project team. The success
of the project is dependent on the payment of the vendor. The project manager
should oversee the process.
Size doesn’t always matter. Those monstrous
integrators and technical firms that have popped up in every city over the past
few years don’t always have the best people. Some of the best integrators you
can find anyway are small, independent firms that have a tightly knit group of
technical wizards. Do some research and consider these smaller, above-average
tech shops. You may find a diamond in the rough.
To begin finding your integrator, you can use several different
methods:
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References Word of mouth from other
project teams within your organization, contacts within your industry, or even
family and friends are often the best way to find a superb integrator. A
reference does something most brochures and sales letters cannot: it comes from
a personal contact and lends credibility.
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Internet If you know the technology you
are to be implementing, hop on the Internet and see whom the manufacturer of the
technology recommends. Once you’ve found integrators within your community,
peruse their web site. Use advanced searches to look for revealing information
about them on other web sites, in newsgroups, or in newspapers, or magazines.
Know whom you are considering working with before they know you.
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Yellow pages When all else fails, open the
phone book and call and interview the prospective team over the phone. Prepare a
list of specific questions that you’ll need answered. Pay attention to how the
phone is answered, what noise is in the background, and how professional and
organized the individual on the phone is. Is he rude? Is he happy to help? Take
notes and let the other person do much of the talking.
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Trade shows If you know your project is
going to take place in a few months, attend some trade shows and get acquainted
with some potential vendors. Watch how their salespeople act. Ask them brief
questions on what their team has been doing. Collect their materials and file
them away for future review.
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Previous experience Never ignore a proven
track record with a vendor. Past performance is always a sure sign of how the
vendor will act with your project.
Interviewing the
Vendor
Once you’ve narrowed your search to two or three vendors,
it’s time to interview each one to see to whom the project will be awarded. In
the interview process, which the vendor will probably consider a sales call,
remind yourself that this is a first date—it’s a chance to find out more
information about the vendor.
Document all parts of the meeting: How difficult was it to arrange
a meeting time? How polite was the salesperson? Did the salesperson bring a
technical consultant to the meeting? All of these little details will help you
make an informed decision. In such meetings, pay attention to several things
about vendors’ representatives:
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Do they pay attention to details? Are they on time? Dressed
professionally and appropriately for your business? Are their shoes shined and
professional? How vendors pay attention to the details in their appearance and
presentation to win your business will be an indicator of how they will treat
you once they’ve won your business.
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How organized are their materials? When a salesperson opens
his briefcase, can he quickly locate sales materials? Are the brochures and
materials well prepared and neat, and not wrinkled or dog-eared? Again, this
shows attention to detail, something every project requires from the start.
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What is their body language saying? Pay attention to how
they are seated, where their hands are, and how animated their answers become. A
salesperson should show genuine interest in your project and be excited to chat
with you. If she seems bored now, she will likely be bored when you call to
discuss concerns down the road.
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What does your gut say? Gut instinct is not used enough. The
meeting with the salesperson should leave you with a confident, informed
feeling. If your gut tells you something is wrong, then chances are something
is. If you’re not 100 percent certain, and you probably shouldn’t be after one
meeting, do more research or ask for another meeting with the project
integrators.
Looking for a STAR
When you are interviewing the potential integrators, you
need to ask direct, hard- hitting questions to slice through their sales spiels
and get to the heart of the project. One of the best interview techniques,
especially when dealing with potential integrators, is the STAR methodology. Figure 6-9 demonstrates that STAR
means Situation, Task, Action, Result.
When you use the STAR method, you ask a situational question, such
as “Can you tell me about a situation where you were implementing a technology
for a customer and you went above and beyond the call of duty?”
The vendor should answer with a specific Situation, followed by
the Task of the situation, the Action he took with the task, and then the
Results. If the potential vendor doesn’t complete the STAR, add follow-up
questions, such as “How did the situation end?” to allow the vendor to finish
the STAR question.
This interview process is excellent, as it allows the project
manager to discern fact from fiction based on the vendor’s response. Try
it!
Know What You Want
When you procure materials or resources from vendors, know
exactly what you want from the procurement process. In the Statement of Work
(SOW), the seller fully describes the work to be completed and/or the product to
be supplied. The SOW becomes part of the contract between the buyer and the
seller. It is typically created as part of the procurement planning process, and
allows the seller to determine if it can meet the written requirements of the
SOW.
Particular industries have different assumptions about what
constitutes a SOW. What one industry calls a SOW may be called a Statement of
Objectives (SOO) in another. A SOO is a document describing a problem to be
solved by the seller. Some specific terms the project manager should be familiar
with are shown next.
Cinching the Deal
When you’ve just about made your decision, it’s time to
follow up with a phone call to a few references. Now most references that you’ll
be given by the vendor will no doubt be excellent and prepped. Not that
anything’s wrong with that; everyone wants to put her best foot forward. Ask the
vendor what type of work was performed for the client and when the work was
done.
If the work the vendor completed for the client is not directly
associated with your project, ask if that vendor can provide you with another
reference where similar work was done. In addition, the date of the work should
be fairly recent, hopefully within the past six months.
Once you’ve called the references, reviewed your research, and
have narrowed the field down to at least two integrators, ask for a quote in
response to your Request For Proposal (RFP) by a specific date. Be firm about
your deadline, but at least a week from the request is adequate time for a
vendor to complete and return a proposal to you.
An RFP is a formal request from your company inviting the client
to create a proposal of the work to be completed and provide you with a cost
estimate. An RFP does not guarantee anyone the job; it simply formalizes the
proceedings of the selection process.
Once you have the vendor’s proposal in place, read it. If the
technology to be implemented is not within your grasp or the grasp of anyone in
your department, ask for a second opinion. Hire an IT consultant whom you trust,
who is somewhat familiar with the technology to be implemented, and have him
read the proposals and rate them. Having another set of eyes look over the
proposals can help you make a more informed decision.
Once you have made your decision on which vendor the project is
awarded to, get the scope of the project in writing, including the price, in the
form of a contract. The vendor may, and should, have their own contract that
they use whenever implementing technology. Review the vendor’s contract, and if
necessary have your attorney look it over and make any amendments or
changes.
As painful as contracts are, they protect you and the integrator.
Contracts should require that the vendor guarantee their work for a specified
amount of time. The technology to be implemented will determine the amount of
time expressed in the warranty and the type of guarantee provided.
There are many different types of contracts available. Based on
the project work, the expected duration of the project, and the relationship
between the buyer and seller, the contract type will be determined. Here’s a
quick overview of the common contract types and their attributes:
Before any implementation begins, and once
the contract details have been worked out, do some prep work before the project
begins. For example, if the project is an operating system upgrade on your
servers, create a full backup or system image of your servers. If the technology
is a new application to be developed with hooks into your database, assign the
appropriate levels of access security to the database for the developers, but
don’t give the developers greater permission than what they need to accomplish
their work. In other words, prepare for the worst-case scenario, but hope that
you never have to use it.
After Hiring the Consultant
Consultants know what they know—and what they do not know
can hurt them and your project. In other words, consultants need to learn about
your environment, how your standard operating procedures work, who they should
talk to, and so on. Consultants need to know how to get things done within your
organization. You cannot throw a consultant into your organization and expect
him to have the same level of detail, same level of expertise, and same
organizational knowledge that you have. It takes some time and some
guidance.
For this reason alone you should demand and require that the
consultant attend project meetings, be located close to the project team, and
take an active role in meeting the project team members and stakeholders. He
needs to get involved in order to be successful and productive. Most consultants
and experts, if they are worth anything at all, will be eager to follow these
rules and requirements. Often it’s the project manager who wants the consultant
to feel comfortable and not get into the mix of things so quickly. This limits
the consultant’s ability to contribute.
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