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Three success predictions for 2010

By | December 21, 2009, 7:01pm PST

Summary: Here are three predictions for success in 2010 - a far cry from my usual posts on IT failure.

My last post predicted five failures for 2010. Über-great HR technology consultant, Naomi bloom, left a talkback on that post asking for success predictions for 2010. Naomi, here’s your list.

1. The cloud grows bigger and implementation innovation becomes more important

Cloud implementations offer the potential for simpler, smaller deployments with shorter cycle times and reduced risk.

A significant part of the risk reduction associated with on-demand software occurs because the scope of these deployments tends to be smaller than full-blown on-premise implementations. In that sense, a simple cloud / on-premise cost comparison isn’t fair. For example, a basic Salesforce.com CRM implementation will naturally be faster than an SAP ERP deployment.

Nonetheless, cloud software can pull time and effort from customer implementations, leading to lower cost and risk. I disagree with those who think the cloud is pure panacea — it’s not — but when a vendor’s software as a service (SaaS) offering matches customer needs, the results can be great.

This trend will accelerate through 2010 and beyond, forcing established enterprise software and services firms to figure out innovative ways to improve implementations.

2. SAP takes steps to reduce implementation time, cost, and risk

The company most associated with complex enterprise software has initiatives underway to manage those costs. SAP’s mid-level package, called Business All-in-One, already offers a number of innovative techniques to reduce implementation time. Among these are packaged content, called SAP Best Practices, and an impressive customer configuration tool.

During a recent conversation with SAP Executive Board member, Jim Hagemann Snabe, we discussed some of SAP’s future directions to improve implementation time and cost. I suggest keeping track of Business All-in-One as a leading indicator for SAP’s efforts in this domain.

More significant implementation cost reductions will eventually happen when the All-in-One lessons migrate up to the larger Business Suite product. I don’t think that will happen during 2010, but very likely in the two to three years following.

3. Cultural norms evolve to reflect social networking

We are currently in an era where enterprise social computing is expanding rapidly. As more folks use social networking, it will become even easier to make direct contact with others irrespective of location, social position, or professional standing. The implications of this for social and professional fluidity are profound.

Cultural norms around tools such as Twitter will evolve in 2010 and beyond, causing truly positive changes in society and business. I’ll be writing about the impact of these changes during the coming year.

[Image from iStockphoto]

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Michael Krigsman is a recognized authority on the causes and prevention of IT failures.

Disclosure

Michael Krigsman

Michael Krigsman writes and speaks about technology in a manner that most observers consider to be fair and balanced. Michael believes that writing about IT failures, which often have complex causes, creates a unique obligation to be reasonable and accurate in both reporting and analysis.

Michael maintains active personal and professional relationships with enterprise technology buyers, vendors, analyst firms (or individual analysts), consultants, and system integrators. As CEO of Asuret, Michael sells and delivers paid services to members of these same groups.

Vendors regularly reimburse Michael's out-of-pocket travel expenses to attend industry conferences and events. Conference organizers frequently waive entry fees when Michael attends industry events. Michael often speaks at industry conferences and events.

He is a member of the Enterprise Irregulars, a loose association of consultants, investors, industry representatives, analysts, and users of enterprise software.

For daily updates on Michael's activities, follow him on Twitter.

Biography

Michael Krigsman

Michael Krigsman is CEO of Asuret, Inc., a consulting company dedicated to reducing technology implementation failures. Asuret's suite of software tools improve the success rate of enterprise software deployments by quantifying and measuring governance issues that cause most project failures. Michael led the research effort underlying Asuret's model of collective intelligence and its practical application to reducing IT failures in consulting environments. He is a recognized authority on the causes and prevention of IT failures and is frequently quoted in the press on IT project and related CIO issues. He is considered an enterprise software industry "influencer" and provides advice to technology buyers, vendors, and services firms.

Previously, Michael served as CEO of Cambridge Publications, which develops tools and processes for software implementations and related business practice automation projects. Michael has been involved with hundreds of software development projects, for companies ranging from small startups to Fortune 500 organizations. Michael graduated with an M.B.A. from Boston University and a B.A. from Bard College. He is a Board member of the America's Cup Hall of Fame and the Herreshoff Marine Museum in Bristol, RI.

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More to the point ...
RationalGuy 4th Jan 2010
... the public/private network dichotomy doesn't really exist anymore in many companies. When someone takes a laptop or other portable device (including smartphones) home or away on business and then brings it back with whatever nasty bit of malware got on it, effectively there is no firewall.

The days of trusting everything behind the firewall (especially when that means WAN-connected offices with minimal IT staff in developing countries) are coming to a close. We'll see how vendors and IT organizations alike react to the new reality.
0 Votes
+ -
My prediction for -insert year here-
wizard57m@... Updated - 21st Dec 2009
I've gazed into my crystal ball, and guess what? I can, with 100 percent assurance, predict that pundits, media-hypes, talking
heads and so forth will continue to make useless "predictions" of what is going to happen or not going to happen every year around this same time!
How's that one? I'll check back next year and see how well I prophesied the future!!
Hehehe!
{;-)
0 Votes
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Predictions???
wackoae Updated - 21st Dec 2009
#1- Dream on!! In 2010 the cloud will show how insecure and unnecessary it really is. If anything, 2010 will be the year of the death of the cloud. Not that 2009 hasn't already shown how bad the idea of outsourcing your data into the control of unknown people really is.

#2- SAP will continue to be a failure, just like it is today.

#3- Do you really believe that wasting time on a stupid anti-social network is good for anything?? Sorry to bring you down to earth but if anything, business will be forced to block social networking sites to stop the lost of productivity and the waste of time during work hours.
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Contributr
Down to earth
mkrigsman@... 22nd Dec 2009
Wackoae, I suspect we view the world quite differently. Anytime you want to write a guest post, let me know!
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RE: Three success predictions for 2010
naomibloom@... 22nd Dec 2009
Integration innovation will begin to include -- at least in some HRM software -- skeletal implementations of interrogatory configurators. That other timr/$ black hole, integrations/interfaces, will continue to be tackled as well, not only with pre-builts (e.g. in core HRMS to payroll and benefits admin), but also with improved definitional tools.
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Cloud vs Legacy systems
NetworkBankAdmin 22nd Dec 2009
I do agree that cloud project implementations are WAAAAAAAY faster than home-grown or local implementations.

However, there is still a long way to go with integrating cloud services with existing legacy systems. (so i whole-heartedly agree with #1)

Example - I was recently told by a cloud vendor that 48 hours after we signed a contract agreement, we would be "live". The big "but" was it would take an additional 7-12 months to integrate with our current legacy systems.

I'm still not sold on Twitter or social networking as a business tool. Maybe I work in too small of a company, (125 employees) but I cannot think of one business problem that twitter or social networking is the answer for.
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The cloud IS the future
John Zern Updated - 22nd Dec 2009
FBI probes computer security breach targeting Citibank

WASHINGTON: The Federal Bureau of Investigation (FBI) is probing a computer security breach targeting Citibank that resulted in a theft of tens of millions of dollars by hackers who appear linked to a Russian cyber gang, according to a media report.

The Wall Street Journal in a news report said the attack underscores the blurring of lines between criminal and national security threats in cyber space.

Hackers also assaulted two other entities, at least one of them a US Government agency, said people familiar with the attack on Citibank, the daily reported.

Currently the federal government has 27 per cent stake in Citigroup, parent company of the Citibank.

The threat was initially detected by US investigators who saw suspicious traffic coming from Internet addresses that had been used by the Russian Business Network, a Russian gang that has sold hacking tools and software for accessing US Government system s.

The group went silent two years ago, but security experts say its alumni have re-emerged in smaller attack groups, the report said.

?Security officials worry that, beyond stealing money, hackers could try to manipulate or destroy data, wreaking havoc on the banking system. When intruders get into one bank, officials say, they may be able to blaze a trail into others,? the report said .


I wonder if companies like SAP, Oracle, Salesforce, (whoever), have been hacked?

I'm sure that business info sitting in the cloud is mighty usefull to other people beyond the data'a owners...
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Flip side
Erik Engbrecht 31st Dec 2009
Much of the security argument from on-premise is based on the idea
that systems behind the firewall stay behind the firewall. However this
often isn't the case. Portions of systems (or proxies to the systems)
must be exposed in order to work with customers and partners. Once
systems start poking through the firewall and exposing themselves to
the internet, they become threatened in much the same way cloud
offerings are threatened, only corporate IT staff are largely expert in
maintaining security behind a impermeable firewall while cloud
vendors should (they often don't) live and breath it.

I personally think the capability-adjusted cost differential between
on-premise and cloud based offerings is almost entirely due to poor
management as opposed to genuine technological factors. Of course,
I think history shows that technological issues are far easier to
overcome than management ones, so maybe the cloud folks are
simply focusing on the most pressing problem.
0 Votes
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More to the point ...
RationalGuy 4th Jan 2010
... the public/private network dichotomy doesn't really exist anymore in many companies. When someone takes a laptop or other portable device (including smartphones) home or away on business and then brings it back with whatever nasty bit of malware got on it, effectively there is no firewall.

The days of trusting everything behind the firewall (especially when that means WAN-connected offices with minimal IT staff in developing countries) are coming to a close. We'll see how vendors and IT organizations alike react to the new reality.
0 Votes
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Faster Implementations
gpolmateer@... 23rd Dec 2009
Our market segment (mostly small nonprofits) has seen great benefits from our new cloud based offerings, mostly in the speed and affordability of cloud based applications (i.e. Salesforce).

In the old days, $50K would get you a barebones implementation of our legacy system, most of which was software and infrastructure cost. With our new cloud based offerings we are rolling out $5K-$15K implementations with a greater feature set, in less than half the time.

It's very exciting to us to be able to help a larger number of companies, and have a tool that.. just works. We spend less time messing around with the technology and more time working with the customers, mapping their needs into the system, and training them properly.

My prediction - More smaller jobs in 2010, with happier customers.

Garry Polmateer
Business Analyst
NimbleUser

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