HR Outsourcing – ITSinsider

Business Process 21C: The Jackhammer Tales

Over the past few months I’ve begun to reflect upon how I arrived here at the intersection of process and innovation in the Enterprise. It occurred to me that everything I learned as a researcher, a writer, and an industry observer in the services provider space (my pre-Internet career) now had great bearing on what I was seeing in the Enterprise as a result of the pace of disruptive technologies impacting the market. The question that kept re-emerging for me was: how are rigidly defined business processes that were hammered out in the 90s reconfiguring to adapt to better, faster, more efficient ways of meeting customer needs? Even more puzzling is, if my friend Josh’s old joke is correct, “SAP is like pouring concrete into a company,” how are large enterprises dismantling foundational ERP systems to include disruptive technologies? After all, no 21st Century business can stand to stay frozen in the past. Even SAP itself is retooling to provide greater flexibility and real-time actions and insights with its HANA in-memory database and its JAM social platform.

This big question has been vexing me for a while, so I asked my friend and fellow Enterprise Irregular, Phil Fersht at HfS Research, if he’d be interested in an exploratory study to see how BPO providers and consultants are responding to new advances in mobile, social, the Internet of things– all new capabilities that were not present when the majority of institutional business processes were “cemented” into the Enterprise. I’ve seen evidence of several companies who’ve been introducing social, in particular, to provide greater value to customers. Of course, some of the best examples are coming from platform vendors themselves such as this post, “Enterprise Social is about Business Process Redesign” by CEO Michael Idinopulos at Socialtext. But, I’ve seen other examples such as Deloitte’s work in this area explained in this post, “Social Reengineering by Design,” and even examples about how large consulting firms are changing their own internal processes as a result of new ways of working, as evidenced by this post, “Spark – taking Collaboration and Corporate Social Networking to a new Level at PwC.” Luckily, Phil agreed this is an area definitely worth pursuing, so we’ve kicked the study off this week. We’re compiling data and hope to publish results in the early May timeframe.

I’m really happy to be working in this area that combines my long history of covering the traditional outsourcing sector with my area of interest for this current iteration of my career in next generation technologies. Phil has done an amazing job with HfS Research, too, so I’m proud to be contributing to their strong brand in the market. HfS was recently named one of the leading analyst firms in a formidable field of competitors. Last week, I paid a visit to my longtime business advisor Mort Meyersen, who is an icon in the outsourcing field having helped build EDS and then Perot Systems. It feels good to be back among old friends, mashing up what I’ve been learning from new friends.

I will be working hard on this study for the next few months, but also working on the startup we announced a few weeks ago, Change Agents Worldwide. So, busy, busy, but really having fun. Hope to see some of you at SXSW, but I will be hunkered down and only getting out to a few of the evening events. Please keep up with me on Foursquare if you’d like to connect while you’re here in Austin.

Fun with Outsourcing…

Saw this on an outsourcing discussion group and had to share… They’re talking about outsourcing architectural drawings to India.

Re: Paris??
so which projects you do can you send me a detail list in email so that we can mutually understand and exchange some projects..

Reply From: CB
Date: Nov/17/06 – 20:05 (GMT)

Re: Paris??
Here is our project list.
1.)Paris
2.)Paris surrounding areas

We would love to mutually understand and exchange but we have outsourced the
projects that were outsourced to us to an outsourcer who outsourced them to
another outsourcer who uses an exporter. It may take weeks to figure out
where Paris is.

We also may have difficulties in exchanging checks as we have sent our
checks to a Nigerian bank. We are trying to unlock the funds of the dearly
departed Mr. Smith. We have been assured that we will be rewarded kindly
for our help in the process by freeing 10 million dollars in funds from the
Smith estate.

Sorry we can not be of help now.
—

It’s Friday!!!!!

¡Ay, caramba! Blogging is work.

I’ve been posting on the new ZDNet blog. They tell me it’s live, but there’s a glitch in the technology that is preventing it from showing up in the blog roll. You can view it here. I’m very interested in off-beat IT Services stories, so please email me (susanATitservicesadvisoryDOTcom) with any interesting ideas.

Hot Topic: Back to Backlash

I was reading Vinnie’s blog and he mentioned Tom Davenport’s pooh-poohing. When I returned to the business this year, and went to my first outsourcing conference in 5 years (see 3/30 post), Davenport was the keynote speaker. He was an excellent speaker and connected easily with the audience. As a matter of fact, he was talking about how the industry was trying to apply a CMMI-like model to the BPO market that I found intellectually interesting. I stopped him in the hall afterwards to ask him about it. I think I remember telling him the subject matter was actually insufferably boring to me, but I thought putting some structure to BPO that way was interesting, and I might like to write about it. Thankfully, he laughed at that and told me he thought it was boring too, but he gave me his card, and told me he would mail me something from the HBR he published that would explain it all.

Now Davenport has been around for a long time. I was impressed that IDC had him as a keynote speaker. He has McKinsey, CSC Index, Ernst & Young, Microsoft, board seats on Accenture– in his background, and his resume includes writing or co-authoring 10 best-selling business books about knowledge and information management. And this comes straight from zoominfo:

In the January 2006 issue of the Harvard Business Review, he wrote “Competing on analytics means competing on technology.” In the article, he highlighted companies that use analytical intelligence to drive successful decision-making and competitive differentiation, citing as examples eight companies that are Teradata Warehouse and solution users.

All that being said, with all due respect (and I so mean that sincerely), I want to say to Mr. Davenport and the others of his ilk: please don’t rush to judgment and dismiss Enterprise 2.0. First of all, it’s not just about blogs and wikis. There is a whole host of technology enabled by Web 2.0 (and it’s growing every day).

And, you might want to be aware of some of the more interesting knowledge-based Enterprise 2.0 products that are moving into your sector like Atlassian, Coghead, Intalio, Abgeniel, Illumio and even a little startup I’m helping right now, Experteria (in beta). And these are only the products I know about.

Yes, Enterprise 2.0 is a hot topic. But there is a difference between a hot topic and a fad. I’ve been harping on the youth culture that is driving the development behind these technologies and the attitudinal shifts that are taking place on both spectrums of the knowledge-worker universe. The fed-up, smart, hamstrung departmental users and a digitally comfortable, DIYYnot?-ready youth culture moving in.

In the 90s, it was Jim Champy who christened the Business Process Re-engineering movement. Fad. But it forced enterprises to think in terms of business process and led to BPO- today’s hot topic. Sustainable.

Last word on Hot Topics. My suburban mom friend and I would always nervously usher our kids fast past the Hot Topic store in the mall. It’s no Gap, trust me. I guess we were afraid they’d be seduced into the punk lifestyle if they were exposed to it. When the store first showed up in our local mall, I assured her, “Oh, that will be gone in a few months.” Wrong. The store has been here for years. And you know what? We all shop there now, even the kids (and no, they haven’t transformed). Great tee shirts and band paraphernalia. The lesson here is we all judge what we’re uncomfortable with, but cultural trends have a way of surviving and adapting around our unwillingness to recognize them at first.

Trust, Communications, Relationship-management…

Frank Casale invited me to co-moderate a workshop yesterday at his Outsourcing Institute NYC Roadshow on "Outsourcing's Bad Rap: Playing Politics." Throughout the day, although the outsourcing market has changed so much over the past ten years, I heard the recurring themes of trust, communications, and old-fashioned relationship management. Buyers and sellers all have their war stories.

The day was excellent. A comfortable and informative series of workshops and presentations. OI holds a series of these workshops. If you're interested in outsourcing, definitely worth attending.

HRO World

There's this old yarn about how a bratty kid goes to school one day and comes home to find his family has moved. That's how I felt when I roamed about at HRO World. Although it was an outsourcing conference, it could have been "Automotive World" or "Widget Expo." I understood the underlying business model was essentially the same, but the vendors, the leadership, and the customers were so different from what I've been accustomed to in the IT outsourcing space, I felt like a tourist. I did run into some of the old-timers including Bill Bierce, Mark Hodges, and Joe Vales who were warm and welcoming. Joe Vales was especially helpful and generous with filling me in on what was going on and how I might be involved in the HRO space.

The best fun I had was at a party held at the 21 club by vendor Convergys. I met three analysts there with whom I could commiserate and laugh. One, in particular, has an exceptional blog that I had stumbled upon. If you want to know about HRO, don't come here. Visit Jason Corsello's blog. Jason has a real blog. He promised to teach me how to blog like a pro, so that was definitely worth the trip into Manhattan.