The devil is in the detail – how ‘Agile’ delivery can go wrong in a complex business environment
The Problem
In this recently completed project, we were brought in to review the post-live launch of a new ERP system implemented under the new Agile MVP (Minimum Viable Product) delivery methodology for a large IT services company in New Zealand.
Our initial review quickly identified significant business critical processes that were failing post the Go Live launch such as client billing, financial accounting, procurement, and other business processes implementation. We were asked to build a remediation plan that considered all these issues and to scope and design the ‘path to green’.
What went wrong?
A pure agile delivery methodology based on the manifesto interpretation alone does not address all the complex operating methodologies and their integration into a business, such as this one, where there may not be a single software product business.
At the heart of the problem was a mandate to make changes for the right reasons, without scoping the entire business and making sure that enterprise level changes were correctly mapped to the ERP system. Poor implementation and a lack of effective change management across the diverse business areas left this company vulnerable.
The devil really was in the detail and as we see often, it is difficult for internal directors across different business units to get the bird’s eye view that ensures effective implementation.
The outside in approach
The complexity of the project clearly needed an outside team with the problem solving skills and background in the best practice IT and ‘ways of working’.
Our access to the highest level business executives including the General Manager, CFO, Business Unit General Managers right through to internal project delivery teams and external advisors, PWC, gave us the visibility required to design the right solution.
The Path to Green – What did ‘Agile’ miss?
Agile methodology on its own was not enough to mitigate risks and ensure a problem-free ERP system implementation. The critical disciplines and methodologies that were overlooked included:
· MVP success criteria requires a lean value stream mapping analysis
· Post MVP Implementation plan, which was lacking
· Rigorous testing (using ITIL processes) pre Go Live. Agile does not achieve this alone (and it is critical in an IT technology company).
· Change management – effectively building and adapting the new business processes into the technology stack
· SLA (service Level Agreement) or clear KPIs (Key Performance Indicators) for cross functional accountability in the new Agile environment
Breaking it down
Our solution was to employ the key methodologies mentioned above to design 14 individual ‘mini' projects or work streams, which became the path to green.
This breakdown design allowed the company to complete the post implementation review and full on process testing, process improvements and align the systems across the enterprise in bite sized pieces. These projects were picked up by the individual scrum teams and added to their backlog to complete.
Why Propelius?
Increasing complexities in business, operational and technology change, as well as the lack of collaboration between organisations, teams and people have led to significantly increased chances of project or programme delivery failure. This case study was one such example.
At Propelius we utilise numerous project delivery methodologies, problem solving consulting skills in conjunction with the support of technology to challenge and drive new thinking.