The Salesforce.com ROI Paradox
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The Salesforce.com ROI Paradox

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The Critical Go-Live Juncture: Will You Deepen or Destroy Your ROI?

The Critical Go-Live Juncture: Will You Deepen or Destroy Your ROI?

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    The Salesforce.com ROI Paradox The Salesforce.com ROI Paradox Document Transcript

    • The Saleforce ROI ParadoxThe Critical Go-Live Juncture: Will You Deepen or Destroy your ROI? The Agile Enterprise
    • The Agile Enterprise executive summary belie the shift in mindset that is necessaryMost companies implement cloud solutions to reap their full value. Most companies When companies lack the culture to encourage that implement cloud solutions do so withwith an enterprise software mindset, and an outdated, “install-it-and-forget-it”once these solutions are in place, they mindset. As a result, they may be missing continual innovation,continue to manage them with the sameapproach. As a result, they often neglect out on the opportunity to actually improve their cloud solutionsto put in place the processes and resources efficacy over time and ultimately increase slowly but steadily fall financial returns. out of sync with theirnecessary to enable continual innovation—and they fail to seize opportunities toenhance their applications after their When companies lack the culture to business processes. encourage continual innovation, their cloudinitial go-live. solutions slowly but steadily fall out of syncBluewolf estimates that 80 to 90 percent of with their business processes. In addition,salesforce.com customers could be achieving these companies generally fail to leveragesignificantly higher returns in their first year the new functionality continually releasedafter go-live by changing how they manage by Salesforce.the application. In addition, ten to 15 percent Is your company’s Salesforceof those customers are actually significantly implementation keeping up with changes indiminishing their original ROI by failing to keep your business? And have you put the rightthe application at pace with business change. processes in place to ensure continuedAfter working with thousands of salesforce.com clients, Bluewolf has identified what innovation? From extensive work withseparates the Salesforce Leaders from the thousands of salesforce.com customers,mere Players. In this white paper, Bluewolf Bluewolf has identified what separates thelays out the steps companies can take to companies that are most effective withincrease their Salesforce sophistication and Salesforce post-implementation.maximize their ROI. will you lose or gain ROI introduction post go-live?There’s no denying it: cloud solutions have After working with thousands of salesforce.ushered in a new era for business users and com clients, Bluewolf has identified threeIT departments alike. These solutions deliver levels of Salesforce sophistication: Player,greater flexibility and speed than was ever Contender, and Leader.possible with enterprise software. A player is a company that has made theThe popularity of cloud solutions and the transition from traditional enterpriseseeming simplicity of managing them can software to flexible cloud technology, but join the agile conversation www.bluewolf.com contact bluewolf 1-866-455-WOLF | +44 (0) 118 937 1059 2
    • growth business transformation Salesforce.com leaders leader have the ability to enhance ROIvision & process ROI achieved contender ROI achieved player method to execute & sustainhas not resourced properly for ongoing typically use Salesforce to identify areas indevelopment or mastered the process of which their business processes can be fine-adapting the application to changes in the tuned.business. Players typically fail to achieve apositive ROI. the common traitsA contender is a company that has the of salesforce.com leadersbasic resources and management processes How do Salesforce Leaders separateto drive system development, but cannot themselves from Contenders and Players?ensure sustained innovation. In other To answer that question, we must firstwords, they may be doing a decent job examine the traditional corporate mindsetof maintaining their solution, but they’re towards implementing and maintainingnot extending it to drive greater businesssuccess. enterprise software.A leader is a company that has not only When enterprise software ruled thelined up the resources to ensure that its corporate world, most companies viewedcloud technologies move in lockstep with its implementations as a series of large, difficultbusiness changes, but has also achieved the milestones. They would pour resourcescultural shift necessary to proactively deliver into the initial implementation, launch thenew benefits to business users over time. software, and then rest until technical orThese high-performance organizations also business needs dictated a major upgrade join the agile conversation www.bluewolf.com contact bluewolf 1-866-455-WOLF | +44 (0) 118 937 1059 3
    • or additional implementation. At that point, Trait Two: They shift their cultures from a three levels ofthey would begin this painful cycle again. traditional enterprise software management Salesforce sophistication mindset to an agile, adaptive culture. PlayerThere’s a fatal flaw in this approach: the post • Negative ROIgo-live period can result in as much impact What’s behind this culture? Leaders put • Trouble keeping paceas the original implementation. In other processes in place that enable them to • Minimal maturitywords, change doesn’t stop once software is dynamically prioritize and pace a steady • Limited resourcesrolled out. As your business ebbs and flows— stream of well-defined innovations. Feeding • System use not stable • Large backlogsas you enter new markets and roll out new into these processes is user feedback, which • Adoption a challengeproducts and services—your IT department Leaders harness to help them build a more • Not likely to adopt newwill have to tweak your business software in relevant system. release featurescountless ways to support these changes. However, Leaders do more than just update Contender • 100% ROILeaders are aware of this. That’s why and enhance their Salesforce instance. They • Becoming proactivethey never think software development is also use it as a tool to digitize and fine-tune • Stable system usage“finished”—not even for a period of several their business processes, with access to • Access to basic resourcesmonths. They’re constantly on the lookout various levels of information to understand • Established method tofor opportunities to enhance the ROI of and leverage relationships with customers manage backlog • Adopting new featurestheir software. over time. • Some targeting of whitespace opportunities leaders share two traits how to become a leader Leader • 200-300% ROITrait One: They think strategically about Becoming a Leader in Salesforce • Strategic approachhow to manage their cloud technologies sophistication isn’t a sprint—it’s a marathon. • Established governanceafter go-live. You must have the focus to transform your • Collaborative, agile process processes and culture over time. • Access to multi-disciplinaryAfter their cloud solutions go into production, resourcesLeaders don’t just wait for the next upgrade. Bluewolf has helped hundreds of • Disciplined approachThey seek to manage new development companies make the transition from Player to innovation to Contender to Leader. Here are some of the • Strict prioritization andand the user request backlog as strategically ROI trackingas possible. steps we encourage:Rather than developing in a vacuum, Leadersinvolve the business in their development form a governance boardstrategy. They also make sure they have The best way to manage innovation andnot only the resources to work through the backlog strategically is to form a Salesforcebacklog quickly, but the depth and breadth governance board made up of leaders fromof IT skills to enable ongoing innovation. across your business units. It’s best to put join the agile conversation www.bluewolf.com contact bluewolf 1-866-455-WOLF | +44 (0) 118 937 1059 4
    • User Apex Leaders maintain Advanced Interface Configuration Developer ready access to a Expert Expert diverse skillset Trainer Solution Expert Lead Change Generation Business Management VisualForce Expert Analyst Expert Developerthis board in place before you first go live on future Salesforce development directlySalesforce—but it’s never too late. supports business needs.Who should make up the board? Your What exactly will the board do? Yourgovernance board should be made up of key governance board can establish formalbusiness stakeholders who help prioritize guidelines and specific criteria for prioritizingwhich product enhancements will deliver the not only backlog items, but also new featuresgreatest benefit to your business. The specific and functionalities. By setting objectivemakeup will depend on your corporate ratings systems for changes, the governanceculture. Just make sure the list includes the board can help ensure that every newexecutives and key decision-makers who can development will have a positive impact onproperly prioritize development and represent the organization.their organizations. Thus, the board can help prevent your ITSome of our clients have included their department from becoming mere order-entire C-level executive team on their takers for business users throughout yourgovernance board. Others have included company. Our more advanced clients thinkonly select director-level employees. With of the backlog not as a to-do list, but as ayour company’s key players as part of your wish list to be carefully analyzed, prioritized,governance board, you’ll ensure that your and even challenged. join the agile conversation www.bluewolf.com contact bluewolf 1-866-455-WOLF | +44 (0) 118 937 1059 5
    • What should be IT’s role? As your business progress—and prioritizing future changes toleaders drive change via the governance the application.board, IT can facilitate board meetings andset criteria for establishing development staff in ways that willpriorities. But that should be the limit of their enable innovationrole—after all, Salesforce is there for thebusiness, not for IT. Develop a staffing and resource plan that enables true innovation in your ongoingDuring your governance board meetings, Salesforce development. Your Salesforcesome business leaders will be highly vocal team should mirror the diverse skillsetabout their needs, while others will lack you engaged to carry out your initialthe influence to drive the discussion. Your implementation.IT department can level the playing field byrequiring all leaders to outline the business Many IT staffs do have some of the skillsreasons and estimated financial value of the needed to develop Salesforce. However,changes they’re proposing. most IT staffs are already stretched thin in our uncertain economy. For them,What’s the overall goal? Over time, your Salesforce will never be more than an “extra”governance board can begin to require responsibility.specific business justification for each It’s also true that Salesforce Premiumnew development, and can assign metrics Support offers some basic developmentto establish the expected return that services for customers like you. But if youeach change will deliver. The first level of want to be successful with Salesforce,sophistication is to require business users you’ll need speedy access to a full rangeto define the business objective of each of development skills. You’ll need to hireproposed enhancement. Next, you can experts to build complicated reports, craftdefine the impact of each change against complex workflows, and make Salesforcedefined criteria such as: talk to your other systems—just as you did Reducing the time it takes people when you implemented Salesforce. to complete a task Note that the skills we’re describing go Reducing cost far beyond typical system administrator Increasing output resources. Your ongoing Salesforce Increasing quality development will consist of majorWhen you start using Salesforce’s rich configuration that often involves writingreports to track improvements over time, custom code, tailoring the user interfaceyou’ll have a powerful tool for measuring to the way business works, tweaking join the agile conversation www.bluewolf.com contact bluewolf 1-866-455-WOLF | +44 (0) 118 937 1059 6
    • workflows, change management, and number of features in each release. On theproject management. System administrators other hand, you’ll want to avoid releasingtypically don’t have the familiarity with your so often that you become a nuisance tobusiness nor the strategic insight to deliver business users.support that moves the application forward Your governance board will be a big helpand keeps it at pace with your business. in determining your ideal release schedule. Whatever they decide, tell your user base master timing what to expect and then keep your word.Tackling your backlog and releasing Your users will see that you mean businessSalesforce innovations on a consistent basis and will be more likely to participate inrequire more than the right staff. You’ll the process.also need to establish the processes to To jump-start your development program,dynamically prioritize and pace your releases. consider asking each of your business unitsYour governance board will play a key role to submit their three biggest strugglesby analyzing and reacting to ever-changing with your current Salesforce configuration.business conditions. Then, make a schedule for addressing theseAnother key to agile development is concerns, and deliver on time. By showingtimeboxing —a practice in which each your business that you can deliver, you caniteration is built within a well-defined period increase buy in to your process more quickly.or “timebox.” To do so, you’ll needto break down your post go-live communicate regularlydevelopment needs into discrete segments with business usersthat can be built, tested, and delivered within One of the biggest mistakes we seea specific short time period—typically two IT departments make is to forget toto six weeks. Although timebox deadlines market their work to the business units.should remain firm, give your development Establish regular communication—in theteam the flexibility to alter the deliverables form of emails, training sessions, andfor any given timebox. By sticking to your announcements integrated into your regulardeadlines, you’ll ensure that your end-users employee communication channels—thatwill regularly get access to new features and clearly announce new features to yourenhancements. user base. Also, consider marketing withinHow often should you release enhancements? the Salesforce application itself by placingOn one hand, you’ll want to release often announcements in the sidebar or among theenough to avoid including an overwhelming homepage components. join the agile conversation www.bluewolf.com contact bluewolf 1-866-455-WOLF | +44 (0) 118 937 1059 7
    • Every time you notify employees about This ability to digitize processes gives sales Call Today! 1-866-455-WOLFa new feature release, compare it to the same advantages for measurement and or +44 (0) 118 937 1059what came before. Explain why it’s an enhancement that marketing department about us >improvement. Estimate how much time has had for years. For example, marketers Bluewolf is your guide on the journey toand money it will save them. Lean on enterprise agility. We partner with clients to have long been able to monitor how ayour governance board to interface with sync business and IT to create a new level of visitor interacts with a website, pinpointing business responsiveness. From cloud enabledusers, showing them where the application problem areas and developing solutions to customer life cycle innovation, to IT staffing,started, how it has progressed, and what to agile managed services, Bluewolf knowswill happen in the future. enhance every step. Now, sales can have the how to get your business to the next level of same ability to identify, track and address innovation. Our clients include Time WarnerThis open communication should work in weaknesses. Cable, GlaxoSmithKline, ADP, Dow Jones &both directions. Establish and promote Company, United Way, Chevron and more.avenues for users to give feedback. Whether To gain a more meaningful idea of the valueyou use Salesforce Ideas or another tool, you’re getting from your salesforce.commake sure you give your users an easy, implementation, digitize a business process.accessible way to tell you what they like— Follow it through from end-to-end andand what they’d like next. make adjustments. The visibility you gain into the way you work will ultimately payfine-tune processes for back your investment in Salesforce.continual improvementSalesforce.com makes it easy to digitize your conclusionbusiness processes. Once you’ve digitized aprocess, you can easily measure it, and once Your Salesforce development is tooyou can measure it, you can improve it. business-critical to leave to chance. Busy IT administrators won’t find the time to keepFor example, you might want to know up with basic development requests—andhow long it takes your company to deliver the serious development requests typicallyservice and start billing after someoneplaces an order. Once you’ve digitized lie far beyond their skillset.the process, you can measure how long it If you want to get maximum ROI from yourtakes to go through each of the steps. You Salesforce implementation, make a plan tocan set norms and receive alerts whenperformance falls outside those norms. work through your backlog quickly, maintainBy using this information to close the gap a steady stream of innovation, and transformbetween order and billing, you can collect your company to an agile, adaptive culture.revenue more quickly. Bluewolf can help. join the agile conversation www.bluewolf.com contact bluewolf 1-866-455-WOLF | +44 (0) 118 937 1059 8