The new generation of technology vendors have moved from selling products to jointly evaluating opportunities for increased success. They’ve agreed with the customer what success means to the customer’s top management. And they work to enable or improve that success. This is the success outcome.
Their engagement with customers revolves around periodic business reviews and joint evaluations of potential projects to increase success.
The potential steps in this phase include –
Periodic Business Review – Meeting with key customer executives. The group discusses how to improve the success outcome (what the executives consider success to be). The outcome is a list of possible projects. The measure for this step is the number and value of potential projects.
High Level Business Case Analysis – the customer and vendor jointly analyse the potential improvement projects. The outcome is a joint report providing the high-level business analysis for each potential project. The measure is the number and value of potential projects that have a positive high-level business case ie there’s a good case for proceeding.
Potential Projects Review – the customer and vendor jointly present the results of the high level business cases to the customer executives. The executives then decide which are worth further investigation. The outcome is a list of potential projects that will be further investigated. The measure is the number and value of potential projects moving to the next stage.
Detailed Business Case Analysis – the customer and vendor jointly conduct a detailed review. The vendor may be paid for their work in this step. The outcome is a report with everything the customer needs to get internal approval (assuming the project has a positive business case). The measure is the number and value of potential projects with a positive business case.
Project Decisions – the customer then decides on each potential project based on the business case. The measure is the number and value of projects approved.
Project Commitments – not all approved projects will move forward. They may need to be considered further in the budget process. Or circumstances may change. The final step is for each project to receive the go ahead or commitment. The measure is the number of value of projects that commence.