Happy Customers (so far) by uncoolbob on FlickrThe success of an enterprise software organization is an equation of technology and implementation services.  The enterprise software organization’s approach to service delivery greatly impacts the long-term success of the overall organization and has dramatic consequences on its profitability.

The key to achieving the desired results is the alignment of the Enterprise Software Organization’s objectives and goals through a well-defined service delivery framework. This framework is the relationship between the Enterprise Software Organization, its partners, and its customers. The success or failure of this alignment is controlled by the Enterprise Software Organization’s service delivery approach.

The Role of Service Delivery

The solution delivery process is as critical to the success of the software development organization as is the technological foundation residing in engineering’s development environment. The success of an Enterprise Software Organization is determined by how effectively the final installed solution solves the customer’s business needs.  From the customer’s perspective, there is no difference between the technology forming the basis to the solution and the customized implementation that resides within the walls of their IT organization.

Service offerings are not a core competency of the Enterprise Software Organization but a means to that end. It is one of the most critical dependencies determining the success of the Enterprise Software Organization, consisting of understanding and working with the customer, influencing and augmenting sales, and guiding future product features.

Service delivery is the resources, processes, business and technical knowledge, and infrastructure needed for a customer’s implementation. The cost of the service delivery is typically equal to or greater than that associated with software license fees. The execution of the steps in the service delivery process takes months, sometimes years to complete.

The service delivery organization interacts on a day-to-day basis with the customer’s staff, presenting many opportunities to show professionalism and competence to the customer.  This volume of interaction with the customer is far greater than the work done with the sales team. As such, this exposure will form the customer’s final and lasting impression of the Enterprise Software Organization.

Delivery Framework

The success of the Enterprise Software Organization rests with the effectiveness of its solution delivery approach, i.e., the selection of resources, processes, and infrastructure needed in the delivery process. The aggregate efficiency of these elements dictates the cost effectiveness of providing the services and the satisfaction of the customer.

The approach is composed of the several components that are executed in the course of performing the service delivery process. These components are the framework of the engagement and may be done implicitly, or have elaborate administrative processes supporting them.

These processes may be performed by the Enterprise Software Organization or executed by other organizations in partnership. In all cases, the Enterprise Software Organization retains the responsibility for the customer’s satisfaction with the solution even when a partner performs the service delivery function.

The components of a delivery framework consist of account management, engagement execution, technical delivery and support processes. Each of these components have elements that are performed as a function of working with the customer and some that are internal to the Enterprise Software Organization. For example, costs are managed internally in the execution of the project by using such customer facing techniques as change management and scope definition.

Table 1 outlines each of these elements. In the analysis of service delivery models, each of these elements will be described in terms of how they are applied to the model.

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