The Importance of User Skills Related to Enterprise System Implementation, Rollout, or Upgrade Success

IDC Research Study Results: The Importance of
User Skills Related to Enterprise System Implementation,
Rollout, or Upgrade Success
Cushing Anderson, IDC, Mal Poulin, ANCILE
SESSION CODE: 526

Focus on what really matters when
implementing SAP software - the people. IDC
research highlights the dependence on user
adoption, skills, proficiency, and self-
enablement. Whether you are implementing for
the first time or rolling out SAP software again, it is
always time to design, execute, and sustain
strategies to enable the workforce to perform.
Discussion Points

The Importance of User Skills Related to
Enterprise System Implementation, Rollout,
or Upgrade Success
Dynamic dimensions of success

Success is
Dynamic
 Success Requires Change
 “Successful” Software Adoption
• SaaS Δ’s Training
© IDC Visit us at IDC.com and follow us on Twitter: @IDC 4

Success and
Change:
Goal is
Performance

6© IDC Visit us at IDC.com and follow us on Twitter: @IDC
Score: 0-2
Score: 0-3
Score: 0-4
Score: 0-5
Score: 0-6
Score: 1-7
Score: 1-8 (first to 9 wins)
September 2012: Emirates Team NZ admits AC72 can
foil

Daggerboard edgeRudder edge
Sail edge
Torpedo-shaped bulb

Score: 3-8 (first to 9 wins) Score: 5-8 (first to 9 wins)

USA Today:
America’s Cup: Do you believe in miracles?
Reuters: The epic battle over the past few
days has been a major vindication of the
vision of how to modernize the competition
SI.com: The staid old America's Cup can be an adrenalin rush

Success and Change:
Frequency and Size of Change
Source: IDC Thought Leadership Practice Survey, December, 2014, n= varies by question from 1067 to 528
% change is cumulative change over prior 3 years; Retention rate is cumulative retention rate over prior 3 years
% Sales Growth
% Growth of Fastest-growing
products
% Employee productivity
increase
% Profit Margin
% Revenue from new products
Employee Retention
Small Big
Frequent 24 21
Infrequent 20 17
Small Big
Frequent 27 24
Infrequent 26 24
Small Big
Frequent 22 16
Infrequent 17 15
Small Big
Frequent 30 23
Infrequent 25 20
Small Big
Frequent 25 20
Infrequent 19 16
Small Big
Frequent 66 58
Infrequent 71 81

Success and Change:
Requires Communication
When ideas are communicated effectively, people follow
and change.
— Nancy Duarte, Writer
You can have brilliant ideas, but if you can't get them
across, your ideas won't get you anywhere.
— Lee Iacocca, American Businessman

Success and Change:
Requires Communication
Source: Scott M. Cutlip Effective Public Relations (1953)
*Me (just now)
Complete
Concise
Considerate
Concrete
 Solves a problem
 All the information needed
 Doesn’t need to be “short”
 But must be on point
 Relevant
 Contextual to needs of receiver
 Specific
 Timely
Continuous*
Consistent*
What’s Missing?

Success and Change:
Characteristics of Communication
Change in Delivery Modalities Spending – Next 12 Months
Source: IDC's Learning Modality Survey, 2014
Moderate
Minor
Negligible
Negligible
Minor
Decrease Increase
Classroom-based ILT
"Disconnected" technology-based learning
Text-based training
Other
Formal on-the-job
Video
Simulations
Instructor-led e-learning
Self-paced e-learning

Source: Worldwide and U.S. IT Education and Training Services 2014–2018 Forecast
Apr 2014 Doc #247795
 Training will continue transition from c-ILT to elearning – but…
 Focus delivery methods on a) consumption and b) efficacy
 Too small to measure but important: EPSS & Simulations
 “Check List Manifesto” – The goal is performance
Success and Change:
Characteristics of Communication
Classroom-
based ILT
48.4%
eLearning
content
18.4%
CD-ROM
15.0%
Virtual ILT
12.6%
Text-based
training
3.7%
Video/
satellite video
1.9%
Total = $15,872m
Classroom-
based ILT
42.7%eLearning
content
22.5%
CD-ROM
14.0%
Virtual ILT
15.9%
Text-based
training
2.6%
Video/
satellite video
1.9%
Total = $20,649m
2010 2018

Successful Software Adoption:
Year of Adoption Success
Success only occurs when the effected employees are successfully trained:
Skills equals performance.
2015 will be the year of “Adoption Success”
 “Success” is defined by organizations maximizing the business utilization
applications
 Lead by SaaS firms, application vendors will measure utilization in a variety of ways
and propose interventions to tiers of users.
• New users: Access and basic functions across all roles and levels.
• Basic users: Overcoming role and task specific obstacles, reducing mistakes, reducing
time on tasks
• Proficient users: Using more advanced features.
 Goal is for more rapid business results and greater product
utilization. (reduce “shelf-ware”, increase renewal rate)
 Challenges will be “what constitutes success” and creating
interventions that are consumable and target the necessary
skills/knowledge.
$

Source: Market Analysis Perspective: Worldwide and U.S. IT Education and Certification, 2014
Talent Drives Success

Plotting “ERP project success rate” shows what we would expect
Source: Market Analysis Perspective: Worldwide and U.S. IT Education and Certification, 2013
Impressive, But measures the wrong thing!

SaaS Δ’s Training
Deployment is faster, interface is [often] more intuitive, use is more
pervasive (mobile/distributed)
Training – or skilling – is also changing
And the indicators of success are more easily available
 Usage data
 Performance results
 Etc.
Allows the creation of "triggers“ to suggest remediation (or expanded use) based on actual performance
 Approach: Number of users
dictate approach
 Content: Feature and function
training (by role)
Content is static: custom content is
created from scratch
 Timing: Timed to be fully trained at
"launch“
Lip service to “maintenance
training”
 Target: Identify and train "SMEs"
based on roles
 Success: Project milestones
Old
Way
New
Way
 Approach: Learner convenience
Drives Modality (Incremental users
are irrelevant)
 Content: Task/activity use case
(by role)
Vendor content is customizable:
contextual content can be built from
known-good base
 Timing: Minimally trained in
advance (access and basic use)
Training continues (continuous)
based on need
 Target: Self-identified and self-
directed experts
 Success: Business results
(enabled by software use)

0
20
40
60
80
100
5 10 20 30 40 50 60 70 80 90 100
(% of team certified)
(Averageperformancepercentile)
Security functions (n = 652)
Database administration functions (n = 450)
Source: Market Analysis Perspective: Worldwide and U.S. IT Education and Certification, 2012 (IDC# 238475)
This is better

0
20
40
60
80
100
(Time)
This is even better
Expert users
Frequent users
Occasional users

0
20
40
60
80
100
(Time)
Leads to this
Introduction Training
Self-discovery
Intervention
Intervention
Jack’s performance
Jill’s performance
Intervention
0
20
40
60
80
100
(Time)
Jack’s performance
Jill’s performance

Training Matters

Certified support staff
with less than one years
experience have more
core domain knowledge
than uncertified staff with
3 years of experience.
3 years
Certifying the skills of
IT staff members is the
single biggest
predictor of IT project success
More often
Certified staff implement
"single sign-on" access to
authorized network resources
32%
Network resources managed by
certified staff are in compliance
with industry security policies
for access control
10%
More oftenMore often
Certified Staff evaluate and
respond to security attacks
rapidly
26%
More often
80%
of IT managers
realize training is critical to
project success
Well trained information security
teams were:
10%more productive and account for
$70,000
of annual improvement
Untrained users require
6x
more support than trained users
1 hour
of training saves
5 hours
of lost productivity
less time spent by backup and
recovery teams on fixing problems
21%
Performance degrades by over
4 years without ongoing training.
25%
TrainingCertification
Source: various IDC reports, 2012-2014

 The rate of change is accelerating
 But, it will impact people
 The impact of SaaS on training will
show us the way: Consider
 Triggers
 Mix of push and pull
 Complete, concise, considerate,
concrete (continuous & consistent)
KEY LEARNINGS
To improve is to change;
to be perfect is to change often.
— Winston Churchill

STAY INFORMED
Follow the ASUGNews team:
Tom Wailgum: @twailgum
Chris Kanaracus: @chriskanaracus
Craig Powers: @Powers_ASUG

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