To round off The Knowledge Balance, we look at the leadership team who will drive and deliver the Demand Driven Transformation project. More specifically, the role of the project manager.
In Demand Driven projects, as in any ERP implementation projects, we often find that the client company does not have an in-house project manager who has previously managed such an assignment. Even if the client has internal resources who have a recognised project management certification, or CDDP (Certified Demand Driven Planner) / CDDL (CDD Leader) certification, they might not have the specific project management experience or software knowledge for this particular job.
This is where the client company relies of the chosen implementation partner to provide project management experience in the specific field. In going through all of the due diligence steps that I outlined in my previous article (part 7) to prepare for the project kick-off, the client has ascertained to a satisfactory degree, that there is a sufficient level of trust and confidence in the cooperation between the implementation partner and the client. On this basis it is agreed that the implementer will provide a project manager, while the nominal ‘client-side project manager’ will learn the ropes from the appointed PM. In addition, the project serves as a learning curve and knowledge transfer for the entire client stakeholder team.
This brings us to terms of engagement. In other words, the contractual and remuneration structure. For the client company, there are three ways of using the services of an implementation partner PM.
1) The PM is engaged by the implementation partner (either as an employee or contractor) and the implementation partner invoices the client for the PM’s working time.
2) The implementation partner provides the PM for the client and the PM invoices the client directly as a contractor.
3) The implementation partner provides the PM for the client, who engage the PM as an employee on a fixed term contract for the duration of the project.
I have heard implementers state that they will not hire PM’s (either as employees or contractors) if the PM has not managed an implementation project end-to-end while engaged on the client side. However, I see no validity whatsoever in this viewpoint.
In options 2 and 3 above, the PM engagement is on the client side. However, the PM’s affiliation is still with the implementer, and when the project is finished, the PM will revert to working with the implementer as before, either as an employee or contractor.
Supposedly, the logic is that when the PM’s affiliation is with the implementer, they will instinctively act in the best interests of the implementer rather than the client, when administering their duties as PM. My opinion here is that the PM and every other representative of the implementer is trusted to be professional enough to always have the best interests of the client, and the project objectives, as the unquestionable top priority.
If there is any suspicion that either the implementation partner company or the PM are not working to this professional code of ethics, then the client company may consider revisiting the implementation partner selection process.
However, I believe this contention of conflict of interest based on allegiance is groundless. I don’t believe that there are implementers or PM’s in the business who do not prioritise the best interests of the client. Hence, options 1, 2, and 3 above are simply terms of engagement and do not reflect or impact on levels of professionalism or commitment.
For the client company embarking on a Demand Driven (or indeed, any other ERP or software implementation) project, having conducted the due diligence I outlined in part 7 of this series, the relationship and trust has been established between the entities as a sound basis to deliver a successful project.
Furthermore, the client’s project team members invariably learn the subject matter and enhance their knowledge base through working with the PM during the lifecycle of the project.
This is the final episode in my series: ‘Demand Driven – The Knowledge Balance’. I hope you have found the content informative, and thanks to all who have taken the time to tune in. Best wishes on the Demand Driven transformation journey !!
Damien Dockery (CDDP)