Top Ten Mistakes in Software Installations
By Bob Boyles, Principal
Smarter Distribution

Picking and installing a new computer system is one of those tasks where there is no shame in asking for the help of a consultant.  As a consultant I can add valve when I can aid the wholesaler with those are tasks that occur infrequently enough that the company has no in-house expertise.  However, some amateurs and even professionals sometimes insist on doing things themselves.  I wanted to share with you some of the most common mistakes made on installations of packaged software products that I have seen over the past 15 years.  They are in no particular order but each can cause you to pull your hair out.

Scheduling Mistakes

Scheduling the conversion from your old system to the new on a holiday weekend. You wouldn’t schedule a dentist appointment on Christmas Eve so why would you schedule your conversion then?   Pick a weekend where you have guaranteed access to outside resources.  The cousin to this mistake is trying to do the conversion a week or a month prior to the start of your busy season.  Always allow yourself to go through at least one month-end before the busy season hits.   This will give you the time you need to smooth the waters before the phone starts ringing with rush orders.

Copying The Old System

Building the new system to look like the old system. Failure to take advantage of new technology to improve operational methods will result in the same mistakes made faster.   You should understand that you are not just buying a computer you are buying a business system.  Make sure you understand the philosophy of how the software vendor thinks distributors should operate.  You may be surprised in the installation process if you don’t do your due diligence in the selection process.  But, expect some changes to the paperwork flow.

Rushing The Project

Assuming that the impossible can be done over night? (It usually takes at least 2 days.)   Do not assume that the faster a project is done the cheaper it will be done. The opposite is often true. You can have a project done quickly but it will be more expensive to do it correctly.   There are no awards for first place in the installation process. The success of the installation depends not on how fast the project was completed but on how successful the software and business procedures operate during the months and years that follow.

Not Focusing On Solutions

Making decisions based upon "cool" hardware or software rather than what will provide the best results.  You need to remember that you are buying a solution to your business processes and not just technology.  Some companies try to “out-smart” the market and go for technology that they think will be hot for the next several years.  The smart company will buy the solution that offers the best operation features for running their business.

Wrong Project Manager

Not putting some one in charge of the project that is fully dedicated. If this project is important then it needs to be the primary function of the person in charge. If you want to get any results then the project leader and other team members will have to have the time in a 40 hour work week to get the project done. 

Lack of Management Involvement

As CEO, take a hands on approach. Learn the system and set an example of what you expect your employees to be doing!   CEO involvement is critical.  If your CEO is not involved then he risks losing grip of the reins.   It is easy for projects like this to go out of control.  Consider the case of a distributor that had spent a considerable sum of money to purchase and install a business system solution from a recommended vendor that specialized in their vertical. The problems began even before the sale was completed when the software vendor quoted and sold a configuration that was totally different than 99% of their other customers. The real problems began shortly after the contract was signed. The vendor changed project managers on the account not once, not twice, but three times, each project manager coming in with his own style and agenda that left the customer reeling. After the go-live the customer was faced with not only a crippled system that the technical staff at the software vendor was not trained to support but also a half baked implementation that was going no where fast. The accountants were frustrated with a general ledger system that was out of balance. Management was frustrated with the sales reporting system that didn't balance to anything else. On top of all this several modules that the vendor promised were being used by other customers turned out to be vaporware.

CEO involvement is no guarantee that these types of errors won’t happen but it can bring about a quicker correction when the project strays from the charted course.

Trying to Save Money On Training

Deciding that training is the best place to cut cost on a project. When you go to the bother of putting in a system and then decide not to train any one how to use it you end up with the worst possible results.  View training as an investment rather than an expense.   When looking at a budget for the installation process some customers have cut back on training or tried to do it them selves.   Training can be an expensive line item but it is the single most critical part of the installation.

Running Parallel

Running “parallel” with old system and the new system at the same time.  There are no employees that would like to double the amount of work they have to do on a daily basis!  This approach never works because no one has spare time in their day to dedicate to doing double work at their desk.  The distractions of daily business are just too great.  The proper investment in testing is a much more solid approach than attempting to do double work for a week or month.    With proper testing it is possible to eliminate the got’yas that can crop up after go-live.  

Employee Turnover

Employee turnover during the installation process and shortly there after can be a back breaker.  Many distributors make the mistake that when employees leave their last job is to train their replacements.  The result can result in deterioration in the knowledge of how to properly operate the business system.  That will be most obvious to management but the hidden cost is the lack of understanding of the system’s potential.  Those employees that go through the full system training and experience the go-live carry a deeper understanding of how the pieces fit together.   That knowledge is invaluable to you and makes them key players down the road.

Stopping at go-live

This is one of the most common mistakes and results getting only 1/2 the benefit from the system that is possible. You must continue up the learning curve.   This is one of the most common situations I see, where customers go-live on their new software systems and do very little with the system from that point on, it’s like they are frozen in time.  It’s not that the company doesn’t want to do more.  It’s that the day-to-day pressures of business gradually take the focus off the software and process improvement.  This makes the importance of the installation process critical for the future success of the company.

Summary

Set realistic goals and you won't be disappointed.  Now that you’ve seen good and the bad this point seems obvious.  Set time frames that promote diligence but don’t push so hard the result is sloppiness.  Insist on documenting the company’s business processes before the installation and after can assure you of no paperwork loopholes.  Test each part of the paperwork flow to insure that each part of the business system fits.  Provide each employee with the training needed to be successful. 

These are some of the more common mistakes, there a plenty more but watch out for these and you'll be off to a good start.  Smarter Distribution is committed to making sure that each customer gets all the benefits from their software system that they can.  If you are “frozen in time” perhaps a tune-up from a consultant can be the gentle push your company needs to get the return on the investment that has the greatest potential.

About Bob Boyles and Smarter Distribution:

Bob Boyles started his strategic consulting business in 2001 and has focused on the change that technology is forcing in the supply chain and how independent distributors can not only respond to that change but also maximize the return they are seeing on their investment. Bob has spent a significant amount of time as an Installation Consultant for several of the big name software companies in the distribution market. Working with hundreds of distributors across the country on installing, upgrading and utilizing their software.  Bob also worked as Corporate Systems Manager for one of the largest electrical wholesalers in the country as that company moved from a completely manual operation to an on-line real-time system. 

Bob is a graduate of Appalachian State University (BS - 1981)and University of North Carolina at Greensboro Graduate School of Business (MBA - 1985).

© Copyright 2002, Robert S Boyles, Jr. All rights reserved. This article cannot be reprinted or reproduced in whole or in part, without the express written permission of Robert S Boyles, Jr.