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How do you create alignment with systems integrators and consultants to ensure successful projects?

Many large IT projects run late or over-budget and it's easy to blame the consulting companies. How do you ensure that consultants serve *your* interests rather than their own?
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Mitch Lieberman
Vice President of Marketing, Sword Ciboodle
Posted on July 13, 2010
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Michael,

We have chatted many a time about the 'devil's triangle' or whatever fun name you want to give it. The disheartening part about this question is the assumption (not saying it is wrong) that the interests of the consultants are mutually exclusive from the interests from the company who has the project. Just like customer value co-creation (mutual value creation), wouldn't the very first area of focus be to make sure that your 'interests' and those of the consultants are aligned?

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Richard Francis
Posted on July 13, 2010
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That's easy. Let an independent systems integrator manage the project. Hire someone with a generalist background that can speak competitively (sic) to each member of the program.

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Jeff Dix
ERP Project Leader, JAFRA Cosmetics International
Posted on July 15, 2010
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One answer is to create financial incentives that encourage alignment of your interests. To use an example from an ERP implementation: determine the implementation timeline that gets your company what you need at the price you can afford, then negotiate with the systems integrator to provide a financial bonus for on-time completion with financial penalties (like discounted hourly rates) for work that takes place after the deadline has passed. Explain the need for this carrot and stick program to your potential vendors early in the process and you will likely see that they are willing to sign on for a fair deal.

This encourages the SI to properly scope and manage the project and the bonus you pay to the SI is worth it for the extra time and disruption you will avoid by finishing on time.

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