March 14, 2016

The importance of change management in SIAM implementations

Manish Kumar

Head Offering Management & Customer Enablement Consulting, Tieto

I have had the privilege of being involved in multiple Service Integration and Management implementation programs at different stages during the years. A critically important aspect I find to stand out in most of them is change management. Suppliers and companies often underestimate the importance of change management in SIAM implementations. Organisations fail to understand the significant change that SIAM will bring as it is implemented across the extended enterprise.

There are several aspects of change that need to be taken into account to secure a successful SIAM journey. In this blog I will discuss change components for SIAM that should not be overlooked by vendors or organisations.

A) People change - This is one aspect of change that most of the organisations tend to underestimate. In a lot of cases SIAM is looked upon as just another IT initiative that simply needs to be scaled up. What people fail to understand, is that SIAM is more of an attitude change than just a contractual change. The people that are part of the SIAM ecosystem need to work together in order to deliver a common cause - business results. It requires service providers to work beyond their boundaries and silos in a collaborative manner, unprecedented in the IT service delivery. A change that is in most cases underestimated and needs to be highlighted, and incorporated, to make any SIAM delivery successful.

Remember:
People change. Change in the cross-supplier working culture is just as important as commercial and contractual change.

B) Way of Working change - The other aspect that needs to be understood is the change in the way of working in the extended enterprise. There is a need to define the common rules of engagement and how things would be exchanged between the different parties. A point to note, is that the intention is not to re-engineer the internal processes of each of the suppliers but to agree on the common points through which information would be interchanged and what is expected in return to ensure this end-to-end visibility.

Remember:
Way of Working change. A charter for way of working should be defined for the entire extended enterprise. The way of working will change, and everyone should be on-board with what that shift entails - a collaborative focus on business value and transparency.

C) Tooling change - This is also an area where people tend to underestimate the amount of effort and change involved. The extended enterprise needs a tooling system that supports the multi-supplier ecosystem to work in a seamless way. The tooling set-up needs to be approached in a systematic way, starting supplier by supplier or process by process. The integration points and needs should be identified at the very start of this work. It is very difficult to deliver on the SIAM business promises without a proper tooling backbone. Care and attention is needed at each stage of this and need to be linked up to the reporting needs around the SIAM implementation.The decision to have the Tool inhouse or provided by the prime supplier is also a critical one that the organization needs to make at the start of the SIAM project.

Remember:
Tooling change. The tools in use form the foundation of the service ecosystem across suppliers and the decision to retain or partner with the tool needs to be taken at the very beginning of the SIAM journey.


D) Organizational and set-up change -
It's one of those that companies do realize and we see different versions of set-up diagrams being defined and discussed at the time of contractual negotiations. The thing to highlight and note in this, is the role that different stakeholders are supposed to play in different layers of the set-up. How this would be governed and who would be involved in what level of decision making. It's good to have these defined and agreed at the very start of the SIAM journey. The same should be clearly defined and communicated to all the parties concerned.

Remember:
Organizational and set-up change. Start your SIAM journey by defining the structures and responsibilities of the organizations involved in the service delivery.

The above areas of change I feel are often highlighted when organizations embark on the SIAM journey, however more often than not these are underestimated in magnitude and scale. To have a successful SIAM implementation companies need to take them into account and embrace them.

It’s important to look at SIAM and this new way of outsourcing as sending your kid to a boarding school. We send our kids to school to get the right kind of education and learn the basics of life. However we cannot simply stop paying attention to them, we still need to nurture and care for them so that they turn out to be individuals that we so desire them to be. It's a journey that needs different aspects to be taken care of to give the desired end result. The journey towards a successful SIAM implementation is similar and needs the same amount of care and attention to produce the desired business results.

Change management in SIAM:

  • People change: Change in the cross-supplier working culture is just as important as commercial and contractual change.
  • Way of Working change: A charter for way of working should be defined for the entire extended enterprise. The way of working will change, and everyone should be on-board with what that shift entails - a collaborative focus on business value and transparency.
  • Tooling change: The tools in use form the foundation of the service ecosystem across suppliers and the decision to retain or partner with the tool needs to be taken at the very beginning of the SIAM journey.
  • Organizational and set-up change: Start your SIAM journey by defining the structures and responsibilities of the organizations involved in the service delivery.

To find out more about Tieto Sustainable SIAM, read our white paper at www.tieto.com/SIAMor have a look at the insights below.

How to get the best from your IT service providers
SIAM – a passing trend or here to stay?
How to bring business closer to IT services? 
What will change with SIAM, what will remain the same?
How to get started with SIAM and what is its budget impact?
Right tooling ensures SIAM success
SIAM Governance is a joint effort
Escalation in a SIAM framework based on business priorities

 

Stay up-to-date

Get all the latest blogs sent you now!