"Welcome to The Experience Game"​

This is probably one of the most important blogs I have written and something I am going to look back on in years to come as we have reached yet another inflection point in the world of enterprise software. Something I began to see at the beginning of 2019 is now becoming reality and I thought I would share my perspective on the direction of travel as the major Software Vendors play their next hand from the deck of cards called “technology innovation”.

In my last blog I previously highlighted the importance of understanding market cycles to seek new business opportunities and now, with certainty, what I was seeing at the beginning of the year is fast becoming reality and in my opinion is going to redefine the ERP marketplace. 

Cliché it maybe, I first wrote about it over four years ago, but the saying “look after your employees and they will look after your customers” is now more important than ever and it just seems like the same light bulb has just gone on simultaneously all over the world. 

Enterprise Cloud based solutions are now taken for granted and whilst many businesses and organisations have still yet to make the move in terms of technology innovation this is now seriously old news. I have commented extensively about bridging the “innovation gap” as all it does is increase and as businesses and organisations continue to defer the decision to move opportunity is naturally lost. A source of personal frustration when I have conversations and find myself having to smile politely when listening to what amounts to poor justifications as to why one has deferred moving to the Cloud. This is usually based upon a poorly informed perspective through the lack of knowledge. Now we have reached an inflection point and the market is moving again.

The conversation in the future for the back office enterprise is no longer going to be about Finance or HR systems in the Cloud nor will it be about Finance or HR transformation (large SI’s please take note!) or even worse the most over used term of a generation - “digital transformation”. Even the abbreviation “ERP” will possibly now be consigned to the history books as this inflection point takes hold.

Enter the “Experience Economy”

The term "Experience Economy" was first used in a 1998 article by B. Joseph Pine II and James H. Gilmore and was subsequently used as the basis of their book “The Experience Economy” where they articulate that businesses to differentiate themselves must constantly create memorable events for their customers and that the memory itself becomes the product, i.e. the "experience". (A revised edition is coming out in December ’19 this year!). This is another example of looking to the past to find the future!

So now apply this thinking to the employee and not necessarily the customer. Imagine a world in the business context where every business experience is personalised just for you whilst the underlying business processes are standardised. What has dominated the B2C market for years over the internet has now arrived in the back office. The technologies used pre-dominantly throughout social media and modern retail orientated websites to track our behaviours and influence us subconsciously are now going to become common place in the working environment.

It’s the technologies like AI, RPA and predictive analytics that are underpinning this. Remember though the conversation an organisation wants to have is what experiences are we delivering up to our employees, customers and suppliers and not what the enabling technologies we are using. (A rookie mistake that I see many Consultancies make day-in-day out especially those who still try to be all things to all people). Always focus on the business problem you are trying to solve, whatever you are proposing why is it "Better, Cheaper, Faster" than what currently exists today?

In all it’s a new kind of enterprise platform play providing a single employee integrated experience.

Imagine logging onto your work portal to find all your work for the day is already organised for you to undertake. The new platform understands the corporate calendar of business operations, it knows about your personal calendar, it knows your role, and subsequently understands what is required for you to execute your job on a day-to-day basis and it knows how you as an individual like to operate across work and non-work systems (read internet) you interact with.  And if something of interest occurs in the field of your expertise is going on in the world, it already has scanned the Internet bringing that article or point of view to your attention. It ensures you have the tools ready and available 24x7 so you can always be on top of your game. This is something that goes across multiple back office systems, drawing in data and metadata alike to build a personal digital persona reflecting your role and the work you undertake.  

No more navigating screens, no more having to go look for something, it’s just there ready for you. Your life at work has just become easier and you feel good because you have more time. Throw in speech recognition and you won’t even have to touch a keyboard.

Superior employee experiences will drive positive customer experience. The two are positively correlated and a single personalised employee integrated experience delivers this.

Sounds great? Good! because this is where we are now all heading.

The Market Place – The pieces of the Jigsaw Assemble

In my opinion this time Larry and Co at Oracle are ahead of the game. They have talked about this extensively at Openworld and their HCM Captains of Industry and Ambassadors currently are on a World-Wide tour driving home this message leveraging off their current new User Experience tactically, but clearly articulating the future which is here and how they are moving towards it. Give credit where credit is due they even gave the Oracle brand a positive face lift, but watch for greater technology innovation arriving over the next 24 months as Ellison doubles down on his direction in regard to SaaS applications. However Oracle isn't the only game in town.

Salesforce, as you would expect are already talking about this but they still lack the penetration in my opinion across the back office enterprise but to discount them would be fatal. 

Mike Ettling, CEO at Unit 4, made his announcement and a big push into this space just last month at Unleash19 and last week Bill McDermott, the industry veteran CEO of SAP moved to Service Now even more interestingly the ex-CEO of Service Now is moving to Nike! – That tells you something about the retail industry and the value of those who truly understand we are in the “experience” game. McDermott’s forte is acquisition, so watch out for strategic acquisitions that puts the employee experience front and centre. 

Meanwhile SAP are blitzing the SkyNews channel in advertising regard to experience management through their “Qualtrics” acquisition. This could be the solution to what I think is their Achilles Heal in that HANA is not really Cloud, and they need someone else’s – usually Microsoft and also their enterprise suite is a collection of products from acquisitions.  

Workday suddenly appears to behind the ball for the first time so it will be interesting to see what announcements they make in this area. Microsoft will no doubt follow in due course as even the newbies on the block UIPath new marketing message is breaking out from just Robotics Process Automation (RPA) into the experience game. Personally, I always thought Microsoft would try and acquire UIPath.

Just like when Cloud became mainstream the SaaS Platform Vendors are now setting the pace and the tone of the future. The industry has already moved to the new market that being the “experience” play. SME’s take note there is opportunity here. You can argue that the digital design agencies saw this coming over a decade ago, but lacked the technology and capability to deliver, however the point being now is that the “employee experience” is the new “customer experience”. That also leaves a nice gap for the “Supplier Experience”. 

Brave New World brings New Business Opportunities

So a new game is afoot and many new business opportunities exist. The questions are (1) Can the Customer base get their head around what is happening and see the many benefits that this is going to bring? (2) Can the Software Vendors deliver on their marketing messages? – my bet is very much yes they can and already have started to albeit this is still going to take time (3) Can the Systems Integrators see the new market plays recognising that the conversation has changed?

A final thought is that most technologies become commoditised over time and so do the surrounding services. Will this happen with the experience game? Personally, I don’t think so, my rationale being that experiences are intrinsically linked to human behaviour. Our behaviours over time change, and therefore our expectations around personalised experiences will also change consequently the technology platforms providing these personalised experiences will also need to change accordingly.  Whether I am right or wrong with this only time will tell? but I don’t think you can commoditise a personal experience.

I know one thing with certainty though it’s getting really exciting again and the industry is pivoting - I can see it and more importantly I can feel it! “There is gold in those hills…and fortune favours the brave”.

Market Dynamics – The Secrets of the Crystal Ball & Finding the Gap

My insatiable curiosity for watching market forces is an addiction I have never been able to fully reconcile. For myself my market of choice has always been Information Technology. An interest fostered by my father, who was by his own admission a fledgling IT Director in the late 70’s early 80’s, alongside a teenage hobby fuelled by my home computer (my weapon of choice being the “BBC Micro Model B 32K” because I couldn’t afford an Apple II) and a fledging schoolboy entrepreneurial venture writing “O” level projects for £25 a pop which subsequently led to a professional career spanning over 32 years and counting, comprising many ups and downs. 

Over time I have watched my industry change beyond all recognition. More specifically watching the Software Vendors and the Systems Integrators landscape both globally and locally (UK) is something I have always found fascinating. It will always be of great pride and a high degree of satisfaction that in my own small way I was able to put all my knowledge, learning and experience into practice and contribute by founding a niche player which took advantage of a gap in the market and subsequently sold it, with my business partner, to a much bigger fish in the sea. 

Understanding market dynamics and the supply and demand equation is just one continuous learning experience. On one-side is the demand which requires you to have insight into customers business operations to comprehend the challenges and drivers that comprise the market forces that are in play. Balancing the equation is the supply side comprising the “players” - the service providers that come in all shapes and sizes with their different value propositions and all trying to differentiate themselves from one another (well the smart ones are at least!).

As technology innovation continues to accelerate and knowing that the technology of today and tomorrow is truly transformational my endless curiosity has always been three-fold. Firstly, if consumer organisations can really take advantage of technology innovation and adapt to new ways of working or will they become another tombstone in the graveyard. Secondly, if the existing players in the market can actually change their service offerings and underlying operating models to serve the consumer’s needs not only of today but more importantly of tomorrow. Finally, and for me the most interesting, is whether new market opportunity attracts new entrants with new go-to-market strategies and product/service propositions.   

To have a successful business, of any size, from the corner newspaper shop through to the likes of the very large global Systems Integrators, one thing they both have in common is that need to provide products and/or services that are relevant to a market of consumers who are willing to buy through delivery channels that can service the markets efficiently. If you become no longer relevant to your market you will simply, over time, go out of business. Consequently, understanding the market and the buyer’s needs is absolutely critical, especially when market forces and external events are constantly changing. The sand is quite simply moving underneath your feet and remember no one is ever too big to fail, and that in itself is a business opportunity.

Finding the Gap

Now the exciting part is spotting the market opportunity or in layman’s terms the “gap”. This either comes about when either the needs of the consumer are not being met by the existing players or when an advancement, usually but not always, in technology creates a new business model and new ways of working and a new need materialises upsetting the status quo and the natural order of things. This is market disruption. 

Consequently, the market changes and metaphorically the planets come out of alignment in regard to supply and demand. Being able to spot this and react quickly is the trick as this can happen almost overnight. Even better if you can predict it in advance and position yourself accordingly as this is where you make the real money. Success in business is always about timing and having the cash to fund the venture.  

Now I could go on at this point quoting much more advanced economic theory, however everything in my opinion comes down to basic market analysis of factors (Social, Economic, Political, Technology, Environment, Legal) and the basics of supply and demand. Then throw in some outcome scenario planning (cause and effect) and gamification theory and you end up with a comprehensive model you can apply. Research is necessarily, but it is important to remember that markets are in a constant state of flux and “windows” of opportunity appear and close. Richard Branson once said that his top team make investment decisions within a six-week window, after that, they believe that they probably have missed the boat.

What’s the Magic Formula?

For me it’s simply this. Markets are cyclical in nature and therefore to a degree predictable. Combine this with what you know about the supply side and again the predictable nature of incumbent players and the formula becomes complete. History really does have a habit of repeating itself. 

Ones focus should always be on the market, the consumer, and not in the first instance the companies that service that industry. They are obviously very important pieces on the Chess Board, but the market – the consumer need, overrides everything so this is where the focus needs to be.  To para-phase “don’t take your eye off the prize and get distracted by what others are or are not doing”. 

What have I have Learned? 

Now I am not going to go into detail as to how Certus Solutions cracked Central Government with Oracle Cloud here (that’s coming in my book – first shameless plug), albeit in my eyes it is the ultimate case study. But I can assure you it was not down to luck. Luck is a fool’s game, and every entrepreneur knows you create your own luck through vision, focus and a lot of bloody hard work. Several factors were involved and just like when we sold the company it was a case of all the planets aligning and the predictability of the market. 

Once you can see this alignment, that’s the sweet spot. But also remember, planets only align for a point in time they then come out of alignment and the opportunity doesn’t materialise again (if at all) until the next cycle. The things I have learned and I pass on here to those that are interested… 

1.     Know Your Market, Know Your Customer, Know Your Competition - Articulate the target market segment carefully, understanding all the elements that comprise the market, especially both sides of the supply and demand equation. If the market is the Chess Board, do you know and have a perspective on all the pieces?

2.     Tailor Your Proposition – Differentiation is Critical to Success – Naturally to be successful you need a killer proposition and it needs to be different from everyone else. This needs to be highly focused and targeted at the gap you have identified. Don’t be generic and chase what appears to be the latest trend it will be “fish and chip” paper next week, and the market won’t understand what you stand for and what you are all about. Remember the focus should always be on the customer problem you are trying to solve and not the technology you are using. Also, part of any proposition I honestly believe is “brand” development its key in regard to differentiation – but that’s for another day

3.     Markets can be Influenced - You can never ever control the market, however for periods of time you can heavily influence it and in doing so drive consumers towards you and if you can create the “me to” effect so much the better. Ultimately the market will decide its own direction and course 

4.     Don’t Get Caught Up in the R&D Hype - Markets are constantly changing, the speed of technology innovation always outpaces supplier’s capability to deliver it let alone consumer organisations ability to deploy it effectively that it creates business value. Some technologies are “fads” and come and go in a blink of an eyelid. Why? put simply they have no relevance to delivering a solution to a problem, the technology and its use is just immature, or the market is just not ready for the innovation. Example – around 2000-2001 the IT industry started talking about “Application Service Providers”, where Service Providers would host the application and lower a consumers Total Cost of Ownership as they would not need a data centre. The initiative never took off and no one wanted to buy. Hang on – doesn’t this sound like Cloud and Software and a Service, a generation later??

5.     First Time Mover Advantages - As per one of my favourite quotes from the film “Margin Call”, “Be first, be smarter or cheat, and as I don’t cheat it’s a dam site easier just to be first”. Being first is easier because in being first you can define the market to suit you, not the other way around. Now for those naysayers I know you don’t have to use first time advantage as the only winning formula, i.e. Google were the 14th available search engine when it launched and look what happened to them! I am also not saying you can’t enter what appears to be an established market, as you can it is just harder but you can redefine an existing market by providing a solution for a new consumer need. Classic example was the Systems Integrator market for on-premise Oracle systems in the UK, the technology shifted, and the market became all about the Cloud; Certus Solutions entered an established market and became the first Oracle partner in the UK to be specialised in Oracle Cloud and disrupted the existing players and filled the gap. We then let everyone else play catch-up, whilst we set the narrative and banged the drum  

6.     Control the Narrative – Controlling the story and the message to the market is totally in your power. If your first, you get to do this easier than when the competition arrives, and they will arrive be certain of that. However messaging needs to be local and personal. Too generic, corporate like and wide-ranging means absolutely nothing to nobody. The narrative is driving a call to action. What is the problem you are trying to solve? How are you going to solve it? and in solving it what is the value you are delivering? Don’t sit on the fence, you have a point of view, so amplify it. Remember if you are not controlling the narrative and the story someone else will be! 

7.     You Can Create Barriers to Entry - Set the barrier to entry as high as you possibly can, this gives you time before other entrants enter the market or the existing suppliers change tact. In-fact the more barriers to entry you can create, the better it is for you to establish yourself. The beauty about being first is that everyone else is immediately playing catchup. Examples of barriers to entry I have used include Brand, Talent, Customer Advocacy (very powerful), Commercial Proposition and Intellectual Property. When you combine them all into a winning value proposition you can really make your presence felt in the market, especially if you can scare the competition into not even competing with you. Perception is reality regardless of size 

8.     Markets Behaviour can to a degree be Predicted – Gamification and outcome scenario planning are the most useful tools and of course a Crystal Ball with a glass of Red wine usually helps. Plot the cycles of the local economy, the behaviour of your consumers and naturally the competition, over time and look for the patterns, it is this that often shows up where the gaps are. Predictability of both consumers and suppliers behaviour is a powerful ally 

9.     Trust Your Gut - Finally, and most importantly always “trust your gut” – you can do all the research you want, but as they say if “something looks like a duck, swims like a duck, quacks like a duck then it is a duck”. Don’t kid yourself and read things into the data that aren’t actually there just because you want to

10.  Execution is Everything – Even if you can see the gap, if you cannot execute then it all becomes nothing. You need to live and breathe business strategy. Anyone can put a set of power point slides together but few in my experience can really execute 

Lessons Applied in Practice - Predicting Market Behaviour

Scenario planning - now I am a big fan of this technique and it’s just like Chess. Can you plot out your customers and the competitions five moves ahead? There are numerous combinations, but just like a Chess board as the game develops and the pieces move around so does the market. This simple technique of playing “What if?” with a small team to generate ideas can give you tremendous insight very quickly on not only what could happen but more importantly as to how your going to play the game. 

Again, look for the cycles and patterns over time. Don’t worry about what your competition are doing but play the game your way. Execute your strategy, and if it doesn’t work change it. This is totally in your control. Reacting to everyone else in a knee jerk manner is not a strategy as all you are doing is playing someone else’s game. It’s at this point you subconsciously begin to chase the market and this is always a losing position. 

So in summary I have probably dismissed 100 years of more complex economic models, discussion and theory by those who are a way lot smarter than me but what I have provided is the way I approach it and knowing what works for me. However, I do hope the above provides some insight into how to spot opportunity and position yourself accordingly. Alternatively, if you just believe in luck just buy a lottery ticket and see if the numbers drop. PS mine are 1, 7, 8, 22, 42 and lucky stars 1, 7.

8 Years On from 2011 and 15 minutes of Fame – Cloud was it Evolution or Revolution?

Three years on since I last blogged and now its time to restart – why you might ask? Simply it’s been gratifying to hear from Customers, Colleagues, Business Partners and even Prospects who didn’t buy from me (how dare they!) that have told me how much they missed my blogs, which for the uninitiated are still all available on LinkedIn, so by demand it’s time to metaphorically put pen to paper once again. 

For those that are new to my style you will simply get my opinion on things that I am generally interested in and I will no doubt cover topics like Entrepreneurship, SME’s (of which I will always be a champion of), the Market, Tech specifically Cloud and Oracle Cloud and anything else that is running through my mind that I think might be of interest to a wider audience. 

Blogging for me is a way of bringing structure and order to the chaos that is often going on inside me. What you won’t get is any talk of politics (I think we have all had quite enough of the “B” word), albeit I might comment on what I see the future challenges the UK Civil Service faces when we know what we are doing! My opinions are direct and no doubt will be viewed by some as controversial. So please feel free to agree or disagree with me as its only through experience, conversation and difference of opinion that we all learn and you will actually find that it is this that fuels real innovation.

As we enter into Autumn 2019 and on the last day of Oracle’s Openworld in San Francisco let’s turn back the clock as I am reminded that nearly eight years ago on a very dark and wet night in October 2011 in Fenchurch Street at a then Client’s offices Tim Warner, my long term partner in crime, and I discussed at length a new world called Software as a Service (SaaS) and Oracle’s fledgling offering – Fusion (how many times have they interchanged that name over the years?) and what was then still really amounting to a bunch of powerpoint slides that had been touted around for years but rumour was that it was actually not only a real product but an absolute game changer. 

In-fact Larry Ellison, against popular belief, had already made his big bet albeit it is well known that Oracle were a late entrant to the enterprise Cloud game. The more that night we talked the more we felt a paradigm shift was coming that was going not only to change the industry we knew but also the world. It was looking like 1999 all over again. 

Looking back when you realise you are staring into pandora’s box and you suddenly know something that possibly very few others on the entire planet know is, on reflection, quite scary and sends shivers down your spine once you understand the ramifications. 

A period of our own due diligence subsequently followed, so I will dispel the myth now that entrepreneurs are a bunch of mavericks and cowboys that often make knee jerk decisions. However we do move very fast and just three weeks later we were in the position to make an informed calculated risk decision to follow Larry’s fledging vision and “bet everything on Red”. (this story is covered in the blogs of the past so I won’t repeat it here). Cloud was the new market place and we needed to get their first and create the necessary space in the Oracle ecosystem in the UK to thrive, albeit in reality and we do look back and laugh that we had half a product (most of that had key functionality missing), we didn’t really know how to implement it properly (that took us 2 years) and nobody wanted to buy it – the perfect time to start a business.

Roll on seven years and Certus Solutions the company I originally founded in my bedroom and evolved into the first dedicated Oracle SaaS Cloud professional services company was sold to Accenture in May 2018. My 15 minutes of fame had arrived and after 10 years of hard graft, near two bankruptcies, and a host of other personal challenges that I won’t bore you all with, Tim and myself became overnight successes and for 15 minutes complete legends in the Industry and the Oracle ecosystem. 

Now that's over moving swiftly on…   

So was Cloud Evolution or Revolution?

It is just amazing how the software industry has had to change its operating models. Oracle specifically from a product orientated company to a service one (a journey for those involved in the service industry knows never ends!). Something that was started by Salesforce (a company I personally massively admire) is now the norm. Customer success and advocacy are the constant watchwords and rightly so as regardless of Cloud a business does not exist without happy customers.

I once famously told someone very Senior in HM Government in early 2016 after they had spent 18 months pontificating over whether they were going Cloud (as it was a “fad”) that the decision had in-fact already been taken for them by the industry five years earlier and they were going Cloud regardless and it was a decision that was no longer in their gift to make.  Shock! Horror! no just a black and white reality check over the seemingly then obvious state of affairs. The only element of control they had was the WHEN they were going and the longer they continually took no action the cost would just increase. Why? simply the gap exponentially grows between legacy technology and the speed of technology innovation, making it more complicated to move both organisationally and technically within a business. 

Remember the true cost being not just the financial cost of undertaking the implementation, but more importantly the “opportunity cost” of missing out on the digital innovation that is continuously coming at pace. This is something that is constantly missed from business cases both in the private and public sectors. The bottom line being extremely blunt is “just get on with it because you really are missing out”.

So was it an evolution or really a revolution? Three years ago, I used the word evolution, why? Because even in a blog I had to be somewhat careful not to scare monger and evolution is a much softer word to use in regard to change. However looking back, it really was a revolution but through stealth. Salesforce, Oracle, Workday and SAP are all highly successful companies, and Cloud technology has facilitated the emergence of whole host of exciting mid-market vendors and start-ups. Many of these are British! and something I am proud to have been and continue to be associated with. The smaller ones just love turning the world upside down – go for it!

But still why the change of mind? What I never factored into my crystal ball, as I have said many times before, is the sheer pace of technology innovation and its corresponding impact on business operating models. The biggest lesson I learned was that Cloud is TRANSFORMATIONAL – done right it will transform (no going back) your business operation positively for ever. 

It truly is frightening but also at the same time so very exciting. The possibilities of improving our working lives seems endless and the opportunities to challenge the status quo and drive positive change especially in the Public Sector (my undying love for it however frustrating it is at times) still invigorates me today just as much as it did when I first got involved with the HM Prison Services Phoenix Shared Services Programme back in 2004. 

We can make Cloud platforms change the way we work better for everyone – employees, suppliers, and customers alike (and anyone else I have forgotten). More importantly in changing the way we work, we also should benefit positively to the way we conduct our personal lives. We just need to look for the win-win opportunities that exist out there. At the very least, it should help make work less stressful and as mundane tasks are removed through automation creates time for value added activities. Our time whether at work or play is the most valuable thing we all have as our time is always limited.  

So where has this first blog taken us? Simply I revisit my earlier statements and change my position - Cloud was a quiet revolution as it not only transforms business operations but can also positively (if used in the right way) change our personal lives for the better. The pace of change and technology innovation is not letting up and remember the technologies we are dealing with will continue to transform business operations continuously. The next generation of technologies of the likes of AI (which incidentally has been around for years, but now we are looking at mass adoption) and Robotics (another one in the same categorically) are already available having being built and embedded on Cloud technology platforms.

Still for those who continue to delay their migration to the Cloud it is just delaying the inevitable and at significantly higher cost. History is littered with case studies of what happened to those that did not adapt and remain relevant to what was going on around them. You only have to watch the evening news and look at our high streets for recent examples of this.  

There is just as much opportunity today to make a difference as there was when the quiet revolution started. Cloud technology is extremely mature and well proven. The only question one has to ask constantly regardless of your role in society and the economy is are you up for it?

Comment, and let you know what you think, after 3 years I am a bit rusty...

Shared Services - A Changing Landscape

Where has the time gone? 10 years ago on Monday 30^th October 2006...

…will always be a date forever etched on my memory for an implementation that was so leading edge and truly transformational at the time, it became the leading beacon and “poster-child” for Shared Services across UK Central Government winning multiple industry awards in the process. It was a time when Facebook had only just been opened to a global user community a month earlier and Apple had not even launched the iPhone!

From December 2004 through to January 2008 I was privileged to lead a team of over 150 people from various different organisations to create HM Prison Service Shared Services – named the “Phoenix Programme”. For the record we were responsible as a combined project team for the deployment of the HR, Payroll and Expenses services over what was then 130 public sector prisons and part of a larger programme that also addressed the modernisation and centralisation of Finance and Procurement functions. In time this would be augmented further with Training and Inventory Management.

Phoenix was a programme that was founded upon the recommendations of Sir Peter Gershon UK Public Sector efficiency Savings Review (https://en.wikipedia.org/wiki/Gershon_Review) and from an HR perspective also applied the theories of David Ullrich into harden reality. Personally led by all of the Directors of the Prison Service at the time the message was clear from the start that this programme was very much needed to modernise an out dated and costly disparate locally deployed back office operation.

The business case stated cost of £65m but delivered £109m NPV of savings over 9 years, and actually broke even after 3.5 years. In doing so it fundamentally changed for ever the “back office” service provision across the prison service using what was then considered to be the proven technology of choice at the time - Oracle E-Business Suite.

It was a very long journey, with lots of ups and downs but I can honestly say if there was ever one moment in my own career that I can look back and say was truly “career defining” – then this was it!

Looking back the biggest success in regard to Phoenix I will always be proud of was actually nothing to do with technology, but its wider social impact. The Shared Services operation created around 500 jobs. We fundamentally did something that made a significant positive impact to the local economy of South Wales and from the Phoenix Programme I founded Certus Solutions so its economic impact and contribution has become even wider.

Why was it successful? Fundamentally we brought out the best in people from different backgrounds and organisations and got them all focused on achieving a common goal. It was truly a collaborative experience, with strong leadership and direction always at the helm and a total focus on achieving successful delivery. Friendships were forged in the front line of project delivery and have lasted what now seems an eternity.

Did things go wrong? Of course they did – but that’s projects and real project management (which in my opinion seems to be a lost art these days) is really all about how you deal with the challenge when things go wrong and still manage to steer a course through to success. On projects the size of Phoenix the only thing that is ever guaranteed is that things will go wrong – I would raise an eyebrow if anyone said otherwise.

Over the years I have also listened intently to numerous people’s interpretation and manipulation of “history” surrounding the programme. The irony being that the vast majority had either nothing to do with the original programme and some, worse still, claimed the accolades of others success! It’s amazing how reality becomes manipulated for others causes.

A Brave New World – the Advent of Cloud
So, it may-be a case of serendipity, but 10 years on exactly to the same date I post this blog I find myself literally back in Newport, South Wales in the offices of the Office National Statistics (ONS) as we sit on the threshold of launching the first ever Central Government Oracle ERP and HCM Cloud implementation. The ONS office being literally a stones throw away from the original Shared Services operation. How ironic?

Ramifications – The End of Shared Services?
The advent of Cloud Applications Technology offers government that moment that comes along once in a generation where a paradigm shift has the capability to make a significant difference to the way back office services can be consolidated and the “outcomes” from government wide management information can make radical cost savings in the hundreds of millions. However just like the Government Digital Services (GDS) initiatives it requires practitioners within government with a different perspective and thinking.

So with a heavy heart I find myself now writing about what I see as the end of Shared Services. Something that 10 years ago was state of the art and transformational is now I believe on the path to redundancy and becoming "irrelevant". In my world disruptive Cloud technology spells the end of Shared Services operations and I predict they will not exist in the next 5 years. Why do I say this?

• Digital by Default – Will have taken hold. This means you are going to need the business to change the way it accesses and transacts back office services, this has to be communicated and “sustainable business change” implemented subconsciously. Even paper will be finally minimalised and electronic documents will be all the norm – why? because that’s the way Cloud works. The customer experience regardless of the role in the supply chain will be the same as experienced today when using applications like Amazon, eBay, LinkedIn (The largest HR Database in the world!)
• Adopt and Adapt - becomes the modus operandi. Remember you can’t customise anymore – and why would you? Cloud processes, which are considered to be best of breed, need to be adopted and then adapted only when necessary. This will become the accepted norm and even the most complex transactions commoditised
• Rate of Innovation - in Cloud is so great, that in 3-5 years’ time all processes will be re-engineered backwards into the operation line. It will still be all about the "service". Business process is just a delivery mechanism for policy. Cloud is merely a technology enabler; it’s a new way of delivering and accessing a service from the “line” with transactions no longer being passed off to a centralised Shared Services operation somewhere. Who knows where we will be in 5 years time?

The evidence in this context is already forming. The offshore Indian outsourcing models that took hold in the 1990’s are seeing a significant decrease in long term revenues as customers decide not to extend their agreements and become resigned to digitalisation taking effect. Also the breaking of the “revenue” traps of the large SI onshore data centres are now blown away with the Cloud. The client can get to their data and effect change quickly than rather not at all due to the cost barriers. This evidence is only going to get greater as on-premise dies and Cloud adoption accelerates. The market and the industry is continuously changing at an acceleration never experienced before.

Phoenix Rising?
So can the Phoenix rise? Yes it can, but it needs new thinking and it will be in a completely different form.

Einstein quotes the definition of insanity as “doing the same thing over and over again and expecting different results”. We are at an inflection point and the opportunity of Cloud and achieving the outcomes on a scale never seen before is in our grasp and in doing so delivering value for money for the taxpayer. The real question is are we going to change the way we have always done things or are we just going to repeat the past? Are we really prepared to think and deliver differently? - Only time will tell…I know some are and some like the ONS and HM Treasury are already on that journey.

So when everyone later starts to rewrite history later remember the ONS is the FIRST implementation in Central Government of Oracle ERP and HCM Cloud and you can only be first once!

Variations will no doubt follow. So to the implementation team comprising ONS, Oracle and Certus members I offer my congratulations on a successful implementation. You have all been brave, found a way to work collaboratively together and truly have led the way across government for the adoption of this positive disruptive technology – 30th October 2016 will be a date to be remembered.

As for Shared Services, let’s see if my predictions are right and see what the next 5 years bring. As for Phoenix I know it will rise again it will just be in a different form…the form of a Cloud!