Issue link: http://www.e-digitaleditions.com/i/94708
Technicalities Cloud Formations You've been enticed by the sales pitch on the benefits of Software- as-a-Service (SaaS) in the cloud. The suppliers have explained their well tested deployment methodologies and promoted the skills of their accredited implementation consultants and partners who will configure the system to your needs. You've performed due diligence, including taking up references with delighted clients and attending various supplier-sponsored conferences. And you might have an outline project plan reflecting the speedy deployment timeline that cloud-based SaaS solutions can offer. But what are the organisational implications that you need to consider to ensure that the end result of your project is a positive legacy for the business? Many of the characteristics of deploying a cloud-based SaaS solution are similar to other traditional application deployments, but some are unique. The necessary data processing agreements, the amount of historic data to be loaded to the application, and the extent of data cleaning will be a perpetual challenge for all organisations— as will be the debate about whether you need a separate data warehouse. The need for end-to-end efficient processes design and whether you can achieve this in-house or need to engage a third- party advisor is another question. The need for knowledge capture tools and techniques also is in play, as are a training plan for the end users and the design of service level agreements (SLAs), key performance indicators (KPIs), and so on. All these decisions can impact your project timelines, but these debates and issues are not unique to cloud-based SaaS deployments. The questions are twofold: Has your organisation truly got its head around the fundamental shift that will be required in terms of responsibilities and control? Is your organisation ready and prepared [38] HRO TODAY GLOBAL | FALL 2012 Why HR must take a greater role in building its own technology. By Louise Aries to work under the cloud-based SaaS model, or will the unique challenges around this only emerge as your project progresses and operation under the new tool commences, putting the success of both at risk? No longer will your application provider be prepared to provide your organisation "one offs" that fall outside of standard configuration options. Your role with regards to new functionality will need to be that of influencing the supplier to provide additional or different functionality through future releases that benefit all clients. You will need to become actively involved in shaping future functionality, potentially acting as design partners alongside other customers and the supplier. The decision on whether to provide this functionality will depend on what overall benefit it brings to the solution for all customers, and the supplier—not simply what benefit does it bring to you. The timing of delivery will need to fit into planned release schedules and therefore the planning horizon for your organisation's functional needs might need to become more structured in order to dovetail with the supplier release lead times. If you operate with a centre of expertise model, and/or with process owners, how prepared are these roles to start engaging actively with suppliers and other clients to understand and influence cloud-based functionality? It might seem appealing to think that you will always be on the latest version of the software. You also might look forward to no longer having to build the business case for the investment funds needed to infrequently upgrade the version of your on premise enterprise resource planning (ERP) solution. And whilst many organisations tend to wait until they have absolutely no choice but to upgrade their ERP version, it is very different under cloud-based