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Why technology fails

The top mistakes that business managers make that cause technology projects to fail...

Everyone fears failure. Our human condition has planted the notion that failure means we have been stupid, lazy, and in the business place, failure often makes us fear losing our paycheck.

The greatest among us know that failure is the product of education: with each "failure" we learn valuable information about the problem we are trying to solve. Often, by learning what does not work, we can come close to knowing what does work.

Technology projects, initiatives, and changes fail because business management is afraid of making the wrong choice. The secret is simple: you will always be wrong with technology.

YOU WILL ALWAYS BE WRONG.

In technology, what is good practice today is nearly obsolete tomorrow. Resist the temptation to try and "get it right" when it comes to technology. Forget the subjective notion of "right" - and simply work on solving the problem. There are hundreds of ways to solve the same problem with technology - there is no right answer and wrong answer, only the answer that solves your problem.

Realize that most technology project "fail" because they don't actually solve the problem. What technology problems require is a good solution to the problem - and that requires understanding the problem. Often, technology projects are designed to fix symptoms.

For example, you can have the worlds most expensive system to scan and save documents. But what if the problem isn't saving the documents - what if, what you're trying to do is eliminate paper? Scanning solutions assume paper - something to scan. The real problem is the fact that paper exists in the first place: design paper forms out of your workflow and you don't need that expensive scanning system.

Think about the business problem or process you have: don't think about technology. Ask questions of "why do we do things this way?" "Is there a better way to do this process?" Once you ask those questions, it is much easier to use technology to solve those problems. Often, technology complicates our lives because we use technology to solve symptoms - not problems.

Technology smarts

Learn why smart managers never make decisions about technology...

Smart business managers know their business well: they understand their industry, their product, trends, customers, vendors, and their "trade." That's evidenced by the fact that they are in business and successful - there would be no business nor success if they did not know their "stuff" when it came to their business.

Savvy business people have to spend a lot of time learning their industry and practicing their trade. This means that other tasks: accounting, legal, human resources, operations, etc. have to be intrusted to other people or departments.

Smart managers don't know anything about computers. While industries, manufacturing, logistics, production, and operations are stable industries - computers and technology are instable. Technology changes far too fast for the successful, smart business manager to stay on top of the trends.

To save time, money, and effort, information technology is outsourced by smart managers. Just like legal, accounting, and HR, there are too many intricasies and too many changes in the technology field to make technology an in-house affair.

The cost of bidding

The story of the purchasing department that wasted the technology budget...

Once, there was a company that needed to use technology to make more money, sell faster, deliver product more accurately and more timely, and close the billing cycle to generate more cash flow.

However, this company was adamant about "controlling" the technology purchasing process. The company used the same methods to buy technology as they used to buy product, equipment, hire people, and try to ensure that they didn't spend too much money.

As such, quotes from various companies were obtained. Since the business managers really don't understand technology, they don't really know what they're asking for. Savvy sales people from technology companies know when you don't understand, and they'll sell you lots of things to pad their commissions.

That company that thought they could control the process of purchasing technology like everything else forgot one thing: they don't understand technology. They DO understand their industry, their suppliers, their vendors, and their customers. It is easy to assume that every business process can be solved with the same tools, but that's what leads to failure. Solving technology problems requires a technical savvy that business managers and staff do not have.

So while that company went through the confusing and time-wasting process of filtering bids and having meetings, they spent hundreds of thousands of dollars is lost people time, plus they delayed the benefit of that new technology. By waiting to get the lowest price, they also waited to get any benefit, likely negating any ROI that project would provide.

The bottom line is that if you don't live and breath technology, don't make technology decisions. Paying a consulting firm for their time will keep you from wasting your valueable time and money.