Why Usability Matters
When faced with the need for a platform for internal operations functions such as HR, asset and change management, corporate and financial reporting, etc, companies have three choices:
Usually, companies decide against option 1 since it makes very little sense to spend the limited IT development budget to create a proprietary way to, say, onboard a new employee.
Options 2 and 3 are much more common and, as with everything in technology, each has its pluses and minuses.
Buying end2end enterprise platforms makes a lot of sense:
So why would you ever end up with the best-of-breed approach? After all, you would have to manage each tool separately, spend time and money integrating the data and interfaces, manage multiple upgrades and backward compatibility cycles, and negotiate with multiple vendors.
Why? In a word - usability!
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Since the goal of end2end platforms is to provide a broad set of well-integrated features spanning multiple business processes and stakeholders, the usability of the platform often falls by the wayside. On the other hand, the niche players have to focus on usability to carve out their niche and continue to grow in spite of stiff competition from the end2end players.
The Value of Usability
To state the obvious, if a tool is hard to use, people are reluctant to use it.
While for many B2C companies, the CX experience and ease of use are major differentiation points, quite often this is not the case among the enterprise operations platform market.
This tends to lead to all kinds of bad outcomes that negate the value of buying an end2end platform. Here are some of them:
Enterprise architecture teams are usually called upon to create an oversight process to prevent both over-customization and sprawl, which puts them in an unenviable position of telling their stakeholders in technology and business to just deal with it. Data governance teams also sometimes get in on the game and try to create standards for data entry and add additional oversight. This means that the production release process becomes increasingly heavy, adding more bureaucracy to developers’ lives, increasing costs, and elongating timelines. While the effort is not lost, the results often don’t have the meaningful impact they hoped to achieve.
As digital applications and platforms play an increasingly significant role in internal operations, their makers would do well to prioritize the overall usability of these tools to ensure they are leveraged to their fullest potential. After all, even if a vendor puts a lot of time and effort into developing new products and adding valuable new features, it won’t matter if the end result isn’t practical or helpful to the people who are using them.
Well said - like any PnL - does it add value to the firm ? Is it useful ? Also, Love the point “2.The platform gets customized, a lot. “
Good article, there is certainly no "one size fits all" answer to system selection.