Here's the scenario I see:

  1. The customer bought something, and then customized it. The customization -- by definition -- must have had significant strategic value.
  2. The customer set it aside, making no more changes of any kind. Okay, there were bug fixes, but nothing significant. The developers were re-assigned to something new. Perhaps a maintainer was brought in.
  3. After a decade of neglect mixed with casual bug-fix and work-around maintenance, they call and want a significant change to the functionality. The word "strategic" is used.

The cost, of course, is astronomical. Our proposal gets thrown out because we're going to charge a fortune for someone to reverse engineer the software. The neglect appeared to have a minute cost, setting up the appearance of a low-cost piece of application software.

However, neglect is a cost which accrues from year to year. The total cost of a decade of neglect is now owed. The lost knowledge has to be rebuilt. Then software designed based on that new knowledge. Then the old software reworked to the new design.

What Happened?

It's hard to say why software is Strategic when it's being acquired and customized, but non-strategic for the rest of it's service life. I've heard it described as Executive ADD™: an inability to focus. This means that every shiny new idea wind up with the label "Strategic" so that it's acceptable to pour resources into it.

One consequence of Executive ADD is Turnover in IT . Another consequence is poor quality: nothing is ever improved or refined. Instead it is implemented, then the ADD kicks in and everyone is assigned to the next shiny new thing.

What causes this flip-flopping? I think there are several reasons, all of which stem from a feeling that Software is Omniscient. Once we install it, it will so regulate and structure our work-life that nothing bad will ever happen. Once we've tested it, it cannot be misused, it's a Thing of Beauty and A Joy Forever.

Clearly, Executive ADD™ is caused by the failure to see how people abuse and mistreat software.

I often see examples of the Third Christmas Club Problem : there's a field that isn't currently in use, so we can put data in there. Sometimes we'll find that our business entity has multiple state changes, but only one status code, so end users invent new status codes to reflect combinations of the various states.

Invisible Abuse

Why don't managers and executives see this envelope-pushing and mistreatment? A couple of reasons spring immediately to mind.

  1. The business process is already so complex that there are numerous manual operations; fudging things in the software is largely invisible against the background noise of manual processing.
  2. There are limited skills or interest in knowing what is really going on. Who really wants to watch their staff doing customer account updates all day just to be sure nothing "funny" is going on?

What we wind up with is a perception that "Strategic" software is a Fire and Forget proposition. Once installed, it runs on autopilot forever. The complexities are inherent in the business, and the details are boring (or complex), so we'll never be 100% rock-solid sure that the software is being used properly.

Choices

We have really two choices: (1) treat strategic software like any other strategic asset and work to improve it, or (2) don't call it strategic unless it really is the centerpiece of the business for the next few years.

If it's a strategic asset, it's someone's job to make sure it works, and to make enhancements and improvements. It isn't a maintenance (read "bug fix") job. It's strategic, visionary, a differentiator, a source of ongoing value creation. This means that there will be revisions, expansions, integration, new features and roll-outs. This will look more like a for-sale product than in-house, back-office information technology.

If it's merely business-critical, it's something you install, and then assign a maintainer to apply bug fixes. It isn't a differentiator; indeed, all your competitors may have the same thing. The vendor-supplied upgrades will be dutifully installed as necessary.

Customization

Where does customization fit into this stark dichotomy? There is really only one proper role for customization, and that's to transform commodity software into strategic software. If the customizations are strategic, then they are visionary and a differentiator, a source of ongoing value creation. Someone owns those customizations, and their job is to leverage those customizations throughout the business to maximize their value.

I think this is the only way to avoid the following Haiku, called "Please Replace it,"

It's heavily customized,

We can't install an upgrade,

We don't dare touch it.