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Friends of Neochange,
The last few months have been very exciting for us as the market continues to validate our attempt to shift the software industry's focus towards Effective User Adoption™. Specifically, our opinions and services are attracting software vendors and their customers alike. What we are experiencing is a clear divide between industry players that understand the user adoption challenges of the industry and want to do something about them and others that are still reluctant to enter the fray. The companies we are working with are all committed to increasing the level of customer satisfaction directly connected to the delivery of tangible business results.
As a company we continue
to innovate our core AdoptIT™ methodology
and associated services. Our exposure to the business practices
of leading software providers and the cultures of multiple
Fortune 500 clients has positioned us to create very robust,
practical solutions for our existing and future clients. We
are also currently working with several software utilization
tools that will increase the level of accountability for effective
user adoption to an unprecedented level.
As the industry returns to business from summer vacation we look forward to an exciting back half of the year with new partnerships and impressive client success stories - stay posted and thanks for your past and future support.
Enjoy the newsletter.
Chris Dowse
CEO, Neochange
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Neochange Point of View
Low User Adoption Rates Continue to Plague Key Industry Verticals
Recent statistics (reference below) highlight the challenge facing the software industry as it strives to deliver value realization from enterprise software investments.
Given the relative maturity of CRM solutions, implementations are still failing to deliver what we all would consider to be acceptable results. With less than 40% of implementations achieving above 90% user adoption rates, the industry still hasn't perfected the disciplines and practices critical to delivering value realization.
These adoption challenges plague other less mature industry verticals such as Project and Portfolio Management (PPM), where effective usage rates are reported to be below CRM.
More concerning to the US economy is the performance of Health Care IT solutions. With only 27% of CPOE deployments achieving greater than 61% physician adoption and the failure rate of EHR implementations exceeding 30%, the Healthcare industry may repeat these mistakes by not focusing on the key issues critical to Effective User Adoption™.
Why do these problems persist?
For many in the industry, software is considered the "silver bullet" solution for business problems. Implementation, not effective usage, is considered the most important project phase and measure of success for software investments. Furthermore functionality is viewed as the measure of software value rather than usage and too many customers and vendors take the approach that Organizational Adoption is important, but not their responsibility.
In an upcoming White Paper specifically focused on Healthcare IT, Neochange will outline in detail how these problems can be overcome with a disciplined focus on Effective User Adoption™.
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| Industry Statistics Which Need To Be Addressed |
- Less than 40 percent of the firms implementing
CRM systems have end-user adoption rates above 90 percent,
CRM Magazine, July 2006 (from CSO Insights' 2006 Sales
Performance Optimization Study, 1275 companies)
- Only 20% of functionality is utilized for 80%
of PPM deployments, Accredited to Gartner by
eProjects, July 2006
- Only 27% of CPOE deployment achieve greater than
61% physician adoption, 2005 Hospitals & Health
Networks' Most Wired Survey and Benchmarking Study
- Failure rate for EHR implementations exceeds 30%,
Office of the National Coordinator for Health Information
Technology, March 2005
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Ten Most Common Adoption Mistakes
Having worked with Fortune 500 clients and leading software companies to all stages of the software implementation process - before implementation, during implementation and post implementation - Neochange has gained a unique visibility into the most common adoption mistakes made by companies in their quest to achieve ROI from their software implementations. For a summary of the most common adoption mistakes download the PDF here:
Download PDF
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| Neochange Launches Effective User Adoption™ APM Service Offering |
In July 2006, Neochange announced the launch of a new practice area dedicated to driving application portfolio ROI for Fortune 500 clients. The practice area is supported by a combination of consulting services and software utilization tools that promote increased levels of Effective User Adoption™ in complex application portfolios.
The market for PPM and APM continues to grow rapidly with 20% of large enterprises implementing an APM strategy by 2007, according to Gartner. This new APM practice area enhances existing PPM and APM disciplines by evaluating the Application Portfolio and associated lifecycle practices through an Effective User Adoption™ lens. In addition to the usual cost reduction benefits of PPM and APM the emphasis on effective user adoption drives the achievement of higher levels of business results.
Please refer to the Neoblog for further discussion on how an Effective User Adoption™ approach to PPM and APM provides a level of accountability that drives business results.
Join the discussion
For more information about this new service offering:
Read More
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Neochange In The News and Upcoming Events
Neochange's Opinion Piece titled
"Software's Secret: Higher Usage = Higher
Revenues" was recently published in
the following industry publication: Sandhill.com
Read
Neochange is Presenting at the following Future Events
Compuware, SD Forum Event - 21st
September, San Francisco, 2006 (contact David Cannington
for more details at david.cannington@neochange.com)
Soft Summit 2006 October 17-18, 2006 - Santa Clara CA
www.softsummit.com/index.shtml
Planview User Group Conference, October 1-4, 2006 - Austin, Texas
www.planview.com/usergroup/
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