KPMG to sort out NHS?

Dammit -just as I’m thinking that’s it and I see Kevin Reed at Accountancy Age is reporting that KPMG has been given the green light to go in and sort out the problems associated with the anticipated £600 million NHS over spend.

How can you trust a government that won’t reveal either the time frame for this contract or the cost? Does it know? I’ll bet KPMG hasn’t been brought in to do a touchy feely audit. Sounds good though doesn’t it? "Not-really-accountants-we-only-share-a-name" kinda thing for the consultants. They’ll put in the hatchet men first. Because government hasn’t got the balls or a clue how to do it.

As it happens, I have certain senior contacts within the NHS who will forever remain anonymous. They’ll soon tell me the reality.

Time to go

I’m pretty much done for the Christmas break. Unless of course I come across something sensational that can’t wait. I’ll check what’s happening from time to time but more than anything, I need sleep. It’s been an incredible year and this medium has really got me fired up for 2006 and beyond. There’s going to be some really interesting developments here next year.

As Jude and I won’t see our children or grandchildren at this holiday time, I’m taking advantage of the new technology I’ve both discovered and acquired. I’m doing a podcast recording for them and I’ll probably put up some pics on my flickr stream of Jude and I doing crazy stuff. We like to go and sit on the seashore on Christmas Day. We might do that again this year. 

One thing we will definitely do is remember the Tsunami. At the time Eduardo Loigorri, CEO of recently acquired Exchequer Software and a good business colleague of mine was in the area. He got in touch with me and I used my best endeavours to help him get the story out at a time when few people had a clue what was going on. I didn’t have a megaphone at the time. Today I do and it will be used accordingly.

In the meantime, I hope you’re well geared up for the tax submission frenzy that starts January 2nd and sincerely hope it won’t be traumatic for you or your people.

Until you and I both resurface ‘on the other side’ I’ll leave you with warmest wishes for the festive season, however you choose to celebrate it.

 

Navision’s future

I’ve never been wholly convinced that Microsoft Business Solutions products are a good fit for the company and in the long term not for end clients. Today, I read further confirmation of that.

When Microsoft acquired Great Plains and then Navision, I was of the view this was a bad deal. Then I met the development, alliances and marketing teams. I discussed the entire ’stack’ with the then UK general manager, Simon Edwards. I have a great deal of time for Simon but I’ll save that for another post. 

Later, I concluded that if Microsoft could integrate the product lines then it would provide customers with both a clear sense of direction and the opportunity to deliver against joint strengths. But…and this was the caveat…the real technical strength doesn’t come from Navision or GP but Axapta, which has very low market share. There’s lots of technical reasons for this but trust me - I’m correct on this one and many at Microsoft would agree.

The real problem - as many have suspected but chosen to remain silent about - was that MBS was, until very recently, led by the old GP guard. Recently, division leader Doug Bergum was sidelined. Doug was founder of GP and a mate of Steve Ballmer. I know this as I met them both in Fargo (yes - it exists) prior to GP being acquired. Today, I went back to MiniMicrosoft and read this from an ex-employee:

"Man, talk of a place that needs a very serious shake-up. I have never seen so many people and teams trying to f*** it up for each other. SAP and Oracle aren’t the biggest challenges this unit faces - they are their own worst enemy, and until they get it sorted internally, MBS will never fulfill the potential, which is there. I am amazed that noone has done anything about it. Hopefully someone will, now that Doug Burgum has stepped down."

I have no way to verify this person’s view and I am sure there is some ‘colour’ based on this person’s experience. But the history I have witnessed suggests I was right first time around. Why should you care? Does it matter?

I think it does because in any vendor selection, you should undertake due diligence. Accounting applications typically have a ‘customer’ life of 5-7 years. That means at one level, you’re fine. But things move on and MBS is trying to tie all the moving parts of customer organisations together with extensions and hooks to CRM and business intelligence. But it is very much stuck in the 1990s development era.

The internal politicking and process management that is of such concern to many people inside the company should be enough to raise important questions around development and the long term future of the business products. 

When I met with Microsoft’s Robert Scoble in Paris , I asked questions about the impact of a difference in experience that might arise as a result of what people will see at work and what they will see in their consumer experience as Windows Live! rolls out. I said at the time I believe this has the potential to create a fracturing inside Microsoft and inevitably in its product lines. This question has not been addressed - as far as I know.

I am NOT saying Navision or GP are poor choices. Far from it. For many, they have been excellent choices. But my question remains. Are they a reasonable and safe bet for a future dependent on great technology that at the moment is manifesting some of the most exciting creativity I have seen in the software applications arena? At this point, I am more uncertain than at any time in the past.  

Stifling creativity - the rust belt for practices

I’m a big fan of MiniMicrosoft. Here we have a person inside Microsoft telling it as it is. I believe what he says because it makes such perfect sense and reflects experiences many have had inside large companies.

In his latest post, our intrepid sleuth absolutely nails the problems that larger organisations face. Here, I’m talking 10-15 partner practices with 100-200 staff as well as the KPMG, PwC and Deloitte of this world:

"If anyone else ran their business like this - without a $30 billion safety net - they’d be in bankruptcy without the ability to get funding. Our early success has provided a safety net for mediocracy."

A number of readers have privately said to me that firms in the mid-range are just as likely to be mediocre or suffering from the rust belt of inertia because the partner structure and reward system is geared towards time served rather than invention and customer value - despite what is trotted out in public. I don’t agree. There are some real gems out there. But for those that aren’t our man at MiniMicrosoft also has this to say:

"Personally, I’d prefer to spend less time patting myself on the back, and more time figuring out how to be #1. God knows we have the brainpower and the money to be #1, why celebrate mediocracy?

But does anyone say anything? Sure, but not to the people who should hear it. Everyone makes the comments to one another about it in hallway conversations and behind closed doors, but noone says anything to the people at the wheel of the ship.

Except, of course, the 1 or 2 poor bastards who try and say ‘Seriously, this isn’t working. Let’s re-evaluate this.’ We all know what happens to those folks.

Shunned like whores in Amish country."

This is tragic. It’s like cutting off a person’s air supply. Creativity can’t stand being constrained. Sadly, people in this person’s position rarely get the attention uber-bloggers like Microsoft’s very own Robert Scoble enjoy. Perhaps Robert should find this guy and talk with him. Instead, I find that today, Robert’s empathising over the coffee at the Redmond Giant. I’ve got news for Robert - there are more important things than quality coffee.

In the meantime, I can think of a few organisations where that grass roots sentiment is echoed in quiet desperation.

 

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