Table 1:  Performance Pillars Mapped Against Service Maturity

 

Phase 1
Initiated

Phase 2
Piloted

Phase 3
Deployed

Phase 4
Institutionalized

Phase 5
Optimized

Vision and Strategy

Initial strategy is to support product sales and provide reference cust. while providing workarounds to complete immature prod.

PS has become a profit center but is subordinate to product sales.  Strategy is to drive customer adoption and references profitably.

PS is an important revenue and margin source but channel conflict still exists.

Services differentiate products.

Service leads products. PS is a vital part of the company.  Solution selling is a way of life.  PS is included in all strategy decisions. 

PS is critical to the company.  Service strategy is clear. Complimentary goals and measurements in place for all functions. 

Finance and Operations

The PSO has been created but is not yet profitable.  Rudimentary time and expense capture. 

5 to 20% margin. PS becoming a profit center but still immature finance and operations processes

20 to 30% margin. PS is a complete P&L.  Standard methods for resource mgmt., time & expense mgmt. and billing. 

PS generates > 20% of overall company revenue and contributes > 30% margin. 

Well developed finance and operations processes and controls.

> 40% margin. Continuous improvement and enhancement. 

High profit. 

Global with disciplined process controls and optimization.

Human Capital Alignment

Hire as needed.  Generalist skills.  Chameleons, Jack of All Trades.  Individual heroics. 

Begin forecasting workload. Start developing job and skill descriptions and compensation plans

Resource mgmt., skill mgmt, career mgmt, employee satisfaction surveys. Training plans. Attrition <20%

Business process and vertical skills in addition to technical and project skills.  Career ladder. Training investment. Low attrition.

Continually staff and train to meet future needs.  Highly skilled, motivated workforce.  Outsource commodity skills or peaks.

Service Execution

No scheduling.  Reactive. Ad hoc.  Heroic.

Skeleton methodology in place. Initiating project mgmt. and technical skills.

Collaborative portal, begin looking at Earned Value Analysis.  Project dashboard and quality measure.

Integrated project and resource management.  Using portfolio management.

Integrated solutions drive performance.  Continual checks and balances to assure superior utilization and bill rates.

Client Relationship

Opportunistic.  No defined solution sets.  Focus on new customers and references.

Start to use marketing to drive leads.  Multiple sales models.  Start measuring customer satisfaction.

Marketing, inside sales, solution sales with defined solution sets.  Deal, pricing and contract reviews. 

Business process and vertical solutions in addition to horizontal applications.  Centers of excellence.  Top client and partner programs.

Executive relationships.  Thought leadership.  Brand building and awareness.  High customer satisfaction.  Integrated sales and marketing.  High quality references.

                                                                                                                    Source: Adexta and SPI Research, January 2008