This is not a Pareto principle discussion, and so I won’t speak to the fact that 80 percent of your revenue comes from 20 percent of your customers. My experience, anyway, is that the so-called “law of the vital few” is oftentimes more of a self-fulfilling prophecy than a hard cold fact. Instead, I will summarize a thread of information that was disclosed last week at the M2M Evolution Conference & Expo; 80 percent by James Brehm (formerly of Compass Intelligence) and 20 percent by ILS Technology President Fred Yentz.
First, Brehm’s 80 percent, which represents the failure rate of M2M projects. Why is this rate so high? It has nothing to do with the technology, but about the nebulous nature of pulling together a device, a cloud, some line of BI…and expecting magic. M2M magic can happen, of course, but it has to start with a solid concept of how the information can be useful and who will really use the information.
In the “RFP Do’s and Don’ts” session led by Machina Research’s Andy Castonguay, the vendors made it clear that they are steering clear of RFPs, and that they believe that RFIs usually come too early in the process, often with an exploratory feel and lacking a strong connection to the business process. And while the vendor can win this RFP, it will then be enmeshed in an endless mess of feature creep and renegotiation, and ultimately the project will shut down... Read More
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