An OSS theatre of combat

Have you sat on both sides of the OSS procurement process? That is, been an OSS buyer (eg writing an RFP) and an OSS seller (eg responded to an RFP) on separate projects?

Have you noticed the amount of brain-power allocated to transferral of risk from both angles?

If you’re the buyer, you seek to transfer risk to the seller through clever RFP clauses.
If you’re the seller, you seek to transfer risk to the buyer through exclusions, risk margins, etc in your RFP response.

We openly collaborate on features during the RFP, contract formation, design and implementation phases. We’re open to finding the optimal technical solution throughout those phases.

But when it comes to risk, it’s bordering on passive-aggressive behaviour when you think about it. We’re also not so transparent or collaborative about risk in the pre-implementation phases. That increases the likelihood of combative risk / issue management during the implementation phase.

The trusting long-term relationship that both parties wish to foster starts off with a negative undercurrent.

The reality is that OSS projects carry significant risk. Both sides carry a large risk burden. It seems like we could be as collaborative on risks as we are on requirements and features.

Thoughts?

OSS transformation is hard. What can we learn from open source?

Have you noticed an increasing presence of open-source tools in your OSS recently? Have you also noticed that open-source is helping to trigger transformation? Have you thought about why that might be?

Some might rightly argue that it is the cost factor. You could also claim that they tend to help resolve specific, but common, problems. They’re smaller and modular.

I’d argue that the reason relates to our most recent two blog posts. They’re fast to install and they’re easy to run in parallel for comparison purposes.

If you’re designing an OSS can you introduce the same concepts? Your OSS might be for internal purposes or to sell to market. Either way, if you make it fast to build and easy to use, you have a greater chance of triggering transformation.

If you have a behemoth OSS to “sell,” transformation persuasion is harder. The customer needs to rally more resources (funds, people, time) just to compare with what they already have. If you have a behemoth on your hands, you need to try even harder to be faster, easier and more modular.

I have the need for OSS speed

You already know that speed is important for OSS users. They / we don’t want to wait for minutes for the OSS to respond to a simple query. That’s obvious right? The bleeding obvious.

But that’s not what today’s post is about. So then, what is it about?

Actually, it follows on from yesterday’s post about re-framing of OSS transformation.  If a parallel pilot OSS can be stood up in weeks then it helps persuasion. If the OSS is also fast for operators to learn, then it helps persuasion.  Why is that important? How can speed help with persuasion?

Put simply:

  • It takes x months of uncertainty out of the evaluators’ lives
  • It takes x months of parallel processing out of the evaluators’ lives
  • It also takes x months of task-switching out of the evaluators’ lives
  • Given x months of their lives back, customers will be more easily persuaded

It also helps with the parallel bake-off if your pilot OSS shows a speed improvement.

Whether we’re the buyer or seller in an OSS pilot, it’s incumbent upon us to increase speed.

You may ask how. Many ways, but I’d start with a mass-simplification exercise.

Re-framing an OSS replacement strategy

Friday’s post posed a re-framing exercise that asked you (whether customer, seller or integrator) to run a planning exercise as if you MUST offer a money-back guarantee on your OSS (whether internal or external). It’s designed to force a change in mindset from risk mitigation to risk removal.

We have another re-framing exercise for you today.

As we all know, incumbent OSS can be really difficult to replace / usurp. It becomes a massive exercise for a customer to change the status quo. And when you’re on the team that’s trying to instigate change (again whether you’re internal or external to the OSS customer organisation), you want to minimise the barriers to change.

The ideal replacement approach is to put a parallel pilot in place (which also bears some similarity with the strangler fig analogy). Unfortunately the pilot approach doesn’t get used as often as it could because pilot implementation projects tend to take months to stand up. This implies significant effort and cost, which in turn implies a major procurement event needs to occur.

If the parallel pilot could be stood-up in days or a couple of weeks, then it becomes a more useful replacement persuasion strategy.

So today’s re-framing exercise is to ask yourself what you could do to stand up a pilot version of your OSS in only days/weeks and at very little cost?

Let me add an extra twist to that exercise. When I say stand up the OSS in days/weeks, I also mean to hand over to the users, which means that it has to be intuitive enough for operators to begin using with almost no training. Don’t forget that the parallel solution is unlikely to have additional resources to operate it. It’s likely that the same workforce will need to operate incumbent and pilot, performing a comparison.

So, what you could do to stand up a pilot version of your OSS in only days/weeks, at very little cost and with almost immediate take-up by users?

What’s the one big factor holding back your OSS? And the exercise to reduce it

We’ve talked about some of the emotions we experience in the OSS industry earlier this week, the trauma of OSS and anxiety relating to OSS.

To avoid these types of miserable feelings, it’s human nature to seek to limit them. We over-analyse, we over-specify, we over-engineer, we over-document, we over-contract, we over-react, we over-estimate (nah, actually we almost never over-estimate do we?), we over-resource (well, actually, we don’t seem to do that very often either). Anyway, you get the “over” idea.

What is the one big factor that leads to all of these overs? What is the one big factor that makes our related costs and delivery times become overs too?

Have you guessed yet?

The answer is…… drum-roll please…… RISK.

Let’s face it. OSS projects are as full as a centipede’s sock drawer when it comes to risk. The customer carries risks, the supplier carries risk, the integrators carry risk, the sponsors carry risk, the end-users carry risk, the implementers carry risk. What a burden! And it is a burden that impacts in many ways, as indicated in the triple constraint of OSS projects.

Anyone who’s done more than a few OSS projects knows there are many risks and they tend to respond by going into over-mode (ie all the overs mentioned above). That’s a clever strategy. It’s called risk mitigation.

But today’s post isn’t about risk mitigation. It takes a contrarian approach. Let me explain.

Have you noticed how many companies build risk reduction techniques into their sales models? Phrases like “money-back guarantee” abound. This technique is designed to remove most of the risk for the customer and also remove the associated barrier to purchase. To be fair, it might not actually be a case of removing the risk, but directing all of the risk onto the seller. Marketers call it risk reversal.

I’m sure you’re thinking, “well that’s fine for high-volume, low-cost products like burgers or books, but not so easy for complex, customised solutions like OSS.” I hear you!

I’m not actually asking you to offer a money-back guarantee for your OSS, although Passionate About OSS does offer that all the way from our products through to our high-end consultancy services.

What I am asking you to do (whether customer, seller or integrator) is to run a planning exercise as if you MUST offer a money-back guarantee. What that forces is a change of mindset from risk mitigation to risk removal. It forces consideration of what are the myriad risks “in the system” (for customer, seller and integrator) and how can they be removed? Here are a few risk planning suggestions FWIW.

Set the following challenge for your analysts and engineers – Don’t come to me with a business case for the one-million-and-first feature to add, but prove your brilliance by showing me the business case for the risks you will remove. Risk reduction rather than feature-add or cost-out business cases.

Let me know what you discover and what your results are.

Identifying the fault-lines that trigger OSS churn

Most people slog through their days in a dark funk. They almost never get to do anything interesting or go to interesting places or meet interesting people. They are ignored by marketers who want them to buy their overpriced junk and be grateful for it. They feel disrespected, unappreciated and taken for granted. Nobody wants to take the time to listen to their fears, dreams, hopes and needs. And that’s your opening.
John Carlton
.

Whilst the quote above may relate to marketing, it also has parallels in the build and run phases of an OSS project. We talked about the trauma of OSS yesterday, where the OSS user feels so much trauma with their current OSS that they’re willing to go through the trauma of an OSS transformation. Clearly, a procurement event must be preceded by a significant trauma!

Sometimes that trauma has its roots in the technical, where the existing OSS just can’t do (or be made to do) the things that are most important to the OSS user. Or it can’t do it reliable, at scale, in time, cost effectively, without significant risk / change. That’s a big factor certainly.

However, the churn trigger appears to more often be a human one. The users feel disrespected, unappreciated and taken for granted. But here’s an interesting point that might surprise some users – the suppliers also often feel disrespected, unappreciated and taken for granted.

I have the privilege of working on both sides of the equation, often even as the intermediary between both sides. Where does the blame lie? Where do the fault-lines originate? The reasons are many and varied of course, but like a marriage breakup, it usually comes down to relationships.

Where the communication method is through hand-grenades being thrown over the fence (eg management by email and by contractual clauses), results are clearly going to follow a deteriorating arc. Yet many OSS relationships structurally start from a position of us and them – the fence is erected – from day one.

Coming from a technical background, it took me far too deep into my career to come to this significant realisation – the importance of relationships, not just the quest for technical perfection. The need to listen to both sides’ fears, dreams, hopes and needs.

Addressing the trauma of OSS

You also have to understand their level of trauma. Your product, service or information is selling a solution to someone who is in trauma. There are different levels, from someone who needs a nail to finish the swing set in their backyard to someone who just found out they have a life-threatening disease. All of your customers had something happen in their life, where the problem got to an unmanageable point that caused them to actively search for your solution.
A buying decision is an emotional decision
.”
John Carlton
.

My clients tend to fall into three (fairly logical) categories:

  1. They’re looking to buy an OSS
  2. They’re looking to sell an OSS
  3. They’re in the process of implementing an OSS

Category 3 clients tend to bring a very technical perspective to the task. Lists of requirements, architectures, designs, processes, training, etc.

Category 2 clients tend to also bring a technical perspective to the task. Lists of features, processes, standards, workflows, etc.

Category 1 clients also tend to break down the buying decision in a technical manner. List of requirements, evaluation criteria, ranking/weighting models, etc.

But what’s interesting about this is that category 1 is actually a very human initiative. It precedes the other two categories (ie it is the lead action). And category 1 clients tend to only reach this state of needing help due to a level of trauma. The buying decision is an emotional decision.

Nobody wants to go through an OSS replacement or the procurement event that precedes it. It’s also a traumatic experience for the many people involved. As much as I love being involved in these projects, I wouldn’t wish them on anyone.

I wonder whether taking the human perspective, actively putting ourselves in the position of understanding the trauma the buyer is experiencing, might change the way we approach all three categories above?

That is, taking less of a technical approach (although that’s still important of course), but more on addressing the trauma. As the first step, do you step back to understand what is the root-cause of your customer’s unique trauma?

Would an OSS duopoly be a good thing?

The products/vendors page here on PAOSS has a couple of hundred entries currently. We’re currently working on an extended list that will almost double the number on it. More news on that shortly.

The level of fragmentation fascinates me, but if I’m completely honest, it probably disappoints me too. It’s great that it’s providing the platform for a long-tail of innovation. It’s exciting that there’s so many niche opportunities that exist. But it disappoints me because there’s so much duplication. How many alarm / performance / inventory / etc management tools are there? Can you imagine how many developer hours have been duplicated on similar feature development between products? And because there are so many different patterns, it means the total number of integration variants across the industry is putting a huge integration tax on us all.

Compare this to the strength of duopoly markets such as:

  • Microsoft / Apple (PC operating systems)
  • Google / Apple (smartphone operating systems)
  • Boeing / Airbus (commercial aircraft)
  • Visa / Mastercard (credit cards / payments)
  • Coca Cola / Pepsi (beverages, etc)

These duopolies have allowed for consolidation of expertise, effort, revenues/profits, etc. Most also provide a platform upon which smaller organisations / suppliers can innovate without having to re-invent everything (eg applications build upon operating systems, parts for aircraft, etc).

Buuuut……

Then I think about the impediments to achieving drastic consolidation through mergers and acquisitions (M&A) in the OSS industry.

There are opportunities to find complementary product alignment because no supplier services the entire OSS estate (where I’m using TM Forum’s TAM as a guide to the breadth of the OSS estate). However, it would be much harder to approach duopoly in OSS for a number of reasons:

  • Almost every OSS implementation is unique. Even if some of the products start out in common, they usually become quickly customised in terms of integrations, configurations, processes, etc
  • Interfaces to networks and other systems can vary so much. Modern EMS / devices / systems are becoming a little more consistent with IP, SNMP, Web APIs, etc. However, our networks still tend to have a lot of legacy protocols to interface with our networks
  • Consolidation of product lines becomes much harder, partly because of the integrations above, but partly because the functionality-sets and workflows differ so vastly between similar products (eg inventory management tools)
  • Similarly, architectures and build platforms (eg programming languages) are not easily compatible
  • Implementations are often regional for a variety of reasons – regulatory, local partnerships / relationships, language, corporate culture, etc
  • Customers can be very change-averse, even when they’re instigating the change

By contrast, we regularly hear of Coca Cola buying up new brands. It’s relatively easy for Coke to add a new product line/s without having much impact on existing lines.

We also hear about Google’s acquisitions, adding complementary products into its product line or simple for the purpose of acquiring new talent / expertise. There’s also acquisitions for the purpose of removing competitors or buying into customer bases.

Harder in all cases in the OSS industry.

Tomorrow we’ll share a story about an M&A attempting to buy into a customer base.

Then on Thursday, a story awaits on a possibly disruptive strategy towards consolidation in OSS.

Think for a moment…

Many of the most important new companies, including Google, Facebook, Amazon, Netflix, Snapchat, Uber, Airbnb and more are winning not by giving good-enough solutions…, but rather by delivering a superior experience….”
Ben Thompson
, stratechery.com

Think for a moment about the millions of developer hours that have gone into creating today’s OSS tools. Think also for a moment about how many of those tools are really clunky to use, install, configure, administer. How many OSS tools have truck-loads of functionality baked in that is just distracting, features that you’re never going to need or use? Conversely, how many are intuitive enough for a high-school student, let’s say, to use for the first time and become effective within a day of self-driven learning?

Let’s say an OSS came along that had all of the most important features (the ones customers really pay for, not the flashy, nice-to-have features) and offered a vastly superior user experience and user interface. Let’s say it took the market by storm.

With software and cloud delivery, it becomes harder to sustain differentiation. Innovative features and services are readily copied. But have a think about how hard it would be for the incumbent OSS to pick apart the complexity of their code, developed across those millions of developer hours, and throw swathes of it away – overhauling in an attempt to match a truly superior OSS experience.

Can you see why I’m bemused that we’re not replacing developers with more UX experts? We can surely create more differentiation through vastly improved experience than we can in creating new functionality (almost all of the most important functionality has already been developed and we’re now investing developer time on the periphery).

Nobody dabbles at dentistry

There are some jobs that are only done by accredited professionals.
And then there are most jobs, jobs that some people do for fun, now and then, perhaps in front of the bathroom mirror.
It’s difficult to find your footing when you’re a logo designer, a comedian or a project manager. Because these are gigs that many people think they can do, at least a little bit.”
Seth Godin here.

I’d love to plagiarise the entire post from Seth above, but instead suggest you have a look at the other pearls of wisdom he shares in the link above.

So where does OSS fit in Seth’s thought model? Well, you don’t need an accreditation like a dentist does. Most of the best I’ve met haven’t had any OSS certifications to speak of.

Does the layperson think they can do an OSS role? Most people have never heard of OSS, so I doubt they would believe they could do a role as readily as they could see themselves being logo designers. But the best I’ve met have often come from fields other than telco / IT / network-ops.

One of my earliest OSS projects was for a new carrier in a country that had just deregulated. They were the second fixed-line carrier in this country and tried to poach staff from the incumbent. Few people crossed over. To overcome this lack of experience, the carrier built an OSS team that consisted of a mathematician, an architect, an automotive engineer, a really canny project manager and an assortment of other non-telco professionals.

The executives of that company clearly felt they could develop a team of experts (or just had no choice but to try). The strategy didn’t work out very well for them. It didn’t work out very well for us either. We were constantly trying to bring their team up to speed on the fundamentals in order to use the tools we were developing / delivering (remembering that as one of my first OSS projects, I was still desperately trying to bring myself up to speed – still am for that matter).

As Seth also states, “If you’re doing one of these non-dentist jobs, the best approach is to be extraordinarily good at it. So much better than an amateur that there’s really no room for discussion.” That needs hunger (a hungriness to learn without an accredited syllabus).

It also needs humility though. Even the most extraordinarily good OSS proponents barely scratch the surface of all there is to learn about OSS. It’s the breadth of sub-expertise that probably explains why there is no single accreditation that covers all of OSS.

The bird’s wings analogy for OSS RFPs

A bird sitting on a tree is never afraid of the branch breaking, because her trust is not on the branch but on it’s own wings.”
Unknown.

Last month, we posted a series entitled “How to kill the RFP.” The RFP is a common mechanism for reaching a purchasing agreement between OSS provider and network operator. Unfortunately, it’s deemed to be a non-ideal approach by many buyers and sellers alike. One of the key concepts discussed was trust. In the context of the quote above, the branch is the contract formed out of the RFP (Request for Proposal) and the bird’s wings represent the partnership being formed.

We (and our procurement teams) spend a lot of time in the formation of the contract. We want to fortify the branch to ensure it never breaks. We build massive scaffolding around it. But just like the bird analogy, the initial contract is just a starting point. The bird may wish to come back to the branch / contract from time to time. However, over the (hopefully) 10+ year lifespan of the OSS, the contract will never be able to accommodate all possible eventualities (flight paths).

Focus on building trust in the wings (the relationship) and have faith they will overcome any frailties that appear in the branch (the contract) in the long run.

There may be breaches of trust from either / both sides during the lifespan of the relationship. But the end-game should be really clear – an early OSS churn is a bad outcome for both supplier and customer.

OSS come in all shapes and sizes

As the OSS vendors / suppliers page here on PAOSS shows, there are a LOT of different OSS options, making it an extremely fragmented market. But there’s something of a reason for that fragmentation – customer requirements for OSS come in all shapes and sizes. Here are four of the major categories that I’ve been lucky enough to work on.

Tier 1 telcos – the OSS of these organisations tend to be best classified as having to cope with scale. Scale comes in multiple dimensions. The number of network devices under management tend to be large, as do the types of device. The number of subscribers and customer services tend to be large, not to mention having large amounts of change occurring on a daily basis. The number of process variants and system integrations also tend to be large. And being at scale means that they’re more likely to be able to justify the cost of customisations and automations – either to off-the-shelf products or via purpose-built tools. Budgets, both CAPEX and OPEX, also tend to be large. Except where niche slices of the total OSS suite are being delivered, the vendors that service this market are also large in terms of revenues, but also in their number of services staff available to service the customer’s unique needs. In the case of the telco, the business (and revenue model) is built around the network so it gets the clear attention of the organisation’s executives.

Enterprise customers – these OSS tend to be at the other end of the spectrum, even when the enterprise is large (eg banks). Networks tend to be more homogeneous, being IT/IP-centric. Services tend to be less customer-specific (ie for journaling costs at a business unit level rather than individual subscribers) but follow ITSM process models, so the service management daily delta is not at the same scale as the Tier 1 telco. For enterprise customers, the network is rarely core business, even if it is mission-critical to the business. As such, attention and budgets tend to be much smaller. In turn, this means that the smaller, self-service or open-source OSS products / suppliers tend to be present in this segment.

Then there are two categories of organisation that fit between the two previous ends of the spectrum:

Tier 2/3 telcos, MVNOs and data centres – Similar to the Tier-1 telco, just not at the same scale, which has implications on the nature of their OSS. They generally need all the same types of OSS tools as the T1s, just not catering for the same number of variants. Due to cost constraints, there may be one or a few significant OSS building blocks such as inventory, assurance or orchestration, but often there will also be enterprise-grade and/or open-source products in their OSS stack. CAPEX and OPEX budgets are smaller, so clever jack-of-all-trades OSS experts are often on the operational teams delivering sophisticated solutions on shoe-string budgets. Some of the best OSS experts I’ve come across can trace their roots back to these origins.

Utilities – the OSS of these organisations are a fascinating mix of the first two categories above because enterprise-grade OSS often aren’t really fit-for-purpose and carrier-grade OSS doesn’t quite suit either. Except in the case of multi-utilities (eg power + telco), these organisations tend to have very little service management change, mainly because they tend to have few to no external customers. This makes them similar to enterprise OSS. But like telcos, they often have networks that are more varied than your typical IT/IP-centric networks under management in enterprise-land. They often have less common network topologies and protocols, including older and even proprietary models that enterprise-grade OSS rarely support without expensive mediation. Just like the enterprise, the telco network (and hence the OSS) of a utility is not core business and can’t be justified through driving incremental revenues. However, it is generally mission-critical to the core business (eg tele-protection circuits are in place to ensure resilience of the electricity supply across the power network). As such, telco Network health / reliability and asset management tend to be the main focus of these OSS. And whereas telcos can delegate some responsibility for network security to their customers (using the dumb-pipe excuse), utilities bear full responsibility for the security of their telco networks and the critical infrastructure that these networks and OSS tools support.

These are only broadly general categories and there are more than 50 shades of grey in between. Are there any other broad categories that you feel I’m missing?

What to read from a simple little OSS job advertisement from AWS

Not sure if you noticed, but AWS posted this job advertisement on LinkedIn a couple of days ago – Business Portfolio Leader – Telecom OSS/BSS Solutions.

The advertisement includes the following text:
Amazon Web Services (AWS) is leading the next paradigm shift in computing and is looking for a world class candidate to manage an elite portfolio of strategic AWS technology partners focused on the Operation support System (OSS) and Business Support System (BSS) applications within telecommunications segment. Your job will be to use these strategic partners to develop OSS and BSS applications on AWS infrastructure and platform.”

How do you read this advertisement? I have a few different perspectives to pose to you:

I can’t predict AWS’ future success with this initiative, but I’m assuming they’re creating the role because they see a big opportunity that they wish to capture. They have plenty of places they could otherwise invest, so they must believe the opportunity is big (eg the industry of OSS suppliers selling to CSPs is worth multi-billions of dollars and is waiting to be disrupted).

OSS/BSS are typically seen by CSPs as a very expensive (and risky) cost of doing business. I’m certain there’s a business model for any organisation (possibly AWS and its tech partners) that can significantly improve the OSS/BSS delivery costs/risks for CSPs.

The ad identifies CSPs (specifically the term, “major telecom infrastructure providers”) as the target customer. You could pose the concept that the CSPs won’t want to support a competitor in AWS. The CSPs I’m dealing with can’t get close to matching AWS cost structures so are partnering with AWS etc. Not just for private cloud, but also public and hybrid cloud too. The clip-the-ticket / partnership selling model appears to be becoming more common for telcos globally, so the fear-of-competition barrier “seems” to be coming down a little.

The other big challenge facing the role is network and data security. What’s surprised me most are core network services like directory services (used for internal authentication/AAA purposes). I never thought I’d see these outsourced to third-party cloud providers, but have seen the beginnings of it recently. If CSPs consume those, then OSS/BSS must be up for grabs at some CSPs too. For example, I’d imagine that OSS/BSS tools were amongst the 1,000 business apps that Verizon is moving to AWS.

The really interesting future consideration could be the advanced innovation that AWS et al could bring to the OSS space, and in ways that the telcos and OSS suppliers simply can’t. This recent post showed Google’s intent to bring AI to network operations. It could revolutionise the OSS/BSS industry. Not just for CSPs, but for their customers as well (eg their enterprise-grade OSS). Could it even represent another small step towards the OSS Doomsday Scenario posed here?

And just who are the “strategic partners” that AWS is referring to? I assume this old link might give at least one clue.

I’m certainly no Nostradamus, so I’d love to get your opinions on what ramifications this strategic hire will have on the OSS/BSS industry we know today.

How to kill the OSS RFP (part 3)

As the title suggests, this is the third in a series of articles spawned by TM Forum’s initiative to investigate better procurement practices than using RFI / RFP processes.

There’s no doubt the RFI / RFP / contract model can be costly and time-consuming. To be honest, I feel the RFI / RFP process can be a reasonably good way of evaluating and identifying a new supplier / partner. I say “can be” because I’ve seen some really inefficient ones too. I’ve definitely refined and improved my vendor procurement methodology significantly over the years.

I feel it’s not so much the RFI / RFP that needs killing (significant disruption maybe), but its natural extension, the contract development and closure phase that can be significantly improved.

As mentioned in the previous two parts of this series (part 1 and part 2), the main stumbling block is human nature, specifically trust.

Have you ever been involved in the contract phase of a large OSS procurement event? How many pages did the contract end up being? Well over a hundred? How long did it take to reach agreement on all the requirements and clauses in that document?

I’d like to introduce the concept of a Minimum Viable Contract (MVC) here. An MVC doesn’t need most of the content that appears in a typical contract. It doesn’t attempt to predict every possible eventuality during the many years the OSS will survive for. Instead it focuses on intent and the formation of a trusting partnership.

I once led a large, multi-organisation bid response. Our response had dozens of contributors, many person-months of effort expended, included hundreds of pages of methodology and other content. It conformed with the RFP conditions. It seemed justified on a bid that exceeded $250M. We came second on that bid.

The winning bidder responded with a single page that included intent and fixed price amount. Their bid didn’t conform to RFP requests. Whereas we’d sought to engender trust through content, they’d engendered trust through relationships (in a part of the world where we couldn’t match the winning bidder’s relationships). The winning bidder’s response was far easier for the customer to evaluate than ours. Undoubtedly their MVC was easier and faster to gain agreement on.

An MVC is definitely a more risky approach for a customer to initiate when entering into a strategically significant partnership. But just like the sports-star transfer comparison in part 2, it starts from a position of trust and seeks to build a trusted partnership in return.

This is a highly contrarian view. What are your thoughts? Would you ever consider entering into an MVC on a big OSS procurement event?

How to kill the OSS RFP

TM Forum is currently investigating ways to procure OSS without resorting to the current RFI / RFP approach. It has published the following survey results.
Kill the RFP.

As it shows, the RFI / RFP isn’t fit for purpose for suppliers and customers alike. It’s not just the RFI/RFP process. We could extend this further and include contract / procurement process that bolts onto the back of the RFP process.

I feel that part of the process remains relevant – the part that allows customers to evaluate the supplier/s that are best-fit for the customer’s needs. The part that is cumbersome relates to the time, effort and cost required to move from evaluation into formation of a contract.

I believe that this becomes cumbersome because of trust.

Every OSS supplier wants to achieve “trusted” status with their customers. Each supplier wants to be the source trusted to provide the best vision of the future for each customer. Similarly, each OSS customer wants a supplier they can trust and seek guidance from.”
Past PAOSS post.

However, OSS contracts (and the RFPs that lead into them) seem to be the antithesis of trust. They generally work on the assumption that every loophole must be closed that a supplier or vendor could leverage to rort the other.

There are two problems with this:

  • OSS transformations are complex projects and all loopholes can never be covered
  • OSS platforms tend to have a useful life of many years, which makes predicting the related future requirements, trends, challenges, opportunities, technologies, etc difficult to plan for

As a result, OSS RFI/RFP/contracts are so cumbersome. Often, it’s the nature of the RFP itself that makes the whole process cumbersome. The OSS Radar analogy shows an alternative mindset.

Mark Newman of TM Forum states, “…the telecoms industry is transitioning to a partnership model to benefit from innovative new technologies and approaches, and to make decisions and deploy new capabilities more quickly.”
The trusted partnership model is ideal. It allows both parties to avoid the contract development phase and deliver together efficiently. The challenge is human nature (ie we come back to trust).

I wonder whether there is merit in using an independent arbiter? A customer uses the RFI/RFP approach to find a partner or partners, but then all ongoing work is evaluated by the arbiter to ensure balance / trust is maintained between customer (and their need for fair pricing, quality products, etc) and supplier (and their need for realistic requirements, reasonable payment times, etc).

I’d love to hear your thoughts and experiences around partnerships that have worked well (or why they’ve worked badly). Have you ever seen examples where the arbitration model was (or wasn’t) helpful?

Why does everyone know an operator’s business better than the operator?

The headline today blatantly steals from a post by William Webb. You can read his entire, brilliant post here. All quotes below are from the article.

William’s concept aligns quite closely with yesterday’s article regarding external insights that don’t quite marry up with the real situation faced by operators.

At the Great Telco Debate this week there was no shortage of advice for operators. Some counselled them to move up the value chain or branch out into related areas. Others to build “it” so that they would come… But there were no operators actually talking about doing these things.”
Funny because it’s true.

In most industries the working assumption is that a company knows its customers better than outsiders… But this assumption of knowing your customers seems not to hold in the mobile telecoms industry. It appears that the industry assumes that the mobile operators do not know their customers, but that they – the suppliers generally – understand them better.
Interesting. So this is a case of the suppliers purportedly knowing their customer (the operators) but also their customer’s customer (the end-users of comms services). This concept is almost definitely true of network suppliers. I don’t feel that this is common for OSS suppliers though. In fact it’s an area that could definitely be improved upon – an awareness of our customers’ customers.

At the Great Telco Debate, Nokia spoke about how the telcos needed to be bold, to build networks [eg 5G] for which there was no current business plan on the basis that revenue streams would materialise. Telling your customer to do something which cannot be justified economically seems a risky way to ensure a good long-term relationship.

I actually laughed out loud at the truth behind this one. So many related stories to tell. Another day perhaps!

The operators have been advised for decades that they are in a business that is increasingly becoming a utility and that they need to “move up the value chain” or find some other growth opportunity. This advice seems to be predicated on the view that nobody wants to be a utility, that it is essential for organisations to grow, and that moving around the value chain is easy to do. All merit further investigation. Utility businesses are stable, low-risk and normally profitable. Many companies do not grow but thrive nevertheless. But most problematic, mobile operators have been trying to “move up the value chain” for many years, with conspicuous lack of success.”

The CSP vs DSP business model. There is absolutely a position for both speeds in the telco marketplace. Which is better? Depends on your investment objectives and risk/reward profile.

Most operators, sensibly, appear to be ignoring all this unsolicited advice and getting on with running their networks reliably while delivering ever-more data capacity for ever-lower tariffs. Of course, they listen to ideas emanating from around the industry, but they know their business, their financial constraints, and their competitive and regulatory environment.”

As indicated in yesterday’s post, every client situation is different. We might look at the technical similarities between projects, but differences go beyond that. A supplier or consultant can’t easily replace local knowledge across financial and regulatory environments especially.

OSS answers that are simple but wrong vs complex but right

We choose to go to the moon in this decade and do the other things, not because they are easy, but because they are hard, because that goal will serve to organize and measure the best of our energies and skills…”
John F Kennedy
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Let’s face it. The business of running a telco is complex. The business of implementing an OSS is complex. The excitement about working in our industry probably stems from the challenges we face, but the impact we can make if/when we overcome them.

The cartoon below tells a story about telco and OSS consulting (I’m ignoring the “Science vs everything else” box for the purpose of this post, focusing only on the simple vs complex sign-post).

Simple vs Complex

I was recently handed a brochure from a consulting firm that outlined a step-by-step transformation approach for comms service providers of different categories. It described quarter-by-quarter steps to transform across OSS, BSS, networks, etc. Simple!

The problem with their prescriptive model was that they’d developed a stereotype for each of the defined carrier categories. By stepping through the model and comparing against some of my real clients, it was clear that their transformation approaches weren’t close to aligning to any of those clients’ real situations.

Every single assignment and customer has its own unique characteristics, their own nuances across many layers. Nuances that in some cases are never even visible to an outsider / consultant. Trying to prepare generic, but prescriptive transformation models like this would seem to be a futile exercise.

I’m all for trying to bring repeatable methodologies into consulting assignments, but they can only act as general guidelines that need to be moulded to local situations. I’m all for bringing simplification approaches to consultancies too, as reflected by the number of posts that are categorised as “Simplification” here on PAOSS. We sometimes make things too complex, so we can simplify, but this definitely doesn’t imply that OSS or telco transformations are simple. There is no one-size-fits-all approach.

Back to the image above, there’s probably another missing arrow – Complex but wrong! And perhaps another answer with no specific path – Simple, but helpful in guiding us towards the summit / goal.

I can understand why telcos get annoyed with us consultants telling them how they should run their business, especially consultants who show no empathy for the challenges faced.

But more on that tomorrow!

The Theory of Evolution, OSS evolution

Evolution says that biological change is a property of populations — that every individual is a trial run of an experimental combination of traits, and that at the end of the trial, you are done and discarded, and the only thing that matters is what aggregate collection of traits end up in the next generation. The individual is not the focus, the population is. And that’s hard for many people to accept, because their entire perception is centered on self and the individual.”
FreeThoughtBlog.

Have we almost reached the point where the same can be said for OSS workflows? In the past (and the present?) we had pre-defined process flows. There may be an occasional if/else decision gate, but we could capture most variants on a process diagram. These pre-defined processes were / are akin to a production line.

Process diagrams are becoming harder to lock down as our decision trees get more complicated. Technologies proliferate, legacy product lines don’t get obsoleted, the number of customer contact channels increases. Not only that, but we’re now marketing to a segment of one, treating every one of our customers as unique, whilst trying not to break our OSS / BSS.

Do we have the technology yet that allows each transaction / workflow instance to just be treated as an experimental combination of attributes / tasks? More importantly, do we have the ability to identify any successful mutations that allow the population (ie the combination of all transactions) to get progressively better, faster, stronger.

It seems that to get to CX nirvana, being able to treat every customer completely uniquely, we need to first master an understanding of the population at scale. Conversely, to achieve the benefits of scale, we need to understand and learn from every customer interaction uniquely.

That’s evolution. The benchmark sets the pattern for future workflows until a variant / mutation identifies a better benchmark to establish the new pattern for future workflows, which continues.

The production line workflow model of the past won’t get us there. We need an evolution workflow model that is designed to accommodate infinite optionality and continually learn from it.

Does such a workflow tool exist yet? Actually, it’s more than a workflow tool. It’s a continually improving loop workflow.

That’s not where to disrupt your OSS

The diagram below comes from an actual client’s functionality usage profile.
Long tail of OSS

The x-axis shows the functionality / use-cases. The y-axis shows the number of uses (it could equally represent usefulness or value).

Each big-impact demand (ie individual bars on the left-side of the graph) warrants separate investigation. The bars on the right side (ie the long tail in the red box) don’t. They might be worth investigating if we could treat some/all as a cohort though.

The left side of the graph represent the functionality / use-cases that have been around for decades. Every OSS has them. They’re so common and non-differentiated that they’re not remotely sexy. Customers / stakeholders aren’t going to be wowed by them. They’re just going to expect them. Our product developers have already delivered that functionality, have moved on and are now looking for new things to work on.

And where does the new stuff reside? Generally as new bars on the right side of the graph. That’s the law of diminishing returns territory right there! You’re unlikely to move the needle from out there.

Does this graph convince you to send your most skilled craftsmen back to do more tinkering / disrupting at the left side of the graph… as opposed to adding new features at the right side? Does it inspire you to dream up exciting cohort management techniques for the red box? Perhaps it even persuades you to cull some of the long-tail features that are chewing up lifecycle effort (eg code management, regression testing, complexity tax)?

If it does convince you, don’t forget to think about how you’re going to market it. How are you going to make the left side sexy / differentiated again? Are you going to have to prove just how much easier, cheaper, faster, more efficient, more profitable, etc it is? That brings us back to the OSS proof-of-worth discussion we had yesterday. It also brings us back to Sutton’s Law – go to where the money is.

The OSS proof-of-worth dilemma

Earlier this week we posted an article describing Sutton’s Law of OSS, which effectively tells us to go where the money is. The article suggested that in OSS we instead tend towards the exact opposite – the inverse-Sutton – we go to where the money isn’t. Instead of robbing banks like Willie Sutton, we break into a cemetery and aimlessly look for the cash register.

A good friend responded with the following, “Re: The money trail in OSS … I have yet to meet a senior exec. / decision maker in any telco who believes that any OSS component / solution / process … could provide benefit or return on any investment made. In telco, OSS = cost. I’ve tried very hard and worked with many other clever people also trying hard to find a way to pitch OSS which overcomes this preconception. BSS is often a little easier … in many cases it’s clear that “real money” flows through BSS and needs to be well cared for.”

He has a strong argument. The cost-out mentality is definitely ingrained in our industry.

We are saddled with the burden of proof. We need to prove, often to multiple layers of stakeholders, the true value of the (often intangible) benefits that our OSS deliver.

The same friend also posited, “The consequence is the necessity to establish beneficial working relationships with all key stakeholders – those who specify needs, those who design and implement solutions and those, especially, who hold or control the purse strings. [To an outsider] It’s never immediately obvious who these people are, nor what are their key drivers. Sometimes it’s ambition to climb the ladder, sometimes political need to “wedge” peers to build empires, sometimes it’s necessity to please external stakeholders – sometimes these stakeholders are vendors or government / international agencies. It’s complex and requires true consultancy – technical, business, political … at all levels – to determine needs and steer interactions.

Again, so true. It takes more than just technical arguments.

I’m big on feedback loops, but also surprised at how little they’re used in telco – at all levels.

  • We spend inordinate amounts of time building and justifying business cases, but relatively little measuring the actual benefits produced after we’ve finished our projects (or gaining the learnings to improve the next round of business cases)
  • We collect data in our databases, obliviously let it age, realise at some point in the future that we have a data quality issue and perform remedial actions (eg audits, fixes, etc) instead of designing closed-loop improvement cycles that ensure DQ isn’t constantly deteriorating
  • We’re great at spending huge effort in gathering / arguing / prioritising requirements, but don’t always run requirements traceability all the way into testing and operational rollout.
  • etc

Which leads us back to the burden of proof. Our OSS have all the data in the world, but how often do we use it to justify and persuade – to prove?

Our OSS products have so many modules and technical functionality (so much of it effectively duplicated from vendor to vendor). But I’ve yet to see any vendor product that allows their customer, the OSS operators, to automatically gather proof-of-worth stats (ie executive-ready reports). Nor have I seen any integrator build proof-of-worth consultancy into their offer, whereby they work closely with their customer to define and collect the metrics that matter. BTW. If this sounds hard, I’d be happy to discuss how I approach this task.

So let me leave you with three important questions today:

  1. Have you also experienced the overwhelming burden of the “OSS = cost” mentality
  2. If so, do you have any suggestions / experiences on how you’ve overcome it
  3. Does the proof-of-worth product functionality sound like it could be useful (noting that it doesn’t even have to be a product feature, but a custom report / portal using data that’s constantly coursing through our OSS databases)