There are eight steps that universities should follow when procuring and implementing a new IT system, says Edward Jones
Many universities face the challenge of procuring and implementing a new student record system – their main “information backbone” for recording student details, choices and achievements. This is often because their existing systems are becoming obsolete, they want a new system to enable a broader transformation, or they want to move to a cloud-based solution.
However, this is unfamiliar ground for most universities. Their larger procurements are usually for property rather than IT and this is typically an exercise that takes place once every 10 years. And when they have navigated the procurement process, they face the challenge of trying to manage a large, complex IT contract.
So how can universities make the best of their student record system procurements and manage the subsequent contract? Here we explore the eight key steps to navigate before and after procurement to ensure success.
During procurement:
1. Sell the opportunity to the supplier market
With the field of suppliers being relatively small and the number of potential customers high, it’s important to do pre-procurement engagement. Ensure that your procurement documents are clear and well-presented, so that suppliers can spend their time developing the best solution, not trying to figure out what you want or how to reply. Demonstrate senior sponsorship so that suppliers are confident of their commitment.
2. Use the procurement procedure as an opportunity to engage stakeholders
It can also develop your thinking. Things don’t need to grind to a halt during the procurement. Use the time to develop your new operating model, sort out your legacy data, build interest among stakeholders and plan how the transition will work.
3. Push hard for strong contractual provisions around implementation
Suppliers’ standard terms around implementation can be limited. Push hard for more effective provisions here so that you only pay when value is delivered. This approach will allow you to monitor progress closely and ensures that you have a range of remedies available if things head off track. Accept that you will have little influence on the supplier’s standard terms around live cloud services or software licenses
4. Accept that you’re getting the same cloud services as everybody else
Although you may be able to select the level of service that you receive (eg, gold, silver, bronze) it’s unlikely that a supplier will negotiate specific targets about availability or incident response time. It’s also important that you check these service or license terms against the main contract to ensure that no provisions are undermined. For example, the license may allow the supplier to terminate for a minor breach or to increase the price under certain circumstances.
With the procurement successfully navigated, and the supplier on board, there’s a tendency for the university to relax and trust that the supplier will handle the rest of the process. But institutions must continue to be stay focused, even after the procurement is complete.
5. Be prepared to be disappointed (initially)
Not all suppliers are as good as you might expect at project management. In fact, it may take the supplier some time to mobilise a team. It’s unlikely that they will have people with the right expertise ready to start work immediately. So, you may need to be a bit more leading in the early days than you expected to.
6. Know the “levers” in the contract
And adopt the proverbial “iron fist in a velvet glove” in using them. As you’ve already invested the time in agreeing a robust contract, make sure that you know the levers available to you and use them. This does not mean being aggressive or confrontational with the supplier, but it is important to set clear expectations early on. If you decide not to exercise any of the available remedies, make sure that you record why – so that this is clear in any subsequent audit or review.
7. Be joined-up in your management of the supplier
It’s important to present a united front – otherwise you risk giving inconsistent direction and not making the best use of the contractual levers. It’s equally important not to handle the different aspects of supplier management (eg, service delivery, invoicing and contract maintenance) in isolation.
8. Don’t forget to look strategically
When you’re in the delivery phase, it can be easy to forget about the long-term view. For example, have you considered where your supplier is going? How is their financial health? Are they expanding, or are they losing customers? Do you have a view of their product roadmap?
A new student record system can bring huge benefits, such as improved student satisfaction, staff productivity and student retention. Although the procurement process may seem daunting, through careful planning, appropriate resourcing and effective execution it can deliver big improvements.
Edward Jones is a public services procurement and commercial expert at PA Consulting. A version of this article previously appeared on the PA Consulting blog.
Find out more about PA Consulting’s 10th survey of UK higher education vice-chancellors.
