Big bang or incremental improvement: what’s your modernisation approach?

As we say at 101 Ways, modernisation isn’t an option—it’s mission-critical. You’ll find a modernised infrastructure at the heart of every high-performing organisation. And you’ll also find a range of common pitfalls and problems to address as you do it. 

We caught up with Nick Morgan, Technology Director at 101 Ways. Having just finished his twelfth modernisation project with 101 Ways clients, and is keen to bust some myths and share some learnings.

What is modernisation, and what are its main approaches?

Modernisation transforms an existing system – whether old technology, architecture or a process – into a better system. The core idea is to enhance or upgrade aspects of your technology to improve efficiency, performance and capabilities.

There are four main approaches: the big bang approach, incremental or phased approach, selective approach, or hybrid approach. The big bang approach speaks for itself. Likewise, incremental suggests a step-by-step methodology. Selective is slightly different because the approach focuses on upgrading specific system parts that have been prioritised. A hybrid is a mix of the others.

What’s your big bang theory? Is it worth it?

Where to start? A big bang approach is high risk. I’ve heard it described as the silver bullet solution. But the stakes are so high that, if it goes wrong, the consequences can be severe for the business. In my experience, big bang approaches can also overwhelm an organisation. And they delay the realisation of tangible outcomes compared to a phased, selective, or hybrid approach. 

The question is, why go for a big bang? In theory, it provides a complete and comprehensive overhaul. You get this wonderfully clean solution. Then, there’s the unified vision and commitment that big bang inspires. Plus, there’s no need for frequent updates or piecemeal improvements. And you eliminate the possibility of reverting to the old system. It’s seductive. Nevertheless, all that said, it remains high risk. For this reason, we now see organisations tending towards a more phased or hybrid approach.

To seek funding, should you go for stakeholder buy-in or go straight to the board?

Before I answer that question, I suggest that you prioritise your modernisation programme. Go for the one or two projects you know can deliver real business change. You want to demonstrate that modernisation leads to cost savings, increased efficiency, etc. Make sure you understand the domain where you’re proposing modernisation and the stakeholders it affects. Get their buy-in right at the start. 

Also, step away from the tech for a moment. Speak to leaders like the chief of marketing, chief product officer, and chief revenue officer. Make sure the time is right from a business perspective to launch into modernisation. If that all lines up and you have buy-in, it’s time to present to the board. But avoid presenting alone. You don’t want to convey that this is your brainchild; you want to express that it’s a coordinated, well-considered idea, and one each domain leader supports.

When it is time to execute, what do we need from our modernisation team?

Look at the skillsets across your team. Do they have experience with the modernisation tools or languages you require? They may be building in Ruby and now need to switch to Java. Identify those willing and able to up-skill. Beyond that, think about bringing in the expertise you need from third parties. It will save you loads of time, offsetting the additional costs. Expect your third parties to both do and teach – you want them to be up-skilling your team as well as helping you deliver.

Readiness is such an important factor in modernisation. And I don’t just mean from a skillset perspective. I’m referring to a willingness to learn and to be flexible. I also mean a willingness on the part of the business to train and support staff as they transition to a new way of working.

How long does a modernisation project take?

A big bang modernisation project will take much longer than an incremental project. That said, modernisation projects are much faster than IT projects of 10 years ago. But to give you an idea, modernising an order management system, let’s say, might take anywhere from a few weeks to a few months. At 101 Ways, we’ve re-platformed an entire business, including both front-end and back-end systems, in under nine months. That’s pretty fast, and involved several rapidly delivered phases.

What would you say to anyone thinking about modernisation?

Okay. I will end with my four common pitfalls in modernisation projects I’ve seen over the years. They cover my experiences and those of others I’ve worked with. These are the things to be aware of. Here goes:

1. Over-promising – Don’t set unrealistic expectations, especially in terms of timelines and costs. Over-promising can lead to disappointment and erode trust with the board and other important stakeholders, particularly if the project takes longer or costs more than initially projected.
2. Lack of communication – Avoid getting lost in the tech. Effective communication with the rest of the business on how the modernisation project is going is crucial. Stakeholders need to feel confident they’ve done the right thing. Consider bi-weekly update meetings and maybe monthly demonstrations of your progress.
3. Ignoring the human factor – Modernisation can create uncertainty and fear among employees. They may think it will cost them their job security or force changes in their roles. Address these concerns early on. Talk about training where needed. You want to reduce resistance and foster a supportive environment that facilitates change.
4. Failing to align with business goals – Any modernisation project needs to demonstrate business outcomes. You want to be able to show measurable savings or efficiencies. The ROI has to be crystal clear. All this is entirely reasonable, of course, because modernisations, when done correctly, can increase sales, reduce risk, boost performance and increase innovation and a host of other things. Just ensure you capture the data.

Modernisation is no longer a once in a decade event, it is now due to advancements in tooling and the level of tech-driven innovation in many industries, something that Boards are willing to address more frequently. I suggest starting starting the problems worth solving, the things teams are coming to you with, then developing an approach that solves them in stages. Finally, you need to engage the leaders across your business to ensure they come on the journey with you, and see the value in each increment.

Has this blog piqued your interest on modernisation? We can help.