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Most Commercial Off-the-Shelf (COTS) and custom developed financial systems fail to achieve government goals in Emerging Countries.
70%
60% 50%
40%
30% 20% 10% 0% On Budget On Time On Time, On Budget Sustainable
30%
20% 10% 0% On Budget On Time On Time, On Budget Sustainable
FreeBalance Customers
50.00% 40.00% 30.00% 20.00% 10.00% 0.00% Low Medium High Post Conflict
Low success rates in developed countries! 40% of enterprises exceed time and budget
estimates > 50% ERP technology to business benefits rated D+ 15% large implementations failed
The traditional model for software development that works (sometimes) in the West does not work for Emerging Countries.
Agenda
What difficulties need to be overcome? Where is the software development model broken? How can governments increase the chance for success?
Typical
Product Management
Customer Support
Product Management Product often designed with different customers in mind Consulting firms generate revenue from customization.
Product developers have no expertise in government financials Salespeople want to sell to every possible Sales & market. Marketing
Typical
Customer Support
Trainer Consultant Consulting firms often do not have government expertise. Consulting firms may not want system to be sustained by government. Government needs User may not go into upgrades
Company Summary
FreeBalance is a global provider of software solutions for public financial management (PFM). Canadian software company ISO-9001/2000
certified Strong domain expertise in government financial management, 100% focus on government Integrated technology for budget formulation and public expenditure management Founded in 1984 De facto standard for fast implementations Global presence, implemented in every World Bank region
FreeBalance
Salespeople focused in government. Customer Support
User Customers visited at least once every year. International Steering Committee sets product direction. FreeBalance consultants mentor customers to build capacity. Consultant
All problems & feature requests are tracked management dashboard Local in-country support.
Customer Support Customers interact with FreeBalance staff and other customers on Customer Exchange
1. IFMIS Software takes too long to implement Vendor should understand the government domain. Product should be designed for rapid implementation configured, not customized. Products should be proven to implement quickly in countries with more stressful Average conditions. first phase
8 months
2. IFMIS Software does not adapt well to reform. All governments are reforming. Product should be designed for progressive activation. Progressive activation should be configured not customized.
3. IFMIS Software cannot be sustained by the government. Product should not place a significant burden on the government. Vendor should know how to build capacity. Government should not be maintaining custom code and complex technology.
Lessons Learned
Software design, implementation and support methodology critical to ensuring success Advanced country governments have the luxury to buy expensive solutions with nice to have features Governments around the world share your challenges Some governments have more challenges
Lessons Learned
Customer didnt articulate business processes properly Customer had unrealistic expectations for delivery Customer changed requirements after the first phase Customer did not dedicate enough staff to manage project Customer did not train enough staff Vendor should understand the government domain. Product should be designed for rapid implementation. Product should be designed for progressive activation. Product should not place a significant burden on the government. Vendor should know how to build capacity
Our mission
help governments across the world leverage robust government financial management technology to accelerate country growth.