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Articles by James A Robertson and Associates

SNw 027 What is a business systems laboratory?
Created by James on 6/12/2013 1:52:43 PM


For some years I have been advocating the use of a laboratory environment in any significant business information system project.

The goal of a laboratory or simulation centre is to accurately model the real world and ensure that systems are comprehensively tested before going live and that staff are comprehensively trained before going live.

This article provides an overview of the major factors that should be considered in operating a business systems laboratory.

1. Precision simulation of the real world

An engineering laboratory is a place in which the real world is accurately simulated.

A laboratory does not necessarily look anything like the real world but it simulates the real world.

Thus a business systems laboratory is a room with some computers in it on which the business systems in question are operating.

Where a warehouse or other physical element of the business is involved there may be a section of the warehouse set aside to operate as a laboratory element for that part of the business.

It is important that the laboratory is executed precisely.  A hacked, hastily assembled and executed laboratory will achieve nothing of lasting value and may destroy value by creating a false sense of security.

Data must be entered precisely as it will be entered in the real world, the operators who will use the software in practice must use it in the laboratory.  These operators should be the most experienced people in their respective fields.

Where particular workflows are mandated these must be followed exactly and, if this presents problems, the reason for these problems must be understood and, if necessary, the workflow adjusted.

Where policies and standards apply they must be applied rigorously and where this presents problems the reason for these problems must be understood and, if necessary, the policies and standards must be adjusted.

In the same way, the software configuration must be precisely the configuration that is proposed for final operation and, if problems are experienced, the configuration must be adjusted.

Eventually the configuration should be copied from the laboratory environment to the live environment.

The final goal of a laboratory or simulation centre is to ensure that when the system or systems go-live there are no surprises and staff are properly trained on the system.

Once the full system is operational in the laboratory it is possible to run "war game" type scenario tests.  Set the laboratory up with a full range of preparation and then run a simulation in which people phone orders in, orders are despatched, stock outs occur, replenishment occurs, invoices are issued, payments are received, outstanding accounts are followed up, etc.

These may take place as separate roll-plays a business section at a time but it is important that before go-live the system has been tested in a manner that accurately simulates real world operation from end to end.

2. Carefully selected fully representative data and situational variants

In preparing and operating the laboratory it is vital to ensure that the data used is fully representative of all possible scenarios.

The goal is NOT to have large volumes of data, on the contrary there should be as little data as necessary to ensure full representation.

Select a few transactions of each type and variant, complex transactions and simple transactions, straightforward transactions and transactions with changes and variations, every type of transaction, including those that occur only under extreme circumstances, certain times of the year, certain volumes of activity, etc.

Data must be selected so that in each case the full range of activities can be traced through the system.

The full range of customers, cash and account, prompt payments and delayed payments with numerous delays and excuses.

The full range of suppliers.

The full range of products.

Etc, etc – not a lot of any particular item, just enough to make sure that the system works under any and all operating conditions and that transactions can be traced all the way through the flow including ensuring that all General Ledger transactions are generated and audited.

The total data of the entire enterprise can be metaphorically thought of as a huge lump of material into which a large number of fine "boreholes" are drilled from numerous different directions until eventually the entire ore body of information is effectively understood and simulated.

This is the approach used to establish the economic viability and mining geometry of an ore body before developing a mine.

It must be possible before go-live to bring in the client's auditors and establish beyond reasonable doubt that the system is working effectively and reliably and that operators know how to use the system correctly.

3. Carefully planned and executed

All aspects of the laboratory must be carefully thought through in order to ensure that all scenarios are catered for, planning sessions, brainstorming and other activities will be required in order to ensure that all aspects of business operations are effectively simulated.

A laboratory team with representatives from all major areas of the business should be set up in order to do this planning and oversee the execution of the plan.

4. Iterative

The laboratory will NOT run smoothly the first time it is run.

Initially operation will be ad-hoc, specific elements of the business will be simulated and once there is some real data there the next element of the business will be simulated.

It is vital that backups are taken regularly so that when a particular status is achieved it can be backed up and reused so that staff are not constantly capturing base data again and again.

This also requires careful planning, management and coordination.

The configuration of the final systems, which is the configuration that is being progressively developed in the laboratory, will require iterations.

It is the nature of iterative work that well planned iterations tend to be completed on time and on budget and badly planned iterations go on indefinitely with severe budget and time overruns.

Careful planning and careful management every step of the way are essential to achieving a cost effective and results effective laboratory and simulation programme.

5. Hands-on configuration in parallel with documentation – show the business how it works in practice

Each step of the way, as the software is configured it should be configured in the laboratory.

It is a reality that very few human beings have the cognitive ability to engage with a document and translate it into actionable computer system operations.

This leads to the phenomenon of business people agreeing to specification documents and then seemingly totally changing the specification once the software is shown to them in actionable and usable form.

Accordingly, as each step of the business analysis component of the project is undertaken this should be translated into software configuration settings which should then be implemented in the software and tested in the laboratory.

Time spent setting up the configuration in the laboratory and running through it with users will generally be much more productive than lengthy documentation sessions.

Where documents are prepared they should focus on presenting the findings and design proposals in ways that business people can relate to, understand and apply.

Where screens have to be designed or laid out they should be prototyped in Excel or other easy to edit presentation tool and NOT prototyped in software that requires time consuming behind-the-scenes configuration.

Note that the word prototype is associated with the meticulous hand crafted assembly of the first generation of a complex machine or system before the design is finalized and converted into mass production specifications.

The prototype must be carefully thought through, designed and executed.

6. Runs throughout the project

The laboratory should be established at the very start of the project and should run through well after go-live until the system is bedded down and is in full operation.

In fact a case can be made to retain the laboratory as a training environment on a permanent basis.

7. Elements of the laboratory

A laboratory should address the following components:

 Fully representative data set but small quantities of data

 All aspects of configuration

 Taxonomies piloted and refined

 Simulate standards, policies, protocols, processes, etc -- refine, document and train

 Develop and test reports

 Embryo of inputs to data warehouse and business intelligence environment

 Formal audit of all aspects of the configuration

 Full simulation of business operations

 Hands-on practical training with real data in simulation setting until all users are familiar with the software

 Inputs to development of Computer Based Training material where applicable

 Formal confirmation that all testing in the laboratory is complete and that all aspects of the configuration are operating effectively

8. Fully tested and fully trained before go-live – no surprises

All staff who will use the new system must be fully trained in the laboratory environment until they reach a point where the new system can go-live with a reasonable expectation that there will be no major surprises.

The laboratory ultimately delivers two major outcomes:

 High level of certainty in the reliability of the configuration and that it will work in practice – the final laboratory configuration is duplicated in the live system.

 High level of business user preparation, familiarization and training, when the system goes live it works as expected and they have seen it and worked on it before.

Conclusion
This provides an overview of the major components of a business systems laboratory which is an essential element of any business systems project.

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Table of Contents

Home

About Dr James A Robertson PrEng -- The Business Systems Doctor -- and Other Topics

Catalogue of Major Business Information System Failures

About the Engineering Approach

James Robertson's Value Add

Attributes of a HIGH VALUE solution

Recognizing Business System Failure

The Critical Human Foundation

Old Software IS Viable

From South Africa

Competencies of Dr James A Robertson PrEng

About Professor Malcolm McDonald

Table of Contents

About my relationship with the Almighty Creator, Yah the Eternally Self-Existing

Comments relating to the Business Systems Industry and other topics

Testimonials and other positive material regarding James Robertson

Reference Articles

List of Articles

Article Catalogue

Achieving High Value Business Information System outcomes

Executive Custody -- What is it and HOW do you get it?

The REAL Issues in Integrated Business Information System Success

Part 1: Introduction

Part 2 -- Mythology and Lack of Executive Custody

Part 3 – Strategic Alignment and Precision Configuration

Why your ERP is NOT delivering and HOW to FIX it

IT Project Management

Pulse Measurement

CEO Anthony Lee Comments on his experience of the Pulse Measurement

No Charge Guarantee on the Pulse Measurement Service

Examples of Pulse Measurement Outcomes

Critical questions regarding the Pulse Measurement™

The Pulse Measurement Workflow

The Critical Factors for Business System (ERP+) Investment Success in the Pulse Measurement

Indicative Pulse Measurement Durations

What is a JAR&A Pulse Measurement?

Survival of the fittest – why it makes sense to measure the pulse of your business

Examples of Pulse Measurement Outcomes over 24 years

Sample Pulse Measurement Reports

Strategy

Strategic Essence: The Missing Link in Business Information Systems

Strategic Essence: Overview

Strategic Essence: Part 1 -- Strategy Defined

Strategic Essence: Part 2 -- Differentiation

Strategic Essence: Part 3 -- The Essence IS Different

Strategic Essence: Part 4 -- The Essence should be the Point of Departure

Strategic Essence: Part 5 -- Discovering Strategic Essence

Strategy -- the Essence of the Business: What is it and how do you develop actionable strategic plans?

Simple Steps to Increase the Strategic Value of your ERP Investment

Free Strategic Snapshot Toolset and Manual

A strategy focused planning system beyond traditional budgeting

Tough IT and ERP Procurement and Contracting that Works

Robust Business Systems Procurement

Part 1 -- Introduction

Part 2 -- Bill of Services, Laboratory, Go-live Certificate, etc

Part 3 -- Executive Engagement, Bid Compliance, Adjudication and other matters

Procurement Documents

Guidance and Advisory Services

The Art of Project Leadership

Why Regular Communication with the CEO is Vital

The Business Simulation Laboratory

Precision Configuration and Strategic Business Information Architecture

Precision Configuration based on Strategic Engineered Precision Taxonomies

The JAR&A Cubic Business Model

Highly Structured Strategic Chart of Accounts -- a Vital Element of your Corporate Information Arsenal

The Product Catalogue -- an Essential Element of any Precision Configuration

Attributes -- answers to the questions you have NOT yet thought to ask

Case Studies of Notably Successful Projects with high value Precision Configuration

092 Doing things differently and better -- ASCO Case Study 2-- BPM Summit 2013

088 Strategic ERP Invesment -- ASCO Case Study -- Service Management Conference and Exhibition Africa

026 Information Architecture and Design of FIS for Rennies Group -- Financial Information Systems Conf

018 CRM Risk Control: Designing and Implementing an Integrated Risk Mgmt Sys -- Integrated Risk Mgmt Conf

011 V3 Consulting Eng: Benefits of MIS to Professional Practice -- SAICE 15th Ann Conf on Computers in Civil Eng

Strategically Enriching your Business Information Systems

Part 1 -- Introduction

Part 2 -- Principles of Data Engineering

Part 3 -- Steps in applying these recommendations

Simple Steps to increase the strategic information value yield from your Business Systems Investment

The Full JAR&A Taxonomy Manual

Part 1: Introduction, Problem Statement, Definitions and Examples

Part 2: Why Use JAR&A, Required Knowledge and Experience, Cubic Business Model and Chart of Accounts and Taxonomy Software

Part 3: How to do it, Case Studies and White Papers and other References

Example General Ledger Manual

Business Process -- Irrelevant, Distracting and Dangerous

The RIGHT Approach

Custom Strategic Software Design and Oversight of Construction

Standards for Custom Software Specification

What IS Software?

IT Effectiveness

Organizing Outlook

Critical Factors for I.T. Success

A Moral and Ethical Dilemma -- Systems that Fail

Case Studies examining Business Information System failures

The BBC Digital Media Initiative Debacle

The Bridgestone -- IBM Conflict

Speaking and Training

Showcase of Conference Presentations

Most Viewed Presentations

Briefings and Seminars

Why your ERP/BIS is NOT delivering and HOW to FIX it

ERP and IT Procurement that Delivers Results

The Critical Factors for IT and ERP Investment Success

Other Seminars

Conferences and Public Presentations

Conferences 80 to 99 -- 2009 to Present

Conferences 60 to 79 -- 2005 to 2009

Conferences 40 to 59 -- 1996 to 2005

Conferences 20 to 39 -- 1994 to 1996

Conferences 01 to 19 -- 1989 to 1994

On-Line Seminars (Webinars)

Webinar on Preparing and Presenting Webinars

Contacting James A Robertson and Associates Limited