Tactical Guidelines for Narrowing Your Choices When Evaluating WCM Vendors
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1 Research Publication Date: 24 December 2008 ID Number: G Tactical Guidelines for Narrowing Your Choices When Evaluating WCM Vendors Mick MacComascaigh CIOs and other IT leaders responsible for the success of their organizations' Web content management (WCM) strategies run the risk that too many vendors will respond positively to their list of requirements. We provide a logical sequence of actions to help you narrow the selection and converge more quickly on an appropriate shortlist of vendors to evaluate. Key Findings WCM vendor selection processes are prolonged unnecessarily because organizations focus too quickly on lists of requirements that can be met by many vendors in the market. More than 65% of the WCM teams that contacted Gartner during 2008 were unaware of their organizations' high-level, nontechnical objectives. More than 95% of WCM-related inquiries with Gartner clients involved teams that had not identified specific, measurable metrics for their WCM initiatives. Recommendations Follow the guidelines outlined in this research to limit the number of WCM vendors you need to evaluate during the selection process. Share high-level, nontechnical business objectives with all members of the crossfunctional WCM team, including the IT staff and representatives of the departments that will benefit from the deployed solution, such as marketing. This will ensure that your program of work stays aligned with business priorities. Convert your organization's high-level business objectives into more-specific, measurable targets. Ensure that your WCM plans take into account your long-term strategy, which may include the Internet, extranet and intranet domains. Although you may not make any initial steps toward an intranet or extranet, you should choose a WCM platform that can support all three domains to guarantee compatibility for any future initiatives. Reproduction and distribution of this publication in any form without prior written permission is forbidden. The information contained herein has been obtained from sources believed to be reliable. Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information. Although Gartner's research may discuss legal issues related to the information technology business, Gartner does not provide legal advice or services and its research should not be construed or used as such. Gartner shall have no liability for errors, omissions or inadequacies in the information contained herein or for interpretations thereof. The opinions expressed herein are subject to change without notice.
2 WHAT YOU NEED TO KNOW You need to re-examine your approach to choosing the right WCM vendor to support the intended program of work. Focus on the overall solution you require, and then move to moregranular business and functional requirements. Follow our tactical guidelines to ensure that your WCM initiative stays aligned with your organization's high-level business objectives. ANALYSIS Introduction There is significant interest in the market in introducing sound WCM strategies to achieve specific goals. More than 70% of WCM-related calls with Gartner clients in 2008 involved the topic of vendor selection and replacement. About 25% of these were from organizations considering a move from in-house systems to a Web presence based on a commercial offering. Most of the systems under examination have been in operation for four to six years. The market has radically changed during this period, and the product offerings have greatly improved. New Systems Require a New Approach to Vendor Selection A renewed focus on the overall context in which the WCM technology needs to be positioned is required. The economic downturn will require the adoption of new approaches to vendor selection. In the majority of inquiries with Gartner clients that had already created at a shortlist, there was still much doubt as to whether the shortlist was the most appropriate. A new approach to selection can help you: Converge efficiently on a shortlist of WCM vendors likely to supply the most appropriate offering for your WCM strategy. Exclude at a very early stage those WCM vendors that cannot support your required solution. Reduce the cost of selection. Reduce the cost of producing an RFP through optimized reuse of content generated during the analysis. Group competitors of a similar category to increase the likelihood of negotiating a better price. The Gartner Technique for Narrowing Your WCM Vendor Shortlist Gartner's technique differs from traditional approaches in its early emphasis on strategic considerations. It is more robust and more resistant to short-term changes to specific required functionalities. The technique also disqualifies early those options that cannot support your longer-term goals. This can give you a 30% to 50% improvement in the efficiency with which the required shortlist is identified. It also helps protect you from choosing the wrong delivery model or product offering. Figure 1 summarizes our technique. Publication Date: 24 December 2008/ID Number: G Page 2 of 8
3 Figure 1. Creating a WCM Solution Vendor Shortlist Business Objectives Metrics Solution Components Decision Fundamental Approaches Top 5 Priorities Vendor Shortlist Portal Web Analytics RIA CRM Community WCM DAM DM 5 Which solution architecture best suits the identified needs? 6 Best of Breed (point solution) Best of Breed (enterprise class) Stack Player (wellintegrated) Open-Source Software (with three subdivisions: LAMP, Java,.NET) Software as a Service Identify the organization s high-level business objectives. Attach metics/key performance indicators to track progress. Divide metrics into logical subsets linked to specific solution "areas" or "components." Categorize Make a solution decision. components that accommodate/ cover all metrics subsets. Consider approaches. Create a priorities list. Identify a shortlist of vendors that meet established criteria. Source Gartner (December 2008) Publication Date: 24 December 2008/ID Number: G Page 3 of 8
4 Step 1: Catalog Your Business Objectives The business objectives will, in general, already be available and can be categorized in terms of their contributions to running, growing or transforming the business. It is imperative that all members of the cross-functional WCM team are aware of these high-level, nontechnical business objectives. In more than 65% of Gartner inquiries with WCM teams during 2008, this was not the case. High-level objectives might include: Run the business: For example, improve the effectiveness of marketing. Grow the business: For example, increase revenue. Transform the business: For example, move from catalog-based sales to e-commerce. Some business objectives will be explained on the corporate Web site. Others may require communication with an executive to clarify where the company is headed and the goals already defined to direct the progress. This first step reminds the cross-functional Web team to obtain high-level sponsorship to ensure that excellent ideas and sound strategies gain the necessary support and approval. This executive sponsorship depends on which business objectives the WCM solution will most greatly contribute to. In times of economic decline, budgets for marketing departments are often cut, despite their requirement to be even more effective. In this case, the chief marketing officer (CMO) would be the most likely candidate to provide the necessary sponsorship. Should the initiative be more internally focused, the objectives may be linked to greater productivity and more effective contributions to revenue through improved support for knowledge-worker collaboration. The appropriate executive sponsor might be the senior vice president of HR. Step 2: Define Specific Metrics The high-level business objectives need to be converted into more specific, measurable targets. If an educational institution has an objective to "increase revenue by 10%," then it requires metrics to detail the components that would comprise the overall gain. These might include government grants, donations from alumni, a greater influx of foreign students or a focus on industrysponsored postgraduate research. More than 95% of WCM-related inquiries with Gartner clients were with teams that had not identified specific, measurable metrics for their initiatives. Using the samples cited in Step 1, metrics can be identified as: Run the business: Increase brand awareness and recognition by 25%. Grow the business: Increase sales revenue through the Web channel by 15% by year end. Transform the business: More than 80% of all sales will have moved from a catalog-andcall-based system to e-commerce by year end. Use the WCM metric tracker we provide in "Toolkit: Workshop Materials to Begin Building a Business Case for Web Content Management" and adapt it for your needs. You may find you identify as many as 30 primary metrics. Some of the metrics might need to be broken down into more-granular expressions of the overall goal. Choose the level of granularity for the metrics that best facilitates their achievement. For each identified and approved metric, there must be clear accountability for its achievement and clear ownership by a business stakeholder. Prioritize the metrics and resolve any emergent internal conflicts concerning such priorities. This process of clarification is one of the primary benefits of this step and helps avoid conflicts at later stages of the planned program of work. For guidance on how to form the necessary cross-functional teams Publication Date: 24 December 2008/ID Number: G Page 4 of 8
5 and assign accountability, see "Toolkit: Tools and Techniques to Give You a Head Start Before WCM Vendor Selection." Step 3: Divide Your Metrics Into Related Groups or Subsets Each subset is defined by the solution component required to influence, support or achieve that set of metrics for example, those metrics that pertain to cost savings through the optimization of processes. Related metrics would be grouped together and possibly mapped to a solution component for business process management. If the targets here are fairly modest, then the related metrics may simply be linked to the WCM solution component, provided that the associated workflow capabilities are robust, reliable and facilitate integration with adjacent systems. Step 4: Outline a Solution Vision and Link the Groups of Metrics to Components in This Vision This and Step 3 may be carried out iteratively. The result is a high-level outline of the overall solution vision. This will comprise schematic references to all solution components that are required to achieve the targets of all the metrics subsets. For completeness, a metric subset should be mapped to at least one solution component. Carry out a "sanity check" at this stage to see whether the solution component can actually be used to achieve the target metrics or to simply support the achievement. This is important for setting expectations later in the WCM initiative. Step 5: Decide on the Most Appropriate Solution Architecture to Support Your Vision You should be able to determine the kind of architecture and delivery model (for example, software-as-a-service [SaaS], open-source or on-premises software) that will support your overall vision for the WCM solution. Although you may still not be ready to mention terms such as Java EE or.net, you need to assess the level of integration likely to be required to achieve your vision. You need to decide whether integrations with other enterprise content management (ECM) components are necessary. Also, look at whether your solution requires close integration with CRM, ERP or business intelligence components. Then decide how this is likely to evolve. It is not necessary to identify all future components, but you need to at least develop a sense for how "environmentally aware" your WCM product offering will need to be. This process may also reveal that you require a full ECM strategy. Although this is an important finding, it should not be allowed to sidetrack you from your primary goal of finding an optimal WCM offering. Note such findings for use in parallel projects. Step 6: Match This Architecture to the Vendor Categories This is where you start to choose the vendor subset you will focus on for the remainder of the selection process. This subset will correspond to the solution architecture and delivery model you have chosen. The primary vendor subsets in the WCM market are: Best of Breed (Point Solutions): Smaller vendors with a primary focus on WCM. Typically deployed by small or midsize businesses (SMBs) where the solution does not require integration into a larger solution vision. Best of Breed (Enterprise Class): These vendors may have other interests, but WCM comprises their primary product focus. They have the experience and technology to help their target audience achieve well-integrated, robust, scalable Web solutions. They Publication Date: 24 December 2008/ID Number: G Page 5 of 8
6 provide repositories that support multiple Web sites in multiple domains and rich sets of functionalities. Best of Brand or "Stack": Usually, large enterprises that bring high value to prospects interested in broader strategic initiatives that include, but go beyond, WCM. Can include vendors that specialize in ECM or business applications. Open-Source Software: Open source can be found in any of the categories, but it is treated separately because different criteria apply to the vendor selection. A key criterion will be the transparency of the likely total cost of ownership and the culture of your organization in how you like to interact with vendors. For more detail, see "Decision Framework: Use These Criteria to Determine Whether Open Source Should Be a Part of Your ECM Strategy." Software as a Service: These are smaller vendors that deliver their technologies solely via this off-premises model. They tend to be more regional, but there has been an increase in cross-geography sales activities. An initial focus on SMBs is now being augmented, with a presence in some larger enterprises through the extension of existing departmental solutions. You may want to check whether the vendor subset can fulfill the metrics you laid out earlier. There is a risk that a vendor from an adjacent market subset may be excluded too soon. Use Gartner's "MarketScope for Web Content Management" to determine whether you are focusing on the right subset of vendors. The logic of this step is deceptively simple. For example, if all your metrics map to a single WCM solution component, then you may be satisfied with a best-of-breed point solution for the narrowly targeted objectives. If multiple solution components were identified and you are considering multiple Web domains, then you may require an enterprise-class offering that can integrate well with other products. You may find that none of these approaches suits your initiative for example, you may choose to build your own solution. In such cases, we recommend an inquiry with Gartner to discuss the specific direction you are considering. Step 7: Highlight the Top Five Priorities That Will Influence Your Choice of Solution Highlight the top five priorities that will influence your decision should two or more vendors respond positively to your list of requirements in your planned RFP. These priorities are specific to your company and might include a particular technology or price. "MarketScope for Web Content Management" lists priorities that have been observed in the market, such as ease of use, availability of implementation partners and ability to include Web 2.0 features. You may identify priorities that relate to the logistics of migrating from your current system. The choice of delivery model or vendor category is not likely to be dictated by migration considerations. However, technological and cost aspects might influence your decision in favor of a vendor offering that can facilitate an efficient and cost-effective migration. Step 8: List Vendors That Can Support Your Priorities and Architectural Needs You should determine which WCM vendors can support your primary goals, listed metrics, architectural needs and priorities. You can produce your RFP or send out more-selective invitations to the vendors to discuss your needs. Include higher-order topics in the RFP to help you differentiate among the vendors that respond. Ask the vendors to suggest ways in which they can help you meet your solution vision. You can base your decision, in part, on the extent to Publication Date: 24 December 2008/ID Number: G Page 6 of 8
7 which the vendor has achieved something similar for other organizations in your industry. This will also help you discover whether the vendor has a specific methodology and reusable assets from similar projects. Tactical Guidelines Step 1: Catalog your business objectives. Step 2: Define specific metrics. Step 3: Divide your metrics into related groups or subsets. Step 4: Outline a solution vision and link the groups of metrics to components in this vision. Step 5: Decide on the most appropriate solution architecture to support your vision. Step 6: Match this architecture to the vendor categories. Step 7: Highlight the top five priorities that will influence your choice of solution. Step 8: List the vendors that can support your priorities and architectural needs. RECOMMENDED READING "Introduction to the Gartner Maturity Model for Web Content Management" "How To Build Your Road Map for Web Content Management" "MarketScope for Web Content Management" "When to Evaluate SaaS as a Viable ECM Model for Your Company" There's Promise and Peril in Hosted Content Management Hosted Services Make Sense for Web Content Decision Framework: Use These Criteria to Determine Whether Open Source Should Be a Part of Your ECM Strategy Open Source Is an Option for Web Content Management "Toolkit: Tools and Techniques to Give You a Head Start Before WCM Vendor Selection" "Toolkit: Workshop Materials to Begin Building a Business Case for Web Content Management" Publication Date: 24 December 2008/ID Number: G Page 7 of 8
8 REGIONAL HEADQUARTERS Corporate Headquarters 56 Top Gallant Road Stamford, CT U.S.A European Headquarters Tamesis The Glanty Egham Surrey, TW20 9AW UNITED KINGDOM Asia/Pacific Headquarters Gartner Australasia Pty. Ltd. Level 9, 141 Walker Street North Sydney New South Wales 2060 AUSTRALIA Japan Headquarters Gartner Japan Ltd. Aobadai Hills, 6F 7-7, Aobadai, 4-chome Meguro-ku, Tokyo JAPAN Latin America Headquarters Gartner do Brazil Av. das Nações Unidas, andar World Trade Center São Paulo SP BRAZIL Publication Date: 24 December 2008/ID Number: G Page 8 of 8
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