On the Line: How a PoC Can Unite Buyer, Supplier

It was a familiar scene: the supplier trying to convince the buyer – my client – to buy a telecom service. But the outcome was unusual. The meeting zeroed in on a "Proof of Concept". And both sides were pleased with the results. How refreshing. An evaluation meeting with substance! Proof of Concept (PoC) is not a new technique. It’s been used for decades in scientific fields and in IT. But it is new to many telecom decision-makers. And it’s winning a reputation among telecom folk for making the buying process more thorough. It helps ensure that the end user gets something that works — and works right.I asked three senior execs who run very large IT organizations how Proof of Concept worked for them. Here’s what they told me:"Yes all the time, Henry. We sometimes pay for it ourselves and other times vendors may do it at their expense to promote their product. We see a distinction between a PoC and a pilot. In short, a PoC is a defined test of a sample set of features/services that are of interest to us and measurable to some extent. We don’t run PoCs to select a particular product, by that I mean a run-off between vendors…" "We use PoC regularly — more often to confirm ‘how’ rather than ‘if.’ If there is sufficient concern with ‘if,’ then it would be lab only." "We use proof of concept on many projects. We show our users and then in most cases they proceed. A couple of recent examples are: VoIP phones for remote agents in our retail outlets, and small receipt printers at stores." What Is ‘Proof of Concept’?Here’s a definition from Wikipedia: "Proof of Concept is a short and/or incomplete realization (or synopsis) of a certain method or idea(s) to demonstrate its feasibility, or a demonstration in principle, whose purpose is to verify that some concept or theory is probably capable of exploitation in a useful manner." It’s used in fields as widely separated as applied research, mathematics, cinematography, and sales. Essentially, Proof of Concept is a test designed to explore whether everyone has thought through the concept from every viewpoint, and whether the concept works as advertised. By focusing on important questions early, the buyer and supplier can resolve issues that are critical for success sooner rather than later.In my recent client discussion, Proof of Concept was used to test how well the vendor could customize its offerings to support a unique, never-been-done-before application. On paper, it should work. The PoC involved installing a limited version of the product to see how it would work in a specific real-life, day-to-day, business environment.PoC StepsThe Proof of Concept trial proceeded through five steps:Install and set up the hardware, software, connectivity, and so on. Review needs and develop tests with reference, for example, to workflows, features, and changes. Conduct application simulations. Check out operations and support – tools, testing, troubleshooting procedures. Test reporting capacity, including thorough demonstrations of available information, remote access, et cetera. With regard to key needs, the buyer posed specific written questions to the bidder, such as: "How do you… " and "Please demonstrate how you would… " and "If a customer experienced , how would you capture… " In answering these questions, it was important to document (a) the expected result; (b) the actual result; and (c) special notes.Success is judged by: completion of sample tests; quantifiable understanding of the implementation and ongoing operational requirements to bring the proposed solution into production; and evaluation by all buyer selection staff.Participants’ CommentsWhen it was all over, I asked both buyers and suppliers for their comments. Bidders told me: "We gave them a real test." "Many eyes were watching." "We learned the buyer’s needs first hand." On the buyer side, here’s what I heard: "Overall, we hoped that the PoC would help us to determine the vendor’s ability to execute." "The bidders were able to build their solutions in our test environment which enabled us to: "see them in action, i.e., how well did they work with each other and with us? "see how easy/difficult it was for them to configure their equipment. "see how familiar they were with the technology. That is, ‘You said you could do it, now show us.’ "see how much help they needed from the manufacturer." Here’s my own take on PoC: Hands-on is a better test than a pile of paper going back of forth. Especially when you’re not buying commodities – when it’s new or unique telecom technology."On the Line" is written by Henry Dortmans, president of Angus Dortmans Associates. Henry welcomes comments and suggestions. Send an email to dortmans@angusdortmans.ca or call him at (416) 849-2896. For information on consulting services, seminars, and speeches, visit www.angusdortmans.ca.

On the Line: How a PoC Can Unite Buyer, Supplier

News | March 1, 2007

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