Estimating for S4 projects, we always ignore the elephants!

In my 30-year career,?I've participated in,?witnessed,?and approved more than 1000 SAP project estimates.?By now,?I'd like to think I've developed a knack for it.?(And I suspect the same goes for many clients and partners out there.)

We typically follow a well-worn path:?factor in the number of modules,?technical objects,?data volume, and site count,?and translate that into the effort required.?More often than not,?we hit the mark.?After all,?with a wealth of similar projects under our belt,?benchmarking becomes second nature.

There are,?of course,?occasional slip-ups.?Like my first major UI5 project,?where I factored in development and integration efforts,?but underestimated the functional workload.?Thankfully,?such mistakes are usually one-offs – valuable lessons learned the hard way.

So,?if our SAP community is so adept at estimation,?why do we hear of significant cost and time overruns on some S4 projects??Did we make accurate estimates and then simply disregard them??Were unexpected roadblocks encountered with the SAP system itself??Was the initial scope inaccurate?

So why are there overruns ! The truth is, that overruns often stem from neglecting the "elephants in the room," and these have nothing to do with data volume,?module count,?or technical intricacies.

These elephants are the external factors that can derail even the most meticulously planned project:

• Delayed Deliverables from Connected Programs:?When dependencies on other initiatives fall behind schedule,?it creates a domino effect.
• Business Resistance:?Change can be daunting.?Anticipate and address potential pushback from within the organization.
• Inadequate Change Management:?A robust change management strategy is crucial to ensure user adoption and minimize disruption.
• Data Export Challenges:?Seamless data migration is essential.?Plan for potential roadblocks in extracting data from legacy systems.
• Indecisive Leadership:?Delayed decisions create bottlenecks and stall progress.
• Mid-Stream Scope Creep:?Business priorities can evolve.?Establish clear change control processes to manage scope effectively.
• Mergers and Acquisitions:?Unforeseen corporate actions can significantly impact project timelines and goals.

My point is that we meticulously pore over quantifiable details,?the nuts and bolts of the project.?But the real game-changers are the elephants – the unforeseen complexities that act as multipliers to our initial estimates.

Ignoring these elephants is a recipe for disaster.?A critical adjacent system in flux,?or a key business unit hesitant to adopt the new system – these are the factors that can throw your project off track.?Yes,?ensure the technical aspects are sound,?but don't underestimate the importance of taming the elephants in the room.?Spend more time addressing these potential disruptors,?and your S4 project is far more likely to stay on course.