Expert Insight

By Scott J. Yetter
President

Voxware, Inc.

Date: September 9, 2010

Voice Technology Must Be Operations-Tested, IT-Approved

Three IT-Related Concepts That Affect Voice Deployments And Result In Saving Huge Amounts Of Money For The Enterprise

Industry analysts have observed that the IT group has become increasingly involved in the selection of high tech systems that operate within the warehouse.  There are meaningful reasons behind this trend.  Over the past 15 years, enterprises have implemented an expanding array of technology-driven solutions that manage everything from equipment to labor to inventory. 

 

While operational ROI goals may be achieved, the IT department inherits responsibility for supporting these systems, and often struggles to integrate them into the enterprise technology architecture.  This increases the cost to support and manage the infrastructure.

 

Forward-thinking companies involve both IT and Operations in the technology selection process.  Although this arrangement has the potential for organizational friction, many are finding that greater cost savings and heightened solution effectiveness can be the result.

 

At Voxware, we’ve seen this trend unfold in the market for voice-based order fulfillment solutions.  Today’s buyers want voice systems that are “operations tested and IT approved” – and it is possible to get both.  (For one example of how evaluation of voice solutions has changed, see the Voice Picking Technology Grows Up blog entry.)

 

Operations experts know what functionality that is needed to support their business processes, and can visualize how improvements to those processes will improve key performance indicators – translating into bottom-line cost savings and better quality.

 

IT professionals bring an important perspective to the table.  They know how to evaluate a proposed solution for its impact on the cost of support, future flexibility, and long-term expense control. 

 

This column introduces the “Big 3” IT-related concepts affecting voice deployments that can save huge amounts of money for the enterprise, and then future Expert Insight columns will explain them in greater detail.

IT Issue #1:  Portability


IT will demand a portable voice solution.  Why?  Portability drives to the issue of long-term flexibility and cost.  When the voice software is not portable, then future choices are limited – and whenever choices are limited, costs are difficult to contain. 

 

For instance, if the voice software only operates on one device or family of devices, then the organization cannot leverage its buying power by considering alternatives – because the cost of moving the voice solution to a different platform is probably prohibitive.

 

Device independence is only one dimension to voice solution portability – and to achieving maximum flexibility for the future.  We will take a deeper look across all the dimensions in a future column.

IT Issue #2:  Productized Solution


A major thing IT will be looking for is a solution based on packaged software.  Why?  Because voice solutions rarely stay the same – operations executives are always finding ways to improve business processes.  One of the biggest curses of software for the warehouse is the often too-high cost of evolving systems to keep up with the vision of operational management.

 

A voice solution is a software-based extension of the WMS.  It optimizes front-line labor, the most costly area of warehousing spend.  As warehouse managers develop improved methods of order fulfillment, the voice system needs to evolve. 

 

Historically, voice solutions have been custom-coded to very tight specifications.  When the company wants to change the solution, more programming is needed, so the voice vendor is called back in.  That’s when “sticker shock” happens – as we’ve heard of cases where the cost quoted to change a system has rivaled the original cost to develop it in the first place.

 

IT professionals know that product-based solutions, if they are properly architected, have the ability to be changed with little or no programming.  Beyond that, such products have a roadmap and history of releases that contain improvements and new features which customers receive as part of their software maintenance agreement – so a product-based solution inherently contains the idea of continued evolution.  But we’ll explain more about that in a future column.

IT Issue #3:  Enterprise Management Features


Larger companies with mature IT organizations prefer solutions that have “enterprise-level” capabilities.  These features make a large-scale voice deployment far easier (and less costly) to support and manage on an ongoing basis.

 

One example is the ability to have a centralized voice “command center.”  Older voice solutions are deployed locally – meaning that there is a voice server somewhere in the warehouse.  This raises two big problems for the large organization:  managing these remote IT resources, and paying the cost for multiple licenses of operating system, database, and other infrastructure software needed for the voice solution to operate.

 

An enterprise-level solution allows the company to deploy just one version of the voice software, but uses it to manage as many warehouses as the company has.  This means fewer licenses need to be acquired, and all IT resources can be managed in one central location – usually the corporate data center.

 

Final Thoughts

Typically, an operations executive will naturally not have these three issues at the top of his list, since he is focused more on the business process at hand and the immediate ROI and quality improvements that can be achieved through voice picking software.  But these executives certainly want flexibility for the future and no sticker-shock episodes when seemingly simple changes are needed.  One good resource for evaluating voice solutions is the Voice Empowerment Quiz available on the Voxware website.

 

By involving IT professionals in the selection process, enterprises are improving the odds that their voice solution will not only deliver benefits today, but also will not hold the organization back tomorrow.

Agree or disagree with with our guest contributor's perspective? What would you add? Let us know your thoughts for publication in the SCDigest newsletter Feedback section, and on the website. Upon request, comments will be posted with the respondent's name or company withheld.

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About the Author

Scott J. Yetter has served as President of Voxware, Inc. since November 2006.  He is a long-time executive in the supply chain industry, bringing over 20 years experience in sales, marketing, operations and executive management to his position.  Prior to joining Voxware Scott spent 10 years at American Software/Logility, an early provider of ERP and supply chain solutions. 


 

Yetter Says:


Forward-thinking companies involve both IT and Operations in the technology selection process.


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