Implementing a Professional Services Process

PUBLISHED BY JASON SMITH

As Independent Software Vendors (ISVs) grow, particularly after initial sales of software licenses and subscriptions, they face the challenge of scaling enterprise software implementations. Complex, mission-critical software requires structured services, including training, support, and technical onboarding. However, early-stage ISVs—often at the bootstrap, seed, or Series A phase—typically lack the resources to establish these programs, leading to inconsistent customer experiences.

Key Challenges

• Inconsistent Implementations
  Early implementations are often ad-hoc, relying on engineers without standardized processes. This results in inconsistent setups and makes ongoing support difficult. A templated, repeatable implementation process is essential for efficiency and customer satisfaction.

• Lack of Formal Training
  Training tends to be informal, handled by engineers or pre-sales teams. Without a structured curriculum, customers are often underprepared to use the software effectively. A formalized training program with certification is needed to ensure successful adoption.

• Gaps in Technical Support
  Technical support is often unmanaged, with engineers responding to emails. This leads to inconsistent support quality and tracking. A dedicated support organization with case management and service-level agreements is crucial for reliable customer service.

• Customer Success Oversight
  ISVs typically focus on customer acquisition rather than retention, lacking a system to measure onboarding, usage, and satisfaction. A Customer Success program can provide vital feedback for improving sales, marketing, and product development, helping ISVs grow their recurring revenue.

Building a Services Organization

Investing in these services is crucial for ISVs reaching the Series A/B stage or $5M in revenue. However, building a services team internally can take 9 to 12 months and cost $1M to $2M, with the risk of hiring the wrong leadership or implementing ineffective processes.

The Solution

ISVs should take a phased approach to building their services programs, focusing on high-impact areas like standardized implementation or formal training. Leveraging external expertise can also help ISVs establish effective services faster and more cost-effectively, reducing the risks associated with in-house development.

In conclusion, while building a professional services organization is a significant investment, it is essential for ISVs looking to scale and retain customers. With a strategic approach, ISVs can implement the right programs to support growth and long-term success.