Proof of Value (POV)

Significant market forces continue to challenge you to evolve business processes, applications, systems, architecture, development, operations - perhaps even disrupt the marketplace through innovative solutions.

A POV reflects a decision to change, usually made as a response to negative situations and therefore driven by negative emotions. People change when they feel disatisfied, fearful, or at risk in their current situation. People in those same circumstances are more likely to undertake an POV.

A minority of POVs reflect a decision made as a response to positive emotions and deeper insights. POVs in this group are frequently innovative and collaborative in relation to the marketplace.

The challenge is to base the POV on a use case that provides the stakeholders with the means to comprehend and measure the value the solution delivers.

When the stakeholders can clarify, connect and quantify that value, and the organization aligns to deliver on the value promise, a POV can effect change successfully.

SG is your trusted guide, working together we create the plan that champions use to quickly resolve their troubles.

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The fact that a problem exists in an organization is not enough to ensure change. When an organization does not know the cost of a problem, the success of an POV is severly compromised. When you put a price tag on the dissatisfaction/risk-exposure/lost-opportunity you are experiencing, you can prioritize the problem and then make a rational, informed choice between continuing to incur the cost of the problem or investing in a solution.

Cost is the surest way to shorten the stakeholders' decision cycle. The higher the cost of the problem, the faster the decision will be made to solve it. Always keep in mind that the cost of the problem may not justify the solution.

Establishing the accurate cost of the problem is the only path to defining the true value of the POV. Moreover, only the stakeholders can define that true value - a value they would agree to among themselves. Nevertheless, the value proposition (since it is a hypothetical value) rests, at a minimum, upon the solution features which deliver that value. Solution features which eliminate sizeable expenses are often at the core value measurement that an POV delivers. Alternatively, the POV may be an innovation that captures new market shares, or which profoundly disrupts the marketplace to the financial benefit of you and others.

No. Today, all high-quality decisions are the result of orchestrating a consensus among the stakeholders. Technology POVs are complex sales environments in which sales outcomes are increasingly random and unpredictable. Over 80% of free technology POVs end in either of these 2 scenarios: unpaid consulting (the worst-case), or a 'no-decision' (the other worst case).

How the Universe Works: like all organizations, SG resources are limited and must be focused to achieve their greatest potential. SG management knows that it can not be all things to all people and will devote our energy only to the best opportunities available. We respect our time and expertise, and view our group as a valuable resource. We also expect our prospects and clients to do the same.

Every POV is based upon a testable and quantifiable business Use Case, which has its own measured value proposition, and which identifies how to verify and validate its outcomes. Activity-based costing identifies activities required to support the POV and assigns the cost of each actitivity to the Use Case you have chosen.

It is SG's policy to collaborate with our clients while providing Diagnostic, Design and Delivery services. The best practice is to build POV teams made up of members from your organization and members from SG. In this way the direct costs of activities provided by SG can be optimized. Clients naturally given to collaboration, and who see that the relavent value of the POV, frequently adopt the team building approach as a means of controlling their POV activity costs.

The duration of the POV is determined by your chosen use case. Use cases involving high data volumes, velocities and varieties tend to increase the duration of the POV. Proofs which are based on intaking data for lengthy periods of time naturally increase the duration of the POV. And, proofs which are based on Machine Learning and predictive analysis tend to increase the duration as well. Lastly, proofs which depend upon significant data cleansing will likewise increase duration.

The variety of suitable use cases is literally inconceivable. It is recommended that you choose a critically important data flow, one with a compelling business valuation, as your use case for the POV. You want a real problem that can help stakeholders make sense of their situation and then connect it to the solution and measured value which solution features deliver.

SG recommends that you select a use case which helps the stakeholders make several decisions about whether to eliminate a problem (alt., innovate) and how to change your current situation for the better. Keep in mind that with higher risk comes greater resistance, so layout a course of escalating risk/change management to apply after the POV concludes successfully.

An POV typically takes place on premise. However, since many technologies and frameworks are also available on AWS, the POV can occur in AWS as well. Even a mixture of on premise and AWS is feasible within a POV - it just depends on the use case.