Global Sourcing 2.0 -Automation and Standardisation (Industrialisation) in offshore/nearshore IT Services

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June 29, 2010

Global Sourcing 2.0 -Automation and Standardisation (Industrialisation) in offshore/nearshore IT Services

Short introduction during the EOA Summit, Brussels, 29th June 2010

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pliXos

June 29, 2010
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  1. Global Sourcing 2.0 - Automation and Standardisation (Industrialisation) in offshore/nearshore

    IT Services EOA Summit, Brussels, 29th June 2010 Joerg Stimmer VP EOA Germany e.V. & MD pliXos GmbH)
  2.  Customers tools environment is basis for service provider 

    Initial set up: Time consuming , start without access  Lack of knowledge concerning global integration, remote access  No offshore optimisation, several tools, no full integration  N customers lead to nearly N different environments per service provider  Customers project manager relies on service provider’s reports  Reports manually prepared, “politically influenced”, might nor reflect full picture  No “real time” delivery , time consuming and ineffective  Customer needs to closely monitor service provider  Document share per email, further tools, phone conferences, etc.  Regular meetings of team, including travel to offshore destination  Controversial understanding concerning reporting  Cultural differences  Unique requirements imposed by offshore (new to customer, to be learn the hard way)  Governance on “gut feeling”, time consuming, ineffective Successful offshore sourcing – “typical” remaining discomfort EOA Summit, 29th June 2010 2 Global Sourcing 2.0 - Automation and Standardisation Even well managed and successful offshore projects comprise several aggravating tasks, which can be overcome by clever utilization of automation
  3. Monitoring and governance – chances by automation Goals are highest

    transparency in time, neutrality and additional cost benefits and also a reduction of “start barriers“ by SaaS* operation Customer Project Lead (PL) Reporting (R) … Project Lead (PL) … Development Team Project Management Office (PMO) Development Team PMO PL, R, … Service Provider* ”on site” “offshore” EOA Summit, 29th June 2010 3 Global Sourcing 2.0 - Automation and Standardisation * Software as a Service „current“ „vision“
  4. Our first steps towards implementing the vision EOA Summit, 29th

    June 2010 4 Global Sourcing 2.0 - Automation and Standardisation The first release is implemented, up and in use.
  5. Business model - operation as central software as a service

    platform Standardisation, automation, and low entry barriers empowers all companies to take advantage of global sourcing. DC DC DC DC Client DC Client Development center Platform Global Sourcing EOA Summit, 29th June 2010 5 Global Sourcing 2.0 - Automation and Standardisation
  6. Central SaaS platform - basic functionality Goal is to offer

    all functionalities relevant for the optimised implementation of Global Sourcing projects, additional cost benefits and no need to set up own systems. Best possible control with help of efficient “governance“-functions and reporting with an “early warning system“. Transparency via stringent document management and traceable communication (Tools). Quality assurance via standardised processes and automation, integrated test environment. No entry barriers, shorter project durations and increased flexibility due to operations as SaaS* and basis Open Source. Integrated requirement- and change management with standards for estimations of project costs. Central controlled data storage and rights management. No direct access to customers systems required. Governance & Reporting * Software as a Service Requirement-/Change-Mgmt. Quality-/ Test- Mgmt. Collaborations-/ Chat-Tool Project- management Document- management Interface to SW-Development Environment / Versioning Global Sourcing Assessment Management (CIO) Tester/ Developer Skill-/Resource-Mgmt. Open Source Risk Mgmt. Tender Mgmt. EOA Summit, 29th June 2010 6 Global Sourcing 2.0 - Automation and Standardisation
  7. pliXos portfolio The fitting tool for each phase of the

    outsourcing process Global Sourcing Assessment Global Sourcing Platform Vendor Benchmarking Skill- and Resource Management Tender Management Project Risk Management Customer specific extension Automation in documentation and structuring of skills used in past and at present, with aim to provide a realistic forecast for planning purposes, at customer and service provider. Identification, analysis and mitigation of possible risks Online toll to allow anonymous comparison of internal and external services concerning quality, costs and further criteria. Strategy Tendering Transition/ Governance Sign Off EOA Summit, 29th June 2010 7 Global Sourcing 2.0 - Automation and Standardisation
  8. Example business case calculation by „Consulting as a Service” Consultancy:

    > XX.000 EURO CaaS: ~ 3.000 EURO EOA Summit, 29th June 2010 8 Global Sourcing 2.0 - Automation and Standardisation
  9.  Profound expertise on Offshoring “from scratch”  Synergies across

    customers and projects  Option to develop into best practice processes and tools  Extension towards benchmarking of projects and service providers  Option to be a kernel for a community / knowledge centre  Continuous improvements and extensions based on customers feedback  Incorporation of fitting Open Source tools or 3rd party developments  Evolution towards standardisation, e.g.  No lock in into one system due to open components  Simplified transfer of projects between service provider Value proposition and outlook EOA Summit, 29th June 2010 9 Global Sourcing 2.0 - Automation and Standardisation The already existing value add still can be significantly increased.
  10. None