Delivery Solutions in a Global IT Delivery Model

Compiled by: Afrin Dange Sandeep Purohit Imran Shaikh Sudhir Hankar

Introduction of Global IT Delivery Model Case Study

Advantages & Disadvantages of Global Delivery Model

Improvement Ideas

Conclusion

Introduction
Global IT Delivery Model enables its customer to leverage varied
locations across the globe that provides optimized value for every component of delivery.

It ensures that each of the objectives like procuring best skills, covering
24*7 service spread, lower cost of ownership or leveraging domain expertise are met

Its a combination of onsite model and offshore model but unlike the
onsite/offshore model wherein the offshore development center of service provider is located at only one place, in the global delivery model the service provider has its offshore development centers spread out across the entire globe.

The service provider need not have their own offshore development
centers across the globe but they can use the resources of their partners located around the globe, and thus follow a global delivery model. This provides the client with a large working team with varied qualities and expertise in different fields.

ON-SITE AND OFF-SITE MODEL

ON-SITE MODEL

OFF-SITE MODEL

EMERGING MODEL- GLOBAL DELIVERY MODEL

RELATIONSHIP BETWEEN TWO TEAMS

PM

PM

TL1

TL2

TLn

TECHNICIANS

BA

DEVELOPERS

TESTING

Drivers for Global Delivery

Adoption of the Global Delivery Model creates competitive advantages that enables businesses to fundamentally manage cost, focus on core competencies, improve services quality, enhance agility, and react quickly to market change.
Capture, Guarantee and Accelerate Savings
Inherent

Manage Cost
Transfer to Variable Cost Structure Access To Best of Breed Upgrade and Refocus Skills Fix Operational Service Problems Transfer Risk to Provider

cost advantages in some areas due to scale and capabilities Contracts can be structured to eliminate uncertainty and volatility of savings Suppliers can financially engineer contract to pay forward savings
Ensure

costs are tied to consumption rates - pay for what you use fixed costs carried by the organization to supplier Gain greater predictability of costs through established pricing
Transfer Access

Improve Service/ Quality

to proven ideas and solutions balance between technology refresh and cost efficiency Focus on Core Competencies
Sharpens Enhance

management capability and resource pool Enable management to increase focus on core business functions
Improve

Increase Flexibility/A gility

services, speed to market and client satisfaction through access to advanced capabilities (e.g. 24/7 operation centres, automated processes) Requires commercial disciplines around end-to-end service delivery vs. internal delivery
Transfer

residual risk (e.g. operating costs, technology expertise, staff knowledge, established R&D programs) from enterprise to supplier

Access to HighSkilled Labor

Access to High Talent Resource Needs

Access Access

to high skilled talent pool to specific talent needs Access to post graduate degree holders

Case Study TCS helps BT Wholesale

Company Profile

Provides core network and broadband services, conveyance and connectivity

products to BT Retail, BT Global Services, and more than 600 external clients.

Has grown to become the largest and most successful wholesale service
provider in Europe. Need for seeking Help from Technology Partner Many of BT Wholesales clients want to outsource network management and maintenance, to enable them to focus on customer service, product development and service differentiation. For them, BT Wholesale needs to provide comprehensive, end-to-end business support. BT Business Situation

Need for timely and Accurate Data Managing Complex Infrastructure

Case Study TCS helps BT Wholesale

Why TCS Because of its strong business intelligence and telecoms knowledge, its experienced resource-base, and its ability to deliver fast, high quality software development services. TCS Solutions Developed a number of tools for BT Wholesale to help collect information quickly and deliver accurate reports to its customers e.g. Oracle-based generic data loader

Developed capacity planning tools to monitor servers and infrastructure,

dashboards to provide a 360-degree view of operations and KPIs, and a replication tool for Oracle databases that is now used across the whole BT Group.

Building software in a componentized manner, TCS helps BT reduce

development effort and shorten cycle times considerably reducing development costs.
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Case Study TCS helps BT Wholesale

Benefits Company has been able to launch white-label managed services for one of its major customers, and expects to roll out the solution for more than 200 other telecommunications service providers over the next few years.

TCSs extensive experience in the telecommunications sector and the depth

of technical expertise that the Global Network Delivery Model can draw upon are helping BT drive a program of continuous innovation and improvement in network management.

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Critical Success Factors

Lower Risks
In case of any disaster/emergency at one of the offshore centers, the work continues at or is transferred to other offshore development centers. So the risk involved is low.

Round-theclock productivity

24*7 work cycle becomes possible because of the time-zone difference.

Best Results

Accomplishment of high quality work is possible, as the client will get the benefit of skilled manpower spread out across the globe.

Shorter leadtime

Shorter project completion time as the work is completed by a number of offshore development centers working together with the same target.

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Critical Success Factors

Cost benefits The cost saving benefits for the client resulting from offshore outsourcing is also appreciable.

No new employee additions required

The service provider can provide the client with a large working team with varied skill set, which the client may not be able to employ for just the task at hand.

No possibility of communication gap

Onsite team, which will be in direct contact with the client, is able to understand the clients needs in a better way. So no chance of misunderstanding the clients needs. Because of onsite teams presence response to changes in clients requirements is fast.
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Faster Response

Present Scenario
India is the leading country for offshore outsourcing. The offshore outsourcing industry started in India and it has be able to grow the IT and BPO export sector to $47 billion and capture more than half the offshore outsourcing industry. The Americas and Europe are the largest customers for the Indian outsourcing industry and account for 60% and 31% respectively of IT and BPO exports. The largest vertical sectors are financial services (41%), hightech/ telecom (20%), manufacturing (17%) and retail (8%). In 2009 the IT and BPO export industries employed about 2.2 million people. The 2008-2009 global recession has had a negative impact on outsourcing growth in India, but the sector is experiencing a turn-around in 2010. Many US and European companies are still cautions about the speed or staying power of the 2010 economic recovery and thus are looking to maintain a low cost base in locations such as India.

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THE INDIA ADVANTAGE

Challenges

Growing competition from other countries i.e. Philippines , China. Heavily dependent on U.S based companies. Low cost & High value added custom built solutions from competitors Predatory pricing

EMERGING COMPETITION TO INDIA AS AN OFF SHORE DESTINATION

INDIA

CHINA

MEXICO RUSSIA

PHILLIPINES

EMERGING COMPETITION TO INDIA AS AN OFF SHORE DESTINATION

Conclusion

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