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IT Vendor
How To Successfully Manage
Relationships?
info@indusnet.co.uk
BHARAT BERLIA (CIO)
Booth #8.1H21
ForeverBusinesses
Digital Has Changed
But why should we focus on IT? www.indusnet.co.in
BHARAT BERLIA (CIO)
of IT Industry
Evolution
Internal Automation
Human Interaction
Direct Consumer
Interaction
E-commerce
Human & Business
Interaction
Automation of
Business Processes
Customized People
And Business
Interaction
New Business Models
Consumerization of
Everything
Immersive Experiences
Human, Business &
Things Interaction
1980-1990 1990-2000 2000-2010 2010 & Beyond
Client Server Web E-Business Digital Business
www.indusnet.co.in
BHARAT BERLIA (CIO)
Infrastructure+
Growth
Engine
Operations
Engine
IT
Infrastructure
System
www.indusnet.co.in
BHARAT BERLIA (CIO)
Changed?
Growth Engine
How Has
Easier To Penetrate In New Markets
Time To Launch and Market A Product is Fast
Competition Is Continuously Rising
Survival Is Become Challenging For Laggards
www.indusnet.co.in
BHARAT BERLIA (CIO)
Changed?
Operations Engine
How Has
Scaling operations without creating a huge asset base
is now possible
Having a Low cost of operations is a must to beat the
competition
Ensuring Quality Is mandatory for exponential growth
and survival
www.indusnet.co.in
BHARAT BERLIA (CIO)
Businesses Growth?
So Technology Today Decides
www.indusnet.co.in
BHARAT BERLIA (CIO)
Collaboration Is
The Key
Avoid reinventing the wheel
Reaching out to domain experts is imperative
With Technology
But To Succeed
www.indusnet.co.in
BHARAT BERLIA (CIO)
Collaboration Been
Has This
Always Effective?
50,000 Virgin Airlines
Passengers Grounded by IT
Provider Navitaire.
UK wasting £37 billion a
year on failed agile IT
projects.
The Standish Group Chaos
Report found that only 29%
of IT project
implementations are
successful, and 19 percent
are considered utter
failures.
Source:
https://www.information-age.com/projects-conti
nue-fail-alarming-rate-123470803/
Source:
https://www.information-age.com/projects-conti
nue-fail-alarming-rate-123470803/
Source:
https://www.itproportal.com/2015/12/19/five-of
-the-biggest-outsourcing-failures/
www.indusnet.co.in
BHARAT BERLIA (CIO)
1000
And There Are
Of Success Stories As Well
Source:
https://biz30.timedoctor.com/outsourci
ng-examples/
Source:
https://biz30.timedoctor.com/outsourcing-exa
mples/
Source:
https://www.daxx.com/blog/development-trends
/outsourcing-success-stories
 WhatsApp got offshore
developers from Russia
for faster product
updates.
Basecamp outsourced
work to the most talented
global workers to refine
their product and
processes.
Citi Bank carries their IT
operations from their
offshore centers in India.
www.indusnet.co.in
BHARAT BERLIA (CIO)
?A Bigger Question�
Partner?
Right IT
How Can You Find The
www.indusnet.co.in
BHARAT BERLIA (CIO)
www.indusnet.co.in
BHARAT BERLIA (CIO)
Analyse Your
Competencies
List down the competencies the project requires
See if you have any of those in-house
Lay down exact roles for your partner and in-house team
Know What You Have and What is Missing?
www.indusnet.co.in
BHARAT BERLIA (CIO)
Tip #1
– Will Weider
CIO, PeaceHealth
When an outsourcing initiative has a clear,
well-understood goal and it serves a strategic
purpose, then it has a good chance of succeeding.
www.indusnet.co.in
BHARAT BERLIA (CIO)
Identify Your Partner’s
Competencies
Strong demonstrated and differentiated expertise
matching your needs
Quick turnaround time
Agile technical approach
Solution-driven processes
Ensure your partner has
Adaptable to state-of-the-art technologies
www.indusnet.co.in
BHARAT BERLIA (CIO)
Tip #2
Sources:
The Economics of Software Quality, Jones, Bonsignour; CAST Research Labs
75% of vendors
have less than
3 years of experience
www.indusnet.co.in
BHARAT BERLIA (CIO)
Search And
Finalize
List down the vendors who match your basic requirements
Evaluate their past and current state
Shortlist and Finalize
www.indusnet.co.in
BHARAT BERLIA (CIO)
Tip #3
Price Should Not Be The Only Factor To Decide
10xdifference between
experienced and novice
developer
Sources:
The Economics of Software Quality, Jones, Bonsignour; CAST Research Labs
www.indusnet.co.in
BHARAT BERLIA (CIO)
Focus On Managing
Now, It’s Time To
This Relationship
www.indusnet.co.in
BHARAT BERLIA (CIO)
Tip #1
Focus on
Being A Partner
For Growth
Respect each other’s commitments and understand
capability thresholds
Stay true and consistent to your contractual terms�
Encourage and appreciate on successful completion
of critical milestones
www.indusnet.co.in
BHARAT BERLIA (CIO)
Tip #2
Identify Feasible
Outsourcing
Model
Fixed Price
Model
Time & Material
Model�
Mixed Mode
Model�
Staff
Augmentation
VS VS VS
www.indusnet.co.in
BHARAT BERLIA (CIO)
Tip #3
Fix A Method
For Reporting
Feasible
Create a structured way of reporting based on
project success parameters�
Adopt a tool which can be used by both �
www.indusnet.co.in
BHARAT BERLIA (CIO)
Tip #4
Undertake Effective
Data Security
Management�
Identify country and industry specific
regulations�
Evaluate infrastructure support
and identify changes�
www.indusnet.co.in
BHARAT BERLIA (CIO)
Tip #5 Know Your
Risks Well�
Management risk: IT management involved are
equipped and trained��
Lack of Focus: Know if your service provider understands
your need and has full time dedicated experts
Startups business is uncertain during the initial
stages, so know what to plan and what to avoid�
Enterprises suddenly say they can now take up the
project as their resource is available
Project Uncertainity
a.
b.
www.indusnet.co.in
BHARAT BERLIA (CIO)
Here’s Some Tips You Must Follow
Involve Senior management during the implementation�on of the contract.��
Lay a clearly defined escalation procedure.
Periodical Meetings should be held at the operational level to address the
working of the outsourcing contract in practice.
1
2
3
www.indusnet.co.in
BHARAT BERLIA (CIO)
Thank You!�
Any Questions?
info@indusnet.co.uk
BHARAT BERLIA (CIO)
Booth #8.1H21

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How to successfully manage it vendor relationships mwc

  • 1. IT Vendor How To Successfully Manage Relationships? info@indusnet.co.uk BHARAT BERLIA (CIO) Booth #8.1H21
  • 2. ForeverBusinesses Digital Has Changed But why should we focus on IT? www.indusnet.co.in BHARAT BERLIA (CIO)
  • 3. of IT Industry Evolution Internal Automation Human Interaction Direct Consumer Interaction E-commerce Human & Business Interaction Automation of Business Processes Customized People And Business Interaction New Business Models Consumerization of Everything Immersive Experiences Human, Business & Things Interaction 1980-1990 1990-2000 2000-2010 2010 & Beyond Client Server Web E-Business Digital Business www.indusnet.co.in BHARAT BERLIA (CIO)
  • 5. Changed? Growth Engine How Has Easier To Penetrate In New Markets Time To Launch and Market A Product is Fast Competition Is Continuously Rising Survival Is Become Challenging For Laggards www.indusnet.co.in BHARAT BERLIA (CIO)
  • 6. Changed? Operations Engine How Has Scaling operations without creating a huge asset base is now possible Having a Low cost of operations is a must to beat the competition Ensuring Quality Is mandatory for exponential growth and survival www.indusnet.co.in BHARAT BERLIA (CIO)
  • 7. Businesses Growth? So Technology Today Decides www.indusnet.co.in BHARAT BERLIA (CIO)
  • 8. Collaboration Is The Key Avoid reinventing the wheel Reaching out to domain experts is imperative With Technology But To Succeed www.indusnet.co.in BHARAT BERLIA (CIO)
  • 9. Collaboration Been Has This Always Effective? 50,000 Virgin Airlines Passengers Grounded by IT Provider Navitaire. UK wasting £37 billion a year on failed agile IT projects. The Standish Group Chaos Report found that only 29% of IT project implementations are successful, and 19 percent are considered utter failures. Source: https://www.information-age.com/projects-conti nue-fail-alarming-rate-123470803/ Source: https://www.information-age.com/projects-conti nue-fail-alarming-rate-123470803/ Source: https://www.itproportal.com/2015/12/19/five-of -the-biggest-outsourcing-failures/ www.indusnet.co.in BHARAT BERLIA (CIO)
  • 10. 1000 And There Are Of Success Stories As Well Source: https://biz30.timedoctor.com/outsourci ng-examples/ Source: https://biz30.timedoctor.com/outsourcing-exa mples/ Source: https://www.daxx.com/blog/development-trends /outsourcing-success-stories  WhatsApp got offshore developers from Russia for faster product updates. Basecamp outsourced work to the most talented global workers to refine their product and processes. Citi Bank carries their IT operations from their offshore centers in India. www.indusnet.co.in BHARAT BERLIA (CIO)
  • 11. ?A Bigger Question� Partner? Right IT How Can You Find The www.indusnet.co.in BHARAT BERLIA (CIO) www.indusnet.co.in BHARAT BERLIA (CIO)
  • 12. Analyse Your Competencies List down the competencies the project requires See if you have any of those in-house Lay down exact roles for your partner and in-house team Know What You Have and What is Missing? www.indusnet.co.in BHARAT BERLIA (CIO)
  • 13. Tip #1 – Will Weider CIO, PeaceHealth When an outsourcing initiative has a clear, well-understood goal and it serves a strategic purpose, then it has a good chance of succeeding. www.indusnet.co.in BHARAT BERLIA (CIO)
  • 14. Identify Your Partner’s Competencies Strong demonstrated and differentiated expertise matching your needs Quick turnaround time Agile technical approach Solution-driven processes Ensure your partner has Adaptable to state-of-the-art technologies www.indusnet.co.in BHARAT BERLIA (CIO)
  • 15. Tip #2 Sources: The Economics of Software Quality, Jones, Bonsignour; CAST Research Labs 75% of vendors have less than 3 years of experience www.indusnet.co.in BHARAT BERLIA (CIO)
  • 16. Search And Finalize List down the vendors who match your basic requirements Evaluate their past and current state Shortlist and Finalize www.indusnet.co.in BHARAT BERLIA (CIO)
  • 17. Tip #3 Price Should Not Be The Only Factor To Decide 10xdifference between experienced and novice developer Sources: The Economics of Software Quality, Jones, Bonsignour; CAST Research Labs www.indusnet.co.in BHARAT BERLIA (CIO)
  • 18. Focus On Managing Now, It’s Time To This Relationship www.indusnet.co.in BHARAT BERLIA (CIO)
  • 19. Tip #1 Focus on Being A Partner For Growth Respect each other’s commitments and understand capability thresholds Stay true and consistent to your contractual terms� Encourage and appreciate on successful completion of critical milestones www.indusnet.co.in BHARAT BERLIA (CIO)
  • 20. Tip #2 Identify Feasible Outsourcing Model Fixed Price Model Time & Material Model� Mixed Mode Model� Staff Augmentation VS VS VS www.indusnet.co.in BHARAT BERLIA (CIO)
  • 21. Tip #3 Fix A Method For Reporting Feasible Create a structured way of reporting based on project success parameters� Adopt a tool which can be used by both � www.indusnet.co.in BHARAT BERLIA (CIO)
  • 22. Tip #4 Undertake Effective Data Security Management� Identify country and industry specific regulations� Evaluate infrastructure support and identify changes� www.indusnet.co.in BHARAT BERLIA (CIO)
  • 23. Tip #5 Know Your Risks Well� Management risk: IT management involved are equipped and trained�� Lack of Focus: Know if your service provider understands your need and has full time dedicated experts Startups business is uncertain during the initial stages, so know what to plan and what to avoid� Enterprises suddenly say they can now take up the project as their resource is available Project Uncertainity a. b. www.indusnet.co.in BHARAT BERLIA (CIO)
  • 24. Here’s Some Tips You Must Follow Involve Senior management during the implementation�on of the contract.�� Lay a clearly defined escalation procedure. Periodical Meetings should be held at the operational level to address the working of the outsourcing contract in practice. 1 2 3 www.indusnet.co.in BHARAT BERLIA (CIO)