April 04, 2007

Dimensions of Offshore Technology Services in

Electronics Industry

Dr. Partha Pratim DasInterra Systems (India) Pvt. Ltd.

Silver Jubilee Celebration YearSilver Jubilee Celebration Year

Department of Computer Science & TechnologyDepartment of Computer Science & Technology

Bengal Engineering and Science University, KolkataBengal Engineering and Science University, Kolkata

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Agenda

• Terms

• Models

• Offshorability

• Factors in Outsourcing

• Types of S/W Outsourcing

• Offshore S/W R & D

• Glimpses of S/W Outsourcing in Electronics Industry

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Terms

• Outsourcing / Insourcing

• Onsite / Offsite

• Offshore

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Software Delivery Models• Onsite Model

– Outsourced work is done at the client’s premises. • Offsite Model

– Service provider locates near to the client’s premises. • Offshore Model

– Service provider is located in a country different from that of the client. • Onsite/Offshore (Hybrid) Model

– Project is distributed between an onsite team working at the client’s premises and an offshore team working in a different country.

• Offsite/Offshore Model – Project is accomplished by an offsite team working near to the client’s

premises and an offshore team working abroad. • Global Delivery Model

– A team works in close conjunction with the client and a group of offshore teams work from different parts of the world.

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Offshoreability

• Adequately available of Skills.

• Significantly less costs.

• The Work – Is / Can be telework. – Has a high information content; – Can be transmitted over the internet; – Is easy to set up; – Is repeatable.

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Factors in Outsourcing

• Advantages– Focus on Core Competence – Access to Global expertise– Reduced Costs– Achieve business goals faster

• 24/7 productivity

– High quality results– No additional hiring required

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Factors in Outsourcing

• Disadvantages– Overhead of Management– Geographical and Cultural Barriers– Lack of Skilled Man-Power– Perception of (increase in) Unemployment

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Types of Offshore Outsourcing

• ITO – Infrastructure Technology Outsourcing – Infrastructure of an Organization is Managed

Externally

• BPO — Business Process Outsourcing – Business of an Organization is Managed Externally

• Software R&D — offshore software development

– R & D of an Organization is Managed Externally

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Offshore Software R & D

• Nature– Product Development

– IP Development

– Service Engagement – Extended Delivery Teams• Time and Material

• Turnkey

• Domain– Business Applications

– Core Technology / Technology Applications

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Glimpses of S/W in Electronics

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Thank You