the changing rules in software outsourcing
TRANSCRIPT
The Changing Rules in Software Outsourcing
Swami NathanVP – Group Strategy
V2Solutions 5-Jan-2014
Outline• Exciting Times..!!• From the Past• Back to Basics• Trends & Insights
5-Jan-2014 The Changing Rules in Software Outsourcing - Swami Nathan 2
The Changing Rules in Software Outsourcing - Swami Nathan 35-Jan-2014
The Changing Rules in Software Outsourcing - Swami Nathan 4
Let’s check the predictions…Gartner hype-cycle for Cloud Computing
Alignment of Cloud theory with IT Leaders
Cloud perception has remained the same last few years; fueled by ‘Expectations’ quadrant;
but still maintaining the ‘Trust Deficit’5-Jan-2014
The Changing Rules in Software Outsourcing - Swami Nathan 5
Made in USA
Insourcing
• GM is announcing hiring of 10,000 in IT over 2yr to reduce outsourcing dependency
• Yahoo may go the same route & with global team consolidation in US
• Vendor governance moves from Art to Science More investment in Managed Governance & Automated ToolsSource: Gartner 2013
People based Scaling – Not fun anymore..!!
5-Jan-2014
The Changing Rules in Software Outsourcing - Swami Nathan 6
Client Inc.1234 Fake Address Ave.Los Angeles, CA 90210Dear Vendor,We are open to hear any good news from you..!! It is just
that we need help in understanding what is good for us.
Back to basics..
5-Jan-2014
The Changing Rules in Software Outsourcing - Swami Nathan 7
Traditional Outsourcing Areas• Application Dev / Maintenance / Hosting• D/B Admin• Datacenter Ops• Desktop support• Disaster recovery, IT security, Network Ops• Web & eComm systems
New Age Impact Areas• Cloud• Mobile• Social• Analytics• Data / Content
Future• Wearables• Environment Integrated• Content in Context• Micro-Monetization
123
Diversified & DistributedEnterprise Process Driven
Corporate
Converging & ConsolidatingSmart & Collaborative Apps Driven
Community
Personal AlignedRetail model in Outsourcing
5-Jan-2014
The Changing Rules in Software Outsourcing - Swami Nathan 8
Corporates Enterprise s/w People driven ContentOutsourcing
Crowd Sourcing DEV Community Smart Process Apps Tool driven Context
• Global reach• Localized info.• Quicker
turnaround• Creates more
Opportunities
• Developer Community is born
• Smaller companies or Freelance Developers eating in to Outsourcing
• Major shift in where Apps reside
• Less on Servers / Desktops
• More on Cloud / Mobiles
• Enterprise Workflow Apps
• Large Process teams are aligned thro Tools
• Data driven Decision making
• Metrics validated Delivery
• Automation in many areas
• Content overload reduced efficiency / application of knowledge
• Need Contextual info / data Insights to edge out competition
From
To
5-Jan-2014
The Changing Rules in Software Outsourcing - Swami Nathan 9
SupplyGap
5-Jan-2014
The Changing Rules in Software Outsourcing - Swami Nathan 10
Just-Sourcing
Value.. still the Mantra
Map Business Needs in Contract for Outcome
Be Insights Driven
Impact Sourcing Service Providers
Be ParanoidOutsourcing
Adjustment - 80-20 rule reversing
Innovation.. More than Ever
Grassroot level, Productized Services
5-Jan-2014
The Changing Rules in Software Outsourcing - Swami Nathan 11
Buyer profile: Know All & No Clue
Deliver quicker RoI
EAAS(Everything-As-A-Service – mostly Virtual - Noshoring)
Agile Processes(Large Process teams replaced with Smart
Processes)
Go Vertical(Business aligned, cutting
competition)
COTS(Here to stay & will
replace many Services)
Co-Creation(Joint partnerships, Risk-Reward, Outcome based)
Self Service Platforms(Tools to perform each Job / Phase of work / Function)
Future Trends
5-Jan-2014
The Changing Rules in Software Outsourcing - Swami Nathan 12
Thank You
Swami NathanVP – Group Strategy
V2Solutions – www.v2solutions.com Twitter: malcobev
Google+: google.com/+SwamiNathan
5-Jan-2014