Spectraforce Technologies Inc a brief profile. KFBS EMBA Discovery 2010
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1 Spectraforce Technologies Inc a brief profile for KFBS EMBA Discovery 2010 Presented by Amit Singh
2 Confidentiality Statement By accepting this document and all attachments ("these materials"), Client agrees that these materials are confidential. No portion of these materials will be disclosed to any party outside of Client without the prior written consent of Spectraforce and will not be duplicated in whole or in part nor used for any purpose other than to evaluate its contents for the purpose which these materials have been submitted to Client. Client shall exercise the same degree of care to protect the confidentiality of these materials as Client would exercise in protecting Clients s own confidential information. Spectraforce Technologies, Inc Spectraforce Technologies, Inc.
3 Agenda Who we are? What we do? How we do it? Key Focus Area Value Creation with SMBs Case Study PACK-RAT
4 Who we are? Corporate overview
5 Who We Are? 4 offices in U.S., Asia Whatever IT Takes Global Development Centers in US and India IT & IT Enabled Services Highly Skilled IT Professionals SPECTRAFORCE Vision To become a leading IT services provider for small and midsize companies worldwide
6 Corporate Overview Key Service Offerings IT & ITES Strategies Consulting Whatever IT Takes Outsourcing & ODC Advance Technology Solutions
7 Spectraforce Company Overview Global Presence Headquartered in Raleigh, North Carolina; Satellite offices in NJ, TX, MN Offshore Development Centers in Pune, Chandigarh and Hyderabad - India Expansion plans across US, India and Europe in 2010 Strengths Management team has 100+ years of combined Global IT experience Current Global Workforce strength: 700 Industries Pharmaceutical Healthcare Technology Chemical Insurance Logistics Services Consulting Application Development, Maintenance and Testing Services Business Transformation Services Product Implementation and Maintenance Program and Project Management Services Highlights Inception in 2004 Profitable since inception (110% CAGR from 2004) Inc 500 inductee in 2009 (Ranked # 182); TBJ Fast 50 in 2008, 2009 (Ranked # 3) CMSDC Supplier of Year 2009 (Category III - $10-50M) Commitment to Diversity (67% of US Workforce are Women/Minorities)
8 Representative global Clients State of NJ, PA, VA, MI
9 What we do? IT/ITES
10 Globalization of Services What We Do Outsourcing Model 24 X 7 Secure Global Delivery Model (Onsite and Offshore) Outsourced IT & IT enabled services Application Development and Management Business Process Management Managed Testing Services Full cycle Test Management and Execution Test Planning and Advance Test Case Design Ensure 50 70% cost savings Offshore Development Center (ODC) Services Build virtual teams Offer highly cost-effective skilled IT resources managed from offshore Consulting & Team Sourcing Services IT Program Management IT, Clinical, Engineering Staff Augmentation Services Vertical Focused Increased Efficiency/ROI Domain Expertise Utilizes state-of-the art 24 x 7 Assembly line global sourcing model SPECTRAFORCE Services Key Differentiators Delivering sustained value using Global Delivery Model Quality adherence, Process rigor & Project Management skills Partner for life guiding ethos
11 How we envisioned our Business Model Identify and secure a strategic relationship with the Offshore delivery partner Use competencies to fine-tune the due-diligence/search process for strategic offshore partner Find a strategic fit BPO IT Management Vertical competency JV/MOU deal Short Term Collaboratively develop processes and methodologies Use the offshore effectively and reduce the both internal and external operational costs; Outsource support functions to offshore Long Term
12 SFT seeks to meet today s customer s primary needs of lower TCO, faster ROI, and new technology consulting services Value Proposition Significantly improved total cost/performance (at least 50 to 70% cost savings) of IT investments Offshore Rate Sample Shorter implementation cycles faster time to market/roi (using 24X7 and three shift delivery model) Mitigate IT risk : Avoidance of IT staff recruitment, training and retention challenges (*one of the most prominent issues cited by IT managers as their main concerns: source Gartner research) Access to robust processes, global skilled resource pools and thoughtleadership - currently available only for Large organizations. Improved quality of project deliverables and services
13 How we do it? Global Delivery Service
14 Metrics Co-operation Model Approach for clients who wants to go offshore Identify why the client wants to go offshore Goals Set objectives that have to be achieved for success Customize the building blocks of the GDM to meet the goals Strategic Outsourcing Building Blocks Roadmap Address Change Management at all levels Identify metrics and structure the measurement & tracking mechanism Create an environment that fosters continuous improvement and peak performance In a nutshell, each Offshore Program has a different flavor! 14
15 Collaboration Model - Start with addressing challenges for the new customers approaching Offshore Services Fear of the Unknown Different models New method of service delivery Internal people issues Remote resources Different cultures Various contract types How and what to manage How and what to measure Determining how much to outsource
16 Range of Challenges when approaching Offshore services Cont d Complexity of various commercial options Fixed Price Time and Materials Not to Exceed Risk Management Customer managed Partner managed Shared Risk
17 SFT ODC framework Staged Approach Key Activities: -Customer Due Diligence - Customer Readiness Assessment -Define Customer Key Success Factors (Cost/Quality/Process) Key Activities: Assist Customer in Balancing Risk-Reward - Pushing the offshore envelop - Redefining roles and responsibilities - Alignment of partner and business goals Planning and Contracting Create Customer SOW Design High level Project Plan, Governance Structure and Commercial Option Key Activities: - Move to Metrics/SLA based execution - Status Reporting -Project Management & Tracking -Issue Resolution -Risk Management - Quality Assurance Customer Portfolio assessment and due diligence Outsourcing Strategy and Planning Contracting and Execution Planning Leverage ODC & Work Execution Benchmark & Evaluation Continuous Improvement Key Activities: - Define Short & long term strategy - Create Internal and External Messaging plan - Assist in creating an Internal Customer Champion - Standardize process -Metrics/Reporting/Process Key Activities: - Solution Alternatives (T&M/FP) - Proof of Concept (Testing the waters) - ODC set up at offshore - Pilot Project Execution (if needed) - Resource identification and ramp-up - Knowledge acquisition - Task planning, tracking and execution Through: - Analysis, Optimization and Automation - Preventive Maintenance - Root cause analysis - Team rationalization across applications
18 Application Maintenance Detailed Transition Planning Steps for offshoring an individual project Application Maintenance example Project Planning Knowledge Acquisition Onshore/Offshore Transition Offshore Simulation Offshore Training/Pilot Offshore Execution Duration 2-4 weeks 2-3 months 1-2 weeks 2-3 weeks Ongoing Description Establish project scope, expectations and criteria for success Set team composition, infrastructure requirements and performance metrics Members of offshore team work on site to Work with client personnel to understand issues Document system/ application Finalize transition plan Execution of maintenance requests in a simulated offshore environment Validation of maintenance infrastructure Establishment of maintenance process, procedures, and metrics program at off-shore site Incremental transition of low and medium difficulty tasks Complete fulfillment of maintenance requests offshore to agreed upon service levels Client staff FTE* Spectraforce staff FTE Significant cost savings, quality and process efficiencies
19 Governance model - structure Client Executive Team Steering Committee SFT Executive Team Peer-to-peer communication Clear escalation path Client Relationship Manager SFT Engagement Management Subject Matter Experts Client Team Application Managers Project Management SFT On-site On-site Delivery Managers Task Monitoring and Control Project Status Issue Management SFT Offshore Offshore Delivery Managers Tasks /Deliverables Business Analysts Subject Matter Experts Technical Analysts Senior Analysts Work packages Result packages Technical Specifications Programmer Analysts/Sr, Programmer Analysts Quality Assurance
20 Holistic view for the client - Process driven knowledge base Application Health Check Dash Board Key Metrics Analysis SLA Monitoring Tool Centralized Status & Reporting Portal Updated Knowledge Repository Initial Training Program
21 Our Differentiated Customer-centric Strategies 1Pioneered a 24x7 Assembly Line Global Recruiting Model that can quickly customize to any client need Focused on Proactive staffing/consulting model and pooling strategies to better serve customers and create an 2competitive edge Adopted a seamless onsiteoffshore model for improved efficiency, quicker scalability and better customer 3experience Aligned across verticals as opposed to technologies and 4geographies 5 Created an entrepreneurial and passionate work environment, that helped in gaining & maintaining high customer satisfaction and retention Implemented metric-driven tools, frameworks and processes to keep a high quality of work and 6accountability 21
22 Key Focus Area SMBs
23 Small and Midsize Business (SMB) Key Facts SMB The Biggest Little Outsourcing Market in the World * * Source Gartner Research (ID AV ) SMB Gartner defines a North American SMB market as Small businesses - 1 to 99 employees and less than $50 million annual revenue Midsize businesses to 999 employees and $50 million to $500 million annual revenues Offshore is not a mainstream undertaking by SMBs SMB - Small but steadily growing Outsourcing market segment Midsize businesses account for greatest demand and accounts for 20% of total US Outsourcing markets Small businesses account for only 3% of total US Outsourcing markets SMB s are often neglected and do not have easy access to lowcost, top-quality IT products or services from the major vendors Tier 1 players such as IBM, EDS and Accenture or Tier II vendors such as, TCS and Infosys, primarily focus on high-volume orders (contract orders in million $) * source GARTNER DATAQUEST
24 Small and Midsize Business (SMB) Key Facts SMB The Biggest Little Outsourcing Market in the World * * Source Gartner Research (ID AV ) SMB project managers struggle to find the right mix between internal and external IT resources Costly and disruptive forces Customer demand, competition or a shift in the market are resulting in lost customers and revenues for SMBs Cost efficiency, staffing and faster ROI are most prominent drivers for customers source GARTNER DATAQUEST and CIO
25 Case Study PAW Inc
26 Project Profile Product Development and Support of Pet Tracking System Challenge Solution Develop a comprehensive state-of-the-art GPS based solution to support Positioning Animals Worldwide Inc. s (PAW s) new pet locator product: SpotLight. The product is a technologically advanced pet tracking device that is superior to competitive products in terms of size, weight, battery-life, tracking features, reliability, and user friendliness. Spectraforce has built the Corporate & Marketing websites as well as the Pet Tracking system (PTS) to support SpotLight. PTS Features include : Online Shopping for Product and Service Plans User Registration User Settings for individual Preferences and Personalization Pet Tracking System Web User Interface Mobile and Smart-phone User Interface Spectraforce proposed a web based solution that integrates with several third party interfaces for GSM/GPRS based connectivity with SpotLight s firmware, SMS, A-GPS and Google Maps. Socket Programming for always-on Listener service that allows PTS application to communicate with device firmware. Web Services based interface for American Kennel Club (AKC) enrollment and for Smartphone UI. Smartphone platforms supported: Microsoft Windows CE RIM Blackberry Apple iphone Symbian Global Delivery Model provides significant cost advantage with option to scale to much stronger IT capability with no increase in budgets! Product Dev & Maintenance
27 Project Profile Product Development and Support of Pet Tracking System cont d Solution Components Product Dev & Maintenance
28 Project Profile Product Development and Support of Pet Tracking System cont d Results Value Proposition Created new Corporate & Consumer Websites, from initial design to deployment and Search Engine Optimization. Application developed using Microsoft.NET Framework 3.5, C#, XML, AJAX, SQL Server 2005 and Web Services. Spectraforce set up the QA process for Ticket Tracking and Resolution based on Open Source platform. Cost Effective Engagement Onsite only $1,000,000 High Quality and High Visibility with complete transparency thru relationship portal and weekly status reports Eight months with approx 7person years of effort SFT Onsite/Offshore < 15% of onsite costs None Maintenance & Enhancements Total Savings < 40% of onsite maintenance costs None Nearly $3/4 Mill over a 3 year period Additional Costs Development Infrastructure costs Highly Responsive Development and Support team with advantages of fractional FTE specially advantageous for multiple Smartphone platform support. Product Dev & Maintenance
29 Thank you SPECTRAFORCE Technologies Inc Corporate Headquarters: 5511 Capital Center Drive, Suite 212, Raleigh NC Global Delivery Centers: Raleigh * Pune * Hyderabad * Chandigarh
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