Whitepaper

Nearshoring IT sourcing from Warsaw, Poland

Expert IT Consultants

2 Nearshoring Warsaw

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Poland 3

Advantages by Nearshoring from Warsaw, Poland 3

Delivery model 6

Client responsibility 7

Contractual basis 7

Additional services 7

Rates 7

Cases 8

About the company 9

Skyline of Warsaw. 1.7 mio. inhabitants

3 Nearshoring Warsaw

About Warsaw, Poland The Polish economy has had stable financial growth since gaining EU membership in 2004.

Poland has an open and transparent economy with pres-ence from most large European and international companies.

Poland is characterized by a high level of creditability and low levels of corruption. The country ranks as number 41 in the world in regards to least corruption according to Transparency International (2013). Benchmarked with other former Eastern bloc EU countries only Slovenia is doing better in this area.

Poland has an outstanding engineering tradition and their technical universities are rated as some of the best in Europe. Poland graduates more than 15.000 new IT engineers every year.

Advantages of Nearshoring from Warsaw, PolandIf easy access; cultural and intellectual compatibility; agil-ity; flexibility; effortless integration; quality and scalability are important parameters then Warsaw is the ideal loca-tion to reinforce an IT department for any client located in Northern Europe.

The outsourcing process can be much more “light weight” than in more traditional offshore locations with fewer formal processes and administrative requirements needed to ensure success, thus making outsourcing easier with fewer burdens on the existing organization.

Nearshoring in Warsaw should result in fast and substan-tial cost reductions without creating negative impact on the pace and processes of the business.

One might find other locations slightly cheaper, but no-where within EU and the Schengen area is there access to an equal volume of high quality, culturally compatible, English speaking IT consultants at such close distance and such competitive rates.

Capital: Warsaw (1.7 mio. inhabitants)Size: 312.679 km2 (NL: 34.000 km2)Population: 38,1 mio.BNP per capita: 9.300 EUR (NL: 36.100 EUR)Member of the European Union since 2004Member of Schengen

ProData Consult headquarters in Warsaw

4 Nearshoring Warsaw

ProData reception area in our office in Warsaw

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Helsinki

Warsaw

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Advantages: Warsaw, Poland:• Free transfer of personal data. As part of the EU

Poland is covered by EU Directive 95/46/EC covering data security and transfer laws. As a general guideline personal data are allowed to flow freely between EU countries within the framework of the laws of the local country.

• As Poland is part of the EU and Schengen there is no need for visa or permits when travelling to or from Poland to or from Northern European countries. Work can legally be done on-site within EU without permits for shorter periods of time as long as the main work location is Polish. Should the client want to have a Polish consultant permanently re-located, this can be done effortless and with minimal effort.

• Fast, frequent and convenient transport infrastructure from the entire Nordics ensures that consultants can be on-site at the client with only days notice and client representatives can be on-site in Warsaw with same speed.

• The ease and accessibility make project integration with the nearshore resources fast and agile and knowledge transfer much easier.

• Same time zone makes it easy to exchange viewpoints, plan and coordinate throughout the workday. Management can be immediate, quick and informal and plans modified in real-time.

• Scalability: It is fast to scale project staffing up with qualified resources. The client has access to a large volume of competent and qualified IT consultants. Warsaw is the IT hub of Poland and the preferred location for the best in the industry. With the short travel time it is further possible to have a team of consultants on-site at client site working with very short notice. Ramp up time is 15 – 45 days pending on skills and requirements.

• Poland has a European cultural tradition which, especially amongst the educated population in Warsaw, is very similar to the Northern European culture. Warsaw is a modern European city. Sense of humor and general work culture is compatible with the Northern European making daily cooperation between Polish and Northern European resources easy and efficient while reducing the possibility for misunderstandings.

• The Polish technical universities have a long tradition of excellence, especially within engineering. The Polish IT educations are rated amongst the best in EU. The skill level amongst IT consultants is high and fully comparable with that of Northern European IT consultants.

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5 Nearshoring Warsaw

Benchmarking with other potential Nearshoring locations:

Poland (Warsaw)

Romania(Bucharest)

Ukraine(Kiev)

Travel time and access from/to CPH

01:20 hours (4 direct flights daily)

04:00-08:00 hours no direct flight)

02:25 hours(1 direct flight daily)

Part of EU/Schengen Yes/Yes Yes/No No/No

Population (staff pool)38 million citizens 61% in big cities

21 million citizens55% in big cities

45 million citizens68% in big cities

Cultural compatibility High High/Medium Medium

Price (standard developer)

20 – 30 EU/hour + VAT 18 – 30 EU/hour + VAT 15 – 28 EU/hour + VAT

Political environment, Fiscal stability

HighStable

HighStable

LowRather stable

Economic maturity (level of permissions, ease of money transfers, etc.)

High High Medium

Coordination meeting

6 Nearshoring Warsaw

delivery ModelWe recommend that the delivery takes place from our premises and that ProData Consult is responsible for offices, internet connection (encrypted point to point), workstations, general office infrastructure and basic line management.

We have modern offices living up to the highest standards located just 10 min. from the Fredrik Chopin airport in Warsaw.

ProData Consult is responsible for ensuring that our IT consultants fulfill all needed requirements, that the delivered consultant services are of the competence level needed and that these live up to the highest business standards.

The Client has the right to approve all on-boarded consult-ants and ProData Consult cannot replace a consultant without prior approval.

We recommend Client involvement in the on-boarding process and have processes to facilitate this making it a fast and effortless process. ProData Consult can also facilitate the entire process without Client involvement.

ProData Consult is obliged to replace consultants at no charge if the consultants do not perform or for other reasons do not live up to what the Client could reasonably expect.

All consultants working for the Client will be covered by the ProData Consult professional indemnity insurance cover-ing up to EURO 1,3 million per damage.

ProData Consult and the Client will agree upon reported KPIs (Key Performance Indicators) on which the delivery will be measured. ProData Consult will make these reports and data available for the Client.

We recommend starting up the delivery on time & mate-rial basis. At a later stage – when the nearshore team has gained domain knowledge – it is relatively effortless to change the delivery to a managed service on fixed price or as a SLA if preferred.

Coordination meeting amongst our IT-consultants and Project Manager

Warsaw

Start-up recommendation

Start-up Staff arugmentation on Time & material basis

Delivery as a managed service/Fixed price or SLA1 2 3

7 Nearshoring Warsaw

Client responsibilityThe Client is responsible for making documentation, soft-ware and source code available.

The Client has the responsibility to make available all needed software licenses incl. development licenses, and is responsible for all expenses related to these.

The Client has the responsibility to give the Polish con-sultants access to the Clients development environment (remote access) to the degree necessary to solve the needed tasks.

The Client is further obliged to cooperate with our local IT administrators about setting up a secure internet con- nection (encrypted point to point).

Contractual basisAll agreements are entered between the Client and the ProData Consult entity closest to the Client and are solely based on Danish/Dutch/German/Norwegian/Swedish laws. ProData Consult will ensure that the delivery is fully compliant with Polish laws and labor regulations.

The Client will legally only have a local interface and will have no need for Polish legal support.

We offer asymmetry in our contractual framework giving the client flexible and scalable costs and a fast exit option while ensuring project and vendor stability.

Additional servicesWe have tools, processes and services in place which can help the Client increase control of the Nearshore delivery and ensure the success of this.

When choosing ProData Consult as Vendor the Client gets access to the advanced ProData Consult online

Consultant Administration Module. The Module gives a fast and effective overview in real-time of all Polish consultants, contract lengths, hourly rates, references, departments, consultant performance (both the individual consultant performance and performance for the entire delivery), consultant purchasing workflow, CV’s can be up-loaded, cost reports can be generated for any given time period, etc. In short the Client will, as part of our delivery and included in the quoted rates, get a simple and effec-tive online tool to control the Nearshore delivery, giving the needed admin-istrative overview, control and processes.

ratesWe can generally offer consultants at rates from 35%-50% of normal Scandinavian onshore rates for Senior Consultants.

These rates include rent plus common space costs of the building, utilities and cleaning services, WAN/LAN, stand-ard furniture (workstation), office materials and equip-ment (e.g. for printing), small groceries (water, tee, coffee, cakes, fruits etc.) as well as access to ProData standard common office infrastructure such as meeting rooms, conference rooms and social space but is excluding VAT and software licenses.

We will be happy to quote specific rates based on specific skills requirements.

The weekly working hours in Poland are 40 hours. The rate is a “flat rate” and no additional charge is taken for overtime.

The Client is responsible for all expenses related to travel and accommodations (economy) if the consultants are ordered on-site to a Client location outside of Warsaw, Poland.

Office space with IT-consultants

8 Nearshoring Warsaw

CasesProData Consult Poland has a wide range of Scandinavian Clients – both some of the largest companies in the Nordics as well as medium range to smaller start-ups.

Below please find 2 Client cases. More references, reference list or direct contacts to existing Clients as well as more detailed project descriptions can be given on request:

“We have an in-house developed IT system that drives the management of the business and as we are a fast expand-ing company we need a lot of new functionalities. In this context we were going to recruit in-house IT developers, but we had difficulties finding candidates with the skills and the level of quality we needed.

I was familiar with ProData Consults near shoring concept and went to Warsaw to examine whether it was an option. I was sceptical because we had previous bad experiences with outsourcing to the East.

But I must say that I have been pleasantly surprised. The process has been professional throughout. We were presented with three candidates that completely matched our needs - and more. The consultants came to Denmark and joined us for a week, and then went back to the ProData Consult near shore centre in Warsaw, Poland, from where they work for us, and it all just works really well.

ProData Consults Polish consultants have high skills and are completely at the level of Danish consultants - if not better. They are hard-working, good at giving constructive suggestions and input and are very proactive and agile”

Mads Krog JensenIT Manager, Nordic Aviation Capital

“It is a straightforward solution with ProData Consults nearshore facility in Warsaw - especially because the consultants are self-motivated and so well qualified, that we do not have to explain everything down to the smallest detail. They are a great help and have been a good solu-tion for us, since we did not have the resources ourselves.

Our experience is that the Polish IT specialists have good working environments and there is good collaboration between the specialists in Poland and the Norwegian IT department in our end.

I am very satisfied with the service, which has now been extended with several consultants”

Karle StangelandDepartment Manager, Lyse IT

Skype-meeting with client

9 Nearshoring Warsaw

About Prodata ConsultHeadquartered in Denmark, ProData Consult has been on the market since 1994 with a very solid client and con- sultant base and is, today, one of the best known and financial consolidated vendors in its segment. The Pro-Data Consult group grossed more than EURO 56 million in 2014.

The growth and results of the company throughout the years has been honoured by a number of awards, ex ProData Consult has been awarded Best IT Consultancy Company by Computerworld/IDG five times within the last ten years.

ProData Consult is a proud member of the United Nations Global Compact, the largest CSR initiative in the world, and thus obliged to live up to the highest CSR standards within Human Rights, Labor, Environment and Anti-corruption. See www.unglobalcompact.org for further information.

ProData Consult Sp. z o.o (Poland) has existed since 2007 and the majority shareholder has since November 2011 been ProData Consult A/S, Denmark. The remain-ing shareholders are local and active key executives and board members.

On top of servicing a wide range of Nordic companies our Polish subsidiary is fully committed towards the local mar-ket and has frame agreements with some of the largest Polish companies.

ProData Consult is known for competitive prices, flexibility, fast response and delivery time, security, stability and for the highest standards in IT skills.

ProData Consult purpose: “To help clients with their IT needs by delivering uncompromising quality”

Prodata Consult SwedenMalmö

Prodata Consult

denmarkCopenhagen,

Aarhus & Aalborg

Prodata Consult NorgeOslo

Prodata Consult

NetherlandsGorinchem

Prodata Consult PolandWarsaw

Left: Administrative staffRight: ProData Consult awards

GET STArTEd WITh NEArShorINGContact us for references or book a meeting to get

best practice about nearshoring in Poland

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