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Srikanth Srinivasan Outcome-Based Services

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Srikanth Srinivasan

Outcome-Based Services

1

Thirdware Overview

1200+Employees

20 Years Of

Excellence

Our Infrastructure

Partners

2 Delivery Centers6 Global Locations

20% owned by Ford Technology

300+Customers

85% Automotive

Project Executed in

40+ CountriesGeo Partners

NEO, BrazilSIT, MexicoCarutris, FranceKontextE, Germany

2

Our Journey

1995 - 2000ERPImplementationsLargeMNCsandIndianConglomeratesManufacturing(Automotive)FocusIndia/APACFocus

2001 - 2005ExpandTechnology(MultipleERPs,EPM/BI,Java,.Net)FordStrategicInvestment(20%Stake)StrategicClientFocus- Ford,PfizerDeliveryExpansion- ChennaiDeliveryOperations

2006 - 2010USExpansion- MidWest/EastCoastFocusOracleandSAPPartnershipsTechnologyExpansioninStrategicAccountsBI/Analytics- Impetus

2011 - 2015ServicestoSolutionsFocusExSights– ProductStart-upInitiatedBI&Analytics- ExpandBeyondEPMISO–9K,20K&27KCertifications–Ford&PfizerODC

2016-2020Outcome BasedServicesDeliveryModelServicesAutomationandInnovationDigitalandProducts/SolutionsFocus

ERP Wave

Technology Expansion & Strategic Client Focus

US Geography Expansion& BI/Analytics Focus

Services toSolutions

Services Automation

& Digital

Technology:Enterprise Apps.

Vertical:Manufacturing-Auto

Geography:USA

3

The Digital Imperative

4

Are you prepared?

The Challenge ahead

How many specialists you need ? EDI, QXTend, EE Financials …

Still trying to catchup ticket volume after last major change?

Database Down, Performance Issue – reacting ?

5

What it will take

Meeting the Challenge

Service Model that focus on deliverable not effort taken to

deliver

1Deliver then get

paid

2Team staffed to

meet the delivery targets

3Prevention is better than cure. Business Disruption means Services Payment

Disruption

4Enable Business Self-

Service

5

Support Service focused on ”What” to deliver (Outcome) than “How” to deliver (Effort)

Outcome-Based Services

6

Pay for value deliveredClearly Defined Delivery Outcomes

Penalty when missed outcome

Incentive when exceed outcome

7

Outcome-Based services applicable

Outcome-Based Services

ApplicationImplementation Services

Implementation Core Model Building

Business Process Re-EngineeringRollouts

Upgrades & migrations

ApplicationManagement Services

L1 & L2 application support

Integration support

Break fix support

Operational support

ApplicationDevelopment Services

Enhancements

Custom application build

Version upgrades

ApplicationOperations ServicesEnvironnent administration

Data center migrations

Technical upgrades

Infrastructure architecture

Application Implementation Services

Define

Measure Outcome

Design

Measure Outcome

Build

Measure Outcome

Deploy

Measure Outcome

Define Outcome

Transition to Support

8

Indicative Outcomes

Business Outcome : Reduce Quote Lead Time from 3 Weeks to 3 Days

Transaction Outcome : Month-end close in 16 Hours

Delivery Outcome : No Shipment Delays during first month of launch

Application Management Services

Knowledge Transition

Transitional Support

Steady State Support

Identify Outcome

9

Define Outcome

Measure Outcome

Re-evaluate Outcomes/KPI

Year-end Review

Indicative Outcomes

Incident Resolution %

Incident Aging

SLA Adherence Target

Call Volume Reduction

Productivity Improvement (Incident Closure Rate)

Application Development Services

10

Requirements & Estimation

Build & Deploy

Warranty Support

Measure KPIs

Select Outcome

Transition to Support

Measure KPIs

Indicative Outcomes

Schedule Adherence

Defect Ratio

Application Operation Services

Knowledge Transition

Transitional Support

Steady State Support

Define Outcome

11

Define KPI's

Refine KPI's

Re-evaluate Outcomes/KPI

Year-end Review

Indicative Outcomes

System Uptime Availability

Application Performance

Batch Success Rate

12

Outcome-Based Services Value Proposition

Customer pays only for measurable results of

defined services

Value Based Approach

Vendor assumes complete ownership and accountability

Ownership and Accountability

Efficient processes, robust methodology and highly refined monitoring toolset needed to deliver

outcome

Best Practices

Reductions in service incidents translate create significant cost reductions for customers

Cost Reduction

Leverage superior delivery and risk

management

Reduce Risk

THANK YOU