Strategic Outsourcing

Client:

Large Software and Professional Services company

The Challenge:

Our Client saw a major market opportunity to provide their software to one of the largest technology companies in the world.  This required them to significantly increase the capacity of their IT Engineering and Support staff.  The outsourcing requirement included a four-tier customer support tree, increased software maintenance support and additional resources to manage customizations and system enhancements. Our Client’s staff was struggling just to keep up with the internal demand on existing operations and needed to find an offshore third-party business partner and could also be trusted with the client’s source code.  Once the final vendor was selected, an advantageous contract was negotiated that addressed all multinational legal requirements.

The Solution:

HBSC Strategic Services provided expertise in Vendor Identification, Procurement Evaluation and IT Strategy to assist the client in executing this initiative.  Our engagement team executed the following tasks:

  1. Select outsourcing model to engage potential offshore partners
  2. Evaluate qualified vendors qualitatively and quantitatively based on specific evaluation criteria
  3. Determine what functions to outsource and established expected service level agreements
  4. Develop a contractual framework
  5. Establish a relationship structure between the client, customer and third-party service provider
  6. Defined knowledge transfer and staff retention goals
  7. Create an intellectual property hierarchy

The Benefits:

HBSC leveraged the our Strategic Outsourcing Methodology to evaluate and select the right business partner and contracting model.  This process included “talking points” for employees and the news media, a defined project schedule, architecture and a plan to achieve immediate and future scalability requirements. Other considerations addressed standards and regulation compliance, cost savings, operational efficiencies and organizational transition planning.  Several specific benefits realized by the client were:

  • Accelerated Growth – Client was able to manage rapid growth while maintaining operational capabilities.
  • Increased Operational Scalability – Greatly enhanced 24-hour customer services capability.
  • Cost Advantage – Significant cost savings from off-shoring elements of the technical support.
  • Improved IT Development – Product development became more efficient and service capability was improved.
  • Improved Customer Services – Shorter customer response time and improved issue resolution turn-around time.

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