IKT Norge –

Erfaringsseminar om global sourcing

“Playing the outsourcing market”

André Hellum

Vice President, Head of Global IT Operations

May 6th 2010

Doc. ID: GL_COR_101 Valid from: 2008-01-01 Revision: 01 Approved by: GET Prepared by: CF&S

Agenda

WWL- “The Movie”

Can everything be outsourced ?

Waves of experience

Getting the delivery right..

From micro management……to services management

Outsourcing SWOT

2November 5th, 2010

BPO partners

Data Management

•Maintenance

•Extraction

•Cleansing

Documentation

•Processes

Can everything be outsourced ?

GSD, Bangalore

Help-Desk

MonitoringData Centre Maintenance

INTEGRATION SUPPORT Chennai

IT-Supply organization

Outsourcing partners

IT-OPS

IT-OperationsDay to day supervision

Security

Platform supervision

DRS planning

IT-Technical SolutionsProject portfolio management

Release management

Technical design & Architecture

Sourcing management

IT-APS

Business AppsDevelopment management

Project management

Enhancements

Maintenance

Shared ServicesDevelopment management

Project management

Enhancements

Maintenance

Sourcing management

GSDHelp-Desk

Monitoring

Data Centre Management

DATA CENTRE FMS•Data Centre Facilities

•DRS

APPS TEAM, ChennaiApplication Maintenance

Application Development

INTEGRATION SUPPORT

Monitoring & Incident Management

Development

3

BPO

Business Organization

Ocean

Inland

SCM

Corporate functions

Sourcing management

November 5th, 2010 4

• Outsourcing starts

• Resource management

• One supplier

2004

• First wave

• Long stabilization

• High maintenance

• Full synergy realization slow

Experience• Service Orientation

• SLA & KPI

• Process driven

2007

• Too many KPI

• Increase in cost

• Quality issues/ attrition

• Incentives

Experience• Playing the market

• Strategic shift

• Shared services

• Multiple suppliers

• SLA & KPI’s

2009

Outsourcing in three waves

Getting the delivery right – always

Standardized vendor managementprocess for all sourcing partners

Monthly reporting as part of MMR

5November 5th, 2010

November 5th, 2010 6

A simple, but intense dashboard…..

From micro management of sourcing suppliers….

Business

Technology

Business projects

• Requirements

• Architecture

• Deliverables

• Project management

Business operations

• SLA

• KPIs

• Capacity management

Business development

• Functionality

• Solutions

• Cost

Technology &

Architecture

• Platforms

• Infrastructure

• DBA

• WAN/LAN

• Security

Business

requirements

• Governance

• SLA/KPIs

• Contracts

Development &

BPO

• Applications

development

• Applications

• Maintenance

• BPO

WWL IT Demand side

APPS

RM

PM

Sourcing

Business Demand

Management

Technology

Services

Technology Supply

Management

November 5th, 2010 7

……to Services Management

Outsourcing SWOT – from my point of view….

Thank you