Download creating solutions for a complex world

Going Global: creating successful
IT outsourcing partnerships
FINmedia presents:
e-Business Romania
Conference
World Trade Center
Bucharest, Romania
26 March 2002
Presentation by:
Joni Roberts, President
kaleidotek
… creating solutions for a complex world
kaleido + tek
Greek root for “beautiful shape” + “technology”
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Specialists in IT outsourcing and international
staffing
Outsourcing value proposition:
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Starting with the client’s IT/software development
needs
kaleidotek creates customized outsourcing centers
Selecting IT specialists from our diverse portfolio
several hundred experts
And ensuring that the client’s quality and cost
reduction objectives are met
kaleidotek
… creating solutions for a complex world
Why IT outsourcing at an
e-business conference?
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Teams of IT specialists in multiple
international locations, usually involved in
software application development
Bulk of communications and product delivery
is done over the Internet
kaleidotek
… creating solutions for a complex world
Benefits of Successful Outsourcing
Partnerships
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Reduce IT costs
Client improves
company focus &
frees up internal
resources
Risks are shared
between companies
kaleidotek
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Diverse teams lead
to more creative
solutions
Shorter product
development cycles
& quicker time to
market
… creating solutions for a complex world
Baseline Parameters for Successful
Outsourcing Partnerships
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Success is dependent on flexible, clearly
understood & mutually beneficial service level
agreements
Both companies must have shared goals & be
fully committed to the success of the partnership
Both locations must enlist project managers to
monitor & coordinate the development process
kaleidotek
… creating solutions for a complex world
Challenges facing
Outsourcing Partnerships
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Selling & preparing contracts for outsourcing services is
just the beginning.
The real challenge is making it work and making it last.
The plus about IT field is that there are usually more
similarities than differences between companies
However, if not understood, the differences can become
the triggers for dissatisfaction
Solution is to have recognition of the potential problems &
strategies to overcome them
kaleidotek
… creating solutions for a complex world
Company Culture
Country Culture
COMMON GROUND
Individual Culture
-IT cultures are similar;
technology & programming
languages are universal
CHALLENGES
Incongruent
Goals
kaleidotek
-Mutual desire to develop quality
products & achieve project goals
CHALLENGES
-Mutual desire to develop a
successful relationship between
companies
Communication
Distance Between
Locations
Styles
… creating solutions for a complex world
“I buy in my culture, I sell in yours”
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Differences in a person’s
values, beliefs &
assumptions show up in
behavior
Understanding of the
country, company &
individual cultures of both
organizations is necessary
for success
Cross cultural relationships
require “out of your cultural
box” thinking!
kaleidotek
= behavior
+ values
+ beliefs
+ assumptions
… creating solutions for a complex world
Communication Styles
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Assume “good intentions” in communications & behavior
even though the approach taken may be unlike your own
Indirect (high context) vs. direct (low context)
communication styles
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Direct communicators, like Americans need to be aware of
underlying meanings of indirect communicators, like
Romanians. And Romanians need to adjust to the direct
management & communication style of Americans.
In hierarchical societies, which most developing countries
are, giving staff deliverables reduces concern about
offending management & increases the willingness of
employees to take action & communicate ideas.
kaleidotek
… creating solutions for a complex world
Distance between Locations
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Close the gap with regular communications
using video conferencing, e-mail, telephone,
and on-site visits from both parties
Build trust by regularly reporting the status of
project
Create a team spirit by gaining the
participation of all members & providing
incentives based on the achievement of
objectives
kaleidotek
… creating solutions for a complex world
Incongruent Goals
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Potential Conflict:
Over time, the
client’s objective is
to continue to
reduce costs while
the outsourcer is
interested in
demonstrating
growth.
kaleidotek
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Solution:
Create “win-win”
service level
agreements that are
mutually beneficial
in the beginning and
as the relationship
evolves
… creating solutions for a complex world
When done well, outsourcing
can be highly effective.
The goal is not to think alike
but to think together.
kaleidotek
… creating solutions for a complex world
Thank you for your attention!
For more information contact:
Joni Roberts, President
Blvd. Unirii 55, Bl E4a, Fl. 5, Apt. 9
Sector 3, Bucharest
+401.323.5071
kaleidotek
www.kaleidotek.com
… creating solutions for a complex world