Second Generation Offshore Software Outsourcing ... - Harvey Nash

Second Generation Offshore Software Outsourcing - From Uncertainty to SecurityDUE DILIGENCE PHASEPurposeSeparate from the due diligence you need to undertake to gainassurances about our services, people and performance, our duediligence process precisely establishes the Current Mode ofOperation (CMO) for services that may be outsourced to us..ActivitiesThe heart of our process is a systematic, qualitative andquantitative audit that allows us to produce an authoritative“inventory” of the scope, status and performance of yourCMO. The audit is comprehensive and covers currentarrangements for:• Services outsourced.• Demand management, e.g. project justification, configurationcontrol and fault reporting.• Portfolio management, e.g. business activity.• Modeling, prioritization of requirements and change control.• Program and project management, e.g. use of PRINCE2,PMBOK or Scrum.• Documentation management, e.g. systems, code, procedures,contracts and policies.• Resource management, e.g. staff development, utilizationand profiles.• Financial management, e.g. accounting, regulatorycompliance and budgeting data about the costs of projects.• Asset management, e.g. software licensing and infrastructuree.g. language, database, OS and hardware platform(s).• Development and design processes, e.g. SDLC, architecture,database and system.• Performance monitoring, e.g. transaction and data volumetric,Service Level Agreements (SLAs), Critical Success Factors(CSFs) and Key Performance Indicators (KPIs).• Client SWOT (strengths, weaknesses, opportunities andthreats) analysis of services and systems.The other key tasks in due diligence are a joint risk assessmentto identify, mitigate and manage areas of high risk, and theproduction of a draft Desired Mode of Operation (DMO) Report,which begins to define the improvements to be achieved, newSLAs, etc.Deliverables• Statement of Work - the scope, pricing, delivery andmanagement of all included services.• CMO Report - the audit results baseline to be includedin the contract.• Draft DMO Report - our first cut assessment of obviousimprovements including SLAs.• Proposal including sizing and costing of the transitionand ongoing support projects.• Draft Project & Quality Plan for the transition project.Harvey Nash Insight | P7