Tech research and advisory giant Gartner has lowered its spending forecast for IT, pulling it back to 3.7%, pegging worldwide IT spending to total of $3.8 trillion. The earlier projection was for a growth of 4.6%, but Gartner now expects all major technology sectors- computing hardware, enterprise software, IT services and telecommunications equipment and services- to slow slower spending. The reason? Well, everything from the Eurozone crisis to the slow global economic recovery to the floods in Thailand, which have adversely affected the production of hard disk drives.
But is it all gloom and doom for the IT industry? Not really. There are some areas that will continue to grow and drive IT spends.
MOBILE
As customers access products and services from smarphones and tablets, companies are trying to leverage and boost their mobile expertise. Retail behemoth Wal-Mart as well as the Financial Times have acquired app developers to move their mobile strategy forward. Other companies are likely to follow suit.
CLOUD COMPUTING
Not everyone is migrating to the cloud, but most companies are spending more on software and infrastructure devices. Some companies, like FedEx, have already re-organised their data centers for cloud-like private services.
SOCIAL NETWORKING
Several companies are burdened by shrinking budgets, and are under financial pressure. 2012 is going to be a year when companies need to take a call on social networking: is it a necessity or just another tool in their pockets? Gartner predicts that 70% of IT dominated social initiatives will backfire as companies try to strike a balance between finding a platform to get their message across to delivering real-time solutions. On the other hand, there are several B2C companies whose customers thrive on social media. B2B companies also need to recognize that their customers may be checking them out- and even discussing their products- on social networking platforms. Social media is not going away anytime soon, and companies, small and large, need to capitalize on the trend.
Whatever the analysts may say, companies are always looking to innovate and expand, and IT-backed solutions will be at the core of that process.
Sources:
http://www.informationweek.com/news/global-cio/interviews/232400087
http://www.informationweek.com/news/global-cio/interviews/232301371
The global economy is not out of the doldrums just yet. If someone predicts that IT spending will increase, another think tank will say that IT budgets will shrink. Some say global IT outsourcing companies may cut staff, while others do not think outsourcing numbers will be affected. But, what we can say with a degree of certainty is that 2012 is going to see the BYOD (bring your own device) trend continue to grow.
BYOD represents the new face of IT consumerization, where employees are increasingly bringing their own tablets and smartphones into the workplace, instead of relying on office-issued desktops and laptops. Here are some pros and cons of the BYOD trend -.
THE PROS
- Lower costs: This is the most obvious benefit. With the cost of the device, hardware, data and voice services being paid for by the employee (to a large extent), companies can save upto 80% of their infrastructure mobility costs.
- Increased mobility means productivity: With employees today being constantly on the move, it is only fair that their work devices catch up with them. Employees do not need to be strapped to their desks all day long- they can work where they want, and in a lot of cases, work more effectively, so company productivity automatically goes up!
- Employee satisfaction: There is a reason your employee bought that tablet or smartphone in the first place…they like it. They prefer it. They are more comfortable with the interface. Employees prefer it to slow office desktops.
THE CONS
- Is your company BYOD-compliant? Your employees may be ready to bring their own devices, but are your systems ready to support that? A well thought out network plan need to be put in place before you can migrate to the BYOD format of working, otherwise your IT helpdesk will be swamped with calls from confused employees.
- Security: Anything on the move is an easy target. With mobile devices like smartphones, tablets, and USB memory sticks growing at a tremendous pace, there is bound to be an increase in technology attacks. These devices are an access point into corporate networks, and any attack could potentially sabotage the entire system and expose confidential data.
Despite the disadvantages, IT consumerization and BYOD are not going away in a hurry. Are you ready for the new consumerized workforce at your business?
Sources
http://www.biztechmagazine.com/article/2012/01/byod-workplace-trend-rise
http://www.crescentsolutions.net/blog/mobile-byod-bring-your-own-device-major-it-trend-for-2012/
http://www.cio.com/article/698369/Help_Desks_Critical_to_BYOD_Efforts
It has become appallingly obvious that our technology has exceeded our humanity
Out with the old and in with the new. Every New Year businesses spend time and money to hunt down technology that no longer works, throw it away, and bring in new (and better sounding) ones that can help them become faster, quicker, cheaper, and richer. So what is the new technology that businesses will be adopting in droves in the coming years?
Forrester has the answers – the top 3 technology in the coming 3 years will be Business Intelligence, Mobile Apps, and Application platforms. Related to the adoption of these three technologies will be increased reliance on data analytics tools, creation and migration of applications to the cloud, and providing complete IT support for personal devices. And according to Gartner, here are some key technology changes you need to watch out for in an office near you:
- Microsoft will no longer have the lion’s share of client platforms as tablet shipments become 50% of total laptop shipments by 2015. Implication for IT: Multi-platform (Microsoft, Android, Apple) and multi-device (PC, Tablet, Mobile, Laptop) support.
- Marketplace of enterprise apps created for specific demands of business users. Implication for IT: increased security risks and privacy concerns as downloading and using business apps on personal devices become the norm
- Cloud computing will become a priority as enterprises migrate mission-critical business apps to the cloud. Implication for IT: Hiring or training employees with skills to manage the new apps without having to ‘rightsize’.
Hmm, whatever happened to the good old plan of just waiting out the wave (and hype) of new technologies? Nope, says business leaders as they grasp at whatever new technology that comes along. As long as it can help them reduce cost and increase productivity, all technology is welcomed into their offices, and the IT team is sent scurrying around to hire personnel and/or vendors to help implement them immediately.
At Suyati, we believe that any technology that helps generate revenue, and improves profitability, needs to be identified, understood, implemented, and managed. Whether the technology involves the enterprise (salesforce.com) or your marketing team (Ektron CMS), Suyati core expertise is in delivering technology projects, on time and budget. It’s time to ring out the old and welcome the new.
Source:
http://www.cio.com/article/692031/Gartner_the_Top_10_Strategic_Technology_Trends_for_2012
“In my house I’m the boss, my wife is just the decision maker.” - Woody Allen
Are today’s CIOs connected closely with their businesses? Are they involved in the critical business decisions that are taken? Are they a strategic partner, or do they simply execute? Have today’s CIOs evolved into being part of the core management team, or are they sitting on the fringe of the decision-making process? And how or why does it matter?
According to CIO.com’s ‘The State of the CIO’ survey, there is a big disconnect between what the business team and the CIO wants (and does). Only 22% of the 596 IT leaders polled actually believe they are part of the business, its decisions, and its strategy. As for the rest, over half of them see themselves as a technology or service provider, while one out of five CIO’s think their team is under-appreciated and under-utilized by the business.
How does this matter to the future of the CIO? The biggest area of disconnect is in how the business and the IT team approaches business-critical areas of cutting cost and handling competition. The IT team usually considers these 2 areas as low priorities while the business team believes that reducing cost (84%) and eliminating competition (78%) are a high/crucial priority.
The survey then raises the question – if the IT team is not part of these business critical decisions, how can they help steer the course of the business? How can they demonstrate their importance to the business? And most importantly, how can they increase their team’s credibility and criticality in the wake of global competition and a weak economy?
As business’ fight these twin demons of cost and competition, IT teams are busy fighting their own battles – increasing worries about security and finding the right employee to fill that IT role. As mobility, cloud, and social media become an integral part of everyday life, hiring and training the right team to help secure business assets and information can become a full time job by itself.
So what should IT leaders do in 2012? Should they focus inward and streamline technology and processes for the business, or focus outward and create and execute strategic decisions? A tough call indeed! But if your answer is both – why not seek Suyati’s help to streamline your technology processes and software development while you participate in and focus directly on the execution of your strategic business plans.
Source:
http://www.cio.com/article/696581/CIOs_Disconnected_From_Business_Execs?page=6&taxonomyId=3174
In the past 15 years, R&D companies have successfully leveraged off shoring / outsourcing models to strengthen their bottom line and enhance their top line revenue.
However, 69% of these companies report facing major limitations with traditional outsourcing models that include-
- Low operational flexibility, with little or no direct control Attracting the right talent with high attrition of employees in the captive markets
- Small and medium companies also face – high total cost of ownership, high set-up costs and less than expected ROI
In addition to these limitations, businesses are also expecting more from their outsourcing partners in areas as varied as support in product development as they enter new markets or expand their product lines, and sharing risk. They also expect their outsourcing partners to easily deliver to shorter time-lines and increase the speed and quality of communication and decision making.
To meet these expectations and overcome these challenges, the ideal outsourcing partner should offer:
- Right talent recruitment and HR management to ensure innovation, productivity and retention
- Understanding of client business and culture
- Expertise in Industry regulations for ease of operations
- Well established infrastructure, technological resources, processes
- A risk-revenue sharing model
With Suyati Technologies’ Dedicated Global Team (DGT) you get a dedicated team at lower costs, with improved revenue streams and greater innovation. Leverage Suyati’s DGT flexibly and even make the team your own, via a B-O-T or JV option. Align with and enter India, China and Asia Pacific markets through product customization and positioning. Enter markets faster with nimbler product teams created specifically for the occasion.
The list of things you can do with our flexible team can go on…..…
Read our case studies, or even better, call us to understand how our clients gain more than just another outsourcing team when they choose DGT.
Sources:
Each year has been so robust with problems and successes and learning experiences and human experiences that a year is a lifetime at Apple. So this has been ten lifetimes. – Steve Jobs
At Suyati, our third year of operations has been memorable. We no longer hide behind the “start-up” tag, nor do we have to market too much to attract top talent. As we end another calendar year of successful and profitable operations, it was nevertheless filled with problems, learning experiences, and struggles to last us a lifetime!
So what did we learn about providing IT outsourcing services in 2011? The list is amazingly small….
- Flexibility is the single most important aspect that clients look for in an IT outsourcing provider. (Risk management comes a close second though.)
- Nothing – absolutely nothing – beats hiring the right person in the first place even if it costs more or takes more time. Clients expect that from their outsourcing partner.
- It is easy to provide expertise to clients, but incredibly difficult to provide passion and energy. We have been blessed to have a great team who love working for our clients
- Work harder. Work smarter. Work 24×7. Work efficiently. Work is worship. At Suyati, we have heard (and done) it all. But no matter what, keep working. Clients will notice the difference.
As we ring in the New Year, we pray for an even more successful year of operations with a larger and vibrant team of top-notch professionals who love to come to work at Suyati. Yes, we are in store for a lifetime of an experience in 2012.
Wishing you the same,
The Team at Suyati
(We give you 5 cool reasons to do so!)
“An IT outsourcing vendor by any other name would smell as sweet.” – With sincere apologies to Shakespeare
You have pored through dozens of sales proposals and sat through countless slides of PowerPoint presentations from IT outsourcing vendors. Your business has been analyzed and dissected by vendors who promise X% reduction in cost with a X+infinity% increase in profit. For God’s sake, you have even attended multiple follow-up phone calls from vendors and dutifully promised to “get back to them” in the next quarter!
If you are bored to death by this entire exercise and think every vendor out there is just as bad, how do you propose to actually sign on a good outsourcing vendor who can help you with your business goals and objectives? If all IT outsourcing vendors are alike in promising high and delivering low, why would you consider Suyati’s DGT as your next IT outsourcing partner?
We present 5 cool reasons why you should choose the Dedicated Global Team from Suyati –
- Our Powerpoint presentation is only 15 slides long. Truth! (http://www.suyati.com/source/suyati_leverageuniqueopps.pdf)
- We work on a Cost Plus model of pricing, which means you know what our costs and our profit margins are.
- Our projects are delivered on time simply because your project managers manage the DGT.
- The DGT works only on your project. Read that again – only on your project.
- Finally, the real reason you should choose DGT to be your dedicated outsourcing partner? We have a cool name.
There you have it – 5 really cool reasons to pick us.
Source:
There are CIOs who swear that words like on-time and under-budget should not be used in the same sentence along with IT project delivery. Embittered and cynical about outrageous promises of delivery from IT vendors, CIOs are understandably lukewarm when asked about their team’s (and their vendor’s) ability to deliver projects successfully.
However, there are basic success factors associated with every IT project. And when it comes from the Government Accountability Office (GAO), we need to take note, especially since it has worked for government agencies and public corporations! So what factors can guarantee the success of an IT project? The GAO mentions 9 common elements:
- Active engagement and integration of program officials and stakeholders with the vendor team
- Program staff has the knowledge and the expertise
- Support for the project from senior officials
- End-users involved in development of requirements
- End-users also participate in user acceptance testing
- Stable team throughout the duration of the project/program
- Requirements prioritized for the vendor
- Clear communication at all times between the stakeholders and the vendor’s team
- Sufficient funding!
The factors listed above can be found in any Project Management 101 handbook and at first glance sound easy to do. Not really! IT projects fail repeatedly for these very simple reasons. Which is why when we created the Dedicated Global Team (DGT) model for outsourcing, we took great pains to incorporate every facet of project management that will lead to success.
How? When you sign on Suyati’s DGT for your IT projects, a project team is created from scratch based on the project’s precise needs, and staffed with the right knowledge and expertise. In fact, our HR team works closely with the client’s team through multiple rounds of interviews to select the best fit for the position. (Yes, no member of our team is “warming the bench up”!) Once the new hires are taken on, the client’s IT team works directly, one-on-one, with our team to create precise requirements, prioritize them, and lay down deadlines. The planning and communication does not stop there – we have daily and weekly meetings between the teams on both ends to ensure we are on track to successfully complete the project on-time and under-budget.
Sounds too good to be true? Our Spanish client thinks otherwise..
Sources:
http://www.cio.com/article/694846/9_Best_Practices_for_Successful_IT_Projects
http://the-outsourcing.com/subpage.php?pn=features&aid=274&page=1
In this overheated outsourcing market, choosing the right partner to outsource your product development is extremely risky. With every outsourcing company promising you the best and the brightest, how do you ensure that you select, and retain, the best team for your needs? Use this checklist to choose an outsourcing partner for the long haul, and who can offer the flexibility and transparency you need.
- Ensure quality and standards are real: Many vendors can claim things about their processes and certifications which may not be real. Perform a thorough check on the organization, and its credentials.
- Audit the resource who will be working for you: The talent fit between the job and the resource is crucial to getting your job done on time. Say yes only after you evaluate each and every resource.
- Evaluate HR capabilities to recruit: Since the vendor’s HR team recruits the resource for you, it would be a good idea to find out how well they understand your needs.
- Evaluate the technical capability: Understand the vertical capability and expertise your vendors have despite whatever success stories they claim
- Pay based on quality: You get what you pay for. Understand that cost arbitrage is not a criterion for selecting a vendor. However, you need to be aware of the vendor’s cost structure and identify areas that can be negotiated to your advantage
There are your regular outsourcing models, and then there is Suyati’s Dedicated global Team (DGT) model. From presenting a transparent cost model and creating a team based on your precise requirements, to executing your projects on-time and within budget, the DGT is built from scratch for you. Find out how our Spanish client used DGT to create a top-notch R&D team from scratch.
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What is the first thing companies SHOULD PAY ATTENTION to when they are about to sign a contract with an IT partner? Look for ways to exit! While it is not always easy to think of exit clauses when you say “I Do!” that is exactly what you need to do when you are going into a long-term, multiple-project contract with your IT partner.
Granted that business relationships should start with a deep level of commitment, it still makes sense to understand the costs and risks involved if you want to get out of the contract. Some businesses make the mistake of signing up with multiple IT outsourcing companies to increase their flexibility, and to get a better deal on pricing.
According to Bob Mathers, Principal Consultant, Compass Management Consulting, complications exist and are no different than if you were getting out of a single vendor’s contract. They include resolving contractual issues, knowledge transfer costs, software licensing fees, re-training and start-up costs for the new deal, and the expense of internal resources needed to manage the change. Imagine the cost involved when exiting multiple vendors?
While varied reasons exist for exiting from an outsourcing contract – pricing, change in technology, management, market requirements, and competition – the most important one is the loss of flexibility. Flexibility does not just mean ramping up or down the team’s size, or changing the technology mix for IT projects. For today’s business organization flexibility is a mind-set that indicates the willingness of the partner to change direction, process, and/or people based on quickly changing market or business needs.
At Suyati, our Dedicated Global Team is created specifically for you. The team size, experience and skill profile is defined and the team is built for you. For example, we have built and deployed teams of various configurations – a 15+ member .Net team, a 3 member team for Python/Django OpenSource development, a 3 member team for Android development, etc. If the team reaches a critical mass, we can also convert your DGT into a captive product development center, or create a joint venture between both the teams, or simply continue to use the DGT to scale up or down – the exit possibilities are endless. So is our ability to be flexible.