Powerful Delivery Model

Spain based IT companies are a real alternative to pure off-shore companies
 

Let’s see some strong points from a Spain-based delivery model:

  1. Simplified governance. Same “way of doing business”. No cultural barriers.
  2. Access to pre-packaged vertical solutions, industrial knowledge and best practises
  3. Meaningful labor cost savings from the vast majority of Western European countries
  4. Simpler contingency plans and risk management
  5. No issues /surprises from exchange rate
  6. Significantly lower inflation rate than Asia-Pacific countries

    Consumer Prices Index 2001- 2011

    Source: FMI - World Economic Outlook (April 2010)

 

There are a number of ways in which Spain-based IT companies can help your organization:

Spain as an alternative to India and other pure off-shore models. The right approach for companies not mature enoug for off-shoring.
 

Step Activity Rationale Method
1 Audit Applications Take an accurate account of corporate applications and processes for moving nearshore. Assess the potential savings that moving application development or management would generate Capture application inputs and outputs, the application’s architecture, and work out how good the supporting documentation actually is
2 Document best practices Supports an effective transition and ongoing service-level agreements to underpin workflow and governance between delivery hub and onshore resources List current best practices, e.g., project specifications capability, quality of documentation, escalation procedures, and change management methodologies
3 Pilot a nearshore project to Spain Stable applications with solid documentation and that don’t face into critical business operations make good candidates to move nearshore and often generate the highest level of savings Start with a contained new development or the conversion of a legacy system. Measure the stability, programming language, platform capability, and business critically
4 Strengthen business analyst function Connecting remote resources to business stakeholders puts the business analyst function in the driving seat, ensuring effective communication between business and the remote IT service center Reorganize and retrain the business analyst function to ensure effective information flow. Train job specific skills around project management, project definition, requirements analysis and management as well as others
  • Spain as a source of complementary skills
    • Do your internal preparation
    • Make sure you have a transformation roadmap—how you will move
    • Make sure you have sufficient sourcing deal governance
    • Operational control of the nearshore service delivery model