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Deja Q Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Sep-27-07 11:09 AM
Original message
Does Russia hate America?
http://www.solovatsoft.com/Successful%20Offshore%20IT%20Outsourcing.pdf

Often a strategic sourcing plan that has a global solution will be dependant on location. India has
well-established itself along with companies in South America as leading outsourcing providers.
What is unique about Russian solutions? When people think of Russia as a sourcing option, what is the
first thing that should come to their minds?
Joe Hughes, Vice President of Sales and Marketing, SolovatSoft, says
that with outsourcing programs, "It is very important for the client to realize
that this is a partnership and that both the client and the vendor must work
together to make the relationship work; it's really a two-way street."
Joe has over 25 years of executive management experience in computer
software development; he started his career as a developer and was
involved in software development projects for a number of high-tech
companies. He has managed large groups of software developers and has
been involved in outsourcing software development for a number of years.
The most important factors in maximizing ROI for an organization include written communication with local
project management (PM) support and a vendor with high levels of the needed skills/experience, plus a low
turnover rate for the development team.
Over the years, I've talked to a number of CEOs and CIOs about their major issues with generating an effective
ROI for their organizations when outsourcing. The biggest issue seems to be the ability to provide in writing exactly
what the development team will be doing. Many outsource vendors will claim that they understand the work to be
done, but when the work is completed it doesn't match what the client wanted.
At SolovatSoft, we focus on creating a design document at the start of the work that describes in great detail the
work to be done. The local PM is essential to this process as they ensure good communication during all phases of
the development process. The client provides input and must approve the completed document. At the
completion of this document, both parties know exactly what needs to be done. This upfront documentation can
increase ROI by 20 percent to 40 percent by eliminating unnecessary work or the need for additional time to
develop what the client wanted.
The other key factor is to select a development vendor with experienced and skilled developers. In many of the
most competitive outsourcing locations, the development team may have an average of only one or two years of
experience. Nothing is worse for a client than to see part of the team leave the vendor after they have gained
experience with the client's applications. Selecting a vendor like SolovatSoft, with a low 6 percent attrition rate and
an average experience level of six years for developers, can increase the ROI from 30 percent to 50 percent, or
more.
The hourly rate is not the most important factor when selecting a outsource vendor, what really matters is the
quality and the amount of work that can be done for that hourly rate.
The most unique factor about Russian outsourcing providers is the skill level consistently found within their
development teams. A quote from "Fortune" magazine says it best:
“Russian science and technology present an unusual mix of critical thinking, developmental breakthrough, and
- Delivering results that work
Offshore IT Outsourcing Consulting
Successful Offshore IT Outsourcing
Page 2
2007 SolovatSoft, Inc. 1300 S. El Camino, #310, San Mateo, CA, telephone:1-800-782-1746 www.solovatsoft.com
professional hunger born of the proximity of actual hunger. At Intel, we have an expression," says Steve Chase,
We believe good communication is the crucial factor for successful outsourcing. Our business model is
designed around making sure that we have a good channel between the client's needs and the developers.
The local PM is the first step to ensuring good communication. Having a U.S.-based PM to coordinate
President of Intel Russia. "If you have something tough, give it to the Americans. If you have something difficult,
give it to the Indians. If you have something impossible, give it to the Russians.”


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treestar Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Sep-27-07 11:12 AM
Response to Original message
1. Actually Russia is one place where Americans are employable
But then, they have to learn to speak Russian.

So many others in the world are bi-lingual, and that gives them an advantage over Americans.
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Deja Q Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Sep-27-07 11:19 AM
Response to Reply #1
2. Cool.
Thanks for the edification. :)

A global world in some ways, but many of the same people who support offshoring also support closed borders. It's a non-sequitur.
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