Using Outsourcing Partner’s Competence to Succeed During the Downturn 3 November 2009 Kaatsheuvel, The Netherlands Ulad Radkevitch, PhD VP marketing, sales and business development

PRESENTATION PLAN: Company Overview ABOUT US REASONS TO OUTSOURCE S AND THE CRISIS WAYS TO CREATE VALUE TOGETHER

Quick Facts Founded in 1989, over 250 employees 200+ successfully completed large and small outsourcing projects Experienced in software projects of 100+ man-years IBM, Tieto, Baxter Healthcare, Cambridge Soft among customers Selected as an IBM Core supplier for technical services for 2009 ISO 9001:2000 certified, CMMI3 pre-assessed

ScienceSoft’s Identity A European IT company offering high quality cost-effective software development outsourcing services as well as focused expertise in several technology niches. WHO WE ARE: WHAT WE DO: Software application development outsourcing Microsoft technology consulting Wireless/Mobile application development Database and application migration Manual and automated software testing

Specialized Services Microsoft technology consulting: BizTalk SharePoint.Net Mobile software development: Development Testing Consulting All major platforms covered Software migration: Unique tools Database Migration Application Migration BL Conversion Testing services: Functional testing Performance testing Security testing Test automation Consulting

What is Outsourcing Partnership? Partnership (a definition) - a cooperative relationship between people or groups who agree to share responsibility for achieving some specific goal; "effective language learning is a partnership between school, teacher and student"; "the action teams worked in partnership with the government"

Traditional Reasons for (Offshore) Outsourcing Reduce and control costs Overcome resource pool limitations Increase flexibility (very important both in the downturn and recovery) Avoid distraction and focus on your core competence Bandwagon effect

Impact of the Downturn on the customers Budgets are cut, offshore/ nearshore teams get reduced Projects put on hold, decisions delayed Some get bust/ acquired So, how can you use your outsourcing partner to survive/ succeed in these circumstances?

Some Ideas and Experience Create an integrated value chain with your partner Use your partner’s resources to improve time to market Use partner’s competence to expand your offering at your home market Join resources with your partner to achieve common goals

Create an Integrated Value Chain Use creativity/ competence of your partner Do things together, not just outsource Ideas should flow in both directions Create the sense of involvement Turn your partner into an R&D center Case study: A Dutch marketing agency

Improve Time to Market Several things your partner can do for you in terms of product development: 1)Come up fast with estimations 2)Make pre-studies, develop proof of concept, prototypes 3)Expend your project team fast with internally available resources 4)Hire when you do not want to hire Case study: German subsidiary of a major US media/ entertainment company

Use your Partner’s Competence to Expand your Offerings Know your partner: explore your partner’s skills and competencies Look for synergy Turn yourself into your partner’s onsite front end/ sales channel Case study: Finnish SaaS start-up

Join Resources to Achieve Common Goals Do you have common goals? Define them! Define mid-term and long term strategy Set targets and milestones Set up a join budget Case study: Dutch IT consultancy based in Kaatsheuvel

Q&A SCIENCESOFT, INC. 4th Floor, 2 Bedy Str., Minsk, Belarus Phone: USA phone: USA Fax: Web: