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Moving Up the Value Chain: Transitioning From a Cost Center to a Profit Center R Ramkumar
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2 4 generations of offshore outsourcing Complexity Impact 3 rd Generation Onsite/Offshore High-Complexity Systems Low Business Impact 4 th Generation Partnership Seamless Integration High-Complexity Systems High Business Impact 1 st Generation Onsite Staff Augmentation Low Complexity Systems Low Business Impact 2 nd Generation Offshore Production Low-Complexity Systems High Business Impact
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3 Parallels in technical communication Impact Complexity 3 rd Generation Onsite/Offshore High-Complexity Systems Low Business Impact 4 th Generation Partnership Seamless Integration High-Complexity Systems High Business Impact 1 st Generation Onsite Staff Augmentation Low Complexity Systems Low Business Impact 2 nd Generation Offshore Production Low-Complexity Systems High Business Impact Staffing Resource Augmentation at Customer Locations Offshore Production Extensional Documentation [Legacy-to-Web] Exploratory Documentation [System Documentation] Onsite/Offshore Synergistic Documentation [Developmental Documentation] Partnership Extending Traditional Domains of Documentation Usability Engineering, e- learning, Content Management
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4 Potential bottlenecks To what extent do these guys know the subject? Do they really know what we are doing? If these guys botch up, would I not botch up the relationship and lose a $20 million customer for a 200K or 500K business opportunity? Would we want to see ourselves as a documentation, e-learning, content studio or a design kitchen as opposed to be seen as a high-end business- technology consulting shop? How do I sell and to whom do I sell? CIO, Project Manager, Training Manager, Quality Manager? Credibility Issue Inhibitors Efficacy Issue Marketing Issue Branding Issue
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5 How did we go about it (sales and marketing) Identified potential accounts where our solutions could be sold (product oriented customers, developmental work, slouching accounts with target run-rate mismatch, steady accounts where the impact would be minimal even if we botch up) Got good marketing collateral and did a global roadshow Embedded sleek flash-based presentations that could be installed as dynamic screen savers on the desktops of folks Struck alliances and partnerships with leading e-learning and content management shops Included this component as a part of all proposals
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6 How did we go about it (people and processes) Identified a heterogeneous team, picked up experts from across worthy organizations Made the documentation process mandatory for run-off-the- mill projects: played the consulting partner role Built our own dedicated technical team; resourcing from the common pool had issues of dedicated support and availability: ran like a dedicated company Sustained capabilities in products (Vignette, Interwoven, Documentum, etc.), platforms (LMS and LCMS such as Docent, Saba, Centra, Placeware, Evolution, and Web city) standards and processes (AICC, SCORM, ADA)
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7 Benefits Corporate Good revenue streams, higher gross margins and net income; tapped under-penetrated or subcontracted segments of business Brought in newer customers to Cognizant, of which about 4 are Fortune 500 for whom we are doing a good amount of business- technology consulting, high-end technology consulting, application development and application management work Provided end-to-end solutions to customers with adequate innovation (hard-copy documentation transitioned into interactive tutorials or e- learning material) Gained very high visibility for work products resulting in high customer satisfaction scores
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8 Benefits Individual Seen as more than mainstream and not support Participation in all organizational strategies and a part of the senior management Working on bleeding-edge areas Good onsite opportunities: Realization of onsite opportunities in anywhere between 6 and 12 months of joining. Folks who have been with us for more than two years have been onsite on at least three occasions Higher compensation and benefits Improved pride and commitment
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Thank You www.cognizant.com ramkumar@cognizant.com
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