Offering regional and national programs, CIO (and CSO) events bring together some of the most respected names and thought leaders in information technology and security. Presented by CIOs and other senior level executives, these invitation-only programs offer timely topics and strong networking. Learn More »
Public Council Teleconference: Application Rationalization — Hidden Costs and Smart Decisions
November 17 at 11:00 am US/Eastern (GMT-5)
Join Honorio Padrón, of The Hackett Group, who will share the drivers for companies to tackle application rationalization and the results of research that define the hidden cost of complexity. Additionally, we will discuss key decision milestones—to start or not, holding the course steady and fulfilling expectations.
Virtual Desktop Cost-Benefit Analysis — Michael Jacobs, Catlin Group
The analysis contained in this presentation measures the cost of everything from the machines and licenses to the infrastructure for virtual vs. traditional desktop environments.
Honor your best senior team members - Apply for the CIO Ones to Watch Award
Get well-earned public recognition for your top up-and-coming team members, your IT organization and your enterprise. Award winners will be announced, publicized and feted in May 2010, great timing to help attract new IT recruits to your company.
Learn more about the CIO Executive Council »June 01, 2003 — CIO —
United Technologies and its subsidiaries have worked out a successful strategy for sending IT work to India (read “Inside Outsourcing in India”), but there is definitely more than one way to skin that cat. There are probably more like 50. For another angle on offshore outsourcing management, we talked to IT executives at The Guardian Life Insurance Company of America, a $7.2 billion company.
When Guardian Executive Vice President and CIO Dennis Callahan began outsourcing to India two years ago, his goals were similar to those of UTC’s CIO John Doucette: Replace high-priced local consultants, increase quality, expand the resource pool and retain control through vendor aggregation. And he had just as much experience in India as the folks at UTC did.
But rather than begin in the piecemeal project-by-project fashion that UTC chose, Callahan dove right in, setting up a dedicated development center of more than 100 people at Mumbai-based Patni Computer Systems. Marty McCaffrey, executive director of Software Outsourcing Research, says, “Usually it’s better to negotiate the first project and then get a master agreement in place that allows some flexibility. But today some companies are comfortable with setting up a dedicated center right off the bat.”
Guardian mitigated some of the risk of committing to a vendor by beginning with a pilot project—developing a new variable annuity product—and scaling up from there. The company also decided it was best to split up the work among several large outsourcers and vendors. Again, Guardian diverged from UTC’s tactics (an automated analysis and bidding process) and took a more personal approach. Callahan joined the U.S.-India Business Council, asked peers for advice and went on fact finding missions. Then, supported by Guardian’s IT vendor management office, he and his team narrowed a field of 23 providers down to two, initially selecting Covansys, a Farmington Hills, Mich.-based company specializing in Indian outsourcing, and Patni. Later the insurer added New Delhi-based NIIT, which has multiple locations outside of India, to give itself more global options when tensions flared in Kashmir.
Guardian selected its vendors based on company size, price, Capability Maturity Model level, quality of metrics, complementary business model and collaborative approach. Guardian was looking for companies with experience in the insurance industry and with the enterprise systems it uses. Also key to Callahan was a strong U.S. presence. “I want some of those offshore people working onsite to already be based in the U.S. and not to have to travel back and forth to India,” says Callahan. “I like the notion of strong local management that I can look in the eye