Industrialization in application management services

Date: April 22, 2010
Pages: 17
Price:
US$ 1,495.00
Publisher: Ovum
Report type: Strategic Report
Delivery: E-mail Delivery (PDF)
ID: IF3762980DBEN
Leaflet:

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Industrialization in application management services
While the industrialization of application development is well understood and widely practiced by application development services (ADS) vendors, the reuse and repeatability of assets in application management services (AMS) are not. This report takes a systematic and comprehensive look at AMS industrialization. It examines the issues and pitfalls facing AMS vendors as they wrestle with cost takeout and other drivers of industrialization, and how they can use their AM assets to gain competitive advantage.
SUMMARY

Impact
Ovum view
Key messages

DRIVERS OF INDUSTRIALIZATION IN AMS

Cost takeout is not the only driver
Commoditization and differentiation
Conflicting drivers
Cost of industrialization in AMS

INDUSTRIALIZATION ACROSS THE AMS LIFECYCLE

A virtuous circle
More (apparent) competition

ORGANIZATIONAL MATURITY AND INDUSTRIALIZATION

Reaching AM maturity
Beyond industrialization: Optimization

ROLES AND RESPONSIBILITIES

Champion as advocate
Champion as repository manager
Champion as optimizer
Champion as transition leader

KNOWLEDGE AND SKILLS MANAGEMENT IN INDUSTRIALIZED AMS

A well developed knowledge management strategy
Handover
Near-/offshoring
Staff transfer and knowledge management
IP management

INDUSTRIALIZATION IN AMS AND SOA

Myth of industrialization of SOA
Challenges of SOA in AMS

INDUSTRIALIZATION IN THE AMS SALES CYCLE

Industrializable assets in the sales cycle
Problem of productivity-gain attribution

INDUSTRIALIZATION AND WASTE REDUCTION

Waste reduction and the Lean approach
Downsides to Lean

RECOMMENDATIONS FOR AMS VENDORS

Differentiate
Guard against knowledge/skills loss
Don’t let waste erode your productivity gains
Optimize comprehensively
Appoint and empower an industrialization champion

APPENDIX

Definitions
Methodology
Further reading
Ask the analyst

LIST OF FIGURES

Figure 1: Drivers of industrialization in application management services
Figure 2: Industrialization across the application management lifecycle
Figure 3: Application management modernization maturity model
Figure 4: Industrialization in the application management services sales cycle
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