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
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
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
