Outsourcing Engagement Model

BGSInfotech follows a high-touch strategy in managing the service delivery. A strong, proven client-vendor engagement model is the foundation for a successful offshore experience. Since each client has different requirements and expectations, it is important to plan in detail from very early on and clearly define roles and responsibilities.

BGSInfotech Technologies Pvt Ltd offers multiple engagement models to meet diverse needs of global clients. You can choose from any one of the generally accepted models below or a combination of them for different phases of your project. We can work with you to customize a model to address your specific need. An appropriate engagement strategy is based on a clear understanding of customer's business drivers. Our model's core focus is on the customer's innate needs like:

  • Flexible resource Allocation and management with no up front investment
  • Handling future needs of the customer
  • Increased project profitability
  • Predictable support
  • Fast Delivery
  • High Quality
  • Low Cost

Any of these pricing models can be applied to our suite of services in custom ways for convenience and best value for money.

  • Effort based pricing or Time & Material
  • Dedicated Development Facility or Retainer
  • Build-Operate-Transfer (BOT) Model
  • Project based pricing or Fixed bid.
  • Offshore Development Center(ODC)
  • Strategic Partner Model
  • Milestone based billing

Time and material

This engagement model is particularly useful in contexts where the projects are prone to specification and design changes midstream. This model gives customer greater flexibility in terms of developing the project specification on an ongoing basis and modifying the specifications based on the changing market needs.

In this effort based pricing model, the project cost is a function of the project execution time and the corresponding resources deployed.

Fixed bid or Fixed cost

This option works for clients who are concerned about progress in remote projects, milestones-based payment schedules reinforce progress monitoring. It helps justify payment based on achievable milestone and visible progress reduces risks.

Dedicated development facility or Retainership

A Dedicated facility is an extension of the customer's own engineering/development center. Through such dedicated facilities, we offer the best skill sets, resources, and flexibility and time-to-market advantages to the customers, taking all necessary efforts to protect the Intellectual Property Rights (IPR) of the customers. All rights to the IPR developed in the Development Facility vests with the customer. The Dedicated Facility also provides a cost effective solution to customers requiring continuous offshore support. For such dedicated relationships, we also implement customer specific quality/process frameworks and teams are trained for the specific needs of a Client. The resources are paid on a retainer basis.

Build-Operate-Transfer (BOT) model

BGSInfotech Build-Operate-Transfer model enables customers to rapidly start offshore operations and later transfer the offshore development center as their own subsidiary/captive center.

BGSInfotech provides the following value proposition during each phase of the process:

Build: Setup the facility and infrastructure, staff the development center, and establish knowledge transfer. Operate: Manage the offshore organization: Program Management, Development, QA, maintenance, enhancements, and product support.

Transfer: Register a new offshore subsidiary for the customer, transfer assets, and handover operations.

The dedicated facility leverages BGSInfotech technical infrastructure, processes and execution capabilities. The dedicated facility is staffed either by existing resources or by client's resources or by resources hired specifically for engagement or a mix of them all. BGSInfotech has a well-defined mechanism for the smooth transition of the facility ie its own captive center to the client.

Clients see the following benefits by working with this model:

  • Faster Time to Market
  • Lower Establishment Costs
  • Option of owning the facility
  • Process Expertise
  • Risk Reduction
  • Flexibility

Strategic partner model

BGSInfotech approach to Strategic Outsourcing is relationship based, technology oriented, delivery focused, and knowledge centered. BGSInfotech believes strong partnership with clients is an integral part for successful project implementation. BGSInfotech offers a Strategic Partner Group (SPG) model that serves clients with an advantage of a dedicated facility for all their development and support needs using a combination of onsite and offshore resources.

Offshore development center

This is usually a long term engagement where the customer shares "market value" created by the relationship. This model involves setting up of a dedicated ODC with a shared vision. The client assures work for a dedicated number of resources for a significant amount of time. The client would define the type of work it would outsource and the skill levels that the offshore partner should provide. The client would also project the resource ramp up required every quarter, if any. BGSInfotech Ltd has a cost-effective offshore methodology, which can reduce client's development costs substantially.

The Offshore Development facility of BGSInfotech Ltd is a virtual extension of the customer's operating environment in India. BGSInfotech Ltd would provide dedicated facilities, a dedicated communication link and a dedicated Account Manager who would be responsible for managing the relationship. Both the client and BGSInfotech Ltd would also establish "service levels" and monitor these regularly. BGSInfotech Ltd has a proven track record of delivering such services to several customers worldwide using this model. It comprises of:

  • Well-defined offshore development software facilities
  • Dedicated hardware and software infrastructure
  • Dedicated high-speed communication equipment
  • Dedicated team of people for the ODC
  • Physical and network security
  • IP protection mechanisms
  • Dedicated facility

Benefits of the ODC model for the client are that it:

  • Allows access to a large and diverse pool of expertise enabling quick ramp up
  • Facilitates dedicated software teams with long term focus
  • Leverages on STPL's project management capabilities
  • Leverages on high quality software processes
  • Provides ready to use infrastructure
  • Enables knowledge retention
  • Exploits time zone advantage
  • Ensures cost effective model


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