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LITN 2006 Spring Conference

LITN 2006 Spring Conference. Partnering with Vendors. Brian Tennant, CIO. Paul Shain, CEO. Agenda. Speaker introductions Current IT landscape Keys to Successful Vendor Partnering Value in partnering How to leverage a partner How to ensure project success Project economics Q&A. Berbee

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LITN 2006 Spring Conference

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  1. LITN 2006 Spring Conference Partnering with Vendors Brian Tennant, CIO Paul Shain, CEO

  2. Agenda • Speaker introductions • Current IT landscape • Keys to Successful Vendor Partnering • Value in partnering • How to leverage a partner • How to ensure project success • Project economics • Q&A

  3. Berbee Founded in 1993 Provides IT solutions 11 Offices in 6 states 725 staff members $315 mm in revenue Bethesda Founded in 1904 Provides Christ-centered support services for developmentally disabled Operations in 12 states 1,750 employees Introductions

  4. Challenges in IT • IT is pervasive. • Expectations for a higher level of return on IT investments. • Metrics are becoming “ business-based”. • Tightening labor markets • IT vendor strategy more important than ever • The business potential has never been greater.

  5. Maximizing Business Value

  6. Enabling IT Strategy Business Systems Today’s IT Desired IT $ Increases Value Creation 30% New Capability 45% New Capability $ $ 70% Sustaining & Running 55% Existing Capability Decreases Maintenance & Delivery Shift Investments For Agile Business Effectiveness Source: Cuna Mutual Group

  7. Gartner Outsourcing Study • Gartner predicts the number of IT professionals will shrink 15% by 2010 • Implications: • IT staff will migrate to the business units • IT decisions will be made in the business units • Business units embrace outsourcing easier than IT organizations • Transformation to 1 of 2 models • Create and manage assets of business processes and relationships; or • Sourcing and execution of IT services • Support/DR stay with IT!

  8. Keys for Successful Vendor Partnering

  9. Vendor View Long-term relationship Trusted advisor Roadmap for IT projects Consistent revenue flow Fair price Balanced cost of sales Client environment knowledge investment Client View Unique project requirement Extension of core team Knowledge transfer Risk mitigation Time to market Access to unique skills #1: Value in Partnering

  10. Vendor View OEM relationship Past experience Project leadership Clear roles/responsibilities Client View Pre-sales Break-fix Training Process (ITIL) #2: How to leverage a partner?

  11. Vendor View Time and Materials Services vs. hardware Tight SOW Executive buy-in Project management Dedicated client team Client View Fixed Price RFP good or bad? Purchasing manager Internal project management Change management Vendor/client team #3: Project Economics

  12. Vendor View Clear client expectations Project control Executive buy-in Client time commitment Clear project close-out Client View Training Documentation Stable environment Clean hand-off Post-sales support #4: Project Success

  13. Q&A

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