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DHL Worldwide Express and ApplianceWare: Challenges of Global Systems Development. Chapter 12 Case 2. Global Companies. Developing business-critical applications, time to market is of the essence. Global companies have offices in multiple time zones around the world.
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DHL Worldwide Express and ApplianceWare: Challenges of Global Systems Development Chapter 12 Case 2
Global Companies • Developing business-critical applications, time to market is of the essence. • Global companies have offices in multiple time zones around the world. • Global companies can easily expand the number of development hours available each day by establishing development centers around the world and staffing them with people who work in shared environments with US and other global teams.
DHL Worldwide: A Global Company • DHL and ApplianceWare are implementing global systems development strategies around the world that perform development work on e-business projects with U.S. counterparts in a shared team environment.
DHL: Benefits of Global Development • Take advantage of time differences to create an extended workday. • Put more bodies on problems at a time when IT hiring in the US is not easy or cheap. • Benefits of lower employee turnover rates and salaries in many foreign countries. • Tailor e-business applications to country-specific requirements, and become involved in new development efforts in technologies in other countries.
DHL: Benefits of Global Development - cont. • Getting easier to find cost-efficient development skill sets that provide a good fit to business needs outside the U.S. • Less of a mindset tendency toward flavor-of-the-month technologism with workers outside the USA.
ApplianceWare: Benefits of Global Development • Located in the most competitive software environment - Silicon Valley. • General lack of available talent and exorbitant prices were a block to expansion efforts. • Partnered with SamSolutions (development firm in Minsk) to take advantage of a sizable pool of talented developers and a 10-hour time difference. • Cost advantages can be achieved by doing development in offshore locations, travel and communications costs cannot be overlooked.
Trends of Systems Development • Doing systems development in multiple time zones enables companies to accelerate the development work on e-business projects, where time to market is critical to success. • Lower turnover rates and salaries in many foreign countries are also driving this trend, as well as the high level of development skills available, and the necessity to tailor e-business applications to country-specific requirements.
Global Systems Development Strategies • DHL and ApplianceWare emphasize that global systems development strategies require significant investments in communications, training, and developing international managers who understand both the global business and its IT infrastructure requirements.