Unisys Targets Changing End User Demographics Across Asia Pacific With Its Outsourcing Offerings

Fred Giron

Launched earlier this year, Unisys’ People Computing initiative focuses on bringing a “people perspective” to its end user support and outsourcing service offerings. I recently attended Unisys’ Asia Pacific (AP) analyst event in Sydney and this initiative was presented as a key success factor in several infrastructure outsourcing wins in AP in 2011-2012. Case in point: we were given the opportunity to meet Henry Shiner, VP and CIO of McDonald’s Australia/New Zealand. McDonald’s signed an end user computing services contract in 2011 for the management of 43,000 end user devices in Australia and New Zealand. These devices include point-of-sale systems, back-office PC equipment, peripherals, wireless networks, customer order display units, and cameras. Unisys was selected to support the 125,000 people working at 1,060 McDonald’s restaurants. According to Shiner, Unisys’ end user-centric approach was one of the reasons McDonald’s selected Unisys:

  • Unisys approached service-level definitions from the end user point of view. While the right set of tools and processes are key to efficiently managing more than 60,000 support calls per annum, Unisys approached McDonald’s requirements by working directly with end users — store operators in franchised restaurants — by organizing focus groups to better define end user requirements.
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IBM Global Business Services Refines Its Business Technology Value Proposition

Christopher Andrews

I spent two days last week at an IBM Global Business Services (GBS) analyst event titled “Transforming the Front Office.” The event was designed for IBM to share its view of the future of the technology marketplace with industry analysts — and of course speak about how IBM fits into that role.

What’s clear is that IBM believes in the power of big data. Ok, so this may be obvious to the IBM watchers in the marketplace, but it’s interesting to see IBM bring to the table better marketing messages, case studies, and examples — all focused on how the GBS organization can apply that data to help clients stay competitive.

Throughout the two days with GBS, it was clear that this is more than just good marketing from IBM, it’s the core of its strategy. And that’s a fairly healthy place to be right now: Many firms tell Forrester that analytics is at the top of their list of emerging technology efforts. 58% of firms Forrester surveyed recently indicated that they’ve either implemented or are planning to implement, expand, or upgrade their BI tools over the next 12 months.

Some observations about GBS from this event: 

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SingTel Makes Good Progress, But Questions Over IT Services Capabilities Remain

Fred Giron

Clement Teo, Dane Anderson, Frederic Giron

At an analyst briefing in Singapore on November 7, newly minted SingTel Group Enterprise CEO, Bill Chang, laid out his vision on how the group’s reorganization aims to build the foundation for SingTel to become the largest ICT services provider in Asia Pacific in an ambitious five years.

For Sourcing and Vendor Management professionals, here’s a quick summary:

  • SingTel Group Enterprise: SingTel Business Group, NCS, Enterprise Data and Managed Services (EDMS) and Optus Business (including Alphawest) are now one entity as of 1 Nov 2012.
  • Converged capabilities: This organizational transformation converges SingTel’s Telco and IT service competencies for a one-stop ICT experience, and simplifies delivery capabilities to enable large scale global deployments. In a nutshell:  SingTel is aiming to create a repeatable and more scalable product set.
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SingTel Makes Good Progress, But Questions Over IT Services Capabilities Remain

Clement Teo

At an analyst briefing in Singapore on November 7, newly minted SingTel Group Enterprise CEO, Bill Chang, laid out his vision on how the group’s reorganization aims to build the foundation for SingTel to become the largest ICT services provider in Asia Pacific in an ambitious five years.

For Sourcing and Vendor Management professionals, here’s a quick summary:

  • SingTel Group Enterprise: SingTel Business Group, NCS, Enterprise Data and Managed Services (EDMS) and Optus Business (including Alphawest) are now one entity as of 1 Nov 2012.
  • Converged capabilities: This organizational transformation converges SingTel’s Telco and IT service competencies for a one-stop ICT experience and simplifies delivery capabilities to enable large-scale global deployments. In a nutshell: SingTel is aiming to create a repeatable and more scalable product set.
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BT Opens Global IP Exchange In Singapore For Fixed And Mobile Operators

Clement Teo

For hosted voice service providers and mobile network and fixed-line operators, BT’s launch of a major global IP exchange (GIPX) hub in Singapore could be good news. Set up to meet the demand for growing traffic over its IP Exchange platform, this is the third announcement I’ve seen from telcos in this region in the space of two months — the others being Telstra Global Services and Tata Communications.

BT’s wholesale service enables communications providers to connect VoIP to VoIP and VoIP to traditional voice calls, and runs over its MPLS network — i.e., a private IP network.

I spoke with Beatriz Butsana-Sita, managing director of BT Global Services and Global Telecom Markets, who explained that delivering the GIPX service closer to BT’s wholesale customers in this region serves to minimize their cost to interconnect to BT’s clearinghouse. “GIPX also provides an opening into BT’s platform for advanced IP services that we continue to invest in,” she said.

The telco is also working on a number of developments to further expand the service, such as the ability to support mobile 4G and provide video interoperability between different devices and networks.

The BT GIPX Singapore hub:

  • Provides a local switch function in the Asia Pacific region. This brings BT’s GIPX service closer to customers’ networks.
  • Acts as a multiservice GIPX point of presence (PoP). This helps address the growing demand for interconnect services in the region. The services that benefit from and are supported by GIPX include fixed and mobile voice (at a range of qualities, e.g., high-definition voice); fixed, mobile, and wireless data; roaming services; and videoconferencing.
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Microsoft’s Tablet And Smartphone Licensing: Still Counting Devices When The World Only Wants To Count Users

Mark Bartrick

Over the last few years, there have been fantastic advances in technology that have brought us almost a billion smartphones and tablets. These handy mobile computers give us access to our Microsoft Windows and Office products anytime and from anywhere. No longer are we tied to the old clunky desktop device in the office. This is good stuff: It lifts the age-old location-dependent restrictions that meant nothing got done unless you were physically in the office.

There’s only one hitch: Microsoft continues to apply licensing models that count physical devices. Device counting is fine if I have multiple access devices each with their own Windows and Office software versions installed. But when I only have one version of Windows and Office but wish to access that version remotely or virtually via multiple access devices, why should I have to pay more for the privilege? In today’s increasingly cloud-delivered software world that simply counts users not devices, that’s the question more and more people are asking.

Some details: With Windows 8, users that have a "primary device" licensed under a volume agreement with Software Assurance (SA) for Windows can access Windows on- or off-premise on up to 4 devices by buying the new Companion Subscription License (CSL). Prior to the advent of the CSL, each extra device required a Virtual Desktop Access (VDA) subscription in order to provide virtual access to their Windows desktop.

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Profit Warning! A Software Asset Sprawl Will Weaken IT Service Providers' Financials

Fred Giron

I recently reviewed a portfolio of about 600 software artifacts from 16 large IT service providers. This daunting exercise complements a research stream I have been working on since the beginning of the year on the future of the IT services industry. While I believe the move to software asset (SA)-based IT services will drive maturation of the services industry and help IT service providers remain relevant to their clients, the analysis of this SA inventory raises a few significant challenges:

  • Most software assets face scalability issues. Traditional sales and marketing organizations within IT service providers fail to sufficiently scale up the number of clients for their SA-based offerings. Case in point: 68% of the software assets analyzed in this inventory have fewer than five clients. This low number raises concerns on the financial viability of these offerings for service providers.
  • Service providers will face a SA sprawl over the next couple of years. On average, service providers currently have about 20 SAs in their SA portfolio. The analysis shows that this number is growing exponentially (see below). The number of SAs created has increased by an average of 26% each year since 2009 and is accelerating. More assets were created in the first six months of 2012 than in any previous entire year; SA-related investments are following a similar trajectory.
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4G Data Exchange: Another Option Arises For Mobile Operators

Clement Teo

At a briefing last week, I spoke with Tejaswini Tilak, global head of carrier services at Telstra, who updated me on its newly launched mobile operator IPX (IP Exchange) platform. Marketed as the Telstra Global IPX Service, this service aims to enhance international roaming and next-generation mobility services for operators seeking to exchange long-term evolution (LTE) data traffic. The service promises:

  • An optimized network. Using a single channel, the Telstra Global IPX Service allows mobile operators to optimize their networks to accommodate growing mobile data consumption while providing end users with a consistent customer experience.
  • Greater efficiency. This is possible as it runs over a private network — Telstra Global’s own managed IP MPLS core network — which can maximize traffic on both legacy and new mobile platforms. 
  • Diameter signaling support. Telstra provides support for diameter signaling, a relatively new protocol that works with core IMS on IP data traffic. Tilak claims that Telstra will be able to set up multiple roaming agreements by acting as a diameter signaling hub and providing interoperability and mediation between different diameter deployments among mobile operators.
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Sourcing And Vendor Management Professionals’ Rising Scope Of Responsibilities

Charles Green

As part of my ongoing research into the product development services market, I took a step back to consider how sourcing and vendor management (SVM) professionals have seen their responsibilities increase as new sets of stakeholders start to rely and utilize their expertise and experience.

The first wave really started in 2007 as business buyers started to self-provision both devices and software, representing a key shift from centralized to decentralized IT. And this brought with it a whole new set of stakeholders into the view of SVM professionals.The rising scope of SVM's responsibilities

But it wasn’t long before other stakeholders started to emerge. In 2009, we started to see human resources (HR) and finance appear on the horizon. In HR, this was being driven by trends such as the rise in telecommuting. For example, SVM professionals were increasingly required to work with HR and IT to develop a formal telecommuting policy, as an increasing number of employees worked away from the office.

In the past year we have started to hear from clients about increasing interaction with marketing professionals. In many organizations, marketing works autonomously from IT and SVM but often has large contracts, for example with digital marketing agencies. And so we have gradually seen proactive sourcing professionals reaching out to marketing to gain visibility and bring a greater level of robustness and process expertise into these relationships.

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A New Job Description: Sourcing And Product Development

Charles Green

In my recently published report (SVM's New Stakeholder: Product Development) I argued that product development will become a crucial new stakeholder for sourcing and vendor management (SVM) professionals in the next few years. And we're already seeing some interesting indications that this is starting to happen. For example, I recently came across this job description: Manager, Product Development & Sourcing.

Look at some of the elements of the job description for this sourcing professional:

  • Manages the development process.
  • Partners with the design team.
  • Improves processes and increases efficiencies by partnering with design, merchant, color, and technical design teams.
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