Convergence and Integration
The "ICT" or "TIMES" industries (i.e. telecommunications, internet, information technology, multimedia, entertainment, services) are exposed to massive pressure for changes. The previous result support the telecommunications industry as fixed-line telephony and data transmission to "flat rates" shrunk. New business models develop - but with new competitors, e.g. Web2.0, Internet, Entertainment or TV over IP market, Industry 4.0 - and global selective sourcing is the standard in our days.
The IT industry merges with new service providers. Classic System integration and IT outsourcing business is now a standard high pressure on margins. The IT industry is facing new challenges, such as cloud computing, software or Process-as-a-service, e-mobility and social media. Here, completely new service models that bring IT companies in the responsibility for the core business of their customers. IT is becoming increasingly important as an "active business enabler" by even made possible through the use of innovative technologies to change the business model.
These changes in the market require new strategies, adjustments in the ICT business model, realignments for business and IT and global thinking and acting. All managers and employees are involved in the change process. Do you have your plans ready and the right people to execute the changes ?
Read and talk to us.
Strategy and Governance
Bringing IT and the business together is a critical success factor in business.
TCI consistently adheres to the ITIL Service Management model and helps you to built an efficient IT organization and realign with business and supliers.
How are your IT projects running? TCI will provide an independend, external view on tasks and milestones.
Bringing IT and business together is an increasingly business-critical success factor. It needs a good interrelationship to reach a substantial leverage effect from IT to business results on the one hand and to define the business requirements for an agile IT on the other hand.
TCI is facing and accepting this challenge
In detail we support:
Business-IT-Alignment: deriving the IT strategy from the enterprise strategy:
• IT-Assessment, IT-Strategy / Value Proposition, IT-Innovation (e.g. Mobility, SaaS / Cloud, New Media), IT-Roadmap, IT-Portfolio, IT-Architectures, IT-Project-Portfolio, IT-Program-Management, IT-Controlling
IT Governance / Compliance: implementing the IT strategy while minimizing the risks:
• IT-Standards, IT-Governance-Organization, IT-Governance-Standards (CobiT, CMMI), IT-Policies while observing legal standards (SOX, BDSG), Risk Management, Release Management.
IT Security: guaranteeing an appropriate security level in all business processes by introducing and operating an Information Security Management System (ISMS):
• Supporting the certification according to ISO/IEC 27001 resp. BSI, planning and documenting the internal control measures, IT audits for positioning, PDCA process (plan-do-check-act), Coaching for CISOs, Security Awareness Trainings.
IT Sourcing: ensuring cost reduction and efficient resource allocation:
• IT-Sourcing-Strategies (In-/Outsourcing, Off- / Near- / Bestshoring), IT-Sourcing-Guidelines, Purchase Catalog, Tendering, Selection of Applications and Service Providers, Contract Shaping and Negotiation, Service Level Agreements (SLAs), Contractor/Provider Management.
One of the essential tasks of each IT organization is the implementation of IT strategies in applications, systems, platforms, and in the ongoing operation. TCI is consequently aligning with Service Management models like ITIL and supports all requirements for a powerful IT organization.
In detail we support:
IT implementation:analyzing, designing, and realizing processes and solution elements:
• Request management, feasibility studies, implementation planning, creation of requirement -and functional specifications, control of implementation, migration planning and -implementation, transfer into operation or into an outsourced business organization.
IT Service Management / Application Management:
• Right-Sizing of IT services and the associated organization by process standardization and reduction of complexity: Service catalogs, ITSM frameworks (i.e. ITIL, ISO/IEC 20000), optimization and consolidation of datacenters, transition of IT systems and -architectures, requirements engineering, agile software engineering (SCRUM, XP), Application Life Cycle Management.
Many IT projects do not achieve their goals. Studies have shown that up to 40% of all IT projects fail and 46% do not meet the budget or time constraints.
With our experience from many projects, programs, rollouts for DAX, MDAX, NYSE clients, we offer assistance in the planning and implementation of programs.
Increase in long-running projects (1-5 years) regular, external project audits proven project success and reduce costs by about 15%.
Make an appointment for a project QuickCheck and we identify with you the levers to make your project successful.
Successfully meet the challenges in ICT Sourcing.
By sourcing of IT and telecommunications services of the operations costs are means of increasing flexibility and optimization sustained reduction, increased service and productivity, and business processes are better supported. Typical triggers of ICT sourcing are e.g. Investment congestion (Windows in the cloud), expansion and mobility requirements (access from everywhere), resource scarcity, quality problems, industrialization of IT, frictional losses between business and IT, or an adjustment of the IT landscape.
This ICT Sourcing is a success, several challenges are: At the beginning you must decide on the optimal level of vertical integration, followed by the selection of the "right" service, the implementation of a stringent tender process and the subsequent transition and transformation into the desired target state. In the future operation, it is important to consider the contractual arrangements to ensure the expected costs and benefits of the agreed quality of service provision.
TCI has the "TCI Enterprise Transformation Cycle" developed, which we base the different phases of a sourcing. This ensures that all relevant ingredients of a successful sourcing be considered, so the long-term success can be ensured for the customer.
TCI supports you in four phases of sourcing:
• Sourcing Assessment
• Deal Design
• Transition & Transformation
• Sourcing Review and Optimization
What IT metrics needs a CIO to effectively his own expenses? Where does the information come from?
The company's IT is becoming increasingly important for business success. To align the IT consistently to the business goals and optimize IT executives need an accurate view of their responsibility. IT Performance suites use BI technologies: It collects data from different data sources, leads them into a data warehouse, collate, analyze and prepares them to specific roles based on predefined KPIs in a dashboard.
TCI supports you in selection and setup of IT performance management and the introduction.
„We needed a pragmatic process design. TCI succeded in the first approach.“
Katrin James, SVP Alliances, AtoS GermanyMore
Atos SE (Societas Europaea) is a leader in digital services with 2014 pro forma annual revenue of €9,1 billion and 86.000 employees in 66 countries. For a business transformation program experienced consultants and managers were required for business process redesign.
"We needed a pragmatic process design. TCI succeded in the first approach. The TCI has understood our needs fast from the beginning and in the depth and implemented in a pragmatic, out-of-work basis."
Program and application management implementation with a large ICT service providerMore
In the course of further development of the business units, the integration of new units (also by large outsourcing projects), the reconstruction of the whole enterprise towards globalization, the focusing on new subjects a large ICT service provider was confronted with the necessity to better prioritize, control, and monitor internal projects. The matter encompassed more than 100 projects that had to be implemented with a value that totaled a three-digit millions volume each year.
In addition, TCI was awarded the contract from the same service provider to significantly cooperate in designing a professional, internal management system to control the complete life cycle of an application. More than 300 business critical applications were involved, of which 20 were considered „Key Applications“.
TCI Consultants were participating from the beginning in leading roles where important implementation steps were taken. Initially TCI was involved in developing the strategic concept for instituting a professional program management, then at the institution itself. A senior partner of TCI has been participating in tandem with an internal manager of the customer for some years as de facto interim manager in the operating line.
In detail, the TCI support comprised:
- Introduction of a program, portfolio, and project management tool
- Development of the program guidelines and the governance structures
- Design of project monitoring and consistent reporting
- Design and implementation of risk- and review management for the projects
- program communication to reach sustainability
When introducing the application management the TCI consulting and support comprised:
- Control of the transition of an application from the introduction (build phase) to the operation (run phase)
- Control and management of new demands (change management)
- Handling of incidents (problem and incident management)
- Phase out / retirement of applications
- Control of internal and external service providers for the applications
- Structuring of stringent, uniform SLA (Service Level Agreement) Management
- Introduction of a KPI (Key Performance Indicator) System
- Monitoring the performance of applications (availability, pace, advantage)
The TCI Consultants were guided by their experience for many years in this field and especially by the ITIL Service Management method.
- Improved transparency about the status of the project
- Clear priority setting by intense project portfolio management
- Early indication of problems by project risk management
- Reduction of release cycles by integrated release management
- Integration of all stakeholders by intense project communication
- Showing that Application Life Cycle Management is possible
- Clear agreement of service levels and key performance indicators of key applications
- Transparency about incidents & problems
- Systematical transfer procedure from the status project to operation and from operation to retirement.
- Experienced consultants, field-tested and with practical knowledge
- Methodic approach based on standard practices
- Joint and integrated approach
- Management attention on the customers’ and TCI’s side
- Flexible response to customer needs Communicational strength.
Lean IT Management
„LEANability“ of IT processes is challenging for the business and the IT department. TCI will help you to be successful
Leverage Quick-win potential and optimize cost and financial structure with a lasting effect
Key Performance Indicators
Key Performance Indicators in the Application Management of an IT Service Provider
Audit of an Application Management Transition to a Nearshoring Location in Eastern Europe
Triggered by the company’s main strategic goals “customer orientation - innovation power - service quality”, the CIO of a medium-sized Swiss manufacturer - a leader in its market segment - is challenged to implement lean IT processes in order to improve business-IT alignment and to make service quality predictable.
Pretty soon it turned out that the existing processes had been developed by the book without a ground-understanding of business requirements. As expected, inconsistent service delivery processes and tool support within the IT organization and insufficient transparency regarding service levels were the consequence.
The bottom line is ITIL. But the biggest lesson in our project is that Lean IT is not about the tools that are used; it is about the processes and procedures used. And the guideline by management was not to talk about ITIL but just to improve the IT in the easiest way.
Lean IT Processes - the voice of customers
The main idea of lean management is to evaluate (start) each activity from a user benefit view. Lean IT has to design and manage the processes with respect to customers’ demand. So we focus on the design of customer-oriented IT services, on a customer-driven service portfolio and on the ability of the IT organization to transform business requirements to technical specifications. That’s where we step in.
Lean IT Projects
The quality of IT services has a lasting effect on the performance of business processes. Changes in market and competition therefore require permanent changes in processes. One of our critical success factors is operational excellence, cost efficiency, “just-in-time” delivery and request fulfilment in IT projects and minor changes.
Lean IT Controlling
What we need in the end is to establish IT‐Controlling as an effective tool for managing IT processes. This includes a set-up of service level reporting and KPIs, a continuous reporting of targets and achievements, the improvement of existing ticket tools for incident and change management to measure process performance and stability and a clear and transparent communication to all stakeholders.
We have attended and supervised the Swiss lean project for more than half a year now. Maybe we haven’t achieved enthusiasm for lean IT processes yet. But we have gained acceptance and we have attained the willingness for change by explaining the benefits and the significance of a perfect harmony between IT and business. Now it is obvious for all employees that lean processes help to save time and that it is good for the business to manage IT incidents and IT changes as fast as possible and in a coordinated way.
The benefit for TCI and our customers is a proven methodology to fulfill the customers IT quality goals and IT requirements and a success story about the competence of TCI partners to manage transformations in business and IT.
Especially when it comes to investments in information and communication technology, our customers often lack in coordination between the operational use models and financial processes. Mainly with leveraged portfolio this tends to result in avoidable high costs and risks. One our TCI Partner recently could identify with his quick-check approach substantial savings potential for the Executive Board of a DAX company. High costs and risks especially in leveraged portfolios are often due to the fact that the actual useful life of laptops, PCs, servers or storage is not optimally matched to the release cycle. Also systems are often used longer than originally foreseen in the lease agreement. That’s when it all gets really expensive: Rent extension and secondary exploitation of assets as well as excessive lease payments and additional services are the real margin bringer of the lessor. A structured consultancy, independent of the financer, typically leads to fast realizable and sustainable cost savings of more than 10 percent. Our Partner with his quick-check approach recently could identify in a DAX company potential savings clearly above this rate, in this case by optimizing the portfolio and structure of leases.
The approach usually is pretty simple:
In a workshop, starting from the current situation (including IT portfolio, operational constraints , financial parameters , additional services by the lessor), alternatives for optimization are calculated in a model. Tailored to the customer, preference independent alternatives (for example with asset management) are presented, which might significantly strengthen the customer‘s negotiating position. This typically leads to significantly improved conditions. Assistance in tendering, negotiation, restructuring of existing contracts up to operational asset management is provided as well.
A look at leasing and financing is always worthwhile!
Our client is a Hungarian Nearshore IT Service Center and operates a variety of ambitious IT Applications for a large German Telecom Provider. As part of a Quality Initiative driven by this pretty „young“ Service Center, a TCI Team has been mandated to support. The Team "KPI" took over the task of bringing forward the further professionalization of the Application Management Department.
First, the customer expectations on the deliverables were defined in greater detail and a solution vision was worked out. In preparation for the stakeholder discussions, elements of the COBIT and ITIL methods were used. The existing and potential new KPIs regarding "IT Service Processes " and "Reporting Levels" were transferred in a portfolio map. This made it possible to prioritize the additionally to be introduced KPIs together with the decision makers.
As an important KPI the efficiency of service delivery in the area of Application Management should be evaluated . Previous approaches were based on profit margin , the financial terms of the service contracts and time sheets of deployed service personnel. The approach developed by TCI showed how one can determine standardized budget figures for man-hours and costs, yet the specifics of each application will be considered. The proposed principle is based on a model similar to a bill of material that converts contractually agreed deliverables in internal service deployment modules. The presented method is both suitable to perform efficiency considerations as well as to calculate sound prices for service delivery and to determine the capacity requirement of employed staff.
A set of additional KPIs has been proposed from which the client company can derive both management indicators and operational metrics from different IT service management processes . The KPIs have been described in profiles and presented together with a recommendation for the introduction in phases over the coming months. The results met with the full approval and acceptance of the client and so it can be expected that TCI will be charged for follow-up activities.
The objective of the audits - carried out by TCI - was to identify organizational maturity indicators in the context of a specific Application Management Transition Project. The result showed that our client in Eastern Europe is able to handle end-to-end Application Management in German or English in an impressive price/performance ratio. Improvement measures have been identified with early Stakeholder Management and effective communication. TCI was also explicitly invited to derive from the Audit Findings practical measures that support our customers development. To achieve these targets, interviews with all project stakeholders, a review of the project documentation and a SWOT analysis have been performed.
The transition was carried out cleanly and consistently, despite some difficult political environment and understandable external resistance . The changeover went exactly according to schedule, there were no noticeable adverse effects for the end user. This was made possible through anticipatory risk- and alternative planning and a clear commitment throughout the organization to meet the timetable under all circumstances.This was facilitated by timely handover of the budget to the new management organization. It also helped that the entire transition process - including checklists - had been coordinated and documented in advance. From the perspective of TCI an appropriate stakeholder convincing strategy would have provoked less escalations and improved cooperation of the rendering party.
Our client showed an impressing ability to implement the entire transition in German language . But it is precisely in this unique feature that TCI could identify some improvement potential. In addition to the already extensively practiced pure language training, a soft skill - oriented communication training in German could help to even improve. TCI is looking forward to further support this customer both with strategic issues and staff training.