strategic guide indian rd centers-2008 (3)
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Centers 2008Unveiling the R&D Offshoring Scenario in India
Industry Report
May 2008
Zinnov LLC
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Global R&D spend is expected to grow at a CAGR of 3.5 per cent withEurope and Japan emerging as equally competitive R&D spenders
R&D* Spend by Geography (2008)Global R&D* Spend(2005 2010)
Euro e
1200
B i l l i o n
)
CAGR 3.5 %
30%
NorthAmerica
1100
s p e n
d ( i n
U S
Japan22%1000
G l o b a
l R &
900
950
2005 2006 2007 2008 2009 2010
ROW5.26%
*Note: It includes R&D spend by various other industries such as engineering services with embedded systems R&D, Energy, Consumer, Healthcare, Industrial
domains etc.References: Computing Research Association, EIU, European Industrial Research Management Association, OECDZinnov Analysis
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R&D offshoring constitutes 14.4 per cent of the total offshoring to India withR&D centers commanding 62.7 per cent of the market share
Indian Offshore IT Market 2008(in USD billion )
R&D Offshoring Market Size 2008( in USD billion )
50
R&DCenters62.7%
i l l i o n
)
30
40
n u e
( i n
U S D
20
Vendors37.3% R
e v
0
10
IT R&D ITES Total
Total = USD 9.35 Billion
R&D Offshoring (2)IT Services (1) Total OffshoringITeS (1)
Total =USD 64.85 Billion
Source: Nasscom, Zinnov Analysis 1- Market size includes exports and domestic revenues 2- R&D includes Software Product Development, Embedded Systems and specific areas of Engineering Services
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The R&D offshoring industry can be sliced into three horizontals
Definition
Software development is the translation of a user need or a product idea into an operationalcomputer based software. The product development lifecycle includes conceptualization,
Horizontals
Development (SPD)
requ remen spec ca on, sys em ana ys s an es gn, pro uc eve opmen , es ng anmaintenance. It encompasses skill sets in Application Development, Systems Programming,Web Technology Programming, Network Programming, Database Programming , User Interface design, Product Planning, Program Management , Manual Testing, AutomationTesting, SCM etc.
An embedded system is an electronic system designed to perform pre-designated functionsin a machine. It is used like an embedded device/chip in a end-product coupled with other mechanical software parts. Its acts as interface between hardware and software of an
.includes skills in embedded programming, hardware designing, manual and automationtesting. It also includes developing firmware which is designed to be augmented into an end-user product like mobile phone, automotive system, aviation systems etc.
Engineering Services
It includes development of software catering to engineering requirements of various industrieslike mechanical, automotive, aerospace etc. Engineering services R&D includes stages of product lifecycleProduct Design & Development, Design Support, Engineering Analysis &Modeling, Prototype Build, Testing, Verification, Validation, Manufacturing EngineeringSupport, Knowledge based Engineering, Technical Publishing and other product supportactivities, PLM (Product Lifecycle Management) etc. It needs a diverse set of skills acrossmechanical engineering, computer software hardware engineering and electrical engineering.
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The three horizontals have been segmented across eight industry verticals
DefinitionVerticals Examples
It includes pure play semiconductor firms working on embeddedsystems like chips.
EDA /Semiconductors Intel nVidia AMD
It includes firms developing software to be augmented into another device serving as an end-product for a user-based functionality.
ConsumerElectronics LG Samsung Philips
.It includes mobile applications, networking software, graphical user interface designing.
Telecom &Networking
It includes firms working on software related to operating systems,systems level programming, networking including protocols, security,remote connectivity etc.
SoftwarePlatform &Systems
Cisco Avaya Siemens
Novell Linux SunMicrosystems
It includes firms working on enterprise applications like ERP, CRM.EnterpriseSoftwareProducts
It includes firms working on development of online softwareConsumer
SAP Intuit Oracle
,search, online space.
Products
It includes firms developing automated systems like notebooks,mobile computing accessories, PDA, servers, desktops, scanners,Tablet PCs etc.
ComputingSystems HP FujitsuIBM
It includes firms manufacturing products like automotives, aerospacewhich have computer software and hardware as an integral part of theend- product functionality.
Manufacturing Ford Daimler Chrysler Boeing
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R&D offshoring in India started way back in the 1980s; it gained momentumonly after 2002 and is now poised for the next phase of growth
Growth Factor Value Factor Evolution of R&D Offshoring
Exploration Identification Growth Harvest
Access to Localmarket
Skilled R&D talent
Availability of skilled talent
Potential for cost-savings
Potential for cost-savings Spree of Product
Development firms
Entry of TexasInstruments
Dot-comBust
Entry ofMicrosoft
Entry ofMotorola Few Product
developmentfirms exit India
1980 1990 1995 1998 2000 2002 2004 2006 2008 2010
Years Inflection PointGrowth triggers
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Between 2003 and 2005 a large number of MNCs came to India for setting upR&D centers
181180
200MNCs Setting up R&D Centers in India
140
160
e n
t e r s
8293
8780
100
120
e r o
f R & D
36 3853
2440
60 N u m
0
20
On or 2001 2002 2003 2004 2005 2006 2007Before
2000
Source: Zinnov Research
Year of Establishment Total 594 R&D
Centers
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Currently there are 594 R&D centers in India operating in SPD, EmbeddedServices and Engineering Services
Embedded S stems
IllustrativeDistribution of R&D Centers 2008
120
Engineering Services84 e
r s i n
t s
Delphi LSI Corp. Motorola
Altair Engineering Arvin Mentor BMW
f R & D C e n
t
g y S e g m e n
GoogleMicrosoftYahoo
Bosch a erp ar or
Software ProductDevelopment
390 e r c e n
t a g e
T e c
h n o
lHPOracleAdobe
P
KeteraSynygyYodlee
Source: Zinnov Research
Total 594 R&D Centers
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These R&D centers are spread across various verticals: enterprise softwareproducts and telecom & networking are the key verticals
51 594
Vertical Distribution of R&D Centers 2008
115
48
82
75
153
Consumer sof tw are Sof tw are platf orms/Systems
Telecom/Netw orking Computing systems Total
15
Enterprise Software ManufacturingConsumer Telecom & Computing TotalConsumerSemiconductoro ware
Systemso ware e wor ng ys emsec ron cs
Total 594 R&D Centers
Source: Zinnov Research
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About 49 per cent of the total R&D centers in India have revenues less thanUSD 100 million
22200+
Revenue vs. Headcount Analysis for R&D Centers
283 Total = 594
40
100 - 200
50 - 100
86
90 d c o
u n
t
H e
76
135
13
309 28
45
14
3210 - 50 51
156
1910
1 - 100 100 - 200 200 - 500 500+Global Revenue in USD Millions
Source: Zinnov Research
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70 per cent of the smaller R&D centers focus on software productdevelopment
33Engineering
Services
.
283Total = 594
45EmbeddedSystems
56
20628
23
o wareProduct
Development76
37 48
986
58
1 - 100 100 - 200 200 - 500 500 plus
Source: Zinnov EstimateGlobal Revenue in USD Millions
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About 53 per cent of the engineering services R&D centers have aworkforce of more than 200 engineers
25
Headcount vs. Horizontal Segment Analysis for R&D Centers
Engineering175
158
Total = 594
30
14
11
64
EmbeddedSystems
139
122
15
25
20
120 116
87
SoftwareProduct
Development
67
200+100 - 20050 - 10010 - 50
Headcount RangeSource: Zinnov Estimate
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Bangalore, NCR and Pune together comprise the majority of R&D setupswith about 494 centers operating from these 3 cities
Bangalore 312
Location Distribution of R&D Centers
Pune
Software Product
95
NCR
Embedded
Systems
87
Hyderabad
Chennai
EngineeringServices
57
32
OthersTotal = 594
11
0 50 100 150 200 250 300 350
Source: Zinnov Research, Zinnov Analysis
Number of R&D CentersNote: Others include cities like Chandigarh, Ahmedabad, Coimbatore, Nashik, Mumbai, Kolkata
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Currently the R&D offshoring industry in India is worth USD 5.83 Billion software product development being the dominant segment with 53 per cent
of this market Market Size of R&D Centers 2008
(As per technology segments)
Engineering
21%
Software Product
53%
26%
EmbeddedSystems
Development
Total Market Size is USD 5.83 Billion
Source: Zinnov Analysis
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Most phases of the software product development value chain are currentlybeing offshored to India
-
ProductConcept Design Development Testing Support
ed
Objective
To conceptualize anew product ideacatering to customer needs.
Design a scalable,high performancemodular product
Ensure that a highquality, defect freeproduct is ready
Provide technicalsupport tocustomers
Developing a productbased on user-requirements.
Product Development Unit/ Interface Testing Com onent/ Feature Technical Support
CommonlyOffshored
Feature Definition
Project Planning
Product Maintenance
Re-engineering andMigration
Testing Regression Testing Testing Automation Product Validation /
Acceptance
(Level 1 & 2)
PerformanceBenchmarking
HighPotential
Prototype Design /Architecture
TechnologyEvaluation
Prototype
RequirementsGathering, Analysis
Software
RequirementManagement
ProgramManagement
Technical Support(Level 3 & 4)
Shared Services(F&A, HR, IMS,Professional
PrototypeValidation
ProjectManagement Services,Documentationservices)
Not BeingOffshored
Concept Definition
Concept Evaluation
High-Level Designof Product Concept
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SPD is estimated to be a USD 3.15 billion market in India with enterpriseproducts segment owning the largest market share of about USD 0.97 billion
Market Size of R&D Centers 2008 Software Product Development IndustryVerticals 2008
-ed
2022% n
Telecom &Networking
15
19%31% i n U S D B i l l i o
Enterprise SoftwareProducts Software Platforms
& Systems
10
3%
R e v e n u
Semiconductor /EDA
Others
0
7%ComputingSystems
Total = USD 3.15 Billion
Development Systems services
Total = USD 5.83 Billion
m e eSystems
o ware ro ucDevelopment
TotalServices
Source: Zinnov Estimates
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In the case of embedded systems, India is gradually expanding itscapabilitieshigh-end R&D in embedded domain is yet to be offshored
-
Conceptualization Design &DevelopmentPrototyping Verification &
Validation
Embedded R&D Value-ChainSPD-
ed ES
Static & dynamicAnalysis
Firmware & diagnostics Application software
Prototype studySoftware
Understanding the localneed
re- ayou anPost-LayoutVerification
Regression testing
m e e so ware Digital/Analog IP RTOS Device drivers Board support package
Prototype tapeout
Prototype building
RequirementDocumentation
Product conceptualization
Reliability testing ATPG test vector
Generation Package QA
Stacks Prototype testing
Prototype analysisHardware
Core design & architecture Model building Algorithm evaluation and
layout PCB design
Manufacturing Test Qualification /
Application test Field test
os ana ys s an u urecompatibility
Design specifications
Verilog coding Platform porting Board/ System design VLSI Design
Substrate testing
Present & Near-Term R&D Offshoring Future & Long-Term R&D Offshoring
FPGA ASIC/SoC/SiP
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The R&D of embedded systems is currently estimated to be a USD 1.54billion segment in India with telecom & networking as its largest vertical
Embedd-
Market Size of R&D Centers 2008 Industry Verticals of Embedded Systems 2008
ed
20 23%
Consumer Electronics
15
40% U S D B i l l i o n
Telecom & Networking Semiconductor / EDA
1019%
R e v e n u e
i
ManufacturingOthers
0
5%13%
Total = USD 1.54 Billion
Development Systems services
Total = USD 5.83 Billion
m e eSystems
o ware ro ucDevelopment
Totalng neer ngServices
Source: Zinnov Research
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Engineering services in India is catching up towards high-end offerings
Engineering Services Value-ChainSPD Embedded
ES
ProductConceptuali-
zation
Conceptualizing product functionality Benchmarking of process, product and costs Designing the aesthetics and usability of product Market Research, Cycle Simulation Preliminary Design Analysis
Level of OffshoringComplexity
Product Designand Modeling
Complete product design including assembly Component design on CAD, Pro E, Design
Automation, Drafting and 3-D modeling, Conversionsbetween different platforms
Desi n &
Conducting virtual simulations of designs to study apart, sub-system or system for its behavior in operating
environment Optimizing product performance under real-lifeEngineering
Development
Product
influencing factors such as temperature, vibration, fluidflow, fatigue
CNC / CMM Programming Casting, Forging and Fabrication Engineering
na ys s
(ManufacturingEngineering
Services) Technical Support, Design Support GIS- Document Conversion Le ac Conversion
Assembly Jigs and fixtures Ground Support Equipments
ProductSupport
, Re-Engineering / Reverse Engineering Acceptance and Test Procedure Component Maintenance Manual Illustrated part catalogue, Service bulletins
Low Medium High Low Medium High
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At present, it is estimated as a USD 1.27 billion market with themanufacturing domain constituting USD 0.52 billion of the total market
Market Size of R&D Centers 2008 The Industry Verticals of EngineeringService 2008
SPD Embedded
ES
2020%
Semiconductor /EDA
15
42% 16% U S
D B i l l i o n
)
Manufacturing Telecom &Networking
10
9% R e v e n u e
( i
Consumer Electronics
0
7%6%
Software Platforms/ Systems
ComputingSystems
Development Systems services
Total = USD 5.83 Billion
m e eSystems
o ware ro ucDevelopment
Totalng neer ngServices Total = USD 1.27 Billion
Source: Zinnov Research
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Bangalore houses about 80.8 thousand of R&D talent; Pune has the nexthighest talent base of 22.3 thousand professionals
Bangalore
Installed R&D Talent Pool Across Locations 2008
80,885
Pune 22,382
NCR 20,319
Hyderabad 13,126
ChennaiTotal = 146,760
10,048
1000 16000 31000 46000 61000 76000
Installed Talent Pool
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Availability of highly skilled workforce and need for more innovation are themajor drivers for offshoring R&D to India
Conce tual
Key Drivers Description
Ability to foster innovation by leveraging the potential
Importance of the driver
1of the talent pool available across different nations andtheir proximity to growing markets.
Differences in compensation levels and operating costs
Development
2across nations varying due to diverse set of economicconditions.
Availability of domestic market opportunities in a particular
os ompe veness
Local Market3
company.
Availability of well qualified, English speaking, skilledand MNC-suitable workforce
Opportunities
Skilled Manpower,4
Availability of service provider firms operating in similar businesses and bolstering the IT ecosystem of theVendor Supply Base
5
country
Note: Importance of driver indicates how global firms prioritize their motivations for establishing an India center for R&D. It is purely a qualitative ratingbased on Zinnovs observation across key product development firms globally.Source: Zinnov Analysis
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India has emerged as a prime contributor to the global R&D capabilities ofMNCsit is now seen as a high-value hub for innovations
1
Companies with R&Dcenters in India INNOVATIONS INDIA
Yahoo Hotjobs, Yahoo! Kids, Yahoo! Avatar, Mixd, Yahoo! Podcast Service, Farechase and SMS back-up
AdobePage Maker 7.0, Frame Maker, RoboHelp, PostScript, Acrobat Reader on handheld devices, Acrobat Reader onLinux, Photoshop Album Starter Edition, and Premiere Elements.
Fusion Middleware (Identity management and application sever team), Oracle Database, JD Edwards,Integration Products & Discoverer and Retek
Intel Woodcrest, Tulsa, Clovertown, Tera Research Chip (50 per cent developed from India), Centrino mobileplatform, Teraflop processor, Xeon and Santa Rosa.
Texas Instruments India Engineering Center has contributed to key products - Application Server 7.1, installer and packaging for Java Enterprise System 1, portal server, Web server, Identity Server and Meta Directory
IBMHursley DDC, WBI Adapters DDC, Rational Products, Linux Technology Center, OS/2 DDC. IBM India center also rovides su ort for diverse roducts i.e. Web A lication Servers, WBI, Middleware Technolo ies, OfficeAutomation Products, Distributed File Systems and Operating Systems
Symantec India center works on complete ownership model for products like Security 2.0, Information 2.0, File SystemAnalyser, AIDA (Automated Inference of Data center Anomalies) and Malware variance
CiscoIndia center key contributed to development team of 7500 router platform, WAN technologies, BPX switches.Small Network Management Solution (SNMS) and Cisco Emergency Responder (CER) was completely
conceived and developed entirely in India.
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The cost of product development in India is about one-third of that in theU.S. However, value-based benefits are now gaining ground over cost
com etitiveness
6
Annual Cost per FTE - Headquarters in the U.S. vs. R&D Centerin India
$180,000 $180,000
S D )
T E
/ Y e a r
( U
Cost
differential of about 1:4
$120,000
Cost
differential of about 1:3
$120,000
C o s
t /
$60,000 $60,000
$0
Captive US (West Coast)
$0
Captive US (East Coast)
Source: Zinnov Research
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Scalability, productivity and cost escalation are some of the key challengesfaced by R&D centers (1/2)
Headquarters are concerned about the increase in cost at R&D centers1
Key Challenges
ompan es ave seen a cos ncrease o per cen o per cen year-over-year Cost increase is the higher at smaller R&D centers due to difficulties in resource
optimization
Attrition
e a r on eve s a cen ers range rom per cen o per cen . scompanies dont have a concept of bench strength or buffer resources, the impact of attrition is higher compared to IT services firms
Attrition related best practices such as structured knowledge transfer, resourceshadowing are not common at R&D centers.
2
R&D center heads seem to easily get bored once they have completed the hiringprocess for the India center
R&D centers who are growing at a smaller pace and R&D centers whose globalrevenue is sta nant encounter hi her attrition at the senior levels.
ManagementStability
3
ProcessAdo tion
R&D centers have minimal processes. The Headquarters are not able to accuratelytrack the progress of the projects
As R&D centers are a part of the organization, it is very difficult to enforce process
4
discipline only at the India R&D center.
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Scalability, productivity and cost escalation are some of the key challengesfaced by R&D centers (2/2)
R&D centers are not able to hire at a rapid pace. They need resources with a varyinglevel of skill set and ca abilit . The dont have the recruitment bandwidth to screen a
5
Key Challenges
large number of engineers Lack of career options makes it difficult for them to attract good talent from IT services
firms.
Productivity
Productivity at the India centers tends to be 30 per cent to 40 per cent lower thanthat among the U.S. resources
Lack of product roadmap clarity or delays in decision making in the U.S. results in
significant idle time for the engineers Qualit of the talent lack of domain ex ertise and lower ex erience levels are
6
,considered as the major reasons for lower productivity at the India centers.
R&D centers are liable to pay taxes as per the transfer pricing regulations in India. TheIndian subsidiary is liable for the tax on the profits generated from the activities
Tax
.
Transfer Pricing Technique is used to determine the profit attributable to the subsidiaryunit. The price of services rendered by the PE to the head office or by the head officeto the PE is calculated on an arms length basis, i.e., a price which is applied in aransac on e ween persons o er an assoc a e en erpr ses. n an average,
amounts to about 15 per cent over and above the total operational costs of the Indiacenter.
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2007 witnessed a 10 per cent to 15 per cent increase in the operatingcosts of the R&D centers due to salary escalation and rupee appreciation
1
Cost Escalation in India Operations (YoY)
People costs accounts for about 62 per cent of the operating costs of R&D centers
16.2%
Y e a r
( U S D )
30,47034,665
41,117
e C o s
t / F T E /
2005 2006 2007
A v e r a
g
Source: Zinnov AnalysisNote: Onsite Location is assumed to be US
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The cost per FTE in embedded systems R&D is higher than that of softwareproduct development and engineering services R&D
Parameter SPD Embedded SystemsEngineering
Services
(Cost per FTE per
annum in USD)41,117 45,228 36,121
eop e os - - -
Infrastructure andFacilities 9% - 25%
12% - 25% 10% - 22%
Communication Travel 3% - 20% 5% - 20% 8% - 15%
Government/Re ulator
Cost- - -
Professional ServicesCost
3% - 13% 3% - 13% 3% - 13%
Source: Zinnov Research
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Most of the R&D centers in India incur an operating cost of USD 35,000 toUSD 55,000 per FTE/ year
6%100%
Total Operating Cost/FTE/Year
24%
75% C e n
t e r s
100%40%50% g e
o f R & D
18%25% P
e r c e n
t
12%0%
USD 55,000 Total
Cost/ FTE/ year
Note: Based on the sample of companies of different sizes across domains, studied by ZinnovSource: IDC forum; Zinnov Analysis
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Best Practices: Companies have tackled cost escalation by addressingvarious aspects of their operations
Productivity Improvement
25
Best Practices
People Cost OptimizationTax/Professional Services
34
Infrastructure OptimizationTravel and Communication
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Bangalore has the highest number312 R&D centers followed by Puneand NCR with 95 and 87 centers respectively
257
7
3
o a um er oR&D centers
87
231722
City Name
10
NCR
20
33
95
57312
29
Pune 16169
16
62
77
612
32y era a
0 - 50
50 - 100 200+
100 - 200
Headcount Range89
Chennai95
Note: NCR includes Chandigarh , Pune includesMumbai, Other locations account for about 11 R&DcentersSource: Zinnov Research
Total R&D Centers = 594
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High availability of desired talent pool makes Bangalore the top choice;Pune has recently emerged as a high-growth R&D location
oca on ssessmen o esLow Medium Potential Follower
Chandigarh
a l e n
t P o o
l Coimbatore
i l i t y o
f R & D
PuneNCR
Hyderabad
Chennai
Bangalore
A v a
i l a
High
**Low
High Potential Frontrunner
Note: * Position of bubbles indicates the attractiveness of a location as an R&D destination.**Cost Perspective: takes into consideration set up costs and operating costs
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Bangalore and Pune are the best locations for setting up R&D centers,Chandigarh and Coimbatore are emerging as feasible low cost options
Parameter HumanResources Cost InfrastructureSupport
EcosystemCity
Perception Overall Rating
Overall Location Assessment
Bangalore
Pune
Delhi/ NCR
Chennai
Coimbatore
Chandigarh
Source: Zinnov AnalysisNote: Location suitability ratings are given as per the mutual comparison of the 7 cities under consideration
FavorableNot Favorable
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NCR stands as the most expensive location, while Hyderabad has thecheapest facilities cost among Tier I cities
Facilities Cost* Differential across Cities, 2008
158
102 10092
85
10 8
H derabadBan alore ChennaiNCRPune Chandi arh Coimbatore
Source: Cushman & Wakefield: Indian Office Market overview (2007), Zinnov Analysis
Facilities cost includes lease deposit and monthly rental costs for central business areas in these citiesScore of each city indicates a percentage difference between the rental rates of these cities, all cities are benchmarked against Pune which is at 100.
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The talent pool in Pune and Hyderabad is not easily open to relocationunless provided with extremely unique incentives
Talent pool migration preferences across locations
Bangalore Pune Hyderabad NCR ChennaiDestination
CitySource
Bangalore
une
Hyderabad
NCR
Chennai
Note: Willingness to migrate shows the perception, willingness and preferences of the talent pool for relocating from one city to another. Reasons for
Low Moderate High Very High Willingness to Migrate
Source: Zinnov Interviews and Analysis
willingness to move could be compensation level, brand name, job profile, cost of living, ecosystem and friendliness of the city, domestic andinternational connectivity, and the cultural background and origin.
Only the top 5 product development cities are considered for this analysis. The above analysis is drawn specifically for product development talent pool installed across these 5 cities. It excludes expatriate talent
preferences.
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Installed talent pool in Indian R&D centers is currently 146,000 of whichsoftware product development engages about 52 per cent of the
rofessionalsTalent pool in R&D centers, 2008
Segments Bangalore Pune Delhi/NCR Hyderabad Chennai Grand Total
SPD 48,773 8,851 6,562 8,636 3,889 76,711
Embedded
Systems
17,201 3,990 8,557 2,890 1,320 33,958
EngineeringServices 14,911 9,541 5,200 1,600 4,839 36,091
Grand Total 80,885 22,382 20,319 13,126 10,048 146,760
Note: This includes talent pool only for the R&D centers in these locations
Talent pool analysis has been done only for 5 major R&D suited locations.Source: Zinnov Research, Zinnov Analysis
Fresh engineer base is currently 668 thousand more than 60 per cent of
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Fresh engineer base is currently 668 thousandmore than 60 per cent ofthis talent is based in the South
Delhi, NCR
Graduates (2008)668,000
73.5 K Name of State
Comp Electronics IS
Total Engineers
73.5 K 30K 30K 10.5K
Maharashtra147 K
93.5 K147 K
31.7K 58.2K 17.1K
93.5 K
19.8K 26.9K 12.6K
193.7 KKarnataka
100.2 K
193.7 K
100.2 K
19.3K 29.8K 10.5K
Tamil Naduo e:
Only AICTE approved engineering colleges are included for the study.
The size of the bubble indicates the amount of fresh talent pool passing out of engineering colleges
Fresh talent from other states: 60.1 K Source: Zinnov Research, NAAC, AICTE
. . .
T d lik g i g l d hi t l t d i i d t hi
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Trends like growing leadership talent and increase in product ownership arepositioning India at the forefront of R&D offshoring capabilities
1
Stable for atleast 5-6 years Capability to influence decision
makers at HQ
management team in the U.S.
Disciplined ProcessesDisciplined ProcessesCatalyst for EmergingCatalyst for Emerging4 2
Decide on the optimalengagement and projectmodels
Define metrics to measure
Reinvest part of the savings tobuild prototypes for emergingmarkets
Help your CEO understand the Key Success Structured training program for
engineers Improve recruitment efficiency
market in India Build strong product
management function
ac ors
Product OwnershipProduct Ownership Strive to gain ownership on
product development Abilit to anal ze ortfolio to
gauge the benefits of producttransition to India
Increase touch point withcustomers
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and shall have no liability for the same. The report is provided solely for informational purposes and
opinions must not be construed as advice recommendations or endorsements. The reader of thereport is advised to conduct an independent evaluation and form conclusions with respect to theinformation provided.
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