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Enterprise Application Management:
How to Evaluate an Outsourcing Partnership




                                   http://www.oneneck.com
Enterprise Application Management



• A greater number of companies today are turning to service
  providers for enterprise application management.


• Outsourcing promotes innovation and optimization of the
  application environment; but only if you work with the right
  partner and you streamline internal IT processes.


• According to Forrester’s Services Sourcing Playbook,
  organizations must maintain effective project management
  and internal process consistency.


                                                     http://www.oneneck.com
Enterprise Application Management




• The key to a successful outsourcing relationship starts with
  improving internal processes, then selecting the right
  enterprise application management provider.

• To determine if you’ve found the best fit and to identify any
  provider or internal weaknesses before you commit to a
  long-term contract, Forrester recommends you collect the
  following information:




                                                      http://www.oneneck.com
Enterprise Application Management

Project management track record.

When considering outsourcing enterprise application management, companies need to
evaluate how a provider performs project management functions.

You need to ask what percentage of complex IT projects were delivered within established
time and cost parameters.
A high percentage indicates a competent provider that can accurately manage project scope.

If the outsourcing provider’s record isn’t as strong as it should be, you may have to spend
time and money reworking projects.

Project management expertise.

You want to evaluate the backgrounds of the enterprise application management provider’s
staff.
          For example, you should find out what percentage of the staff is PMI-certified.

Expert project management is necessary to successfully manage IT projects and resources.
You also want to know the percentage of projects managed through a central program
management office, or PMO. PMOs ensure consistency and quality.

                                                                               http://www.oneneck.com
Enterprise Application Management


Communication and collaboration tools.
Distributed projects rely on content sharing tools, real-time communications and advanced
workflows.

If the provider relies on manual processes, you risk decreased efficiency in enterprise
application management.

To promote the best possible working relationship, you should carefully evaluate how a
service provider will work with your staff.

Standardized internal processes.
A service provider has to understand and accommodate your company’s numerous
processes.
It’s much easier if your organization follows a single standardized development and
maintenance process that the outsourcer already has established.
Be sure to ask for and evaluate the provider’s SSAE 16 audit report for confirmation that they
create and follow appropriate processes and procedures.


                                                                                  http://www.oneneck.com
Enterprise Application Management


Managing to SLAs.
Service-level agreements (SLAs) ensure outsourcing providers meet their obligations and
service commitments.
They establish mutual responsibility.
Companies currently using SLAs, or that have experience with them, will be better
positioned to establish meaningful parameters with the enterprise application management
provider.



User acceptance testing.
An organization should have a formal internal approval process for delivery of projects.
Prior to approval, users typically participate in acceptance testing. This type of process is
essential to outsourcing relationships.
When working with a service provider, a company must be able to accept systems or
changes prior to production.



                                                                                  http://www.oneneck.com
Enterprise Application Management




• It’s not just the outsourcing provider’s qualifications that must be carefully
  measured.

• Companies must evaluate their own internal processes and improve them
  as needed to help an enterprise application management partnership
  succeed.

• Too often organizations focus only on the service provider’s capabilities.
  Although this is a critical component of the overall analysis, you can’t
  forget to look inward.

• Maximum value can be derived from an outsourcing partnership when
  companies improve their internal IT processes.



                                                                     http://www.oneneck.com
Enterprise Application Management



 • OneNeck’s enterprise application management team is
   dedicated to maintaining applications in a configuration
   optimized to meet each customer’s specific needs.

 • To ensure optimal system performance and availability,
   the application administrators work closely with the
   database and operating system administrators to
   proactively monitor and tune each system.

 • OneNeck supports top tier ERP applications such as
   Oracle, JD Edwards, Baan, Microsoft Dynamics AX and
   more.


                                                   http://www.oneneck.com
About the
Author

Chuck Vermillion is CEO and founder of
OneNeck IT Services, a leading provider
of hosted application management and
managed services since 1997.

      For more information about
  Enterprise Application Management,
    visit http://www.oneneck.com
                  today.

                                    http://www.oneneck.com

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Enterprise Application Management: How to Evaluate an Outsourcing Partnership

  • 1. Enterprise Application Management: How to Evaluate an Outsourcing Partnership http://www.oneneck.com
  • 2. Enterprise Application Management • A greater number of companies today are turning to service providers for enterprise application management. • Outsourcing promotes innovation and optimization of the application environment; but only if you work with the right partner and you streamline internal IT processes. • According to Forrester’s Services Sourcing Playbook, organizations must maintain effective project management and internal process consistency. http://www.oneneck.com
  • 3. Enterprise Application Management • The key to a successful outsourcing relationship starts with improving internal processes, then selecting the right enterprise application management provider. • To determine if you’ve found the best fit and to identify any provider or internal weaknesses before you commit to a long-term contract, Forrester recommends you collect the following information: http://www.oneneck.com
  • 4. Enterprise Application Management Project management track record. When considering outsourcing enterprise application management, companies need to evaluate how a provider performs project management functions. You need to ask what percentage of complex IT projects were delivered within established time and cost parameters. A high percentage indicates a competent provider that can accurately manage project scope. If the outsourcing provider’s record isn’t as strong as it should be, you may have to spend time and money reworking projects. Project management expertise. You want to evaluate the backgrounds of the enterprise application management provider’s staff. For example, you should find out what percentage of the staff is PMI-certified. Expert project management is necessary to successfully manage IT projects and resources. You also want to know the percentage of projects managed through a central program management office, or PMO. PMOs ensure consistency and quality. http://www.oneneck.com
  • 5. Enterprise Application Management Communication and collaboration tools. Distributed projects rely on content sharing tools, real-time communications and advanced workflows. If the provider relies on manual processes, you risk decreased efficiency in enterprise application management. To promote the best possible working relationship, you should carefully evaluate how a service provider will work with your staff. Standardized internal processes. A service provider has to understand and accommodate your company’s numerous processes. It’s much easier if your organization follows a single standardized development and maintenance process that the outsourcer already has established. Be sure to ask for and evaluate the provider’s SSAE 16 audit report for confirmation that they create and follow appropriate processes and procedures. http://www.oneneck.com
  • 6. Enterprise Application Management Managing to SLAs. Service-level agreements (SLAs) ensure outsourcing providers meet their obligations and service commitments. They establish mutual responsibility. Companies currently using SLAs, or that have experience with them, will be better positioned to establish meaningful parameters with the enterprise application management provider. User acceptance testing. An organization should have a formal internal approval process for delivery of projects. Prior to approval, users typically participate in acceptance testing. This type of process is essential to outsourcing relationships. When working with a service provider, a company must be able to accept systems or changes prior to production. http://www.oneneck.com
  • 7. Enterprise Application Management • It’s not just the outsourcing provider’s qualifications that must be carefully measured. • Companies must evaluate their own internal processes and improve them as needed to help an enterprise application management partnership succeed. • Too often organizations focus only on the service provider’s capabilities. Although this is a critical component of the overall analysis, you can’t forget to look inward. • Maximum value can be derived from an outsourcing partnership when companies improve their internal IT processes. http://www.oneneck.com
  • 8. Enterprise Application Management • OneNeck’s enterprise application management team is dedicated to maintaining applications in a configuration optimized to meet each customer’s specific needs. • To ensure optimal system performance and availability, the application administrators work closely with the database and operating system administrators to proactively monitor and tune each system. • OneNeck supports top tier ERP applications such as Oracle, JD Edwards, Baan, Microsoft Dynamics AX and more. http://www.oneneck.com
  • 9. About the Author Chuck Vermillion is CEO and founder of OneNeck IT Services, a leading provider of hosted application management and managed services since 1997. For more information about Enterprise Application Management, visit http://www.oneneck.com today. http://www.oneneck.com