C929 IT Sourcing and Development in a Global Economy David Dickinson

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IT Sourcing and Development in a Global Economy 1 David R Dickinson Western Governors University C929 IT Sourcing and Development in a Global Economy Jerry Geiser

IT Sourcing and Development in a Global Economy 2 A. Summarize Endothon’s outsourcing needs and expectations. Endothon needs a new SAP ERP system compatible with their customers' systems. They've decided to outsource the ERP system development to an offshore vendor, with a budget of $10 million and an aggressive timeline. Bullzai, Ltd. and Synesthor, Ltd. are the two final competing vendors. The ERP system needs to focus on three significant modules: Financial Accounting and Controlling, Human Resources Management System, and Sales and Distribution. Bullzai has experience developing ERP systems for medium- to large-sized organizations and has the necessary resources to turn projects around quickly. However, some people have complained that their employees are difficult to understand, and there was a security breach in 2011. On the other hand, Synesthor's predominantly Eastern European software engineers speak English that most Americans can understand, and they have several American client-service representatives. However, Synesthor is known for failing to complete projects on schedule and had to shut down in 2012 due to payroll issues. B. Identify the project sponsor, stakeholders, and steering committee. Sponsor: Maria Sousa (CEO) & Board of Directors Stakeholders: John Prescott (COO), Kevin Cahill (CFO), Jon Rasmussen (CMO), Mei Lee (CIO) Steering Committee: Anne Scofield (Sr VP of HR), Alice Trebold (Chief of Supply Chain Manufacturing), Sam Goodwin (Sr VP of Sales) C. Strengths and weaknesses of the proposal from Bullzai Ltd. (Bullzai),

IT Sourcing and Development in a Global Economy 3 Bullzai Ltd. is based in Chandigarh, India, with multiple international branches. It is publicly traded, with a market revenue of 13 billion rupees (roughly 175 million USD as of January 09, 2022). Their proposal meets most of Endothon's requirements as outlined in the RFP. Strengths: 1. Bullzai has previously worked with two domestic clients and helped increase revenue through their IT services. 2. They use cloud-based solutions on Oracle's Web Services System (OWSS), which will help streamline Endothon's customer SAP data and reduce future scaling costs. 3. Bullzai has several industry standards and best practices, including CoBit 5 Governance, ITSM, and PMI, and conforms to ISO 20000 and SOX 2011 Standards. 4. Bullzai is cost-conscious and proposes fixed pricing with a total possible 10-year price tag of ~$3.5 million, which is under budget by millions. They commit to holding weekly finance review meetings to ensure the project stays within budget. Weaknesses: 1. Bullzai requested a Non-Restrictive Relationship in the Miscellaneous Clauses section of the proposal, leaving the door open to data contamination, leaking, or IP theft. 2. Bullzai's milestones and target time are two months past Endothon's desired completion date of ten months. 3. They need to mention what training plans and certifications they will offer Endothon employees to prepare for the hand-off at the two-year mark. D. Summarize the strengths and weaknesses of the proposal from Synesthor Ltd. (Synesthor)

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