Date: 05.04.2004

:: Introduction :: Contracting :: Project management :: Software engineering ::

Introduction

Outsourcing has been gaining momentum in the past few years for the primary reason of cost reduction. Companies of all sizes are now embracing outsourcing for a vast array of functions and processes. It is prudent business practice for those who are not, to at least evaluate it as a strategy.

AlliedSoft has been contracted since early 2002 to develop, deploy, and maintain the software components of the Hydropower Control Information Management System (HPC-IMS). This system has been commissioned by a major power generation equipment supplier in Europe. AlliedSoft was awarded the software components contract through a mid-level subcontractor having a business partnership relationship with AlliedSoft.

This subcontractor needed to award the software part to a third party with the needed capabilities and resources, and with a view of maximizing its profitability on this project. Since April 2002, AlliedSoft has had a maximum of eight (8) people working on this project; currently the team consists of five (5) people. These resources have the required analysis, design, and Microsoft .NET development capabilities, as well as the willingness to travel onsite for system deployment and site acceptance testing. The team also has the needed commitment and dedication to do whatever it takes to insure project success.

AlliedSoft has successfully deployed this software at the Three Gorges Dam in China, and will continue to maintain and deploy this software at other sites in China, Pakistan, and Brazil.

Contracting

There are two main deliverables from AlliedSoft: 1) software development, and 2) software deployment and site acceptance testing. Software development (including “alpha” testing) is contracted as Fixed Time / Fixed Price, while deployment and site acceptance testing activities are contracted as Time & Material to alleviate any risks

resulting from unpredictable expectations of the end client. AlliedSoft contracts solely with the mid-level subcontractor, who acts as our direct client.

Project management

Communication Planning

Project communication is structured so that AlliedSoft communicates status, issues, and decisions exclusively with the mid-level subcontractor. We have no direct communication with the other players on the project except when expressly allowed by the mid-level subcontractor. The mid-level subcontractor communicates our status, and resolves issues with the main contractor. This mitigates the risk of having to deal with and satisfy multiple clients on this project.

Estimation

For the software components under our scope, the mid-level subcontractor requires our estimates prior to committing the schedule with the main contractor. Final estimates are agreed to by AlliedSoft and the mid-level subcontractor, taking the overall project schedule into consideration.

Status Reporting

AlliedSoft submits weekly written status reports to our direct client via e-mail, including completed tasks, tasks in progress, open issues, decisions, and general concerns. Further clarifications and urgent issues are communicated immediately through conference calls. Minutes of such conference calls are also documented and sent via e-mail.

Change Management

Changes to the agreed upon scope of work are communicated to AlliedSoft by our direct client. AlliedSoft studies the technical and business impact of the change and responds to our direct client, who in turn adds his own impact assessment and provides a final response to the main contractor. AlliedSoft will only proceed with the change when requested to do so by our direct client.

Software Engineering

Specification and Design

Software module or component specification is communicated from the mid-level subcontractor to the AlliedSoft HPC-IMS project manager in writing. Suggested highlevel design specifications may also be included. AlliedSoft studies these specifications and replies with a more detailed specification document, including detailed requirements, design specifications, and effort and duration estimates. A minimal contract which includes work description, duration, and price is submitted to and finalized with our direct client.

Development and Alpha Testing

When the contract is approved (verbal or email approval is accepted to expedite work), the HPC-IMS project manager initiates the work by distributing the required tasks among his team members.

AlliedSoft performs as much functional testing as possible at our location in Amman, Jordan.

Factory Acceptance Testing

Functional testing is verified and completed at a “model office” facility in Germany, with the involvement of relevant AlliedSoft team members, our direct client, and the main contractor. This is called the Factory Acceptance Testing (FAT). A “punch list” is produced at the end of the FAT and problems are resolved prior to the deployment and Site Acceptance Testing.

Deployment and Site Acceptance Testing

The appropriate AlliedSoft team members travel to the end client site and are integral members of the HPC-IMS supplier team. They participate in the deployment (commissioning) of the system and in gaining final acceptance from the end client. This is called the Site Acceptance Test (SAT). Another “punch list” may be produced at the end of the SAT where we promptly resolve any problems within our responsibility.

Post Deployment Maintenance and Support

Maintenance and remote and on-site support are required after SAT. AlliedSoft handles maintenance orders and support requests only when requested by our direct client. This way, we insure that such work does not get lost among the various stakeholders in the project.

Success Factors

The following factors are considered crucial for this project’s success.

Clear, open, and timely communication between AlliedSoft and its direct client.

Willingness to travel whenever project needs require it. This applies to both AlliedSoft and our direct client.

Willingness among all team members to fully commit and be dedicated to the project’s success and to client satisfaction.

A sense of partnership with our direct client.

Added Value

We strongly believe in the added value we have contributed to the overall project in our role as a software development outsourcing provider, including the following.

Reduced cost on our direct client allowing him to realize a larger profit margin.

Delivery of state-of-the-art software comparable with international quality standards.

Sharing risk with our direct client in order to contribute more effectively to overall project success.

About AlliedSoft

AlliedSoft is a world-class software development company. Based in Jordan and established by a multinational partnership with a track record of success in previous business ventures, AlliedSoft caters for clients’ needs in both Europe and the Middle East.

AlliedSoft is focused on providing groundbreaking software solutions based on the client’s business needs. We can provide a full range of technical services including software development, outsourcing, systems integration, and IT consulting.

Our delivery methodology is based on state of the art technologies, qualified people with different professional backgrounds and experiences, and a clear set of processes to ensure highest quality of final deliverables.

More Information

Osamah Yacoub

Phone: +962 6 5820316 ext. 42

E-Mail: oyacoub@alliedsoft.com.jo

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