Managing Global Development Risk / Edition 1

by James M. Hussey, Steven E. Hall

Overview

While global sourcing has expanded dramatically in terms of activities, consistent challenges remain for organizations that choose such a business decision. These challenges include maximizing the opportunity afforded by globalization, fully realizing potential gains, and managing the risks inherent to global development. In addition, while companies continue to start or expand their use of global resources, little is being done to help project managers, business analysts, architects, and others succeed in this new environment.

Built upon real-world experiences, Managing Global Development Risk provides the tools, techniques, and knowledge necessary to achieve project success with offshore resources. By reading and utilizing the templates within this book, you will acquire:

• Knowledge of project management principles and their application
• Understanding of software development processes and their application
• Insight into the diverse personalities within your global development team and the appropriate management and communications style to achieve success
• Awareness of cultural issues and mannerisms that will enhance your ability to guide your team

To fully realize the benefits of global development, a proper mix of local and offshore resources is essential. This book is an important tool that can help you gain the necessary competency and expand your skills in this critical area.

Product Details

ISBN-13:	9780367388362
Publisher:	Taylor & Francis
Publication date:	09/19/2019
Pages:	256
Product dimensions:	6.12(w) x 9.19(h) x (d)

About the Author

Hussey, James M.; Hall, Steven E.

Table of Contents

Introduction xiii

About the Authors xv

1 The Emergence of Global Development Managers 1

A Introduction 1

B Managing Global Development Risk - What You Will Learn 2

C Why Is This Important To You? 3

2 Offshore Trends 5

A Introduction 5

B Offshore Market Dynamics 6

1 Offshore Development - The Perfect Storm 6

a Staff Augmentation 6

b Onsite Projects 7

c "Over-the-Wall" Project Development 7

d Offshore Development 7

C Offshore Adoption Model 8

D Offshore Destinations 8

1 Global Sourcing Macro-Region Issues 9

a Language Capabilities 9

b Resource Capabilities 10

c Attrition 12

d Corporate Leverage 12

2 Global Sourcing Country Issues 13

a India 13

b China 14

c Russia 16

d Philippines 16

e Eastern Europe 16

f South America 17

g Near-Shore Alternatives 17

h Other Players 18

3 Supplier Categories 18

a Multinational Corporations 18

b Pure Plays 19

c Captive Centers 20

4 Offshore Operating Models 20

a Offshore Development Center 20

b Build Operate Transfer 21

c Joint Venture 22

d Captive Center 22

5 Global Sourcing Pricing Dynamics 23

a Rates 24

b Onsite-Offshore Ratio 25

c Visa Considerations 25

d Staffing Models 25

6 Pricing Options 26

a Fixed Price 26

b Time and Material 27

c Cost Plus 28

d Other 29

7 Negotiation Posture 29

a Multinational Corporations 29

b Pure Plays 30

8 Summary - Negotiation Posture 32

9 Global Sourcing Contract Structure 32

10 Offshore Governance 36

3 The Foundation of Global Development Management 37

A Introduction 37

B Role of the Global Development Manager 38

C Global Development Manager Leadership Requirements 40

D Global Software Project Management Methodologies 40

1 Project Management Institute 44

2 The Capability Maturity Model 44

a Process Alignment - The Hidden Challenge 47

3 The Global Service Provider 'Badge of Courage' 47

4 The People Capability Maturity Model for Software Management 50

5 Capability Maturity Model Integration 50

6 International Organization for Standardization 9000 51

D Six Sigma 52

E Summary 52

4 Initiating the Global Development Project 55

A Introduction 55

B Global Measure of Success 59

C Global Project and Approach Definition 61

1 Staff Augmentation 61

2 Discretionary Projects 62

3 Enhancements to Stable Applications, Minimal Change 63

4 Maintenance of Legacy Applications 63

5 Software Testing 64

6 Package Implementations 64

D Global Development Feasibility 65

1 Maturity of Internal Organization 65

2 Internal Team Composition 65

3 Communication and Escalation Plan 66

4 Cultural Misunderstanding 66

E Onsite and Offshore Global Development Staff Profile 66

1 Cost 67

2 Staff Augmentation 68

3 Application Development Maintenance 68

4 Increased Capacity 68

F Global Development Procedure Manual 69

G Global Development Roles and Responsibilities 71

1 Global Service Provider Roles and Responsibilities 72

2 Internal Development Team Roles and Responsibilities 74

H Global Success Factors - Service Level Agreements and Metrics 74

1 Service Level Agreements 76

2 Metrics 78

I Identification of Global Risks 78

1 Global Risk 79

a Loss of Intellectual Property 79

b Loss of Internal Knowledge or Innovation 79

c Potential Breach of Security 79

d Potential for Poorer Quality 80

e Language and Cultural Barriers 80

2 Contractual Risk 80

3 Project Risk 81

J Global Issue Management 81

K Summary 81

5 Planning the Global Development Project 85

A Introduction 85

B Develop Statement of Work 86

1 Global Knowledge Acquisition and Knowledge Transfer Statement of Work 88

2 Global Development Project Statement of Work 89

C Knowledge Acquisition 90

D Knowledge Transfer 93

E Estimating the Effort 94

1 Estimating Techniques 95

a Function Point Analysis 96

b Use Case Analysis 97

2 Evaluating Global Productivity 98

3 Global Resource Ramp-Up Plan 99

4 Final Estimation 100

F Global Development Project Plan (GDPP) 103

1 Global Development Project Overview 105

2 Project Scope 105

3 Project Organization 105

4 Key Contact List 106

5 Key Milestones 106

6 Assumptions 106

7 Processes 106

8 Scope and Change Management Process 107

9 Estimated Size and Effort 108

10 Schedule and Project Tracking 108

11 Staffing Plan (Onsite and Offshore Mix) 109

12 Roles and Responsibilities 110

13 Global Development Methodology 110

14 Global Development Environment 112

15 Configuration Management Plan and Process 113

16 Issue Reporting and Risk Management 114

17 Global Communications Plan 114

18 Estimated Costs 115

G Global Staffing 116

H Resource Management 117

I Quality Plan 118

1 Quality Goals 119

2 Quality Processes 120

3 Metrics Collection and Evaluation 122

J Global Risk Management 127

1 Risk Assessment 127

2 Risk Control 128

K Summary 129

1 Deliverables from the Planning Phase 129

2 Planning Phase Service Levels 129

3 Planning Phase Metrics 130

4 Planning Phase Risks and Issues 130

6 Executing a Global Development Project 135

A Introduction 135

1 Conference Calls 137

2 Chat Tools 137

3 Video Conferencing 138

4 Application Sharing 138

5 E-Mail Usage 138

6 Document Repository 138

B Integrating the Global Team through the Software Development Life Cycle 144

1 Definition (Scope and Requirements) 146

2 Design 148

a The Global Design Phase 149

3 Code and Unit Test 150

4 Verification (System Test and User Acceptance) 152

a Common Test Bed 154

5 Implementation 157

C Impact of Cultural Issues on Execution 157

D Summary 158

1 Execution Phase Deliverables 158

2 Execution Phase Service Levels 159

3 Execution Phase Metrics 159

4 Execution Phase Risks and Issues 159

7 Controlling a Global Delivery Project 165

A Introduction 165

B Quality Assurance 167

C Risk Management 170

D Performance Reporting 171

E Change Control 175

F Version Control 176

G Managing Productivity 177

1 Function Point Analysis 178

2 Estimating Models 178

H Resource Management 179

I Earned Value Analysis 181

J Summary 187

1 Deliverables from the Controlling Phase 188

2 Control Phase Service Levels 188

3 Control Phase Metrics 188

4 Control Phase Risks and Issues 188