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Playing the home advantageUK Nearshore Delivery Centers
Playing the home advantageUK Nearshore Delivery CentersAndy BatesVP, Infrastructure Transformation ServicesMarch 2011
Why have UK Nearshore? For our customers … Data Privacy Location Staff Retention EU Data Protection holds UK UK location means teams can Gives clients an extended companies accountable for interact 8 hours a day resource pool customer data stored with Close to International airports Staff retention is a major vendors (Directive 95/46/EC); Quick and easy access to strength of our UK locations. keeping data onshore isbecoming increasingly important Motorway and Rail links to UK Nearshore Delivery Centre to UK/EU corporations London and other major cities attrition rate for 2011 currently Allows staff to be deployed to stands at 10.7% customer sites where required Benefits of low attrition are: knowledge retention, continuity, increased productivity | Infrastructure Services 2 © 2011 Capgemini. All rights reserved.
For Capgemini ... Salary and Attracting and Adjusting theOperating Costs Retaining Staff Pyramid Like-for-like salaries are lower. Lifestyle change attracts Allows us to expand onshore Savings of up to 20% are existing staff and increases at lower levels to help us certainly achievable. satisfaction. adjust our staff “pyramid”TCO of employees is even lower Less competition means it is following several years of as impact of cheaper property, easier to recruit and retain limited growth. and associated services are factored in. staff. We can recruit apprentices There is a bigger pool of high and junior level grades. Per desk cost @Nairn approx 50% of cost @Woking quality resources to introduce Blending highly experienced into lower grades resource with closely mentored/supervised juniorGrants can help reduce the start- resource gives high value for up costs money | Infrastructure Services 3 © 2011 Capgemini. All rights reserved.
UK Delivery Centres Focus for UK RDC GrowthExpansion in our Infrastructure Delivery Centres Inverness •Rotherham Nairn •Bristol and Swansea •Inverness and Nairn Glasgow EdinburghExpansion in our FS Delivery Centres: •Newcastle Newcastle •Preston Preston Rotherham •Liverpool Liverpool Leeds •Leeds Manchester Telford Aston Swansea Swindon Bristol London Woking Worthing | Infrastructure Services Insert “Title, Author, Date" 4 © 2012 Capgemini. All rights reserved.
Capgemini’s clients served Newcastle ClientsPreston x3 Tier One USClients Investment BanksX3 Tier One US x2 Tier OneInvestment Banks x1 European InvestmentTier One European Banks InvernessInvestment Bank Nairn x1 major Japanese Investment Bank Glasgow Edinburgh Newcastle Preston Liverpool Liverpool Rotherham Leeds Leeds Manchester Clients Aston Telford Clients Swansea Swindon x1 major Japanese x3 Tier One US Bristol Woking London Securities House Investment Banks Worthing x3 Tier One USx1 Tier One European Investment Banks Investment Bank x1 major British Bank x1 major Japanese Investment Bank Toltec and Swansea Rotherham Infrastructure Support for Secure Shared Service for Inverness Government Infrastructure Support & Nairn Clients for Private Sector Apps Packaging and 30+ Government, SOE Finance and Private sector clients | Infrastructure Services 5 © 2011 Capgemini. All rights reserved.
Services Available from our Regional UK Delivery Centres Service Management Server Support Consultancy DBA Service Desk Unix and Wintel Support IT Strategy Storage & Capacity Planning Service Management Virtualisation IT Governance Installation, Configuration, Service Delivery Storage Management Shared Services Upgrading & Patching Level 2&3 Support Level 4 Support IT Service Management Backup and Recovery Corefirst Installation Technical Architecture End User Computing Project Management Testing Architecture Consultancy AD Administration Programme Office Regression Testing Architecture Build & Exchange & Lync Admin Application Transition Functional Testing Implementation SharePoint Admin Infrastructure Programmes User Acceptance Testing Infrastructure Strategy & Windows Build Factory End User Rollouts Operational Acceptance Testing Architecture Application Packaging Factory Process Reengineering Performance Testing Functional Design BCP & DR Test Management Deployment Environment Management Migrations Database Management Business Analysis Scheduling Systems Analysis Logical and Physical Design/implementation | Infrastructure Services 6 © 2011 Capgemini. All rights reserved.
Experience of Attracting and Retaining staff • Offering near shore services for last 16 years • Particularly strong in Capital Markets, Service Desk & End User SupportWell established • Mainframe offerings • UK Government support from Wales & West • Experienced external candidates with IT Skills from other blue chip firms Strong Talent • Experienced existing workforce in Banking, Finance and Insurance • Award winning Apprentice Programme to train the next generation of pool junior developers and systems administratorsExcellent quality • Arts, entertainment, outdoor recreation &sports • Favorable cost of living and strong regional identities of life • Significant success in relocating staff seeking change | Infrastructure Services 7 © 2011 Capgemini. All rights reserved.
Training Programmes & Certifications Software Developer Advanced Apprenticeship Why an Apprenticeship Scheme? The Programme Classes of 12 students: Good alternative to University • 17/18 year olds with an IT interest Flexibility to grow your own talent Higher retention rate and loyalty • Right attitude and commitment Enthusiasm and energy • Preference to „earn and learn‟ Value for money 2 Year Advanced (IT) Apprenticeship UK Government support • In-House Training – 6 Months „Boot Camp‟ Investing in development of new UK talent • Technical: Mainframe, Java, BIM, BPM • IT Lifecycle Ensures the supply of the next generation of • Business and Professional Skills senior talent • Learning Partner (QA) • General IT Training • Work Experience: • Assigned mentors / projects • Real work for real clients for real money | Infrastructure Services 8 © 2011 Capgemini. All rights reserved.
Support for and Further Benefits of Creating RDCs We have used Regional Grants to support the formation and growth of RDCs Typically they can cover: Training costs & apprenticeships Salary costs for a period for associated new role Time to agree Our experience is that they can take c6 months to agree Formation of RDCs can generate significant regional goodwill and press Opportunities to linking Increased support fromThey attract regional and national Access to regional recruitment recruitment to redeployment from Universities and FE to provided press campaigns other suppliers creates goodwill focused education | Infrastructure Services 9 © 2011 Capgemini. All rights reserved.
Where are we going? 2012 2013 2014In the last few years nearshoring has emerged as an attractive sourcing strategy for European firms due toavailability, world-class infrastructure, and cultural affinity.UK FSIs have traditionally been outsourcing most of their work offshore, but nearshore outsourcing to cities inthe UK is expected to grow as firms look to have better control and supervision of their outsourced work.Several IT-BPO organizations and FSIs are leveraging the Northern UK cities for their nearshore/ back-officeoperations — Market Intelligence | Infrastructure Services 10 © 2011 Capgemini. All rights reserved.
More information Contact Andy Bates - Andrew.Bates@capgemini.com http://uk.linkedin.com/in/andybates @CapgeminiUKPR About Capgemini With more than 115,000 people in A deeply multicultural organization,40 countries, Capgemini is one of the Capgemini has developed its own way ofworlds foremost providers of consulting, working, the Collaborative Business TM ®technology and outsourcing services. The Experience , and draws on Rightshore ,Group reported 2010 global revenues of its worldwide delivery model.EUR 8.7 billion Learn more about us atTogether with its clients, Capgemini creates www.capgemini.com.and delivers business and technologysolutions that fit their needs and drive the ® Rightshore is a trademark belonging to Capgeminiresults they want. | Infrastructure Services Insert “Title, Author, Date" © 2012 Capgemini. All rights reserved. 11
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