ANN: Agile Outsourcing

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The idea of agile outsourcing came to me after finishing up my latest book:
Java Web Services Architecture
(http://www.amazon.com/exec/obidos/ASIN/1558609008/) and in having
discussions with Scott Ambler. Having received large acceptance of this book
by outsourcing firms overseas such as Wipro, Covansys, Tata, IBM, EDS, CSC
and others, I realized there was a common problem and sought the solution to
it.



The industry is going down the path of diverging thoughts. Agile methods
(www.agilemanifesto.org) is sometimes viewed as an extreme to the principles
practiced by SEI/CMM believers at outsourcers. Being a person that is savage
in pursuit of excellence, I thought about solving for the answer.



Outsourcing should not be viewed as contrary to agile principles. Instead,
the two distinct thoughts should be blended. One of the primary
contradictions is the savage pursuit of CMM and the need for comprehensive
documentation.



Agile methods empower developers to trust their instincts and build software
creatively rather than mechanically. Many teams found themselves so burdened
by their plan of development that writing any code was almost an
afterthought. For example, consider the requirement of keeping detailed
on-going code documentation. Developing software is a dynamic process.
Developers will often leave the detailed object diagram behind after the
first month.



Writing software is massively complex in many enterprises. The ability to
predict how components will interact as lines of code are added to a project
are beyond the masses in the software industry (present company included).
At this stage, it is more important to employ an empirical process that uses
generous feedback and response. Only then will software in an outsourced
model become agile.



The feedback stage is crucial. Agile enterprises should not be caught in the
vicious deception that documentation at frequent stages in the form of
status reports is wise. The only thing that matters is working software. The
only proof of working software is working software. Pay close attention to
how the software works not what the documentation says how it works.



When working with an outsourcer once should mandate frequent releases of
software. An agile enterprise will never let themselves not see working
software for any more than two weeks. The more frequent one sees working
software, the better.



To further consider agile outsourcing one should consider relative location
of the outsourcer. Countries that provide outsourcing capabilities that are
closer to the United States include Barbados, Brazil, Uruguay, Philippines
and Ireland. The cost structures in these countries are similar to what can
be found in India, China and Russia but have additional advantages
including:



  a.. Ability to collaborate with offshore resources that are in the same
time zone during the business day.
  b.. The ability for offshore developers to travel onsite at a moment’s
notice without introducing the complexity of securing Visa’s.
  c.. The ability for employees to travel to offshore facilities and have
zero concerns about climate, potable sources of water or a long regimented
set of prescription drugs that must be taken prior to travel. Keeping your
own employees healthy is good for business and helps reduce other costs
associated with health insurance and other forms of liability.
  d.. India has conflicts with Pakistan, China has conflicts with North
Korea and Russia has been known to aid Iraq. Barbados for example, doesn’t
have any of these concerns and will allow for piece of mind.
  e.. Cultural differences are also more easily bridged if both parties use
the same vocabularies for communication. For example, the American culture
is not filled with formal English but includes slang and words that have
been adjusted over time from their original meaning. In Barbados, and other
South American countries, they watch the same Television shows as Americans,
so communication is easier.
  f.. The thought of what hit fits the shan is best realized when the
country you outsource to is easily reachable by direct flights that can be
reached in a single business day from major airports such as JFK, Miami,
Chicago’s O’Hare, and LAX brings an additional piece of mind.


Another form of agile outsourcing is to consider building your own
outsourcing solution. Agile companies like Phoenix (Headquartered in
Hartford) early on built their own offshore facility in Bangalore India to
maintain control of resourcing and make sure they receive all of the
benefits a salaried employee in the States would. This allows for them to
have an offshore model yet ensure that people working on the project have a
vested interest in the success and are not simply interested in increasing
the headcount.



The Phoenix approach also allows for further cost reduction in that they are
keeping the profit margin otherwise given to an outsourcer for themselves.
The side advantage of this approach is that they can leverage L1 Visa’s in
an ethical manner, something in which other outsourcers cannot admit to.



The goal of this forum will be to further expand the industry’s thoughts of
better ways to merge agile methods with outsourcing. I welcome you to join
the Agile Outsourcing Yahoo Group at:
http://groups.yahoo.com/group/agileoutsourcing.



James McGovern

Father of Agile Outsourcing

Co-author of best selling book: Java Web Services Architecture

http://www.amazon.com/exec/obidos/ASIN/1558609008/






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PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">The idea of agil=
e=20
outsourcing came to me after finishing up my latest book: Java Web Services=
=20
Architecture (<A=20
href=3D"http://www.amazon.com/exec/obidos/ASIN/1558609008/">http://www.amaz=
on.com/exec/obidos/ASIN/1558609008/</A>)=20
and in having discussions with Scott Ambler. Having received large acceptan=
ce of=20
this book by outsourcing firms overseas such as Wipro, Covansys, Tata, IBM,=
 EDS,=20
CSC and others, I realized there was a common problem and sought the soluti=
on to=20
it.&nbsp;&nbsp;</SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial"></SPAN>&nbsp;</P=
>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">The industry is =
going=20
down the path of diverging thoughts. Agile methods (<A=20
href=3D"http://www.agilemanifesto.org/">www.agilemanifesto.org</A>) is some=
times=20
viewed as an extreme to the principles practiced by SEI/CMM believers at=20
outsourcers. Being a person that is savage in pursuit of excellence, I thou=
ght=20
about solving for the answer. </SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
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style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">&nbsp;<?xml:name=
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/><o:p></o:p></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">Outsourcing shou=
ld not=20
be viewed as contrary to agile principles. Instead, the two distinct though=
ts=20
should be blended. One of the primary contradictions is the savage pursuit =
of=20
CMM and the need for comprehensive documentation.<o:p></o:p></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">&nbsp;<o:p></o:p=
></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">Agile methods em=
power=20
developers to trust their instincts and build software creatively rather th=
an=20
mechanically. Many teams found themselves so burdened by their plan of=20
development that writing any code was almost an afterthought. For example,=
=20
consider the requirement of keeping detailed on-going code documentation.=20
Developing software is a dynamic process. Developers will often leave the=20
detailed object diagram behind after the first month. <o:p></o:p></SPAN></P=
>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">&nbsp;<o:p></o:p=
></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">Writing software=
 is=20
massively complex in many enterprises. The ability to predict how component=
s=20
will interact as lines of code are added to a project are beyond the masses=
 in=20
the software industry (present company included). At this stage, it is more=
=20
important to employ an empirical process that uses generous feedback and=20
response. Only then will software in an outsourced model become=20
agile.<o:p></o:p></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">&nbsp;<o:p></o:p=
></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">The feedback sta=
ge is=20
crucial. Agile enterprises should not be caught in the vicious deception th=
at=20
documentation at frequent stages in the form of status reports is wise. The=
 only=20
thing that matters is working software. The only proof of working software =
is=20
working software. Pay close attention to how the software works not what th=
e=20
documentation says how it works. <o:p></o:p></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">&nbsp;<o:p></o:p=
></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">When working wit=
h an=20
outsourcer once should mandate frequent releases of software. An agile=20
enterprise will never let themselves not see working software for any more =
than=20
two weeks. The more frequent one sees working software, the=20
better.<o:p></o:p></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">&nbsp;<o:p></o:p=
></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">To further consi=
der=20
agile outsourcing one should consider relative location of the outsourcer.=
=20
Countries that provide outsourcing capabilities that are closer to the Unit=
ed=20
States include Barbados, Brazil, Uruguay, Philippines and Ireland. The cost=
=20
structures in these countries are similar to what can be found in India, Ch=
ina=20
and Russia but have additional advantages including:<o:p></o:p></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">&nbsp;<o:p></o:p=
></SPAN></P>
<UL style=3D"MARGIN-TOP: 0pt" type=3Ddisc>
  <LI class=3DMsoNormal=20
  style=3D"MARGIN: 0pt; COLOR: blue; mso-pagination: none; mso-layout-grid-=
align: none; mso-list: l0 level1 lfo1; tab-stops: list 36.0pt"><SPAN=20
  style=3D"FONT-SIZE: 11pt; FONT-FAMILY: Arial">Ability to collaborate with=
=20
  offshore resources that are in the same time zone during the business=20
  day.<o:p></o:p></SPAN></LI>
  <LI class=3DMsoNormal=20
  style=3D"MARGIN: 0pt; COLOR: blue; mso-pagination: none; mso-layout-grid-=
align: none; mso-list: l0 level1 lfo1; tab-stops: list 36.0pt"><SPAN=20
  style=3D"FONT-SIZE: 11pt; FONT-FAMILY: Arial">The ability for offshore=20
  developers to travel onsite at a moment=92s notice without introducing th=
e=20
  complexity of securing Visa=92s. <o:p></o:p></SPAN></LI>
  <LI class=3DMsoNormal=20
  style=3D"MARGIN: 0pt; COLOR: blue; mso-pagination: none; mso-layout-grid-=
align: none; mso-list: l0 level1 lfo1; tab-stops: list 36.0pt"><SPAN=20
  style=3D"FONT-SIZE: 11pt; FONT-FAMILY: Arial">The ability for employees t=
o=20
  travel to offshore facilities and have zero concerns about climate, potab=
le=20
  sources of water or a long regimented set of prescription drugs that must=
 be=20
  taken prior to travel. Keeping your own employees healthy is good for bus=
iness=20
  and helps reduce other costs associated with health insurance and other f=
orms=20
  of liability.<o:p></o:p></SPAN></LI>
  <LI class=3DMsoNormal=20
  style=3D"MARGIN: 0pt; COLOR: blue; mso-pagination: none; mso-layout-grid-=
align: none; mso-list: l0 level1 lfo1; tab-stops: list 36.0pt"><SPAN=20
  style=3D"FONT-SIZE: 11pt; FONT-FAMILY: Arial">India has conflicts with Pa=
kistan,=20
  China has conflicts with North Korea and Russia has been known to aid Ira=
q.=20
  Barbados for example, doesn=92t have any of these concerns and will allow=
 for=20
  piece of mind.<o:p></o:p></SPAN></LI>
  <LI class=3DMsoNormal=20
  style=3D"MARGIN: 0pt; COLOR: blue; mso-pagination: none; mso-layout-grid-=
align: none; mso-list: l0 level1 lfo1; tab-stops: list 36.0pt"><SPAN=20
  style=3D"FONT-SIZE: 11pt; FONT-FAMILY: Arial">Cultural differences are al=
so more=20
  easily bridged if both parties use the same vocabularies for communicatio=
n.=20
  For example, the American culture is not filled with formal English but=20
  includes slang and words that have been adjusted over time from their ori=
ginal=20
  meaning. In Barbados, and other South American countries, they watch the =
same=20
  Television shows as Americans, so communication is=20
  easier.<o:p></o:p></SPAN></LI>
  <LI class=3DMsoNormal=20
  style=3D"MARGIN: 0pt; COLOR: blue; mso-pagination: none; mso-layout-grid-=
align: none; mso-list: l0 level1 lfo1; tab-stops: list 36.0pt"><SPAN=20
  style=3D"FONT-SIZE: 11pt; FONT-FAMILY: Arial">The thought of what hit fit=
s the=20
  shan is best realized when the country you outsource to is easily reachab=
le by=20
  direct flights that can be reached in a single business day from major=20
  airports such as JFK, Miami, Chicago=92s O=92Hare, and LAX brings an addi=
tional=20
  piece of mind.<o:p></o:p></SPAN></LI></UL>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">&nbsp;<o:p></o:p=
></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">Another form of =
agile=20
outsourcing is to consider building your own outsourcing solution. Agile=20
companies like Phoenix (Headquartered in Hartford) early on built their own=
=20
offshore facility in Bangalore India to maintain control of resourcing and =
make=20
sure they receive all of the benefits a salaried employee in the States wou=
ld.=20
This allows for them to have an offshore model yet ensure that people worki=
ng on=20
the project have a vested interest in the success and are not simply intere=
sted=20
in increasing the headcount. <o:p></o:p></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">&nbsp;<o:p></o:p=
></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">The Phoenix appr=
oach=20
also allows for further cost reduction in that they are keeping the profit=
=20
margin otherwise given to an outsourcer for themselves. The side advantage =
of=20
this approach is that they can leverage L1 Visa=92s in an ethical manner,=20
something in which other outsourcers cannot admit to.<o:p></o:p></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">&nbsp;<o:p></o:p=
></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">The goal of this=
 forum=20
will be to further expand the industry=92s thoughts of better ways to merge=
 agile=20
methods with outsourcing. I welcome you to join the Agile Outsourcing Yahoo=
=20
Group at: http://groups.yahoo.com/group/agileoutsourcing.<o:p></o:p></SPAN>=
</P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">&nbsp;<o:p></o:p=
></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">James=20
McGovern<o:p></o:p></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">Father of Agile=
=20
Outsourcing<o:p></o:p></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">Co-author of bes=
t=20
selling book: Java Web Services Architecture<o:p></o:p></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial"><A=20
href=3D"http://www.amazon.com/exec/obidos/ASIN/1558609008/">http://www.amaz=
on.com/exec/obidos/ASIN/1558609008/</A><o:p></o:p></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">&nbsp;<o:p></o:p=
></SPAN></P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0pt; mso-pagination: none; mso-layout-grid-align: none"><S=
PAN=20
style=3D"FONT-SIZE: 11pt; COLOR: blue; FONT-FAMILY: Arial">&nbsp;<o:p></o:p=
></SPAN></P>
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