Project Management

Business Transitions: Establishing the Extended Business Center

P. Radhika Ravi

 Why Establish a Dedicated Development Center?

An extended business center is a reserved, customized, and secured software area instituted to carry forth work. These centers are normally an extension of the client’s team at onshore centers but are situated in a different location. The offshoring service model has evolved from the conventional project service model to accommodate the explicit requirements of customers more efficiently. This approach gives the customer better governance over the process of development or maintenance, because the business is managed by the vendor offshore. Tangible benefits include better efficiency at economical rates, with established trust and confidence. Scalability of the facility and experienced, skilled people from the rich pool of resources are the other advantages to offshoring. Figure 1 shows the high level map and position for the phase where the development center is established.

 Figure 1: Stages in the business transition

Establishing the Extended Business Center

The process of setting up an extended offshore business center is done in a staggered fashion. The institution of the physical infrastructure is a very important aspect of the development center setup. This process involves heavy collaboration and corroboration, and resource identification and onboarding people are parallel processes.…


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- Mahatma Gandhi