ODC Engagement Model
“Enclave:10’s rates are less than our own captive center“.
Sound Astonishing? It’s not the first time we’ve heard this. It’s just not an easy thing for someone to admit, especially after they’ve tried to do it themselves.
For most, an Offshore Development Center (ODC) is going to be the most cost effective software development option around. If you are looking offshore for 5-100 engineers, the Enclave:10 ODC model will most likely be the best-choice in terms of cost, and operation.
So what is an ODC? The chairman of Enclave:10 says “it’s one of the first things you learned in college, when you figured out that you and a few of your friends could move out of the dormitory, and into a beautiful apartment, and save money too.” Not to mention, having a better environment, more space, and more perks. An ODC is fairly similar, you’re sharing an engineering center with a handful of like minded ITO clients.
There’s more. The ODC affords clients flexibility and responsiveness. Enclave:10 hosts and manages a collection of ODCs, one per Enclave:10 client. Each ODC has its own exclusively assigned engineering staff, and secure space. Clients manage their ODC staff and their engineering work and responsiveness.
Enclave:10, the operator, runs the center, does the admin, recruitment, training, security, and everything else.
Senior engineering management monitors each of the ODC teams to ensure that they have the resources and capabilities to do the job well. When turnover takes place, Enclave:10 engineering management ensures that a qualified replacement is assigned to take over from the departing employee…
Clients can add or reduce staff, even exchange staff as their needs change. Since most of our clients are long-experienced in offshore development, they’re very adept at resource utilization. This fosters efficiency as a whole. The ODC clients collectively enjoy a certain economy of scale, and sharing of costs that they can get alone as a captive center.
What’s the real secret to ODC’s low-cost ?
There’s simply little or no sales & marketing. There’s no offshore offices or personnel. This ‘window dressing’ can account for over 30% of the budget for many IT outsourcing firms and their rates reflect it. Yet, it adds little if any value to the actual engagement. Serious ODC clients don’t need someone nearby to hold their hand, to lend encouragement, or show them how. We gather these clients together, and reap the efficiency. Our ODC is production and delivery focused. We are a company of engineers and for engineers. It’s software engineering first and always.
ODC’s are not for everyone. Our clients include the savvy, the seasoned big names, as well as SME’s and start-ups. Good management is the common denominator for success anywhere, including an ODC. Those that have chosen Enclave:10, are cost-conscious, but it’s also the relative stability, and security of the ODC. Enclave:10’s ability to deliver over the long-term, is it’s hallmark ‘sustainability’ – the holy grail of ODC clients.
What’s the bad news?
ODC centers are hard to find. They are rare. While any IT outsourcing can offer up an ODC, it can’t shed the swollen overhead of project-based sales. In contrast, the Enclave:10’s focus is on engineering capacity & capabilities, and service sustainability. There’s just no window dressing, no cross-selling, no cross-selling. We are not sales driven, we are service driven.
New business invariably comes from industry word-of-mouth and client referrals. Our record of 100% renewals of client ODC’s is the most important metric. Every ODC that started with Enclave:10, is still here in operation here.