ABSA Workshop

-Wipro proposition based on

workshop
Presenters Name

2010 Wipro Ltd - Confidential

Agenda
1 Infrastructure Services
2 Testing Services
3 ADM Services
4 Upfront Investments
5 Appendix

2010 Wipro Ltd - Confidential

2009 Wipro Ltd -
Confidential

Infrastructure Services
When > Where >How

2010 Wipro Ltd - Confidential

ABSA Infrastructure Service Our

understanding
Click to edit Master text styles
Second level
Third level
- Fourth level
Fifth level

2010 Wipro Ltd - Confidential

2009 Wipro Ltd -
Confidential

Wipro Proposal Infrastructure

Services
What services they should consider for outsourcing ,
phasing for the same based on industry trend and our
experience (we should be able to quite examples here)
Business benefit (cost saving and all other benefit) for
overall approach and for phase 1
High level approach to ensure how we will takeover service
without impacting business
Investments if any we will make

2010 Wipro Ltd - Confidential

2009 Wipro Ltd -
Confidential

Testing Services
When > Where >How

2010 Wipro Ltd - Confidential

ABSA Testing Services Our

understanding
As one of its key initiatives for 2011, ABSA Bank, South Africa, is
planning
to establish a Testing CoE (TCoE). Wipro understands that the
planned TCoE will address the following aspects of testing:
Standardizati
on
Governance
Model

Costs
Test
Environment
Resources
7

Lack of Standardized processes

Lack of a common testing team
Managing multiple projects across different divisions and projects
Lack of Definition of common SLA parameters and metrics for tracking across all
projects
Lack of a Single window view for the Management across locations
Lack of a single Knowledge Management System

Duplication of Testing
Missing Critical Tests due to low Coverage
High Costs vis--vis Test tool usage and licenses across projects
Testing cost is as high as 40% of the Project cost on Testing

Lack of a common Test Environment

Issues on Test Bed Creation

Skill Set Shortage in areas such as Websphere, Security etc.

Possible issues for resource Ramp up for Testing of upcoming strategic projects such
as SAP GL implementation, FileNet CoE, MDM Implementation etc.
2010 Wipro Ltd - Confidential
2009 Wipro Ltd -
Confidential

Testing Services How can Wipro

partner?
Provide cost benefits through
Enterprise view of a Centralized
Test Center across all LOBs
Coverage of all Test Support Areas
viz. Tools, Test Data Management,
Test Environment and Software
Configuration Management
SLA and metrics driven feedback
Establishing an operating model
that
handles Process transitioning.

Leverage on Wipros
current footprint at South
Africa
Re-badging of current
ABSA Bank Testing
Contractors and Employees
Reduce transition time
using WipTRANS

Establish a
Process
based and
Standards
based TCoE

Resource
Manageme
nt

Process & Tool Standardization

Provide an optimized
offshore/onsite off-shoring
model
Effective SME usage for
Reduce and
Improvements in Productivity,
Optimize
Quality & Test Coverage

Overall
Testing Cost

Wipro IP,
Point
Solutions &
Alliances

Transition framework

Aligned with ABSA Bank

2011 key Strategic
Initiatives such as Credit
Risk Management, GL
Consolidation etc.
Leveraging Wipros
Accelerators, Techniques ,
Tools & Alliances

Aligned to the ABSA Bank Test CoE objectives

2010 Wipro Ltd - Confidential

2009 Wipro Ltd -
Confidential

Indicative TCoE for ABSA Bank

LoB 1

Joint
Governance

LoB 2

LoB 3

Establish a
Process
based and
Standards
based
TCoE

LoB n

Benefits

Centralized
Services
Enterprise wide Demand and Capacity consolidation & forecasting

Demand
Management

SME
(Process, domain, Tech)

Test Service
Delivery

Centralized Pool of Testing and Domain Experts ,

Centralized QA Process definition/Best Practice sharing

Test Strategy/Plan

Infrastructure
consolidation

Test Design

Test Execution

Test Reporting

Automation Factory

Core Team

Non functional Test Factory

Flex Team (if reqd.)

Standard engagement
process
Deployment flexibility &
reduced cycle time through
resource fungibility
Efficiency through
Centralized Testing
Expertise
Enterprise-wide Test
process & metric and SLA
definitions
Plan Enterprise wide
Pivotal and non pivotal
initiatives
roles
/activities deployed
through Core teams (& Flex
team if required)
Improved Productivity
Leverage Progress already
made on horizontal
initiatives

Shared test environments

Shared Support Services

Specialized Test CoEs
IPs & Point
solutions

Reusable Components

Governance Model

Test life cycle processes

Knowledge Management

Dedicated Demand Management & SME

Team

Best Practices

Metrics Framework

Absa Bank

2010 Wipro Ltd - Confidential

2009 Wipro Ltd -
Confidential

Domain Expertise

Wipro

Engagement Models

10

2010 Wipro Ltd - Confidential

2009 Wipro Ltd -
Confidential

Establish a
Process
based and
Standards
based
TCoE

Indicative Journey towards a Wipro

Managed ABSA Bank TCoE

Establish a
Process
based and
Standards
based
TCoE

Progression towards Future state

Each wave will have
an Identified LOB and
an Application
Portfolio

Process based
Transition by
leveraging WipTRANS
Transition framework

KAP

PP

Wave 2

Wave1

KAP

PP

Wave 3
KAP :
Knowledge
Acquisition
PP:
Parallel
Phase
Perform

KAP

PP

Wave N

KAP

Steady State

PP

Stabilize
M7 M9
Share
M10 M12
Leverage
M13 M15

Transformation

Application
Portfolio
Analysis for
Transition
Clustering

Ongoing

Transition

End of Transition

Transition
Planning

M7 M18*

M1 M6*

Future State

Continuous
Improvements

Optimize
M16 M18

Leverage TCoE for Test

ABSA
Management
Sponsorship

Services Delivery
Define TCoE
Governance
Mechanism
Implement ABSA Wipro Joint TCoE Governance
Model

Incremental Offshoring

ODC Setup (if

reqd.)

TCoE Process Definition

TCoE Process Implementation

Process
Optimization

Automation Assessment
Enterprise Automation
Framework Definition

* Indicative
11

Establish KPI for

Performance

Measure and Report KPIs

2010 Wipro Ltd - Confidential

2009 Wipro Ltd -
Confidential

Incremental Automation
Improve upon KPIs

Vision for the partnership to create

value for ABSA Bank
12 months

18 months

24 months
The Business IT
Partner

Productivity
Optimize

Efficiency Drive

36 months

Business
Alignment

Value Drive

Standard Processes

Service
Maturity

6 months

Establish a
Process
based and
Standards
based
TCoE

Transition

Deliver

Deliver

12

Continuous Improvement &

Innovation

Optimization

Optimization

Transition
Standardize
Risk mitigation
Standardize processes for
Minimize business
service delivery - CIGMA
disruption
Optimize
Establish transition
Optimize Service Delivery
Achieve productivity gains
governance
Org Change
Waste Elimination through
Management
Lean, Six Sigma
Knowledge Acquisition
Value Delivery
Steady State
Process discipline
2010 Wipro Ltd - Confidential
2009 Wipro Ltd -
Confidential

Business Value
Continuous Improvement
Contribute to innovation
in CVS/Caremark PBM
business areas
Deliver value to PBM
business
Become the partner of
choice for CVS/Caremark

Wipro will raise the bar on testing

maturity at ABSA Bank

Improve testing
operating efficiency

Improve Test
Service Delivery

3
4
5

Establish a
Process
based and
Standards
based
TCoE

Drive synergies
with production
support
Manage change
and de-risk
transition
Drive innovation
to reduce test
cycle time

Wipro rated as Leader in Testing Services by Forrester, IDC and Nelson Analyst Reports
2010
13

2010 Wipro Ltd - Confidential

2009 Wipro Ltd -
Confidential

Envisaged Cost benefit Analysis: How

partnership
with
Wipro will power efficiency
& cost benefits
Benefits
Cost Analysis
Reduce and
Optimize
Overall
Testing
Cost

Spend in Million USD

Assumptions

14

20.00
13.5014.18
15.00
14.88
11.12
9.57
10.00
8.93 ABSA Spend
4.60 5.95
Wipro Spend
5.00
2.38
Cost Savings
0.00

20-30% reduction in Test Cycle Time

Increased agility in Product Portfolio offerings and
Reduced to Time to Market
More than 40% cost reduction in testing through
Wipro managed TCoE and off-shoring.
$ 12+ Million savings during a 3 year period
Increased Test Maturity Level 4 & above
Leverage of Wipro Test Coes & proven test
solutions

Wipro Investments

Investment

Activities
Process improvement initiatives by 2
Process
The cost comparison has been done under
process consultants for 3 months
Consulting &
Wipro will invest in a dedicated program
these considerations
Program
manager for the entire duration of this
ABSA engages around 150 (130 contractors
Management
engagement
and 20 permanent) resources who are based
Consultants will visit ABSA Bank 2 weeks
in a quarter for :
out of Johannesburg, South Africa.
Wipro Testing
Consulting on Industry Test Process Best
Average yearly cost per employee is around
Advisory
Practices
Consultant
USD 90,000
Process Benchmarking & Optimization
Techniques
All figures are in USD
2 Consultants will be involved for 6
Test CoE set-up costs are included as part of
months for:
Tools & Technology specific Test
the above estimate
Transformati
Methodology & Frameworks, Automation
Wipro would re-badge all (100%) of the
on
framework
permanent staff and key critical contractor staff
Development of specific Tools &
Consultants
Accelerators,
Wipro would operate in an onsite / offshore
Implementation & Trainings required
ratio of
vis--vis ABSA Bank initiatives
YearYear-2
Year-3
Statistical
Quality Analyst will be
1
leveraged 10
Quality
working days in a month for:
Onsite
52 %
44 %
39 %
Test Process Audit
Analyst
Control Reports
Offshore
48 %
56 %
61 %
Statistical techniques for QA
2010 Wipro Ltd - ConfidentialWipro will deploy Storm Tools as part of
2009 Wipro Ltd -
Confidential

Benefits
Definition &
Standardization of
Processes
External consulting
for Process
Improvement &
Benchmarking
Optimization of
Test Life Cycle
Time
Capability
development and
Implementation
support

Improved Process
Maturity

Wipro IPs will power the TCoE and

drive key cost benefits

Reduce and
Optimize
Overall
Testing
Cost

Deployment

1. Test Automation
2. Technical frameworks
WiSTA, WTAS, QC
Accelerators

Deployment

Testing begins

Defect Detection

Wipro quality practices

1. Six Sigma
2. CPI

Software Development Lifecycle

15

1. Around 20% lower defects

Around 30%
introduced
reduction in cycle
2. Around 90% sev1 detected in
time
cycle1
2010 Wipro Ltd - Confidential
2009 Wipro Ltd -
Confidential

Around 25% reduction

in post production
defects

Wipro Testing Services Case Study:

TCoE Setup for a Credit Card Company
Client

A US Based multinational corporation with its principal business in processing payments

profile:between banks of merchants and the banks of purchasers who use its brand of debit
and credit cards.

Business Need

Wipro solution

To setup Test Centre Of Excellence in

Managed services model.
Scope of Work
The Consulting lead engagement
included
Assessment for most suitable
model
Defining the roadmap for
meeting end state objectives
Portfolio analysis for transition
planning and Organization
change

16

Assessment and Definition of

standardized processes
Institutionalization of standard
process and templates across
various QA groups
Identification of key metrics for
tracking of deliverables & trend
analysis
Enterprise wide and application
level automation framework
Automation of regression suite for
core applications
Resource augmentation model to
delivery focused model
Pyramid model in place (Reduce
impact on deliverables due to
attrition and rotation of resources)
Baseline of regression test sets for
key applications / application
group
2010 Wipro Ltd - Confidential

2009 Wipro Ltd - Confidential

Business benefits

Effort reduction up to 30 % with

the usage of Regression
Compare tool developed by
offshore
Initiative for standardizing test
environments with specific focus
on regulatory compliance and
centralization on governance
Dashboard implementation of
metrics in QC for various user
groups
Initiative for maximizing
automation coverage
Organizational Change
Stakeholder analysis and
Organizational change
readiness assessment
Management of
Organizational Change
issues and risks inventory

Wipro Testing Services Case Study: End-to-End

Test Transformation Solution for a South African
One of the largest South African financial services group, operating in 38 countries
Bank
around the world, including 18 in Africa. It had total assets of over approximately $200
Client

billion with Market capitalization of $16.5 billion as on 30 March 2009. The client has
profile: more than 50,000 employees across the world.
The Client operates in both Retail and Corporate/business banking with a product
portfolio in Vehicle Asset Finance, Self Servicing, Credit, Cards, Home Loans.

Business Need

Wipros Solution

Objective
Create an off-shoring capability to
reduce total cost of ownership
Cost benefits through effective
transition to an offshore centric
model.
Scope of Work
To provide End to End System
Testing, Performance Testing
Services for clients Personal &
Business Banking (PBB) unit across
6 Business Portfolios in a Manage
Services mode
Consolidation/management of test
environment across portfolios
Relationship Management services
to ensure effective contract
management and governance
between the client and Wipro
Cross functional servicesAssessment and implementation of
customized processes with agreed
17upon SLRs/SLAs baselines, Metrics,

Applications to be offshored for

testing and support were
identified on the basis of
Access of the application from
Offshore with desired
performance level required for
testing
Complexity or interfaces of the
application
Regulatory need from Data and
Process perspective A joint
governance layer was formed
at all the stages in the
Strategic, Functional, and
Operational levels.
Test environment was replicated at
offshore and a test lab was set up
For each service line knowledge
acquisition was done from offshore
in parallel with onsite KAP
Transition was metrics driven and
CSAT scores were collected for
playback
and
2010 sessions
Wipro Ltd - Confidential

2009 Wipro Ltd - Confidential

Business benefits
Reduction in total cost of
ownership :
75% of the resources were Offshored that resulted in
approximately 19% cost reduction
in the first year of operation

ADM Services
When > Where >How

18

2010 Wipro Ltd - Confidential

ABSA ADM Services Our understanding

There are 450 apps being supported by 222 FTE
Application are mainly in JAVA, Cobol, Microfocus Cobol,
Hogan
Absa is planning to setup a Filenet CoE
MDM Implementation in 2011
Absa has serious skills shortage in the area of Vignette, C+
+, Crypto

19

2010 Wipro Ltd - Confidential

2009 Wipro Ltd -
Confidential

Wipro Proposal ADM Services

How do we propose they outsource ADM i.e. all in one go or
in phases and if phases what logical phase do we propose
based on industry trend and our experience (we should be
able to quite examples here)
Business benefit (cost saving and all other benefit) for
overall approach and for phase 1
High level approach to ensure how we will takeover service
without impacting business
Investments if any we will make

20

2010 Wipro Ltd - Confidential

2009 Wipro Ltd -
Confidential

Overall Investment
When > Where >How

21

2010 Wipro Ltd - Confidential

Upfront Investment
Link setup
Transition cost
People take, will have impact on cost

22

2010 Wipro Ltd - Confidential

2009 Wipro Ltd -
Confidential

Thank You
Your Name
Designation
E-mail

2010 Wipro Ltd - Confidential