Progressive Value Generation. Application Management. Siemens IT Solutions and Services

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1 Progressive Value Generation Application Management Siemens IT Solutions and Services s

2 Answering the Challenge With the significant investment your business makes in evaluating and implementing just the right application to automate critical business processes, it is easy to fall into the trap of assuming that your challenges have been solved once the solution is deployed. Without management that focuses on integrating the application into your day-to-day operations, you may never realize the planned business benefits. Enabling business application effectiveness How do you ensure you achieve the expected outcomes and derive maximum value from your application investment? How can a world-class Application Management partner help you in this regard? And how does your choice of partner impact the results achieved? These and other key questions drive your decision-making in the critical deployoperate-optimize phase of the application lifecycle. Consult Design Application Management is where operational IT impacts your business performance most. Layered between your technology infrastructure and your mission-critical business processes, applications represent the operational capability of your enterprise. Equally instrumental to increasing employee productivity, growing customer satisfaction and driving greater business efficiency for bottom-line impact, Application Management is a key enabler of continuous performance improvement and profitable growth. Realizing business value through Application Management Investment IT Consulting & Systems Integration Build An evolutionary approach to extending value As applications now reach into every aspect of business activity it is time to leave behind the disruptive and expensive rip and replace approach to technology transformation and seek an evolutionary approach that delivers continual business- IT alignment and progressively generates value from your existing investment. You need an agile approach to Application Management that reduces cost and complexity, exploits best practices for maximum service quality, while bringing technology innovations that improve your business performance. Whether you entrust that task to an in-house organization or an external partner, your provider requires business know-how together with highly developed software skills, not to mention access to global economies of scale. Application Lifecycle Optimize Deploy Operate Application Management Benefits Realization 02

3 A unique partner with a unique concept The only IT partner in the world positioned within a multi-business global network, Siemens IT Solutions and Services is partner to over 600 customers who have already made the decision that Application Management is best entrusted to someone coming from the business side of IT. To these customers, the business value of Application Management is not a hazy concept. It is a fact. Application outsourcing is no longer considered as just a tactical cost reduction lever, and at Siemens IT Solutions and Services we have matched the outsourcing market s evolution with an innovative approach to Application Management that bridges the gap between business and IT through a concept we call Progressive Value Generation. Transforming value over wider dimensions Progressive Value Generation is the cumulative realization of cost benefit and business advantage to your enterprise over three dimensions delivered through a transformational journey. These dimensions Drive Efficiency, Evolve Performance, Empower Competitiveness progressively target greater IT cost efficiency, transformed enterprise effectiveness and innovative market impact. This approach enables us to manage and support your environment dynamically transforming it over successive performance models and enriching it with vertical business domain know-how. Not only do we deliver the low cost, high performance application support, maintenance and enhancement services that you expect of your provider, we bring an approach that optimizes your operations and maximizes your value. Three value dimensions of our Application Management approach Empower Competitiveness Utilizing Siemens business domain expertise and innovation beyond the IT domain to win market advantage Evolve Performance Continuously improving and transforming your business applications and services to achieve an optimized best-fit environment Drive Efficiency Reducing the cost and increasing the efficiency of your business applications and associated services for best-in-class delivery 03

4 Delivering Progressive Value Generation The transformational journey at the heart of Application Management from Siemens IT Solutions and Services is supported by a balanced global delivery model as well as unique methods and tools to achieve Progressive Value Generation. Matured over years by Siemens for our Fortune 500 customers, our approach masters your environment and maximizes its business value. Systematic assessment and roadmapping Our Application Management Service Roadmap plots your potential and desired business outcomes. Through the systematic deployment of industry-standard as well as innovative methods and tools we transform operational, service and business outcomes from your application investment over time. Taking you through an Interim Operating Model, Target Operating Model, to Future Modes of Operation, your application landscape will be systematically transformed for delivery and service efficiency, enterprise performance and continued market competitiveness. Application Management Service Roadmap: delivering dynamic cost reduction and business value generation Business Value Outcomes Business case Rapid, low-cost, low-risk transition plan Current Operating Model Value Comparison assessment Cost reduction Business-driven service levels Improved performance Interim Operating Model Best-practice service delivery Governance An initial Value Comparison Assessment brings the challenges you face in your application landscape into sharp focus and enables our consultants to tailor a roadmap that responds to your specific business scenario. Ensuring a best-fit environment A dedicated Customer Service Manager is responsible for building strong, productive customer relationships and ensuring consistent high quality of core Application Management services by deploying proven best-practice service delivery processes. Business Solution Managers act as your personal bridge to business expertise from Further cost reduction and quality improvement Application enhancement Improved customer experience Target Operating Model Global delivery Lean Six Sigma Business solutions Process automation Technologyenabled business innovation Future Mode of Operation Portfolio planning Customer innovation program Scope Future Mode of Operation EAI/SOA Core process excellence Transformational Journey deep within Siemens. Leveraging economies of scale and deep technical expertise through our Global Production Centers along with industry-specific innovation through our access to the entire Siemens network, here at last is a sourcing approach that speaks both languages IT and business. Whether you are a technology leader looking for a partner that brings a business perspective to IT delivery, or a financial head in search of Key Performance Indicators that matter to the bottom line, Application Management from Siemens IT Solutions and Services is a best-fit approach that delivers your own Application Management Service Roadmap not just an initial reduction in costs. A proven transformation skill set When you outsource your applications, you re not just looking for the year-on-year cost reduction that Siemens IT Solutions and Services naturally aims to provide. You re also looking for a technology partner who will help you transform your future. At Siemens IT Solutions and Services we have bundled some of the most proven tools, techniques and domain insights for transforming the current performance and future potential of business applications. 04

5 Innovation from the business side Our approach to business process and application optimization, for instance, combines insight into your process performance with Lean Six Sigma to help you measurably improve cycle times and boost business throughputs. By tapping into accumulated Siemens knowledge across multiple sectors we are able to enrich our service delivery by bringing you insights that help you integrate industry best practices and industrialized processes. Our Customer Innovation Workshop for Transformation extends this benefit by bringing Siemens innovations beyond the application and IT space in industry, energy, and healthcare to help you build a business transformation roadmap that exploits the outcomes of the 3.4 billion research and innovation budget at Siemens. Accumulated customer experience Our track record covers a range of industry sectors, including EADS in aerospace, John Deere in automotive, Commerzbank and the UK's National Savings and Investments in financial services, Xerox in high-tech manufacturing, the UK's Identity and Passport Service, the National Assembly for Wales, and the German City of Wiesbaden in public sector, Infineon in semi-conductors, and the BBC and Telecom Italia Mobile in telco and media. When coupled with our IT consulting and systems integration know-how we bring a holistic, long-term perspective across the full application lifecycle. And with the SieQuence approach our fully-integrated solution for IT outsourcing that enjoys 95% customer renewal rates you can extend your scope with a full choice of additional services. Sourcing the world for the best fit between quality, customer intimacy and economy Wherever your business is Our global network of Customer Service Organizations builds strong customer relationships and focuses on driving improvement and innovation. Wherever in the world it is beneficial Our Global Production Centers focus on technology excellence, operational efficiency as well as industrialized service delivery. 05

6 Why Siemens IT Solutions and Services? A unique combination of powerful differentiators sets the Siemens IT expert apart from conventional technology partners. Progressive Value Generation is built on six core qualities which distinguish us as a partner and promise durable value in the application space. Take a moment to scope the wider context around this exclusive offering. Technology excellence Business insight Global flexibility Trusted partnership Financial adaptability Innovation Direct and immediate sector know-how Since its beginnings over 150 years ago, Siemens has been synonymous with technology excellence across an unparalleled spectrum of public and commercial operations. Siemens IT Solutions and Services advances this tradition in the information technology sphere by designing and operating best-fit technology solutions from sector to sector. This ongoing commitment to technological expertise is matched by our unrivalled business domain insight with the kind of intuitive knowledge which only comes from first-hand involvement. Unlike every other IT partner on the market, Siemens IT Solutions and Services enjoys direct and immediate sector know-how through the global industrial presence of Siemens. Flex your global delivery over time Building on technology excellence and unique business insight, we employ a mature balanced global delivery model not simply onshore balanced with offshore but on-, near- and offshore in flexible interplay offering you the kind of freedom of maneuver over time that is so necessary to growing businesses. Our global economies of scale and worldwide reach are also built on long presence in emerging economies for cultural fit and partnership stability. Customer loyalty, financial adaptability, innovation culture Add to this the fact that Siemens IT Solutions and Services is a trusted partner with exceptional client renewal rates and long-term commitment to customer development. Commercial and contractual flexibility is another key difference, with our wide range of partnership models including gain-sharing and risk/reward. Finally, of course, there is the Siemens track record in innovation. As the IT arm of Europe s patent leader, Siemens IT Solutions and Services continues to innovate and reinvent the design, delivery and relationship model of technology platforms. Technology excellence, business insight, global flexibility, trusted partnership, financial adaptability, Siemens innovation a winning combination supporting Progressive Value Generation. 06

7 Our answers for Application Management excellence Application Management designed for Managed Application Portfolio for customers with a heterogeneous application landscape that covers a range of custom, line-of-business and enterprise applications. Application Management designed for SAP Software Solutions for customers with a largely standardized SAP-based application landscape covering the range of business modules. Your key benefits Rapid low-cost, low-risk transition from an in-house or incumbent service provider Significant cost reduction and increased quality of core application support services Cost-effective delivery from our network of Global Production Centers and Customer Service Organizations; continually improving quality of service with year-on-year efficiencies Maximum value released from existing application landscape through evolutionary transformation Optimized business processes enabled by strategic application platforms and interoperability Competitive advantage derived from technology-enabled business innovation unique Siemens business and technology expertise combined to optimize your operations and maximize your value Why Siemens IT Solutions and Services? World-renowned technical and engineering excellence Global top-ten IT outsourcer Support for more than 500,000 users at more than 600 customers Access to the Siemens global network of innovation for unmatched business domain know-how Strategic alliances and partnerships with Microsoft, Oracle and SAP Global SAP-certified Application Management Services Provider and the world s first SAP-certified Customer Core Center of Expertise ISO IT Service Management ISO Information Security ISO 9001: 2000 Quality Management 07

8 Siemens AG Siemens IT Solutions and Services Otto-Hahn-Ring Munich, Germany Global Info Desk Tel.: it-solutions@siemens.com All hardware and software names used are brand names and/or trademarks of their respective holders. Siemens AG, Right of modifications reserved. Order No. U29214-J-Z /08 Printed in Germany