How to effectively manage long-term cooperation with IT suppliers? What to pay attention to when getting to know a supplier? How to approach reviewing a framework agreement and who to engage? What are the key elements of a framework agreement and why should it be used? Read the article! 

Know Your Supplier 

Even before establishing a business relationship with a supplier, it is a good idea to vet the supplier. Most companies have internal processes for vetting their suppliers, but each provides for the following key areas to be vetted: 

• supplier data; 
• capital group membership; 
• data of the members of its representative body; 
• industry and quality certifications held; 
• implemented business ethics principles. 

Gathering all of the above information makes it possible to assess a supplier’s reliability and trustworthiness – and, consequently, to enter into a stable cooperation with a reliable supplier. 

When using a supplier’s data, also verify them using business registries – most of which are publicly available, particularly within the European Union. This will also give you information about the form, status and, in some cases, financial health of the supplier. 

Who to involve in reviewing and negotiating the framework agreement?

A classic is the involvement of one’s legal department in the review and negotiation of a framework agreement – a common, but also not entirely correct, assumption that the business supervisor of a potential collaboration (e.g., a member of the purchasing department) together with the legal department will both drive the given business case and lead to the conclusion of a framework agreement. 

Framework agreements and related IT projects are multifaceted and highly sophisticated, and as a result – even in the early stages of framework agreement discussions and verification of its content – it is worthwhile to involve staff members from the following departments on your side: 

• Technological and project – consult with your engineers and project managers about the planned services, deadlines, volumes and technologies related to the framework agreement and its orders to be implemented by the supplier. Determine with them the needs of your company and a convenient methodology for cooperation; 
• Financial – discuss acceptable payment terms in your organization, including deadlines, intervals and underlying documents, as well as the necessary elements on the accounting document; 
• Marketing – it is worthwhile to discern and determine whether your cooperation with the supplier and the ongoing project should be communicated to the market and on what principles. Considering announcing the conclusion of a contract and the start of a project can be benefitial for both parties; 
• Purchasing – inform the purchasing department about the potential supplier and obtain the information necessary for onboarding them into your organization. 

The above departments and individuals should be involved in the discussions of the framework agreement until it is concluded. However, this is not the full package of people who need to be involved – remember that once the framework agreement is concluded, it is subject to execution, which may be overseen by people other than those who participated during the negotiations. As a rule, these are project managers or Product Owners, who should be aware of how the framework agreement works. If they did not participate in the above discussions and meetings with the supplier, give them the key essence of the agreement  from a project point of view, i.e.: 

• established catalog of IT services; 
• how to order IT services; 
• order template; 
• acceptance procedures and billing of services; 
• compensation models; 
• communication channels; 
• allocation of resources and tools used under the contract; 
• costs reimbursement; 
• location, hourly range and time zone of IT services delivery;
• escalation paths. 

Contract managers on your side – in addition to being aware that they have an assured vendor from whom they can procure IT services – will approach the implementation and supervision of the framework agreement more efficiently, without unnecessary loss of time to obtain the above information in their organization. This will provide them with greater comfort in their work and allow them to focus entirely on the project under their supervision. 

What is a framework agreement?

A framework agreement is a contract between a customer and a supplier that sets out the basic principles of cooperation, such as the scope of services, division of responsibilities, financial terms or ordering procedures. It is particularly popular in the IT industry, where projects can evolve and technology needs change dynamically. 

An important element of the framework agreement is that it does not define in detail all supplies or services, but leaves this to be determined in separate orders (known as “orders” or “statements of work”) that are concluded under the agreement. 

The main benefit of the framework agreement is that it defines the general principles of cooperation with the supplier, which makes it much easier to order services – the parties have the above principles permanently established in the agreement itself, so that later they only agree on the technological and business details in the order: the scope of services, the required results, performance schedules and financial terms. There is no need to discuss and negotiate a separate agreement each time for the next project – this gives invaluable flexibility in cooperation. 

When to use a framework agreement?

The framework agreement is particularly useful in situations where, for example: 

• The planned cooperation is of a long-term nature and involves multiple orders executed under similar conditions; 
• You need a provider that is ready to provide IT services flexibly; 
• You plan to start a large-scale project with established phases and areas to be determined on an ongoing basis; 
• You want to set all the main conditions for the future in a single negotiation process and later focus only on the business aspects according to your demand. 

It is used when parties want to avoid having to negotiate all aspects of a new contract each time. It works well in relationships where the supplier provides services on a continuous or cyclical basis, such as IT systems maintenance, software development or consulting services. With a framework agreement, you can significantly simplify the purchasing process and increase operational efficiency. 

Key elements of the framework agreement

Any framework agreement should include several key provisions to ensure transparency and efficiency in cooperation: 

• Parties to the contract: Determine who are the parties to the contract, i.e. which entities enter into the contract on your side and on the supplier’s side.
• Related parties: Discern whether you want to provide your affiliates within your group with the ability to place orders with the supplier of your choice.
• Consortium & Partnership: Determine if there is a consortium on the supplier’s side or if the supplier has partners who will participate in the contract with your knowledge and consent.
• Type of contract: Adopt a framework model of the agreement and rely on such a perspective during negotiations – the content is to be the starting point and should include the general terms of cooperation.
• Definitions: Establish a catalog of definitions of terms used in the contract – it is useful to have a complete list in one place. Avoid definitions further down in the contract – with extensive contracts, it is easy to overlook definitions.
• Subject of the contract: Identify a potential catalog of services or products to be provided by the supplier. You will determine the detailed scope in your orders.
• Hierarchy & Attachments: IT contracts are elaborate and multi-level – they often contain numerous appendices, sample documents and purchase orders. Determine which document takes precedence in case of contradictions. Determine the mode and form of changing attachments. Allow the possibility of changing the order design from the attachment by adding or removing elements – not all of them will always fit.
• Orders: Define an ordering procedure and a procurement template that includes key elements: scope of services, schedule, payment, terms of acceptance (including UAT) and milestones, if not directly derived from the contract. Orders should always be jointly discussed with the supplier and entered into with the consent of both parties.
• Method of service provision: Specify the method of service delivery – whether it will be provided remotely, on-site, or in a hybrid model. Provide a gateway to allow modification of the established method in the body of the contract.
• Schedule: If the framework agreement is for a specific project or area, specify – preferably in the form of an appendix – an implementation schedule, divided into phases with responsibilities.
• Division of responsibilities: List responsibilities, such as providing access or information to the supplier, to avoid misunderstandings during the project.
• AI: Clarify whether the supplier can use AI as a tool in the course of service delivery and whether its use occurs in accordance with your AI policy adopted in the enterprise.
• Acceptance: Determine the acceptance procedure, if the nature of the services requires it. Specify the deadline and conditions for proper execution of acceptance. Establish the acceptance procedure as an option that can be allowed in the order – some services may not be subject to acceptance.
• Change Request: Each party should be able to report the need for a change in the scope of services, stating the rationale, the scope of the changes, the associated costs and any changes in the implementation schedule and the impact on the services themselves and their completion dates.
• Copyrights or licenses: The main output of IT services are the IT deliverables (works) that you should be able to use. This can be achieved in two ways:
  • Copyright (IPR): acquisition of full author’s economic rights to a given work (digital IT product) in certain fields of exploitation. In this case, you become the owner of the deliverables – it is advisable in this case to limit the exercise of moral copyrights by creators to a minimum.
  • License: the supplier remains the owner of the copyright (IPR), and you can use the works. Note the scope of the license, including its duration and territorial restrictions.
• Salary: A key business aspect for both parties – clearly define the terms of remuneration for the supplier, including acceptable billing models, the basis for calculating the remuneration, the terms of its payment. Rates and intervals or separate settlement terms are established in the respective contract.
• Costs: Determine how they will be borne and approved if you intend to cover them.
• Communications: Due to the complexity and multifaceted nature of the agreement, it is worth establishing clear rules for communication, including the designation of contact persons on each side.
• NDA (non-disclosure agreement): Safeguard your company’s confidential information with an appropriate NDA specifying the scope of confidential information, exceptions, purpose of use, duration and deadlines for deletion.
• Duration of the contract: Specify the duration of the contract. In the case of framework agreements, it is recommended to conclude them for an indefinite period. Remember that the mere fact of concluding a framework agreement does not yet oblige you to place an order – it’s a good idea to keep it indefinitely and have a supplier available when needed.
• Termination of contract: Each party should have the right to terminate the contract with a notice period without cause, and to terminate immediately in the event of a material breach of the terms and conditions, which it is worth specifying precisely, taking into account the remedial period before termination.
• Marketing consent: Determine whether you and the supplier can freely and generally communicate about the collaboration, including publicly communicating general information about the services provided and the collaboration undertaken. Include your brand book in the clause requirements, if you have one in your organization.
• Personal information: The provision of IT services may require supplier access to and processing of your databases with personal data, which requires a data processing entrustment agreement. It is worthwhile to provide for a model of the above agreement as an appendix to the framework agreement, and to establish the obligation to conclude it in case the entrustment of processing occurs.
• Attachments: List all the annexes to the contract, which are an integral part of it.
• Form of contract: The agreement must be made in writing, preferably using qualified electronic signatures, and must be accompanied by all agreed and listed attachments.

• Flexibility – allows you to order services quickly without having to negotiate all the terms each time. 
• Transparency – defines the general principles of cooperation, which minimizes the risk of misunderstandings and reduces subsequent negotiations in the future. 
• Saves time – shortens the paperwork for subsequent orders – one contract, unlimited orders. 
• Better cost control – allows better budgeting and management of IT expenses. 

Summary

A framework agreement is an effective tool for managing long-term cooperation with IT suppliers. When properly structured, it allows you to flexibly adapt the terms of cooperation to changing business needs, while ensuring transparency and control over the services provided. That is why it is so important to consider all key aspects when drafting it, including the basic principles of cooperation that will ensure the stability and effectiveness of the contract. 

Want to have the most important information about a framework agreement in IT at your fingertips? Download our infographic with the key elements of such an agreement!   

• A 2020 report by WhiteHat Security showed that 30% of all applications have at least one security vulnerability that is considered critical or high-risk. 
• According to a Symantec report, 75% of websites have security vulnerabilities that could allow hackers to access sensitive data.  

What the OWASP ASVS is and why it matters 

In a world full of digital threats, developers and testers need standards to make sure that web apps are built securely. OWASP ASVS stands for Application Security Verification Standard, which is a set of security requirements for verifying the level of security in web applications. It categorizes the security requirements into three levels – Level 1, Level 2, and Level 3. The ASVS document includes control security levels.  

Exploring the Basics of the OWASP Application Security Verification Standard 

The OWASP ASVS principles assume that solutions to prevent cyberattacks can be implemented at the application-building stage. By following common principles, it is easier to minimize the possibility of attacks and data leakage, and increasing protection against security risks and vulnerabilities is easier.  

In this way, it is not only security specialists who are responsible for application safety, as at the development stage, proven solutions are already applied by developers to reduce risks and safeguard the created system. 

Understanding the Importance of Security Requirements 

Rather than creating security requirements for each application anew, with the ASVS, the same security control requirements allow you to address the challenges of the applications you create now, as well as those that developers will build in the future.  

Diving into Verification and Security Controls 

It is important to understand the importance of technical security controls in safeguarding sensitive information. The ASVS 4.0 covers a comprehensive list of controls that an application must adhere to in order to meet certain security standards. Security experts recommend using the new ASVS to ensure that the right measures are in place to protect against potential threats. This standard provides guidelines on how to address complex requirements and enhance security within applications.  

1) Preventing injection attacks – this happens when an attacker sends malicious data in their command/query to access sensitive data. OWASP recommends techniques such as filtering, validating, encoding and escaping to prevent attacks.  

2) Using parameterized queries to mitigate SQL attacks – SQL injection is a technique of injecting code that may ruin your database. These are queries in which only the parameters are provided during the execution phase, preventing the attacker from changing the query itself. 

3) Preventing sensitive data exposure – applying measures such as identifying sensitive data and employing encrypting algorithms to prevent exploiting weaknesses, and configuring Transport Layer Security (TLS). This type of weakness can be revealed when web applications do not meet the requirements in terms of GDPR and PCI DSS, or when a company stores sensitive data that is no longer in use or will not apply proper cipher methods to protect their data.   

Key Differences Between ASVS 3.0 and ASVS 4.0 version

The OWASP ASVS standard is regularly improved by a group of developers and the community and supported financially by numerous organizations.  

ASVS version 3.0 was released in 2015. ASVS 4.0, in turn, was released in 2019. They have some key differences in terms of application security verification requirements.  

ASVS 4.0 introduced a new structure which includes a separate business logic verification requirements section. This adds an extra layer of security measures to safeguard web applications. In ASVS 4.0, web service verification has been enhanced to ensure the highest level of security for web services. The new version also provides a more comprehensive list of security requirements for application security assessment. This updated standard will allow you to assess and verify the application security requirements more effectively than ASVS 3.0.  

As of the time of writing, the latest applicable version is 4.0.3, which was released in October 2021.

Implementing the OWASP ASVS in Web Applications 

Implementing security verification standards will allow you to better manage critical areas such as authentication, data security, session management, and vulnerabilities related to code. 

It’s important to choose the right strategy, so if you’re just planning an ASVS project, it’s a good idea to confront the knowledge you have with specialists in this area.  

There are also tools available, including open-source ones, which will facilitate the process by automating ASVS testing and validation processes. The topic of tools could be discussed in a separate article. It would be useful for you to know what types of open-source tools (if you choose to have one) you can choose from:  

• Static Application Security Testing Tools (e.g., GitHub code scanning) 
• Dynamic Application Security Testing Tools (ZAP) 
• Interactive Application Security Testing (IAST) Tools (Contrast CE for Java and .NET only)  
• Updated Open-Source libraries (e.g., using Maven) 
• Static Code Quality Tools (SonarQube) 

Implementation – where to start?

• Visit the OWASP ASVS project website
• Download the newest ASVS – currently 4.0.3 from October 2021
• Read it and follow the information described in the standard
• Compare organization policies, SOP’s, and working methodology with best practices
  described in ASVS and patch the biggest flaws

Exploring the Three Levels of ASVS Security Verification 

As per the ASVS 4.0 structure, there are three levels of application security.  

• ASVS level 1  
  It is a “bare minimum” from an application security standpoint. At level 1, manual pen-tests and app scans are performed. All checks can be automated. Verification does not require access to code & documentation. The Open Web Application Security Project recommends that all websites and apps developed should meet this standard. 
• ASVS level 2 
  This level ensures protection against most of the contemporary cybersecurity risks. At level 2, audits and pen-tests are performed to assess vulnerabilities to the most known software-related threats. Verification requires access to the code base, documentation, SOP, etc., and cannot be fully automated. This level is recommended for most applications and industries that operate on sensitive data.  
• ASVS level 3 
  This level represents the strongest security requirements for applications that need to be “secure by design”. At level 3, the architecture and code are examined, as well as security verification for avant-garde security threats. The highest level is recommended for critical applications and industries with high security and compliance requirements (banking, financial, governments, healthcare, military, critical infrastructure projects, etc.).

OWASP ASVS levels goals 

Enhancing Application Security Through ASVS as a Framework 

ASVS is crucial for enhancing application security, as it ensures that applications meet a set of security verification requirements outlined in the OWASP ASVS checklist.  
 
Proper security at different levels is much easier to implement with a checklist. A checklist should be available for each of the three levels, checking for vulnerabilities in key areas.  

What is OWASP Top 10

It is worth being familiar with the OWASP top ten list which highlights the most critical web application security risks and vulnerabilities over time.

Applications of the OWASP ASVS 

Since 2001, when the foundation was established, several case studies have highlighted the benefits of compliance with the ASVS. Companies that decide to implement the standard decrease the number of security incidents and breaches, and gain customer trust and satisfaction. Below you will find the real-world scenarios of applying OWASP standards. 

Benefits of ASVS

• Improving safety awareness and security of the project
• Aid in building security checklist and security requirements
• Correlation with other standards/frameworks/security checklists (PCI DSS,
  NIST, CWE list)
• Having a clear description of verification actions
• Getting guidance on automation – once we know what needs to be tested, we get the
  requirements for tools we are planning to use

Expert Insight:
“Not everything needs to be implemented at once.
The key is to build awareness of potential threats, ways
to mitigate them and apply solutions that address the
most serious threats. Even a minimum security is
better than no security at all”

Kamil Goryń, Senior DevOps Engineer

Summary – OWASP Security 

OWASP security guidelines work well whenever you need to improve the security of web applications. The ASVS project is a recognized framework that helps dozens of organizations globally build more secure software apps. By using the ASVS, programmers and testers may rest assured that the application they are developing meets certain security standards.

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The article was written in collaboration with: 

Kamil Goryń

Senior DevOps Engineer. An experienced cybersecurity expert, specializing in security engineering, with roles as Cybersecurity Head and pentester team leader, collaborating with medical, pharmaceutical, and banking sectors.

1. 1. Introduction to Master Data Management (MDM)
2. 2. Understanding Master Data. Why manage Master Data?
3. 3. What is Master Data Management (MDM)?
4. 4. Implementing Master Data Management solutions
5. 5. Consistent Master Data vs information flow – examples 
6. 6. Best practices 
7. 7. How do we optimize the data management process in the organization? 
8. 8. How do we determine the Master Data? 
9. 9. Why implement the MDM strategy?
10. 10. Overview of enterprise Master Data Management solutions 
11. 11. Which MDM solution is best for my company?
12. 12. Benefits of MDM system implementation
13. 13. Key Considerations for Successful Master Data Management
14. 14. FAQ

Introduction to Master Data Management (MDM) 

In our blog posts, we have already discussed the topics of data quality, data integration, data management, and the visualization of enterprise data. The appropriate approach to data, understanding it, and using it knowledgeably allows many companies to spread their wings, regardless of the industry or business profile. This time I will present enterprise Master Data Management (MDM), i.e. the efficient management of basic data, which is a mandatory point for every data-driven company.  

So how can MDM help?  

Understanding Master Data. Why manage Master Data? 

The 21st century has brought lots of data from multiple sources and information that flows through companies every day. And there are no indications that there will be less data in future. Quite the opposite – we should be prepared for the fact that the amount of data will grow, and in a logarithmic way. However, hidden somewhere among all this data is a real treasure that can change the way any organization works – namely master data.  

What is Master Data Management (MDM)? 

Or: what do we really want to manage and what should we manage? Do we know which data is most important to our organization? 

Master data are key information about individuals, objects, or concepts that are crucial to a company’s operations. In the context of Master Data Management (MDM), master data are information that is considered fundamental and vital to the proper functioning of the business.  

Moreover, corporations process many other transactional data, as well as generating analytical data that can be based on Master Data. This includes various aspects of the business and data types, such as: 

• clients 
• products 
• employees 
• providers 
• locations and other relevant issues. 

Implementing Master Data Management solutions 

After this brief introduction, it may already be clear why you should manage data. The purpose of Master Data Management (once it is defined and known to us) is to ensure the consistency, quality, integrity, and availability of this data in all systems and processes of the organization. As a result, this data becomes a valuable resource that can be used to make more accurate business decisions, optimize operations, and increase the company’s competitiveness. MDM also helps prevent errors resulting from inconsistent or outdated information, which can negatively impact effectiveness.  

Consistent Master Data vs information flow – examples  

Imagine a sales representative who presents an offer to a customer already being handled by another coworker in the department, due to duplicate records in the CRM. Data quality issues including a mess in key data not only reduce the effectiveness of sales activities but also undermine the company’s reputation. There are numerous examples of this type. Outdated customer data in the database will not allow marketers running mailing campaigns to reach the right person. The lack of key product data in the ERP system means a risk of real sales losses.  

Best practices  

That’s why considering which data in your organization should be treated as master data is one of the best practices. Managing the most valuable data properly is, among other things, the foundation for building data quality metrics that I discussed in the article on Data Governance.   

How do we optimize the data management process in the organization?  

Ensuring data consistency and optimizing the data management process in your organization is a multifaceted task that requires taking various factors into account.  

1. Check what role data plays in achieving your company’s goal – first, you need to know and understand the organization’s goals and what role data plays in accomplishing them.  
2. Determine the master data – then decide which data can be considered key for the company.  
3. Develop good practices – having completed this process, it is necessary to develop data management standards and procedures that will be implemented throughout the organization. By this, we mean an approach to both presenting and understanding specific concepts.  
4. Take care of the quality of your data – in the next steps, it is important to ensure high data quality and eliminate errors and potential duplicates in the creation of master data. The aforementioned data quality metrics will certainly be necessary. 

How do we determine the Master Data?  

At this point, MDM systems come in handy. There are many such providers – I will discuss them in a moment. They allow you to organize everything that is really important in data management in one place, i.e., they are an information center facilitating standardization, synchronization, integration, data access management, and regulatory controls. The latter point is especially important when the law changes and the management of data in the company should be adjusted accordingly (this was the case, for example, at the time the General Data Protection Regulation (GDPR) came into force). 

Why implement the MDM strategy? 

With a proper and well-organized approach to master data management, it is much easier to present data to employees. We also minimize the risk of situations in which different corporate systems have to determine master data on their own. This also applies to reporting analyses: when we know where to look for information, e.g., about customers and invoices, we can avoid conflicting results in reports.  

Overview of enterprise Master Data Management solutions  

There are numerous Master Data Management (MDM) systems on the market from different providers. Most often, they offer what is most important in MDM, but of course their providers deliver various functions, and the tools come with many capabilities. 

Below are some examples of the most popular MDM solutions: 

1. Informatica MDM: Informatica specializes in data management solutions, and Informatica MDM is its Master Data Management platform. It offers a wide range of features, including deduplication, integration, and Data Quality management. 
2. SAP Master Data Governance: SAP offers MDM solutions that are integrated with the provider’s ERP systems. SAP Master Data Governance allows companies to manage customer data, products, and other critical data. 
3. IBM InfoSphere MDM: The InfoSphere solution is a comprehensive data management tool that allows organizations to manage customer, product, and supplier data, among others.  
4. SAS MDM: SAS offers tools that allow organizations to manage master data and use it for analysis and reporting. 
5. TIBCO MDM: TIBCO Software offers a solution that allows you to manage customer data, products, and other key information in your organization. 

Which MDM solution is best for my company? 

These are just a few examples of MDM systems available on the market. The choice of the right system depends mainly on the needs and requirements of the company and on the budget. Each of the aforementioned providers offers a free demo of their tools, so it is worth taking the time to thoroughly familiarize yourself with the capabilities of individual solutions. 

Benefits of MDM system implementation  

• Centralized source of master data – first of all, after implementing the MDM software and correct initial configuration, the company gains a central source of data information, which significantly facilitates analysis and further company growth based on key data. Any integration of new systems, the expansion of current ones, and sometimes even rebuilding them becomes much easier when we know which data we should use and how we should use it. This way, the introduction of a new CRM system does not require analysis related to determining the source of customer information. The data is at your fingertips. 
• Better results – without duplicating errors, we get better quality products, which are also created faster, because the risk of incorrect results, and thus subsequent iterations related to improvement, is reduced. This, in turn, directly leads to better competitiveness in the market and also helps to increase trust among business partners, who are served more efficiently.  
• Improved analytics – naturally, all analytical activities gain better flow and allow you to make better business decisions.  
• Facilitated offer customization – the consistent master data that we have under control directly translates into better customer service and allows us to better customize the company’s offer.  

Also read: Data mining techniques 

Key Considerations for Successful Master Data Management 

I hope that this article has drawn attention to the Master Data Management (MDM) field and the fact that the management of master data records is important. So let’s sum it up in a few sentences. We may remember that a systemic approach to managing master data (e.g. customers or products) guarantees higher-quality services and better results and translates into increased satisfaction both within the company and outside – for our customers.  

By ensuring the consistency and uniformity of key data within the main data sources, we accelerate all business processes, prepare for any legal changes, and ensure that strategic decisions are made on the basis of relevant information. 

DATA ANALYTICS SERVICES Use data to your advantage Discover our Data Management End-to-End offer! Find out more!

FAQ – common Master Data Management strategy questions  

Finally, here are a few frequently asked questions and answers that may interest you if you are intrigued by Master Data Management (MDM).  

How to develop your talent management strategy?

HR practitioners and management companies strongly agree that focusing on talent management helps improve business outcomes. Employers give great regard to talent. Google is working on recruiting better people as part of its 20 per cent job training programme. HR Connect reviews ways for managers to manage their employees and helps organizations improve talent management through a comprehensive talent management strategy.

What is talent management strategy in an organization

A competency management strategy is a crucial factor in terms of achieving business goals, including in building human capital. The strategy includes learning and development specialists’ competences, so-called hard competences, soft skills, and a wide spectrum of possible certification and development opportunities, including providing employees with interesting project challenges. Another challenge for the human resources department is attracting new talent to the company, that preferably meets customers’ requirements – and facilitating the entire recruitment process, for candidates as well as the company. How to address all of these needs? Talent management systems come in handy.

What is talent management process?

As part of business strategy, talent management process helps to develop one of the company’s strategic resources – the human capital. Identifying critical skills gaps, long-term workforce planning and recruiting are the main goals of the process. But these are just a part of talent management process. HR professionals take care of onboarding, performance management, employee engagement, support and succession planning.

Developing talent strategy supports employer branding

HR professionals would surely agree that managing talent has a significant impact on the execution of business strategy. It also helps build a competitive advantage, especially in terms of employer branding. Developing skills and clear advancement programs allow companies to upgrade their brands as trustworthy employers. This way, potential candidates recognize an organization as an attractive place to work wherein they can gain new competences. Such a strategy allows employers to attract and retain new employees.

ORGANIZATION

Read about soft skills in demand, and get to how IT outsourcing can help.

Read the article

Talent management practices in a tech company – how do we do it at JCommerce?

At JCommerce, we employ specialists in many different areas: software developers, Business Intelligence specialists, cloud experts, Apple administrators, delivery department employees, managers, and back office (HR, sales department, marketing) employees. Managing so many competences in an organization requires a thoughtful strategy and suitable solutions.

We provide technology solutions to our clients on a daily basis – at this time in 2020 we designed and implemented our original SkillMatrix solution. Between six and nine of our employees were involved in the project at a time (Java developers, UI designers, QA, a business analyst, and a Scrum Master).

At JCommerce, we currently use two development and talent management systems: HCM Deck and the self-designed SkillMatrix.

1) We use HCMDeck to:

• carry out annual assessments,
• view feedback after technical verifications,
• place orders for employee training.

2) The SkillMatrix provides us with actual information on:

• the competences of a given specialist,
• their employment history,
• employee profiles (a database of former employees).

What we have managed to achieve:

• Better documentation flow between HR, Delivery and Sales departments,
• Better insight into the competences of employees,
• Greater knowledge of certification and competence levels.

Application development plans:

SkillMatrix is a product that will continue to develop depending on our needs. This not only applies to the needs of employees but also to the requirements of all departments that need support in gaining quick access to specific information. For example, we have recently added a functionality allowing us to print reports, filtering by people / competences and the level of a given competency. The need for this functionality resulted from participation in tenders, where we present the company’s profile.

SkillMatrix will also include functionalities for managing employee profiles and allowing us to see if a given person wants to change the project. All project descriptions will be made available to developers to help them find the best JCommerce project for themselves. The main goal: we want employees to know all the possibilities for allocations and options to change the project which they are working on, and thereby to associate plans for professional development with JCommerce and willingly stay with the company.

SkillMatrix is a product that can be adapted to our needs. The only requirement is that the information in the system must be kept up-to-date. The Team Managers and the employees themselves take care of it.

Who can use the talent management solution?

Line Manager

Manager with insight into the competences of employees can more easily monitor their progress and see opportunities for development.

HR department, recruiters

Teams responsible for recruitment can focus on acquiring employees with the competences required for a given project with the help of cataloged knowledge.

Sales specialists

a sales department looking for experts for their clients may recommend people whose competences meet specific criteria (e.g. working with the use of a specific system, a certificate confirming language competences, readiness to work at the client’s site, etc.). participation in bids, submission of offers, analysis)

Employees

With a completed employee profile, it is easier to set development goals, plan a career path and obtain new certificates.

Candidates

A talent management system can also be a helpful recruitment tool for candidates. Instead of sending their CV, they can set up a profile for a database of candidates.

Business representatives

Thanks to TMS systems, business representatives save the time needed to find the right candidate profile.

What features should a talent management system have?

• Integration with other systems and solutions used in the organization – HR talent management software will be one of several systems used in a company. Make sure that it is possible to integrate it with applications or external recruitment systems already in use.
• Appropriate, clear structure – the system should facilitate the management of a wide range of competences. Therefore, it should have a structure that will facilitate the cataloging of knowledge about employee competences, work experience and certificates.
• User-friendly interface – TMS is a tool that will also be used by employees; therefore, the user interface should be friendly, and its usage should be intuitive.

Do I need talent management software?

If you are wondering if a talent management system is the solution for you, try to answer the following questions:

• Do I know the competence level of my employees?
• Do I know what certification they have?
• Do HR, sales and other departments have all the necessary information about the competences of employees in terms of submitting offers, bids, etc.?
• Do I have a list of job descriptions with the scope of competences required?
• Does the HR department have sufficient tools for recruitment, onboarding and offboarding?
• Does the flow of recruitment documents between departments in my company need improvement?
• Do clients know what employee competences I can offer them?
• Do I provide candidates with sufficient information?
• Do I have a database of candidates?

Summary

Talent management in a mature and developing organization can be a real challenge. Dedicated solutions such as employee profile management systems can help. If you want to learn more about how we utilize the full potential of such a tool – contact us. We will be happy to share our knowledge and experience.

The article has been prepared in cooperation with Olga Chwiej, Team Manager at JCommerce.

1. 1. What is Business Process Outsourcing (BPO)
2. 2. Types of IT outsourcing
3. 3. Why do companies outsource? 
4. 4. Advantages of IT outsourcing
5. 5. 7 steps to establishing IT outsourcing cooperation 
6. 6. Software development outsourcing models and pricing
7. 7. Best practices in cooperation with a support provider
8. 8. Outsourcing service providers – summary

What is Business Process Outsourcing (BPO)? 

Companies are most often familiar with the definition of outsourcing and the process itself holds no secrets for them. Let me just briefly remind you that BPO (Business Process Outsourcing) is a process whereby a company transfers different segments or services of their business to another company. BPO is often associated with front office customer care workers, but the term is much broader and includes all back office business functions too.

Types of IT outsourcing

Sometimes the operating activities are relocated to another country – if the other country is far away, this kind of outsourcing is called offshoring (offshore outsourcing); if in a nearby country it is known as nearshoring (nearshore outsourcing); and if inside national borders – onshoring. 

Read also: Nearshore vs. offshore software development 

Why do companies outsource? 

There are many reasons behind the relocation of business processes, and these reasons have evolved over time. For example, in the past, the main reasons for outsourcing services were reduced costs and saved time.

Nowadays lower costs of services are not the key decisive factor anymore. Many companies often lack highly qualified employees and hence decide to take advantage of outsourcing benefits. In the IT industry in which we operate, Business Process Outsourcing (BPO) allows companies to acquire specific, usually rare competences.

Advantages of IT outsourcing

As a consequence, a company using outsourcing services can gain a competitive advantage and improve its market position on both strategic and functional levels. For example, a number of companies have decided to hire software developers as they need to augment their staff in order to carry out innovative projects. Furthermore, Business Process Outsourcing improves the cost structure considerably and allows great flexibility within an organization, especially when implementing the Agile model of cooperation. But what path leads to collaboration?

Nearshoring services

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7 steps to establishing IT outsourcing cooperation 

Every Business Process Outsourcing starts with assessing the company needs and planning the sourcing process. Next comes the selection of service providers, negotiation of the contract, executing service transition, monitoring and controlling. Let’s have a closer look at the seven steps of the IT outsourcing process. 

Key phases of the outsourcing process 

The key phases of the outsourcing process (especially in IT outsourcing relations where projects are often critical for digital transformation) are as follows:

1. Assessment (and development of strategy)  

The first stage of outsourcing, and very often the most difficult. The buying company conducts a thorough assessment of their sourcing needs. We described it in detail earlier on in the text: Custom software development companies – how to find the best?

2. Proposal (and selection of a service provider) 

To get information from providers, the buying company will create and send at least one of the following documents to the external market:  

• Request for Information (RFI) – its purpose is to determine which of the providers is able to deliver the required services. The document includes details related to providers’ capabilities. 
• Request for Proposal (RFP) – it is helpful in determining the bidding process and the terms of the contract. 
• Request for Quotes (RFQ) – it enables a company to gain insight into the cost of services. 

3. Due Diligence

This is the process of gathering and evaluating information about each other’s capabilities to form a structured relationship. 

4. Contract procurement 

Both parties formalize their business relationship by means of a written agreement. The companies will negotiate the specific terms of their relationship and will then sign a contract, typically one of the following: 

• Master Services Agreement (MSA) – one of the most typical types of contractual agreements, used in relationships where one company has to work on a project or projects with another company. It usually covers areas such as intellectual property, confidentiality, terms of payment, responsibilities, warranties and work standards. 
• Service Level Agreement (SLA) – a critical component of any outsourcing and technology vendor contract. It lists and clarifies expectations pertaining to service type and quality.  
• Non-Disclosure Agreement (NDA), also known as a Confidentiality Agreement (CA) – in general, these are agreements that protect sensitive information. Cases in which confidential information might be protected through an NDA can include business models, plans for a new tool or software product, information about clients etc. 

Read more: Discover added value and unexpected benefits of IT outsourcing!

5. Implementation

After the contract is signed, the two companies will begin transitioning resources and responsibilities from the business to the outsourcing company. This represents the official launch of the project.

6. Managing / delivery 

This stage is typically the longest because it involves managing the business and maintaining a working relationship throughout the contract.

7. End of the contract / transfer 

At the last stage of outsourcing, repatriation involves the transfer of resources and responsibilities back to the original companies. Usually, cooperation between companies in the area of outsourcing lasts longer than one project. After the first project is completed, the outsourced teams start the next projects, sometimes to do with maintenance, but often the development of new software products or functionalities. Once finalized, the relationship lasts for years at a time.

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Software development outsourcing models and pricing

Most of the contracts for Information Technology outsourcing services are billed based either on Time and Material or Fixed Price (small IT tasks) model. Nowadays, IT outsourcing services are developing and even more complex partnerships are possible. In such a case, a service provider and a client share risks, rewards and core competencies. Even setting up an operational subsidiary of the client’s company in a remote location can be outsourced to a local service provider.

Best practices in cooperation with a support provider

Before signing the contract 

• Make sure that the outsourcing company’s cultural values correspond with yours. This way you will minimize the impact of potential differences. 
• Identify potential risks, and sign an NDA (non-disclosure agreement) to verify whether the software development company will be able to deliver the required product.
• Select an engagement model. Discuss it with your IT partner to choose what fits best (consider whether you need, for example, the support of several developers, a separate team, or programmers who will complement your in-house team). 
• Choose and get to know the specialists who will be working with you. Take into account not only their expertise and seniority but also soft skills and suggestions made by an external service provider. 

During the cooperation 

• Allocate time for a kick-off workshop. It usually takes a couple of days and its goal is to introduce team members, discuss the project’s goal and roadmap, as well as define roles and rules of communication, reporting, etc. This is also the right time to set up the infrastructure. 
• Focus on communication. Use project management tools to facilitate communication with the external company, give feedback, and be open to receiving it. Agile project management methods should make dialogue easier. 

Outsourcing service providers – summary

While looking for new IT providers, companies often struggle with the process of selecting the best candidates, whether due to inexperience, lack of industry knowledge or research, or poor planning. But luckily, there are multiple recognized outsourcing veterans, e.g. Polish software development companies, which play an important role in the worldwide outsourcing market thanks to qualified and experienced professionals. While searching for the best service provider, it is worth familiarizing yourself with the 7 phases of cooperation which I have described above. This will allow you to establish relationships that can bring benefits to both parties for many years to come. 

Read more: The best practices in IT Nearshoring

Diversity in IT as an important asset

It is not only the employee who benefits from a diversified workplace. A company which follows a diversity and inclusion policy has a very important asset on the market too. Diversity helps in getting to know the personal strengths and strong points of each employee, and this leads to discovering their personal potential, which they can bring to the company. Respecting diversity may turn out to be the key factor in terms of creating a thriving and successful company, and certainly it is one of the keys to building a friendly workplace and a fair work culture.

For me, diversity is not only about the company’s reputation or a nice and fancy or trendy slogan. It’s the best way to attract and retain IT talents and to increase the creativity and productivity in your team.

Diversity in the workplace – benefits

Equality and diversity in the workplace translate into certain benefits. According to a McKinsey report, companies with gender diversity policies are over 20 percent more likely to have above-average profitability. A diversified workforce also includes people from different cultural backgrounds. Why is diversity in the workplace important? How can you profit from it?

ATTRACT TALENT

According to a survey conducted by PwC, before accepting an employment offer, 54% of women and 45% of men check a company’s diversity and inclusion policies. The companies that have a diversity and inclusion policy in place have a better reputation on the market and are regarded as better employers. Potential employees want to work in a place which takes care of people and accepts people of all backgrounds. To sum up: we want to work somewhere we feel accepted and where we are treated fairly.

BOOST THE CREATIVITY OF YOUR TEAM

Some time ago I managed a sales team. Its greatest strength was the diversity of characters and personalities of its members. Ideas that I would never have come up with myself were easy for others to work out. Everyone saw opportunities and possibilities elsewhere. Having a team with different backgrounds, with different perspectives, skills and experiences, means the creativity and diversity of the ideas that they bring to the team are of the highest quality. Each team member should feel comfortable expressing their different views and the employer’s role is to take advantage of each of their people’s strengths. Surveys have shown that employees who feel that their workplace supports diversity and is committed to improving as an organization has an increased ability to innovate – by as much as 83%!  As an IT company, we know how important innovation is, and we encourage our employees to share their views and ideas.

LET YOUR TEAM WORK MORE EFFICIENTLY

This diversity of talent means a wider range of skills, a variety of experiences and perspectives. When we put all the pieces of the puzzle together, there is huge potential for increasing productivity.

In the IT industry, a diversified workforce lets us think out of the box easier and bring new ideas to life faster, so we are able to solve problems quicker as a result. In such organizations, employees feel safer and more comfortable and are willing to share their point of view, even if it differs from the opinions of other team members. Put simply, the organization creates the right atmosphere to do so.

BE ATTRACTIVE TO YOUR BUSINESS PARTNERS

It is not only potential employees who look for organizations which respect diversity. Clients do too: they wish to be sure that they can establish a strong and long-term relationship with such a company. Maybe you aren’t aware of it, but no matter what your product or service is, diversity already exists in your database! As an IT company, we cooperate with customers from different countries and cultures because of tech development, and thanks to having a diverse culture we are able to build stronger relationships with customers from all over the world. At JCommerce there are people from Ukraine, Brazil and Hungary. We believe that our diverse teams can understand our clients’  needs better, because of the different perspectives they have and their different backgrounds. This also helps companies to increase their customer portfolio due to their understanding of different cultures. To understand a customer’s culture is to better understand their needs. And how can this be best achieved, if not through a diversity and inclusion policy?

PROJECT MANAGEMENT

  How to work effectively with Agile nearshore teams? Get to know the benefits of Agile Nearshore Software development Read the text to find out more!

Summary

Diversity is slowly becoming a standard inscribed in the organizational culture of IT companies. Choosing organizations that implement, respect and support diversity brings undeniable results. It seems to be a good and quite simple solution to increase the productivity and creativity of your team. It helps to increase the company’s profits, not only by having a wider range of skills, but also insight into various cultures; thus, you are able to attract new clients from various regions and countries. Diversity allows companies to reduce employee turnover by improving the employees’ level of engagement.

Nowadays diversity is not only about improving the reputation of the company; it’s a standard that we should follow and respect.

When searching for an IT outsourcing provider, CEOs, CIOs, project managers and decision makers often focus on such aspects as contractual agreements, competences, technologies, pricing and the cooperation model. These are certainly very important, but there is one more aspect you should pay attention to: the organizational culture of your future IT partner. The culture of your IT provider is important because it allows you to find out more about:

• the company’s values
• the maturity of the organization
• the internal processes of the provider
• added value

Key elements of organizational culture

Company values

Organizational values are the principles that allow each business to grow. Companies often identify with values closest to their mindset, which strengthens employees’ identification with the employer. It also allows companies to recruit talents that are on the same wavelength, and establish business collaborations based on a similar philosophy.

For example, at JCommerce we believe in Enthusiasm, Professionalism, Development, Teamwork and Flexibility and identify with these values on a daily basis. How to ensure that values matter to the provider and aren’t just PR claptrap? Ask the provider how they cultivate a given value in their organization, and make sure to get specific examples of how it is developed and taken care of.

ORGANIZATION

Read about soft skills in demand, and get to how IT outsourcing can help.

Read the article

Mission

Do you check out a company’s website to search for information about who they are and what they do?

Apart from familiarizing yourself with the “About” section and references, search for their mission, describing in a few words who they are and what distinguishes them from other companies on the market. Mature and conscious IT companies will have a mission outlined, going beyond “Providing IT outsourcing services”. Expect something other than the usual, as during cooperation it will turn into added value.  

E.g. JCommerce’s mission is to “Support companies in the ongoing process of digital transformation. By sharing the knowledge, talent and skills of our specialists, we offer our partners development and cooperation based on trust.”

People

According to research, there is a relationship between effectiveness and team spirit. A comfortable, friendly working environment, allowing for good understanding and cooperation, is a crucial element of building highly effective teams. How to check if there is positive energy in an outsourcer’s team?

• Browse their photos, showing them at work and conferences. Make some effort to ensure that they show real people, and are not stock photos downloaded from some gallery.
• Also, search for videos to see how the outsourcer’s employees communicate. Would you like to have them in your team? Check whether they are active members of the IT community.
• Don’t underestimate the role of social media. This is especially important nowadays, when remote work is becoming more and more important, and in most cases we no longer have the opportunity to meet face to face and get to know someone in person.

Internal and external initiatives

How to ensure that a given company offers something more than IT services? Companies who set their hearts on being a responsible employer will transparently communicate what internal and external initiatives they support. Check if they:

• support their employees, e.g. by offering dedicated development programs
• support work-life balance
• run a company blog, where their specialists can share expert knowledge
• participate in or organize IT meetings, webinars and conferences
• build a community of experts, e.g. by creating online groups for IT people

CSR initiatives

Smart development is becoming increasingly important as we all realize that running a business is more than simply providing IT services. While doing research on a particular IT outsourcing company, check if they are a responsible member of the community. Do they participate in pro-ecological activities? Are there any charity activities in place? Or maybe they have their own original program? Corporate Social Responsibility initiatives are a measure of IT companies’ engagement in building a better world.

Summary

What distinguishes a mature and trustworthy organization is the vision of what their role should be. Knowing your future partner’s mission, values and initiatives can make it easier to decide on cooperation with that company. It will also allow you to check if your organizational cultures are similar and if the provider’s culture corresponds with your own. This is crucial, since a similar mindset and corporate culture facilitate the start of new projects and it is much easier to entrust work to people who have similar values and cooperate in a similar style.

Find out more: Jamf Pro – MDM software

Windows and macOS under one roof?

Implementing the Apple architecture in organizations which have used the Windows operating system since day one is a real dilemma which many of them face. The question is: when is the right time to take this revolutionary step? First, let’s take a look at the benefits associated with Apple architecture.

Why Poland

Why to outsource software development to Poland

• Skilled programmers
• Remarkable English proficiency among Polish developers
• Low hiring prices

Read the text to find out more!

Brand attractiveness

When organizations give employees the ability to choose the technology they will be working on, employees consistently choose Apple (72% of members choose Mac and 28% choose PC). Giving them the choice between Apple or Windows devices will improve your organization’s attractiveness in your employees’ eyes.

Fewer configuration requirements

Perhaps one of the substantial benefits associated with Apple architecture and the macOS operating system is that there are fewer configuration requirements compared to the PC environment and Windows operating system.

This is because Apple has a highly streamlined computer lineup that consists of MacBooks, iMacs, Mac mini and Mac Pro. In contrast, PC devices have different manufacturers and therefore multiple configuration requirements.

Supreme security

With PCs having a larger market share, most security attacks, such as ransomware or malware, are aimed at PC systems. Apple architecture incorporates stringent security protocols which manage access to and the usage of devices. This increases the security of your valuable data from unauthorized access and theft. But I will come back to this later.

Read also: Jamf Connect – identity management reimagined

Stable infrastructure

Unfortunately, PCs are susceptible to random crashes, as well as peculiar issues with devices caused by compatibility problems that may occur due to the abovementioned multiple hardware manufacturers and configurations. In the worst case scenario, it may even bring about financial losses. Apple devices are known for their impeccable performance and stability, which is an attribute any business would benefit from.

Industrial Applications of Apple Device Management

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Owing to the benefits associated with this architecture, different organizations across multiple industries — hospitals, schools and corporations, such as IBM — have embarked on revolutionizing their processes by fully adopting the Apple device management system, resulting in the streamlining of processes and the enhancement of efficiency. Some of the applications within different sectors include:

Field Services

Having a mobile workforce is central to enhanced productivity in field-based business operations. Remote device management makes it possible to distribute pre-configured apps to the mobile workforce.

Small and Retail Businesses

With security being a top concern, the implementation of the Apple device management system can be a wise move. The system offers a secure environment through data encryption and various security mechanisms. In cases of specific use, restrictions to access can be implemented using macOS security settings. Employees get to be empowered through centralized device management which gives them access to resources as they need them.

Jamf Pro: What It Is and its Benefits

Jamf Pro is a mobile device management system specifically designed for Apple devices. Most importantly, it can be integrated with Microsoft Intune or Microsoft System Center Configuration Manager (SCCM), making all Mac and PC devices fully compatible with each other.

The system itself enhances operational efficiency during a device’s lifecycle, making it possible for you to work more efficiently on task development. Some of the functions to be executed by the tool include the deployment and maintenance of applications, Usage Logs which show activities as conducted by users using the various devices, and also the distribution of settings to remote devices. In the event of any security threat, the system can assist with an immediate and appropriate response, therefore safeguarding your devices and data. The benefits of this system include:

• Flexibility. With Jamf Pro, you are in control of which applications to install on which devices. With Self–Service portal, you are at liberty to run maintenance checks whenever convenient.
• Reliability and time-saving. Most activities such as app updates can run as background processes. These actions are executed promptly with minimal involvement on your side.
• Confidentiality. Full audit logs are kept, showing every action conducted in the system. No data is transferred from your device, therefore the security of data is maintained.

Why Go for the Jamf Pro with JCommerce?

Implementing Apple technology at your company will definitely transform the way your employees work and how your business operations are conducted. Furthermore, the Apple device management solutions can support your organization when the devices which are in use are not being managed as required. Also, to avoid blackouts during unforeseen circumstances, you need to diversify in terms of operating systems in order to eliminate dependency — as I previously mentioned, thanks to Jamf Pro, macOS architecture is fully compatible with the Windows environment.

Summary

At JCommerce, we offer the Jamf Pro, putting state–of–the–art technology and management tools at your disposal. It is designed to simplify the usage of Apple devices for your employees, enabling you to provide a better user experience. We have a team of certified Jamf experts and Apple systems engineers ready to face any challenges.

Let us help your organization operate much more efficiently — contact us today for your Apple device management solution.

Challenges of the new reality

We experience the new reality when it comes to the organization of work. Remote work, distributed structure, no physical access to the IT department, to name but a few. Many companies are making remote work a part of the organizational standard. Working from home is not just an option anymore. It is becoming standard procedure. Twitter says: “Opening offices will be our decision; when and if our employees come back will be theirs”, and plans to allow their employees to continue working from home permanently if they so desire.

All of this creates new challenges we have to face, related to security and logging in to the network:

• How to easily provide employees with access to corporate resources and applications?
• How to ensure the security of documents and files?
• How to manage employees account and solve login-related issues?

Read also: The Key Leadership Skills You Need for The 21st Century Workplace

Jamf Connect login – a brand new authentication user experience

Jamf Connect provides you with the ability to use a single identity for access to devices and resources. A cloud-identity credential delivers a new user experience in terms of setup and everyday logins. Unified login credentials are in use across all devices and applications in the company.

It is much easier for the IT department to manage all the Macs in the organization remotely, and the Apple administrators gain a tool allowing them to maintain better control over user access. Identity management might be the easy part.

Unsecured networks and unauthorized users always give the IT security team sleepless nights. Thanks to the constant monitoring of all devices (where devices are being used and by whom) we can implement compliance standards across all devices and users.

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Jamf Pro implementation for a global FinTech

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Jamf Connect login – a brand new authentication user experience

Not only will your employees benefit from this identity management solution, but Jamf Connect will translate into specific advantages for your organization.

• Reduced number of password reset-related tickets
• Improved efficiency of employees who do not have to deal with IT issues and can focus on their tasks
• Administrators keep Mac devices and data secure
• There is no need to bind the device to the domain
• Easier account provisioning

Forever in sync

User passwords can be synchronized between the cloud-identity provider and the local Mac account. No need to waste time logging in or on getting access to applications over and over again. Not to mention password-related help desk requests, of which there are almost none. A forgotten password doesn’t cause bottlenecks anymore. According to Okta, a single password reset request costs companies an average of $70.

Also read:

• Jamf Pro MDM-class solution implementation

Jamf Connect Cloud Identity management – summary 

A solution that guarantees a reduction in both volumes of help desk tickets and factors which may get in the way of productivity is at your fingertips. Jamf Connect provides a hassle-free way to undertake identity management by remotely managing users, passwords and access to corporate resources and applications. No time or money is wasted.

Are you interested in apps that allow administrators to manage corporate devices? Our Apple administrators configure Jamf Connect and implement MDM-class solutions. Contact us to find out more!

As per the Cambridge dictionary, soft skills are “people’s abilities to communicate with each other and work well together”. Soft skills are vital and should not be overlooked during the recruitment process, since they make up to 25% of the competences required to fit a given position and to become a valuable workmate. We all have our own preferences in terms of cooperation in the workplace, which is an important aspect of the employee experience. As per the Global Talent Report 2020, “96% of talent professionals say [that] employee experience is becoming more important”.

The “4 Ps” in terms of the employee experience consist of:

1. processes,
2. place,
3. product
4. people.

According to a study by LinkedIn, in 2020 companies will be willing to hire people who are:

• Creative,
• Persuasive,
• Collaborative,
• Adaptable,
• Emotionally intelligent

Are soft skills important in IT?

Technical skills are easier to assess than personal qualities. That’s why many companies pay close attention to their assessment of the personal attributes of a given specialist during the hiring process. Could we imagine a developer with no creative approach to problem solving whatsoever? As John Romero said, a developer is like an artist: “You have programmers. You might not think that programmers are artists, but programming is an extremely creative profession. It’s logic-based creativity”. Persuasiveness, the ability to collaborate and adapt easily are also important, especially in Agile IT projects. We asked JCommerce specialists themselves to judge whether the abovementioned soft skills are relevant in IT.  

Here is what they say:

Collaboration

The team should be willing and able to do something together, because it is the only way to deliver valuable product to business in an effective manner – says Kamil Czornyj, software tester.

Persuasion

In my view it is important for managers, including of course IT managers, but not for developers. For managers it’s relevant because an employee who carries out delegated tasks without conviction or with the feeling that something has been imposed works ineffectively – claims Tomasz Krupa, Head of Delivery.

Creativity

Creativity is important as it allows us to find better (meaning quicker, or less complicated, requiring a lower workload and fewer people engaged) ways to solve a problem. It is important to get off the so-called beaten tracks, which for many reasons are not always the optimal ones – says Agata Ostrowska, Junior Tester.

Adaptability

It is crucial to adapt your attitude to the team. You cooperate in a different manner with an outgoing person than you do with an introverted one. Despite what is being said, communication is important in IT – says Mariusz Skomra, QA developer.

Emotional Intelligence

Emotional Intelligence allows us to better understand clients’ needs, which helps to optimize the solutions used and to minimize costs – says Joanna Jaromin, Junior Java Developer.

As we can see, IT specialists – testers, developers and managers – believe that soft skills are important in IT, as they foster better cooperation and make the process of software development more efficient.

How to build a perfect team?

Google was interested in finding out what the key aspect of building successful teams is. They measured e.g. how often their employees eat together at work. So what did the results reveal? There is some relationship between productiveness and networking in a workplace. Researchers discovered that the most productive employees tend to have a wider group of dining companions at work. The other interesting result was that the recipe for building a perfect team is actually not about combining the best employees with the highest level of competences – it turned out that some of the most productive teams consist of people who take pleasure in spending their spare time together. According to other studies, good teams are created by people who treat each other well. As we can see, mutual understanding and respect are vital aspects of building successful teams.

Soft skills – how can outsourcing help?

But what does all this have to do with IT outsourcing, one could ask? An IT outsourcing company can help to recruit specialists with suitable soft skills. Outsourcers’ internal HR departments specialize in employing valuable workers, very often taking advantage of dedicated employee referral programs. Thanks to such programs, IT outsourcing companies build teams in which collaboration comes naturally. This is simply because people who work together know and like each other. And here is why team building and assessing soft skills is not your problem anymore. 

Check: Team Delivery

Agile model as a response

While talking about software development and soft skills, what if we emphasize:

• Processes and tools over individuals and interactions?
• Comprehensive documentation over working software?
• Contract negotiation over customer collaboration?
• Following a plan over responding to change?

These are the core values included in the “Agile Manifesto”, but… formulated the other way round. It makes us feel awkward, as we can see that the relevant values are not as vital as we had thought. Processes are important, but they cannot be prioritized over people and interactions. Customer collaboration has real value, and intuitively we feel that it cannot be emphasized over contract and figures. Following a plan is vital, but by responding to changes, teams and team members maintain flexibility. When deciding on the Agile software development model, we can rest assured that functioning software will come as a result of the work of a collaborative team. Agile teams place emphasis on soft skills – they value communication, flexibility, collaboration and mutual respect.

Read also: Agile nearshore software development

Summary

It is not easy to assess technological skills; it is even harder to assess the personal attributes of a given employee. Outsourcing companies take care of all onboarding-related processes, betting on specialists who will fit snugly into a team. Also, the Agile model, which is gaining popularity in IT outsourcing, fosters the development of soft skills. While considering IT outsourcing in 2020, it might be worth familiarizing yourself with Agile principles and getting to know the range of services offered by outsourcing partners.