Models of cooperation for Israeli and Indian IT companies
ACCEL Group Companies
ACCEL GROUP
- Enterprise IT Solutions & Embedded Software
- Customer Interfacing Solutions
- 3D Animation & Visual Effects
- Media Solutions
- Staffing and Training
About Accel Frontline
• Accel Frontline is a leading system integrator and complete ICT provider
• Established on 1991
• Traded on Bombay and National stock exchanges
• Over 3000 employees, Year 2011 revenues reached $100M
• In India 40 branch offices, 100+ service location and four development centers
• Oversees offices in Dubai, Japan, US & Israel
Indian IT Market Size
• Indian IT industry generated $88B in Y 2011
• Very high growth
• Most revenues generated from services
• Around 70% of revenues are from export
• Two very large markets: domestic and global
20% Y-to-Y growth
Indian IT Sectors
Main IT Segments
• Banking and financial services is most dominant segment
• Telecom, Manufacturing and retail account 45% of market
Cooperation Scenarios An Indian service company
perspective
Off shore product development
Main scope - sales Maybe adopt Israeli
innovation
Enhance competitive position in India or Global
New business IT services in India & globally
A Proven Offshore Model
40% cost reduction
Proven delivery model
Scalable resource pool
Versatile expertise pool
Cross value chain: IT, R&D, managed service
Global standard quality
Time Zone
Focus on core business
Business advantages
Reduce costs Lower risk
Increase agility Enhanced
competitiveness
What can be Off-shored?
30%
70% •Development of generic hardware and software platforms & services •Integration projects •Customer requests
Core technology Core business process
None core activities
Core activity
Israeli high tech company activities
Offshore Models
Ownership
Loca
tio
n
In-house Outsourced
Isra
el
Ind
ia o
r C
ust
om
er s
ite
• Best benefits on fully outsourced /off-shored model
• Ownership can be of module, domain or complete product
• Offshore model is a function of partnership maturity level
Adopt Israeli Innovation
Indian market
• Resell Israeli brands
• Known “Israeli” domains
• Lower cost & “good enough” technology
Global Market
• Solutions fit for the Indian service delivery model
An Israeli- Indian Joint Venture
e-commerce cloud
application
Indian Partner Israeli Partner
Provide hosting
Manage the service
In India: recruit users
Supply platform
Supply Knowhow
Deploy the platform
Users
There are Benefits for both Sides
• Indian IT industry encompass a huge local and global target
market for Israeli companies
• Israeli companies can benefit from the Indian proven offshore model to increase competitiveness
• There is a sense to combine both cooperation models to the benefit both sides
Thank You