Since the beginning of the outsourcing boom in the 1990s, outsourcing pioneers world-wide have sung the praises of having a distributed approach: designing, implementing, and maintaining high-value, high-quality technology solutions at the lowest possible price.

The utmost interpreta- tion of this theory would mean large-scale pro- jects in a faster-than- usual speed to market, built upon the glorified idea of round-the-clock development and imple- mentation. The typical example would be developers in India correcting bugs over- night, while testers in the US sleep. At Ethos we highly agree on the key aspects of this framework with respect to price and quality but when it comes to speed, we feel that the feasibility and effect of the 24-hour working day might be a bit exaggerated.

Projects run at Ethos will of course benefit from the extended working day caused by project players situated in various time zones—but we recognize that quality of work can be compromised if communication is not managed carefully. Ethos does not neglect these concerns, and aspires to provide customers high quality projects at a low price—delivered at a sensible and reliable pace.

• High Quality: Our multinational team and expertise is a blend of highly skilled Chinese developers coached by project managers with background from either the US or Europe—all together using well proven Western Methodologies.
• Low price: Ethos is leveraging low cost structures of global talent, and is happy to share the benefits with our clients in terms of low costs on projects.
• The right pace: Fast is fine, but accuracy is everything - Xenophon (Greek Historian, c.400BC)

Three Modi Operandi

At Ethos we feel that there can be a gradual evolution from onshore to offshore.  For this purpose have three modes of operation so clients are able to to choose the degree of outsourcing with which they feel more comfortable.  As the partnership evolves clients, too, shift more and more towards the latter stage where they can enjoy the most cost-savings.

1. No Direct Chinese Contact

Despite the pomp and circumstance that surrounds China in this current climate, let’s face it, there are risks involved. We see them on the ground and from an ocean away, it can be downright daunting. Whether it be distance, language, or cultural differences, clients are free to hold their own concerns with outsourcing.

To help clients that are curious on the benefits, but do not want direct involvement themselves, Ethos has established—and is continuing to establish— partnership with local consultancies in countries worldwide. The goal is to be able to meet our clients at their home ground, completely free of any risk that might be felt in connection with offshoring. This has been done in Northern Europe, where clients in Norway now are able to run projects with no direct interaction with any Chinese.

Initial analysis and assessment, and all communication and practicalities with the Chinese development team during such projects are done by seasoned project managers in the local region. To the client, this is seamless. The project is done like any development project at any other consultancy only with a dip in price.

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2. Semi-Direct Chinese Contact—Projects Run from China

For clients who are not scared of getting involved themselves, the next step would be to run projects directly at Ethos HQ in China. This would cut the costs of the prized overhead segment of the home market. The roles of the staff at the local consultancy firm will in China be filled by project managers who, wherever possible, are from the same country as the client and speak the same language. This will minimize risks and prevent issues in the transition from the home market, and ensure smooth communication and high quality project implementation according to principles the client is familiar with from home.

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3. Direct Chinese Contact—Offshore Development Center (ODC)

The next step for experienced clients could be to completely eliminate all onshore overhead-related costs within the development projects. A framework agreement, and a frequently updated project pipeline would give the client access to a certain number of skilled Chinese, English-speaking resources for own management. With the exception of human resources management and having the proper infrastructure in place, Ethos is relatively hands-off in such instances.

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