Enabling enterprises to emphasize on core products while we focus on the non-core ones
With an integrated suite of service offerings, Mindtree partners with enterprises and drives growth for them. These offerings help the enterprises focus on their core products while we focus on the non-core or EOL (end-of-life) ones. This approach reduces cost of ownership and management bandwidth. It also helps them maintain stability and growth with the non-core products while the bulk of the R&D investment is spent on the core and strategic products.
An enterprise’s non-core products can be broadly classiﬁed into three types:
- Products that the enterprise may phase out within a short time
- Products which complete a core product’s offering, acting as a catalyst for their sales
- Options and agents built for speciﬁc purposes but go along
The third type generates lesser revenues than the core product and has a completely independent release cycle. For example, while there is a core backup product, add-ons are specialized on backup of database, exchange server and more.
As illustrated by Fig 01 below, intervention is required to with the core product maintain non-core products.
To manage the engineering and management challenges that segregate non-core products from core products, enterprises need to address the following:
- Deliver new releases to the market without increasing the overall spend and impacting existing customer satisfaction
- Keep the product relevant to the market landscape without increasing the cost and still managing the portfolio
- Maintain the balance between outsourcing and meeting consumer needs
- Ensure service quality is not compromised while managing outsourcing partners
We partner with enterprises that need to maintain non-core products, adding value with our expertise. Our experience and ﬂexibility allows enterprises to focus on their core products while we manage the non-core products’ life cycles. Combining people, process and technology enables us to do so.
- Deep understanding of the product life cycle and proven transition methodology. This ensures faster knowledge transfer and reduction of TCO (Total Cost of Ownership)
- Experience in executing different engagement models (T&M to revenue sharing) to suit every customer’s need
- Focus on delivery excellence for continuous service improvement
- Ability to quickly ramp up or down, based on need
Mindtree’s end-to-end product management expertise contributes a lot towards cost savings.
- We empower the enterprise, improving their R&D budget utilization
- We enable full engagement of teams, leveraging them on core strategic products
Mindtree’s integrated suite of service offerings enabled a Fortune 500 enterprise in the computer security and data protection domain to increase three folds the revenue of a non-core product. This was made possible within a span of two years, at zero engineering cost.
The customer was a leading provider of computer security and data protection software with a large consumer base. Faced with a situation where a non-core product had to be managed and grown, an end-to-end solution offering was required. The revenue contribution was not signiﬁcant compared to the suite solution required
Mindtree proposed a product ownership model to handle the product and work with the customer to create the roadmaps and future releases. The highlight of this model was that Mindtree would invest the engineering costs on the product. The revenue that the product would generate would be shared between the customer and Mindtree. The responsibilities were planned as shown in the table below:
- Product revenue increased three times in two years, with zero engineering investments
- Mindtree’s investment in IPs resulted in increased revenue
- Minimal customer management overhead incurred as Mindtree took full responsibility of product delivery
- Clear roadmap created for release up to 2014, taking into account the market dynamics and the competition