The document discusses Hexaware's NextGen Application Managed Services (AMS), highlighting its integrated model for managing application portfolios to optimize costs, improve delivery speed, and ensure transparency through a risk-reward sharing approach. It outlines the transition from traditional AMS to modern techniques and technologies, emphasizing various maturity levels of AMS and their corresponding benefits. Key benefits include reducing total cost of ownership by up to 40% and increasing delivery velocity by up to 50% through agile processes and automation.

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What is the Next Generation
for Application Managed
Services?

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What is Application Managed Services (AMS)?
• Confusion on what to ask for & expect?
• Common Value drivers for AMS contracts
Moving away from Traditional AMS deals
Hexaware’s NextGen
• What is NextGen?
• NextGen Maturity Levels
Q&A
What you can
expect in the
next 1 hour?

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Business
How do I accelerate my digital & cloud
journey?
How can I align IT contracts with my
business & growth goals?
How do I reduce my total cost of
ownership?
How can I release changes to the
market faster and more reliably?
How do I rapidly update while
avoiding disruption to users?
How best do I invest in IT to grow
my business?
Technical
How do I rationalize / optimize my
application landscape?
How will I manage with a new
vendor after Transition of the
services?
How do I managed a transformation
to Agile, or introduce DevOps
processes?
How can I adopt modern
delivery methods and create
full-stack teams?
How do I quickly create and deploy
engaging digital applications?
How do I leverage the efficiency and
power of cloud without impacting
business?

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Moving away from
Traditional AMS deals
New Requirements !
Transformations !
New Technologies !
SERVICE CATALOG

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NextGen – Application Managed Services
VALUE PROPOSITION
SERVICE DEFINITION
Hexaware’s NextGen Application Managed Service (AMS) is an integrated Build and Run model for
end-to-end management of your application portfolio to deliver the following benefits
Reducing total cost of ownership by
optimization and automation of BaU
tasks, processes, delivery methods and
application portfolio
Contributing to topline growth and improving the
time to market needs for your application portfolio
by adopting modern delivery techniques and
emerging technologies
Maintaining complete transparency of operations
along with an upfront guarantee on
improvements and innovation
These benefits are delivered using a risk-reward sharing model that ensures a true partnership
Short-Term
(0-3 months)
Medium-Term
(3-9 months)
Long-Term
(12+ months)
• Upfront commitments on reduction in
TCO of up to 40%
• Full Transparency in governance –
Real time performance monitoring for
all AMS metrics
• Introduce task/process automations –
Reduce manual interventions
• Reduce time to market – Upto 50% improvement
in delivery velocity
• Improve predictability by upto 80%
• Continuous customer engagement
• Value driven transformation – Modernization
& rationalization journey driven based on ROI
• Reduce lag between Business and IT to less
than 2 weeks
• Reductions in cost & time per story point
• Adoption of cloud & emerging technologies

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AMS Maturity Levels – Road to NextGen
Repeatable Support
processes;
Waterfall-based
Development process
Defined Processes;
Low agility
End User focused –
Self Service & Agile
Automation First –
Complex cognitive
automation
NextGen –
Intelligent & Modern
delivery
AMS Maturity Level
Level 1 Level 2 Level 3 Level 4 Level 5

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Participant Poll
Having seen the different Maturity Levels, at what level would you assess the Application
services that you are receiving – either from your AMS partner, or from your internal IT
teams?
Options:
• Level 1: Repeatable Support processes; Waterfall-based Development process
• Level 2: Defined Processes; Low agility
• Level 3: End User focused – Self Service & Agile
• Level 4: Automation First – Complex cognitive automation
• Level 5: NextGen – Intelligent & Modern delivery

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NextGen Journey – Low Maturity Index
Maturity Level: 1 or 2
Typically first/second
generation outsourcer
• In house team supplemented by contractors.
• Packets of work outsourced to external Vendors with minimal SLA control
• Usually non-standard processes or tool followed across different teams
Level 1 Level 4 Level 5
Comprehensive
Knowledge Management
ITSM Process Alignment
Task/Process Automation
Business SLA models
Continuous End-User Engagement
Output & SLA risk- reward based Delivery
Agile BizDevOps Transformation
Upskill Full Stack Teams
Intelligent Automation
Application Portfolio Modernization
User Experience Transformation
API & Microservices enabled
Cloud Adoption & Standardization
Outcome-based Delivery
Level 2 Level 3
Transformation
Journey
3-6 months 12 months
12 months
& Ongoing
Levers
Managed Services
(Service Catalog based with SLAs)

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NextGen Journey – High Maturity Index
Maturity Level: 3 or 4
Typically mature
outsourcing environment
• In house team supplemented by large vendors in specific areas.
• Usually enterprise standard processes or tools
• Stable services landscape with low innovation and moderate agility
Levers
Comprehensive
Knowledge Management
ITSM Process Alignment
Task/Process Automation
Business SLA models
Continuous End-User Engagement
Output & SLA risk- reward based Delivery
Agile BizDevOps Transformation
Upskill Full Stack Teams
Intelligent Automation
Application Portfolio Modernization
User Experience Transformation
API & Microservices enabled
Cloud Adoption & Standardization
Outcome-based Delivery
Transformation
Journey
0-2 months 3-6 months
12 months
& Ongoing
Level 1 Level 4 Level 5Level 2 Level 3
Outcome / Catalog based
(Commercials & SLAs tied to outcomes)

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AMS Maturity Levels – Value Realization
5
4
3
2
1
LEVEL
LEVEL
LEVEL
Level
Process
Maturity
Productivity Predictability
Reduce Total Cost
of Ownership
Reduce Time
to Market
Delivery
Model
Business
Outcome-based
IT
Outcome-based
Service &
SLA-based
T&M /
Capacity-based
T&M /
Capacity-based
Potential
Improvement
Direct relationship
between cost and
business value
LEVEL
LEVEL
40%Upto
Optimization
50%Upto
Increase
80%Upto
Increase
40%Upto
Lower
80%Upto
Decrease

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Write to us on
marketing@hexaware.com
200+ AMS Engagements
Delivered Successfully 110+ Active AMS
Engagements
10,000 person-years of AMS
Delivery Experience
3100+ Employees
engaged in AMS Delivery
Driving Optimization by:
Shift Left, BOTs for automation,
Ticket Reduction through RCAs,
ITIL Process optimizations,
Internal CVAs, Innovation Lab
Upfront Guarantee on TCO Reductions
TCO reductions typically 30% - 50% over 5 years
contract

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Innovative Services Passionate Employees Delighted Customers
Thank you
www.hexaware.com