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Carnegie Mellon to Launch System Rating IT Outsourcing Service Providers

for information:

Jeff Perdue, COP
Director, ITSqc

Pittsburgh, PA , November 19, 2001 - In response to the growing need for standards to evaluate companies providing information technology (IT) outsourcing services, researchers in Carnegie Mellon University's School of Computer Science (SCS) have developed a system to rate outsourcing firms and have established a center to certify their capabilities. Satyam Computer Services, Ltd., one of India's largest computer-related companies and a founding partner in the university's new Information Technology Services Qualification Center (ITSqc), is funding development of this model, as well as other capability models and appraisal methods. Accenture has joined the effort as well, providing funds and placing an associate at Carnegie Mellon as a visiting industrial scholar. Over the past several years, organizations --from manufacturing firms to banks to hospitals-- have been delegating computer-intensive activities to external service providers because they lack their own in-house capabilities. But in many cases, they haven't been satisfied with the results. According to Dun & Bradstreet's "Barometer of Global Outsourcing," nearly 70 percent of respondents surveyed said the outsourcing supplier "didn't understand what they were supposed to do, that the cost was too high and they provided poor service." Industry analysts say IT-enabled outsourcing services are expected to grow 15-fold by 2008 and within the next 20 years should amount to over a trillion dollars.

EVENT: Carnegie Mellon will launch its Information Technology Standards Qualification Center and "best practices" model at a media briefing and panel discussion. Panel members will include: B. Ramalinga Raju, chairman, Satyam Computer Services, Ltd., Hyderabad, India and Parsipanny, N.J.; Raj Reddy, Carnegie Mellon's Herbert A. Simon University professor of computer science and robotics and head of the SCS International Software Research Institute; Jane Siegel, senior systems scientist and head, ITsqc; Michael Collins, partner, service design implementation for outsourcing, Accenture, plus representatives of client firms that use these services.

About ITSqc
The ITSqc in Carnegie Mellon's School of Computer Science has a mission to address the emerging need for capability models and qualification methods for organizations involved in the evolving Internet economy. ITSqc's Research Consortium involves leading international corporate, government and academic entities in the development of the Capability Models.

About Carnegie Mellon
Carnegie Mellon is a private research university with a distinctive mix of programs in engineering, computer science, robotics, business, public policy, fine arts, and the humanities. More than 10,000 undergraduate and graduate students receive an education characterized by its focus on creating and implementing solutions for real problems, interdisciplinary collaboration, and innovation. Carnegie Mellon has contributed to the development and use of several quality standards, such as eSCM-SP, eSCM-CL, CMMI®, SW-CMM® and People CMM®. For more information, see

® Capability Maturity Model, Carnegie Mellon, CMM and CMMI are registered in the U.S. Patent and Trademark Office by Carnegie Mellon University.