Conventional Business Models | Redeem Systems

Conventional Business Models

The standard / widely adopted business models we offer includes :-

  • Project based pricing
  • Effort based pricing
  • Offshore Development Center

Project based pricing –i.e. – Fixed Price Contract

This type of contract means that the development project in question is described in the available documentation in sufficient detail, thus enabling Redeem Systems to estimate the scope and complexity of the project and to provide a fixed price. In this case, the technical documentation, the project delivery schedule and the final price are stipulated in the contract.

When the project scope cannot be precisely envisioned at the moment (e.g. when a project lasts several years), another model is used.

Our process optimization ensures reliability, predictability and optimized performance of the projects to deliver on time, on budget, on target.

Effort based pricing – i.e. – Time & Material Contract

In the Effort based pricing model, the project cost is a function of the total project execution time and the corresponding resources deployed.

This business model is particularly useful in contexts where the projects are quite complex and are prone to specification and design changes midstream.

This model gives customer greater flexibility in terms of developing the project specification on an ongoing basis and modify specifications based on the changing market needs.

Offshore Development Center (ODC)

An Offshore Development Center (ODC) is an extension of the customer’s own engineering center. Through such ODCs, we offer the best skill sets, resources, flexibility and time-to-market advantages to the customers, taking all necessary efforts to protect the Intellectual Property Rights (IPR) of the customers. All rights to the IPR developed in the Development Facility vests with the customer.

The Offshore Development Center (ODC) also provides a very cost effective solution to customers requiring continuous offshore support. We provide a separate physical premise with sufficient security for an Offshore Development Center (ODC). The software design, the development methodologies, the schedules and the test plans are worked out on mutual consideration. We also implement standard/customer specified quality framework. Billing is based on man-months expenses at the contracted rate and expenses as approved on actual for on-site work.

Benefits of ODC Model to our Customers:

  • Timely availability of resources for projects (Skilled & experienced engineers and appropriate infrastructure including comprehensive development and testing facilities).
  • Fully transparent operations enabling tracking of project schedules, costs, and risks on on-going basis and timely resolutions of issues.
  • Implementation and maintenance of quality standards and practices.
  • Substantial reductions in R&D costs (lower fixed costs/overheads with us taking complete responsibility for administrative, staffing and training functions) of the customer.
  • Complete responsibility for all engineering and project management activities is taken by us.