Deal Maker of the Year Awards 2012 The Interview

Mike Harris CEO of David Consulting Group and a

Director of DCG-SMS

Sue Rule Director of Marketing for DCG-SMS

David Consulting Group acquires SMS Exemplar Group Q

Please introduce yourself and your role.

My name is Mike Harris. I am the CEO of the US-based David Consulting Group and a Director of the UK subsidiary that is now DCG-SMS.

I have 30 years of broad management experience in the IT field including periods in R&D, development, production, business and academia.

Before becoming President, CEO and majority owner of DCG at the start of 2006, I was a key executive at Fidelity National Information Services, leading Channels Development and Operations Services within the Leveraged Products Development Group.

Prior to FIS, I was President of the Banking Solutions Division at Sanchez Computer Associates.

I earned a Bachelor of Science degree in electronic engineering from the University Of Southampton, England, and a Master of Science degree in computer-aided engineering from Coventry University, England. I am a Chartered Engineer, a Member of the Institution of Engineering and Technology (UK) and a Member of the Institution of Electrical and Electronic Engineers (USA). I was certified as an IT-CMF Associate in 2011.

I am Sue Rule, and I’m Director of Marketing for DCG-SMS. I was previously the interim Managing Director of SMS.

Q

Can you give an overview of DCG / SMS and its organisational structure?

David Consulting Group Ltd was established in 2009 as a subsidiary of the David Consulting Group to help us better serve our European clients. We set up partnerships in the UK, Germany, France and Spain. In January 2011, we established a UK office and appointed a UK-based, ex-client, Alan Cameron (formerly of EDS and HP), as Managing Director of DCG UK.

SMS was founded in 1994 by four independent consultants specialising in software metrics. SMS evolved a unique network structure of highly experienced, highly knowledgeable consultants who have an established European track record in measurement-driven improvement.

Q

What are the main areas of DCG / SMS’s expertise?

DCG partners clients to improve their software develop- ment. We have five practices focused on this goal: Func- tion point Analysis, Software Metrics, Software Estimation, Agile Development and CMMI. We are

currently developing a sixth practice focusing on the business value of IT, following on from a book that Mike co-authored in 2008.

The SMS team reinforces these practices and adds capabilities in Lean systems thinking, and quality standards such as ISO20000 and ITIL. We work with clients to improve the value-for-money they get from software development, particularly with regard to managing outsourced suppliers.

acquisition? Q

Both companies were founded in 1994, SMS in the UK and DCG in the US. While we have worked together before, unfortunately, the acquisition opportunity arose from a tragedy – the accidental death of the founding Director and Principal of SMS, Grant Rule. Grant was hugely respected as a metrics expert and thought-leader in his field. The acquisition offers us the opportunity to grow DCG’s business in Europe and secure Grant’s intellectual legacy.

Q Q

Were there any challenges that needed to be overcome?

The challenges were largely personal ones. Sue wanted to be sure that she secured the best future for the company Grant had invested so much of himself in. However, it was increasingly apparent as discussions progressed that there was a good fit of services and working ethos between SMS and DCG.

What is the focus and strategy for the acquisition?

Our business is about measurement-driven improvement. Our in-depth knowledge of the software process means we can show our clients the real value they’re getting from their software investment – and how they can get more. We’re looking to have more of those conversations with UK and European businesses. The acquisition of SMS gives us a great track-record of thought leadership and business-focused improvement to take to the table.

Q

Both David Consulting Group and SMS are metrics specialists with expertise in the

quantitative management of IT software systems. How do you see your partnership in the future with this combined expertise?

In the US, DCG has successfully developed two business models: Consulting and outsourced metrics services. SMS’ strength has always been in the calibre of its

David Consulting Group recently acquired SMS Exemplar Group. Can you discuss the

consultancy team, so we have increased our capabilities in that area. DCG-SMS will also have the resources to offer clients more outsourced metrics services.

SMS has championed the COSMIC measurement method, and DCG are leading exponents IFPUG measurement. Together, we have outstanding metrics capability.

We don’t believe there is now another independent organisation which has an equivalent range of knowledge and experience of software-intensive business systems.

Q

2011 saw global economic turmoil; do you think this has impacted on your 2012/2013

strategy?

The economic turmoil highlighted the need to run IT with the ability to flex IT costs in line with revenues going up and down significantly. The need for the kind of expertise DCG-SMS has to offer has never been greater. There comes a point where endemic issues with software performance, productivity and value have to be tackled. We’re engaging with those organisations seeking to tackle these issues at the roots and fix them permanently.

Q

Is there anything else you would like to mention?

The quantitative approach to lean transformation has been proven to deliver the outcomes business is looking for from its IT investment. Good measurement practice is a key factor in such success and the future for DCG-SMS will be supporting clients in measuring IT and software value. It is particularly important to have a grip on such matters if you are in an outsourcing partnership.

Contact:

Sue Rule & Mike Harris DCG - SMS

Email: s.rule@dcg-sms.com Website: www.dcg-sms.com