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Virtusa - Digital Testing

Vendor Analysis

by Dominique Raviart

published on Oct 23, 2017

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Report Overview:

This NelsonHall vendor assessment analyzes Virtusa's capabilities and offerings in digital testing services.

Who is this Report for:

NelsonHall’s Software Testing Vendor Assessment for Virtusa is a comprehensive assessment of Virtusa’s digital testing offerings and capabilities designed for:

  • Sourcing managers monitoring the capabilities of existing suppliers of IT services and identifying vendor suitability for software testing services
  • Vendor marketing, sales and business managers looking to benchmark themselves against their peers
  • Financial analysts and investors specializing in the software testing sector.

Scope of this Report:

The report provides a comprehensive and objective analysis of Virtusa’s digital testing offerings, capabilities, and market and financial strength, including:

  • Analysis of the company’s offerings and key service components
  • Revenue estimates
  • Identification of the company’s strategy, emphasis and new developments
  • Analysis of the profile of the company’s customer base including the company’s targeting strategy and examples of current contracts
  • Analysis of the company’s strengths, weaknesses and outlook.

Key Findings & Highlights:

Testing is one of Virtusa’s seven main service lines through its independent validation services (IVS), along with business process management, enterprise information management, customer experience management, mobility, cloud computing, and business consulting.

NelsonHall estimates that IVS has ~4k career testers (of which 2.2k are from Virtusa standalone and 1.8k are from Polaris). This represents ~22% of Virtusa's total headcount.

Virtusa has ~180 clients and its key clients include AIG, JPMorgan Chase, Citi & Co, BT, Aetna and Thomson Reuters.

The company is currently focusing on several initiatives:

  • Focusing upfront on automation at the start of each major project (through its “Automation First” initiative), sometimes initially as an investment by IVS, to drive down the cost of testing and facilitate the adoption of automation. A recent example of this initiative is the launch of EDGE, an accelerator for automated test data management
  • Continuing to target its core verticals: BFS, insurance, healthcare, and telecom and media. IVS is also targeting the Pegasystems BPM client base of Virtusa overall (see section on BPM and Pegasystems)
  • Integrating the testing capabilities brought by Polaris, particularly its treasury and capital market experience. Virtusa gained a sizeable number of testers (~1.2k) and further specialization in BFSI, in banking (payments and cards, corporate banking, treasury and capital markets), and in P&C insurance. This complemented the Virtusa's capabilities in retail banking and asset and wealth management
  • Enriching its service portfolio towards DevOps and agile
  • Developing its digital testing capabilities.

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