China 2008
Beijing Olympics bring inspiration to business
The Olympic spirit has given great inspiration to this commercial society. The business implication of this spirit is similar to the outsourcing view, which is the merger of global vision and global resources.
It is very difficult for one country or a team to become the high-level team in the world athletic competition if it relies only on its own power. From the business competitive view that is to use global resources to deal the global competition.
The New Trend of Global Service – Capability Outsourcing
Over the past 100 years, large scale manufacturing enterprises such as AT&T and Bethlehem Steel have competed by their visible assets. Today, competition has shifted from visible assets to invisible capabilities. Microsoft relies on its ability to make and market software. Wal-Mart benefits from its unique supply chain management.
Enterprises are converting the company internal functions of years past to new business opportunity. UPS focuses on the third party logistic outsourcing management. Solectron focuses on electronic manufacturing services. Hewitt Associates focuses on human resources outsourcing management. These successful enterprises have enlarged the scale and capability of individual units to create a new “Capability Outsourcing” business model.
IT/High-Tech Outsourcing Delegations
China’s booming economy, well-developed infrastructure and large pool of highly skilled labor means that an increasing number of companies are and will continue to look to China for outsourcing. The Chinese government and its associated ministries, including the Ministry of Commerce, Ministry of Information Industry, Ministry of Science and Technology, Ministry of Education and Ministry of Finance, attach great importance to international outsourcing as a vital component of the country’s future economic development.
Until now, 13 well-developed cities have been designated “Chinese Service Outsourcing Base Cities” by the Chinese government. These are Beijing, Shanghai, Nanjing, Dalian, Hangzhou, Tianjin, Xi’an, Shenzhen, Chengdu, Wuhan, Guangzhou, Changsha and Jinan. The Suzhou Industrial Park and Wuxi have been established as “Chinese Service Outsourcing Demonstration Zones”.
The target cities for this trip – Shanghai, Hangzhou, Kunshan/Zhouzhuang, and Beijing – are rapidly developing hubs for finance, trade and foreign direct investment, and are authorized base cities for service outsourcing, as such, they offer a range of beneficial policies on land, tax, and human resources in preparation for its increasingly important role in the outsourcing sector.
Shanghai (October 25 – 26)
With a history of more than 700 years, Shanghai was once the financial center of the Far East regions. Since the reforms that began in 1990s, great changes have taken place in the city. The municipal government is working towards building Shanghai into a modern metropolis and into a world economic, financial, trading and shipping center by 2020.
In Shanghai, you will have the opportunity to visit the Shanghai Lujiazui International Financial Center; the Shanghai Pudong Financial Service Park, Zhangjiang Biological R & D Outsourcing Park; as well as the well-known IT service providers HP and EDS
Lodging will be at the Citadines (Shanghai Jinqiao) Hotel on October 25.
Hangzhou (October 26 – 28)
For four years in a row, the World Bank has recognized Hangzhou as the best Chinese city in terms of Overall Investment Climate. And, Forbes Magazine has recognized Hangzhou as the best Mainland Chinese city for commerce. Hangzhou has won many other international honors that include the International Livable Community Awards, the UN Best Human Habitat Award, the Oriental Leisure Capital, the Best Chinese Tourism City and so forth.
For 17 years consecutively Hangzhou leads the country in terms of aggregate local economic output and has maintained double-digit annual growth rates. The bank deposit of local and foreign currency has been exceeded to thousand billion, next to Shanghai in Yangtze River Delta Region. For five consecutive years Hangzhou has been on the top of the list of Chinese cities that have the largest number of the country’s Top 500 private companies. Currently, a strong concentration of e-commerce business fled by Alibaba and Netsun has come into being in Hangzhou. Hangzhou is home to 38 universities or institutions of higher learning best represented by the prestigious Zhejiang University and China Academy of Fine Art. There is a total enrollment of up to 400,000 students. The city also accommodates 335 municipal-level-above high-tech R&D centers.
The Delegation will participate in the 2-day International Outsourcing Business Development Conference – a major international event with several hundred participants from The United States, Canada, Australia, England, France, Holland, Germany, Ireland, Russia, Japan, Singapore, China, Taiwan, Hong Kong, India, the Philippines and Thailand.
The key industrial sectors represented at the summit are:
- Software and IT
- Finance (such as banking and securities)
- Global R&D centers
- Communications
- Data center and call centers
- Supply-chain management
- Human resource management and financial management
- Petroleum, chemicals and power generation
- Energy, environment, medical and pharmaceutical industries
Lodging will be at the Zhejiang Narada Grand Hotel in Hangzhou on October 26 and 27.
Kunshan / Zhouzhuang (October 28 – 31)
Kunshan is a charming water city lying on the south of the Yangtze River. It is like a glittering pearl between Shanghai and Suzhou. It is also the birthplace of Kun Opera which was awarded by the UN “Human Being’s Representation Work of Oral and Non-Substance”.
Zhouzhuang, a typical model of the old water towns, is in fact China’s No.1 water town. All these are the ever-lasting cultural backgrounds of Kunshan.
In Kunshan, you will visit the Kunshan Huaqiao (Followers Bridget) International Financial Backstage Service Outsourcing Park, as well as the Global Delivery Center of Capgemini, which is one of the most well known global service outsourcing enterprises.
Kunshan Development Zone continuously speeds up the development of service outsourcing, since the establishment of the service outsourcing centralizing zone, it has attracted over 70 various service outsourcing enterprises, business scope covering supply chain management, IT outsourcing, design and R&D and other professional outsourcing services, with a total investment of over 100,000,000 Yuan RMB.
The Quanyatong Company in the service outsourcing centralizing zone specializes in the business of navigation robots. Today, its navigation robots are serving over 3000 enterprises at home and abroad. It has also reached a cooperation agreement with Microsoft MSN, MSN users can directly apply for navigation robot service via MSN. “The goal of our company is to seek efficiency through science and technology. And Kunshan has provided us with a very good platform.” Said Wang Xiaoqing,CEO of Quanyatong,told us.
In recent years, the development zone has continuously intensified in attracting investment in service outsourcing, focusing in the areas of ITO and BPO service outsourcing of electronic information, software development, design and R&D, supply chain management and etc., building a venture platform of service outsourcing in the development zone. It has also implemented various preferential policies and regulations, formulating regional regulations and policies in favor of the development of service outsourcing, maximizing the support of the development of service outsourcing.
Through its strenuous efforts, the service outsourcing in the development zone has increased remarkably. Since its founding in July 2007, NetMarch Technologies in the service outsourcing centralizing zone has devoted itself to the development of service outsourcing, specializes in the IT system outsourcing and Business Process Outsourcing(BPO), it has delivered a complete set of ticketing service solution for American Airlines, enabling AA to trace the ticketing information of the airlines and analyze and price the remaining tickets according to current and history booking information of other airlines, in order to increase the sales competitiveness and business profits of AA.
While introducing individual service outsourcing projects, the development zone intensifies in the introduction of service outsource headquarters. It has signed cooperation agreement with Youxiang Investment Co. Ltd. Youxiang has decided to establish service outsourcing headquarter in Kunshan, setting up Kunshan Xinsengui Network Technology Service Co. Ltd. and three other companies, and is preparing to reshuffle the telephone outsourcing service company and logistics company and other group affiliates in Beijing and Shanghai into regional companies directly under the Kunshan headquarter, all business income will need to be confirmed at the Kunshan headquarter, and so does the principal part of financial accounting. One of the leaders of the development zone administrative commission pointed out that they will speed up its application for the national level service outsourcing base for an earlier approval.
Lodging will be at the Doubletree by Hilton TM Hotel, Huaqiao in Kunshan on October 28, 29, and 30.
Beijing (October 31 – November 2)
Beijing is the center of China politics, culture, economy, finance & science, also Olympic Games city in 2008.
In Beijing, you will visit the Tongzhou International Financial Service Business Park and participate in the Beijing Financial Service Forum. You may also visit the well-known IT and financial service providers iSoftStone, GDS and China Datagroup.
In the blueprint of the new city of Tongzhou (2005-2020), approved by Beijing Municipal Government on January 5, 2007, it is definitely defined that Tongzhou will lead to develop Business Park, education industrial park and modern residential area in the northwest part complementary with CBD(Central Business District of Beijing).
As a new industrial base of Beijing, Tongzhou District will vigorously develop modern manufacturing such as opto-mechatronics, environmental protection equipment and auto parts; cultivate high and new-tech industries like new medicine, bio-engineering and new material; and actively promote city industries including food, garment, printing, furniture, arts and crafts, etc.
At present, Tongzhou has eight industrial zones including Beijing Opto-Mechatronics Industrial Park (OIP) and Beijing Tongzhou Industrial Development Zone, covering a total area of 64 square kilometers. The infrastructure construction of all these industrial zones has met the standard of "eight put through and one leveling off" (i.e. roads, water, rain, sewage, heating, electricity, communication, cable TV are put through and terrain is leveling off); and construction in OIP, Beijing Tongzhou Logistics Park and Beijing National Environmental Protection Industry Zone has reached "ten put through and one leveling off" (plus natural gas and wideband network).
The Business Park is situated in the northwest of Tongzhou new city and borders with Chaoyang district. To the west, it is 14 kilometers from the central city and CBD (Central Business District). To the south, it is 1.2 kilometers to the Beijing-Harbin expressway. To the east, it is close to Tongzhou-Shunyi road and Bi Fu road (guest-receiving road of the International Airport). It is on the transportation corridor of the Intercity Express (ICE) from the International Airport to Tianjin Binhai New Area. So it has convenient transportation connection with the Capital Airport and the economic belt of the Ring Bohai Sea.
The Business Park lies besides River Wenyu and River Yunchaojian. So it has beautiful environment and convenient transportation. It is defined as high-end business office area of low density and garden style with the business office as the core function and perfect residential and other supporting facilities as auxiliary function in Tongzhou, Beijing and even the economic circle of the Ring Bohai Area. It owns characteristics of jumbo scope (the developing land area reaches more than 700 hectares; the build-up area is 7 million square meters), low density (Floor-area Ratio is 1.0), water friendly ecology (Business Park is across River Wenyu and then has natural scenery resources of more than 100 hectares. The green ratio reaches 50%) and energy-saving and environment-protection (The developed products is converged with the newest research achievements of building energy-saving and environment-protection).
The total land area of the Business Park is 7.3 square kilometers which will be developed in three phases. The first phase occupies 2.7 square kilometers and the build-up area is about 2 million square meters. In the year of 2007, the first level exploring of the land will be started.
At least one day will be open for sightseeing.
Lodging will be at the Westin Hotel (Beijing Financial Street) on October 31 and November 1.
Update September 28, 2008.