Dalian —— Your Ideal Destination For IT Outsourcing Group 2 By Dalian Outsourcing Association 龚晏张亚琼朱婧马夕明 Carrie Gong Sarah Zhang Jimmy Zhu Mary Ma 郭贤峰邓伟仪保轶俊 Carl Guo Henry Deng Jeffery Bao
Agenda 1 1 Overview of China IT outsourcing Comparison of major destinations Core competencies of Dalian Potential risk Future trend A success case Summary
11 Overview of China IT outsourcing A global market size: $100 Billion in China: Rapid development with 11 base cities. Major advantages: a.A huge talent pool b.Low labor cost c.A rapid developing and mature industry d.Rapid economic growth e.Strong government support Figure: 2006 – 2010 Market share for China IT outsourcing Predicted by IDC
22 Comparison of major destinations DalianShanghaiBeijing Government Support Very strongStrong Transportation, Communications & Infrastructure Well-established Most well- established Well-established IT Human Resources ResourcefulVery resourceful Maturity of IT industry Very highHigh Labor CostLowHigh Values & Culture Compatibility Very strongStrongFair
33 Core competencies of Dalian An integrated outsourcing chain Top choice of Japanese IT enterprises Only area with BPO industry With a pool of market leaders E.g. Neusoft and Dalian i-Think Computer Application of international standard Dalian Software Park: highest internationalized Figure: Software Company Configuration Picture 1 Dalian Software Park, with the Yellow Sea in the background Picture 2 Dalian Ascendas IT Park Picture 3 Dalian Software Park in future Picture 4 Dalian Software Park model
44 Potential risk Geographical inferiority compared to Shanghai & Beijing Insufficient reserve of IT talents Further improvement in managerial expertise
55 Future trend Vision: a leading city of global IT outsourcing Strategy: City Brand Integration Attracting IT talents with preferential policies
66 A Success Case Let’s Learn English: A language study software; August 2008 Reason of the success : a.Language capability b.Preferential talent policy c.Lower labor cost Over 60% Japanese customers choose enterprises in Dalian
77 Summary One of the earliest successful outsourcing cities The best location for Japanese clients You will get a.Strong government support b.A huge talent pool c.Well-grounded infrastructure facilities d.High-standard IT enterprises e.Visible cost savings Welcome To Dalian!
Reference Gartner reveals top 30 outsourcing locations top-30-outsourcing-locations.htm Wikipedia--Definition of Outsourcing China Sourcing (中国服务外包网) Dalian Statistics (大连统计信息网) IDC Dalian Bureau of Information Industry ( 大连市信息产业局 )