françois pecher input for you - ict symposium 2010
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Case StudyCase Study
Cultural and organizational aspects of collaboration with India
By François Pecher
Cultural and organizational aspects of collaboration with India
By François Pecher
Thanks !!Thanks !!
Many thanks to
CEFORA
to give us the word during this
ICT SYMPOSIUM 2010
Many thanks to
CEFORA
to give us the word during this
ICT SYMPOSIUM 2010
Input For YouInput For You
IFY in Letters and Numbers
Chaussée de Gand 1434, B-1082 Brussels
WWW.inputforyou.be
Created by François Pecher and Philippe Moortgat in 2006
CEO, Bernard Coppens
Activity, Bulk scanning, document indexing.
Man power, +/- 100 in Belgium and +/-100 in India
Daily scanning capacity, +/- 400.000 pages
Important customers, UZ Leuven, BNP Fortis, GZA, UZ VUB…..
Outsourced activities to India, Indexation, Scanning, Software development, IT platform maintenance.
Brief HistoryBrief History
1998 First visit to India
1999 First joined Venture (B.I. Europe)
2002 Closing of B.I. Europe
2003 First scanning job (P&P consultants)
2005 Creation of Input For You
2006 New joined venture in India
2007 Preliminary study on outsourcing ICT
2008 Platform maintenance outsourced
2009 Software development outsourced
2010 FIRST EVALUATION
India in NumbersIndia in Numbers
1990 2002 2004 2006
Population (Mil) 846 1055 1090 1122
Universities 184 261 304 407Professional Colleges 886 2340 2751 3201General Education colleges
4862 8361 9427 10377
Per Capita Income in €At 2000 prices
212 301 437 560
Source : TATA, Statistical Outline of India 2007-2008 Central Statistical Organization India
Indian IT services industry
Indian IT services industry
In US $ bn. Industry Size
Export Market
Domestic
Market
2000 12.2 6.2 6.0
2001 13.4 7.6 5.8
2002 16.1 9.9 6.2
2003 21.6 13.3 8.3
2004 28.3 18.3 10.0
2005 37.4 24.2 13.2
2006 47.8 31.9 15.9
X 4.0 X 5.2 X 2.5
Source : TATA, Statistical Outline of India 2007-2008
Indian IT services industry
Indian IT services industry
In US $ bn. OnsiteServices
Offshore
Services
Total
2000-01 3.5 2.7 6.2
2001-02 3.4 4.2 7.6
2002-03 4.3 5.6 9.9
2003-04 4.8 8.5 13.3
2004-05 5.4 12.7 17.9
2005-06 6.9 17.0 23.9
X 2.0 X 6.2 X 4.0
Source : TATA, Statistical Outline of India 2007-2008
Indian IT manpowerKnowledge Professionals
Employees
Indian IT manpowerKnowledge Professionals
Employees
X 1000 2003-04
2004-05
2005-06
2006-07
Software Export Sector
296 390 513 707
Software captive in user organization
318 352 365 378
IT enable services
216 316 415 545
Total 830 1058 1293 1630
Source : TATA, Statistical Outline of India 2007-2008
Indian IT manpowerNew Entrants
Indian IT manpowerNew Entrants
X 1000 2003-04
2004-05
2005-06
2006-07
IT Graduates 55 58 64 68IT Diplomas 25 36 39 41Sub-Total 80 94 103 109Growth 15% 9% 6%Engineering Graduates
40 40 40 40
Non-Engineering Graduates
30 30 30 30
Growth 0% 0% 0%
Total 150 164 173 180Growth 9% 6% 4%
Source : TATA, Statistical Outline of India 2007-2008
Indian IT services destination
Indian IT services destination
US $ Mn. % Share to total
America 12,107 67.4
Canada 159 0.9
USA 11,769 66.5
Europe 4,093 23.1
UK 2.478 14.0
Germany 400 2.3
Netherlands 250 1.4
Source : TATA, Statistical Outline of India 2007-2008
Historical backgroundHistorical background
India, Colony of the UK for more than 2 centuries
Same legal system as in Britain.
Same organizational system. (railways, train, measurement)
English, national language in all India
Same educational system
Member of the commonwealth
Facilitated peoples exchange (UK and US)
Cultural BarriersCultural Barriers
Lack of knowledge between CEU and Indian peoples.
Languages
Market size
Access to countries
Enterprise culture
Religion
Food
Differences in enterprise culture
Differences in enterprise culture
In India, more hierarchical levels.
Indian Pyramid against European flat structure.
Size of enterprises completely different.
Productivity, +/- 2 for 1 against European companies.
Lack of capitalization in small enterprises.
Work conditions.
Work infrastructure.
Understanding of each other!!
Understanding of EU businesses.
What is needed on our sideWhat is needed on our side
Offshore project leaders
Strong analysts
Team leaders
Perfect understanding and speaking of English.
Opening to different culture.
Time to build associations, ventures, business.
Peoples ready to travel and work out of normal scheduled time.
ConclusionsConclusions
It takes more time than expected.
Expectation not always at meeting point.
Great experience.
Still a lot to be developed in this sector.
Challenging.
Nice country and nice people to meet.
Thanks